[Federal Register Volume 81, Number 226 (Wednesday, November 23, 2016)]
[Rules and Regulations]
[Pages 84415-84419]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-28231]


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FEDERAL RESERVE SYSTEM

12 CFR Part 209

[Regulation I; Docket No. R-1533]
RIN 7100-AE 47


Federal Reserve Bank Capital Stock

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Final rule.

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SUMMARY: The Board of Governors (Board) is adopting, in final form and 
without change, an interim final rule amending Regulation I. The final 
rule establishes procedures for payment of dividends by the Federal 
Reserve Banks (Reserve Banks) to implement the provisions of section 
32203 of the ``Fixing America's Surface Transportation Act.'' The final 
rule sets out the dividend rates applicable to Reserve Bank depository 
institution stockholders and amends provisions of Regulation I 
regarding treatment of accrued dividends when a Reserve Bank issues or 
cancels Federal Reserve Bank capital stock.

DATES: This final rule is effective on January 1, 2017.

FOR FURTHER INFORMATION CONTACT: Evan Winerman, Counsel (202-872-7578), 
Legal Division; or Kimberly Zaikov, Financial Project Leader (202/452-
2256), Reserve Bank Operations and Payments Systems Division. Users of 
Telecommunication Device for Deaf (TDD) only, call (202) 263-4869.

[[Page 84416]]


SUPPLEMENTARY INFORMATION: 

I. Overview

    Regulation I governs the issuance and cancellation of capital stock 
by the Reserve Banks. Under section 5 of the Federal Reserve Act \1\ 
and Regulation I,\2\ a member bank must subscribe to capital stock of 
the Reserve Bank of its district in an amount equal to six percent of 
the member bank's capital and surplus. The member bank must pay for 
one-half of this subscription on the date that the Reserve Bank 
approves its application for capital stock, while the remaining half of 
the subscription shall be subject to call by the Board.\3\
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    \1\ 12 U.S.C. 287.
    \2\ 12 CFR 209.4(a).
    \3\ 12 U.S.C. 287 and 12 CFR 209.4(c)(2).
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    Prior to January 1, 2016, all member banks were entitled to a six 
percent dividend on their paid-in capital stock. As of January 1, 2016, 
the ``Fixing America's Surface Transportation Act'' (``FAST Act'') \4\ 
amended section 7(a)(1) of the Federal Reserve Act \5\ to provide that 
stockholders with more than $10 billion in total consolidated assets 
shall receive a dividend on paid-in capital stock equal to the lesser 
of six percent and ``the rate equal to the high yield of the 10-year 
Treasury note auctioned at the last auction held prior to the payment 
of such dividend,'' while stockholders with $10 billion or less in 
total consolidated assets shall continue to receive a six percent 
dividend. The FAST Act also provides that the Board must adjust the $10 
billion threshold for total consolidated assets annually to reflect the 
change in the Gross Domestic Product Price Index, published by the 
Bureau of Economic Analysis.
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    \4\ Public Law 114-94, 129 Stat. 1312 (2015). See https://www.congress.gov/114/bills/hr22/BILLS-114hr22enr.pdf/.
    \5\ 12 U.S.C. 289(a)(1).
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    On February 24, 2016, the Board published an interim final rule and 
request for comment in the Federal Register (81 FR 9082) that amends 
Regulation I to implement section 32203 of the FAST Act. The interim 
final rule allowed the Reserve Banks to continue their practice of 
making semi-annual dividend payments, although at a new rate for larger 
institutions.
    In addition, Regulation I contains provisions with respect to the 
treatment of accrued dividends when a Reserve Bank issues new stock or 
cancels existing stock. These Regulation I provisions implement 
portions of sections 5, 6, and 9 of the Federal Reserve Act, which were 
not amended by the FAST Act. Section 5 provides that (1) when a Reserve 
Bank issues new shares to a stockholder, the stockholder must pay the 
Reserve Bank for accrued dividends at a monthly rate of one-half of one 
percent from the last dividend and, correspondingly, (2) when a 
stockholder reduces or liquidates its holding of Reserve Bank stock, 
the Reserve Bank must pay the stockholder for accrued dividends at a 
monthly rate of one-half of one percent from the last dividend. 
Similarly, sections 6 and 9(10) of the Federal Reserve Act state that, 
when a member bank becomes insolvent or voluntarily withdraws from 
Reserve Bank membership, the Reserve Bank shall pay accrued dividends 
on the bank's cancelled stock at a monthly rate of one-half of one 
percent. Prior to the amendments published in the interim final rule, 
Regulation I adopted the approach described in sections 5, 6, and 9(10) 
of the Federal Reserve Act, providing in Sec. Sec.  209.4(d) and 
209.4(e)(1) that dividends for subscriptions to, and cancellations of, 
Reserve Bank stock shall accrue at a monthly rate of one-half of one 
percent. As discussed below, the interim final rule adjusted the 
accrued dividend rates for larger institutions to be consistent with 
the rate adopted in the FAST Act.

