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


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Part LVII





Federal Reserve System





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Semiannual Regulatory Agenda

FEDERAL RESERVE SYSTEM (FRS)                                           
  
  
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FEDERAL RESERVE SYSTEM

12 CFR Ch. II

Semiannual Regulatory Flexibility Agenda

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Semiannual agenda.

_______________________________________________________________________

SUMMARY: The Board is issuing this agenda under the Regulatory 
Flexibility Act and the Board's Statement of Policy Regarding Expanded 
Rulemaking Procedures. The Board anticipates having under consideration 
regulatory matters as indicated below during the period October 1, 
1995, through April 1, 1996. The next semiannual agenda will be 
published in April 1996.

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 October 1995 
agenda as part of the October 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. Matters begun and completed between 
issues of the agenda have not been included.

    A dot () preceding an entry indicates a new matter that 
was not a part of the Board's previous agenda and which the Board 
has not completed.

Barbara R. Lowrey,

Associate Secretary of the Board.

                                               Proposed Rule Stage                                              
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
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4626        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System.    7100-AB86 
4627        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 
4628        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 
4629        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 
4630        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 
4631        Regulation: K--International Banking Operations.......................................    7100-AB88 
4632        Regulation: K--International Banking Operations.......................................    7100-AB89 
4633        Regulation: L--Management Official Interlocks.........................................    7100-AB90 
4634        Regulation: U--Credit by Banks for the Purpose of Purchasing or Carrying Margin Stocks    7100-AB65 
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                                                Final Rule Stage                                                
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
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4635        Regulation: B--Equal Credit Opportunity (Docket Number: R-0876).......................    7100-AB99 
4636        Regulation: E--Electronic Fund Transfers (Docket Number: R-0830)......................    7100-AA77 
4637        Reg.: H--Membership of Sta. Banking Institutions in the F.R.S.; Reg.: K--International              
            Banking Operations; and Reg.: Y--Bank Holding Companies and Change in Bank Control                  
            (Docket No.:R-0885)...................................................................    7100-AC00 
4638        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 
4639        Regulation: H--Membership of State Banking Institutions in the Federal Reserve System;              
            Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Numbers: R-                
            0884 and R-0886)......................................................................    7100-AC01 
4640        Regulation: K--International Banking Operations (Docket Number: R-0754)...............    7100-AB31 
4641        Regulation: K--International Banking Operations (Docket Number: R-0862)...............    7100-AB58 
4642        Regulation: K--(International Banking Operations) (Docket Number: R-0896).............    7100-AC02 
4643        Regulation: L--Management Official Interlocks (Docket Number: R-0825).................    7100-AB72 
4644        Regulation: M--Consumer Leasing (Docket Number: R-0892)...............................    7100-AB74 
4645        Regulation: S--Reimbursement for Providing Financial Records; Recordkeeping                         
            Requirements for Certain Financial Records (Docket Number: R-0888)....................    7100-AC03 
4646        Regulation: T--Credit by Brokers and Dealers (Docket Number: R-0772)..................    7100-AB28 
4647        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0868).................................................................................    7100-AB95 
4648        Regulation: DD--Truth in Savings (Docket Number: R-0836 and Docket Number: R-0869)....    7100-AB80 
4649        Federal Reserve Bank Book-Entry Securities Transfer Services (Docket Number: R-0866)..    7100-AB97 
4650        Federal Reserve Payments System Risk Policy (Docket Number: R-0889)...................    7100-AC04 
4651        Risk-Based Capital Standards: Interest Rate Risk (Docket Number: R-0802)..............    7100-AB50 
4652        Rules of Practice for Hearings (Docket Number: R-0878)................................    7100-AC05 
4653        Standards for Safety and Soundness (Docket Number: R-0766)............................    7100-AB52 
4654        Ten Percent Revenue Limit on Bank-Ineligible Activities of Subsidiaries of Bank                     
            Holding Companies (Docket Number: R-0841).............................................    7100-AB82 
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                                                Completed Actions                                               
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
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4655        Regulation: E--Electronic Fund Transfers (Docket Number: R-0859)......................    7100-AB91 
4656        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 
4657        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 
4658        Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                 
            0851).................................................................................    7100-AB94 
4659        Regulation: Z--Truth in Lending (Docket Number: R-0858)...............................    7100-AB96 
4660        Regulation: BB--Community Reinvestment (Docket Number: R-0822)........................    7100-AB75 
4661        Internal Appeals Process (Docket Number: R-0867)......................................    7100-AB98 
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage
  
