Department Organization

Responsibility within the Texas Department of Banking is divided among six main divisions. View department Org chart.

Executive

The Executive Division is responsible for ensuring that Texas has a safe and sound financial services system. The Commissioner and Deputy Commissioners oversee the operations of the department as a state agency.

Banking Commissioner, Charles G. Cooper, is the Chief Executive Officer of the Texas Department of Banking. The duties of the Commissioner include supervision and regulation of state banks, trust companies, state-licensed foreign bank agencies, money services businesses, prepaid funeral benefits contract licensees, perpetual care cemeteries, and registration of private child support enforcement agencies. The Banking Commissioner serves at the pleasure of the agency’s oversight board, the Finance Commission of Texas.

Deputy Commissioners Robert (Bob) Bacon and Stephanie Newberg provide support to the Banking Commissioner in the administration and enforcement of laws for the Department’s regulated entities. Deputy Commissioner Robert (Bob) Bacon oversees the Bank and Trust Division, Corporate Activities Division, and the MIS Division. Deputy Commissioner Stephanie Newberg oversees the Special Audits Division which consists of money services businesses, prepaid funeral benefits contract licensees, perpetual care cemeteries, and private child support enforcement agencies. In addition, she oversees the Administrative Services Division, the Division of Strategic Support and the Legal Division.

Bank & Trust

The purpose of the Bank Examination Program is to ensure the safety of depositors', beneficiaries', and shareholders' money in the banking and trust system. This is done through examinations of the regulated entities to determine their condition and verify compliance with certain state laws. Supervision includes issuing policies and procedures for sound practices, maintaining contact with entity management and reviewing proposed activities.

The primary function of the Bank & Trust Division is to examine and supervise banks and trust companies chartered in the State of Texas. The Bank and Trust Division also examines and supervises Foreign Bank Agencies (FBAs), Foreign Bank Representative Offices and Information Systems (IS) providers. The condition of the banking system and individual entities is monitored through offsite analysis of quarterly call report data by field examiners and review examiners.

Regional Office Information

Corporate Activities

The Corporate Activities Division ensures that the entities entrusted with public deposits and assets meet minimum qualifying criteria in terms of financial and business capacity and good character. Application and notice requirements exist to ensure that changes in the regulated entity's activities or locations are prudent and do not cause undue safety and soundness concerns.

The Corporate Activities Division performs two key functions:

The review and processing of all application and notice filings by state-chartered, licensed, or registered banks, foreign banks, trust companies, bank holding companies, money services businesses; and private child support enforcement agencies that operate in Texas;
The receipt and review of all statutory filings (i.e., Articles of Association, Articles of Merger, Amendments to Articles of Association) for banks and trust companies.

Legal

The Legal Division provides legal support to the Department. Responsibilities of the legal staff include working with elected officials to draft proposed legislation, researching examination issues, drafting legal opinions, preparing testimony for the Commissioner, and keeping abreast of changes in federal statutes. The Division is made up of a team of experienced and accomplished attorneys, each of whom demonstrates a strong sense of commitment and dedication to public service.

Special Audits

The Special Audits Division is divided into three main functional areas:

Prepaid Funeral Contract Program
Perpetual Care Cemetery Program
Money Services Businesses Program

Each area is described below.

Prepaid Funeral Contract Program

The main function of the Prepaid Funeral Contract program is the licensing, regulation and examination of the trust- and insurance-funded prepaid funeral contract sellers to ensure compliance with the Finance and Administrative Codes. Examinations are performed to ensure that: timely deposit of collected funds are made; only authorized withdrawals allowed by the Finance and Administrative Codes are made; the seller issues all contracts on approved forms in accordance with prescribed guidelines; and, all recordkeeping and required documentation is maintained properly by the seller.

The program also pursues unlicensed sellers of prepaid funeral contracts and refers these to other enforcement officials for further action, including possible criminal prosecution.

Perpetual Care Cemetery Program

The main function of the Perpetual Care Cemetery program is the oversight of perpetual care cemetery funds to ensure compliance with the Texas Health and Safety Code. Examinations are performed to ensure that: the required amount of perpetual care is deposited in a timely manner; trust funds are prudently invested; cemetery property is properly dedicated, platted and filed with the county clerk's office; lawn crypts are properly constructed; mausoleums are constructed timely; and contracts contain required disclosures and signatures.

The program also pursues unlicensed operators of perpetual care cemeteries.

Money Services Businesses Program

The main function of the Money Services Businesses program is the identification, licensing, examination, and on-going regulation of currency exchangers, currency transporters, money transmitters (including on-line money transmitters), issuers of money orders, issuers of traveler’s checks, and issuers of stored value cards. Businesses that engage in these activities and conduct transactions with Texas residents (whether or not the business is located in Texas) must obtain a license from the Department. The program's purpose is to protect consumer funds and to support law enforcement efforts aimed at curbing money laundering and terrorist financing.

Check cashers are not regulated by the Department or any other state agency in Texas at the current time.

Strategic Support

The Division of Strategic Support provides critical support to divisions within the agency by ensuring that they have the resources they need and policies and procedures to help them perform their responsibilities.

The Division of Strategic Support is responsible for oversight of examiner training, consumer complaints, development of policies and procedures, maintenance of reference materials, publications, financial education, primary imaging responsibility for the Department and certain aspects of the Department's web site. In addition, the Director performs the ombudsman function, acting directly for the Commissioner. The existence of this division ensures separation between the examination and ombudsman functions.