The Mutual Community Bank Competitive Equality Act (Act), H.R. 4217, would authorize the Comptroller of the Currency to charter mutual national banks, authorize mutual institutions to raise capital by issuing investment certificates, and permit a mutual holding company with public stockholders to waive dividends in order to compensate minority shareholders if an independent board or committee approves the dividend waiver.

The ICBA Mutual Bank Council would like to get your feedback on these and other provisions of the Act. Please take a moment to respond to the following questions by May 18, 2012.

Mutual National Banks

1. The Act would authorize the OCC to charter mutual national banks either de novo or through a conversion from another mutual depository institution. Would your bank consider changing its charter to a mutual national bank if the OCC had the authority to issue such a charter?

2. Proponents of this provision argue that there would be more “charter choice” if the OCC could issue a mutual national charter and that this would help those mutual institutions that have state charters preserve the benefits they currently have under state law. Do you agree?

3. Do you support the provision to authorize OCC to charter mutual national banks?