[Unified Agenda of Federal Regulations]
[Federal Reserve System Semiannual Regulatory Agenda]
[From the U.S. Government Printing Office, www.gpo.gov]


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Part LIV




 
Federal Reserve System





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Semiannual Regulatory Agenda


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FEDERAL RESERVE SYSTEM (FRS)                                           
  
  
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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 agenda.

_______________________________________________________________________

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 April 1 through 
October 1, 1994. The next semiannual agenda will be published in 
October 1994.

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 William W. Wiles, 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 April 1994 
agenda as part of the April 1994 Unified Agenda of Federal Regulations, 
which is coordinated by the Office of Management and Budget under 
Executive Order 12866. Participation by the Board in the Unified Agenda 
is on a voluntary basis.

    The Board's agenda is divided into three sections. The first, 
Proposed Rule Stage, reports on matters the Board may consider for 
public comment during the next 6 months. The second section, Final 
Rule Stage, reports on matters that have been proposed and are 
under Board consideration. A third 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.

Barbara R. Lowrey,

Associate Secretary of the Board. 

                                              Proposed Rule Stage                                               
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
 Number                                                                                                Number   
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4814        Regulation: C--Home Mortgage Disclosure...............................................    7100-AB63 
4815        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control..................    7100-AB39 
4816        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control..................    7100-AB41 
4817        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control..................    7100-AB77 
4818        Regulation: K--International Banking Operations.......................................    7100-AB58 
4819        Regulation: M--Consumer Leasing (Docket Number: R-0815)...............................    7100-AB74 
4820        Regulation: T--Credit by Brokers and Dealers (Docket Number: R-0772)..................    7100-AB28 
4821        Regulation: U--Credit by Banks for the Purpose of Purchasing or Carrying Margin Stocks    7100-AB65 
4822        Regulation: Y--Bank Holding Companies and Change in Bank Control......................    7100-AB29 
4823        Regulation: Y--Bank Holding Companies and Change in Bank Control......................    7100-AB73 
4824        Lifeline Accounts.....................................................................   7100-AB40  
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                                                Final Rule Stage                                                
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
 Number                                                                                                Number   
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4825        Regulation: E--Electronic Fund Transfers..............................................    7100-AA77 
4826        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-             
            0803).................................................................................    7100-AB20 
4827        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-             
            0773).................................................................................    7100-AB55 
4828        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-             
            0795).................................................................................    7100-AB57 
4829        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-             
            0823).................................................................................    7100-AB76 
4830        Regulation: J--Collection of Checks and Other Items by Federal Reserve Banks and Funds              
            Transfers Through Fedwire (Docket Number: R-0821).....................................    7100-AB66 
4831        Regulation: K--International Banking Operations (Docket Number: R-0754)...............    7100-AB31 
4832        Regulation: K--International Banking Operations (Docket Number: R-0793)...............    7100-AB46 
4833        Regulation: K--International Banking Operations (Docket Number: R-0820)...............    7100-AB67 
4834        Regulation: L--Depository Institution Management Interlocks (Docket Number: R-0825)...    7100-AB72 
4835        Regulation: S--Reimbursement for Providing Financial Records; Recordkeeping                         
            Requirements for Certain Financial Records (Docket Number: R-0807)....................    7100-AB64 
4836        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0686).................................................................................    7100-AB07 
4837        Regulation: BB--Community Reinvestment (Docket Number: R-0822)........................    7100-AB75 
4838        Regulation: DD--Truth in Savings (Docket Number: R-0812)..............................    7100-AB68 
4839        Federal Reserve Bank Services (Docket Number: R-0817).................................    7100-AB71 
4840        Risk-Based Capital Standards (Docket Number: R-0802)..................................    7100-AB50 
4841        Standards for Safety and Soundness (Docket Number: R-0766)............................   7100-AB52  
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                                               Completed Actions                                                
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
 Number                                                                                                Number   
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4842        Regulation: A--Extensions of Credit by Federal Reserve Banks (Docket Number: R-0808)..    7100-AB56 
4843        Regulation: B--Equal Credit Opportunity (Docket Number: R-0782).......................    7100-AB34 
4844        Regulation: E--Electronic Fund Transfers (Docket Number: R-0796)......................    7100-AB47 
4845        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-             
            0756).................................................................................    7100-AB53 
4846        Regulation: O--Loans to Executive Officers, Directors, and Principal Shareholders of                
            Member Banks (Docket Number: R-0800)..................................................    7100-AB69 
4847        Regulation: O--Loans to Executive Officers, Directors, and Principal Shareholders of                
            Member Banks (Docket Number: R-0809)..................................................    7100-AB62 
4848        Regulation: EE--Netting Eligibility for Financial Institutions (Docket Number: R-0801)    7100-AB35 
4849        Federal Reserve Bank Services (Docket Number: R-0778).................................    7100-AB61 
4850        Payments System Risk Reduction Program--Policy Statement (Docket Number: R-0806)......    7100-AB70 
4851        Proposals To Modify the Payments System Risk Reduction Program (Docket Number: R-0693)   7100-AB17  
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4814. REGULATION: C--HOME MORTGAGE DISCLOSURE

Legal Authority:  12 USC 2804

CFR Citation:  12 CFR 203

Legal Deadline: None

Abstract: Regulation C implements the Home Mortgage Disclosure Act, 
which requires certain lenders to report information in connection with 
applications they receive for mortgage and other housing-related loans. 
One piece of data reported is the race or national origin of the 
applicant, according to certain categories specified in the regulation. 
The categories in Regulation C differ somewhat from those used by the 
U.S. Office of Management and Budget and other Federal entities. 
Lenders submit the data to the Federal banking regulators and, in the 
case of mortgage bankers, the U.S. Department of Housing and Urban 
Development. During the next two months the Board is expected to issue 
for public comment amendments to Regulation C that conform the racial 
categories to the Federal standard.
The Board also may consider whether to propose technical revisions to 
the instructions that Regulation C provides to lenders for completing 
reporting form HMDA-LAR, in order to facilitate the processing of the 
data by the Federal Financial Institutions Examination Council.
The revisions, if proposed and adopted, would be (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board is expected to consider 
requesting comment by           04/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: expected to have an economic 
impact on some portion of small lenders. (Only lenders with assets 
under $10 million or that make fewer than 100 home purchase loans and 
mortgage refinancings are exempt from the reporting requirements of 
Regulation C.)

Agency Contact: John Wood, Senior Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs, 202 452-2412

RIN: 7100-AB63
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4815. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Legal Authority:  12 USC 1831m

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline:  Final, Statutory, January 3, 1993.

Abstract: During 1992, the Board's staff consulted with the other 
Federal banking agencies regarding the implementation of section 112, 
the bank auditing requirements, of the Federal Deposit Insurance 
Corporation Improvement Act of 1991. The section includes requirements 
for insured commercial banks to receive audits of their annual reports 
by independent public accountants, requirements for banks and their 
auditors to report certain information to the Board, and requirements 
for independent audit committees for banks. In some cases, these 
requirements can be satisfied by comparable arrangements at the bank 
holding company level. The Act generally exempts insured depository 
institutions from these requirements when their total assets are less 
than $150 million, unless a higher threshold is chosen by the Federal 
Deposit Insurance Corporation (FDIC).
The FDIC, the agency with primary responsibility for implementing this 
mandate through regulations, finalized its regulation in May 1993, 
which will apply to all FDIC-insured banks and thrifts. The FDIC, as 
well as the Board, issued implementing examiner guidelines in October 
1993 and (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board may consider amendments to 
Regulations H and Y by          06/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: January 1994, respectively. The 
Board has joint rulemaking authority with the other banking agencies 
regarding the enforcement provisions of section 112. It is expected 
that the Board and the other agencies will request public comment by 
mid-year on proposed regulations on these enforcement matters.

