Refer to the respective full Annual Report of prior years for more information on performance results for those years. Minor wording changes may have been made to reflect current goals and targets. (Shaded areas indicate no such target existed for that respective year.)
Annual Performance Goals and Targets |
2009 |
2008 |
2007 |
1. Respond promptly to all financial institution closings and emerging issues. |
|
Depositors have access to insured funds within one business day if the failure occurs on a Friday. |
Achieved. |
Achieved. |
Achieved. |
Depositors have access to insured funds within two business days if the failure occurs on any other day of the week. |
Achieved. |
Achieved. |
Achieved. |
Complete rulemaking/review
comments received in response to the
Advance Notice of Proposed Rulemaking on Large-Bank Deposit Insurance
Determination Modernization. |
|
Achieved. |
Achieved. |
There are no depositor losses on insured deposits. |
Achieved. |
Achieved. |
|
No appropriated funds are required to pay insured depositors. |
Achieved. |
Achieved. |
|
2. Identify and address risks to the Deposit Insurance Fund (DIF). |
|
Assess the insurance risks in
large (all for 2008-2009) insured depository
institutions and adopt appropriate strategies. |
Achieved. |
Achieved. |
Achieved. |
Identify and follow up on all
material issues raised through off-site review
and analysis. |
Achieved. |
Achieved. |
Achieved. |
Identify and analyze existing
and emerging areas of risk, including non-traditional
and subprime mortgage lending, declines in housing market
values, mortgage-related derivatives/collateralized debt obligations
(CDOs),
hedge fund ownership of insured institutions, commercial real estate
lending,
international risk, and other financial innovations. |
Achieved. |
Achieved. |
Achieved. |
Address potential risks from
cross-border banking instability through
coordinated review of critical issues and, where appropriate, negotiate
agreements with key authorities. |
|
Achieved. |
Achieved. |
3. Disseminate data and
analyses on issues and risks affecting the financial services industry
to bankers, supervisors, the public, and other stakeholders. |
|
Disseminate results of research
and analyses in a timely manner through regular
publications, ad hoc reports, and other means. |
Achieved. |
Achieved. |
Achieved. |
Industry outreach activities
are undertaken to inform bankers and other
stakeholders about current trends, concerns, and other available FDIC
resources. |
Achieved. |
Achieved. |
Achieved. |
4. Effectively administer
temporary financial stability programs. |
|
Provide liquidity to the
banking system by guaranteeing noninterest-bearing
transaction deposit account and new senior unsecured debt issued by
eligible
institutions under the TLGP. |
Achieved. |
|
|
Implement an orderly phase-out
of new guarantees under the program when
the period for issuance of new debt expires. |
Achieved. |
|
|
Substantially complete by
September 30, 2009, the review of and
recommendations to the Department of Treasury on CPP applications from
FDIC-supervised institutions. |
Achieved. |
|
|
Expeditiously implement
procedures for the LLP, including the guarantee to
be provided for debt issued by Public Private Investment Funds, and
provide
information to financial institutions and private investors potentially
interested
in participating. |
Achieved. |
|
|
Expeditiously implement procedures to review the use of CPP funds, TLGP guarantees, and other resources made available under financial stability programs during examinations of participating FDIC-supervised institutions. |
Achieved. |
|
|
5. Maintain and improve the
deposit insurance system. |
|
Adopt and implement revisions
to the pricing regulations that provide for
greater risk differentiation among insured depository institutions
reflecting both
the probability of default and loss in the event of default. |
Achieved. |
|
|
Revise the guidelines and
enhance the additional risk measures used to adjust
assessment rates for large institutions. |
Achieved. |
|
|
Implement the new deposit
insurance pricing system. |
|
|
Achieved. |
Review the effectiveness of the
new pricing regulations that were adopted to
implement the reform legislation. |
|
Achieved. |
|
Complete and issue guidance on
the pricing of deposit insurance for
large banks. |
|
|
Achieved. |
Enhance the additional risk
measures used to adjust assessment rates for
large institutions. |
|
Achieved. |
|
Publish an ANPR seeking comment
on a permanent dividend system. |
|
|
Achieved. |
Develop a final rule on a
permanent dividend system. |
|
Achieved. |
|
Ensure/enhance the
effectiveness of the reserving methodology by applying
sophisticated analytical techniques to review variances between
projected losses
and actual losses, and by adjusting the methodology accordingly. |
Achieved. |
Achieved. |
Achieved. |
Set assessment rates to
maintain the insurance fund reserve ratio between 1.15
and 1.50 percent of estimated insured deposits. Restore to 1.15 percent
by year-end
2015. |
Achieved. |
Not
Achieved. |
Achieved. |
Monitor progress in achieving the restoration plan. |
Achieved. |
|
|
6. Provide educational
information to insured depository institutions and their customers to
help them understand the rules for determining the amount of insurance
coverage on deposit accounts.
