HR6546-119

What This Bill Does

This bill, called the "Merger Process Review Act," requires federal banking regulators to undergo regular audits of how they handle bank merger applications. Every three years, the Inspectors General of the Federal Reserve, FDIC, OCC, and NCUA must review whether these agencies are processing merger applications in a timely and efficient manner, then report findings and recommendations to Congress.

Who Benefits and How

• Banks and credit unions seeking to merge or acquire other institutions benefit most. They would see faster, more predictable processing of their merger applications as agencies are pressured to reduce delays and improve efficiency.
• Consumers could potentially benefit if faster mergers lead to improved banking services or competition, though this is an indirect effect.
• Congress gains better oversight information about how regulators handle sensitive merger decisions.

Who Bears the Burden and How

• Federal banking regulators (Federal Reserve, OCC, FDIC, and NCUA) face increased compliance and reporting burdens. Their Inspectors General must conduct detailed reviews every three years, evaluating processing times and identifying sources of delay.
• Each agency must respond to Congress with a written plan to implement the Inspector General's recommendations, creating additional accountability and administrative work.

Key Provisions

• Mandates triennial reviews by Inspectors General of four federal banking regulators
• Requires evaluation of quantifiable metrics including mean and median application processing times
• Inspectors General must identify specific sources of delay in merger application processing
• Reports with findings and recommendations must be submitted to Congress
• Regulators must respond to Congress with implementation plans for the recommendations