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Highlights: 

• The rule changes will be implemented with the March 2005 invoice.
• Institutions will obtain quarterly certified statement invoices (and assessment risk classification notices) electronically through �౦��Ϸ���� connect .
• The �౦��Ϸ���� will remind institutions via email to download the quarterly certified statement invoices every quarter.
• There are no changes to the current payment process; however, institutions will no longer return correct quarterly certified statement invoices to the �౦��Ϸ����.
• Institutions that have already signed up for �౦��Ϸ���� connect and have an active designated coordinator should make sure that access to the "deposit insurance assessment statements" transaction has been activated.
• Institutions that do not have a �౦��Ϸ���� connect designated coordinator should sign up by January 31, 2005 (registration procedures and forms are attached).
• This FIL supersedes FIL-74-2004, dated June 25, 2004.

Continuation of FIL-125-2004 

Distribution: 
All Insured Banks and Savings Associations 

Suggested Routing: 
Chief Executive Officer 
Chief Financial Officer 

Note: 
For your reference, �౦��Ϸ���� Financial Institution Letters (FILs) may be accessed from the �౦��Ϸ����'s Web site at www.fdic.gov/news/financial-institution-letters/2004/index.html . 

To learn how to receive FILs electronically, please visit http://www.fdic.gov/about/subscriptions/fil.html . 

Paper copies of �౦��Ϸ���� financial institution letters may be obtained through the �౦��Ϸ����'s Public Information Center, 801 17th Street, NW, Room 100, Washington, DC 20434 (1-877-275-3342 or (703) 562-2200).

Deposit Insurance Assessments 
Changes to Certified Statement Process 

The �౦��Ϸ���� Board of Directors has approved changes to the assessment certified statement rule (12 CFR § 327.2) that modernize and simplify the regulations. Under the amended rule, insured institutions are required to obtain assessment invoices online through �౦��Ϸ���� connect . In addition, correct certified statements will not be signed and returned to the �౦��Ϸ����.

The Board of Directors of the Federal Deposit Insurance Corporation (�౦��Ϸ����) has approved the attached amendments to the certified statement rule (12 CFR § 327). The amendments modernize and simplify the deposit insurance assessment regulations governing certified statements. These changes are effective as of March 1, 2005, and will be implemented with the assessment payment due on March 30, 2005.

Under the amended rule, insured institutions will be required to obtain their certified statements on the Internet via the �౦��Ϸ����’s transaction-based e-business Web site, �౦��Ϸ���� connect . The semiannual certified statement process will be synchronized with the quarterly invoice process; two quarterly certified statement invoices are components of the semiannual assessment certification. Correct certified statements will no longer be signed and returned to the �౦��Ϸ����.

Each quarter, the �౦��Ϸ���� will inform institutions via e-mail that quarterly assessment invoices are available for downloading. (Institutions should make certain that the �౦��Ϸ���� email notification can be received through spam filters by setting them to accept all emails from fdic.gov.)

Each institution will then retrieve and download its quarterly certified statement invoice electronically from �౦��Ϸ���� connect . If an institution agrees with its quarterly certified statement invoice, it will simply pay the assessment amount (as it currently does) and retain the invoice in its own files. If it disagrees with the quarterly certified statement invoice, it will pay the assessment amount and either amend its Report of Condition or similar report (to correct data errors) or amend its quarterly certified statement invoice (to correct calculation errors) and return it to the �౦��Ϸ����. The �౦��Ϸ���� will automatically treat either as the insured institution’s request for revision of its assessment computation, eliminating the requirement of a separate filing.

Institutions that have already signed up for �౦��Ϸ���� connect and have an active designated coordinator should make sure that the “deposit insurance assessment statements” transaction has been assigned to the person responsible for downloading the quarterly certified statement invoices (the designated coordinator can assign that transaction to himself or herself). Institutions that are not signed up for �౦��Ϸ���� connect should do so no later than January 31, 2005. The �౦��Ϸ���� urges institutions to validate their access to the “deposit insurance assessments statements” transaction by downloading an invoice after access has been established.

Registration procedures and forms are attached to facilitate the registration process. Please note that institutions that have already submitted their �౦��Ϸ���� connect registration forms do not need to do so again. Institutions that do not have Internet access may request that the �౦��Ϸ���� continue mailing their invoices for another year by writing to William V. Farrell, Chief, Assessment Section, 801 17th St. NW, Washington, D.C. 20434, by January 31, 2005.

It is anticipated that these changes will reduce the time and effort required to comply with the certified statement process, consistent with the �౦��Ϸ����’s ongoing program under the Economic Growth and Regulatory Paperwork Reduction Act (EGRPRA) to provide regulatory burden relief to insured depository institutions.

For more information, please contact Steve Wagoner, Senior Assessment Policy Specialist, Division of Finance, at 202-416-7152; or Christopher Bellotto, Counsel, Legal Division, at 202-898-3801. For technical questions, please contact the �౦��Ϸ���� connect toll-free hotline at 1-877-275-3342 (choose Option 5 from the Bankers’ Menu).