[Federal Register Volume 79, Number 114 (Friday, June 13, 2014)]
[Proposed Rules]
[Pages 34198-34203]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2014-13141]



[[Page 34197]]

Vol. 79

Friday,

No. 114

June 13, 2014

Part XXV





Federal Reserve System





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Semiannual Regulatory Agenda

  Federal Register / Vol. 79 , No. 114 / Friday, June 13, 2014 / 
Unified Agenda  

[[Page 34198]]


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FEDERAL RESERVE SYSTEM

12 CFR Ch. II


Semiannual Regulatory Flexibility Agenda

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Semiannual regulatory agenda.

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SUMMARY: The Board is issuing this agenda under the Regulatory 
Flexibility Act and the Board's Statement of Policy Regarding Expanded 
Rulemaking Procedures. The Board anticipates having under consideration 
regulatory matters as indicated below during the period May 1, 2014 
through October 31, 2014. The next agenda will be published in fall 
2014.

DATES: Comments about the form or content of the agenda may be 
submitted any time during the next 6 months.

ADDRESSES: Comments should be addressed to Robert deV. Frierson, 
Secretary of the Board, Board of Governors of the Federal Reserve 
System, Washington, DC 20551.

FOR FURTHER INFORMATION CONTACT: A staff contact for each item is 
indicated with the regulatory description below.

SUPPLEMENTARY INFORMATION: The Board is publishing its spring 2014 
agenda as part of the Spring 2014 Unified Agenda of Federal Regulatory 
and Deregulatory Actions, which is coordinated by the Office of 
Management and Budget under Executive Order 12866. The agenda also 
identifies rules the Board has selected for review under section 610(c) 
of the Regulatory Flexibility Act, and public comment is invited on 
those entries. The complete Unified Agenda will be available to the 
public at the following Web site: www.reginfo.gov. Participation by the 
Board in the Unified Agenda is on a voluntary basis.
    The Board's agenda is divided into four sections. The first, 
Prerule Stage, reports on matters the Board is considering for future 
rulemaking. The second section, Proposed Rule Stage, reports on matters 
the Board may consider for public comment during the next 6 months. The 
third section, Final Rule Stage, reports on matters that have been 
proposed and are under Board consideration. And a fourth section, 
Completed Actions, reports on regulatory matters the Board has 
completed or is not expected to consider further.
    A dot () preceding an entry indicates a new matter that was 
not a part of the Board's previous agenda and which the Board has not 
completed.

 Margaret McCloskey Shanks,
Deputy Secretary of the Board.

               Federal Reserve System--Proposed Rule Stage
------------------------------------------------------------------------
                                                           Regulation
       Sequence No.                    Title             Identifier No.
------------------------------------------------------------------------
391.......................  Regulations H and Q--              7100-AD99
                             Regulatory Capitol Rules
                             (Docket No: R-1460).
392.......................  Regulation P--Privacy of           7100-AE13
                             Consumer Information
                             (Docket No: R-1483).
393.......................  Regulation V--Fair Credit          7100-AE14
                             Reporting (Docket No: R-
                             1484).
394.......................  Regulation CC--                    7100-AD68
                             Availability of Funds and
                             Collection of Checks
                             (Docket No: R-1409).
395.......................  Regulation HH--Financial           7100-AE09
                             Market Utilities (Docket
                             No: R-1477).
396.......................  Regulation WW--Liquidity           7100-AE03
                             Coverage Ratio: Liquidity
                             Risk Measurement,
                             Standards, and Monitoring
                             (Docket No: R-1466).
------------------------------------------------------------------------


                Federal Reserve System--Final Rule Stage
------------------------------------------------------------------------
                                                           Regulation
       Sequence No.                    Title             Identifier No.
------------------------------------------------------------------------
397.......................  Regulation KK--Margin and          7100-AD74
                             Capital Requirements for
                             Covered Swap Entities
                             (Docket No: R-1415).
398.......................  Regulation LL--Savings and         7100-AD80
                             Loan Holding Companies
                             and Regulation MM--Mutual
                             Holding Companies (Docket
                             No: R-1429).
------------------------------------------------------------------------


