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


[[Page 24325]]


_______________________________________________________________________

Part LVII





Federal Reserve System





_______________________________________________________________________



Semiannual Regulatory Agenda

Federal Register / Vol. 60, No. 88 / Monday, May 8, 1995 / 
Unified Agenda


Federal Register / Vol. 60, No. 88 / Monday, May 8, 1995 / 
Unified Agenda
[[Page 24326]]

=======================================================================

______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)
                                                                       
  
______________________________________________________________________

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, 1995. The next semiannual agenda will be published in 
October 1995.

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 1995 
agenda as part of the April 1995 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                                              
----------------------------------------------------------------------------------------------------------------
                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
----------------------------------------------------------------------------------------------------------------
4845        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System.    7100-AB86 
4846        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 
4847        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 
4848        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-             
            0835).................................................................................    7100-AB77 
4849        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            and Regulation: Y--Bank Holding Companies and Change in Bank Control..................    7100-AB87 
4850        Regulation: K--International Banking Operations.......................................    7100-AB88 
4851        Regulation: K--International Banking Operations.......................................    7100-AB89 
4852        Regulation: L--Management Official Interlocks.........................................    7100-AB90 
4853        Regulation: M--Consumer Leasing (Docket Number: R-0815)...............................    7100-AB74 
4854        Regulation: T--Credit by Brokers and Dealers (Docket Number: R-0772)..................    7100-AB28 
4855        Regulation: U--Credit by Banks for the Purpose of Purchasing or Carrying Margin Stocks    7100-AB65 
----------------------------------------------------------------------------------------------------------------


                                                Final Rule Stage                                                
----------------------------------------------------------------------------------------------------------------
                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
----------------------------------------------------------------------------------------------------------------
4856        Regulation: E--Electronic Fund Transfers (Docket Number: R-0830)......................    7100-AA77 
4857        Regulation: E--Electronic Fund Transfers (Docket Number: R-0859)......................    7100-AB91 
4858        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-             
            0845).................................................................................    7100-AB85 
4859        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-             
            0849).................................................................................    7100-AB92 
4860        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-             
            0870).................................................................................    7100-AB93 
4861        Regulation: K--International Banking Operations (Docket Number: R-0754)...............    7100-AB31 
4862        Regulation: K--International Banking Operations (Docket Number: R-0862)...............    7100-AB58 
4863        Regulation: L--Management Official Interlocks (Docket Number: R-0825).................    7100-AB72 
4864        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0851).................................................................................    7100-AB94 
4865        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0868).................................................................................    7100-AB95 
4866        Regulation: Z--Truth in Lending (Docket Number: R-0858)...............................    7100-AB96 
4867        Regulation: BB--Community Reinvestment (Docket Number: R-0822)........................   7100-AB75  
                             [[Page 24327]]
                                                                                                                
4868        Regulation: DD--Truth in Savings (Docket Number: R-0836 and Docket Number: R-0869)....    7100-AB80 
4869        Federal Reserve Bank Book-Entry Securities Transfer Services (Docket Number: R-0866)..    7100-AB97 
4870        Internal Appeals Process (Docket Number: R-0867)......................................    7100-AB98 
4871        Risk-Based Capital Standards: Interest Rate Risk (Docket Number: R-0802)..............    7100-AB50 
4872        Standards for Safety and Soundness (Docket Number: R-0766)............................    7100-AB52 
4873        Ten Percent Revenue Limit on Bank-Ineligible Activities of Subsidiaries of Bank                     
            Holding Companies (Docket Number: R-0841).............................................    7100-AB82 
----------------------------------------------------------------------------------------------------------------


                                           Completed/Longterm Actions                                           
----------------------------------------------------------------------------------------------------------------
                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
----------------------------------------------------------------------------------------------------------------
4874        Regulation: C--Home Mortgage Disclosure (Docket Number: R-0839).......................    7100-AB63 
4875        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System               
            (Docket Number R-0838)................................................................    7100-AB83 
4876        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 
4877        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 
4878        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-             
            0837).................................................................................    7100-AB84 
4879        Regulation: K--International Banking Operations (Docket Number: R-0793)...............    7100-AB46 
4880        Regulation: K--International Banking Operations (Docket Number: R-0820)...............    7100-AB67 
4881        Regulation: S--Reimbursement for Providing Financial Records; Recordkeeping                         
            Requirements for Certain Financial Records (Docket Number: R-0807)....................    7100-AB64 
4882        Regulation: T--Credit by Brokers and Dealers (Docket Number: R-0840)..................    7100-AB78 
4883        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0686).................................................................................    7100-AB07 
4884        Regulation: Y--Bank Holding Companies and Change in Bank Control......................    7100-AB29 
4885        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0843).................................................................................    7100-AB79 
4886        Federal Reserve Bank Services (Docket Number: R-0817).................................    7100-AB71 
4887        Lifeline Accounts.....................................................................    7100-AB40 
4888        Policy Statement on Privately Operated Large-Dollar Multilateral Netting Systems                    
            (Docket Number: R-0842)...............................................................    7100-AB81 
----------------------------------------------------------------------------------------------------------------




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4845.  REGULATION: H--MEMBERSHIP OF STATE BANKING 
INSTITUTIONS IN THE FEDERAL RESERVE SYSTEM

Legal Authority:  12 USC 4001 et seq

CFR Citation:  12 CFR 208

Legal Deadline: None

Abstract: The National Flood Insurance Reform Act of 1994 (title V of 
the Riegle Community Development and Regulatory Improvement Act of 
1994) includes a number of amendments to the Flood Disaster Protection 
Act of 1973. The amendments are intended to improve compliance with 
existing flood insurance purchase requirements, including provisions 
concerning forced placement of policies, escrowing of insurance 
premiums, standard determination forms, notification requirements, 
penalties of noncompliance, and compliance examination requirements. 
All State member banks, including small institutions, will be subject 
to the amended provisions.
Under the statute, the Federal banking agencies are to consult and 
coordinate on the development of implementing regulations through the 
Federal Financial Institutions Examination Council. It is expected the 
Board will consider issuing regulations implementing the statute within 
the next six months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board may consider amendments to 
Regulation H by                 08/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Lawranne Stewart, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3513

