Florida Administrative Code › 69 - DEPARTMENT OF FINANCIAL SERVICES › 69C - Division of Treasury › Chapter 69C-2 - PROCEDURES FOR ADMINISTERING THE FLORIDA SECURITY FOR PUBLIC DEPOSITS ACT › Section 69C-2.027 - Effective Date of Withdrawal Due to an Acquisition or Merger

Current through Reg. 50, No. 138; July 16, 2024
(1) When a non-qualified depository acquires,
				merges, or consolidates with a Qualified Public Depository, the resulting
				institution automatically becomes a Qualified Public Depository for thirty (30)
				days, and assumes the contingent liability, required collateral, and reporting
				requirements of the former Qualified Public Depository relative to the Public
				Depository Program.
(2) Banks and
				savings associations that desire to become a Qualified Public Depository shall
				make application to the Chief Financial Officer within thirty (30) days of the
				acquisition, merger, or consolidation.
(3) Banks, savings associations, or other
				types of institutions which do not meet the requirements to become a Qualified
				Public Depository must relinquish all public deposits held by the former
				Qualified Public Depository.
(4) If
				the resulting bank or savings association chooses not to become a Qualified
				Public Depository, the contingent liability, required collateral and reporting
				requirements of the former Qualified Public Depository shall continue for a
				period of twelve (12) months after the effective date of withdrawal and the
				resulting institution shall:
(a) Provide to
				the Chief Financial Officer within the 30 day grace period official written
				notice of its decision not to become a Qualified Public Depository, stating an
				effective date of withdrawal, which shall not be more than six months from the
				date of the acquisition, merger, or consolidation. The institution shall not
				open any new public deposit accounts after the date of official notice of
				withdrawal to the Chief Financial Officer, and it shall not accept or retain
				any public deposits after that effective date.
(b) Submit with the written notice of
				withdrawal to the Chief Financial Officer, a list of all public deposit
				accounts, including those with balances of less than $100,000. This list must
				be signed by the Chief Executive Officer and include all account names, account
				numbers, balances, and maturity dates if applicable. The list shall include a
				schedule specifying when each account is to be closed.
(c) File all monthly, quarterly, and annual
				reports required by chapter 280, F.S., and submit with each monthly report an
				updated list of public deposit accounts as of the last day of the month
				reported. When all accounts are closed, it shall continue to file monthly
				reports for twelve (12) months, at which time the contingent liability of the
				former Qualified Public Depository shall cease to exist, and all collateral
				pledged will be released upon request.
(d) Provide to the Chief Financial Officer,
				when all public deposit accounts have been closed, a written certified notice
				that the institution no longer holds any public deposits, signed by an
				authorized third party qualified to conduct audits.
(e) Notify all public depositors, as shown on
				the list of public deposit accounts described in paragraph (4)(b), above, that
				the resulting institution is not a Qualified Public Depository, and the funds
				it holds for those depositors shall cease to be protected by chapter 280, F.S.,
				after the effective date of withdrawal. Penalties incurred because of early
				withdrawal shall be the responsibility of the withdrawing depository pursuant
				to section  280.11(3),
				F.S.