II. Summary of Comments Received and Final Rule

A. Public Comments

    The Board received nine comments on the interim final rule: One 
from a trade association representing commercial banks; one from a 
small commercial bank; and seven from individual members of the public. 
The trade association and the commercial bank expressed concerns 
regarding Congress's decision to lower the statutory dividend rate for 
banks with more than $10 billion in total consolidated assets, while 
other commenters supported Congress's decision. None of the commenters 
suggested specific changes to the text of the interim final rule.

B. Description of Final Rule

1. Dividend Payment Rate
    Like the interim final rule, the final rule amends Regulation I to 
include a new paragraph, Sec.  209.4(e), addressing the rate for 
dividend payments by the Reserve Banks. Section 209.4(e)(1)(i) 
implements the FAST Act provision requiring that banks with more than 
$10 billion in total consolidated assets receive a dividend on their 
Reserve Bank capital stock at an annual rate of the lesser of six 
percent and the high yield of the 10-year Treasury note auctioned at 
the last auction held prior to the payment of the dividend. Section 
209.4(e)(1)(ii) provides that banks with $10 billion or less in total 
consolidated assets will continue to receive a dividend at an annual 
rate of six percent. Section 209.4(e)(3) provides that dividends are 
cumulative, as required by section 7 of the Federal Reserve Act.
    Section 209.4(e)(2) provides that each dividend ``will be adjusted 
to reflect the period from the last dividend payment date to the 
current dividend payment date according to the dividend proration 
basis.'' Section 209.1(d)(2) in turn defines ``dividend proration 
basis'' as ``the use of a 360-day year of 12 30-day months for purposes 
of computing dividend payments.'' Thus, under the interim final rule, a 
semi-annual dividend payment to a stockholder with $10 billion or less 
in total consolidated assets continues to be calculated as three 
percent of paid-in capital. A semi-annual dividend payment to a 
stockholder with more than $10 billion in total consolidated assets 
would be calculated as the lesser of three percent or one-half of the 
high yield of the 10-year Treasury note auctioned at the last auction 
held prior to the payment of the dividend.
2. Payment of Accrued Dividends for Subscriptions to Reserve Bank Stock
    Section 5 of the Federal Reserve Act requires that member banks 
subscribe to new stock of the appropriate Reserve Bank whenever the 
member bank increases its own capital stock, so as to maintain an 
investment in Federal Reserve Bank stock equal to 3 percent of the 
member bank's capital and surplus. Banks also become member banks 
throughout the year.
    As discussed above, section 5 of the Federal Reserve Act provides 
that, when a stockholder subscribes to new capital stock, it must pay 
for accrued dividends on that new stock at a monthly rate of one-half 
of one percent from the last dividend (i.e., a monthly rate derived 
from a six percent annual rate). Prior to the amendments published in 
the interim final rule, Regulation I adopted the same approach. This 
requirement ensures that the stockholder will not be overcompensated at 
the next dividend payment, because the stockholder has paid in advance 
for the portion of the stockholder's next dividend payment attributable 
to the period for which the member bank did not own the stock.
    Although section 5 of the Federal Reserve Act continues to provide 
that a stockholder should pay for accrued dividends at a monthly rate 
of one-half of one percent from the last dividend, section 7 of the 
Federal Reserve Act now provides that stockholders with more than $10 
billion in total