Agency Contact: Gerald A. Edwards, Jr., Assistant Director, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-2741

RIN: 7100-AB39
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4816. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Legal Authority:  12 USC 1831n; 12 USC 1833d

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline:  Final, Statutory, December 19, 1992.

Abstract: During 1992, the Board's staff consulted with the other 
Federal banking agencies regarding the implementation of section 121, 
the bank accounting requirements, of the Federal Deposit Insurance 
Corporation Improvement Act of 1991. These requirements include the 
implementation of disclosures of the fair market value of assets, 
liabilities, and certain projects, which may result in the revision of 
reporting requirements for banks and bank holding companies. The 
accounting provisions of the Act do not include exemptions for small 
institutions. Thus, any changes to regulations and reporting 
requirements would likely affect smaller State member banks.
The Federal Financial Institutions Examination Council (FFIEC) has 
requested public comment on proposed reporting requirements, and the 
comment period expired on June 14, 1993. Following final action by the 
FFIEC, the Board is expected to consider requesting comment on certain 
changes to its regulations in order to implement section 121.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board may consider amendments to 
Regulations H and Y by          06/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Gerald A. Edwards, Jr., Assistant Director, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-2741

RIN: 7100-AB41
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4817.  REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Legal Authority:  12 USC 221 et seq; 12 USC 1841 et seq; 12 USC 3901 et 
seq

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: On December 16, 1993, acting upon a recommendation from the 
Federal Financial Institutions Examination Council, the Board approved 
issuing for public comment proposals on the capital treatment of 
recourse arrangements and direct credit substitutes. The proposal (1) 
formally defines recourse and direct credit substitutes, (2) reduces 
the risk-based capital charge for low-level recourse arrangements to 
the maximum amount of possible loss under the recourse obligation up to 
the effective capital charge, and (3) requires the same risk-based 
capital charge for first loss direct credit substitutes as is currently 
applied to recourse transactions. The proposals are expected to be 
issued for public comment on a joint interagency basis in the first 
quarter of 1994.
The proposal would seek preliminary public comment on an approach to 
assessing risk-based capital on banking organizations' risk exposures 
associated with certain asset securitizations. Under this approach, the 
capital charge would be based upon the relative risk of loss of the 
exposure. The capital charge that banking organizations would incur on 
(cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         12/16/93
Further Board action by         12/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: first loss positions would be 
dollar-for-dollar up to the position's effective risk-based capital 
requirement. Second loss positions that are rated investment grade 
would be assessed capital against the amount of the position, rather 
than against the amount of assets for which the position is providing 
credit protection. Senior securities that receive the highest 
investment rating would be assigned to the 20 percent risk category.
Small entities would be affected only to the extent that they engage in 
extending recourse arrangements or direct credit substitutes; it is not 
expected that the proposal would have a significant economic impact. 
Following review of the public comments, the Board is expected to take 
further action by year-end.

Agency Contact: Thomas R. Boemio, Supervisory Financial Analyst, 
Federal Reserve System, Division of Banking Supervision and Regulation, 
202 452-2982

RIN: 7100-AB77
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4818. REGULATION: K--INTERNATIONAL BANKING OPERATIONS

Legal Authority:  12 USC 211

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: Within the next five months, the Board, in consultation with 
the Secretary of the Treasury, will consider action to implement a 
portion of section 202(a) of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 with respect to the criteria to be used in 
evaluating the operations of foreign banks that the Board has 
determined are not subject to comprehensive supervision or regulation 
on a consolidated basis. It is undetermined what economic impact this 
proposal would have on small institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board will consider requesting 
comment by                      07/00/94

Small Entities Affected: Undetermined

Government Levels Affected: None

Agency Contact: Ann Misback, Senior Attorney, Federal Reserve System, 
Legal Division, 202 452-3788

RIN: 7100-AB58
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4819.  REGULATION: M--CONSUMER LEASING (DOCKET NUMBER: R-0815)

Legal Authority:  15 USC 1604

CFR Citation:  12 CFR 213

Legal Deadline: None

Abstract: The Board is proposing to undertake a complete review of 
Regulation M, under the Board's Regulatory Planning and Review Program. 
The Program calls for the periodic review of Board regulations to 
determine whether a regulation should be eliminated, simplified, 
updated, or otherwise revised. To gather information needed for this 
review, and to ensure the participation of interested parties at the 
beginning of the process, the Board in November 1993, approved issuing 
for public comment an advance notice of the proposed rulemaking, 
soliciting comment, generally, on revisions to the regulation, while 
also soliciting comment on specific issues dealing with early 
termination penalties, advertising, and segregation of disclosure terms 
from other information (58 FR 61035, November 19, 1993). The comment 
period, originally scheduled to end on January 24, has been extended to 
February 24, 1994. Following review of the public comments, the Board 
will decide by mid-year whether to pursue proposed revisions to the 
regulation.

Timetable:
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Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         11/19/93                    58 FR 61035
Further Board action by         06/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Adrienne D. Hurt, Managing Counsel, Financial Services 
Section, Federal Reserve System, 202 452-2412

RIN: 7100-AB74
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4820. REGULATION: T--CREDIT BY BROKERS AND DEALERS (DOCKET NUMBER: R-
0772)

Legal Authority:  15 USC 78g Securities Exchange Act of 1934, as 
amended; 15 USC 78h Securities Exchange Act of 1934, as amended; 15 USC 
78w Securities Exchange Act of 1934, as amended

CFR Citation:  12 CFR 220

Legal Deadline: None

Abstract: The Board is conducting a review of Regulation T, which 
regulates extensions of credit by and to brokers and dealers. The 
review will consider whether any provisions of the regulation are in 
need of updating and whether any substantive changes are necessary 
because of developments in the securities markets, including the 
development of new products and services and the expansion of global 
markets. In August 1992, the Board approved a general request for 
comments to aid in its review (57 FR 37109, August 18, 1992). Following 
evaluation of the public comments, the Board will again seek comment on 
any regulatory proposals that may be developed. It is not anticipated 
that the revisions would have a significant economic impact on the 
overall lending activities of a substantial number of small brokerage 
firms.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         08/18/92                    57 FR 37109
Further Board action expected by06/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Laura Homer, Assistant Director, Federal Reserve 
System, Division of Banking Supervision and Regulation, 202 452-2781

RIN: 7100-AB28
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4821. REGULATION: U--CREDIT BY BANKS FOR THE PURPOSE OF PURCHASING OR 
CARRYING MARGIN STOCKS

Legal Authority:  15 USC 78g Securities Exchange Act of 1934, as 
amended; 15 USC 78h Securities Exchange Act of 1934, as amended; 15 USC 
78w Securities Exchange Act of 1934, as amended

CFR Citation:  12 CFR 221

Legal Deadline: None

Abstract: During the first half of 1994, the Board plans to begin a 
review of Regulation U, which generally regulates bank extensions of 
credit that are secured by publicly traded stock. The review will 
consider whether any provisions of the regulation are in need of 
updating and whether any substantive changes are necessary because of 
developments in the banking and securities markets. Public comment will 
be requested for any regulatory proposals that may be developed 
following the review. It is not anticipated that the revisions will 
have a significant economic impact on the overall lending activities of 
a substantial number of small banks.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board may issue advance notice 
of proposed rulemaking and 
request for comment by          07/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Laura Homer, Assistant Director, Federal Reserve 
System, Division of Banking Supervision and Regulation, 202 452-2781

