Title of Regulation: 10VAC5-120. Security Required of Money Order Sellers and Money Transmitters (adding 10VAC5-120-50).

Statutory Authority: §§ 6.1-378.1 and 12.1-13 of the Code of Virginia.

Public Hearing Information: A public hearing will be scheduled upon request.

Public Comment Deadline: June 18, 2010.

Agency Contact: Gerald Fallen, Deputy Commissioner, Bureau of Financial Institutions, State Corporation Commission, P.O. Box 640, Richmond, VA 23218, telephone (804) 371-9699, FAX (804) 371-9416, or email gerald.fallen@scc.virginia.gov.

Summary:

The State Corporation Commission is proposing a regulation that establishes the schedule for the annual assessment to be paid by money order sellers and money transmitters licensed under Chapter 12 (§ 6.1-370 et seq.) of Title 6.1 of the Code of Virginia. The assessment will defray the costs of examining and supervising licensees by the Bureau of Financial Institutions.

AT RICHMOND, MAY 17, 2010

COMMONWEALTH OF VIRGINIA, ex rel.

STATE CORPORATION COMMISSION

CASE NO. BFI-2010-00144

Ex Parte: In re: annual assessment
of licensed money order sellers and
money transmitters

ORDER TO TAKE NOTICE

In order to defray the costs of examining and supervising money order sellers and money transmitters licensed under Chapter 12 of Title 6.1 of the Code of Virginia ("licensees"), § 6.1-373 B of the Code of Virginia requires licensees to pay an annual assessment calculated in accordance with a schedule set by the State Corporation Commission ("Commission"). The schedule is required to bear a reasonable relationship to the dollar volume of money orders sold and money transmission business conducted by licensees, either directly or through their authorized delegates, the costs of their examinations, and to other factors relating to their supervision and regulation.

NOW THE COMMISSION, based on information supplied by the Staff of the Bureau of Financial Institutions ("Bureau"), proposes to adopt a regulation setting an assessment schedule that will promote the efficient and effective examination and supervision of licensees. Based on annual reports filed with the Bureau by licensees for the calendar year ending 2009, the schedule set forth in the proposed regulation is projected to generate a total annual assessment of $471,176.

Accordingly, IT IS ORDERED THAT:

(1) The proposed regulation, entitled "Assessment Schedule for the Examination and Supervision of Money Order Sellers and Money Transmitters," is appended hereto and made a part of the record herein.

(2) Comments or requests for a hearing on the proposed regulation must be submitted in writing to Joel H. Peck, Clerk, State Corporation Commission, c/o Document Control Center, P.O. Box 2118, Richmond, Virginia 23218, on or before June 18, 2010. Requests for a hearing shall state why a hearing is necessary and why the issues cannot be adequately addressed in written comments. All correspondence shall contain a reference to Case No. BFI-2010-00144. Interested persons desiring to submit comments or request a hearing electronically may do so by following the instructions available at the Commission's website: http://www.scc.virginia.gov/case.

(3) This Order and the proposed regulation shall be posted on the Commission's website at http://www.scc.virginia.gov/case.

(4) The Commission's Division of Information Resources shall send a copy of this Order, including a copy of the proposed regulation, to the Virginia Registrar of Regulations for publication in the Virginia Register of Regulations.

AN ATTESTED COPY hereof shall be sent to the Commissioner of Financial Institutions, who shall forthwith mail a copy of this Order, including a copy of the proposed regulation, to all licensed money order sellers and money transmitters and such other interested parties as he may designate.

CHAPTER 120
SECURITY REQUIRED OF MONEY ORDER SELLERS AND MONEY TRANSMITTERS

10VAC5-120-50. Assessment schedule for the examination and supervision of money order sellers and money transmitters.

Pursuant to subsection B of § 6.1-373 of the Code of Virginia, the commission sets the following schedule for the annual assessment to be paid by persons licensed under Chapter 12 (§ 6.1-370 et seq.) of Title 6.1 of the Code of Virginia. The assessment defrays the costs of the examination and supervision of licensees by the Bureau of Financial Institutions.

The annual assessment shall be $0.000047 per dollar of money orders sold and money transmitted by a licensee pursuant to Chapter 12 (§ 6.1-370 et seq.) of Title 6.1 of the Code of Virginia. The assessment shall be based on the dollar volume of business conducted by a licensee, either directly or through its authorized delegates, during the calendar year preceding the year of the assessment.

The amount calculated using the above schedule shall be rounded down to the nearest whole dollar.

Fees shall be assessed on or before August 1 for the current calendar year. The assessment shall be paid by licensees on or before September 1.

The annual report, due April 15 each year, of each licensee provides the basis for its assessment. In cases where a license has been granted between January 1 and April 15 of the year of the assessment, the licensee's initial annual assessment shall be $0.

Fees prescribed and assessed pursuant to this schedule are apart from, and do not include, the following: (i) the annual license renewal fee of $750 authorized by subsection A of § 6.1-373 of the Code of Virginia and (ii) the reimbursement for expenses authorized by subsection C of § 6.1-373 of the Code of Virginia.