RIN: 7100-AB86


______________________________________________________________________



______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

[[Page 24328]]
4846. 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 applied to all FDIC-insured banks and thrifts. The FDIC's 
regulation applied these requirements to depository institutions with 
total assets of $500 million or more. The FDIC, as well as the Board, 
issued implementing examiner guidelines in October 1993 and 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 develop a notice of 
proposed rulemaking for public comment by year-end.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board may consider amendments to 
Regulations H and Y by          12/00/95

Small Entities Affected: None

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-AB39
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4847. 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 and 1993, 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) 
requested public comment on proposed reporting requirements, and the 
comment period expired on June 14, 1993. Furthermore, the FFIEC 
proposed on March 9, 1994, new Call Report items for derivative 
instruments, including new information on their market values. The 
comment period for this proposal expired on May 9, 1994, and the FFIEC 
has included new information about market values of derivative 
instruments in its Call Report requirements for March 1995. Following 
this final action by the FFIEC, the Board may consider requesting 
public comment by year-end on changes to its regulations in order to 
implement certain aspects of section 121.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board may consider amendments to 
Regulations H and Y by          12/00/95

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
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4848. 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-0835)

Legal Authority:  12 USC 36; 12 USC 248(a); 12 USC 248(c); 12 USC 321 
to 338a; 12 USC 371d; 12 USC 461; 12 USC 481 to 486; 12 USC 601; 12 USC 
611; 12 USC 1814; 12 USC 1817(j)(13); 12 USC 1818; 12 USC 1823(j); 12 
USC 1828(o); 12 USC 1831i; ...

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

Legal Deadline: None

Abstract: In May 1994, the Board issued for public comment two 
proposals on the capital treatment of recourse arrangements and direct 
credit substitutes. The first 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 (59 FR 27115, May 25, 1994).
Subsequent to the issuance of this proposal, the Congress mandated, 
under section 350 of the Riegle Community Development and Regulatory 
Improvement Act of 1994, that the Board issue regulations limiting, as 
of March 22, 1995, the amount of risk-based capital an insured 
depository institution is required to hold for assets transferred with 
recourse to the maximum amount of [[Page 24329]] recourse for which the 
institution is contractually liable. The portion of the Board's 
proposal dealing with low-level recourse transactions satisfies the 
minimum requirements of section 350, and, accordingly, in February 
1995, the Board adopted that portion of the proposal (60 FR 8177, 
February 13, 1995).
The second proposal, an advance notice of proposed rulemaking, sought 
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. The Board will continue to consider the 
advanced notice of proposed rulemaking, as well as the outstanding 
issues addressed in the first proposal, and is expected to take further 
action within the next six months. Small entities would be affected by 
the final rule and the two proposals only to the extent that they 
engage in extending recourse arrangements or direct credit substitutes; 
it is not expected that the proposals will have a significant economic 
impact.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  05/25/94                    59 FR 27115
Board adopted one aspect of the 
proposal                        02/13/95                     60 FR 8177
Further Board action within the 
next six months                 10/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB77
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4849.  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 36; 12 USC 321; 12 USC 1828; 12 USC 1831u; 12 
USC 1842

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: Sections 101, 102, and 103 of the Riegle-Neal Interstate 
Banking and Branching Efficiency Act of 1994 establish conditions under 
which bank holding companies and national banks will be permitted to 
engage in interstate banking and branching through acquisitions, 
mergers, and establishment of de novo branches. Under section 9 of the 
Federal Reserve Act, the limitations and conditions on branching by 
national banks also are applicable to State member banks. Section 101 
of the Riegle-Neal Act also permits a bank to receive deposits and 
provide certain other services as agent for any affiliated depository 
institution without the bank being considered to be a branch of the 
affiliated depository institution.
The Board is considering whether it is necessary to amend its 
Regulations H and Y to reflect the statutory changes.
The statutory changes reduce restrictions currently applicable to bank 
holding companies and State member banks of all sizes, including small 
institutions, and will not significantly increase regulatory burden on 
small banks.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board is expected to act on a 
proposed rule by                06/00/95

Small Entities Affected: Undetermined

Government Levels Affected: None

Agency Contact: Lawranne Stewart, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3513

RIN: 7100-AB87
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4850.  REGULATION: K--INTERNATIONAL BANKING OPERATIONS

Legal Authority:  12 USC 3105(k)

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: During the next two months, the Board will consider issuing 
for public comment a proposed amendment to Regulation K to implement 
the provision of the Riegle-Neal Interstate Banking and Branching 
Efficiency Act of 1994 that amended the International Banking Act of 
1978 by adding a new subsection regarding the management of shell 
branches. The relevant subsection prohibits foreign banks from using 
their U.S. branches or agencies to manage types of activities through 
offshore shell branches that could not be managed by a U.S. bank at its 
foreign branches or subsidiaries. It is not anticipated that the 
proposal will have a significant economic impact on a substantial 
number of small entities subject to the Board's regulation.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board will consider proposal by 04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Janet Crossen, Senior Attorney, Federal Reserve System, 
Legal Division, 202 452-3281

RIN: 7100-AB88
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4851.  REGULATION: K--INTERNATIONAL BANKING OPERATIONS

Legal Authority:  12 USC 1841 et seq; 12 USC 3101 et seq

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: The Riegle-Neal Interstate Banking and Branching Act of 1994 
contains provisions affecting foreign banks with U.S. operations, 
including, among other matters, interstate banking and branching and 
the selection of home states by foreign banks. By the end of April 
1995, the Board is expected to consider issuing for public comment 
amendments to Regulation K to implement the statutory changes. It is 
not expected that any rulemaking will have a significant economic 
impact on a substantial number of small banks.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

The Board is expected to 
consider amendments to 
Regulation K by                 05/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Douglas M. Ely, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-5289