  
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4626. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM

Priority:  Substantive, Nonsignificant

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. The Board, in 
conjunction with the other banking agencies, adopted a final rule in 
July 1995 requiring use of the standard determination form developed by 
the Federal Emergency Management Agency (60 FR 35286, July 6, 1995; 
Docket Number: R-0882).
Within the next two months it is expected that the Board will approve 
requesting public comment on a proposed rule developed jointly by the 
banking agencies to implement the provisions of that statute concerning 
flood insurance purchase, escrow of flood insurance premiums, and 
notification requirements.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board may consider amendments to 
Regulation H by                 10/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

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

RIN: 7100-AB86
_______________________________________________________________________

4627. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Priority:  Substantive, Nonsignificant

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
Phone: 202 452-2741

RIN: 7100-AB39
_______________________________________________________________________

4628. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Priority:  Substantive, Nonsignificant

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 (FDICIA). 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 
included new information about market values of derivative instruments 
in its Call report requirements for March 1995. Market value 
information about on- and off-balance-sheet financial instruments is 
also reported in the banks' annual financial statements filed with the 
Board and the other Federal banking agencies pursuant to FDICIA section 
112. Following 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:
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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
Phone: 202 452-2741

RIN: 7100-AB41
_______________________________________________________________________

4629. 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)

Priority:  Substantive, Nonsignificant

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 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 five 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 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 five months                01/00/96

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
Phone: 202 452-2982

RIN: 7100-AB77
_______________________________________________________________________

4630. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN 
THE FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL

Priority:  Substantive, Nonsignificant

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                04/00/96

Small Entities Affected: Undetermined

Government Levels Affected: None

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

RIN: 7100-AB87
_______________________________________________________________________

4631. REGULATION: K--INTERNATIONAL BANKING OPERATIONS

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 3105(k)

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: By year-end, 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 12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB88
_______________________________________________________________________

4632. REGULATION: K--INTERNATIONAL BANKING OPERATIONS

Priority:  Substantive, Nonsignificant

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. Within the next two 
months, the Board is expected to consider issuing for public comment 
amendments to Regulation K to implement the statutory changes with 
respect to interstate expansion by bank merger. 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                 10/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB89
_______________________________________________________________________

4633. REGULATION: L--MANAGEMENT OFFICIAL INTERLOCKS

Priority:  Substantive, Nonsignificant

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. However, current 
legislation pending before the Congress would reverse these changes.
Depending on the outcome of the currently pending legislation, the 
Board, with the other regulatory agencies, will issue an appropriate 
proposal for public comment by year-end. It is not anticipated that any 
proposal would have a significant impact on a substantial number of 
small institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board action expected by        12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB90
_______________________________________________________________________

4634. REGULATION: U--CREDIT BY BANKS FOR THE PURPOSE OF PURCHASING 
OR CARRYING MARGIN STOCKS

Priority:  Substantive, Nonsignificant

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: The Board is conducting a periodic review of Regulation U, 
which generally regulates bank extensions of credit that are secured by 
publicly traded stock. The review will consider whether any provisions 
of the regulation are in need of updating and whether any substantive 
changes are necessary because of developments in the banking and 
securities markets. It is expected that amendments will be proposed for 
public comment before the end of 1995. 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 propose amendments to 
Regulation U by                 12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB65
_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage
  
