WSR 17-03-115

PREPROPOSAL STATEMENT OF INQUIRY

[Filed January 17, 2017, 2:51 p.m.]

Subject of Possible Rule Making: Propose and adopt rules amending chapter 208-512 WAC to modernize securities investment standards for state-chartered banks as required under federal law, Section 939A of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act).

Propose and adopt rules amending chapter 208-512A WAC derivative lending limit rules for federal parity with the Office of Comptroller of the Currency as cited in 12 C.F.R. Parts 32, 159 and 160.

Propose and adopt a technical cleanup, modernization, or repeal of certain outdated or inapplicable sections of chapters 208-512 and 208-512A WAC. Amendments will be made to change citations from "Title 30" to "Title 30A" stemming from recodification of the Commercial Bank Act, 2014 c 37 § 1-701.

Statutes Authorizing the Agency to Adopt Rules on this Subject: Chapter 208-512 WAC authority: RCW 43.320.040, 43.320.050, 30A.04.030, 30B.04.020, and Section 939A of the Dodd-Frank Act.

Chapter 208-512A WAC authority: RCW 43.320.040, 43.320.050, 30A.04.030, 30A.04.111, 30A.04.215, 30A.08.140, 30B.04.020, and 32.08.157. Complies with OFM Guidance 3.a. and e.

Reasons Why Rules on this Subject may be Needed and What They Might Accomplish: These rules are either (1) required by federal law, or (2) beneficial for, and requested by, regulated entities to eliminate rule provisions superseded by subsequent federal and state statutes, rules, and regulations.

Other Federal and State Agencies that Regulate this Subject and the Process Coordinating the Rule with These Agencies: Not applicable.

Process for Developing New Rule: Negotiated rule making.

Interested parties can participate in the decision to adopt the new rule and formulation of the proposed rule before publication by contacting Ali Higgs, Chief of Regulatory and Trust Affairs for the Division of Banks, Department of Financial Institutions, P.O. Box 41200, Olympia, WA 98504, phone (206) 639-6054, email ali.higgs@dfi.wa.gov.

January 17, 2017

Roberta Hollinshead

Division of Banks Director