The OCC is today proposing revising its 2016 guidelines on recovery planning for the large financial institutions it regulates. Specifically, the agency is seeking to raise the threshold at which banks are covered by the guidance from $50 billion to $250 billion, and it would allow 12 months for banks above the threshold to comply with the guidelines.
The agency said the change would align its supervision with changes under the S. 2155 regulatory reform law. “This change would reduce the number of covered banks to which the Guidelines apply from 25 to 8, based on the most recent data available,” the agency said. “It would provide necessary and appropriate burden relief to the affected banks while retaining the requirements for the largest, most complex institutions.”
Under the guidelines, each covered bank is expected to develop and maintain a recovery plan appropriate for its own risk profile, size, activities and complexity. Comments are due by Nov. 3. For more information, contact ABA’s Hu Benton.