  
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4635.  REGULATION: B--EQUAL CREDIT OPPORTUNITY (DOCKET 
NUMBER: R-0876)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1691

CFR Citation:  12 CFR 202

Legal Deadline: None

Abstract: In April 1995, the Board issued for public comment a proposed 
amendment to Regulation B to eliminate the general prohibition on 
collecting data relating to an applicant's race, color, sex, religion, 
and national origin, giving creditors the option to ask applicants to 
provide the information on a voluntary basis (60 FR 20436, April 26, 
1995). This amendment would allow data collection only; creditors still 
would be prohibited from considering an applicant's race, color, sex, 
religion, and national origin in their credit decisions.
Compliance with the proposed amendment is voluntary and would not be 
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 two months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         04/26/95                    60 FR 20436
Further Board action by         10/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Sheilah Goodman, Staff Attorney, Federal Reserve 
System, Division of Consumer and Community Affairs
Phone: 202 452-3667

RIN: 7100-AB99
_______________________________________________________________________

4636. REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET NUMBER: R-
0830)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1693b

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 by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting public 
comment                         03/07/94                    59 FR 10684
Further Board action by         12/00/95

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
Phone: 202 452-2412

RIN: 7100-AA77
_______________________________________________________________________

4637.  REG.: H--MEMBERSHIP OF STA. BANKING INSTITUTIONS IN 
THE F.R.S.; REG.: K--INTERNATIONAL BANKING OPERATIONS; AND REG.: Y--BANK 
HOLDING COMPANIES AND CHANGE IN BANK CONTROL (DOCKET NO.:R-0885)

Priority:  Substantive, Nonsignificant

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 1823(j); 12 USC 1828(o); 12 USC 1831o; 12 USC 
1831p-1; 12 USC 3105; ...

CFR Citation:  12 CFR 208.20; 12 CFR 211.8; 12 CFR 211.24(f); 12 CFR 
225.4(g)

Legal Deadline: None

Abstract: In July 1995, the Board approved issuing for public comment 
proposed revisions to its regulations on reporting of suspicious 
activities by the domestic and foreign banking organizations supervised 
by the Federal Reserve, including the reporting of suspicious financial 
transactions such as suspected violations of the Bank Secrecy Act (60 
FR 34481, July 3, 1995). The rules implement a new interagency 
suspicious activity referral process. The rules also reduce 
substantially the burden on banking organizations (including small 
institutions) in reporting suspicious activities while enhancing access 
to such information by the Federal law enforcement agencies, the 
Federal financial institutions supervisory agencies and the Department 
of the Treasury. It is not anticipated that the proposal will have a 
significant adverse economic impact on small institutions.
Following review of the public comments, the Board is expected to take 
further action within the next month in coordination with the other 
Federal financial institutions supervisory agencies.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved request for 
comment                         07/03/95                    60 FR 34481
Further Board action by         10/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Herbert A. Biern, Deputy Associate Director, Federal 
Reserve System, Division of Banking Supervision and Regulation
Phone: 202 452-2620

RIN: 7100-AC00
_______________________________________________________________________

4638. 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)

Priority:  Substantive, Nonsignificant

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 within the next two 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
Phone: 202 452-3621

RIN: 7100-AB92
_______________________________________________________________________

4639.  REGULATION: H--MEMBERSHIP OF STATE BANKING 
INSTITUTIONS IN THE FEDERAL RESERVE SYSTEM; REGULATION: Y--BANK HOLDING 
COMPANIES AND CHANGE IN BANK CONTROL (DOCKET NUMBERS: R-0884 AND R-0886)

Priority:  Substantive, Nonsignificant

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 1823(j); 12 USC 1828(o); 12 USC 1831o; 12 USC 
1831p-1; 12 USC 3105; ...