FEDERAL RESERVE SYSTEM (FRS)

Proposed Rule Stage

391. Regulations H and Q--Regulatory Capitol Rules (Docket No: R-1460)

    Legal Authority: 12 U.S.C. 1344(b); 12 U.S.C. 329; 12 U.S.C. 3907; 
12 U.S.C. 3909; . . .
    Abstract: The Office of the Comptroller of the Currency (OCC), the 
Board of Governors of the Federal Reserve System (Board), and the 
Federal Deposit Insurance Corporation (FDIC) (collectively, the 
Agencies) are seeking comment on a proposal that would strengthen the 
agencies' leverage ratio standards for large, interconnected U.S. 
banking organizations. The proposal would apply to any U.S. top-tier 
bank holding company (BHC) with at least $700 billion in total 
consolidated assets or at least $10 trillion in assets under custody 
(covered BHC) and any insured depository institution (IDI) subsidiary 
of these BHCs. In the revised capital approaches adopted by the 
agencies in July, 2013 (2013 revised capital approaches), the agencies 
established a minimum supplementary leverage ratio of 3 percent 
(supplementary leverage ratio), consistent with the minimum leverage 
ratio adopted by the Basel Committee on Banking Supervision (BCBS), for 
banking organizations subject to the advanced approaches risk-based 
capital rules. In this notice of proposed rulemaking (proposal or 
proposed rule), the agencies are proposing to establish a ``well 
capitalized'' threshold of 6 percent for the supplementary leverage 
ratio for any IDI that is a subsidiary of a covered BHC, under the 
agencies' prompt corrective action (PCA) framework. The Board also 
proposes to establish a new leverage buffer for covered BHCs above the 
minimum supplementary leverage ratio requirement of 3 percent (leverage 
buffer). The leverage buffer would function like the capital 
conservation buffer for the risk-based capital ratios in the 2013 
revised capital approaches. A covered BHC that maintains a leverage 
buffer of tier 1 capital in an amount great than 2 percent of its total 
leverage exposure would not be subject to limitations on distributions 
and discretionary bonus payments. The proposal would take effect 
beginning on January 1, 2018. The agencies seek comment on all aspects 
of this proposal.
    Timetable:

[[Page 34199]]



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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comment.............   08/20/13  78 FR 51101
Board Expects Further Action........   06/00/14  .......................
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Benjamin McDonough, Senior Counsel, Federal Reserve 
System, Legal Division, Phone: 202 452-2036.
    April C. Snyder, Senior Counsel, Federal Reserve System, Legal 
Division, Phone: 202 452-3099.
    RIN: 7100-AD99

392.  Regulation P--Privacy of Consumer Information (Docket No: 
R-1483)

    Legal Authority: 12 U.S.C. 5581(b)
    Abstract: The Board of Governors of the Federal Reserve System 
(Board) is proposing to repeal its Regulation P, 12 CFR part 216, which 
was issued to implement section 504 of the Gramm-Leach-Bliley Act (GLB 
Act). Title X of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (Dodd-Frank Act) transferred rulemaking authority for a 
number of consumer financial protection laws from the Board, and six 
other Federal agencies, to the Bureau of Consumer Financial Protection 
(Bureau), including rulemaking authority for the provisions in Subtitle 
A of Title V of the GLB Act that were implemented in the Board's 
Regulation P. In December 2011, the Bureau published an interim final 
rule establishing its own Regulation P to implement these provisions of 
the GLB Act (Bureau Interim Final Rule). The Bureau's Regulation P 
covers those entities previously subject to the Board's Regulation P.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comments............   02/14/14  79 FR 8904
Board Expects Further Action........   11/00/14
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Kara Handzlik, Counsel, Federal Reserve System, 
Legal Division, Phone: 202 452-3139.
    Vivian W. Wong, Counsel, Federal Reserve System, Phone: 202 452-
3667.
    RIN: 7100-AE13

