SUPPORTING STATEMENT
MUTUAL-TO-STOCK CONVERSIONS OF STATE SAVINGS BANKS
(3064-0117)
INTRODUCTION
The FDIC is the primary federal regulator of insured state chartered savings banks that are not members of the Federal Reserve System (“State Savings Banks”). In cases where a state savings bank proposes to convert from mutual to stock form of ownership, the FDIC’s regulations at 12 CFR §303.161 and §333.4 require the state savings bank to file with the FDIC a notice of intent to convert to stock form and provide copies of documents filed with state and federal banking and/ or securities regulators in connection with the proposed conversion. The FDIC is seeking to renew OMB approval for this information collection, which expires on September 30, 2009.
A. JUSTIFICATION
1. Circumstances and Need
The collection consists of copies of all applications and other materials filed by a state-chartered mutual savings bank with its applicable federal and state banking and securities regulators in connection with a proposed conversion to the stock form of ownership.
2. Use of Information Collected
The information will be used to enable the FDIC to identify and address issues involved in the proposed conversion relating to the safety and soundness of the bank, any abusive management practices and potential violations of applicable law to determine whether to object to the proposed conversion.
3. Use of Technology to Reduce Burden
Institutions are free to use whatever methods are the least burdensome to them for sending the necessary information to the FDIC; however, there are a number of constraints relating to secure transmission, the volume of transmitted materials, and the diverse nature of related regulatory filings that may make this option impractical.
4. Efforts to Identify Duplication
The bulk of the information collection pursuant to 303.161 requires the Respondent to provide the FDIC copies of materials the bank already has prepared for other federal and state regulators, rather than requiring banks to furnish separate materials specifically prepared for the FDIC. Similar information is not available from any other single source.
5. Minimizing Burden on Small Entities
The information required is the minimum necessary for the FDIC to determine whether it should object to the proposed conversion.
6. Consequences of Less Frequent Collections
The collection of information is required only when state savings banks voluntarily choose to convert form of ownership.
7. Special Circumstances
None.
8. Consultation with Persons Outside the FDIC
A “first” Federal Register notice seeking public comment for a 60-day period was published on May 26, 2009 (74 FR 24852). No comments were received.
9. Payment or Gift to Respondents
None.
10. Confidentiality
The Privacy Act and the Freedom of Information Act will govern the confidentiality accorded to the information in this collection.
11. Information of a Sensitive Nature
None.
12. Estimate of Annual Burden
Estimated number of respondents: 10
Estimated time per response: 50 hours
Average annual burden hours: 500 hours
13. Capital, Start-up, Operating, and Maintenance Cost Burden
None.
14. Estimated Annual Cost to Federal Government
Estimated number of respondents: 10
Estimated time to review each response:
104 professional hours and 5 clerical hours
Estimated annual burden: 1,090 hours
Estimated annual cost to review responses
10 responses x 104 professional hours x $49.75 per hour = $51,740
10 responses x 5 clerical hours x $12.25 per hour = $612.50
15. Reason for Change in Burden
There is no change in burden.
16. Publication
No publication will be made of this information.
17. Display of Expiration Date
Not applicable.
18. Exceptions to Certification
None.
STATISTICAL METHODS
Not Applicable
| File Type | application/msword |
| File Title | SUPPORTING STATEMENT |
| Author | FDIC |
| Last Modified By | leneta gregorie |
| File Modified | 2009-09-14 |
| File Created | 2009-07-09 |