Office of the Comptroller of the Currency Fees and Assessments: Interim Calendar Year 2014 Fees and Assessments Structure

OCC BULLETIN 2014-32

Office of the Comptroller of the Currency Fees and Assessments

Date: July 14, 2014

To: Chief Executive Officers of All National Banks, Federal Savings Associations, Federal Branches and Agencies of Foreign Banks, Department and Division Heads, All Examining Personnel, and Other Interested Parties

Description: Interim Calendar Year 2014 Fees and Assessments Structure

Summary

This bulletin informs all national banks, federal savings associations, and federal branches and agencies of foreign banks of fees and assessments charged by the Office of the Comptroller of the Currency (OCC) for the remaining calendar year 2014. The bulletin becomes effective July 14, 2014.

Highlights

For the assessment due September 30, 2014, the OCC has increased the marginal rate for institutions with assets of more than $40 billion. This reflects changes in the OCC's supervisory responsibilities arising out of the Dodd-Frank Wall Street Reform and Consumer Protection Act.

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

SEMIANNUAL ASSESSMENT

Reference: 12 CFR 8, "Assessment of Fees"

2014 Assessment Schedule

As of July 14, 2014,

- assessments are due March 31 and September 30, based on call report information as of December 31 and June 30, respectively. The assessments cover the six-month periods beginning January 1 and July 1, respectively. For example, the assessment due March 31 covers the period January 1 through June 30.

- the marginal rates of the OCC's general assessment schedule continue to be indexed to reflect inflation as measured by the Gross Domestic Product Implicit Price Deflator (GDPIPD) for the previous June-to-June period. The GDPIPD adjustment is 1.4 percent for 2014. The indexing adjustment applies to all assets of national banks, federal savings associations, or federal branches or agencies of foreign banks.

- fees assessed on independent trust banks and on independent credit card banks have also been adjusted for inflation.

- the OCC sends the assessment invoice, which includes the calculated assessment fee due and drafts the fee amount on March 31 and September 30. The OCC provides seven business days' notice of the amount to be drafted from an institution's designated account. The institution is responsible for ensuring that the account is funded properly on the due dates.

- the OCC continues to charge interest on all payments received after the due date. The interest rate charged is the U.S. Department of the Treasury's current value of funds rate published quarterly in the Federal Register.

- national banks, federal savings associations, and federal branches and agencies of foreign banks that are no longer subject to OCC supervision on or before December 31, 2013, or June 30, 2014, are not subject to the semiannual assessment for the period beginning January 1 or July 1, respectively. Only those institutions leaving the federal banking system before the close of business on those dates avoid paying the semiannual assessment for the period beginning January 1 or July 1, as applicable.

The OCC's assessment schedule continues to include a surcharge for national banks, federal savings associations, and federal branches and agencies of foreign banks that require increased supervisory resources. The surcharge ensures that fees reflect the increased cost of supervision applying to those national banks, federal savings associations, and federal branches and agencies of foreign banks rated 3, 4, or 5 under the Uniform Financial Institutions Rating System. The surcharge also ensures that fees reflect the increased cost of supervision for these same banks under the Risk Management, Operational Controls, Compliance, and Asset Quality Rating System as of the relevant call date (that is, December 31, 2013, or June 30, 2014). The surcharge is to be applied to all components of an institution's assessment, including book assets, assets under management (for independent trust banks), and receivables attributable (for independent credit card banks). National banks, federal savings associations, and federal branches and agencies of foreign banks subject to the surcharge calculate the surcharge by multiplying the sum of the general assessment (based on the institution's book assets up to $40 billion) plus multiplying the independent trust bank assessment or the independent credit card bank assessment by 50 percent for 3-rated institutions and 100 percent for 4- and 5-rated institutions.

The OCC continues to reduce the assessment of nonlead national banks, federal savings associations, and federal branches and agencies of foreign banks by 12 percent. A nonlead institution, for this purpose, is a national bank, federal savings association, or federal branch or agency of a foreign bank that is not the largest national bank, federal savings association, or federal branch or agency of a foreign bank, based on total assets, controlled by a company owning two or more national banks, federal savings associations, or federal branches or agencies of foreign banks. Nonlead national banks, federal savings associations, and federal branches and agencies of foreign banks within any company should multiply their calculated general assessment by 88 percent to recognize the nonlead discount. The 12 percent discount does not apply to the independent trust bank assessment or the independent credit card bank assessment, given that independent trust banks and independent credit card banks, by definition, are not affiliated with full-service national banks, federal savings associations, or federal branches or agencies of foreign banks.

Each national bank, federal savings association, and federal branch and agency of a foreign bank pays the general assessment fee. Independent trust banks pay the general assessment fee and the independent trust bank assessment. Independent credit card banks pay the general assessment fee and the independent credit card bank assessment. Assessments are calculated using the schedules in this bulletin and then adjusted for the nonlead discount or condition surcharge.

General Assessment Fee Schedule

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

Independent Trust Bank Semiannual Assessment Schedule

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

Independent Credit Card Bank Semiannual Assessment Schedule

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

HOURLY RATE FOR EXAMINATIONS AND INVESTIGATIONS

Reference: 12 CFR 8.6

Effective date: Examinations and investigations subject to the fee after January 1, 2003.

Rate: $110 per hour to recover the cost of conducting special examinations and investigations described in 12 CFR 8.6. Examinations of the fiduciary activities of national banks, federal savings associations, and federal branches and agencies of foreign banks and related entities under 12 CFR 8.6(a)(1) are generally not subject to hourly rates.

LICENSING FEES

Reference: 12 CFR 5.5

All licensing fees have been suspended for calendar year 2014. This change was effective January 1, 2008, for calendar year 2008 and will continue to be in effect through calendar year 2014.

MISCELLANEOUS FEES

Prepayment is required for bank histories and certifications.

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

Bank histories are provided to determine the successor to inactive national banks, federal savings associations. They include corporate transactions such as name changes, mergers, closings, and the current address of the successor institution, if available.

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

Please note that the OCC does not provide verbal certifications or copies of certifications via e-mail or facsimile transmission. The OCC does not offer expedited processing for any certification.

See original table at: http://www.occ.gov/news-issuances/bulletins/2014/bulletin-2014-32.html

Kathy Murphy

Acting Senior Deputy Comptroller for the Office of Management and Chief Financial Officer

Related Links

- OCC Publications List (http://www.occ.gov/publications/index-publications.html)

- Safety and Soundness (http://www.occ.gov/publications/publications-by-type/comptrollers-handbook/index-comptrollers-handbook.html)

- Compliance (http://www.occ.gov/publications/publications-by-type/comptrollers-handbook/index-comptrollers-handbook.html)

- Asset Management (http://www.occ.gov/publications/publications-by-type/comptrollers-handbook/index-comptrollers-handbook.html)

- Comptroller's Licensing Manual (http://www.occ.gov/publications/publications-by-type/licensing-manuals/index-licensing-manuals.html)