The OFR proposes to amend Rule 69U-140.015, F.A.C., to conform with and implement Ch. 2022-178, Laws of Florida (Financial Institutions), signed into law on June 8, 2022.

 

DEPARTMENT OF FINANCIAL SERVICES

FSC - Financial Institution Regulation

RULE NO.:RULE TITLE:

69U-140.015Capital Equivalency or Asset Maintenance

PURPOSE AND EFFECT: The OFR proposes to amend Rule 69U-140.015, F.A.C., to conform with and implement Ch. 2022-178, Laws of Florida (Financial Institutions), signed into law on June 8, 2022.

SUMMARY: The rule will be amended to update the requirements a bank must meet in order to be a depository at which an international bank agency or international branch may maintain its dollar deposits or investment securities.

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 Agency expressly relies on an analysis of potential impact conducted by persons with subject matter knowledge of this rule.

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), 663.13, 663.07(1)

LAW IMPLEMENTED: 663.07(1), 663.07(3), 663.07(5), 663.07(7), 663.07(9), 663.12(4)

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: Ann Michelle Palecki, Office of the General Counsel, [phone], [e-mail]

 

THE FULL TEXT OF THE PROPOSED RULE IS:

 

69U-140.015 Capital Equivalency or Asset Maintenance.

(1) Section 663.07(1)­(a), F.S., requires each international bank agency or international branch to maintain, with one or more banks insured by the Federal Deposit Insurance Corporation and located within the United States in this state, evidence of dollar deposits or investment securities of the type that may be held by a state bank for its own account pursuant to section 658.67, F.S. The aggregate amount of dollar deposits and investment securities for an international bank agency or international branch shall, at a minimum equal the greater of $4 million; or 7 percent of the total liabilities of the international bank agency or international branch (excluding accrued expenses and amounts due as well as other liabilities to affiliated branches, offices, agencies, or entities.)

(2)-(11) No change.

Rulemaking Authority 655.012(2), 663.13, 663.07(1) FS. Law Implemented 663.07(1), (3), (5), (7), (9), 663.12(4) FS. History–New 3-10-82, Amended 11-21-85, Formerly 3C-15.10, Amended 10-5-89, Formerly 3C-15.010, Amended 8-24-93, Formerly 3C-140.007, 3C-140.015, Amended 10-29-12, 1-1-18, _________.

 

NAME OF PERSON ORIGINATING PROPOSED RULE: Jeremy W. Smith, Director, Division of Financial Institutions

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

DATE PROPOSED RULE APPROVED BY AGENCY HEAD: August 23, 2022

DATE NOTICE OF PROPOSED RULE DEVELOPMENT PUBLISHED IN FAR: September 12, 2022