Circular
Revised Joint Policy Statement on Branch Closings by Interstate Banks in Low- or Moderate-Income Areas
June 30, 1999
Circular No. 11164

To All Depository Institutions and Others Concerned in the Second Federal Reserve District:

The Board of Governors of the Federal Reserve System, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the Office of Thrift Supervision (collectively, the "Agencies") have revised their joint policy statement on branch closings, regarding proposed branch closings by interstate banks (those with branches in more than one state) in low- or moderate-income areas.

The statement was first issued in September 1993 to provide guidance to institutions in complying with section 42 of the Federal Deposit Insurance Act. Subsequently, section 42 was amended by the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994 and the Economic Growth and Regulatory Paperwork Reduction Act of 1996.

The Agencies have revised the 1993 statement to reflect these statutory changes. Specifically, the revision is intended to clarify the required additional steps regarding notice and consultation for proposed branch closings by interstate banks in low- or moderate-income areas, and to clarify the status of automated teller machines, relocations and consolidations, and branch closings in connection with emergency acquisitions or assistance by the FDIC.

The revised statement, as published in the Federal Register of June 29, 1999, is available as a PDF file (pdf - 36kb). Questions may be directed to the Board of Governors, as specified in the statement, or, at this Bank, to Janice A. Oser, Examining Officer, Compliance Examinations Department.