Conrad Hewitt, 62, plans to step down June 30 after regulating California's banks for three years.
In an interview Friday, Mr. Hewitt said he would like to serve another year as the state banking commissioner. But the state Senate is unlikely to grant him an extension when his term expires at the end of the month, he said.
Senate leaders, he said, are disturbed by the state's growing number of troubled institutions. California has 102 banks with Camels ratings of 3 or lower, Mr. Hewitt said.
During his term, Mr. Hewitt oversaw consolidation into one department of the state's oversight of banks, savings and loans, credit unions, and industrial loan companies. The move has shaved roughly $2 million from overhead costs, he said.
"It's been a great three years, and we've accomplished many things," Mr. Hewitt said. "I have other things I can do."
In Nebraska, Peter M. Graff is the new director of the state's Department of Banking and Finance. He succeeds James Hansen, who resigned last month. Mr. Graff, 74, began his banking career in 1950 as a Federal Deposit Insurance Corp. examiner. He is the chairman of McCook National Bank.