Illinois Administrative Code › Title 14 - COMMERCE › Part 900 - PROGRAMS › Subpart A - INTRODUCTION › Section 900.20 - Designation of Participating Banks

Current through Register Vol. 48, No. 28, July 12, 2024
a)
				Qualification Procedure
1) To become eligible
				to participate in the programs of the Authority, a banking organization shall
				submit to the Authority an application to be designated as a participating
				bank, accompanied by such organization's latest audited financial statements,
				and including the designation of one or more individuals employed by the
				organization who will be responsible for working with the Authority.
2) The Authority will endeavor to process all
				complete applications for designation as a participating bank within thirty
				(30) days of receipt thereof. Incomplete applications will not be processed,
				and the applicant will be notified of any deficiencies in its application.
				Approval of complete applications shall be based upon the applicant's present
				financial condition. In evaluating an applicant banking organization, the
				following factors will be considered:
A)
				Capitalization (adequacy and ratios);
B) Profitability (adequacy and
				ratios);
C) Asset risk indicators
				and ratios;
D) Management
				(qualifications and experience);
E)
				Lending practices; and
F)
				Regulatory compliance status and history.
3) If, based upon its consideration of the
				factors set out in Section
				900.20(a)(2),
				the Authority determines that the applicant banking organization is qualified
				to become eligible to participate in the programs of the Authority, it shall
				designate such organization as a participating bank, and communicate such
				decision to the applicant banking organization.
4) At least annually, participating banks
				shall submit to the Authority financial statements prepared by certified public
				accountants. Staff will review each such statement to determine that the
				participating bank remains qualified to be eligible to participate in the
				Authority's programs. If Staff determines that the participating bank is no
				longer qualified to be eligible, it shall issue to such bank a notice of intent
				to revoke such bank's eligibility.
5) If it is determined by Staff that, based
				upon its initial application, an applicant banking organization is ineligible
				to participate in the programs of the Authority, or that, subsequently, the
				eligibility of a participating bank should be revoked because of the failure of
				the participating bank to comply with the standards set forth in this Part,
				Staff will communicate the decision to the applicant or participating bank. The
				notice of denial of eligibility, or intent to revoke eligibility, shall specify
				the basis for the denial or revocation.
6) A notice of denial or intent to revoke of
				eligibility may be appealed to the Board. If it so desires to appeal, the
				applicant or participating bank, as the case may be, shall deliver a notice of
				appeal to the Authority within 15 business days of its receipt of the notice of
				denial or intent to revoke eligibility. The notice of appeal shall specify the
				basis for the appeal.
7) The Board
				shall designate one director, or a member of the Staff, as a hearing officer to
				conduct a hearing to consider the basis for the denial of eligibility or notice
				of intent to revoke eligibility, and any response thereto made by the applicant
				or participating bank. The hearing officer shall thereupon submit a written
				recommendation to the Board which will render a decision at one of the next two
				regularly scheduled meetings as to whether or not to sustain or overturn the
				notice of denial or intent to revoke eligibility, based upon the standards set
				forth in Section
				900.20(a)
				and Section
				900.200.