[Federal Register Volume 81, Number 23 (Thursday, February 4, 2016)]
[Proposed Rules]
[Page 5943]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-02113]
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Proposed Rules
Federal Register
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This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 81, No. 23 / Thursday, February 4, 2016 /
Proposed Rules
[[Page 5943]]
FEDERAL RESERVE SYSTEM
12 CFR Part 217 and 252
[Regulations Q and YY; Docket No. R-1523]
RIN 7100-AE37
Total Loss-Absorbing Capacity, Long-Term Debt, and Clean Holding
Company Requirements for Systemically Important U.S. Bank Holding
Companies and Intermediate Holding Companies of Systemically Important
Foreign Banking Organizations; Regulatory Capital Deduction for
Investments in Certain Unsecured Debt of Systemically Important U.S.
Bank Holding Companies
AGENCY: Board of Governors of the Federal Reserve System (Board).
ACTION: Proposed rulemaking; extension of comment period.
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SUMMARY: On November 30, 2015, the Board published in the Federal
Register a notice of proposed rulemaking inviting public comment on a
proposed rule to promote financial stability by improving the
resolvability and resiliency of large, interconnected U.S. bank holding
companies and the U.S. operations of large, interconnected foreign
banking organizations pursuant to section 165 of the Dodd-Frank Wall
Street Reform and Consumer Protection Act (Dodd-Frank Act) and related
deduction requirements for all banking organizations subject to the
Board's capital rules.
Due to the range and complexity of the issues addressed in the
notice of proposed rulemaking, the Board has determined that an
extension of the public comment period until February 19, 2016, is
appropriate. This action will allow interested persons additional time
to analyze the notice and prepare their comments.
DATES: The comment period for the proposed rule published on November
30, 2015 (80 FR 74925), is extended. Comments on the proposed rule must
be received on or before February 19, 2016.
ADDRESSES: You may submit comments by any of the methods identified in
the notice of proposed rulemaking.\1\ Please submit your comments using
only one method.
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\1\ See Total Loss-Absorbing Capacity, Long-Term Debt, and Clean
Holding Company Requirements for Systemically Important U.S. Bank
Holding Companies and Intermediate Holding Companies of Systemically
Important Foreign Banking Organizations; Regulatory Capital
Deduction for Investments in Certain Unsecured Debt of Systemically
Important U.S. Bank Holding Companies, 80 FR 74925 (Nov. 30, 2015).
FOR FURTHER INFORMATION CONTACT: Constance M. Horsley, Assistant
Director, (202) 452-5239, Thomas Boemio, Senior Project Manager, (202)
452-2982, Juan C. Climent, Manager, (202) 872-7526, Felton Booker,
Senior Supervisory Financial Analyst, (202) 912-4651, Sean Healey,
Senior Financial Analyst, (202) 912-4611, or Mark Savignac, Senior
Financial Analyst, (202) 475-7606, Division of Banking Supervision and
Regulation; or Laurie Schaffer, Associate General Counsel, (202) 452-
2272, Benjamin McDonough, Special Counsel, (202) 452-2036, Jay Schwarz,
Senior Counsel, (202) 452-2970, Will Giles, Counsel, (202) 452-3351,
Mark Buresh, Senior Attorney, (202) 452-5270, or Greg Frischmann,
Senior Attorney, (202) 452-2803, Legal Division, Board of Governors of
the Federal Reserve System, 20th and C Streets NW., Washington, DC
20551. For the hearing impaired only, Telecommunications Device for the
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Deaf (TDD) users may contact (202) 263-4869.
SUPPLEMENTARY INFORMATION: On November 30, 2015, the Board published in
the Federal Register a notice of proposed rulemaking inviting public
comment on a proposed rule to promote financial stability by improving
the resolvability and resiliency of large, interconnected U.S. bank
holding companies and the U.S. operations of large, interconnected
foreign banking organizations pursuant to section 165 of the Dodd-Frank
Act and related deduction requirements for all banking organizations
subject to the Board's capital rules. Under the proposed rule, a U.S.
top-tier bank holding company identified by the Board as a global
systemically important banking organization (covered BHC) would be
required to maintain outstanding a minimum amount of loss-absorbing
instruments, including a minimum amount of unsecured long-term debt,
and related buffer. Similarly, the proposed rule would require the top-
tier U.S. intermediate holding company of a global systemically
important foreign banking organization with $50 billion or more in U.S.
non-branch assets (covered IHC) to maintain outstanding a minimum
amount of intra-group loss-absorbing instruments, including a minimum
amount of unsecured long-term debt, and related buffer. The proposed
rule would also impose restrictions on the other liabilities that a
covered BHC or covered IHC may have outstanding. Finally, the proposed
rule would require state member banks, bank holding companies, and
savings and loan holding companies that are subject to the Board's
capital rules to apply a regulatory capital deduction treatment to
their investments in unsecured debt issued by covered BHCs.
In recognition of the complexities of the issues involved and the
variety of considerations involved in its impact and implementation,
the Board requested that commenters respond to numerous questions. The
proposed rule stated that the public comment period would close on
February 1, 2016.\2\
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\2\ Id.
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The Board has received a request from the public for an extension
of the comment period to allow for additional time for comments related
to the provisions of the proposed rule.\3\ The Board believes that the
additional period for comment will facilitate public comment on the
questions posed by the Board in the proposed rule. Therefore, the Board
is extending the end of the comment period for the proposed rule from
February 1, 2016, to February 19, 2016.
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\3\ See Comment letter to the Board from the American Bankers
Association et al. (Jan. 25, 2016).
By order of the Board of Governors of the Federal Reserve
System, acting through the Secretary of the Board under delegated
authority, January 29, 2016.
Robert deV. Frierson,
Secretary of the Board.
[FR Doc. 2016-02113 Filed 2-3-16; 8:45 am]
BILLING CODE P