[[Page 84417]]

consolidated assets will receive an annual dividend at the lesser of 
six percent and the high yield of the 10-year Treasury note auctioned 
at the last auction held prior to the payment of the dividend. Applying 
sections 5 and 7 literally could cause a larger stockholder to overpay 
for accrued dividends if it paid at a rate based on a six percent 
annual rate but received its next dividend payment at an annual rate 
below six percent (assuming the high yield of the 10-year Treasury note 
at the applicable auction was below six percent).
    Like the interim final rule, the final rule reconciles the conflict 
between sections 5 and 7 of the Federal Reserve Act by requiring that a 
stockholder with more than $10 billion in total consolidated assets pay 
for accrued dividends at an annual rate of the lesser of six percent 
and the high yield of the 10-year Treasury note auctioned at the last 
auction held prior to the previous dividend payment date (that is, the 
rate used for the previous dividend payment to stockholders with more 
than $10 billion in total consolidated assets), prorated to cover the 
period between the last dividend payment date and the date of 
subscription. This approach allows a larger stockholder to pay for 
accrued dividends at a rate that is generally close to the dividend 
rate the stockholder will earn at the next dividend payment. This 
approach also resolves the statutory conflict in favor of giving effect 
to the most recent Congressional act regarding the payment of dividends 
as provided in the FAST Act. Conversely, the interim final rule 
provided that stockholders with $10 billion or less in total 
consolidated assets will continue to pay for accrued dividends at an 
annual rate of six percent (prorated to cover the period between the 
last dividend payment date and the date of subscription), as those 
stockholders will continue to receive a six percent annual dividend. 
This approach is adopted in the final rule without change.
    The final rule also provides at Sec.  209.4(c)(3) for an adjustment 
at the next annual dividend if a stockholder pays for accrued dividends 
at a rate that is different from the annualized rate that the 
stockholder ultimately receives at the next scheduled dividend payment 
date. This adjustment equals the difference between the accrued 
dividends the stockholder paid for the additional subscription and the 
portion of the next dividend payment attributable to that additional 
subscription, prorated to cover the period from the last dividend 
payment date to the subscription date.
3. Payment of Accrued Dividends for Cancellations of Reserve Bank Stock
    Section 5 of the Federal Reserve Act requires that a member bank 
seek redemption of its Federal Reserve Bank stock as the capital of the 
member bank declines, so as to maintain an investment in Federal 
Reserve Bank stock equal to 3 percent of the member bank's capital and 
surplus. Banks also relinquish membership throughout the year.
    As discussed above, three provisions of the Federal Reserve Act 
(sections 5, 6, and 9(10)) state that, when a Reserve Bank cancels 
stock, the Reserve Bank shall pay the stockholder for accrued dividends 
at a monthly rate of one-half of one percent from the last dividend 
(i.e., a monthly rate derived from a six percent annual rate). Prior to 
the amendments published in the interim final rule, Regulation I 
adopted the same approach. Sections 5, 6, and 9(10) of the Federal 
Reserve Act now conflict with section 7 of the Federal Reserve Act, 
which provides (following passage of the FAST Act) that stockholders 
with more than $10 billion in total consolidated assets will receive an 
annual dividend at the lesser of six percent and the high yield of the 
10-year Treasury note auctioned at the last auction held prior to the 
payment of the dividend.
    The final rule reconciles sections 5, 6, and 9(10) of the Federal 
Reserve Act with section 7 of the Federal Reserve Act by requiring the 
Reserve Banks to pay accrued dividends to stockholders with more than 
$10 billion of total consolidated assets at an annual rate of the 
lesser of six percent and the high yield of the 10-year Treasury note 
auctioned at the last auction held prior to the date of cancellation, 
prorated to cover the period between the last dividend payment date and 
the date of cancellation. As noted above, this approach also resolves 
the statutory conflict between sections 5, 6, and 9(10), on the one 
hand, and section 7 on the other, in favor of the most recent 
Congressional act regarding dividends expressed in the FAST Act. 
Conversely, the final rule provides that, when a Reserve Bank cancels 
stock of a stockholder with $10 billion or less in total consolidated 
assets, the Reserve Bank will pay the stockholder for accrued dividends 
at an annual rate of six percent (prorated to cover the period between 
the last dividend payment date and the date of cancellation), as those 
stockholders will continue to receive a six percent annual dividend.
4. Total Consolidated Assets: Definition and Inflation Adjustment
    The dividend rate to which a stockholder is entitled under Section 
7 of the Federal Reserve Act (as amended by the FAST Act) depends on 
the stockholder's ``total consolidated assets.'' The final rule amends 
Regulation I to include a new paragraph, Sec.  209.1(d)(3), that 
generally defines total consolidated assets by reference to total 
assets reported on the stockholder's most recent December 31 
Consolidated Report of Condition and Income (Call Report).\6\ When a 
bank joins the Federal Reserve System or when a member bank merges with 
another entity and the surviving bank continues to be a Reserve Bank 
stockholder, the bank may have never filed a year-end call report, or 
its most recent year-end call report may not accurately reflect the 
institution's size. Accordingly, the new member bank or the surviving 
bank must report whether its total consolidated assets exceed $10 
billion in its application for capital stock, which would be shortly 
after the transaction or the date that the bank becomes a member bank. 
To that end, the final rule amends Sec.  209.2(a) to require that a 
bank seeking to join the Federal Reserve System report whether its 
total consolidated assets exceed $10 billion in its application for 
capital stock. Similarly, the final rule adds a new paragraph, Sec.  
209.3(d)(3), that requires a surviving bank to report whether its total 
consolidated assets exceed $10 billion when it submits its next 
application for additional capital stock.
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    \6\ The Board has also moved, without revision, the definition 
of ``capital stock and surplus'' to the definitions in new Sec.  
209.1(d).
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    Section 7(a)(1)(C) of the Federal Reserve Act (added by the FAST 
Act) requires that the Board make an annual inflation adjustment to the 
total consolidated asset threshold that determines the dividend rate to 
which a Reserve Bank is entitled. The final rule implements this 
provision at Sec.  209.4(f). The Board expects to make this adjustment 
using the final second quarter estimate of the Gross Domestic Product 
Price Index for each year, published by the Bureau of Economic 
Analysis.

