Texas Banking Commissioner Randall James announced Monday that he plans to retire Aug. 31.
Mr. James, 60, has been with the Texas Department of Banking for more than 16 years. He was hired as deputy commissioner in 1991 and has spend almost nine years as the commissioner.
In an interview Tuesday, Mr. James said that he is leaving the department to pursue opportunities in the private sector, but he has not settled on a particular job or company yet.
"I intend to be fully active when I exit here, whatever that means," he said. "Let's put it this way: Upon leaving here, I will have an extra 65 to 70 hours a week, and I intend to find a way to use it."
Mr. James said he decided to go ahead and announce his retirement now, after several months of consideration, to give his eventual successor time to prepare for the Texas Legislature's next session, which is scheduled to begin Jan. 19.
Downey Bridgwater, the chairman, president, and chief executive officer of Sterling Bancshares Inc. in Houston, the parent of the state-chartered Sterling Bank, said Mr. James and his staff are largely responsible for the high level of safety and soundness that Texas banks are experiencing today.
"They have done a significant job. It has made a difference in the lives of so many different people, so many communities, and the banking industry in Texas," Mr. Bridgwater said. "We are the beneficiaries of the work he and his staff have done over the last several years. We have been fortunate to have him at the helm."
Steve Scurlock, the executive vice president with the Independent Bankers Association of Texas, said Mr. James has led the department through many changes in the banking industry, particularly in the area of technology. The department's most recent advancement in this area is the Closed Account Notification System, which went online this year. The system creates a medium for banks to alert several check verification companies at once when a customer's account has been compromised.
"They were able to get that program started from scratch in a short period of time," Mr. Scurlock said. "They did a great job."
The department regulates and supervises 330 state-chartered banks, which control about $153 billion of banking assets; trust companies with $29 billion of fiduciary assets; and foreign bank agencies with $42 billion of deposits.
In addition, the department regulates money-services businesses, perpetual care cemeteries, private child support enforcement agencies, and prepaid funeral companies.