RIN: 7100-AB89


______________________________________________________________________



______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

[[Page 24330]]
4852.  REGULATION: L--MANAGEMENT OFFICIAL INTERLOCKS

Legal Authority:  PL 103-325

CFR Citation:  12 CFR 212

Legal Deadline: None

Abstract: Regulation L implements provisions of the Depository 
Institutions Management Interlocks Act (DIMIA), which regulates 
management interlocks among depository institutions. Section 338 of the 
Riegle Community Development and Regulatory Improvement Act of 1994 
amended certain sections of DIMIA. Specifically, section 338 extends 
the grandfather provision allowing prohibited management interlocks 
that began prior to November 10, 1978, to continue until November 1998. 
The section requires that the regulatory agencies review all 
grandfathered interlocks to determine whether the interlock meets the 
criteria set forth in section 338 to qualify for an extension. Section 
338 also amended DIMIA with respect to the regulatory agencies' 
authority to create exemptions to DIMIA through general regulation. The 
section sets forth criteria that the regulatory agencies must consider 
before exempting an interlock on a case-by-case basis.
It is expected that the Board, with the other regulatory agencies, will 
issue for public comment a proposal by mid-year to implement section 
338. It is not anticipated that the proposal will have a significant 
impact on a substantial number of small institutions.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board action expected by        07/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Tina Woo, Staff Attorney, Federal Reserve System, Legal 
Division, 202 452-3890

RIN: 7100-AB90
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4853. 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, in November 1993, the Board 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 closed on February 24, 1994. Following review of the public 
comments, the Board is expected to take further action by the end of 
the first quarter of 1995. It is not anticipated that any revisions 
will have a significant economic impact on a substantial number of 
small entities.
The Riegle Community Development and Regulatory Improvement Act of 1994 
amended the Consumer Leasing Act to allow an alternative disclosure 
scheme for radio advertisements. It is contemplated that these new 
rules will be implemented as part of the Regulation M review.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board approved requesting 
comment                         11/19/93                    58 FR 61035
Further Board action by         04/00/95

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
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________

4854. 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 periodic review of Regulation T, 
which regulates extensions of credit by and to brokers and dealers. In 
August 1992, the Board approved a general request for comments to aid 
in its review (57 FR 37109, August 18, 1992). In July 1994, the Board 
proposed amendments in two specific areas of Regulation T (Docket 
Number R-0840; RIN 7100-AB78). Those amendments were adopted in October 
1994. Following completion of the evaluation of the public comments, 
the Board will again seek comment on any additional 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 by04/00/95

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
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                       Proposed Rule Stage
  
______________________________________________________________________


4855. 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 1995, 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 [[Page 24331]] 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          06/00/95

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



______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4856. REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET NUMBER: R-
0830)

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.
In February 1994, the Board approved issuing for public comment a 
revised Regulation E that includes, among other things, simplified 
language and format (59 FR 10684, March 7, 1994). 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 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 within the next three months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board approved requesting public 
comment                         03/07/94                    59 FR 10684
Further Board action by         05/00/95

Small Entities Affected: None

Government Levels Affected: None

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
  
______________________________________________________________________

4857.  REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET 
NUMBER: R-0859)

Legal Authority:  15 USC 1693

CFR Citation:  12 CFR 205

Legal Deadline: None

Abstract: In December 1994, the Board published for comment an interim 
rule amending Regulation E to eliminate the requirement that an 
electronic terminal receipt disclose a number or code that uniquely 
identifies the consumer, the consumer's account, or the access device 
(59 FR 61787, December 2, 1994). This requirement posed a significant 
security risk for consumers and financial institutions by making 
information accessible to criminals that they then used to withdraw 
funds from consumers' accounts. By deleting the requirement for a 
unique identifier, the Board enabled institutions to truncate card and 
account numbers. With a truncated number, it becomes less feasible for 
a criminal to duplicate a card with an account number that matches the 
consumer's number. The amendment will reduce fraud without compromising 
the consumer's ability to identify transactions at ATMs. By helping to 
prevent fraud, the proposed amendment will have a positive economic 
effect on small entities and will reduce regulatory burden for many 
state member banks by removing the restriction on required disclosures.
Following review of public comments, the Board is expected to adopt the 
rule in final.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board adopted interim rule with 
request for comment             12/02/94                    59 FR 61787
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Jane Jensen Gell, Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs, 202 452-2084

RIN: 7100-AB91
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4858. 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-0845)

Legal Authority:  12 USC 36; 12 USC 248(c); 12 USC 371(d); 12 USC 461; 
12 USC 601; 12 USC 611; 12 USC 1817(j)(13); 12 USC 1818; 12 USC 
1823(j); 12 USC 1828(o); 12 USC 1831i; 12 USC 1843(c)(8); 12 USC 
1972(i); 12 USC 3105; 12 USC 3106; ...

CFR Citation:  12 CFR 208, app A; 12 CFR 225, app A [[Page 24332]] 

Legal Deadline: None

Abstract: In August 1994, the Board approved issuing for public comment 
a proposal to amend the risk-based capital treatment of certain 
derivative transactions (59 FR 43508, August 24, 1994). The effect of 
the proposal, if adopted, would be twofold. First, the proposal would 
revise and expand the set of conversion factors used to calculate the 
potential future exposure of derivative contracts. Under this part of 
the proposal, long-dated interest and exchange rate contracts would be 
subject to new, higher conversion factors, and new conversion factors 
would be applied to equity, precious metal, and other commodity 
derivative contracts. The second part of the proposal would recognize 
effects of bilateral netting arrangements in the calculation of 
potential future exposure for derivative contracts subject to 
qualifying netting arrangements. It is not expected that this proposal 
will 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 within the next four months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board approved request for 
public comment                  08/24/94                    59 FR 43508
Further Board action by         06/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB85
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4859.  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-0849)

Legal Authority:  12 USC 36; 12 USC 248(a); 12 USC 248(c); 12 USC 321 
to 338a; 12 USC 371d; 12 USC 461; 12 USC 481 to 486; 12 USC 601; 12 USC 
611; 12 USC 1814; 12 USC 1817(j)(13); 12 USC 1818; 12 USC 1823(j); 12 
USC 1828(o); 12 USC 1831i; ...