III. Regulatory Analysis

A. Regulatory Flexibility Act Analysis

    In accordance with section 604 of the Regulatory Flexibility Act 
(``RFA''), 5 U.S.C. 601 et seq., the Board is publishing a final 
regulatory flexibility analysis for the final rule. The RFA

[[Page 84418]]

generally requires an agency to assess the impact a rule is expected to 
have on small entities. Under size standards established by the Small 
Business Administration, banks and other depository institutions are 
considered ``small'' if they have less than $550 million in assets.\7\ 
The RFA requires an agency either to provide a regulatory flexibility 
analysis or to certify that the final rule will not have a significant 
economic impact on a substantial number of small entities.
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    \7\ 13 CFR 121.201.
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    The final rule implements amendments to the Federal Reserve Act 
that provide that Reserve Bank stockholders with more than $10 billion 
in total consolidated assets will receive a dividend at an annual rate 
equal to the lower of six percent and the high yield of the 10-year 
Treasury note auctioned at the last auction held prior to the payment 
of such dividend (with such dividend prorated to cover the period 
between the last dividend payment date and the current dividend payment 
date). The final rule also provides that, if a Reserve Bank cancels 
stock of a stockholder with more than $10 billion in total consolidated 
assets, the Reserve Bank will pay the stockholder accrued dividends at 
an annual rate of the lesser of six percent and the high yield of the 
most recent 10-year Treasury note auction held prior to the date of 
cancellation, prorated to cover the period between the last dividend 
payment date and the cancellation date. Finally, the final rule 
provides that, if a Reserve Bank issues new stock to a stockholder with 
more than $10 billion in total consolidated assets, the stockholder 
will pay accrued dividends on such stock at an annual rate of the 
lesser of six percent and the high yield of the most recent 10-year 
Treasury note auction held prior to the previous dividend payment date 
(prorated to cover the period between the last dividend payment date 
and the subscription date). The next regular dividend payment to that 
stockholder would be adjusted to account for the difference between the 
rate at which the stockholder paid for accrued dividends and the rate 
at which the stockholder receives the regular dividend payment.
    Under the final rule, Reserve Bank stockholders with $10 billion or 
less in total consolidated assets will continue to receive a dividend 
on their Reserve Bank stock at an annual rate of six percent (prorated 
to cover the period between the last dividend payment and the current 
dividend payment). If a Reserve Bank issues new stock to, or cancels 
existing stock of, a stockholder with $10 billion or less in total 
consolidated assets, the stockholder or the Reserve Bank would 
(respectively) continue to pay accrued dividends on such stock at an 
annual rate of six percent (prorated to cover the period between the 
last dividend payment date and the subscription date or the 
cancellation date). Additionally, the final rule continues to allow 
Reserve Banks to pay dividends semiannually to all stockholders, 
including banks with $10 billion or less in total consolidated assets. 
The Board received no public comments in response to the initial 
regulatory flexibility analysis, nor did it receive comments from the 
Chief Counsel for Advocacy of the Small Business Administration.
    The only new requirement that the final rule imposes on 
stockholders with $10 billion or less in total consolidated assets is 
that such a stockholder must report whether its total consolidated 
assets exceed $10 billion when the stockholder applies for (1) new 
capital stock upon joining the Federal Reserve System or (2) additional 
capital stock upon merging with another entity. Excluding these two 
situations, a Reserve Bank will determine the total consolidated assets 
of all stockholders by reference to the stockholder's most recent 
December 31 Call Report. The final rule requires the Board to make an 
annual inflation adjustment to the $10 billion total consolidated asset 
threshold.
    As noted above, a depository institution is ``small'' for purposes 
of the RFA if it has less than $550 million of assets. The final rule 
has no effect on small institutions. The Board expects that existing 
banks and banks that are in the process of organization can readily 
calculate their total consolidated assets to know if they are a large 
institution covered by the amendments. The Board currently requires 
that a bank file an application form with the Reserve Bank in whose 
district it is located if the bank wishes to join the Federal Reserve 
System or if the bank must increase or decrease its holding of Reserve 
Bank stock.\8\ The Board is revising these forms to require that, when 
a bank applies for membership or applies for new stock after merging 
with another entity, the bank report whether its total consolidated 
assets exceed $10 billion.
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    \8\ See FR 2030 (application for capital stock for organizing 
national banks); FR 2030A (application for capital stock for 
nonmember state banks that are converting to national banks); FR 
2083A (application for capital stock by state banks (except mutual 
savings banks) and national banks that are converting to state 
banks); FR 2083B (application for capital stock by mutual savings 
banks); FR 2056 (application for adjustment in holding of Reserve 
Bank stock).
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    The RFA requires a description of why the agency rejected any 
significant alternatives that would have affected the impact of the 
rule on small entities. In this circumstance, there is no feasible 
alternative to requiring that a bank in the process of organization 
report whether its total consolidated assets exceed $10 billion when it 
applies to join the System, because such banks will not have filed a 
Call Report before applying for membership. With respect to measuring 
the total consolidated assets of a surviving bank after a merger, the 
Reserve Banks could alternatively (1) refer to the total assets 
reported by the surviving bank on its most recent December 31 Call 
Report or (2) add the total assets of the surviving bank and the 
nonsurviving bank as reported on each bank's most recent December 31 
Call Report. These alternative approaches to measuring total 
consolidated assets in the merger context would reduce the reporting 
burden on small entities, but they would not provide timely and 
accurate notice to a Reserve Bank of whether a merger has caused a 
surviving bank's total consolidated assets to exceed $10 billion. The 
Board believes that requiring surviving banks to report whether total 
consolidated assets exceed $10 billion when they apply for additional 
capital stock is a minimal reporting burden of an amount that is known 
by the banks and serves the intent of the FAST Act.

