Source: https://www.federalregister.gov/documents/2013/12/24/2013-30557/technical-amendments
Timestamp: 2017-11-20 08:45:22
Document Index: 535562367

Matched Legal Cases: ['§\u2009700', 'arts 700', '§\u2009700', '§\u2009701', 'art 704', '§\u2009704']

A Rule by the National Credit Union Administration on 12/24/2013
3133-AE33
NCUA-2013-0124
https://www.federalregister.gov/d/2013-30557 https://www.federalregister.gov/d/2013-30557
Lisa Henderson, Staff Attorney, Office of General Counsel, at 1775 Duke Street, Alexandria, VA 22314 or telephone: (703) 518-6540.
In September 2013, the Board adopted a policy change which converted the Start Printed Page 77564rating system for corporate credit unions from CRIS to CAMEL. The Board made this change to: (1) Improve rating comparability, as CAMEL is the standard rating system for natural person credit unions and banks; (2) reduce complexity in managing two different rating systems; (3) provide a uniform rating system to promote greater consistency in rating assignments; and (4) facilitate governance, as corporate credit union directors are familiar with CAMEL at their own natural person credit unions. The Board is now amending §§ 700.2, 701.14, and 704.4,[1] which still reference the former CRIS rating system, to update them to reflect the current CAMEL rating system.
The Paperwork Reduction Act of 1995 (PRA) applies to rulemakings in which an agency by rule creates a new paperwork burden on regulated entities or modifies an existing burden.[2] For purposes of the PRA, a paperwork burden may take the form of either a reporting or a recordkeeping requirement, both referred to as information collections. NCUA has determined that the technical amendments in this final rule do not increase the paperwork requirements under PRA or regulations of the Office of Management and Budget.
NCUA has determined that this final rule will not affect family well-being within the meaning of Section 654 of the Treasury and General Government Appropriations Act, 1999.[3]
The Small Business Regulatory Enforcement Fairness Act of 1996 [4] (SBREFA) provides generally for congressional review of agency rules. A reporting requirement is triggered in instances where NCUA issues a final rule as defined by Section 551 of the Administrative Procedure Act.[5] NCUA has submitted this rule to the Office of Management and Budget for it to determine if the final rule is a “major rule” for purposes of SBREFA. NCUA does not believe the rule is major.
Generally, the Administrative Procedure Act (APA) requires a federal agency to provide the public with notice and the opportunity to comment on agency rulemakings. The amendments in this rule are non-substantive and technical. They make minor revisions to reflect the conversion to the CAMEL rating system for corporate credit unions. The APA permits an agency to forego the notice and comment period under certain circumstances, such as when a rulemaking is technical and non-substantive. NCUA finds that, in this instance, notice and public comment are unnecessary under section 553(b)(3)(B) of the APA.[6] NCUA also finds good cause to dispense with the 30-day delayed effective date requirement under section 553(d)(3) of the APA.[7] The rule, therefore, will be effective January 1, 2014.
For the reasons discussed above, the NCUA Board amends 12 CFR parts 700, 701, and 704 as follows:
2. Amend § 700.2 by revising paragraph (2) of the definition of “Troubled Condition” to read as follows:
4. Revise § 701.14(b)(4) to read as follows:
(4) In the case of an insured corporate credit union, Troubled condition means:Start Printed Page 77565
5. The authority citation for part 704 continues to read as follows:
6. Revise § 704.4(d)(3)(ii) to read as follows:
(ii) Unsafe or unsound practice. NCUA has determined, after notice and an opportunity for hearing pursuant to paragraph (h)(1) of this section, that the corporate credit union received a less-than-satisfactory CAMEL rating (i.e., three or lower) for any rating category (other than in a rating category specifically addressing capital adequacy) and has not corrected the conditions that served as the basis for the less than satisfactory rating. Ratings under this paragraph (d)(3)(ii) refer to the most recent ratings (as determined either on-site or off-site by the most recent examination) of which the corporate credit union has been notified in writing.
1. 12 CFR 700.2, 701.14, and 704.4.
3. Public Law 105-277, 112 Stat. 2681 (1998).
4. Public Law 104-121, 110 Stat. 857 (1996).
[FR Doc. 2013-30557 Filed 12-23-13; 8:45 am]