Overview
Title
Providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Office of the Comptroller of the Currency of the Department of the Treasury relating to the review of applications under the Bank Merger Act.
ELI5 AI
S. J. RES. 13 is like when someone says that a new rule about how banks can join together isn't good, so they want to cancel it and say it doesn't count anymore.
Summary AI
S. J. RES. 13 aims to overturn a rule issued by the Office of the Comptroller of the Currency related to the Bank Merger Act. This joint resolution, introduced by Senator Kennedy with the support of Senators Hagerty and Tillis, seeks to nullify the rule concerning business combinations under the Bank Merger Act, which was published in the Federal Register on September 25, 2024. If approved, this resolution would mean that the rule would have no legal effect.
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AnalysisAI
Summary of the Bill
The bill in question is a joint resolution introduced in the Senate, termed S. J. RES. 13. It serves to express Congress's disapproval of a particular rule set by the Office of the Comptroller of the Currency (OCC) within the Department of the Treasury. This rule pertains to reviews conducted under the Bank Merger Act, which regulates how banks merge or consolidate. The resolution, if passed, will nullify the rule, meaning it would be considered as though it never had any legal effect.
Significant Issues
There are notable problems associated with this joint resolution. Firstly, it lacks a detailed explanation or reasoning for why the rule is being disapproved, which can leave the public and stakeholders wondering about the underlying motivations and implications. Additionally, the citation of the rule from a future date in the Federal Register, specifically September 25, 2024, is peculiar. Such dating can lead to confusion regarding when the rule was or would be in effect, complicating its repudiation. Furthermore, legal phrasing, such as "such rule shall have no force or effect," might be difficult for those outside of legal professions to understand, requiring further explanation for the general public to grasp its impact fully.
Broad Public Impact
For the general public, this resolution might seem technical or obscure, especially without detailed explanations of how it affects them. However, the broader concern is that changes in how bank mergers are evaluated could potentially impact competition, consumer choices, and possibly banking fees. By nullifying the rule, it suggests Congress believes the existing rule might not be in the best interest of maintaining fair competition or protecting consumers, although explicit reasoning is absent from the resolution.
Impact on Stakeholders
For certain stakeholders, such as banks and financial institutions considering mergers, this resolution could have significant impacts. If the rule is nullified, banks may face uncertainty about regulatory guidelines governing mergers, leading to potential disruptions in their strategic planning. On the other hand, opponents of bank consolidation may view the disapproval as a positive move, potentially stymieing mergers that could reduce competition.
Moreover, regulatory bodies such as the OCC might find this disapproval hampers their ability to enforce consistent standards on mergers, affecting their operational mandates. Consumers, though indirectly impacted, may benefit if the disapproval leads to stricter scrutiny of mergers, preserving competition and curbing the negative aspects of reduced banking options or services.
In essence, while the resolution seems to convey a preference for reevaluated or stricter merger rules, it lacks clarity and specificity, bridging legal intricacies with tangible outcomes that the everyday citizen or smaller stakeholders can relate to.
Issues
The lack of specified reasons for disapproval of the rule could obscure the legislative intent and hinder public understanding of the motivations and implications behind this joint resolution, as highlighted in the SECTIONS.
The future-dated citation of the Federal Register (September 25, 2024) within the TEXT is unusual and may lead to confusion regarding the timing and applicability of the rule being disapproved, as noted in the SECTIONS.
The phrase 'such rule shall have no force or effect' used in the TEXT may be difficult for a wider audience to understand without additional context, possibly complicating public interpretation of how this resolution impacts existing or future bank mergers, as pointed out in the SECTIONS.
The resolution does not clarify the implications of the nullification on potential ongoing or future reviews under the Bank Merger Act, leaving stakeholders uncertain about legal and operational outcomes as noted in the SECTIONS.
Sections
Sections are presented as they are annotated in the original legislative text. Any missing headers, numbers, or non-consecutive order is due to the original text.
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Summary AI
Congress disagrees with the rule made by the Office of the Comptroller of the Currency about "Business Combinations Under the Bank Merger Act" and has decided that this rule should not be in effect.