Congress Moves to Block New OCC Rule on Bank Merger Reviews

This Joint Resolution takes direct aim at a specific rule recently finalized by the Office of the Comptroller of the Currency (OCC), the agency overseeing national banks. Specifically, it disapproves the rule detailed in the Federal Register (89 Fed. Reg. 78207) concerning how the OCC reviews applications under the Bank Merger Act. If this resolution passes, the OCC's new rule would be nullified, essentially stopping it before it starts.

Hitting Pause on Merger Rules

Think of the OCC as one of the main referees for big bank deals. They recently wrote a new playbook (the rule) for how they decide if a proposed bank merger can go forward. This resolution basically tells the referee to stick to the old playbook. By using the Congressional Review Act (CRA), Congress can vote to overturn rules set by federal agencies like the OCC. If this disapproval resolution is enacted, the specific rule about reviewing Bank Merger Act applications is treated as if it never existed.

What Stays the Same (For Now)?

The immediate effect is maintaining the current process for reviewing bank mergers, whatever that looked like before this new rule was introduced. For banks planning or considering mergers, this means the goalposts haven't moved – the criteria and procedures the OCC was using previously remain in effect. It prevents the changes outlined in the now-disapproved rule from impacting how merger applications are evaluated. This action highlights the push-and-pull between Congress and regulatory bodies over how the financial industry, particularly bank consolidation, should be overseen.