tor shall report the reasons for such action to the Board of Directors.

(4) Notice of right to comment. In order to fully apprise the public of its rights under paragraph (f)(3) of this section, the notice described in paragraph (f)(1) of this section shall include a statement describing the right to comment upon, or protest the granting of, the application. This notice shall consist of the following statement:

Any person wishing to comment on this application may file his or her comments in writing with the regional director of the Federal Deposit Insurance Corporation at its regional office (address of the regional office) before processing of the application has been completed. Processing will be completed no earlier than the (relocations— 21st, mergers-30th, other applications described in paragraph (a) of this section— 15th) day following either the date of the (merger applications-first, all other applications described in paragraph (a)-last) required publication or the date of receipt of the application by the FDIC, whichever is later. The period may be extended by the regional director for good cause. The nonconfidential portion of the application file is available for inspection within one day following the request for such file. It may be inspected in the Corporation's regional office during regular business hours. Photocopies of information in the nonconfidential portion of the application file will be made available upon request. A schedule of charges for such copies can be obtained from the regional office.

(5) Solicitation of comments by regional director. Whenever he deems it appropriate, the regional director may solicit comments from any person or institution which, in his opinion, might have an interest in or be affected by the pending application.

(g) Public access to application file— (1) Inspection of application file. Any person may inspect the nonconfidential portions of an application file. For a period extending until 180 days after final disposition of an application, the nonconfidential portions of the file will be available for inspection in the regional office of the Federal Deposit Insurance Corporation in which an application has been filed. During this period, the nonconfidential portion of the file will be produced for review not more than one working day after receipt by the regional office of the request (either written or oral) to see

the file. Photocopies of the nonconfidential portions of the file will be available, upon request, to any person. A charge for making copies will be made in accordance with the fee schedule contained in § 309.5(b) of this chapter. No charge will be imposed for the search for, and review of, the application file. One hundred and eighty (180) days after the final disposition of an application, the nonconfidential portions of an application file will be made available in accordance with the provisions of § 309.5 of this chapter.

(2) Nonconfidential portions of application file. Subject to the provisions of paragraph (g)(3) of this section, the following information in an application file will be available for public inspection:

(i) The application with supporting data and supplementary information. (ii) Data, comments, and other information submitted by interested persons in favor of, or in opposition to, such application.

(iii) Those portions of the investigation report prepared by the Corporation's field examiner in connection with the application which cover the convenience and needs of the community to be served by the applicant or applicants and either the future earnings prospects or the future prospects of the applicant or applicants.

(iv) A summary assessment of the applicant or applicants, based on their last Community Reinvestment Act examination.

(v) Where a hearing has been held pursuant to paragraph (i) of this section, any evidence submitted pursuant to paragraph (j)(3) of this section and the hearing transcript described in paragraph (j)(5) of this section.

(3) Withholding of confidential information. No material described in paragraph (g)(2) of this section shall be available if it is determined to be confidential under the provisions of 5 U.S.C. 552. The following information generally is considered confidential:

(i) Personal information, the release of which would constitute a clearly unwarranted invasion of privacy.

(ii) Commercial or financial information the disclosure of which would result in substantial competitive harm to the submitter.

(iii) Information the disclosure of which could seriously affect the financial condition of any financial institution.

(h) Proceedings-(1) Requests for hearing or other proceeding. Anyone who has made a formal comment within the period specified in paragraph (f)(3) of this section may request a hearing at the time of making the formal comment. If a hearing or an oral presentation is requested, the request must be accompanied by a brief statement by the person requesting the hearing or presentation of his or her interest in the application and of the matters which he or she wishes to discuss. If the Corporation determines that a hearing or other form of oral presentation should be allowed, the person making the request will be advised of the date, time, and location of the oral presentation.

(2) Form of proceeding. The Corporation may, at its discretion, decide to hold a hearing on the application in accordance with paragraph (i) of this section; it may decide to hold an informal proceeding in accordance with paragraph (h)(3) of this section; or it may decide not to hold a hearing or an informal proceeding in which case, where there has been a request for an opportunity to be heard pursuant to paragraph (h)(1) of this section, it will so advise the applicant and all persons who requested an opportunity to be heard. A decision as to the form of proceeding to be held will be made not more than 30 days after a request for a hearing has been made pursuant to paragraph (h)(1) of this section.

(3) Informal proceedings. If the Corporation decides to hold an informal proceeding, the regional director shall, not less than 10 days prior thereto, notify the applicant and each person who requested a hearing in accordance with paragraph (h)(1) of this section, of the date, time, and place of the proceeding. The regional director may, if he deems it advisable, notify other persons who have expressed an interest in the application and invite them to attend. The proceeding may assume any form, including a meeting with Corporation representatives at which the participants will be asked to present their views orally. The region

al director shall also have the discretion to hold separate meetings with each of the participants where he deems it desirable.

(i) Hearings. Hearings of the kind provided for in this paragraph will not generally be afforded the participants if they have had the opportunity to participate in prior hearings before the appropriate state authority which covered essentially the same issues or if the regional director determines that less formal proceedings will be adequate.