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: In July 1995, the Board published for comment proposed 
amendments to its risk-based capital guidelines for State member banks 
and bank holding companies (60 FR 38081, July 25, 1995; Docket No. R-
0884). The proposed amendments would incorporate a measure for market 
risk in foreign exchange and commodity activities and in the trading of 
debt and equity instruments. Institutions would calculate market risk 
capital charges using either their own internal models or techniques 
developed by supervisors. The amendments are consistent with proposed 
international market risk standards and with similar standards being 
developed by the other Federal bank regulatory agencies.
The Board also requested comment on an alternative ``pre-commitment'' 
approach for setting market risk capital requirements (60 FR 38142, 
July 25, 1995; Docket No. R-0886). Under this approach, an institution 
would specify the amount of capital it chose to allocate to support 
market risk over a specified period of time. The Board could provide 
incentives for institutions to allocate sufficient market risk capital 
by methods such as public disclosure of market risk capital levels or 
penalties when losses exceed allocated capital. The market risk capital 
proposals would affect only institutions with relatively large trading 
activities, and therefore would have little or no effect on small 
entities. Following review of the public comments, the Board is 
expected to take further action by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment on R-
0884                            07/25/95                    60 FR 38081
Board requested comment on R-
0886                            07/25/95                    60 FR 38142
Further Board action by         12/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: James Houpt, Assistant Director, Federal Reserve 
System, Division of Banking Supervision and Regulation
Phone: 202 452-3358

RIN: 7100-AC01
_______________________________________________________________________

4640. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET 
NUMBER: R-0754)

Priority:  Substantive, Nonsignificant

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 year-end 1995.

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         12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB31
_______________________________________________________________________

4641. REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET 
NUMBER: R-0862)

Priority:  Substantive, Nonsignificant

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         10/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB58
_______________________________________________________________________

4642.  REGULATION: K--(INTERNATIONAL BANKING OPERATIONS) 
(DOCKET NUMBER: R-0896)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 221 et seq; 12 USC 1841 et seq; 12 USC 3101 et 
seq

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: In September 1995, the Board issued for public comment 
proposed amendments to Regulation K to provide additional general 
consent authority for de novo investments in foreign companies by U.S. 
banking organizations that are strongly capitalized and well managed 
(60 FR 49350, September 25, 1995). This expanded general consent 
authority is designed to permit U.S. banking organizations meeting 
these requirements to make certain investments without the need for 
prior approval or review. In order to strike a reasonable balance 
between reduced regulatory burden and continued Board oversight, the 
amendments would impose aggregate limits on the total amount of general 
consent investments that may be made in the course of a year. In 
addition, certain investments or activities would not be eligible for 
the expanded authority. The proposed rule would require an investor 
making use of the expanded authority to provide the Board with a post-
investment notice. In addition, for those investments requiring prior 
notice to the Board, the proposed rule would streamline the processing 
of such notices. The proposed rule is not expected to have a 
significant adverse economic impact on a substantial number of small 
entities. The proposed rule will affect only those U.S. banking 
organizations with foreign operations or that are engaged in foreign 
investment activities. The expanded general consent authority would be 
further limited only to such U.S. banking organizations that qualify 
under the strongly-capitalized and well-managed requirements. Following 
review of the public comments, the Board is expected to take further 
action by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         09/25/95                    60 FR 49350
Further Board action by         12/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Sandra L. Richardson, Managing Senior Counsel, Federal 
Reserve System, Legal Division
Phone: 202 452-6406

RIN: 7100-AC02
_______________________________________________________________________

4643. REGULATION: L--MANAGEMENT OFFICIAL INTERLOCKS (DOCKET NUMBER: 
R-0825)

Priority:  Substantive, Nonsignificant

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 
adverse economic impact on a substantial number of depository 
institutions.
Current legislation pending before the Congress would make the proposed 
amendment statutory. Further Board action will be determined following 
any Congressional action on the proposal.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  02/17/94                     59 FR 7909
Further Board action following 
any Congressional action        12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB72
_______________________________________________________________________

