[Unified Agenda of Federal Regulatory and Deregulatory Actions]
[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

[[Page 22994]]



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 regulatory agenda.

_______________________________________________________________________

SUMMARY: The Board is issuing this agenda under the Regulatory 
Flexibility Act and the Board's Statement of Policy Regarding Expanded 
Rulemaking Procedures. The Board anticipates having under consideration 
regulatory matters as indicated below during the period April 1 through 
October 1, 1998. The next semiannual agenda will be published in 
October 1998.

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

ADDRESSES: Comments should be addressed to William W. Wiles, Secretary 
of the Board, Board of Governors of the Federal Reserve System, 
Washington, DC 20551.

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

SUPPLEMENTARY INFORMATION: The Board is publishing its April 1998 
agenda as part of the April 1998 Unified Agenda of Federal Regulatory 
and Deregulatory Actions, which is coordinated by the Office of 
Management and Budget under Executive Order 12866. The agenda also 
identifies rules the Board has selected for review under section 610(c) 
of the Regulatory Flexibility Act, and public comment is invited on 
those entries. 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   
----------------------------------------------------------------------------------------------------------------
4261         Regulation: B--Equal Credit Opportunity; Regulation: M-- Consumer Leasing;                         
            Regulation: Z--Truth in Lending; and Regulation: DD--Truth in Savings.................    7100-AC46 
4262         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 
4263         Regulation: T--Credit by Brokers and Dealers; Regulation: U-- Credit by Banks; and                 
            Regulation: X--Borrowers of Securities Credit (Docket Number: R-0995).................    7100-AC45 
4264         Regulation: DD--Truth in Savings.....................................................    7100-AC34 
4265         Section 303 Regulatory Review (Section 610 Review)...................................    7100-AC09 
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                                                Final Rule Stage                                                
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
----------------------------------------------------------------------------------------------------------------
4266         Regulation: B--Equal Credit Opportunity (Docket Number: R-0978)......................    7100-AC35 
4267         Regulation: D--Reserve Requirements of Depository Institutions (Docket Numbers: R-                 
            0929 and R-0956)......................................................................    7100-AC11 
4268         Regulation: D--Reserve Requirements of Depository Institutions (Docket Number: R-                  
            0988).................................................................................    7100-AC48 
4269         Regulation: E--Electronic Fund Transfers (Docket Number: R-0919).....................    7100-AC06 
4270         Regulation: H--Membership of State Banking Institutions in the Federal Reserve System              
            (Docket Number: R-0950)...............................................................    7100-AC14 
4271         Regulation: H--Membership of State Banking Institutions in the Federal Reserve System              
            (Docket Number: R-0964)...............................................................    7100-AC37 
4272         Regulation: H--Membership of State Banking Institutions in the Federal Reserve                     
            System; Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket                    
            Number: R-0930).......................................................................    7100-AC13 
4273         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-0976).......................................................................    7100-AC38 
4274         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-0985).......................................................................    7100-AB77 
4275         Regulation: H--Membership of State Banking Institutions in the Federal Reserve                     
            System; and Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket                
            No: R-0947 & R-0948)..................................................................    7100-AC29 
4276         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-0982).......................................................................    7100-AC39 
4277         Regulation: I--Issue and Cancellation of Capital Stock of Federal Reserve Banks                    
            (Docket Number: R-0966)...............................................................    7100-AC40 

[[Page 22995]]

