[Federal Register Volume 65, Number 243 (Monday, December 18, 2000)]
[Rules and Regulations]
[Pages 78899-78900]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-32173]


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FEDERAL DEPOSIT INSURANCE CORPORATION

12 CFR Part 331


Removal of Asset and Liability Backup Program

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Final rule.

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SUMMARY: On June 9, 1999, the FDIC published an interim final rule (64 
FR 30869) requiring asset and liability backup programs (ALBPs) for 
limited deposit account and loan account information in a small number 
of institutions. The rule was intended to facilitate timely restoration 
of key financial records in the event that an FDIC-insured depository 
institution experienced a Year 2000 (Y2K) computer problem that 
required it to be placed in receivership. Because this rule was created 
to meet a contingency related to Y2K, the FDIC did not contemplate that 
it would remain effective after the contingency period ended. A sunset 
provision was therefore included in the rule to the effect that its 
procedures would not be required after June 30, 2000. This action 
confirms that the rule is no longer needed, and removes it from the 
Code of Federal Regulations.

EFFECTIVE DATE: December 18, 2000.

FOR FURTHER INFORMATION CONTACT: James Crum, Project Manager, Bank 
Technology Group, (202) 736-0586; or Nancy Schucker Recchia, Counsel, 
Legal Division (202) 898-8885, Federal Deposit Insurance Corporation, 
Washington, DC 20429.

SUPPLEMENTARY INFORMATION: Under the auspices of the Federal Financial 
Institutions Examination Council (FFIEC), the FDIC, the Board of 
Governors of the Federal Reserve System (Board), the Office of the 
Comptroller of the Currency (OCC), and the Office of Thrift Supervision 
(OTS) provided extensive Y2K-readiness guidance to the banking 
industry. Despite best efforts in preparing for Y2K, there remained the 
possibility that some institutions would not be Y2K ready and might 
have to be closed. The FDIC planned for a broad range of contingencies 
and on June 9, 1999, published an interim final rule to ensure that, if 
an affected institution experienced a Y2K problem and was closed, the 
FDIC would be able to make federally insured deposits available to 
depositors expeditiously. The rule also facilitated the quick 
acquisition or transfer of servicing of assets to help maintain public 
confidence in, and minimize any related disruption to, the financial 
system.
    The interim final rule, 12 CFR 331, became effective on July 9, 
1999, including the provision at 12 CFR 331.6 that the ALBP procedures 
contained in the rule would not be needed after June 30, 2000. As 
anticipated, the procedures are no longer needed. Therefore, with this 
action, the FDIC is rescinding the rule.
    For the reasons set out in the preamble and under the authority of 
12 U.S.C. 1818 (a) and (b) and 12 U.S.C. 1819(a) (Seventh and Tenth), 
12 CFR Part 331 is removed and reserved.

    Dated at Washington, D.C., this 13th day of December, 2000.

[[Page 78900]]

Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 00-32173 Filed 12-15-00; 8:45 am]
BILLING CODE 6714-01-P