4644. REGULATION: M--CONSUMER LEASING (DOCKET NUMBER: R-0892)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1604

CFR Citation:  12 CFR 213

Legal Deadline: None

Abstract: The Board is undertaking 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 and 
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. In August 1995, following review of the comments, the 
Board approved the issuance of a proposed rule revising Regulation M 
(60 FR 48752, September 20, 1995). The Riegle Community Development and 
Regulatory Improvement Act amendment to the Consumer Leasing Act to 
allow an alternative disclosure scheme for radio advertisements is a 
part of the proposal. It is not anticipated that the proposed revisions 
will have a significant economic impact on a substantial number of 
small entities. Following review of the public comments, the Board is 
expected to take further action within the next six months.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved requesting 
comment                         11/19/93                    58 FR 61035
Board approved issuance of a 
proposed rule                   09/20/95                    60 FR 48752
Further Board action within the 
next six months                 03/00/96

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB74
_______________________________________________________________________

4645.  REGULATION: S--REIMBURSEMENT FOR PROVIDING FINANCIAL 
RECORDS; RECORDKEEPING REQUIREMENTS FOR CERTAIN FINANCIAL RECORDS (DOCKET 
NUMBER: R-0888)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 1829b; 12 USC 1951 to 1959; 31 USC 5311 to 
5330

CFR Citation:  12 CFR 219; 12 CFR 103.33

Legal Deadline: None

Abstract: In January 1995, the Department of the Treasury and the Board 
jointly adopted a final rule that requires enhanced recordkeeping 
related to certain funds transfers and transmittals of funds by 
financial institutions (the joint rule). Also in January 1995, the 
Treasury adopted a companion rule, known as the travel rule, that 
requires financial institutions to include in transmittal orders 
certain information that must be maintained under the joint rule. The 
joint rule sets forth definitions of terms used in both rules. The 
original effective date of these rules was January 1, 1996. Subsequent 
to adoption of these rules, several banks have expressed concerns that 
compliance with the joint rule and the travel rule would be complicated 
if the parties to an international transfer were defined differently in 
the Bank Secrecy Act regulations than they are defined in the Uniform 
Commercial Code Article 4A. In response to these concerns, in August 
1995, the Board approved issuing for public comment proposed amendments 
to the joint rule's definitions and technical conforming changes to the 
substantive provisions to conform the meanings of the definitions of 
the parties to an international transfer to their meanings under 
Article 4A of the Uniform Commercial Code (60 FR 44144, August 24, 
1995). The proposed amendments are intended to reduce confusion of 
banks and nonbank financial institutions (including small institutions) 
as to the applicability of the joint rule and the travel rule and to 
reduce the cost of complying with the rules' requirements. Due to the 
uncertainties resulting from these proposed amendments, the Treasury 
and the Board have deferred the effective date of the joint rule until 
April 1, 1996.
Following review of the public comments, the Board is expected to take 
final action by year-end. It is not anticipated that the proposal will 
have a significant adverse economic impact on small institutions.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         08/24/95                    60 FR 44144
Final Board action by           12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC03
_______________________________________________________________________

4646. REGULATION: T--CREDIT BY BROKERS AND DEALERS (DOCKET NUMBER: 
R-0772)

Priority:  Substantive, Nonsignificant

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.
In June 1995, the Board proposed additional amendments that further 
reflect the comments submitted in response to the Board's Advance 
Notice of Proposed Rulemaking (60 FR 33673, June 29, 1995).
Many of the proposed amendments feature increased reliance on rules of 
the Securities and Exchange Commission and self-regulatory 
organizations. Others would make Regulation T consistent with 
Regulations G and U, the regulations covering securities credit by 
lenders other than broker-dealers. 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.
Following review of the public comments, the Board is expected to take 
further action by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board issued advance notice and 
request for comment             08/18/92                    57 FR 37109
Board requested comment on 
amendments                      06/29/95                    60 FR 33763
Further Board action by         12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB28
_______________________________________________________________________