                                                                                                                
4278         Regulation: K--International Banking Operations (Docket Number: R-0994)..............    7100-AC47 
4279         Regulation: Y--Bank Holding Companies and Change in Bank Control (Docket Number: R-                
            0990).................................................................................    7100-AC49 
4280         Regulation: DD--Truth in Savings (Docket Numbers: R-0836 and R-0869).................    7100-AB80 
4281         Policy Statement on Privately Operated Multilateral Settlement Systems (Docket                     
            Number: R-0987).......................................................................    7100-AC44 
4282         Rules Regarding Availability of Information (Docket Number: R-0917)..................    7100-AC22 
4283         Applicability of Sections 23A and 23B of the Federal Reserve Act to Transactions                   
            Between a Member Bank and Its Subsidiaries (Docket Number: R-0977)....................    7100-AC42 
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                                                Completed Actions                                               
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                                                                                                     Regulation 
 Sequence                                           Title                                            Identifier 
  Number                                                                                               Number   
----------------------------------------------------------------------------------------------------------------
4284         Regulation: B--Equal Credit Opportunity (Docket Number: R-0955)......................    7100-AC23 
4285         Regulation: D--Reserve Requirements of Depository Institutions (Docket Number: R-                  
            0980).................................................................................    7100-AC36 
4286         Regulation: G--Securities Credit by Persons Other than Banks, Brokers, or Dealers;                 
            Regulation: T--Credit by Brokers and Dealers; Regulation: U--Credit by Banks (Docket                
            Number: R-0923).......................................................................    7100-AC12 
4287         Regulation: G--Securities Credit by Persons Other Than Banks, Brokers, or Dealers;                 
            Regulation: T--Credit by Brokers and Dealers; Regulation: U--Credit by Banks (Docket                
            Number R-0944)........................................................................    7100-AC27 
4288         Regulation: H--Membership of State Banking Institutions in the Federal Reserve                     
            System; and Regulation: K--International Banking Operations (Docket Number: R-0962)...    7100-AC28 
4289         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 
4290         Regulation: J--Collection of Checks and Other Items by Federal Reserve Banks and                   
            Funds Transfers Through Fedwire (Docket Number: R-0972)...............................    7100-AC41 
4291         Regulation: U--Credit by Banks for the Purpose of Purchasing or Carrying Margin                    
            Stocks (Docket Number: R-0905) (Section 610 Review)...................................    7100-AB65 
4292         Regulation: Y--Bank Holding Companies and Change in Bank Control; Review of                        
            Restrictions in the Board's Section 20 Orders (Docket Number: R-0958).................    7100-AC31 
4293         Regulation: Z--Truth in Lending (Docket Number: R-0960)..............................    7100-AC33 
4294         Rules Regarding Availability of Information (Docket Number: R-0975)..................    7100-AC43 
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FEDERAL RESERVE SYSTEM (FRS)                        Proposed Rule Stage


  



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4261.  REGULATION: B--EQUAL CREDIT OPPORTUNITY; REGULATION: M--
CONSUMER LEASING; REGULATION: Z--TRUTH IN LENDING; AND REGULATION: DD--
TRUTH IN SAVINGS

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1601 et seq; 12 USC 4301 et seq

CFR Citation:  12 CFR 202; 12 CFR 213; 12 CFR 226; 12 CFR 230

Legal Deadline: None

Abstract: Within the next two months, it is expected that the Board 
will consider issuing for public comment proposals to amend its 
consumer regulations, B (Equal Credit Opportunity), M (Consumer 
Leasing), Z (Truth in Lending), and DD (Truth in Savings) to permit 
electronic communications to substitute generally for oral or written 
disclosures, documentation, and notices required under the individual 
regulations. Similar amendments to Regulation E were proposed as part 
of the Board's overall review of its regulations as required by section 
303 of the Riegle Community Development and Regulatory Improvement Act 
of 1994 (Docket Number: R-0919; RIN: 7100-AC06). The Board identified 
the use of electronic communication between consumers and financial 
institutions as an area that offered an opportunity to reduce 
regulatory compliance burden without adversely affecting consumer 
protections.
It is not expected that any proposals would have a significant economic 
impact on small institutions.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board is expected to request 
comment by                      04/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Michael Hentrell, Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs
Phone: 202 452-2412

RIN: 7100-AC46

[[Page 22996]]

