Section 1394 Of Article 3. California State Bank As Agent From California Financial Code >> Division 1.1. >> Chapter 11. >> Article 3.

. In determining whether to approve or deny an application by a California state bank for approval to engage in authorized agency activities as agent for an insured depository institution, the commissioner shall consider both of the following factors:
  (a) Whether the proposed agency arrangement is consistent with the safe and sound operation of the California state bank.
  (b) Any other factors that the commissioner deems relevant.