OCC to Raise Exam Fees on Big Banks

WASHINGTON — The Office of the Comptroller of the Currency plans to raise supervisory assessments for large banks and thrifts by as much as 14% starting in the fall to account for the agency's added regulatory responsibilities following passage of the Dodd-Frank Act.

The agency said the proposed assessment hike in examination fees "reflects new supervisory and regulatory initiatives." If finalized, the proposal would apply to national banks and federal thrifts with at least $40 billion in assets. Those institutions would be required to pay a 14.5% marginal assessment rate hike. Yet the actual increase in fees would vary among institutions of differing asset classes, ranging from 0.32% to 14%. The projected average assessment increase would be 12%, the agency said.

In addition to added duties in the post-Dodd-Frank era, the OCC said the proposed fee hike also stems from the fact that there had not been an increase in marginal assessment rates for institutions above $40 billion in assets between 1995 and 2013. Institutions will have until June 12 to comment on the proposal. The fee hike would become effective on the semiannual assessment due Sept. 30.

"In recent years, marginal assessment rates for most national banks were relatively stable, which in part reflected a stable regulatory landscape," the OCC said in the proposal notice published in the Federal Register.

"Since the enactment of the Dodd-Frank Act, the OCC's responsibilities have expanded and changed in several important ways. These include taking on responsibility for the supervision of... [federal thrifts] and the need to devote appropriate resources to the implementation of the Dodd-Frank Act and supervising compliance with its requirements."

The OCC said the proposal would increase the agency's assessment revenue by between 7% and 7.5%.

"We expect the effect on the twenty-five institutions with more than $40 billion in total assets to be nominal," the proposal said, adding, "Most banks and" thrifts "have assets of $40 billion or less and would not be affected by the increase."

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Law and regulation Dodd-Frank
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