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4262. 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. Subsequently in February 1996, 
the FDIC approved amendments to its rules implementing section 112 that 
were largely required by the Riegle Community Development and 
Regulatory Improvement Act of 1994. These amendments expand 
opportunities for holding companies to file a single report covering 
multiple subsidiary banking organizations, conform the rule's 
references to the Federal Reserve's Regulation O, and make other 
technical revisions.
The Board has joint rulemaking authority with the other banking 
agencies regarding the enforcement provisions of section 112. The Board 
and the other agencies will issue a notice of proposed rulemaking for 
public comment when interagency agreement is reached.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board may consider amendments to 
Regulations H and Y by          04/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Michael Starr, Senior Attorney, Federal Reserve System, 
Division of Banking Supervision and Regulation
Phone: 202 452-5874

RIN: 7100-AB39
_______________________________________________________________________




4263.  REGULATION: T--CREDIT BY BROKERS AND DEALERS; REGULATION: 
U--CREDIT BY BANKS; AND REGULATION: X--BORROWERS OF SECURITIES CREDIT 
(DOCKET NUMBER: R-0995)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 78G, Securities Exchange Act of 1934, as 
amended

CFR Citation:  12 CFR 220; 12 CFR 221; 12 CFR 224

Legal Deadline: None

Abstract: As part of the regular review of its regulations and in 
accordance with requirements of section 303 of the Riegle Community 
Development and Regulatory Improvement Act of 1994, the Board is 
conducting a review of its margin regulations. In order to complete 
this review, the Board approved issuing for public comment an advance 
notice of proposed rulemaking and request for comment in December 1997 
(63 FR 2840, January 16, 1998). The advance notice highlights issues 
raised by commenters in response to previous requests for comment that 
had not been addressed by the Board in the course of its periodic 
review. It also provides an opportunity to further harmonize the 
treatment of bank and nonbank lenders under the revised Regulation U 
adopted by the Board at the same time as the advance notice. The 
advance notice also invites comment on all areas of the regulations.
Following review of the public comments, the Board is expected to take 
further action within the next six months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         01/16/98                     63 FR 2840
Further Board action by         08/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Scott Holz, Senior Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-2966

RIN: 7100-AC45
_______________________________________________________________________




4264. REGULATION: DD--TRUTH IN SAVINGS

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 September 1996, the Congress amended the Truth in Savings Act as a 
part of the Economic Growth and Regulatory Paperwork Reduction Act of 
1996. The amendments repeal the definition of ``indoor lobby sign,'' 
eliminate any disclosure requirements for nonrenewing time accounts 
with terms less than 30 days, and exempt certain credit unions from 
coverage. Within the next two months, the Board is expected to consider 
proposing for public comment amendments to implement the statutory 
changes. It is not expected that there will be a significant economic 
impact on small institutions.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board is expected to request 
comment by                      04/00/98

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-AC34

[[Page 22997]]

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4265. SECTION 303 REGULATORY REVIEW (SECTION 610 REVIEW)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 4803(a)(1); 5 USC 610

CFR Citation:  12 CFR ch II

Legal Deadline:  Other, Statutory, September 23, 1996.
Progress Report due to Congress.

Abstract: In response to the requirements of section 303 of the Riegle 
Community Development and Regulatory Improvement Act of 1994, the Board 
is reviewing its regulations for purposes of streamlining, improving 
efficiency, reducing unnecessary costs, and removing inconsistencies 
and outmoded/duplicative requirements. The Board is also working 
jointly with the other banking agencies to make uniform regulations and 
guidelines implementing common statutory and supervisory policies. A 
regulatory review timetable was published in the Federal Register in 
October 1995 (60 FR 53546, October 16, 1995). A progress report was 
sent to the Congress in September 1996.
Items below indicated with an asterisk are also being reviewed by the 
Board in accordance with the periodic review requirements of section 
610(c) of the Regulatory Flexibility Act.
Within the next twelve months, it is expected that the Board will seek 
public comment during the course of the reviews of the following 
regulations/policy statements/other regulatory guidance. Reviews 
already proposed for public comment appear elsewhere in the Agenda.
*Regulation B, Equal Credit Opportunity.
Regulation C, Home Mortgage Disclosure.
Regulations H and Y, Appendices, Capital Adequacy Guidelines.
*Regulation Z, Truth in Lending.
Regulation DD, Truth in Savings.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board action expected during the 
next twelve months              03/00/99