RIN: 7100-AB65
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4822. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK CONTROL

Legal Authority:  12 USC 1834a; 12 USC 1834b

CFR Citation:  12 CFR 225

Legal Deadline: None

Abstract: Sections 233 and 234 of the Federal Deposit Insurance 
Corporation Improvement Act of 1991 require the Board and other 
regulatory agencies to become involved in an effort to get banks to 
participate in certain types of lending activities in designated 
distressed communities. Banks that do the appropriate type of lending 
in the appropriate ``distressed communities'' will receive assessment 
credits for their FDIC insurance premiums. The law requires the Board 
to receive notice of the banks' intent to involve themselves in these 
activities, to assist the banks to define and locate the appropriate 
communities, and to define certain terms by regulation. To accomplish 
the mandates of the statute, it may be necessary to amend Regulation Y 
for purposes of receiving notice of the banks' and holding companies' 
intent to form the types of entities discussed in the law and to do the 
type of lending intended by the law. It may also be necessary to amend 
the regulation to provide the definitions of ``nonprofit organization'' 
and ``small business'' called for by the statute. It is not expected 
that any proposed regulation would have a significant economic impact 
on small institutions. (cont)

Timetable: Next Action Undetermined

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: These provisions only take 
effect if, and when, Congress appropriates funds to cover the impact 
they may have on the Bank Insurance Fund. Consequently, the timing is 
somewhat uncertain.

Agency Contact: Glenn E. Loney, Assistant Director, Federal Reserve 
System, Division of Consumer and Community Affairs, 202 452-3585

RIN: 7100-AB29
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
_______________________________________________________________________
 
4823.  REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK 
CONTROL

Legal Authority:  12 USC 1972(1)

CFR Citation:  12 CFR 225

Legal Deadline: None

Abstract: Section 106(b) of the Bank Holding Company Act Amendments of 
1970 generally prohibits banks from fixing or varying the consideration 
for a product or service on condition that the customer purchases 
another product or service offered by the bank or any of its 
affiliates. Section 106 provides an exemption to this tying prohibition 
if the customer also obtains a loan, discount, deposit, or trust 
service (``traditional bank products'') from that bank (but not an 
affiliate of that bank). The status further provides that the Board 
may, by regulation or order, permit exceptions from the antitying 
prohibition where the Board determines that an exception will not be 
contrary to the proposes of the section. The Board recently approved an 
exemption for a brokerage subsidiary of the First Union to offer 
discounts on commissions for brokerage services to customers who 
maintain a minimum balance in accounts at any First Union bank to First 
Union Corporation, 80 Federal Reserve Bulletin 166 (1994). Within the 
next three months, the Board will consider issuing for public comment a 
proposed rule to make this exemption available to all bank holding 
companies. The proposed (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board is expected to request 
comment by                      05/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: regulation will not have a 
significant economic impact on a substantial number of small entities 
that would be subject to the proposed rule.

Agency Contact: Robert Frierson, Managing Senior Counsel, Federal 
Reserve System, Legal Division, 202 452-3711

RIN: 7100-AB73
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4824. LIFELINE ACCOUNTS

Legal Authority:  12 USC 1817; 12 USC 1834

CFR Citation:  None

Legal Deadline: None

Abstract: Section 232 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 requires the Board with the FDIC to establish 
minimum requirements for ``lifeline'' transaction accounts. An insured 
depository institution that chooses to offer accounts that meet these 
requirements will be assessed deposit insurance premiums on those 
deposits at a rate of 1/2 the maximum assessment rate. The Act sets 
forth factors that the Board and the FDIC must consider in setting the 
account requirements, such as whether the amount of the fee, if any, 
that is charged for routine transactions does not exceed a minimal 
level.
It is expected that the Board will seek public comment by year-end on a 
proposal to implement section 232.
It is not anticipated that implementation of the law, due to its 
voluntary character, will have a significant impact on a substantial 
number of small institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board action expected by year-
end                             12/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Michael S. Bylsma, Senior Attorney, Federal Reserve 
System, Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB40
_______________________________________________________________________
  

_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4825. REGULATION: E--ELECTRONIC FUND TRANSFERS

Legal Authority:  15 USC 1693 et seq Electronic Fund Transfer Act

CFR Citation:  12 CFR 205

Legal Deadline: None

Abstract: The Board is conducting a review of Regulation E, which 
implements the Electronic Fund Transfer Act, and establishes the basic 
rights, liabilities, and responsibilities of consumers who use 
electronic fund transfer services and of financial institutions that 
offer these services (whether or not these institutions hold the 
consumer's account). The review is part of the Board's Regulatory 
Planning and Review Program which provides for the periodic review of 
Board regulations to determine whether a regulation should be 
eliminated, simplified, updated or otherwise revised.
On February 16, 1994, the Board approved issuing for public comment a 
revised Regulation E that includes, among other things, simplified 
language and format (Federal Register cite unavailable). As part of the 
proposal, the scope of several exemptions would be expanded. A small 
institution exemption would apply to institutions with assets under 
$100,000; currently the exemption applies to institutions with assets 
under $25,000. Also under the proposal, the staff commentary to 
Regulation E would be significantly improved to facilitate compliance. 
As a (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting public 
comment                         02/16/94
Further Board action by         12/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: whole, the proposed changes to 
Regulation E would likely reduce regulatory burden within the limits of 
a very specific statute, without sacrificing consumer benefits. The 
proposals are not expected to have a significant economic impact on 
small institutions.
Following review of the public comments, the Board is expected to take 
further action by year-end.

Agency Contact: Adrienne D. Hurt, Managing Counsel, Financial Services 
Section, Federal Reserve System, Division of Consumer and Community 
Affairs, 202 452-2412

RIN: 7100-AA77
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4826. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NUMBER: R-0803)

Legal Authority:  12 USC 3331 et seq

CFR Citation:  12 CFR 225, subpart G

Legal Deadline: None

Abstract: In June 1993, the Board and other Federal financial 
regulatory agencies issued for public comment proposed amendments to 
their real estate appraisal regulations that would: (1) increase the 
threshold level at or below which appraisals are not required from 
$100,000 to $250,000; (2) expand and clarify other existing exemptions 
to the appraisal regulations; and (3) identify additional exemptions. 
In addition, the proposal would amend or delete existing requirements 
governing appraisal standards and appraiser independence.
In November 1993, the agencies made available supplemental information 
on the proposed rule and extended the comment period for thirty days in 
order to allow commenters to consider and comment on the information 
(58 FR 59688, November 10, 1993). The supplemental information related 
primarily to the proposed increase in the threshold.
Previously, in November and December 1990, the Board had issued for 
public comment proposed amendments to the appraisal regulation to lower 
the threshold to conform to the level at that time of the other 
agencies (55 FR 49057, November 26, (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         11/26/90                    55 FR 49057
Board requested comment on a 
revised proposal                06/04/93                    58 FR 31878
Further Board action by         04/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: 1990) and to adopt a final rule 
requiring compliance with the Uniform Standards of Professional 
Appraisal Practice (USPAP) (55 FR 53609, December 31, 1990; RIN 7100-
AB27). As a result of the other agencies conforming their thresholds to 
the Board's level, the Board took no further action on the November 
1990 proposed amendments; the Board will take final action on the 
December 1990 USPAP proposal when the current proposal is finalized.
The current proposal is not expected to have a significant economic 
impact on a substantial number of small entities and, if adopted, is 
expected to result in reduced regulatory burden for some small 
entities. Following review of the public comments and coordination with 
the other agencies, the Board is expected to take further action within 
the next two months.