|
|
Publish a comprehensive and
authoritative resource guide for bankers,
attorneys, financial advisors and similar professionals on the FDIC’s
rules
and requirements for deposit insurance coverage of revocable and
irrevocable
trust accounts. |
|
|
Achieved. |
Conduct at least three sets of
Deposit Insurance Seminar/teleconferences (per
quarter in 2009) for bankers. |
Achieved. |
Achieved. |
|
Conduct a series of national
teleconferences for insured financial institutions
to address current questions and issues relating to FDIC insurance
coverage of
deposit accounts. |
|
|
Achieved. |
Conduct outreach events and
activities to support a deposit insurance education
program that features the FDIC 75th anniversary theme. |
|
Achieved. |
|
Assess the feasibility of (and
if feasible, define the requirements for) a
consolidated Electronic Deposit Insurance Estimator (EDIE) application
for
bankers and consumers (to be developed in 2009). |
|
Achieved. |
|
Respond to 90 percent of
inquiries from consumers and bankers about FDIC
deposit insurance coverage within time frames established by policy. |
|
Achieved. |
Achieved. |
Respond to 90 percent of
written inquiries from consumers and bankers about
FDIC deposit insurance coverage within two weeks. |
Achieved. |
|
|
Enter into deposit insurance
education partnerships with consumer
organizations to educate consumers. |
Achieved. |
|
|
Expand avenues for publicizing
deposits insurance rules and resources to
consumers through a variety of media. |
Achieved. |
|
|
7. Expand and strengthen the
FDIC’s participation and leadership role in providing technical
guidance, training, consulting
services, and information to international governmental banking and
deposit insurance organizations. |
|
Undertake outreach activities
to inform and train foreign bank regulators and
deposit insurers. |
Achieved. |
Achieved. |
Achieved. |
Foster strong relationships with international banking regulators and associations that promote sound banking supervision and regulations, failure resolution and deposit insurance practices. |
Achieved. |
Achieved. |
Achieved. |
Annual Performance Goals and Targets |
2009 |
2008 |
2007 |
1. Conduct on-site risk
management examinations to assess the overall financial condition,
management practices and policies, and compliance with applicable laws
and regulations of FDIC-supervised depository institutions. |
|
One hundred percent of required risk management examinations are conducted on schedule. |
Achieved. |
Achieved. |
Achieved. |
2. Take prompt and effective
supervisory action to address problems identified during the FDIC
examination of FDIC-supervised institutions that receive a composite
Uniform Financial Institutions Rating of “4” or “5” (problem
institution). Monitor FDIC-supervised insured depository institutions’
compliance with formal and informal enforcement actions. |
|
One hundred percent of
follow-up examinations are conducted within 12
months of completion of the prior examination. |
Achieved. |
Achieved. |
Achieved. |
3. Assist in protecting the
infrastructure of the U.S. banking system against terrorist financing,
money laundering and other financial crimes. |
|
One hundred percent of required
Bank Secrecy Act (BSA) examinations are
conducted on schedule. |
Achieved. |
Achieved. |
|
4. Increase regulatory
knowledge to keep abreast of current issues related to money laundering
and terrorist financing. |
|
An additional 10 percent of
BSA/AML subject-matter experts nationwide are
certified under the Association of Certified Anti-Money Laundering
Specialists
certification program. |
|
|
Achieved. |
5. More closely align
regulatory capital with risk in large or multinational banks while
maintaining capital at prudential levels. |
|
Develop options for refining
Basel II that are responsive to lessons learned from
the 2007-2008 market turmoil. |
|
Achieved. |
|
Further develop the Basel II
framework to ensure that it does not result
in a substantial reduction in risk-based capital requirements or
significant
competitive inequities among different classes of banks. Consider
alternative
approaches for implementing the Basel Capital Accord. |
|
|
Achieved. |
Conduct analyses of early
results of the performance of new capital rules in
light of recent financial turmoil as information becomes available. |
Achieved. |
Achieved. |
|
Working domestically and
internationally, develop improvements to
regulatory capital requirements based on the experience of the recent
financial
market turmoil. |
Achieved. |
|
|
Promote international
cooperation on the adoption of supplemental capital
measures in countries that will be operating under Basel II. |