Small Entities Affected: Businesses

Government Levels Affected: None

Agency Contact: Barbara R. Lowrey, Associate Secretary, Federal Reserve 
System, Office of the Secretary
Phone: 202 452-3742

RIN: 7100-AC09
_______________________________________________________________________


FEDERAL RESERVE SYSTEM (FRS)                           Final Rule Stage


  



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4266. REGULATION: B--EQUAL CREDIT OPPORTUNITY (DOCKET NUMBER: R-0978)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1691

CFR Citation:  12 CFR 202

Legal Deadline: None

Abstract: Regulation B requires creditors to provide a consumer with a 
notice of action taken if an application for credit is denied, an 
account is terminated, or the terms of an account are unfavorably 
changed. The Fair Credit Reporting Act (FCRA) requires creditors that 
take adverse action against a consumer, such as denying an application 
for credit, to provide the consumer with certain disclosures if the 
action is based on a credit report provided by a consumer reporting 
agency or information obtained from a third party. Creditors have the 
option of including the FCRA disclosures with the notice of action 
taken required under Regulation B; appendix C to Regulation B provides 
model forms that combine the current FCRA and Equal Credit Opportunity 
Act disclosures.
The Economic Growth and Regulatory Paperwork Reduction Act of 1996 made 
extensive changes to the FCRA, including a requirement that additional 
disclosures be given to consumers who are denied credit. In July 1997, 
the Board requested public comment on proposed changes to the FCRA 
portion of Regulation B's model forms C-1 through C-5 and to the 
general instructions for these forms (62 FR 37166, July 11, 1997). 
Following review of the public comments, the Board is expected to adopt 
final amended model forms within the next two months to ease compliance 
for creditors that choose to use the forms. The proposals are not 
expected to have a significant economic impact on small entities.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         07/11/97                    62 FR 37166
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC35
_______________________________________________________________________




4267. REGULATION: D--RESERVE REQUIREMENTS OF DEPOSITORY INSTITUTIONS 
(DOCKET NUMBERS: R-0929 AND R-0956)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 248(a); 12 USC 248(c); 12 USC 371a; 12 USC 
461; 12 USC 601; 12 USC 611; 12 USC 3105

CFR Citation:  12 CFR 208

Legal Deadline: None

Abstract: In June 1996, as part of its regulatory review process 
mandated by section 303 of the Riegle Community Development and 
Regulatory Improvement Act of 1994, the Board approved issuing for 
public comment a proposal to amend Regulation D in order to reduce 
burden and simplify and update regulatory requirements (61 FR 30545, 
June 17, 1996). In general, the proposal would delete transitional 
rules relating to the expansion of reserve requirements to nonmember 
depository institutions, the authorization of NOW accounts nationwide, 
and other matters that no longer have a significant effect.
In December 1996, following review of the public comments, the Board 
adopted the revisions substantially as proposed (61 FR 69020, December 
31, 1996).

