An interim final rule to increase the asset threshold from $1 billion to $3 billion for qualifying insured depository institutions ("IDIs") was published in the Federal Register. The interim final rule will allow IDIs to be eligible for an 18-month on-site examination cycle. The interim final rule was issued by the Office of the Comptroller of the Currency, the Federal Reserve Board and the FDIC (collectively, the "agencies"). The interim final rule will become effective on August 29, 2018. Comments on the rule must be received by October 29, 2018.
As previously covered, IDIs must have an "outstanding" composite rating in order to apply for an extended examination cycle. The agencies issued the interim rule to comply with the Economic Growth, Regulatory Relief, and Consumer Protection Act of 2018, which permits agencies to examine qualifying IDIs with under $3 billion in total assets at least once during each 18-month cycle.