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

Legal Deadline: None

Abstract: In October 1994, the Board, in conjunction with the Office of 
the Comptroller of the Currency, issued for public comment a proposal 
that would amend its risk-based capital guidelines for State member 
banks and bank holding companies by modifying the criteria used to 
define the Organization for Economic Cooperation and Development 
(OECD)-based group of countries (59 FR 52100, October 14, 1994). Under 
the guidelines, claims on the OECD-based group of countries are 
eligible for lower risk weight treatment. The OECD-based group of 
countries would continue to be defined as countries that are full 
members of the OECD (or that have concluded special lending 
arrangements with the International Monetary Fund (IMF) associated with 
the IMF's General Arrangement to Borrow), but would exclude any country 
within this group that has rescheduled its external sovereign debt 
within the previous five years. The proposed amendment is based on a 
recent announcement by the Basle Supervisors' Committee that it intends 
to revise the Basle Accord definition of the OECD-based group of 
countries. The proposed revision 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 during the next six months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  10/14/94                    59 FR 52100
Further Board action by         10/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB92
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4860.  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-0870)

Priority:  Agency Priority

Legal Authority:  12 USC 36; 12 USC 248(a); 12 USC 248(c); 12 USC 321 
to 338a; 12 USC 371d; 12 USC 461; 12 USC 481 to 486; 12 USC 601; 12 USC 
611; 12 USC 1814; 12 USC 1817(j)(13); 12 USC 1818; 12 USC 1823(j); 12 
USC 1828(o); 12 USC 1831i

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

Legal Deadline:  Final, Statutory, March 22, 1995.

Abstract: In January 1995, the Board approved issuing for public 
comment a proposal to amend its risk-based and leverage capital 
guidelines for State member banks and its risk-based capital guidelines 
for bank holding companies to reduce the capital requirement for small 
business obligations transferred with recourse by qualified banking 
organizations (60 FR 6042, February 1, 1995). This amendment is being 
proposed to implement section 208 of the Riegle Community Development 
and Regulatory Improvement Act of 1994.
Under the proposal, qualifying institutions that transfer small 
business obligations with recourse would be required to maintain 
capital only against the amount of recourse retained, provided certain 
criteria are met. The total outstanding amount of recourse retained on 
transfers of small business obligations receiving the preferential 
capital treatment generally could not exceed 15 percent of an 
institution's total risk-based capital. It is not expected that this 
proposal would have a significant economic impact on a substantial 
number of small banking organizations. Following review of the public 
comments, the Board is expected to take further action within the next 
two months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  02/01/95                     60 FR 6042
Further Board action by         04/00/95

Small Entities Affected: None [[Page 24333]] 

Government Levels Affected: None

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

RIN: 7100-AB93
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4861. 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 by mid-year.

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         06/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB31
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4862. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET 
NUMBER: R-0862)

Legal Authority:  12 USC 211

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: In December 1994, the Board issued for public comment 
proposed criteria 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 (59 FR 
64171, December 18, 1994). The proposed criteria would not have a 
significant economic impact on a substantial number of small entities 
subject to the Board's regulation. Following review of the public 
comments, the Board, in consultation with the Secretary of the 
Treasury, will consider a final rule.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/13/94                    59 FR 64171
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB58
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4863. REGULATION: L--MANAGEMENT OFFICIAL 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 five months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  02/17/94                     59 FR 7909
Further Board action by         07/00/95

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
  
______________________________________________________________________

4864.  REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN 
BANK CONTROL (DOCKET NUMBER: R-0851)

Legal Authority:  12 USC 1972(1)

CFR Citation:  12 CFR 225.7

Legal Deadline: None

Abstract: In October 1994, the Board issued for public comment a 
proposed exception to the anti-tying restrictions of section 106 of the 
Bank Holding Company Act and the Board's Regulation Y (59 FR 53761, 
October 26, 1994). The proposal would establish by regulation a ``safe 
harbor'' permitting a bank to offer a discount on any product or 
package of products if a customer maintains a combined balance in 
deposits and other products specified by the bank. The Board previously 
granted a similar exception by order to Fleet Financial Group, Inc., 
Providence, Rhode Island. Following review of the public comments, the 
Board is expected to take final action. The proposal is not expected to 
have a significant economic impact on small institutions. 
[[Page 24334]] 

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         10/26/94                    59 FR 53761
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Greg Baer, Managing Senior Counsel, Federal Reserve 
System, Legal Division, 202 452-3236

RIN: 7100-AB94
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4865.  REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN 
BANK CONTROL (DOCKET NUMBER: R-0868)

Legal Authority:  12 USC 1817(j)(13); 12 USC 1818; 12 USC 1831(i); 12 
USC 1843(c)(8); 12 USC 1844(b); 12 USC 3106; 12 USC 3108; 12 USC 3907; 
12 USC 3909; 12 USC 3310; 12 USC 3331 to 3351

CFR Citation:  12 CFR 225.125(g)

Legal Deadline: None

Abstract: Section 225.25(b)(4) of the Board's Regulation Y authorizes 
bank holding companies to act as investment adviser to registered 
investment companies. Bank holding companies that provide such services 
are subject to certain restrictions set forth in the Board's 
interpretation regarding investment adviser activities. In December 
1994, the Board approved issuing for public comment a proposal to amend 
the limitations in the investment adviser interpretation to permit bank 
holding companies that advise an investment company to purchase, in a 
fiduciary capacity, securities of the investment company if the 
purchase is specifically authorized by the terms of the instrument 
creating the fiduciary relationship, by court order, or by the law of 
the jurisdiction under which the trust is administered (59 FR 67654, 
December 30, 1994).
It is not anticipated that amending the investment adviser 
interpretation will have a significant impact on a substantial number 
of small institutions as it will relax an existing restriction. 
Following review of the public comments, the Board is expected to take 
final action.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         12/30/94                    59 FR 67654
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Thomas M. Corsi, Senior Attorney, Federal Reserve 
System, Legal Division, 202 452-3565

RIN: 7100-AB95
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4866.  REGULATION: Z--TRUTH IN LENDING (DOCKET NUMBER: R-
0858)

Priority:  Agency Priority

Legal Authority:  12 USC 3806; 12 USC 1604; 12 USC 1637(c)(5)

CFR Citation:  12 CFR 226

Legal Deadline:  Final, Statutory, March 22, 1995.