[[Page 22998]]


At the same time, the Board issued for public comment a proposed rule 
that would revise and clarify the definition of ``savings deposit'' 
consistent with comments received in connection with the Board's June 
proposal and would make conforming changes to the definition of 
``transaction account'' (61 FR 96054, December 31, 1996). It is not 
expected that the proposal will have a significant adverse impact upon 
a substantial number of small entities. Following review of the public 
comments, the Board is expected to take further action within the next 
four months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         06/17/96                    61 FR 30545
Board adopted June 1996 proposal12/31/96                    61 FR 69020
Board requested comment on 
additional proposal             12/31/96                    61 FR 69054
Further Board action by         07/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Rick Heyke, Staff Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-3688

RIN: 7100-AC11
_______________________________________________________________________




4268.  REGULATION: D--RESERVE REQUIREMENTS OF DEPOSITORY 
INSTITUTIONS (DOCKET NUMBER: R-0988)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 461

CFR Citation:  12 CFR 4

Legal Deadline: None

Abstract: In November 1997, the Board approved issuing for public 
comment a proposal to move from the current system of contemporaneous 
reserve maintenance for institutions that are weekly reporters to a 
system under which reserves are maintained on a lagged basis by such 
institutions (62 FR 60671, November 12, 1997). Under a lagged 
maintenance system, the reserve maintenance period for a weekly 
reporter will begin 30 days after the beginning of a reserve 
computation period. Under the current system, the reserve maintenance 
period begins two days after the beginning of the computation period. 
The Board is considering this action to improve the ability of the 
Federal Reserve to estimate accurately the need for reserves on a 
timely basis to ensure greater effectiveness of the Federal Reserve's 
open market operations.
The proposal will affect only those institutions that are weekly 
deposit reporters, which generally include depository institutions that 
have total deposits of $75 million or greater, as these are the only 
institutions currently required to maintain contemporaneous reserves on 
a contemporaneous basis. For those institutions that are weekly 
reporters, the proposed amendments generally would simplify compliance 
with reserve requirements for these institutions. The proposal is 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 mid-year.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         11/12/97                    62 FR 60671
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Oliver Ireland, Associate General Counsel, Federal 
Reserve System, Legal Division
Phone: 202 452-3625

RIN: 7100-AC48
_______________________________________________________________________




4269. REGULATION: E--ELECTRONIC FUND TRANSFERS (DOCKET NUMBER: R-0919)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1693 et seq

CFR Citation:  12 CFR 205

Legal Deadline: None

Abstract: In May 1996, the Board issued for public comment proposed 
amendments to Regulation E imposing modified requirements on stored-
value products in systems that track individual transactions, cards, or 
consumers and providing an exemption for cards on which a maximum value 
of $100 can be stored (61 FR 19696, May 2, 1996).
The Board also proposed extending the error resolution time limits for 
new accounts and permitting electronic communications to substitute 
generally for oral or written disclosures, documentation, and notices 
required under Regulation E.
The proposals are part of the Board's overall review of its regulations 
as required by section 303 of the Riegle Community Development and 
Regulatory Improvement Act of 1994. It is not expected that the 
proposals would 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 on the 
proposals to extend the error-resolution time limits and to permit 
electronic communications to substitute for certain requirements under 
Regulation E. It is anticipated that the Board will take further action 
by year-end on the stored-value card amendment.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         05/02/96                    61 FR 19696
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC06
_______________________________________________________________________




4270. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM (DOCKET NUMBER: R-0950)

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 1818; 12 USC 1823(j); 12 USC 1828(o); 12 USC 
1831o; 12 USC 1831p-1; ...

CFR Citation:  12 CFR 208

Legal Deadline: None

Abstract: In December 1996, the Board, the Federal Deposit Insurance 
Corporation, and the Office of the Comptroller of the Currency jointly 
published for comment a proposed regulation establishing a professional 
qualification program for banks that engage in retail recommendations 
and sales of certain securities using their

[[Page 22999]]

own employees (61 FR 68824, December 30, 1996). The proposed regulation 
will establish qualification testing, registration, and continuing 
education requirements for bank employees that act in the capacity of 
bank securities representatives. The proposed requirements will be 
based on the professional qualification rules of the securities self-
regulatory organizations. It is not anticipated that the proposal will 
have a significant economic impact on a substantial number of small 
banks.
Following review of the public comments and coordination with the other 
agencies, the Board is expected to take further action within the next 
two months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         12/30/96                    61 FR 68824
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Angela Desmond, Senior Counsel, Federal Reserve System, 
Division of Banking Supervision and Regulation
Phone: 202 452-2781