393.  Regulation V--Fair Credit Reporting (Docket No: R-1484)

    Legal Authority: 12 U.S.C. 1681(m)
    Abstract: The Board of Governors of the Federal Reserve System is 
proposing to amend its Identity Theft Red Flags rule, which implements 
section 615(e) of the Fair Credit Reporting Act (FCRA). The Red Flag 
Program Clarification Act of 2010 (Clarification Act) added a 
definition of ``creditor'' in FCRA section 615(e) that is specific to 
section 615(e). Accordingly, the proposed rule would amend the 
definition of ``creditor'' in the Identity Theft Red Flags rule to 
reflect the definition of that term as added by the statute. The 
proposed rule would also update a cross-reference in the Identity Theft 
Red Flags rule to reflect a statutory change in rulemaking authority.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comments............   02/20/14  79 FR 9645
Board Expects Further Action........   11/00/14
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Kara Handzlik, Counsel, Federal Reserve System, 
Legal Division, Phone: 202 452-3139.
    Vivian Wong, Attorney, Federal Reserve System, Division of Consumer 
and Community Affairs, Phone: 202 452-3667.
    RIN: 7100-AE14

394. Regulation CC--Availability of Funds and Collection of CHecks 
(Docket No: R-1409)

    Legal Authority: 12 U.S.C. 4001 to 4010; 12 U.S.C. 5001 to 5018
    Abstract: The Federal Reserve Board (the Board) proposed amendments 
to Regulation CC to facilitate the banking industry's ongoing 
transition to fully electronic interbank check collection and return, 
including proposed amendments to condition a depositary bank's right of 
expeditious return on the depositary bank agreeing to accept returned 
checks electronically either directly or indirectly from the paying 
bank. The Board also proposed amendments to the funds availability 
schedule provisions to reflect the fact that there are no longer any 
nonlocal checks. The Board proposed to revise the model forms in 
appendix C that banks may use in disclosing their funds availability 
policies to their customers and to update the preemption determinations 
in appendix F. Finally, the Board requested comment on whether it 
should consider future changes to the regulation to improve the check 
collection system, such as decreasing the time afforded to a paying 
bank to decide whether to pay a check in order to reduce the risk to a 
depositary bank of needing to make funds available for withdrawal 
before learning whether a deposited check has been returned unpaid.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comment.............   03/25/11  76 FR 16862
Board Requested Comment on Revised     02/04/14  79 FR 6673
 Proposal.
Board Expects Further Action........   12/00/14
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    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Clinton Chen, Attorney, Federal Reserve System, 
Legal Division, Phone: 202 452-3952.
    RIN: 7100-AD68

395.  Regulation HH--Financial Market Utilities (Docket No: R-
1477)

    Legal Authority: 12 U.S.C. 5464 (a)(1)(A)
    Abstract: Notice of proposed rulemaking to amend the risk-
management standards currently in the Board's Regulation HH, Part 234 
of Title 12 of the Code of Federal Regulations, by replacing the 
current risk-management standards in section 234.3 (for payment 
systems) and section 234.4 (for central securities depositories and 
central counterparties) with a common set of risk-management standards 
applicable to all types of designated FMU s in proposed section 234.3.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comments............   01/31/14  79 FR 3666
Board Expects Further Actioin.......   06/00/14
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Jennifer A. Lucier, Assistant Director, Federal 
Reserve System, Reserve Bank Operations and Payment Systems, Phone: 202 
872-7581.
    Chris Clubb, Special Counsel, Federal Reserve System, Legal 
Division, Phone: 202 452-3904.
    RIN: 7100-AE09

396.  Regulation WW--Liquidity Coverage Ratio: Liquidity Risk 
Measurement, Standards, and Monitoring (Docket No: R-1466)