Abstract: Sections 151 to 154 of the Riegle Community Development and 
Regulatory Improvement Act of 1994 amend the Truth in Lending Act to 
impose on creditors disclosure requirements about the potential cost of 
reverse mortgage transactions and disclosure requirements and 
substantive limitations on home mortgage transactions with high rates 
or high fees. To implement sections 151 to 154, in December 1994 the 
Board published for comment amendments to Regulation Z (59 FR 61832, 
December 2, 1994). The types of mortgages that trigger these new 
requirements are not typically offered by small institutions; thus, the 
requirements would not have a significant economic impact on those 
institutions.
The Board is expected to take further action following review of the 
public comments.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/02/94                    59 FR 61832
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Jane Ahrens, Senior Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB96
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4867. REGULATION: BB--COMMUNITY REINVESTMENT (DOCKET NUMBER: R-
0822)

Priority:  Agency Priority

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). The 
proposed regulations would replace the existing regulations. The 
purpose of the proposal was to develop more objective and enforceable 
regulatory requirements while reducing regulatory burden. To do this, 
the proposal called 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 have required the 
collection of new data for larger banks but would have provided for a 
streamlined assessment of the performance of smaller banks.
In October 1994, following review of the public comments, the Board and 
the other agencies issued a revised proposal for comment (59 FR 51232, 
October 7, 1994). One significant element of the revised proposal was 
the addition of a requirement that larger banks collect data on the 
race and gender of the owners of small farms and businesses who receive 
or, in some instances, unsuccessfully apply for credit. In order to 
coordinate collection of those data with collection of data already 
required by the Home Mortgage Disclosure Act, technical conforming 
amendments were simultaneously proposed by the Board for its Regulation 
C (Home Mortgage Disclosure). The Board is expected to take further 
action by mid-year on both proposals.
All insured depositories would be subject to the proposed regulation. 
It is the purpose of this regulatory action 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. [[Page 24335]] 

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/21/93                    58 FR 67465
Board requested public comment 
on a revised proposal           10/07/94                    59 FR 51232
Further Board action by         06/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

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
  
______________________________________________________________________

4868. REGULATION: DD--TRUTH IN SAVINGS (DOCKET NUMBER: R-0836 AND 
DOCKET NUMBER: R-0869)

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 May 1994, the Board issued for public comment proposed amendments 
that would affect institutions' compounding and crediting practices and 
would have the effect of producing an annual percentage yield (APY) 
that reflects the timing of interest payments as well as the timing of 
compounding (59 FR 35271, July 11, 1994). At the same time, the Board 
solicited comment on an alternative approach for disclosing the APY. 
(The APY would be equal to the contract interest rate for 
noncompounding multi-year time accounts that pay out interest at least 
annually.) In the context of considering the May and July proposals, on 
January 4, 1995, the Board adopted the portion of the May proposal that 
produces an APY reflecting the timing of interest payments. The 
provisions relating to compounding and crediting, along with the July 
alternative approach, were not adopted. Upon request, the Board 
reconsidered its January 4 action and issued as a proposal for public 
comment the amendments adopted on January 4 (60 FR 5142, January 26, 
1995). The proposal also solicits comment on an alternative method of 
calculating the APY (an internal rate of return formula). At the same 
time, the Board adopted an interim rule that permits institutions and 
deposit brokers advertising noncompounding multi-year time accounts 
that require interest payouts at least annually to disclose an APY 
equal to the interest rate (60 FR 5128, January 26, 1995). 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.
The Board is expected to take further action following review of the 
public comments.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         05/11/94                    59 FR 24378
Board extended comment period   07/11/94                    59 FR 35271
Board adopted an interim rule   01/26/95                     60 FR 5128
Board requested further public 
comment                         01/26/95                     60 FR 5142
Further Board action by         04/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Jane Aherns, Senior Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB80
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4869.  FEDERAL RESERVE BANK BOOK-ENTRY SECURITIES TRANSFER 
SERVICES (DOCKET NUMBER: R-0866)

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In December 1994, the Board approved requesting public 
comment on the effects of opening the Fedwire on-line book-entry 
securities transfer service earlier in the day, on new service 
capabilities related to earlier opening, and on establishment of a firm 
closing time for the service (60 FR 123, January 3, 1995). An earlier 
opening time could benefit the financial markets by facilitating 
international transactions, providing increased liquidity, and reducing 
risk. Participation in the proposed early-hour service would be 
voluntary; therefore, the service should not have a significant 
economic effect on a substantial number of small entities.
Following review of the public comments, the Board is expected to take 
further action by October 1995.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         01/03/95                      60 FR 123
Further Board action by         10/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Lisa Hoskins, Project Leader, Federal Reserve System, 
Division of Reserve Bank, Operations and Payment Systems, 202 452-3437

RIN: 7100-AB97
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4870.  INTERNAL APPEALS PROCESS (DOCKET NUMBER: R-0867)

Priority:  Agency Priority

Legal Authority:  12 USC 4806

CFR Citation:  None

Legal Deadline:  Final, Statutory, March 22, 1995.

Abstract: Section 309 of the Riegle Community Development and 
Regulatory Improvement Act of 1994 requires the Federal banking 
agencies to adopt an independent internal appeals process. In December 
1994, the Board requested public comment on procedures similar to those 
currently in use by the Federal Reserve Banks (59 FR 67297, December 
29, 1994). The procedures are available to any institution supervised 
by the Federal Reserve that wishes to appeal a material supervisory 
determination. Under the procedures, an institution wishing to appeal 
can have that appeal heard by a disinterested person or persons at the 
Reserve Bank, with a further right of appeal to the Reserve Bank 
President and to the Board of Governors. The procedures set forth 
deadlines to ensure that all appeals are heard and decided 
expeditiously. Following review of the public comments, the Board is 
expected to adopt these procedures in a policy statement. It is not 
expected that the procedures will have a significant economic impact on 
small institutions. [[Page 24336]] 

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/29/94                    59 FR 67297
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Greg Baer, Managing Senior Counsel, Federal Reserve 
System, Legal Division, 202 452-3236

RIN: 7100-AB98
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________

4871. RISK-BASED CAPITAL STANDARDS: INTEREST RATE RISK (DOCKET 
NUMBER: R-0802)

Legal Authority:  12 USC 36; 12 USC 248(a); 12 USC 248(c); 12 USC 321 
to 338; 12 USC 461; 12 USC 481 to 486; 12 USC 601; 12 USC 611; 12 USC 
1814; 12 USC 1823(j); 12 USC 3105; 12 USC 3310; 12 USC 3331 to 3351; 12 
USC 3906 to 3909; 15 USC 78(b); ...

