[Federal Register Volume 74, Number 137 (Monday, July 20, 2009)]
[Rules and Regulations]
[Pages 35113-35114]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-17103]


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FEDERAL RESERVE SYSTEM

12 CFR Part 229

[Regulation CC; Docket No. R-1363]


Availability of Funds and Collection of Checks

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Final rule; technical amendment.

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SUMMARY: The Board of Governors (Board) is amending the routing number 
guide to next-day availability checks and local checks in Regulation CC 
to delete the reference to the head office of the Federal Reserve Bank 
of Chicago and to reassign the Federal Reserve routing symbols 
currently listed under that office to the head office of the Federal 
Reserve Bank of Cleveland. These amendments reflect the restructuring 
of check-processing operations within the Federal Reserve System.

DATES: The final rule will become effective on September 12, 2009.

FOR FURTHER INFORMATION CONTACT: Jeffrey S. H. Yeganeh, Financial 
Services Manager (202/728-5801), or Joseph P. Baressi, Financial 
Services Project Leader (202/452-3959), Division of Reserve Bank 
Operations and Payment Systems; or Dena L. Milligan, Attorney (202/452-
3900), Legal Division. For users of Telecommunications Devices for the 
Deaf (TDD) only, contact 202/263-4869.

SUPPLEMENTARY INFORMATION: Regulation CC establishes the maximum period 
a depositary bank may wait between receiving a deposit and making the 
deposited funds available for withdrawal.\1\ A depositary bank 
generally must provide faster availability for funds deposited by a 
``local check'' than by a ``nonlocal check.'' A check is considered 
local if it is payable by or at or through a bank located in the same 
Federal Reserve check-processing region as the depositary bank.
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    \1\ For purposes of Regulation CC, the term ``bank'' refers to 
any depository institution, including commercial banks, savings 
institutions, and credit unions.
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    Appendix A to Regulation CC contains a routing number guide that 
assists banks in identifying local and nonlocal banks and thereby 
determining the maximum permissible hold periods for most deposited 
checks. The appendix includes a list of each Federal Reserve check-
processing office and the first four digits of the routing number, 
known as the Federal Reserve routing symbol, of each bank that is 
served by that office for check-processing purposes. Banks whose 
Federal Reserve routing symbols are grouped under the same office are 
in the same check-processing region and thus are local to one another.
    On September 12, 2009, the Reserve Banks will transfer the check-
processing operations of the head office of the Federal Reserve Bank of 
Chicago to the head office of the Federal Reserve Bank of Cleveland. As 
a result of this change, some checks that are drawn on and deposited at 
banks located in the Chicago and Cleveland check-processing regions and 
that currently are nonlocal checks will become local checks subject to 
faster availability schedules. To assist banks in identifying local and 
nonlocal checks and making funds availability decisions, the Board is 
amending the lists of routing symbols in appendix A associated with the 
Federal Reserve Banks of Chicago and Cleveland to reflect the transfer 
of check-processing operations from the head office of the Federal 
Reserve Bank of Chicago to the head office of the Federal Reserve Bank 
of Cleveland. To coincide with the effective date of the underlying 
check-processing changes,

[[Page 35114]]

the amendments to appendix A are effective September 12, 2009. The 
Board is providing notice of the amendments at this time to give 
affected banks ample time to make any needed processing changes. Early 
notice also will enable affected banks to amend their availability 
schedules and related disclosures if necessary and provide their 
customers with notice of these changes.\2\
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    \2\ Section 229.18(e) of Regulation CC requires that banks 
notify account holders who are consumers within 30 days after 
implementing a change that improves the availability of funds.
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Administrative Procedure Act

    The Board has not followed the provisions of 5 U.S.C. 553(b) 
relating to notice and public participation in connection with the 
adoption of the final rule. The revisions to appendix A are technical 
in nature and are required by the statutory and regulatory definitions 
of ``check-processing region.'' Because there is no substantive change 
on which to seek public input, the Board has determined that the Sec.  
553(b) notice and comment procedures are unnecessary. In addition, the 
underlying consolidation of Federal Reserve Bank check-processing 
offices involves a matter relating to agency management, which is 
exempt from notice and comment procedures.

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
3506; 5 CFR 1320 Appendix A.1), the Board has reviewed the final rule 
under authority delegated to the Board by the Office of Management and 
Budget. The technical amendments to appendix A of Regulation CC will 
delete the reference to the head office of the Federal Reserve Bank of 
Chicago and reassign the routing symbols listed under that office to 
the head office of the Federal Reserve Bank of Cleveland. The 
depository institutions that are located in the affected check-
processing regions and that include the routing numbers in their 
disclosure statements would be required to notify customers of the 
resulting change in availability under Sec.  229.18(e). However, all 
paperwork collection procedures associated with Regulation CC already 
are in place, and the Board accordingly anticipates that no additional 
burden will be imposed as a result of this rulemaking.

List of Subjects in 12 CFR Part 229

    Banks, Banking, Reporting and recordkeeping requirements.

Authority and Issuance

0
For the reasons set forth in the preamble, the Board is amending 12 CFR 
part 229 to read as follows:

PART 229--AVAILABILITY OF FUNDS AND COLLECTION OF CHECKS 
(REGULATION CC)

0
1. The authority citation for part 229 continues to read as follows:

    Authority:  12 U.S.C. 4001-4010, 12 U.S.C. 5001-5018.


0
2. The Fourth and Seventh District routing symbol lists in appendix A 
are amended by removing the headings and listings for the Seventh 
Federal Reserve District and revising the listings for the Fourth 
Federal Reserve District to read as follows:

Appendix A to Part 229--Routing Number Guide to Next-Day Availability 
Checks and Local Checks

* * * * *

Fourth Federal Reserve District

[Federal Reserve Bank of Cleveland]

Head Office

                   0220                                 2220
                   0223                                 2223
                   0410                                 2410
                   0412                                 2412
                   0420                                 2420
                   0421                                 2421
                   0422                                 2422
                   0423                                 2423
                   0430                                 2430
                   0432                                 2432
                   0433                                 2433
                   0434                                 2434
                   0440                                 2440
                   0441                                 2441
                   0442                                 2442
                   0515                                 2515
                   0519                                 2519
                   0710                                 2710
                   0711                                 2711
                   0712                                 2712
                   0719                                 2719
                   0720                                 2720
                   0724                                 2724
                   0730                                 2730
                   0739                                 2739
                   0740                                 2740
                   0749                                 2749
                   0750                                 2750
                   0759                                 2759
                   0813                                 2813
                   0830                                 2830
                   0839                                 2839
                   0863                                 2863
                   0910                                 2910
                   0911                                 2911
                   0912                                 2912
                   0913                                 2913
                   0914                                 2914
                   0915                                 2915
                   0918                                 2918
                   0919                                 2919
                   0960                                 2960
                   1040                                 3040
                   1041                                 3041
                   1049                                 3049
 

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    By order of the Board of Governors of the Federal Reserve 
System, acting through the Secretary of the Board under delegated 
authority, July 14, 2009.
Jennifer J. Johnson,
Secretary of the Board.
[FR Doc. E9-17103 Filed 7-17-09; 8:45 am]
BILLING CODE 6210-01-P