To conform the rules and incorporated forms to the amendments to Chapter 662, F.S., as enacted in Chapter 2016-35, Laws of Florida; to clarify and streamline portions of the application and renewal forms; and to make grammatical, formatting, and ...

 

DEPARTMENT OF FINANCIAL SERVICES

FSC - Financial Institution Regulation

RULE NOS.:RULE TITLES:

69U-162.003Application for License as a Licensed Family Trust Company

69U-162.004Application to Register as a Family Trust Company

69U-162.005Application to Register as a Foreign Licensed Family Trust Company

69U-162.006Annual Renewal

69U-162.007Records

69U-162.011Discontinuing Business

PURPOSE AND EFFECT: To conform the rules and incorporated forms to the amendments to Chapter 662, F.S., as enacted in Chapter 2016-35, Laws of Florida; to clarify and streamline portions of the application and renewal forms; and to make grammatical, formatting, and other minor changes.

SUMMARY: In 2016, the legislature amended various sections in Chapter 662, F.S., which governs registered family trust companies, licensed family trust companies, and foreign licensed family trust companies. The proposed rules amend the affected portions of the rules and forms for these entities. The rules and application forms for licensed family trust companies and registered family trust companies are amended to include “certificate of incorporation,” “certificate of formation” and “certificate of organization” as equivalent terms for articles of incorporation and articles of organization. The proposed rules add the citations required by Subsections 662.122(1) and (2), F.S., as amended, to the verification portion of the forms for registered family trust companies and foreign licensed family trust companies. The proposed rules amend the foreign licensed family trust company application form to clarify the proof the company must provide in showing compliance with the laws of its principal jurisdiction. The proposed rules implement amended Subsection 662.128(1), F.S., by changing the deadline for filing the annual renewal application from 30 to 45 days after the end of each calendar year. The application forms for all three types of family trust companies are amended to clarify that the required deposit account must be with a national or state institution with an office or branch in Florida. The foreign licensed family trust company application form is amended to require the company to state whether it is owned by, or a subsidiary of, a corporation, limited liability company, or other business entity that is organized in or licensed by any foreign country as defined in Subsection 663.01(3), F.S.

SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION: The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the Agency.

The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: The proposed rules conform the rules and forms to the amendments to Chapter 662, F.S., as enacted in Chapter 2016-35, Laws of Florida. The proposed rules do not add any fees or any new or additional requirements not already imposed by statute. The proposed rules will not result in any additional costs or expenditure of time as the changes simply conform the rules to the revised statutory language and clarify and streamline portions of the application and renewal forms.

Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.

RULEMAKING AUTHORITY: 655.012(2), 662.140 FS.

LAW IMPLEMENTED: 662.121, 662.1215, 662.122, 662.1225, 662.123, 662.125, 662.128 FS.

IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAR.

THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Leslie E. Bryson, Senior Attorney, Division of Financial Institutions, [phone], [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

69U-162.003 Application for License as a Licensed Family Trust Company.

(1) An applicant seeking to operate in this state as a licensed family trust company under Section 662.121, F.S., must file a completed application on Form OFR-162-01, “Application for License as a Licensed Family Trust Company,” revised __/2017, effective 11/2015, herein incorporated by reference and available at https://www.flrules.org/Gateway/reference.asp?No=Ref-#####06068, accompanied by a nonrefundable $10,000 application fee for deposit into the Financial Institutions’ Regulatory Trust Fund.

(2) The application must contain all information requested by the form, along with the following exhibits to the form:

(a) Exhibit A Proposed Articles of Incorporation (or Articles of Organization, Certificate of Incorporation, Certificate of Formation, or Certificate of Organization pursuant to Section 662.123, F.S.) or Organization;

(b) through (f) No change.

(g) Exhibit G Detailed Description of Services Tto Bbe Provided;

(h) through (i) No change.

(j) Exhibit J Current or Former Employees to Whom Services Will Bbe Provided;

(k) through (q) No change.

(3) through (4) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.111(10), (11), (12)(d), 662.121(1)-(11), 662.1215(1)-(4), 662.1225(1), 662.123, 662.124, 662.125(1), (2), 662.126(1), (2), (3), (4), 662.127, 662.130(1)(c), (e), 662.132, 662.134 FS. History–New 11-19-15, Amended __-__-__.