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 (FDICIA) 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 advance 
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.
In September 1994, the Riegle Community Development and Regulatory 
Improvement Act of 1994 amended section 305 of FDICIA by adding a new 
subparagraph instructing the banking agencies to ``take into account 
the size and activities of the institutions and do not cause undue 
reporting burdens.'' Following review of the public comments and the 
recently enacted legislation, the Board and the other banking agencies 
are expected to take further action within the next two months. Such 
action is expected to take into account a bank's size and activities as 
well as the related reporting burden in carrying out the mandate of 
section 305.

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         04/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

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
  
______________________________________________________________________

4872. STANDARDS FOR SAFETY AND SOUNDNESS (DOCKET NUMBER: R-0766)

Priority:  Agency Priority

Legal Authority:  PL 102-242

CFR Citation:  12 CFR ch II

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

Abstract: Section 132 of the Federal Deposit Insurance Corporation 
Improvement Act of 1991 (FDICIA) 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.
A draft notice of proposed rulemaking was approved by the Board in 
April 1993, and an interagency notice was published in November 1993 
(58 FR 60802, November 18, 1993).
In September 1994, the Riegle Community Development and Regulatory 
Improvement Act of 1994 modified section 132 by: (1) providing the 
agencies with the option to promulgate standards as guidelines rather 
than regulations; (2) removing bank holding companies from the scope of 
section 132; and (3) giving each agency discretion to prescribe 
standards relating to earnings, asset quality, and stock valuation that 
it deems appropriate.
Although the legislative changes allow the standards to be issued as 
guidelines, the enforcement provisions relating to compliance plans 
must be issued as regulations. Accordingly, on February 2, 1995, 
following review of the public comments, the Board adopted a final rule 
and guidelines for section 132 taking into account these changes. The 
final rule is not expected to have a significant economic impact on 
small institutions.
The Board also approved for comment proposed guidelines for asset 
quality and earnings that represent broader, more comprehensive 
standards than the rigid ratios or minimums originally mandated by 
section 132. The final rule and guidelines and proposed guidelines are 
expected to be published in a joint notice when the other agencies have 
completed their approval processes. Following review of the public 
comments, the Board is expected to take further action on the 
guidelines by mid-year.

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
Board adopted rule and 
guidelines                      02/02/95
Board requested public comment 
on additional guidelines        02/02/95
Further Board action by         06/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Roger T. Cole, Deputy Associate Director, Federal 
Reserve System, Division of Banking [[Page 24337]] Supervision and 
Regulation, 202 452-2618

RIN: 7100-AB52
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Final Rule Stage
  
______________________________________________________________________


4873. TEN PERCENT REVENUE LIMIT ON BANK-INELIGIBLE ACTIVITIES OF 
SUBSIDIARIES OF BANK HOLDING COMPANIES (DOCKET NUMBER: R-0841)

Legal Authority:  12 USC 377

CFR Citation:  None

Legal Deadline: None

Abstract: Section 20 of the Glass-Steagall Act prohibits a member bank 
from being affiliated with a company that is ``engaged principally'' in 
underwriting and dealing in securities that a bank may not underwrite 
and deal in directly (``ineligible securities''). In July 1994, the 
Board issued for public comment a proposal to provide an alternative to 
the current indexed revenue test used to measure compliance with the 
``engaged principally'' standard (59 FR 35516, July 12, 1994). The 
current test limits to 10 percent revenue earned from ineligible 
securities activities relative to the total revenue of a bank holding 
company subsidiary engaged, to a limited extent, in underwriting and 
dealing in ineligible securities (``section 20 subsidiary''). Comments 
were solicited on whether asset values or sales volume data, or a 
combination of both measures, should be used as a new alternative test. 
In 1993, the Board solicited comment on a proposed test based on asset 
values, then deferred a decision to adopt such a test. The current 
proposal would allow section 20 subsidiaries additional flexibility in 
the conduct of their securities operations and arises due to the 
Board's increased experience in reviewing and monitoring the activities 
and operations of these subsidiaries. The proposal would not have a 
significant economic impact on small entities nor on a substantial 
number of bank holding companies.
Following review of the public comments, the Board is expected to take 
further action.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  07/12/94                    59 FR 35516
Further Board action by         04/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB82



______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4874. REGULATION: C--HOME MORTGAGE DISCLOSURE (DOCKET NUMBER: R-
0839)

Legal Authority:  12 USC 2804

CFR Citation:  12 CFR 203

Legal Deadline: None

Abstract: Regulation C implements the Home Mortgage Disclosure Act 
(HMDA), which requires certain lenders to report information in 
connection with applications they receive for mortgage and other 
housing-related loans. In June 1994, the Board approved issuing for 
public comment proposed amendments to Regulation C to set an earlier 
deadline for reporting HMDA data to supervisory agencies; require data 
submission to be in machine-readable form; require lenders to keep 
their records of data current during the year as the data are being 
collected; and make a number of other changes (59 FR 30310, June 13, 
1994).
In December 1994, following review of the public comments, the Board 
adopted amendments in final form (59 FR 63689, December 9, 1994). The 
final amendments differed from the proposal in some respects; 
principally, the Board decided not to adopt the proposal to set an 
earlier reporting deadline.
The revisions are 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.)