Agency Contact: Virginia Gibbs, Supervisory Financial Analyst, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-2521

RIN: 7100-AB20
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4827. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NUMBER: R-0773)

Legal Authority:  12 USC 248(i); 12 USC 1844(b)

CFR Citation:  12 CFR 208; 12 CFR 225; 12 CFR 265

Legal Deadline: None

Abstract: In August 1992, the Board approved several proposals to 
reduce burden that is associated with the process for seeking Board 
approval for a variety of transactions (57 FR 39641, September 1, 
1992). In particular, the Board agreed to: (1) establish certain 
procedures to limit extension of the pre-acceptance period for 
applications; (2) permit prospective applicants the opportunity to 
submit a pre-filing notice of intent to file an application; (3) 
eliminate the stock redemption notice requirement for bank holding 
companies that are and would remain well capitalized on a consolidated 
basis and in generally satisfactory condition following the redemption; 
(4) expand the authority of Reserve Banks to process all delegable 
applications without Board staff review; (5) modify the Board's 
delegation rules that pertain to competition and market concentration; 
(6) reduce redundant post-acceptance processing of Board action cases; 
and (7) increase monitoring of cases that require extended processing. 
In addition, the Board determined to invite comment on a proposal to 
establish a general consent procedure for investments in bank premises 
by State member banks. Section 24A of the Federal (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  09/01/92                    57 FR 39641
Further Board action by         08/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: Reserve Act requires State 
member banks to obtain the Board's approval prior to making investments 
in bank premises that would result in the bank's aggregate level of 
investments in bank premises to exceed the bank's capital stock 
account.
Finally, the Board determined to invite public comment on any other 
ways in which the burdens on applicants under the current regulation 
may be reduced in a manner consistent with the Board's responsibilities 
under applicable law.
These proposals are part of the Board's ongoing efforts to reduce 
regulatory burdens on financial institutions regulated by the Board and 
should not have a significant economic impact on small entities. 
Following review of the public comments, the Board is expected to take 
further action within the next six months.

Agency Contact: Patrick J. McDivitt, Attorney, Federal Reserve System, 
Legal Division, 202 452-3818

RIN: 7100-AB55
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4828. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NUMBER: R-0795)

Legal Authority:  12 USC 1844(b); 12 USC 3909

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: In February 1993, the Board issued for public comment a 
proposed limitation on deferred tax assets for risk-based and leverage 
capital purposes (58 FR 8007, February 11, 1993). This proposal is in 
response to the adoption, by the Financial Accounting Standards Board, 
of Statement No. 109 (FASB 109) which provides new accounting guidance 
on deferred tax assets. This proposal will affect the treatment of 
these assets for capital purposes for all State member banks and bank 
holding companies regardless of size. However, it is not expected that 
the proposal will have a significant economic impact on a substantial 
number of small banking organizations, as the vast majority of small 
banking organizations currently have very limited amounts of net 
deferred tax assets as a component of their capital structures. 
Following review of the public comments and comments received by the 
other Federal banking agencies on these proposals, the Board is 
expected to take further action within the next two months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  02/11/93                     58 FR 8007
Further Board action by         05/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Charles Holm, Project Manager, Federal Reserve System, 
Division of Banking Supervision and Regulation, 202 452-3502

RIN: 7100-AB57
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4829.  REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NUMBER: R-0823)

Legal Authority:  12 USC 221 et seq; 12 USC 1841 et seq; 12 USC 3901 et 
seq

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: On May 31, 1993, the Financial Accounting Standards Board 
issued a new accounting standard, FASB Statement Number 115, 
``Accounting for Certain Investments in Debt and Equity Securities,'' 
which, in essence, adds a new component to common stockholders' equity, 
``net unrealized holding gains and losses on securities available for 
sale.'' In August 1993, the Board approved the adoption of FASB 115 for 
reporting purposes. In December 1993, the Board approved issuing for 
public comment a proposal to amend its risk-based and leverage capital 
guidelines (Regulations H and Y) to include ``net unrealized gains and 
losses on securities available for sale'' in Tier 1 capital (58 FR 
68563, December 28, 1993). The amendment to the risk-based capital and 
leverage guidelines will affect bank holding companies with total 
consolidated assets of $150 million or more and all State member banks. 
The proposal is not expected to have a significant economic impact on a 
substantial number of small banks. Following review of the public 
comments, the Board is expected to take further action within the next 
four months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/28/93                    58 FR 68563
Further Board action expected by06/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Arleen Lustig, Supervisory Financial Analyst, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-2987

RIN: 7100-AB76
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4830. REGULATION: J--COLLECTION OF CHECKS AND OTHER ITEMS BY FEDERAL 
RESERVE BANKS AND FUNDS TRANSFERS THROUGH FEDWIRE (DOCKET NUMBER: R-0821)

Legal Authority:  12 USC 248(i); 12 USC 248(j); 12 USC 248(o); 12 USC 
342; 12 USC 360; 12 USC 464; 12 USC 4001 to 4010

CFR Citation:  12 CFR 210

Legal Deadline: None

Abstract: In December 1993, the Board approved issuing for public 
comment proposed amendments to Regulation J to conform the warranties 
and various other provisions of Regulation J to recent amendments to 
Regulation CC (Availability of Funds and Collection of Checks) and the 
Uniform Commercial Code (58 FR 68566, December 28, 1993). Following 
review of the public comments, the Board is expected to take further 
action within the next two months.
It is not expected that the proposed amendments would impose any 
substantial economic burden on small entities.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         12/28/93                    58 FR 68566
Further Board action by         04/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Stephanie Martin, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3198

RIN: 7100-AB66
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4831. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET NUMBER: R-
0754)

Legal Authority:  12 USC 3105; 12 USC 3108

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: In January 1993, following review of the public comments, the 
Board issued a final rule implementing sections 202-204 and 206 of 
title II of the Federal Deposit Insurance Corporation Improvement Act 
of 1991 which, among other things, require prior approval of the Board 
for the establishment of branches, agencies, commercial lending 
companies, and representative offices by foreign banks in the United 
States (58 FR 6348, January 28, 1993). It is not expected that the 
final rule will have a significant economic impact on small 
institutions.
The Board also requested additional public comment on those portions of 
the final rule that deal with representative offices of foreign banks. 
Comments were sought on the definition of representative office and on 
the standards that should govern the activities that a representative 
office may conduct. Following review of the public comments, the Board 
is expected to take further action within the next five months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board issued an interim rule    04/15/92                    57 FR 12992
Board issued a final rule and 
request for comment             01/28/93                     58 FR 6348
Further Board action by         07/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Ann Misback, Senior Attorney, Federal Reserve System, 
Legal Division, 202 452-3788

RIN: 7100-AB31
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4832. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET NUMBER: R-
0793)