|
|
Achieved. |
Participate in the continuing
analysis of the projected results of the new
capital regime. |
|
|
Achieved. |
6. More closely align
regulatory capital with risk in banks not subject to Basel II capital
rules while maintaining capital at prudential levels. |
|
Finalize a regulatory capital
framework based on the Basel II “Standardized
Approach” as an option for U.S. banks not required to use the new
advanced
approaches. |
|
Achieved. |
|
Complete rulemaking on Basel IA. |
|
|
Not Applicable. |
7. Ensure that FDIC-supervised
institutions that plan to operate under the new Basel II Capital Accord
are well positioned to respond to the new capital requirements. |
|
Performed on-site examinations
or off-site analyses of all FDIC-supervised
banks that have indicated a possible intention to operate under Basel
II to ensure that they are effectively working toward meeting required
qualification standards. |
|
Not Applicable. |
Achieved. |
8. Reduce regulatory burden on
the banking industry while maintaining appropriate consumer protection
and safety and soundness safeguards. |
|
Complete and evaluate options
for refining the current risk-focused approach
used in the conduct of BSA/AML examinations to reduce the burden
theyimpose on FDIC-supervised institutions. |
|
Achieved. |
|
Applicable provisions of the
Financial Services Regulatory Relief Act of 2006
(FSRRA) are implemented in accordance with statutory requirements. |
|
|
Partially
Achieved. |
Support is provided to the
Government Accountability Office (GAO), as
requested, for studies required under FSRRA. |
|
|
Achieved. |
State AML assessments of Money
Service Businesses (MSB) are incorporated
into FDIC risk management examinations in states where MSB AML
regulatory programs are consistent with FDIC risk management standards. |
|
|
Partially Achieved. |
1. Conduct CRA and compliance
examinations in accordance with the FDIC’s examination frequency policy. |
|
One hundred percent of required
examinations are conducted on schedule. |
Achieved. |
Achieved. |
Achieved. |
2. Take prompt and effective
supervisory action to monitor and address problems identified during
compliance
examinations of FDIC-supervised institutions that received a “4” or “5”
rating for compliance with consumer
protection and fair lending laws. |
|
One hundred percent of
follow-up examinations or visitations are conducted
within 12 months from the date of a formal enforcement action to
confirm
compliance with the prescribed enforcement action. |
Not
Achieved. |
Achieved. |
Achieved. |
3. Determine the need for
changes in current FDIC practices for following up on significant
violations of consumer compliance laws and regulations identified
during examinations of banks for compliance with consumer protection
and fair lending laws. |
|
Complete a review of the
effectiveness of the 2007 instructions issued on
the handling of repeat instances of significant violations identified
during
compliance examinations. |
|
Achieved. |
|
An analysis is completed for
all institutions on the prevalence and scope
of repeat instances of significant violations from the previous
compliance
examination. |
|
|
Achieved. |
A determination is made
regarding the need for changes to current FDIC and
FFIEC guidance on follow-up supervisory action on significant
violations
identified during compliance examinations based on the substance and
level of
risk posed to consumers by these repeat violations. |
|
|
Achieved. |
4. Scrutinize evolving consumer
products, analyze their current or potential impact on consumers and
identify potentially harmful or illegal practices. Promptly institute a
supervisory response program across FDIC-supervised institutions when
such practices are identified. |
|
Proactively identify and
respond to harmful or illegal practices associated with
evolving consumer products. |
Achieved. |
Achieved. |
|
Develop and implement new
supervisory response programs across all FDIC-supervised institutions
to address potential risks posed by new consumer products. |
|
Achieved. |
|
5. Provide effective outreach
related to the CRA, fair lending, and community development. |
|
Conduct 50 in 2009 (125 in
prior years) technical assistance (examination
support) efforts or banker/community outreach activities related to
CRA, fair
lending, and community development. |
Achieved. |
Achieved. |
Achieved. |
Evaluate the Money Smart initiative and curricula for necessary updates and
enhancements, such as games for young people, information on elder
financial
abuse, and additional language versions, if needed. |
Achieved. |
|
|
Initiate the longitudinal