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         06/13/94                    59 FR 30310
Board took final action         12/09/95                    59 FR 63698

Small Entities Affected: Businesses

Government Levels Affected: None

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

RIN: 7100-AB63
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4875. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM (DOCKET NUMBER R-0838)

Legal Authority:  12 USC 338a

CFR Citation:  12 CFR 208

Legal Deadline: None

Abstract: Section 6(b) of the Depository Institutions Disaster Relief 
Act of 1992 authorizes State member banks to make investments designed 
primarily to promote the public welfare to the extent permissible under 
State law and subject to regulation by the Board. To implement section 
6(b), in May 1994, the Board published for comment an amendment to 
Regulation H to be incorporated in a new section entitled Community 
Development and Public Welfare Investments. Following review of the 
public comments, the Board adopted a slightly modified version of the 
proposed rule in December 1994 (59 FR 63706, December 9, 1994). The 
proposed amendment will not have a significant economic impact on a 
substantial number of small entities, and will reduce regulatory burden 
for many State member banks, including small institutions, by 
permitting them to make certain investments that had previously 
required Board approval, and will have no effect in other cases.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  05/26/94                    59 FR 27247
Board adopted final rule        12/09/94                    59 FR 63706

Small Entities Affected: None [[Page 24338]] 

Government Levels Affected: None

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

RIN: 7100-AB83
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4876. 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 discussions with the other 
Federal banking agencies on the appropriate treatment of deferred tax 
assets, in December 1994, the Board adopted a final rule substantially 
as proposed (59 FR 65920, December 22, 1994).

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  02/11/93                     58 FR 8007
Board adopted rule              12/22/94                    59 FR 65920

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)                Completed/Longterm Actions
  
______________________________________________________________________

4877. 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: In December 1994, following review of the public comments, 
the Board adopted a final rule amending its risk-based capital 
guidelines (59 FR 63241, December 8, 1994). Under this final rule, 
institutions are generally directed to not include in regulatory 
capital the ``net unrealized holding gains (losses) on securities 
available for sale,'' the new common stockholders' equity account 
created by Statement of Financial Accounting Standards Number 115 (FAS 
115), ``Accounting for Certain Investments in Debt and Equity 
Securities.'' Net unrealized losses on marketable equity securities 
(i.e., equity securities with readily determinable fair values), 
however, continue to be deducted from Tier 1 capital. This rule has the 
general effect of valuing available-for-sale securities at amortized 
cost (i.e., based on historical cost), rather than at fair value (i.e., 
generally at market value), for purposes of calculating the risk-based 
and leverage capital ratios. The final rule differs from the proposal 
issued for public comment in December 1993 (58 FR 68563, December 28, 
1993). In the proposal, the risk-based capital guidelines were to be 
amended to include in Tier 1 capital ``net unrealized holding gains 
(losses) on securities available for sale.'' The final rule is 
identical to the Board's December 1993 interim rule directing State 
member banks and bank holding companies to continue calculating the 
risk-based and leverage ratios on a pre-FAS 115 basis. The amendment to 
the risk-based capital guidelines will affect bank holding companies 
with total consolidated assets of $150 million or more and all State 
member banks. The amendment is not expected to have a significant 
economic impact on a substantial number of small banks.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/28/93                    58 FR 68563
Board adopted final rule        12/08/94                    59 FR 63241

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)                Completed/Longterm Actions
  
______________________________________________________________________

4878. 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-0837)

Legal Authority:  12 USC 36; 12 USC 248(c); 12 USC 371(d); 12 USC 461; 
12 USC 601; 12 USC 611; 12 USC 1817(j)(13); 12 USC 1818; 12 USC 
1823(j); 12 USC 1828(o); 12 USC 1831i; 12 USC 1843(c)(8); 12 USC 
1972(i); 12 USC 3105; 12 USC 3106; ...

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

Legal Deadline: None

Abstract: In December 1994, following review of the public comments, 
the Board adopted a final rule with regard to netting certain 
derivative contracts for risk-based capital purposes (59 FR 62987, 
December 7, 1994). Under the rule, State member banks and bank holding 
companies may net (that is, offset) positive and negative mark-to-
market values of interest rate and exchange rate contracts that are 
subject to legally enforceable bilateral netting arrangements in order 
to calculate a single current exposure for the netting contract. 
Institutions would have to have reasoned legal opinions concluding that 
the bilateral netting arrangement is legally enforceable in all 
relevant jurisdictions. The final rule is consistent with a revision to 
Basle Accord, which was announced on July 15, 1994, and is 
substantially the same as the rule proposed in May 1994. It is not 
expected that the final rule will have a significant economic impact on 
a substantial number of small business entities. [[Page 24339]] 

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  05/20/94                    59 FR 26456
Board adopted final rule        12/07/94                    59 FR 62987

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB84
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4879. 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 with respect to 
the limitation on the powers of State branches and agencies of foreign 
banks (58 FR 513, January 6, 1993). In November 1994, following review 
of the public comments and in consultation with the FDIC, the Board 
adopted a final rule substantially as proposed (59 FR 55026, November 
3, 1994). The rule is not expected to have a significant economic 
impact on small institutions.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  01/06/93                      58 FR 513
Board adopted proposal          11/03/94                    59 FR 55026

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB46
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4880. 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.
Section 115 of the Riegle-Neal Interstate Banking and Branching 
Efficiency Act of 1994 provides that the examination fees imposed upon 
branches, agencies, representative offices, and certain affiliates of 
foreign banks by sections 7(c) and 10(c) of the International Banking 
Act of 1978, as amended, shall not apply with respect to any 
examination conducted under those sections which begins before or 
during the 3-year period beginning on July 25, 1994. The Board, 
therefore, will not be taking any further action in relation to its 
examination fees proposal until closer to the expiration of the 
moratorium.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/15/93                    58 FR 65560
Moratorium imposed for three-
year period beginning           07/25/94

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB67
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4881. 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: In August 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 regulation 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.
In December 1994, following review of the public comments and review by 
the Department of the Treasury's Bank Secrecy Act Advisory Group, the 
Board adopted a modified rule to reduce the burden associated with the 
rule, while maintaining its usefulness to law enforcement agencies (60 
FR 219, January 3, 1995).