Legal Authority:  12 USC 3105; 12 USC 3108

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: In January 1993, the Board issued for public comment proposed 
amendments to Regulation K implementing section 202(a) of the Federal 
Deposit Insurance Corporation Improvement Act of 1991 (FDICIA) with 
respect to the limitation on the powers of State branches and agencies 
of foreign banks (58 FR 513, January 6, 1993). Following review of the 
public comments and in consultation with the FDIC, the Board is 
expected to take further action by mid-year. It is not expected that a 
final rule would have a significant economic impact on small 
institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  01/06/93                      58 FR 513
Further Board action by         07/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Ann Misback, Senior Attorney, Federal Reserve System, 
Legal Division, 202 452-3788

RIN: 7100-AB46
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4833. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET NUMBER: R-
0820)

Legal Authority:  PL 102-242

CFR Citation:  12 CFR 211, subpart B

Legal Deadline: None

Abstract: Section 203(a) of the Foreign Bank Supervision Enhancement 
Act of 1991 provides that the cost of examinations of branches, 
agencies, and representative offices of foreign banks in the United 
States shall be assessed against the foreign bank or its parent. In 
October 1993, the Board approved issuing for public comment a proposed 
methodology for assessing such examination costs (58 FR 65560, December 
15, 1993). Foreign banks with branches, agencies, or representative 
offices in the United States will be affected by the proposal.
The proposal is not expected to have a significant economic impact on a 
substantial number of small business entities. Following review of the 
public comments, the Board is expected to take further action by year-
end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/15/93                    58 FR 65560
Further Board action by         12/00/94

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Sandy Richardson, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-6406

RIN: 7100-AB67
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4834.  REGULATION: L--DEPOSITORY INSTITUTION MANAGEMENT 
INTERLOCKS (DOCKET NUMBER: R-0825)

Legal Authority:  12 USC 3207

CFR Citation:  12 CFR 212

Legal Deadline: None

Abstract: Regulation L implements provisions of the Depository 
Institution Management Interlock Act (DIMIA), which regulates 
management interlocks among depository institutions. Among DIMIA's 
prohibitions are provisions barring management interlocks between 
depository organizations with offices in the same community or 
metropolitan statistical area (MSA). In November 1993, the Board 
approved soliciting comment on an amendment to Regulation L that would 
permit interlocks otherwise prohibited under the community or MSA 
provisions if the institutions involved hold in the aggregate less than 
20 percent of the deposits in the community or MSA (59 FR 7909, 
February 17, 1994). The amendment should benefit smaller organizations 
by giving them access to a larger pool of potential management 
officials. It is not expected that the proposal will have a significant 
economic impact on a substantial number of depository institutions.
Following review of the public comments, the Board is expected to take 
further action within the next six months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  02/17/94                     59 FR 7909
Further Board action by         08/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Thomas M. Corsi, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3275

RIN: 7100-AB72
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4835. REGULATION: S--REIMBURSEMENT FOR PROVIDING FINANCIAL RECORDS; 
RECORDKEEPING REQUIREMENTS FOR CERTAIN FINANCIAL RECORDS (DOCKET NUMBER: 
R-0807)

Legal Authority:  PL 102-550

CFR Citation:  12 CFR 219, subpart B

Legal Deadline:  Final, Statutory, December 31, 1993.

Abstract: On August 18, 1993, the Board approved issuing for public 
comment a proposed joint regulation, promulgated by the Board and the 
Treasury Department pursuant to section 21(b) of the Federal Deposit 
Insurance Act, as amended by the Annunzio-Wylie Anti-Money Laundering 
Act of 1992 (58 FR 46024; August 31, 1993). The proposed regulation 
would establish recordkeeping requirements for wire transfers by all 
financial institutions including nonbank financial institutions, such 
as broker/dealers in securities, check-cashing businesses, money-
transmitting businesses, and businesses that issue or redeem money 
orders or travelers' checks.
This proposal may have a significant economic impact on a substantial 
number of small businesses that provide check-cashing services, money-
transmitting services, and services concerning the issuance or 
redemption of money orders and travelers' checks, because such 
businesses may not currently collect or maintain the information 
required.
Following review of the public comments and review by the Department of 
the Treasury's Bank Secrecy Act Advisory (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         08/31/93                    58 FR 46024
Further Board action by         12/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: Group, the Board is expected to 
take further action during the second half of 1994.

Agency Contact: Elaine Boutilier, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-2418

RIN: 7100-AB64
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4836. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK CONTROL 
(DOCKET NUMBER: R-0686)

Legal Authority:  PL 101-73, 103 Stat 183

CFR Citation:  12 CFR 225, subpart H

Legal Deadline: None

Abstract: In February 1990, the Board approved issuing for public 
comment a proposed regulation, which implements section 914 of the 
Financial Institutions Reform, Recovery, and Enforcement Act of 1989, 
requiring banks and bank holding companies to provide notice to the 
Federal Reserve System 30 days before adding any individual to the 
institution's board of directors or employing any individual as a 
senior executive officer under certain circumstances (55 FR 6787, 
February 27, 1990). Notice would be required if the institution is 
failing to meet minimum capital standards or is otherwise in a troubled 
condition, has undergone a change in control within the past two years, 
or has received a bank charter within the past two years. The 
regulation defines ``senior executive officer,'' ``troubled 
condition,'' and ``change in control.''
The proposal is not expected to have a significant economic impact on a 
substantial number of small business entities. State member banks and 
bank holding companies will be affected if they meet one of the 
criteria that triggers the notice requirements. Following review of 
public comments, the Board is expected (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved proposal for 
comment                         02/27/90                     55 FR 6787
Further Board action by         08/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: to take further action within 
the next six months.

Agency Contact: Robert Frierson, Managing Senior Counsel, Federal 
Reserve System, Legal Division, 202 452-3711

RIN: 7100-AB07
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4837.  REGULATION: BB--COMMUNITY REINVESTMENT (DOCKET NUMBER: R-
0822)

Significance:
Economically significant: Undetermined

Legal Authority:  12 USC 321; 12 USC 325; 12 USC 1814; 12 USC 1816; 12 
USC 1828

CFR Citation:  12 CFR 228

Legal Deadline: None

Abstract: In December 1993, the Board and the other financial 
supervisory agencies proposed for public comment amendments to the 
regulations implementing the Community Reinvestment Act (CRA) (58 FR 
67465, December 21, 1993). The proposed regulations would replace the 
existing regulations. The purpose of the proposal is to develop more 
objective and enforceable regulatory requirements while reducing 
regulatory burden. To do this, the proposal calls for a new set of 
tests of banks' CRA-related performance based on their lending, 
services, and investments in low- and moderate-income communities. It 
would also require the collection of new data for larger banks but 
would provide for a streamlined assessment of the performance of 
smaller banks.
All insured depositories would be subject to the proposed regulation. 
It is the purpose of the proposal to reduce regulatory burden, 
particularly on smaller institutions, and it is not expected to have a 
significant economic impact on a substantial number of small banks. 
Following review of the public comments, the Board is expected to take 
further action (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/21/93                    58 FR 67465
Further Board action within the 
next six months                 08/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: within the next six months.