    Legal Authority: 12 U.S.C. 248(a); 12 U.S.C. 321; 12 U.S.C. 481; 12 
U.S.C. 1818; . . .
    Abstract: The Office of the Comptroller of the Currency (OCC), the

[[Page 34200]]

Board of Governors of the Federal Reserve System (Board), and the 
Federal Deposit Insurance Corporation (FDIC) are requesting comment on 
a proposed rule (proposed rule) that would implement a quantitative 
liquidity requirement consistent with the liquidity coverage ratio 
standard established by the Basel Committee on Banking Supervision. The 
requirement is designed to promote the short-term resilience of the 
liquidity risk profile of internationally active banking organizations, 
thereby improving the banking sector's ability to absorb shocks arising 
from financial and economic stress, as well as improvements in the 
measurement and management of liquidity risk. The proposed rule would 
apply to all internationally active banking organizations, generally, 
bank holding companies, certain savings and loan holding companies, and 
depository institutions with more than $250 billion in total assets or 
more than $10 billion in on-balance sheet foreign exposure, and to 
their consolidated subsidiaries that are depository institutions with 
$10 billion or more in total consolidated assets. The proposed rule 
would also apply to companies designated for supervision by the Board 
by the Financial Stability Oversight Council under section 113 of the 
Dodd-Frank Wall Street Reform and Consumer Protection Act (12 U.S.C. 
5323) that do not have significant insurance operations and to their 
consolidated subsidiaries that are depository institutions with $10 
billion or more in total consolidated assets. The Board also is 
proposing on its own a modified liquidity coverage ratio standard that 
is based on a 21-calendar day stress scenario rather than a 30-calendar 
day stress scenario for bank holding companies and savings and loan 
holding companies without significant insurance or commercial 
operations that, in each case, have $50 billion or more in total 
consolidated assets.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comment.............   11/29/13  78 FR 71818
Board Expects Further Action........   09/00/14
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Anna Lee Hewko, Deputy Associate Director, Federal 
Reserve System, Division of Banking Supervision and Regulation, Phone: 
202 530-6260.
    David Emmel, Manager, Federal Reserve System, Banking Supervision 
and Regulation, Phone: 202 912-4612.
    April C. Snyder, Senior Counsel, Federal Reserve System, Legal 
Division, Phone: 202 452-3099.
    RIN: 7100-AE03

FEDERAL RESERVE SYSTEM (FRS)

Final Rule Stage

397. Regulation KK--Margin and Capital Requirements for Covered Swap 
Entities (Docket No: R-1415)

    Legal Authority: 7 U.S.C. 6s; 15 U.S.C. 780-10
    Abstract: The Office of the Comptroller of the Currency, the 
Federal Reserve Board, the Federal Deposit Insurance Corporation, the 
Farm Credit Administration, and the Federal Housing Finance Agency (the 
Agencies) are requesting comment on a proposal to establish minimum 
margin and capital requirements for registered swap dealers, major swap 
participants, security-based swap dealers, and major security-based 
swap participants for which one of the Agencies is the prudential 
regulator. This proposed rule implements sections 731 and 764 of the 
Dodd-Frank Wall Street Reform and Consumer Protection Act, which 
require the Agencies to adopt rules jointly to establish capital 
requirements and initial and variation margin requirements for such 
entities on all non-cleared swaps and non-cleared security-based swaps 
in order to offset the greater risk to such entities and the financial 
system arising from the use of swaps and security-based swaps that are 
not cleared.
    Timetable:

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               Action                    Date            FR Cite
------------------------------------------------------------------------
Board Requested Comment.............   04/12/11  76 FR 27564
Comment Period End..................   07/11/11  76 FR 37029
Board Reopened Comment Period.......   10/02/12  77 FR 60057
Board Expects Further Action........   06/00/14
------------------------------------------------------------------------