B. Paperwork Reduction Act Analysis

    In accordance with section 3512 of the Paperwork Reduction Act of 
1995 (44 U.S.C. 3501-3521) (PRA), the Board may not conduct or sponsor, 
and a respondent is not required to respond to, an information 
collection unless it displays a currently valid Office of Management 
and Budget (OMB) control number. The OMB control numbers are 7100-0042 
and 7100-0046. The Board reviewed the final rule under the authority 
delegated to the Board by OMB. The final rule contains requirements 
subject to the PRA. The reporting requirements are found in Sec. Sec.  
209.2(a) and 209.3(d)(3). The Board received no comments on the PRA 
analysis in the interim final rule.
    The Board has a continuing interest in the public's opinions of 
collections of information. At any time, comments regarding the burden 
estimate, or any other aspect of this collection of information, 
including suggestions for reducing the burden, may be sent to: 
Secretary, Board of Governors of the Federal Reserve System, 20th and C

[[Page 84419]]

Streets NW., Washington, DC 20551. A copy of the comments may also be 
submitted to the OMB desk officer (1) by mail to U.S. Office of 
Management and Budget, 725 17th Street NW., 10235, Washington, DC 
20503; (2) by facsimile to 202-395-6974; or (3) by email to: 
[email protected], Attention, Federal Reserve Board Agency 
Desk Officer.
Proposed Revisions, With Extension for Three Years, of the Following 
Information Collections
    (1) Title of Information Collection: Applications for Subscription 
to, Adjustment in Holding of, and Cancellation of Federal Reserve Bank 
Stock.
    Agency Form Number: FR 2030, FR 2030a, FR 2056, FR 2086, FR 2086a, 
FR 2087.
    OMB Control Number: 7100-0042.
    Frequency of Response: On occasion.
    Affected Public: Businesses or other for-profit.
    Respondents: National, State Member, and Nonmember banks.
    Abstract: These application forms are required by the Federal 
Reserve Act and Regulation I. These forms must be used by a new or 
existing member bank (including a national bank) to request the 
issuance, and adjustment in, or cancellation of Federal Reserve Bank 
stock. The forms must contain certain certifications by the applicants, 
as well as certain other financial and shareholder data that is needed 
by the Federal Reserve to process the request.
    Current Actions: The dividend rate to which a Reserve Bank 
stockholder is entitled under section 7 of the Federal Reserve Act (as 
amended by the FAST Act) depends on the stockholder's ``total 
consolidated assets.'' Section 209.2(a) requires a bank to report 
whether its total consolidated assets exceed $10 billion when it 
applies for membership in the Federal Reserve System. Section 
209.3(d)(3) requires a bank to report whether its total consolidated 
assets exceed $10 billion when it applies for additional capital stock 
after merging with another entity. The Board is proposing to revise FR 
2030, FR 2030a, and FR 2056 to require that a bank report whether its 
total consolidated assets exceed $10 billion when it applies to join 
the Federal Reserve System or applies for additional capital stock 
after merging with another entity. The proposed revisions would 
increase the estimated average hours per response for FR 2030 and FR 