survey project to measure the effectiveness of the
Money Smart for Young Adults curriculum. |
Achieved. |
|
|
Release a “Young Adult” version
of the Money Smart curriculum. |
|
Achieved. |
|
Distribute at least 10,000
copies of the “Young Adult” version of Money Smart. |
|
Achieved. |
|
Analysis of survey results is
disseminated within six months of completion of
the survey through regular publications, ad hoc reports, and other
means. |
|
Achieved. |
|
Provide technical assistance,
support, and consumer outreach activities in all
six FDIC regions to at least eight local NeighborWorks® America
affiliates or
local coalitions that are providing foreclosure mitigation counseling
in high
need areas. |
Achieved. |
Achieved. |
|
200,000 additional individuals
are taught using the Money Smart curriculum. |
|
|
Achieved. |
120 school systems and
government entities are contacted to make them aware
of the availability of Money Smart as a tool to teach financial
education to high
school students. |
|
|
Achieved. |
A review of existing risk
management and compliance/CRA examination
guidelines and practices is completed to ensure that they encourage and
support
the efforts of insured financial institutions to foster economic
inclusion,
consistent with safe and sound banking practices. |
|
|
Achieved. |
A pilot project is conducted
with banks near military installations to provide
small-dollar loan alternatives to high-cost payday lending. |
|
|
Not Achieved. |
Strategies are developed and
implemented to encourage FDIC-supervised
institutions to offer small-denomination loan programs. |
|
|
Achieved. |
Research is conducted and
findings disseminated on programs and strategies
to encourage and promote broader economic inclusion within the nation’s
banking system. |
|
|
Achieved. |
6. Continue to expand the
FDIC’s national leadership role in development and implementation of
programs and strategies to encourage and promote broader economic
inclusion within the nation’s banking system. |
|
Expand the number of AEI
coalitions by two. |
Achieved. |
|
|
Analyze quarterly data
submitted by participating institutions to identify early
trends and potential best practices. |
Achieved. |
Achieved. |
|
Open 27,000 new bank accounts. |
|
Achieved. |
|
Initiate new small-dollar loan
products in 32 financial institutions. |
|
Achieved. |
|
Initiate remittance products in
32 financial institutions. |
|
Achieved. |
|
Reach 18,000 consumers through
financial education initiatives. |
|
Achieved. |
|
7. Educate consumers about
their rights and responsibilities under consumer protection laws and
regulations. |
|
Expand the use of media, such
as the Internet, videos, and MP3 downloads, to
disseminate information to the public on their rights and
responsibilities
as consumers. |
Achieved. |
|
|
8. Effectively investigate and
respond to consumer complaints about FDIC-supervised financial
institutions. |
|
Responses are provided to 95
percent (90 percent for 2007-08) of written
complaints and inquiries within time frames established by policy, with
all
complaints and inquiries receiving at least an initial acknowledgment
within
two weeks. |
Achieved. |
Achieved. |
Achieved. |
Annual Performance Goals and Targets |
2009 |
2008 |
2007 |
1. Market failing institutions
to all known qualified and interested potential bidders. |
|
Contact all known qualified
and interested bidders. |
Achieved. |
Achieved. |
Achieved. |
2. Value, manage, and market
assets of failed institutions and their subsidiaries in a timely manner
to maximize net return. |
|
Ninety percent of the book
value of a failed institution’s marketable assets is
marketed within 90 days of failure. |
Achieved. |
Achieved. |
Achieved. |
Identify and implement
program improvements to ensure efficient and
effective management of the contract resources used to perform
receivership
management functions. |
Achieved. |
|
|
3. Manage the receivership
estate and its subsidiaries toward an orderly termination. |
|
Terminate all receiverships
within 90 days of the resolution of all impediments. |
|
Achieved. |
Achieved. |
Terminate at least 75
percent of new receiverships within three years of the date
of failure. |
Achieved. |
|
|
4. Conduct investigations into
all potential professional liability claim areas for all failed insured
depository institutions and decide as promptly as possible to close or
pursue each claim, considering the size and complexity of the
institution. |
|
For 80 percent of all claim
areas, a decision is made to close or pursue claims
within 18 months of the failure date. |
Achieved. |
Achieved. |
Not Applicable. No claims within the 18-month period. |