 

69U-162.004 Application to Register as a Family Trust Company.

(1) A family trust company seeking to register under Section 662.122(1), F.S., must file a completed registration application on Form OFR-162-02, “Application to Register as a Family Trust Company,” revised __/2017, effective 11/2015, herein incorporated by reference and available at https://www.flrules.org/Gateway/reference.asp?No=Ref-#####06056, accompanied by a nonrefundable $5,000 application fee for deposit into the Financial Institutions’ Regulatory Trust Fund.

(2) The application must contain all information required by the form and the following exhibits:

(a) No change.

(b) Exhibit B Current or Former Employees to Whom Services Wwill Bbe Provided;

(c) No change.

(d) Exhibit D Articles of Incorporation (or Articles of Organization, Certificate of Incorporation, Certificate of Formation, or Certificate of Organization pursuant to Section 662.123, F.S.) or Organization;

(e) through (h) No change.

(3) through (4) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.111(2), (8), (9), (10), (11), (12), 662.112, 662.120(1), 662.122(1), (3), (4), (5), 662.1225(1), 662.123(1), (2), 662.124, 662.125(1), (2), 662.132 FS. History–New 11-19-15, Amended __-__-__.

 

69U-162.005 Application to Register as a Foreign Licensed Family Trust Company.

(1) An applicant seeking to operate in this state as a foreign licensed family trust company under Section 662.122(2), F.S., must file a completed registration application on Form OFR-162-03, “Application to Register as a Foreign Licensed Family Trust Company,” revised __/2017, effective 11/2015, herein incorporated by reference and available at https://www.flrules.org/Gateway/reference.asp?No=Ref-#####06057, accompanied by a nonrefundable $5,000 application fee for deposit into the Financial Institutions’ Regulatory Trust Fund.

(2) through (3) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.111(15), 662.122(2), (3), (4), (5), 662.1225(2) FS. History–New 11-19-15, Amended __-__-__.

 

69U-162.006 Annual Renewal.

(1) Within 45 30 days after the end of each calendar year, annual renewal applications for family trust companies, licensed family trust companies, and foreign licensed family trust companies must be filed with the Office on Form OFR-162-04, “Annual Renewal Application,” revised __/2017, effective 11/2015, herein incorporated by reference and available at https://www.flrules.org/Gateway/reference.asp?No=Ref-#####06058.

(2) through (3) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.124, 662.125, 662.126, 662.127, 662.128, 662.132 FS. History–New 11-19-15, Amended __-__-__.

 

69U-162.007 Records.

(1) No change.

(2) The records and accounts maintained shall include the following:

(a) through (j) No change.

(k) The articles of incorporation (or articles of organization, certificate of incorporation, certificate of formation, or certificate of organization pursuant to Section 662.123, F.S.), or articles of organization, including all amendments and restatements;

(l) through (x) No change.

(3) through (4) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.1225, 662.123, 662.124, 662.125(1), (2), 662.126, 662.127, 662.130, 662.131, 662.134, 662.141(3), (4), 662.142, 662.143, 662.145, 662.147(1) FS. History–New 11-19-15, Amended __-__-__.

 

69U-162.011 Discontinuing Business.

(1) No change.

(2) The proposed plan for discontinuing business must include:

(a) through (c) No change.

(d) Any other information related to the resolution of outstanding matters and discontinuance of business and discharge of fiduciary duties, including any related proposed amendments to the company’s articles of incorporation (or articles of organization, certificate of incorporation, certificate of formation, or certificate of organization pursuant to Section 662.123, F.S.) or organization or and any articles or certificate of dissolution or equivalent document.

(3) No change.

Rulemaking Authority 662.140 FS. Law Implemented 662.123, 662.129 FS. History–New 11-19-15, Amended __-__-__.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Marty Stubblefield, Director, Division of Financial Institutions

NAME OF AGENCY HEAD WHO APPROVED THE PROPOSED RULE: Financial Services Commission

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: October 25, 2016

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: September 20, 2016