Agency Contact: Glenn E. Loney, Associate Director, Federal Reserve 
System, Division of Consumer and Community Affairs, 202 452-3585

RIN: 7100-AB75
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4838. REGULATION: DD--TRUTH IN SAVINGS (DOCKET NUMBER: R-0812)

Legal Authority:  12 USC 4301 et seq

CFR Citation:  12 CFR 230

Legal Deadline: None

Abstract: Sections 261 to 275 of the Federal Deposit Insurance 
Corporation Improvement Act of 1991 require depository institutions to 
provide a schedule of terms, rates, and fees for deposit accounts 
offered by the institution. The law also sets forth rules for 
advertisements for deposit accounts.
In July 1993, the Board approved issuing for public comment proposed 
amendments to Regulation DD regarding the calculation of the annual 
percentage yield (APY) (58 FR 64190, December 6, 1993). The proposal 
would require institutions to use a new formula to calculate the APY 
for accounts where consumers receive interest payments (by check or 
transfer to another account) more frequently than interest is 
compounded. The formula would also be used if interest is not 
compounded but the consumer receives interest periodically during the 
term of the account. The amendments will apply to both large and small 
institutions. The economic impact on small institutions will depend 
upon the variety of deposit products offered, the extent of the 
disclosures and the options for compliance offered by the final rule. 
(cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         12/06/93                    58 FR 64190
Board is expected to take 
further action by               05/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: Following review of the public 
comments, the Board is expected to take further action within the next 
three months.

Agency Contact: Leonard Chanin, Managing Counsel, Federal Reserve 
System, Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB68
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4839.  FEDERAL RESERVE BANK SERVICES (DOCKET NUMBER: R-0817)

Legal Authority:  12 USC 248(i); 12 USC 248(j); 12 USC 248(o); 12 USC 
342; 12 USC 464

CFR Citation:  None

Legal Deadline: None

Abstract: In December 1993, the Board requested public comment on a 
proposal to expand the Fedwire funds transfer format and to adopt a 
more comprehensive set of data elements, to be implemented in late 1996 
(58 FR 63366, December 1, 1993). The proposal would improve payments 
system efficiency by reducing the need for manual intervention in 
transfer processing and posting and would minimize the truncation of 
information when payment orders are forwarded to Fedwire from other 
large-value transfer systems. The proposal also would permit inclusion 
of information on all parties to a transfer, as would be required under 
proposed Treasury regulations.
Although the proposal would affect all Fedwire users, the Board expects 
that only relatively large entities using in-house or vendor-supplied 
systems will need to make significant automation changes. The proposal 
should not have a significant economic impact on a substantial number 
of small entities. Small entities generally use software provided by 
the Federal Reserve and would likely experience increased costs only in 
the areas of training and back office interface. Following review 
(cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/01/93                    58 FR 63366
Further Board action by         06/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: of the public comments, the 
Board is expected to take further action by mid-1994.

Agency Contact: Gayle Brett, Manager, Federal Reserve System, Division 
of Reserve Bank Operations and Payment Systems, 202 452-2934

RIN: 7100-AB71
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4840. RISK-BASED CAPITAL STANDARDS (DOCKET NUMBER: R-0802)

Legal Authority:  PL 102-242

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline:  Final, Statutory, June 19, 1993.

Abstract: Section 305 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 requires each Federal banking agency to revise 
its risk-based capital standards for the depository institutions it 
regulates in order to ensure that those standards take adequate account 
of interest rate risk (IRR), concentration of credit risk, and the 
risks of nontraditional activities. In March 1993, following a review 
of comments received from an advanced notice of proposed rulemaking 
issued in 1992, and after staff discussions with the other agencies, 
the Board approved for public comment a notice of proposed rulemaking 
for IRR (58 FR 48206, September 14, 1993). This proposal would allow 
institutions to use internal risk models to measure IRR (if the models 
are acceptable to examiners) and would require additional capital of 
institutions identified as having excess IRR. Also, in an effort to 
reduce the burden on small institutions, the proposal would exempt an 
estimated 8,000 institutions from any additional reporting.
The Board also approved for comment proposals regarding nontraditional 
and concentration risks that provide (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment 
on an ANPRM                     08/10/92                    57 FR 35507
Board approved requesting 
comment on proposed rulemaking  09/14/93                    58 FR 48206
Further Board action by         06/00/94

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: bankers and examiners 
substantial flexibility to evaluate these risks.
Following review of the public comments, the Board and the other 
banking agencies are expected to take further action within the next 
four months.

Agency Contact: James Embersit, Manager, Federal Reserve System, 
Division of Banking Supervision and Regulation, 202 452-5249

RIN: 7100-AB50
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
_______________________________________________________________________
 
4841. STANDARDS FOR SAFETY AND SOUNDNESS (DOCKET NUMBER: R-0766)

Legal Authority:  PL 102-242

CFR Citation:  12 CFR ch II

Legal Deadline:  Final, Statutory, August 1, 1993.

Abstract: Section 132 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 directs each Federal banking agency to 
prescribe standards regarding operations, management, asset quality, 
earnings, stock valuation (to the extent feasible), and employee 
compensation. In July 1992, the Board requested public comment on an 
interagency advance notice of proposed rulemaking (57 FR 31336, July 
15, 1992). After considering the public's comments, a notice of 
proposed rulemaking was developed that contains broad principle-based 
standards that leave the method for meeting such standards largely in 
the province of management. The proposed standards are specific enough 
to identify emerging safety and soundness problems and require 
submission of a compliance plan before those problems become serious; 
however, the standards do not specify each operational and managerial 
procedure an institution must have in place. The Board believes that 
well-managed institutions generally should not find it necessary to 
amend their operations in order to comply with the operational and 
managerial standards.
A draft notice of proposed rulemaking was approved by (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  07/15/92                    57 FR 31336
Board issued notice of proposed 
rulemaking                      11/18/93                    58 FR 60802
Further Board action by         06/00/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: the Board in April 1993, and a 
similar version was approved by the Federal Deposit Insurance 
Corporation in early June. An interagency notice was published, after 
the office of Thrift Supervision and the Office of the Comptroller of 
the Currency completed their approval processes (58 FR 60802, November 
18, 1993). The proposal is not expected to impose a significant 
economic hardship on small institutions.
Following review of the public comments, the Board is expected to take 
further action by mid-year.

Agency Contact: Roger T. Cole, Deputy Associate Director, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-2618

RIN: 7100-AB52
_______________________________________________________________________
  

_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4842. REGULATION: A--EXTENSIONS OF CREDIT BY FEDERAL RESERVE BANKS 
(DOCKET NUMBER: R-0808)

Legal Authority:  12 USC 347; 12 USC 248

CFR Citation:  12 CFR 201

Legal Deadline:  Final, Statutory, December 19, 1993.

Abstract: Section 142 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 (Federal Reserve Discount Window Advances) 
modified the Federal Reserve Act by placing limitations on Federal 
Reserve Bank liquidity lending to undercapitalized and critically 
undercapitalized depository institutions. In August 1993, the Board 
approved issuing for public comment revisions to Regulation A to 
reflect these changes. In December 1993, following review of the public 
comments, the Board adopted final revisions to Regulation A in 
substantially the form proposed (58 FR 68509, December 28, 1993). The 
regulation applies to extensions of credit to all depository 
institutions (both large and small). The regulation limits credit to 
certain undercapitalized and critically undercapitalized insured 
depository institutions, including small depository institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         08/31/93                    58 FR 45851
Board adopted proposal          12/28/93                    58 FR 68509

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Manley Williams, Attorney, Federal Reserve System, 
Legal Division, 202 736-5565

RIN: 7100-AB56
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4843. REGULATION: B--EQUAL CREDIT OPPORTUNITY (DOCKET NUMBER: R-0782)

Legal Authority:  12 USC 1691b

CFR Citation:  12 CFR 202

Legal Deadline: None

Abstract: Section 223 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 amended the Equal Credit Opportunity Act (ECOA) 
to require that upon written request a creditor must provide a credit 
applicant with a copy of the appraisal report used in connection with 
an application for a loan secured by a lien on residential real 
property. In addition, the enforcement provisions of the ECOA are 
amended to require the Federal financial supervisory agencies 
responsible for enforcing the ECOA to refer certain matters involving 
credit discrimination to the Department of Justice or the Department of 
Housing and Urban Development.
In December 1992, the Board issued for public comment proposed 
revisions to Regulation B that would implement the ECOA amendments. The 
proposal is not expected to have a substantial economic impact on small 
banks. Following review of the public comments, the Board adopted final 
amendments to the regulation in December 1993 (58 FR 65657, December 
16, 1993).