(1) Notice of hearing-(i) Contents. If the Corporation determines that a hearing on the application is warranted, the regional director shall, not less than 10 days prior thereto, give notice of the scheduling of the hearing, and shall set forth in the notice the subject matter of the application, the significant issues to be presented, and the date, time, and place at which the hearing shall be held.

(ii) To whom sent. The above notice shall be sent by registered or certified mail to the applicant and to each person who requested a hearing in accordance with paragraph (h)(1) of this section. The regional director may also notify other persons who have expressed an interest in the application and invite them to participate in the hearing.

(2) Attendance at hearing. Each interested person who wishes to attend the hearing shall notify the regional director accordingly within 5 days after the date upon which he receives the above notice. Unless he has already done so, he shall submit a brief written summary of the matters which he wishes to cover at the hearing together with the number and names of witnesses he wishes to present. The applicant and other interested persons attending the hearing may be represented by counsel.

(3) Presiding officer. The presiding officer at the hearing shall be the regional director, his designee, or such other person as may be named by the Board of Directors or the Director of the Division of Bank Supervision. The presiding officer shall have the authority to appoint a panel to assist him.

(j) Hearing rules-(1) Order of presentation. The following schedule is intended to serve as a general guide to the conduct of the hearing. It is not fixed and may be varied at the discretion of the presiding officer. The presiding officer shall determine the order of opening and closing statements and presentations to be followed by all participants other than the applicant who in each instance shall have the opportunity to speak first.

(i) Opening statements. The applicant and each other participant may make opening statements which should concisely state what the participant intends to show.

(ii) Applicant's presentation. Following the opening statements, the applicant shall present its data and materials orally or in writing.

(iii) Requester's presentation. Following the applicant's presentation, each person who requested the hearing shall present his data and materials orally or in writing. Those who requested the hearing may agree, with the approval of the presiding officer, to have one of their number make their presentation.

(iv) Other interested persons. Following the evidence of the applicant and the requesters, the presiding officer will recognize other interested persons who may present their views with respect to the application under consideration.

(v) Summary statement. After all the above presentations have been concluded, the applicant and each other participant may make a short concise rebuttal.

(2) Witnesses. Each participant is responsible for providing his own witnesses, including the payment of all expenses associated with their appearance at the hearing. All witnesses will be present on their own volition, but any person appearing as a witness may be subject to questioning by any participant, by the presiding officer, or by any member of the panel. The refusal of a witness to answer questions may be considered by the Corporation in determining the weight to be accorded the testimony of that witness. Witnesses shall not be sworn.

(3) Evidence. The presiding officer shall have the authority to exclude data or materials which he deems to be improper, irrelevant, or repetitive. Formal rules of evidence shall not be applicable to these hearings. Documentary material submitted as evidence must be of a size consistent with ease of handling, transportation, and filing. Three copies of all such documentary material shall be furnished to the regional director, and any participant who specifically requests the same shall be furnished a copy at his own expense. While large exhibits may be used during the hearing, copies of such exhibits must be provided by the person in reduced size for submission as evidence.

(4) Procedural questions. The presiding officer, or any designated member of the panel, shall determine all procedural questions not governed by this section. The presiding officer shall have the authority to limit the number of witnesses to be used by any person and to impose reasonable time limitations.

(5) Transcript. A transcript of each hearing will be arranged for by the Corporation. The person or persons who requested the hearing will be expected to pay all the expenses of such service, including the furnishing of one copy of the transcript to the regional director: Provided, however, That the Corporation may, for good cause, waive this requirement in individual cases. Where a hearing is held at the Corporation's initiative, the Corporation shall bear the expenses of such service. Copies of the transcript will be furnished to any interested person requesting the same at that person's expenses.

(6) The hearing record—(i) Contents. The nonconfidential portions of the application, as described in paragraph (c) of this section, shall automatically be a part of the hearing record.

(ii) Closing the hearing record—additional statements. Any person who participates in the hearing may request that the hearing record remain open for 10 days following receipt of the transcript by the regional director during which time the person may submit corrected copies of the transcript, or additional written state

ments or materials which he agreed to furnish at the hearing, to the regional director. Such person shall simultaneously mail or have delivered copies of the corrected transcript or additional statements or materials to all other persons who participated in the hearing.

(k) Disposition and notice thereof. (1) The final disposition of any application or other matter under this section need not be determined exclusively by, or be limited to, the information contained in the public file established by paragraph (g) of this section.

(2) The applicant, and any other person who so requests in writing, shall be notified by the Board of Directors of the final disposition of the application or other matter. The Board of Directors shall also provide a statement of the reasons for the final disposition made.'

(1) Computation of time. Section 308.22 shall govern the computation of any period of time prescribed or allowed by this section.

(m) Retained authority. In acting upon any particular application, the Board of Directors may by resolution adopt procedures which differ from this section when it deems it necessary and in the public interest to do so. Such resolution shall be made available for public inspection and copying in the Office of the Executive Secretary of the Corporation in accordance with the requirements of 5 U.S.C. 552(a)(2).