2030a by half an hour. The proposed revisions would increase the 
estimated average hours per response for FR 2056 by one quarter of an 
hour. The Board is not proposing to revise FR 2086, FR 2086A, and FR 
2087. The draft reporting forms are available on the Board's public Web 
site at http://www.federalreserve.gov/apps/reportforms/review.aspx.
    Estimated annual reporting hours: FR 2030: 4 hours; FR 2030a: 2 
hours; FR 2056: 1,000 hours; FR 2086: 5 hours; FR 2086a: 40 hours; FR 
2087: 1 hour.
    Estimated average hours per response: FR 2030: 1 hour; FR 2030a: 1 
hour; FR 2056: 0.75 hours; FR 2086: 0.5 hours; FR 2086a: 0.5 hours; FR 
2087: 0.5 hours.
    Number of respondents: FR 2030: 4; FR 2030a: 2; FR 2056: 1,333; FR 
2086: 10; FR 2086a: 79; FR 2087: 1.
    (2) Title of Information Collection: Application for Membership in 
the Federal Reserve System.
    Agency Form Number: FR 2083, FR 2083A, FR 2083B, and FR 2083C.
    OMB Control Number: 7100-0046.
    Frequency of Response: On occasion.
    Affected Public: Businesses or other for-profit.
    Respondents: Newly organized banks that seek to become state member 
banks, or existing banks or savings institutions that seek to convert 
to state member bank status.
    Abstract: The application for membership is a required one-time 
submission that collects the information necessary for the Federal 
Reserve to evaluate the statutory criteria for admission of a new or 
existing state bank into membership in the Federal Reserve System. The 
application collects managerial, financial, and structural data.
    Current Actions: The dividend rate to which a Reserve Bank 
stockholder is entitled under Section 7 of the Federal Reserve Act (as 
amended by the FAST Act) depends on the stockholder's ``total 
consolidated assets.'' Section 209.2(a) requires a bank to report 
whether its total consolidated assets exceed $10 billion when it 
applies for membership in the Federal Reserve System. The Board is 
proposing to revise FR 2083A and FR 2083B to require that a bank report 
whether its total consolidated assets exceed $10 billion when it 
applies to join the Federal Reserve System. The proposed revisions 
would increase the estimated average hours per response by half an 
hour. The Board is not proposing to revise FR 2083 or FR 2083C. The 
draft reporting forms are available on the Board's public Web site at 
http://www.federalreserve.gov/apps/reportforms/review.aspx. The 
estimated annual reporting hours listed below, and the estimated 
average hours per response, are cumulative totals for FR 2083, FR 
2083A, FR 2083B, and FR 2083C.
    Estimated annual reporting hours: 207 hours.
    Estimated average hours per response: 4.5 hours.
    Number of respondents: 46.

List of Subjects in 12 CFR Part 209

    Banks and banking, Federal Reserve System, Reporting and 
recordkeeping requirements, Securities.

PART 209--FEDERAL RESERVE BANK CAPITAL STOCK (REGULATION I)

    Accordingly, the interim final rule amending 12 CFR part 209, which 
was published at 81 FR 9082 on February 24, 2016, is adopted as a final 
rule without change.

    By order of the Board of Governors of the Federal Reserve 
System, November 18, 2016.
Robert deV. Frierson,
Secretary of the Board.
[FR Doc. 2016-28231 Filed 11-22-16; 8:45 am]
 BILLING CODE 6210-01-P