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         12/07/92                    57 FR 57697
Board adopted revisions         12/16/93                    58 FR 65657

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Leonard Chanin, Managing Counsel, Federal Reserve 
System, Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB34
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4844. REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET NUMBER: R-0796)

Legal Authority:  12 USC 1693 et seq Electronic Fund Transfer Act

CFR Citation:  12 CFR 205

Legal Deadline: None

Abstract: Regulation E implements the Electronic Fund Transfer Act, 
which establishes the basic rights, liabilities, and responsibilities 
of consumers who use electronic fund transfer services and of the 
institutions (including traditional depository institutions and other 
entities, whether or not they hold the consumer's account) that offer 
these services. In February 1993, the Board issued for public comment a 
proposal that would apply Regulation E to electronic benefit transfer 
(EBT) programs established by Federal, State, and local agencies to 
automate the delivery of government benefits to recipients. EBT 
programs involve such benefits as Aid to Families with Dependent 
Children, food stamps, and Supplemental Security Income. (The Board's 
consideration of other revisions to the existing regulation, under its 
Regulatory Improvement Program, is discussed in RIN 7100-AA77.)
This proposal would affect primarily government agencies that 
administer EBT programs, and would affect only indirectly most 
depository institutions and other private-sector entities. It is not 
anticipated that the proposed revisions would have a significant 
economic impact on small banks. (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  02/17/93                     58 FR 8714
Board adopted proposal          02/16/94

Small Entities Affected: None

Government Levels Affected: State, Local, Federal

Additional Information: ABSTRACT CONT: On February 16, 1994, following 
review of the public comments, the Board adopted a final rule to cover 
EBT systems (Federal Register cite unavailable). Except for periodic 
statements, EBT systems must be in full compliance with all applicable 
Regulation E rules, including the rules on consumer liability for 
unauthorized transactions and error resolution. The amendments to 
Regulation E are effective immediately upon publication in the Federal 
Register; however, mandatory compliance is deferred until March 1, 
1997.

Agency Contact: Adrienne D. Hurt, Managing Counsel, Financial Services 
Section, Federal Reserve System, Division of Consumer and Community 
Affairs, 202 452-2412

RIN: 7100-AB47
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4845. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NUMBER: R-0756)

Legal Authority:  PL 102-233, sec 618(b) RTC Ref., Restruc. & Improv. 
Act of 1991

CFR Citation:  12 CFR 208, app A; 12 CFR 225, app A

Legal Deadline:  NPRM, Statutory, April 10, 1992.

Abstract: In April 1992, the Board issued for public comment proposed 
modifications to its risk-based capital guidelines. The first proposed 
modification implements section 618(b) of the RTC Refunding Act of 1991 
requiring the Federal banking agencies to lower the risk weight for 
multifamily housing loans from 100 percent to 50 percent. The second 
proposed modification, adopted in December 1992, lowers the risk weight 
for certain collateralized transactions from 20 percent to 0 percent in 
order to better reflect the risk of such transactions. The latter 
proposal places U.S. banking organizations on a more equal footing with 
foreign banks subject to the Basle Accord with regard to capital 
requirements for certain low-risk collateralized transactions.
It is not anticipated that the revisions will have a significant impact 
on a substantial number of small institutions. A lower risk category 
for multifamily housing loans and certain collateralized transactions 
may help some small organizations with their capital ratios, but the 
impact will be small.
In December 1993, following review of the public (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         04/20/92                    57 FR 14362
Board adopted one of two 
modifications                   12/30/92                    57 FR 62180
Board adopted the second 
modification                    12/29/93                    58 FR 68735

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: comments, the Board adopted the 
modification regarding multifamily housing loans in substantially the 
form proposed (58 FR 68735, December 29, 1993).

Agency Contact: Robert Motyka, Supervisory Financial Analyst, Federal 
Reserve System, Division of Banking Supervision and Regulation, 202 
452-3621

RIN: 7100-AB53
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4846. REGULATION: O--LOANS TO EXECUTIVE OFFICERS, DIRECTORS, AND 
PRINCIPAL SHAREHOLDERS OF MEMBER BANKS (DOCKET NUMBER: R-0800)

Legal Authority:  PL 102-242, sec 306(d)

CFR Citation:  12 CFR 215

Legal Deadline: None

Abstract: In May 1992, the Board amended Regulation O to implement 
provisions of the Federal Deposit Insurance Corporation Act to permit 
smaller banks (deposits under $100 million) to increase their aggregate 
insider lending limit from 100 percent to 200 percent of unimpaired 
capital and unimpaired surplus, for the one year period ending May 18, 
1993. In May 1993, the Board approved extending the provision for six 
months, through November 18, 1993, and requesting additional comments 
on making the provision permanent, modifying or permitting it to 
expire. In November 1993, the Board again extended the interim rule, 
through February 18, 1994.
In January 1994, following review of the public comments, the Board 
adopted the provision with three modifications: to qualify for the 
higher lending limit, a bank must be in satisfactory overall condition 
as determined in the most recent report of examination of the bank, as 
well as being adequately capitalized; a bank operating above the 100 
percent limit that subsequently becomes ineligible for the higher limit 
may retain its existing insider loans but may not extend additional 
(cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board extended provisions of 
Regulation O                    05/14/93                    58 FR 28492
Board adopted provisions        02/24/94                     59 FR 8831

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: credit in excess of the 100 
percent; and banks will no longer be required to file the required 
resolutions with their primary regulator or the Board. The resolutions 
are to be made available for inspection during the examination process 
(59 FR 8831, February 24, 1994).
Although the rulemaking will apply to all banks with deposits under 
$100 million, it should not have a significant economic impact on 
smaller banks.

