OCC 2003-39	
OCC Bulletin

Subject:      Public Welfare Investments
Description:  Final Rule

Date:         September 9, 2003
 
TO:  Chief Executive Officers of All National Banks, Federal Branches 
     and Agencies, Department and Division Heads, and All Examining 
     Personnel

The attached final rule, which amends 12 CFR 24, the Comptroller of 
the Currency’s rules governing public welfare investments by national 
banks, was published in the Federal Register on August 15, 2003.

The final rule amends part 24 to:
·  Update the definition section of the regulation to reflect the 
   additional types of public welfare investment structures that 
   have become more common in recent years and that are permissible 
   under the governing statute;  
·  Add a new option to the public welfare standard by permitting an 
   investment that would receive consideration under CRA as a 
   qualified investment;
·  Remove the nonbank community involvement requirement from the 
   public welfare standard; 
·  Simplify the standards for making public welfare investments; 
·  Clarify how a national bank calculates the value of its public 
   welfare investments for purposes of complying with the rule’s 
   investment limits; 
·  Simplify the regulation’s investment self-certification and 
   prior approval processes; and 
·  Expand the list of examples of qualifying public welfare 
   investments that satisfy the rule’s requirements.  

These changes are intended to encourage new and expanded investments 
by national banks supporting community and economic development 
efforts by simplifying the regulation and further reducing 
unnecessary burden associated with part 24 investments.

For questions concerning this final rule, contact Patrick T. Tierney, 
attorney, or Michele Meyer, counsel, Legislative and Regulatory 
Activities Division at (202) 874-5090; or Barry Wides, director, or 
Karen Bellesi, investments manager, Community Development Division 
at (202) 874-4930.

							
Julie L. Williams
First Senior Deputy Comptroller and Chief Counsel


Attachment – 68 FR 48771
[http://www.occ.treas.gov/fr/fedregister/68fr48771.pdf]