RIN: 7100-AC14
_______________________________________________________________________




4271. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM (DOCKET NUMBER: R-0964)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 24; 12 USC 36; 12 USC 248(a); 12 USC 248(c); 
12 USC 321 to 338a; 12 USC 481 to 486; 12 USC 601; 12 USC 611; 12 USC 
1814; 12 USC 1816; 12 USC 1818; 12 USC 1820(d)(9); 12 USC 1823(j); 12 
USC 1828(o); 12 USC 1831(o); ...

CFR Citation:  12 CFR 208

Legal Deadline: None

Abstract: In March 1997, the Board issued for public comment proposed 
amendments to subpart A of Regulation H regarding the general 
provisions for membership in the Federal Reserve System and subpart E, 
Interpretations of Regulation H (62 FR 15272, March 31, 1997). The 
proposed amendments reduce regulatory burden and simplify and update 
requirements of Regulation H.
The amended subpart A of Regulation H will, when fully effective, 
replace the existing subpart A in its entirety; it will also eliminate 
several obsolete interpretations. Also, as part of the revisions, the 
Board is rescinding Regulation P, Security Procedures, and 
incorporating its provisions into Regulation H (Docket Number R-0965). 
The proposal to modernize subpart A of Regulation H is in accordance 
with the Board's review of regulations under section 303 of the Riegle 
Community Development and Regulatory Improvement Act of 1994. 
Consistent with the objectives of the Regulatory Flexibility Act, it is 
expected that the proposed changes will reduce the time and costs 
associated with complying with Regulation H, thereby improving the 
ability of small organizations to conduct business on a more cost-
efficient basis.
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 on 
Regulations H and P             03/31/97                    62 FR 15272
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Jean Anderson, Staff Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-3707

RIN: 7100-AC37
_______________________________________________________________________




4272. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE 
IN BANK CONTROL (DOCKET NUMBER: R-0930)

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

CFR Citation:  12 CFR 208 app A

Legal Deadline: None

Abstract: In August 1996, the Board issued for public comment a 
proposal to revise the risk-based capital treatment for certain 
collateralized transactions (61 FR 42565, August 16, 1996). Under the 
Board's existing risk-based capital treatment, the portion of a 
transaction that is supported by qualifying collateral (that is, cash 
or OECD government securities) is risk-weighted at 20 percent. 
Transactions that are fully supported by collateral with a positive 
margin may be eligible for a zero percent risk weight. Generally, the 
proposal would permit a portion of a transaction that is fully 
supported with a positive margin of collateral to be eligible for a 
zero percent risk weight. The portion that is to be continuously 
collateralized must be specified by the parties.
This proposal was developed on an interagency basis and, if adopted, 
would eliminate one of the substantive differences among the agencies 
with regard to the risk-based capital treatment for collateralized 
transactions. It would implement part of the Riegle Community 
Development and Regulatory Improvement Act of 1994, which requires the 
agencies to make uniform regulations and guidelines implementing common 
supervisory policies. The effect of the proposal would be to allow 
institutions to hold less capital for certain collateralized 
transactions. It is not expected to 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 four months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         08/16/96                    61 FR 42565
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Barbara Bouchard, Manager, Federal Reserve System, 
Division of Banking Supervision and Regulation
Phone: 202 452-3072

RIN: 7100-AC13

[[Page 23000]]

_______________________________________________________________________




4273. 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-0976)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 24; 12 USC 36; 12 USC 92(a); 12 USC 93(a); 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 1816; 12 
USC 1818; ...

