OCC signals CRA exam changes, plans request for comment on 'Genius Act'

An unidentified speaker representing the Office of the Comptroller of the Currency said the agency has begun reshaping how it evaluates banks under the Community Reinvestment Act, aiming to reduce paperwork burdens on community banks and allow assessment "on the strength of their service rather than the size of their regulatory team." The speaker described a proposed simplified strategic plan for community banks as central to that effort.

The speaker told attendees that the regulatory and examination framework "too often rewards paperwork over impact and imposes a disproportionate burden on community banks and mid sized institutions." He framed the OCC's approach as an attempt to align regulatory incentives with outcomes that benefit communities.

The remarks also announced a forthcoming request for comment on a proposal the speaker called the "Genius Act," which the transcript references but does not define. "Whether in our forthcoming request for comments on our proposal to implement the Genius Act or our ongoing efforts to construe bank powers to permit the use of new ways of conducting the very old business of banking, the OCC remains committed to its historic and institutional role of being a champion of technological innovation in the banking system," the speaker said.

The transcript does not specify what changes the Genius Act would enact or its legal source; the remarks indicate only that the OCC plans to solicit public comment. There were no formal votes or policy adoptions recorded in this transcript; the speaker framed the announcements as planned agency actions and invitations for input.

Next steps: the OCC's request for comment is the next procedural action mentioned; the transcript provides no timetable or publication date for that notice.