Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Applications Policy topic
No spam. Unsubscribe anytime.
FDIC board approves requirement to brief board on merger and deposit‑insurance applications pending over 270 days
Summary
Vice Chairman Hill’s proposal to put merger and deposit‑insurance applications that cross a 270‑day review threshold on the board agenda for quarterly briefings passed unanimously; board members said the change should improve timeliness and transparency.
The Federal Deposit Insurance Corporation board on Tuesday approved a policy requiring staff to brief the full board on any merger or deposit‑insurance application that has been outstanding for more than 270 days, a measure Vice Chairman Hill said is meant to shorten review times and increase transparency.
Vice Chairman Hill told the board that the number of applications exceeding a 270‑day review timeline has risen in recent years — "12 in 2022, 16 in 2023, and 11 in 2024 halfway through the year," he said — and that lengthy reviews impose costs and uncertainty on applicants, employees and customers. Under the new practice, any application that crosses the 270‑day mark will automatically be placed on the next board meeting agenda and remain on the board’s quarterly agenda until final action; staff briefings must include steps taken to date and remaining work with associated timeframes.
Board members voiced support for the proposal. The chair said staff already work diligently and that regular briefings would help the board understand reasons for delay; Director McKernan (transcript spelling) said he would enthusiastically support the effort; Director Hsu said he was supportive. Director Chopra said publicizing reasons for denials and staff concerns would improve transparency for future applicants and stated the change could reduce the agencies’ reputation for opaque dispositions.
The board voted on a motion to adopt the proposal; the motion was moved, seconded, and recorded by roll call with aye responses recorded for the chair, Vice Chairman Hill, Director McKernan, Director Sue (transcript label), and Director Chopra. The motion was adopted.
The board said that one related item — office expansion plans estimated to exceed $60 million — would be discussed in closed session because it touches nonpublic information. The board then adjourned the open meeting and moved into closed session.