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board approved requesting 
comment                         08/31/93                    58 FR 46024
Board approved regulation       01/03/95                      60 FR 219

Small Entities Affected: Businesses

Government Levels Affected: None [[Page 24340]] 

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

RIN: 7100-AB64
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4882. REGULATION: T--CREDIT BY BROKERS AND DEALERS (DOCKET NUMBER: 
R-0840)

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: In August 1992, the Board issued an advance notice of 
proposed rulemaking requesting public comment in connection with a 
general review of Regulation T (Docket Number R-0772; RIN 7100-AB28). 
As part of this review, in June 1994, the Board approved issuing for 
public comment specific Regulation T amendments in two areas. One 
proposal specifies that customers must pay for securities or meet 
initial margin calls within two business days of the standard 
settlement period and includes related technical amendments. The other 
proposal would exempt certain brokers and transactions involving U.S. 
Government securities. In October 1994, following review of the public 
comments, the Board adopted the amendments in substantially the same 
form as proposed (59 FR 53565, October 25, 1994). It is not anticipated 
that the revisions will have a significant economic impact on the 
overall lending activities of a substantial number of small brokerage 
firms.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         07/01/94                    59 FR 33923
Board adopted final amendments  10/25/94                    59 FR 53565

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-AB78
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4883. 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 issued an interim rule which 
implemented section 914 of the Financial Institutions Reform, Recovery, 
and Enforcement Act of 1989 by 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 regulation 
became effective immediately and the Board requested public comment on 
any of the issues raised by the regulation. The Board indicated that 
the regulation may be amended in response to the comments received.
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.
Section 303(a) of the Riegle Community Development and Regulatory 
Improvement Act of 1994 required the Federal banking agencies to work 
jointly to unify regulations with common statutory policies over the 
next two years. This new legislation affects the Board's rulemaking in 
this area and requires the Federal banking agencies to work jointly to 
unify regulation of section 914 notices. In this light, the Board does 
not anticipate taking final action on this regulation within the next 
six months.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board approved interim rule and 
request for comment             02/27/90                     55 FR 6787
Final action not expected within 
next six months                 02/24/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB07
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4884. 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.
In the Riegle Community Development and Regulatory Improvement Act of 
1994 (Act), the responsibility for all areas of what was formerly ``The 
Bank Enterprise Act'' has been turned over to the newly created 
Community Development Financial Institutions (CDFI) Fund. In section 
114 of the Act, the Administrator of the CDFI Fund is given all 
regulatory writing and implementation responsibilities that were 
previously given to the regulatory agencies in the old Bank Enterprise 
Act. This would include defining ``distressed communities.'' The CDFI 
Administrator may consult with the regulatory agencies in carrying out 
these responsibilities. [[Page 24341]] 

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board action not required       02/24/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB29
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4885. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK 
CONTROL (DOCKET NUMBER: R-0843)

Legal Authority:  12 USC 1972(1)

CFR Citation:  12 CFR 225.7

Legal Deadline: None

Abstract: Section 106(b) of the Bank Holding Company Act Amendments of 
1970 generally prohibits a bank from tying its own products, or tying 
its products to those of an affiliate. The Board's Regulation Y applies 
section 106 to bank holding companies and their nonbank subsidiaries as 
if they were banks.
In July 1994, the Board approved issuing for public comment a proposed 
rule to permit a bank holding company or its nonbank subsidiary to 
offer a discount on its products on condition that a customer obtain 
any other product from that company or subsidiary or from any of its 
nonbank affiliates (59 FR 39709, August 4, 1994). This exception would 
apply only when none of the packaged products are being offered by a 
bank. The proposal is not likely to have a significant economic impact 
on a substantial number of small entities.
In December 1994, following review of the public comments, the Board 
adopted the amendments substantially as proposed (59 FR 65473, December 
20, 1994).

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  08/04/94                    59 FR 39709
Board adopted regulation        12/20/94                    59 FR 65473

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Greg Baer, Managing Senior Counsel, Federal Reserve 
System, Legal Division, 202 452-3236

RIN: 7100-AB79
______________________________________________________________________




______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4886. 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. In December 1994, 
following review of the public comments, the Board adopted the 
proposal, to be implemented in two phases, with implementation to be 
completed by year-end 1997 (60 FR 111, January 3, 1995).

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested public comment  12/01/93                    58 FR 63366
Board adopted proposal          01/03/95                      60 FR 111

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB71
______________________________________________________________________




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FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________

4887. 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 not anticipated that implementation of the law, due to its 
voluntary character, will have a significant impact on a substantial 
number of small institutions. Action by the Board is not expected 
during 1995.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

No Board action is expected this 
year.                           02/24/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Jane Jensen Gell, Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs, 202 452-3667

RIN: 7100-AB40
______________________________________________________________________




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FEDERAL RESERVE SYSTEM (FRS)                Completed/Longterm Actions
  
______________________________________________________________________


4888. POLICY STATEMENT ON PRIVATELY OPERATED LARGE-DOLLAR 
MULTILATERAL NETTING SYSTEMS (DOCKET NUMBER: R-0842)

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In July 1994, the Board issued for public comment a proposed 
policy statement that would adopt [[Page 24342]] minimum standards for 
privately operated large-dollar multilateral netting systems (59 FR 
36438, July 18, 1994). These standards (also known as the ``Lamfalussy 
minimum standards'') were set out in a 1990 report by the central banks 
of the Group of Ten countries and are intended to reduce risk in 
multilateral netting systems. The Board also requested comment on 
whether a higher standard with respect to assuring settlement should be 
applicable to systems that present a high degree of systemic risk.
In December 1994, following review of the public comments, the Board 
adopted the proposed policy, with minor revisions (59 FR 67534, 
December 29, 1994). The Board determined not to adopt the higher 
standard for high-risk systems at that time. The policy is applicable 
to privately operated large-dollar multilateral netting systems only 
(and not to paper-based or ACH systems) and will not have a significant 
economic impact on a substantial number of small entities.

Timetable:
_______________________________________________________________________

Action                            Date                      FR Cite

_______________________________________________________________________

Board requested comment         07/18/94                    59 FR 36438
Board adopted policy statement  12/29/94                    59 FR 67534

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB81
[FR Doc. 95-5216 Filed 05-05-95; 8:45 am]
BILLING CODE 6210-01-F