4647. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK 
CONTROL (DOCKET NUMBER: R-0868)

Priority:  Substantive, Nonsignificant

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 by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

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

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB95
_______________________________________________________________________

4648. REGULATION: DD--TRUTH IN SAVINGS (DOCKET NUMBER: R-0836 AND 
DOCKET NUMBER: R-0869)

Priority:  Substantive, Nonsignificant

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 January 1995, the Board issued for public comment proposed 
amendments to Regulation DD that would produce an annual precentage 
yield (APY) that reflects the timing of interest payments as well as 
the timing of compounding. The proposal also solicits comment on an 
alternative method of calculating the APY (an internal rate of return 
formula) 60 FR 5142, January 26, 1995). The January 1995 proposal is an 
outgrowth of a May 1994 proposal that would have affected institutions' 
compounding and crediting practices in addition to changing the APY (59 
FR 24378, May 11, 1994). The Board also adopted in January 1995 an 
interim rule that permits institutions and deposit brokers advertising 
noncompounding multiyear time accounts that require interest payouts at 
least annually to disclose an APY equal to the interest rate (60 FR 
5128, January 26, 1995; Docket No. R-0836). Public comment on the 
approach was solicited in a July 1994 notice extending the comment 
period for the May 1994 proposal (59 FR 35271, July 11, 1994). 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 Congress is considering legislation that would require substantial 
revisions to Regulation DD, including eliminating the APY. Further 
action by the Board is deferred, pending action by the Congress on 
Truth in Savings legislation.

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 comment 01/26/95                     60 FR 5142
Further Board action following 
any Congressional action        12/00/95

Small Entities Affected: Businesses

Government Levels Affected: None

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

RIN: 7100-AB80
_______________________________________________________________________

4649. FEDERAL RESERVE BANK BOOK-ENTRY SECURITIES TRANSFER SERVICES 
(DOCKET NUMBER: R-0866)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In January 1995, the Board requested 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.
In August 1995, following review of the public comments, the Board 
adopted a firm closing time of 3:15 p.m. (ET) for transfer originations 
and 3:30 p.m. (ET) for reversals, effective January 2, 1996 (60 FR 
42410, August 15, 1995).
Following further review of the public comments, the Board is expected 
to take further action regarding earlier opening and new service 
capabilities by July 1996.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         01/03/95                      60 FR 123
Board adopted firm closing time 08/15/95                    60 FR 42410
Further Board action by         07/00/96

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
Phone: 202 452-3437

RIN: 7100-AB97
_______________________________________________________________________

4650.  FEDERAL RESERVE PAYMENTS SYSTEM RISK POLICY (DOCKET 
NUMBER: R-0889)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In August 1995, the Board approved requesting public comment 
on a policy to control access to Federal Reserve Bank automated 
clearing house (ACH) services by entities other than the depository 
institutions whose Federal Reserve accounts will be debited (60 FR 
42413, August 15, 1995). The proposed policy is intended to help ensure 
the safety and soundness of the ACH system.
The proposed policy could have a significant economic impact on a 
substantial number of small depository institutions that use Federal 
Reserve ACH services or third-party ACH service providers. The proposal 
would require those institutions to originate ACH credit transfers, set 
credit limits for those customers, and transmit those limits to a 
monitoring facility operated by either the Federal Reserve or the 
third-party service provider. Following review of the public comments, 
the Board is expected to take further action by April 1996.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         08/15/95                    60 FR 42413
Further Board action by         04/00/96

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Scott E. Knudson, Senior Financial Services Analyst, 
Federal Reserve System, Division of Reserve Bank Operations and Payment 
Systems
Phone: 202 452-3959