    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Victoria Szybillo, Counsel, Federal Reserve System, 
Legal Division, Phone: 202 475-6325.
    Stephanie Martin, Associate General Counsel, Federal Reserve 
System, Legal Division, Phone: 202 452-3198.
    Anna Harrington, Senior Attorney, Federal Reserve System, Federal 
Reserve System, Legal Division, Phone: 202 452-6406
    RIN: 7100-AD74

398. Regulation LL--Savings and Loan Holding Companies and Regulation 
MM--Mutual Holding Companies (Docket No: R-1429)

    Legal Authority: 5 U.S.C. 552; 5 U.S.C. 559; 5 U.S.C. 1813; 5 
U.S.C. 1817; 5 U.S.C. 1828; . . .
    Abstract: The Dodd-Frank Act Wall Street Reform and Consumer 
Protection Act (the Act) transferred responsibility for supervision of 
Savings and Loan Holding Companies (SLHCs) and their non-depository 
subsidiaries from the Office of Thrift Supervision (OTS) to the Board 
of Governors of the Federal Reserve System (Board), on July 21, 2011. 
The Act also transferred supervisory functions related to Federal 
savings associations and State savings associations to the Office of 
the Comptroller of the Currency (OCC) and the Federal Deposit Insurance 
Corporation (FDIC), respectively.
    The Board on August 12, 2011, approved an interim final rule for 
SLHCs, including a request for public comment. The interim final rule 
transferred from the OTS to the Board the regulations necessary for the 
Board to supervise SLHCs, with certain technical and substantive 
modifications. The interim final rule has three components: (1) New 
Regulation LL (part 238), which sets forth regulations generally 
governing SLHCs; (2) new Regulation MM (part 239), which sets forth 
regulations governing SLHCs in mutual form; and (3) technical 
amendments to existing Board regulations necessary to accommodate the 
transfer of supervisory authority for SLHCs from the OTS to the Board.
    The structure of interim final Regulation LL closely follows that 
of the Board's Regulation Y, which governs bank holding companies, in 
order to provide an overall structure to rules that were previously 
found in disparate locations. In many instances interim final 
Regulation LL incorporated OTS regulations with only technical 
modifications to account for the shift in supervisory responsibility 
from the OTS to the Board. Interim final Regulation LL also reflects 
statutory changes made by the Dodd-Frank Act with respect to SLHCs, and 
incorporates Board precedent and practices with respect to applications 
processing procedures and control issues, among other matters.
    Interim final Regulation MM organized existing OTS regulations 
governing SLHCs in mutual form (MHCs) and their subsidiary holding 
companies into a single part of the

[[Page 34201]]

Board's regulations. In many instances interim final Regulation MM 
incorporated OTS regulations with only technical modifications to 
account for the shift in supervisory responsibility from the OTS to the 
Board. Interim final Regulation MM also reflects statutory changes made 
by the Dodd-Frank Act with respect to MHCs.
    The interim final rule also made technical amendments to Board 
rules to facilitate supervision of SLHCs, including to rules 
implementing Community Reinvestment Act requirements and to Board 
procedural and administrative rules. In addition, the Board made 
technical amendments to implement section 312(b)(2)(A) of the Act, 
which transfers to the Board all rulemaking authority under section 11 
of the Home Owner's Loan Act relating to transactions with affiliates 
and extensions of credit to executive officers, directors, and 
principal shareholders. These amendments include revisions to parts 215 
(Insider Transactions) and part 223 (Transactions with Affiliates) of 
Board regulations.
    Timetable:

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               Action                    Date            FR Cite
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Board Requested Comment.............   09/13/11  76 FR 56508
Board Expects Further Action........   07/00/14
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    Regulatory Flexibility Analysis Required: Yes.
    Agency Contact: Claudia Von Pervieux, Counsel, Federal Reserve 
System, Legal Division, Phone: 202 452-2552.
    RIN: 7100-AD80

[FR Doc. 2014-13141 Filed 6-12-14; 8:45 am]
BILLING CODE 6210-01-P