Agency Contact: Gordon L. Miller, Attorney, Federal Reserve System, 
Legal Division, 202 452-2534

RIN: 7100-AB69
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4847. REGULATION: O--LOANS TO EXECUTIVE OFFICERS, DIRECTORS, AND 
PRINCIPAL SHAREHOLDERS OF MEMBER BANKS (DOCKET NUMBER: R-0809)

Legal Authority:  PL 102-242, sec 306(2)

CFR Citation:  12 CFR 215

Legal Deadline: None

Abstract: The Housing and Community Development Act of 1992 authorized 
the Board to adopt exceptions to the definition of ``extension of 
credit'' in section 22(h) of the Federal Reserve Act for transactions 
that pose minimal risk to the lending bank. In August 1993, the Board 
approved requesting public comment on proposed amendments to Regulation 
O under this new authority. The proposed amendments would: (1) create 
an exception to the aggregate lending limit for the purchase of certain 
consumer installment paper; (2) modify the definition of ``extension of 
credit'' by (a) clarifying that the provision defining any transaction 
that has a ``tangible economic benefit'' to an insider as an extension 
of credit to the insider does not cover bona fide extensions of credit 
to third parties to finance acquisitions of property, goods, or 
services from insiders, (b) excluding from the definition the discount 
of obligations sold by an insider to the bank without recourse, and (c) 
increasing from $5,000 to $15,000 the threshold for considering credit 
card plan debt to be an extension of credit. The proposed (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment 
on proposed amendments          09/09/93                    58 FR 47400
Board adopted amendments        02/24/94                     59 FR 8831

Small Entities Affected: Businesses

Government Levels Affected: None

Additional Information: ABSTRACT CONT: amendments also modified the 
recordkeeping requirements of Regulation O to allow banks greater 
latitude in devising procedures to ensure compliance with the 
regulation, and made technical amendments designed to make the 
regulation shorter and more understandable. In January 1994, following 
review of the public comments, the Board adopted the amendments in 
substantially the form proposed (59 FR 8831, February 24, 1994). 
Because the proposal will reduce regulatory and recordkeeping burdens 
on all banks, it is not expected to have an adverse economic impact on 
small banks.

Agency Contact: Gordon L. Miller, Attorney, Federal Reserve System, 
Legal Division, 202 452-2534

RIN: 7100-AB62
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4848. REGULATION: EE--NETTING ELIGIBILITY FOR FINANCIAL INSTITUTIONS 
(DOCKET NUMBER: R-0801)

Legal Authority:  12 USC 4402(1)(B); 12 USC 4402(9)

CFR Citation:  12 CFR 231

Legal Deadline: None

Abstract: Section 401 et seq of the Federal Deposit Insurance 
Corporation Improvement Act of 1991 (FDICIA) contains provisions to 
validate netting contracts between and among financial institutions for 
the purpose of improving efficiency and reducing systemic risk in the 
banking system and financial markets. The FDICIA defines ``financial 
institution'' to include securities brokers or dealers, depository 
institutions, futures commission merchants, and any other institution 
as determined by the Board, such as broker-dealer affiliates that 
engage in netting.
In May 1993, the Board requested public comment on the expansion of the 
``financial institution'' definition to include entities not covered by 
FDICIA. In February 1994, following review of the public comments, the 
Board approved a final rule to expand the definition to institutions 
that meet certain market activity thresholds (59 FR 4780, February 2, 
1994). Small entities will be affected only to the extent that they 
engage in netting activities in the financial markets and would benefit 
by being considered financial institutions for purposes of the FDICIA 
netting provisions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  05/19/93                    58 FR 29149
Board adopted final rule        02/02/94                     59 FR 4780

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Stephanie Martin, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3198

RIN: 7100-AB35
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4849. FEDERAL RESERVE BANK SERVICES (DOCKET NUMBER: R-0778)

Legal Authority:  12 USC 248(i); 12 USC 248(j); 12 USC 248(o); 12 USC 
342; 12 USC 464

CFR Citation:  None

Legal Deadline: None

Abstract: In October 1992, the Board requested comment on a proposal to 
change the opening time for the Fedwire funds transfer service from 
8:30 a.m. Eastern Time (ET) to 6:30 a.m. ET. The earlier opening time 
would reduce settlement risk for futures, options, and foreign exchange 
transactions.
The Board also requested comment on whether the Fedwire securities 
transfer service should open concurrently with the funds service at 
6:30 a.m. ET and on the costs and benefits of extended Fedwire hours 
for depository institutions, their customers, and the financial 
markets.
In July 1993, the Board announced a delay in final action on the 
proposal pending a staff study further analyzing the complex issues 
raised by commenters. On February 9, 1994, following review of the 
public comments, the Board announced that the operating hours for the 
Fedwire funds transfer service will be expanded to 18 hours per day 
(12:30 a.m. to 6:30 p.m. ET) in early 1997, and that it will seek 
further comment on expansion of the securities service hours after 
implementation of new service capabilities (Federal Register cite 
unavailable). (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  10/14/92                    57 FR 47080
Board announced delay pending 
study                           07/28/93                    58 FR 40430
Board adopted proposal          02/09/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: Small entities should not be 
affected by this action, because they would be unlikely to choose to 
open their Fedwire operations earlier in the morning and would not 
incur increased costs.

Agency Contact: Gayle Brett, Manager, Federal Reserve System, Division 
of Reserve Bank Operations and Payment Systems, 202 452-2934

RIN: 7100-AB61
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4850. PAYMENTS SYSTEM RISK REDUCTION PROGRAM--POLICY STATEMENT (DOCKET 
NUMBER: R-0806)

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: The Board's payments system risk policy requires depository 
institutions to establish a maximum limit, or net debit cap, on 
daylight overdrafts in their Federal Reserve accounts. Institutions 
that incur a significant amount of daylight overdrafts must use a self-
assessment process to establish their caps. In August 1993, the Board 
requested public comment on revisions to the self-assessment 
procedures, as they are set out in the Board's ``Guide to the Payments 
System Risk Policy,'' to reduce the burden of conducting a self-
assessment and to expand the assessment to cover operating controls and 
contingency procedures. In January 1994, following review of the public 
comments, the Board approved the policy statement revisions 
substantially as proposed (59 FR 3104, January 20, 1994). These 
revisions would not have a significant economic impact on small 
depository institutions, because those institutions generally do not 
incur significant daylight overdrafts or perform self-assessments.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         08/24/93                    58 FR 44677
Board approved policy statement 
revisions                       01/20/94                     59 FR 3104

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Paul Bettge, Manager, Federal Reserve System, Division 
of Reserve Bank Operations and Payment Systems, 202 452-3174

RIN: 7100-AB70
_______________________________________________________________________


_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
 
4851. PROPOSALS TO MODIFY THE PAYMENTS SYSTEM RISK REDUCTION PROGRAM 
(DOCKET NUMBER: R-0693)

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In May 1990, the Board requested comment on a proposed change 
to its policy on payments system risk to assess a penalty fee on the 
maximum daily daylight overdraft incurred by certain institutions 
without regular discount window access. The Board proposed that the 
penalty rate be the same as the current penalty rate for overnight 
overdrafts.
In August 1993, following review of the public comments, the Board 
approved a structure under which Reserve Banks will assess a penalty 
fee for the average daily daylight overdrafts incurred by institutions 
without regular discount window access, specifically bankers' banks 
that do not maintain reserves, Edge and agreement corporations, and 
limited-purpose trust companies. The Board requested further comment on 
the size of the daylight overdraft penalty rate.
On February 16, 1994, following review of the public comments, the 
Board adopted a daylight overdraft penalty rate equal to the regular 
daylight overdraft rate plus 100 basis points, adjusted for the length 
of the Fedwire day (Federal Register cite unavailable). The penalty fee 
is effective April 14, (cont)

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         05/31/90                    55 FR 22086
Board adopted proposal in part 
and requested public comment    08/24/93                    58 FR 44672
Board adopted penalty rate      02/16/94

Small Entities Affected: None

Government Levels Affected: None

Additional Information: ABSTRACT CONT: 1994. It is not expected that 
this action will have a significant economic impact on a substantial 
number of small entities. The action will affect only a small subset of 
payments system participants, who are generally large entities.

Agency Contact: Stephanie Martin, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3198

RIN: 7100-AB17
[FR Doc. 94-5361 Filed 04-22-94; 8:45 am]
BILLING CODE 6210-01-F
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