RIN: 7100-AC04
_______________________________________________________________________

4651. RISK-BASED CAPITAL STANDARDS: INTEREST RATE RISK (DOCKET 
NUMBER: R-0802)

Priority:  Substantive, Nonsignificant

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. 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 approved a final rule in June 1995 amending its risk-based 
capital standards to consider explicitly ``a bank's exposure to 
declines in the economic value of its capital due to changes in 
interest rates'' when evaluating capital adequacy (60 FR 39490, August 
2, 1995). It is not expected that the rule will have a significant 
economic impact on small institutions.
Also in June 1995, the Board approved requesting public comment on a 
proposed Joint Agency Policy Statement regarding the measurement and 
assessment of interest rate risk (60 FR 39495, August 2, 1995). The 
proposed Policy Statement describes a measurement framework comprised 
of exemption screens, a supervisory model, and use of a bank's own 
internal model.
Small banks would be exempted from the proposed Policy Statement and 
associated reporting requirements in order to lessen regulatory burden 
on small, well-managed banks.
Following review of the public comments, the Board is expected to take 
further action within the next 6 months.

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
Board approved final rule 
implementing section 305        08/02/95                    60 FR 39490
Board approved requesting 
comment on proposed Joint Agency 
Policy Statement                08/02/95                    60 FR 39495
Further Board action by         03/00/96

Small Entities Affected: Businesses

Government Levels Affected: None

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

RIN: 7100-AB50
_______________________________________________________________________

4652.  RULES OF PRACTICE FOR HEARINGS (DOCKET NUMBER: R-
0878)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 554 to 557; 12 USC 248; 12 USC 1817(j); 12 USC 
1818; 12 USC 1847

CFR Citation:  12 CFR 263, subpart A

Legal Deadline: None

Abstract: Section 916 of the Financial Institutions Reform, Recovery 
and Enforcement Act of 1989 required the Federal financial institutions 
regulatory agencies to develop uniform rules and procedures for 
administrative hearings. The agencies each adopted final Uniform Rules 
in August 1991. Based on their experience since then, the agencies have 
identified sections of the Uniform Rules that should be modified. In 
June 1995, amendments to those provisions were published for comment 
(60 FR 32882, June 23, 1995). In addition to technical modification or 
clarifications, the proposals also make some substantive changes 
relating to the scope of document discovery and the examination of 
witnesses by multiple counsel for a party. The proposed amendments will 
not have a significant economic impact on a substantial number of small 
entities. They affect only those persons and entities who are the 
subject of litigated enforcement actions by the Board.
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 comment         06/23/95                    60 FR 32882
Further Board action by         11/00/95

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Katherine Wheatley, Assistant General Counsel, Federal 
Reserve System, Legal Division
Phone: 202 452-3779

RIN: 7100-AC05
_______________________________________________________________________

4653. STANDARDS FOR SAFETY AND SOUNDNESS (DOCKET NUMBER: R-0766)

Priority:  Substantive, Nonsignificant

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, in February 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 were 
published in a joint agency notice in July 1995 (60 FR 35673 and 35688, 
July 10, 1995).
Following review of the public comments, the Board is expected to take 
further action on the proposed asset quality and earnings guidelines by 
year-end.

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                      07/10/95                    60 FR 35678
Board requested comment on 
additional guidelines           07/10/95                    60 FR 35688
Further Board action by         12/00/95

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB52
_______________________________________________________________________

4654. TEN PERCENT REVENUE LIMIT ON BANK-INELIGIBLE ACTIVITIES OF 
SUBSIDIARIES OF BANK HOLDING COMPANIES (DOCKET NUMBER: R-0841)

Priority:  Substantive, Nonsignificant

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 by year-end.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

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

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB82
_______________________________________________________________________

FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions
  
  
_______________________________________________________________________
  
4655. REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET NUMBER: R-
0859)

Priority:  Substantive, Nonsignificant

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.
In March 1995, following review of the public comments, the Board 
adopted a final rule in substantially the form proposed (60 FR 15032, 
March 22, 1995).