CFR Citation:  12 CFR 208; 12 CFR 225

Legal Deadline: None

Abstract: In July 1997, the Board approved issuing for public comment a 
proposal to revise the risk-based and Tier 1 leverage capital adequacy 
guidelines for State member banks and bank holding companies to address 
the treatment of servicing assets on both mortgage assets and financial 
assets other than mortgages (non-mortgages) (62 FR 42006, August 4, 
1997). The proposed rule was developed in response to a recent 
Financial Accounting Standards Board accounting standard that affects 
servicing assets; that is, Statement of Financial Accounting Standards 
No. 125, ``Accounting For Transfers and Servicing of Financial Assets 
and Extinguishments of Liabilities'' issued in June 1996. Under this 
proposed rule, the limitation on the amount of mortgage servicing 
assets (and purchased credit card relationships) that can be recognized 
as a percent of Tier 1 capital would be increased from 50 to 100 
percent. Also, all non-mortgage servicing assets would be fully 
deducted from Tier 1 capital. This proposal is a joint proposal of the 
Board, the Federal Deposit Insurance Corporation, the Office of the 
Comptroller of the Currency, and the Office of Thrift Supervision.
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. Following review of the public comments, the 
Board and the other banking agencies are expected to take further 
action by mid-year.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         08/04/97                    62 FR 42006
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC38
_______________________________________________________________________




4274. 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-0985)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 36; 12 USC 248(a); 12 USC 248(c); 12 USC 321 
to 338; 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). 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.
Subsequent to the issuance of this proposal, the Board issued a 
regulation limiting 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 (60 FR 8177, February 13, 1995).
In November 1997, the Board requested public comment on a revised 
proposal that sets forth the definitions and capital treatments 
discussed above (62 FR 59944, November 5, 1997). In addition, the 
proposal requests comment on several alternative approaches to 
assessing capital against asset securitizations including the use of 
internal bank information.
Small entities would be affected by the final rule and the two 
proposals only to the extent that they engage in extending recourse 
arrangements and direct credit substitutes or purchasing asset-backed 
securities. It is not expected that the proposals will 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 four months.

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
Board requested comment         11/05/97                    62 FR 59944
Further Board action by         07/00/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB77
_______________________________________________________________________




4275. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: Y--BANK HOLDING COMPANIES AND 
CHANGE IN BANK CONTROL (DOCKET NO: R-0947 & R-0948)

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

[[Page 23001]]

USC 481 to 486; 12 USC 601; 12 USC 611; 12 USC 1814; 12 USC 1816; 12 
USC 1818; 12 USC 1823(j); 12 USC 1828(o); 12 USC 1831o; ...

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

Legal Deadline: None

Abstract: In October 1997, the Board issued for public comment 
proposals to revise the Federal Reserve's risk-based capital treatment 
for junior liens on 1- to 4-family residential properties and for 
investments in mutual funds (62 FR 55686, October 27, 1997). The 
proposals also simplify the Federal Reserve's leverage capital 
guidelines for banks and make the leverage capital guidelines for bank 
holding companies consistent with the definition of a well-capitalized 
bank holding company.
The proposals were issued on an interagency basis as part of the 
efforts under section 303 of the Riegle Community Development and 
Regulatory Improvement Act of 1994 to make interagency guidelines 
uniform. Following review of the public comments, the agencies expect 
to issue final amendments by mid-year. The proposed changes will not 
have a significant economic impact on a substantial number of small 
entities subject to the Board's regulation.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         10/27/97                    62 FR 55686
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Barbara Bouchard, Manager, Federal Reserve System, 
Division of Banking Supervision and Regulation
Phone: 202 452-3072

RIN: 7100-AC29
_______________________________________________________________________




4276. 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-0982)

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 1816; 12 USC 1818; 12 USC 1823(j); 12 USC 
1828(o); 12 USC 1831o; ...

