Thursday, June 13, 2024

State Banking Board approves 50% reduction in 2023 assessments

The Oklahoma State Banking Board voted unanimously at its November meeting to reduce the assessments paid by Oklahoma state-chartered banks.

The 2023 assessment rate was discounted 50% for each bank with assets less than $1 billion and 25% for each bank with assets more than $1 billion.

During the meeting held Nov. 16, State Banking Commissioner Mick Thompson explained how the Banking Department implemented several operational changes that have resulted in savings to the agency. He also stated that reducing agency assessments may help offset the cost of increased FDIC insurance premiums banks will begin paying next year.

The Banking Department has recommended a discount to bank assessments each year for the past decade. During that time, Oklahoma state-chartered banks have saved over $20 million in assessments through discounts approved by the State Banking Board. The Banking Department has used the assessment discount as an opportunity to reduce regulatory burden on state-chartered banks.