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board adopted interim rule with 
request for comment             12/02/94                    59 FR 61787
Board adopted final rule        03/22/95                    60 FR 15032

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB91
_______________________________________________________________________

4656. 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)

Priority:  Substantive, Nonsignificant

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 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 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.
In August 1995, following review of the public comments, the Board 
adopted the rule substantially as proposed (60 FR 46170, September 5, 
1995). However, in response to comments received, the Board has lowered 
the proposed conversion factor for commodity contracts with remaining 
maturities of one year or less from 12 percent to 10 percent and has 
revised the calculation of potential future exposure to recognize 
greater reductions in potential future exposure for certain derivative 
contracts subject to bilateral netting arrangements.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board approved request for 
comment                         08/24/94                    59 FR 43508
Board adopted proposal          09/05/95                    60 FR 46170

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB85
_______________________________________________________________________

4657. 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:  Substantive, Nonsignificant

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 proposal would 
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.
In August 1995, following review of the public comments, the Board 
adopted the proposal (60 FR 45612, August 31, 1995). The final rule 
does not, as proposed, amend the leverage capital guidelines for State 
member banks to require that the off-balance sheet amount of retained 
recourse on small business loans sold with recourse be included in the 
calculation of the leverage ratio. The Board has concluded that the 
leverage ratio should continue to be based primarily on the amount of 
average total on-balance sheet as reported in the Call Report.

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         02/01/95                     60 FR 6042
Board adopted proposal          08/31/95                    60 FR 45612

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
Phone: 202 452-2982

RIN: 7100-AB93
_______________________________________________________________________

4658. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK 
CONTROL (DOCKET NUMBER: R-0851)

Priority:  Substantive, Nonsignificant

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.
The proposal is not expected to have a significant economic impact on 
small institutions.
In April 1995, following review of the public comments, the Board 
adopted the proposal substantially as proposed (60 FR 20186, April 25, 
1995).

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested comment         10/26/94                    59 FR 53761
Board adopted proposal          04/25/95                    60 FR 20186

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB94
_______________________________________________________________________

4659. REGULATION: Z--TRUTH IN LENDING (DOCKET NUMBER: R-0858)

Priority:  Substantive, Nonsignificant

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.
In March 1995, following review of the public comments, the Board 
adopted the amendments in substantially the form proposed (60 FR 15463, 
March 24, 1995).

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/02/94                    59 FR 61832
Board adopted amendments        03/24/95                    60 FR 15463

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB96
_______________________________________________________________________

4660. REGULATION: BB--COMMUNITY REINVESTMENT (DOCKET NUMBER: R-
0822)

Priority:  Substantive, Nonsignificant

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).
In May 1995, following review of the public comments, the Board and the 
other agencies adopted a final revised Regulation BB (60 FR 22155, May 
4, 1995). The Regulation is similar to the 1994 proposal in most 
respects but did not include any provision for collection of race and 
gender data regarding small business and small farm credit applicants. 
In addition, the Board approved final revisions to Regulation C 
substantially as proposed (60 FR 22223, May 4, 1995). All insured 
depositories are subject to the 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.

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
Board adopted proposals         05/04/95                    60 FR 22155

Small Entities Affected: Businesses

Government Levels Affected: None

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

RIN: 7100-AB75
_______________________________________________________________________

4661. INTERNAL APPEALS PROCESS (DOCKET NUMBER: R-0867)

Priority:  Substantive, Nonsignificant

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. It is not expected that the procedures will have a 
significant economic impact on small institutions.
In March 1995, following review of the public comments, the Board 
adopted final guidelines substantially as proposed (60 FR 16470, March 
30, 1995).

Timetable:
_________________________________________________________________________

Action                            Date                      FR Cite

_________________________________________________________________________

Board requested public comment  12/29/94                    59 FR 67297
Board adopted guidelines        03/30/95                    60 FR 16470

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB98
[FR Doc. 95-24142 Filed 11-24-95; 8:45 am]
BILLING CODE 6210-01-F