[50 FR 22972, May 30, 1985, as amended at 52 FR 35403, Sept. 21, 1987]

'Where final authority to dispose of an application or other matter has been delegated to the Director of the Division of Bank Supervision or the regional directors pursuant to § 303.7, the Director of the Division of Bank Supervision or the appropriate regional director will provide the notice and statement described in this paragraph (k)(2).

§ 303.7 Delegation of authority to the Director of the Division of Bank Supervision and to the associate directors and to the regional directors and deputy regional directors to act on certain applications, requests, and notices of acquisitions of control.

The Board of Directors of the Federal Deposit Insurance Corporation has delegated to officials in the Division of Bank Supervision and other employees of the FDIC the authority on behalf of the Board of Directors to act (subject to the provisions of § 303.11 of this part) on the following applications, requests, and notices of acquisition of control.

(a) Applications for branches (including remote service facilities and courier services) and relocations, and for trust and other banking powers— (1) Branch and relocation applications. (i) Authority is delegated to the Director, and where confirmed in writing by the Director, to an associate director, or to the appropriate regional director or deputy regional director, to approve applications for consent to establish branch facilities (including remote service facilities and courier services) or relocations where the applicant satisfies the requisites listed in paragraph (a)(1)(iii) of this section and agrees in writing to comply with any condition imposed by the delegate other than those listed in paragraph (a)(1)(iv) of this section.

(ii) Authority is delegated to the Director, and where confirmed in writing by the Director, to an associate director, (A) To deny applications for consent to establish branch facilities (including remote service facilities and courier services) or relocations and (B) To approve such applications where the applicant satisfies the requisites listed in paragraph (a)(1)(iii) of this section but does not agree in writing to comply with any condition imposed by the delegate.

(iii) The requisites which must be satisfied before the authority delegated by paragraphs (a)(1)(i) and (a)(1)(ii)(B) of this section to approve applications for consent to establish branch facilities or relocations may be exercised are:

(A) The six factors set forth in section 6 of the Act (12 U.S.C. 1816) have been considered and favorably resolved (except that this requisite does not apply to applications to establish courier services);

(B) The applicant meets the capital requirements set forth in 12 CFR Part 325 and the FDIC's "Statement of Policy on Capital" or agrees in writing to increase capital so as to be in compliance with the requirements of 12 CFR Part 325 before or at the consummation of the transaction which is the subject of the application (except that this requisite does not apply to applications to establish courier services, remote service facilities, and relocations of branches or main offices);

(C) Any financial arrangements which have been made in connection with the proposed branch or relocation and which involve the applicant's directors, officers, major shareholders, or their interests, are fair and reasonable in comparison to similar arrangements that could have been made with independent third parties; and

(D) The requirements of the National Historic Preservation Act (16 U.S.C. 470), the National Environmental Policy Act (42 U.S.C. 4321), and the Community Reinvestment Act of 1977 (12 U.S.C. 2901 through 2905) and its applicable implementing regulation (12 CFR Part 345) have been considered and favorably resolved (except that this requisite does not apply to applications to establish foreign branches); Provided However, That a regional director or deputy regional director is not authorized to exercise delegated authority to approve applications for branches and relocations where an organization other than a competing institution has filed a protest under the Community Reinvestment Act.

(iv) The conditions which may be imposed by a delegate in approving applications for branches and relocations without affecting the authority granted under paragraph (a)(1)(i) of this section are:

(A) The applicant has obtained all necessary and final approvals from the appropriate state authority; and

(B) Until the conditional commitment of the FDIC becomes effective,

the FDIC retains the right to alter, suspend, or withdraw its commitment should any interim development be deemed to warrant such action.

(2) Applications for consent to exercise trust and other banking powers. (i) Authority is delegated to the Director, and where confirmed in writing by the Director, to an associate director, or to the appropriate regional director or deputy regional director, to approve applications for the FDIC's consent to exercise trust or other banking powers where the applicant satisfies the requisities listed in paragraph (a)(2)(iii) of this section and agrees in writing to comply with any other conditions required by the delegate.

(ii) Authority is delegated to the Director, and where confirmed in writing by the Director, to an associate director,

(A) To deny applications for trust or other banking powers, and

(B) To approve such applications where the applicant satisfies the requisites listed in paragraph (a)(2)(iii) of this section but does not agree in writing to comply with other conditions required by the delegate.

(iii) The requisites which must be satisfied before the authority delegated by paragraphs (a)(2)(i) and (a)(2)(ii)(B) of this section to approve applications for trust or other banking powers may be exercised are:

(A) The six factors set forth in section 6 of the Act (12 U.S.C. 1816) have been considered and favorably resolved;

(B) The proposed management of the trust or other banking business is determined capable of satisfactorily handling the anticipated business; and

(C) In regards to trust applications only, the applicant's board of directors has formally adopted Form 114"Statement of Principle of Trust Department Management."

(b) Merger transactions. (1) Except as provided in paragraph (b)(5) of this section and in § 303.10(b) of this part, authority is delegated to the Director, and where confirmed in writing by the Director, to an associate director, or the appropriate regional director or deputy regional director, to approve any application for permission merge or consolidate with any other

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