The Office of the Comptroller of the Currency will significantly reduce assessment rates for the community banks it supervises in March 2023.
Acting Comptroller of the Currency Michael Hsu announced the change on Sept. 1 during a speech before the Texas Bankers Association. The OCC will slash assessments for OCC-chartered banks’ first $200 million in assets by 40 percent and make a 20 percent cut for banks with assets of between $200 million and $20 billion. The reduction will save OCC-chartered community banks $41.3 million in regulatory fees next year, according to the agency.
Hsu said the reduced rates are to reduce the price discrepancies between state and federal charter assessments. The OCC lowered assessments by more than 23 percent from 2019-21.
“The recalibration will not reduce the quality of OCC supervision or the resources available to community banks,” Hsu added. “I am hopeful that this reduction will provide community banks with extra breathing space and capacity to invest and seize opportunities related to digitalization, compliance, cybersecurity, and personnel.”