69U-140.008: Permissible Activities for an Agency
69U-140.015: Capital Equivalency or Asset Maintenance
PURPOSE AND EFFECT: Rule 69U-140.008, F.A.C., is proposed for amendment to clarify and make the rule consistent with the actual activities that an international agency may engage in Rule 69U-140.015, F.A.C., is proposed for amendment to conform the rule to statutory revisions in Section 658.67, F.S. enacted by Chapter 2011-194, Laws of Fla. (2011).
SUMMARY: Rule 69U-140.008, F.A.C., is proposed for amendment to clarify and make the rule consistent with the actual activities that an international agency may engage in Rule 69U-140.015, F.A.C., is proposed for amendment to conform the rule to statutory revisions in Section 658.67, F.S. enacted by Chapter 2011-194, Laws of Fla. (2011).
SUMMARY OF STATEMENT OF ESTIMATED REGULATORY COSTS AND LEGISLATIVE RATIFICATION:
The Agency has determined that this will not have an adverse impact on small business or likely increase directly or indirectly regulatory costs in excess of $200,000 in the aggregate within one year after the implementation of the rule. A SERC has not been prepared by the agency.
The Agency has determined that the proposed rule is not expected to require legislative ratification based on the statement of estimated regulatory costs or if no SERC is required, the information expressly relied upon and described herein: 1) No requirement for a SERC was triggered under Section 120.541(1); and 2) The amendments will not exceed any one of the economic analysis criteria in a SERC, as set forth in Section 120.541(2)(a), F.S.
Any person who wishes to provide information regarding a statement of estimated regulatory costs, or provide a proposal for a lower cost regulatory alternative must do so in writing within 21 days of this notice.
RULEMAKING AUTHORITY: 655.012(2), 663.061(3), 663.13 FS.
LAW IMPLEMENTED: 663.061, 663.07(1), (3), (5), (7), (9), 663.12(4) FS.
IF REQUESTED WITHIN 21 DAYS OF THE DATE OF THIS NOTICE, A HEARING WILL BE SCHEDULED AND ANNOUNCED IN THE FAW.
THE PERSON TO BE CONTACTED REGARDING THE PROPOSED RULE IS: Jeffrey Jones, Office of Financial Regulation, jeffrey.jones@flofr.com
THE FULL TEXT OF THE PROPOSED RULE IS:
69U-140.008 Permissible Activities for an Agency.
(1) An international banking corporation is authorized to transact only such limited business in Florida as is clearly related to and usual in international or foreign business and financing international commerce. Generally, permissible activities shall include those activities permissible for corporations engaged in international banking or financial operations under the Edge Act, 12 U.S.C. sections 611-631, except such of those activities that are contrary to or inconsistent with any of the provisions of Chapter 663, F.S., or these rules.
(2) through (4) No change.
(5) Lending. An No international banking corporation shall make loans from its agency office in Florida unless such loans are clearly related to and usual in international or foreign business and financing international commerce. Thus, an agency may provide financing and banking services to foreign businesses and foreign individuals in their foreign operations, and also in their operations in the United States or elsewhere, where such operations are in the stream of international business and commerce. An agency may also provide financing and banking services to United States businesses and customers in their foreign operations and in their operations in Florida and elsewhere that are clearly related to international commerce, such as operations directly connected with the production, storage, transportation and sale of goods for export or import if the importation or exportation of the goods is financed by the banking agency. Real estate loans, automobile loans, retail installment contract financing, loans for the purchase of securities and other essentially domestic loans will not fall within the category of permissible activities.
(6) Deposits.
(a) An international bank agency licensed by this state may accept, pursuant to Section 663.061 663.06, F.S., only the following deposits:
1. through 4. No change.
(b) No change.
(7) No change.
Rulemaking Specific Authority 655.012(2) 655.012(3), 663.061(3), 663.13 FS. Law Implemented 663.061 FS. History–New 5-4-78, Amended 2-24-80, 7-21-81, 12-2-85, Formerly 3C-15.03, Amended 5-27-87, 5-18-88, Formerly 3C-15.003, Amended 11-5-97, Formerly 3C-140.008, Amended_________.
69U-140.015 Capital Equivalency or Asset Maintenance.
(1) through (5) No change.
(6) Notwithstanding the limitations of Section 658.67, F.S., an international bank agency or international branch is authorized to use securities issued by foreign governments, or foreign government sponsored entities, for the purpose of satisfying the capital equivalency or asset maintenance requirements of Section 663.07, F.S., provided that:
(a) The bonds or other obligations used for this purpose are current as to all payments of principal and interest and otherwise supported as to investment quality and marketability by a credit rating file compiled and maintained in current status are rated in one of the four highest classifications;
(b) through (c) No change.
(7) through (11) No change.
Rulemaking Specific Authority 655.012(2) 655.012(3), 663.13 FS. Law Implemented 663.07(1), (3), (5), (7), (9), 663.12(4) FS. History– New 3-10-82, Amended 11-21-85, Formerly 3C-15.10, Amended 10-5-89, Formerly 3C-15.010, Amended 8-24-93, Formerly 3C-140.007, 3C-140.015, Amended________.