For this 6-month period, we are reporting on one item-the rulemaking for FRB's supervisory assessments pursuant to section 318 of the Dodd-Frank Act. As part of our work, we interviewed FRB Division of Banking Supervision and Regulation senior supervisory financial analysts and an FRB Legal Division attorney and reviewed relevant documentation. Consistent with our objective, we did not assess FRB's overall internal control or management control structure, obtain data from its information systems, or assess the effectiveness of its information system controls. We conducted our fieldwork at FRB in Washington, DC, from July to August 2013.
As previously reported, for savings and loan holding companies and bank holding companies with consolidated assets of $50 billion or more, and nonbank financial companies that FRB is required to supervise pursuant to section 113 of the Dodd-Frank Act, FRB is to collect assessments, fees, or other charges equal to the expenses FRB estimates are necessary or appropriate to carry out its supervisory and regulatory responsibilities. To address this requirement, FRB's notice of proposed rulemaking for comment on the assessments, fees, and other charges was published in the Federal Register on April 18, 2013.3 The comment period closed June 15, 2013. FRB's final rule was published in the Federal Register on August 23, 2013.4 The initial collection of assessments, fees, and other charges is to begin in the fourth quarter of calendar year 2013. Accordingly, FRB's implementation of section 318 of the Dodd-Frank Act is completed.
We provided a draft of this report to FRB, FDIC, and OCC. In a written response, FRB stated that it has reviewed the report and agrees with the conclusions regarding the assessments, fees, and other charges required pursuant to the Dodd-Frank Act. We received no written comments from FDIC; however, FDIC agreed with the conclusions in the report that they implemented the actions required to date in the Plan. OCC reviewed the report and had no comments. FRB's written response is included in this report as appendix 2.
Please be advised that we plan to complete one more joint review under Section 327. As part of that joint review, we plan to assess the status of the safeguards accorded to transferred OTS employees.
We conducted this performance audit in accordance with generally accepted government auditing standards. Those standards require that we plan and perform the audit to obtain sufficient, appropriate evidence to provide a reasonable basis for our findings and conclusions based on our audit objective. We believe that the evidence obtained provides a reasonable basis for our findings and conclusions based on our audit objective.
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We appreciate the courtesies and cooperation provided to our staffs during the audit. If you wish to discuss the report, you may contact Marla A. Freedman, Assistant Inspector General for Audit, Treasury Office of Inspector General (OIG), at (202) 927-5400; E. Marshall Gentry, Assistant Inspector General for Evaluations, FDIC OIG, at (703) 562-6378; or Melissa M. Heist, Associate Inspector General for Audits and Evaluations, FRB OIG, at (202) 973-5024. Major contributors to this report are listed in appendix 3.
/signed/
Eric M. Thorson
Inspector General Department of the Treasury
/signed/
Jon T. Rymer
Inspector General Federal Deposit Insurance Corporation
/signed/
Mark Bialek
Inspector General Board of Governors of the Federal Reserve System and Consumer Financial Protection Bureau
