Five federal supervisory agencies today released a Memorandum of Understanding (MOU) that clarifies how the agencies will coordinate their supervisory activities, consistent with the Dodd-Frank Act.
Section 1025 of the Dodd-Frank Act requires the CFBP and the prudential regulators--the Board of Governors of the Federal Reserve System, the FDIC, the NCUA, and the OCC--coordinate important aspects of their supervision of insured depository institutions with more than $10 billion in assets and their affiliates.
Such coordination includes scheduling examinations, conducting simultaneous examinations of covered depository institutions unless an institution requests separate examinations, and sharing draft reports of examination for comment.
The MOU is intended to establish arrangements for coordination and cooperation to minimize unnecessary regulatory burden, avoid unnecessary duplication of effort, and decrease the risk of conflicting supervisory directives.
Read the Memorandum of Understanding (MOU).