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

Legal Deadline: None

Abstract: In October 1997, as part of a joint interagency proposal, the 
Board requested public comment on revisions to the Federal Reserve's 
risk-based capital guidelines to permit certain revaluation gains on 
equity securities in Tier 2 capital (62 FR 55682, October 27, 1997). 
Under the proposal an institution would be permitted to include in Tier 
2 capital up to 45 percent of its unrealized revaluation gains on 
prudently valued equity securities. This treatment is consistent with 
the Basel Accord.
Following review of the public comments, the Board is expected to take 
further action by mid-year. It is not expected that the proposal, if 
adopted as a final rule, would have a significant economic impact on a 
substantial number of small entities subject to the Board's regulation.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         10/27/97                    62 FR 55682
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Barbara Bouchard, Manager, Federal Reserve System, 
Division of Banking Supervision and Regulation
Phone: 202 452-3072

RIN: 7100-AC39
_______________________________________________________________________




4277. REGULATION: I--ISSUE AND CANCELLATION OF CAPITAL STOCK OF FEDERAL 
RESERVE BANKS (DOCKET NUMBER: R-0966)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 222; 12 USC 282; 12 USC 286 to 288; 12 USC 
321; 12 USC 323; 12 USC 327 to 328; 12 USC 333

CFR Citation:  12 CFR 209

Legal Deadline: None

Abstract: In March 1997, the Board issued for public comment proposed 
amendments to Regulation I to reduce regulatory burden and simplify and 
update the regulation (62 FR 15297, March 31, 1997). The proposals are 
a part of the Board's overall review of its regulations under section 
303 of the Riegle Community Development and Regulatory Improvement Act 
of 1994. In general, the amendments condense the regulation and reflect 
the replacement of share certificates by a book-entry system. The 
proposal also codifies Board and staff interpretations. Finally, the 
amendments delete references to specific obsolete forms or forms which 
no longer have the same identification numbers.
The proposal would apply to all Federal Reserve Banks and member banks 
regardless of size and, as consistent with the objectives of the 
Regulatory Flexibility Act, would be burden-reducing. Therefore, the 
proposal would not have a significant adverse 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 
two months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         03/31/97                    62 FR 15297
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Rick Heyke, Staff Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-3688

RIN: 7100-AC40
_______________________________________________________________________




4278.  REGULATION: K--INTERNATIONAL BANKING OPERATIONS (DOCKET 
NUMBER: R-0994)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 221 et seq; 12 USC 248(i); 12 USC 248(k); 12 
USC 1818; 12 USC 1835a; 12 USC 1841 et seq; 12 USC 3101 et seq; 12 USC 
3109 et seq

CFR Citation:  12 CFR 211

Legal Deadline: None

Abstract: In December 1997, consistent with section 303 of the Riegle 
Community Development and

[[Page 23002]]

Regulatory Improvement Act of 1994 and the International Banking Act of 
1978, the Board reviewed and proposed for public comment a number of 
changes to Regulation K, which governs international banking operations 
(62 FR 68424, December 31, 1997). Subpart A of Regulation K governs the 
foreign investments and activities of all member banks. The proposed 
amendments include streamlined foreign branching procedures for U.S. 
banking organizations, authorization of expanded activities in foreign 
branches of U.S. banks, and expansion of the authority of U.S. banking 
organizations to engage in equity dealing and underwriting and to make 
venture capital investments outside the United States. Subpart B of 
Regulation K governs the U.S. activities of foreign banking 
organizations. The proposed amendments include revisions aimed at 
streamlining the applications procedures applicable to foreign banks 
seeking to expand operations in the United States, changes to 
provisions regarding the qualification of certain foreign banking 
organizations for exemption from the nonbanking prohibitions of section 
4 of the Bank Holding Company Act, and implementation of provisions of 
the Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994 
that affect foreign banks. In addition, a number of technical and 
clarifying amendments to subparts A and B, as well as subpart C that 
govern export trading companies, and certain amendments to the Board's 
Rules Regarding Delegation of Authority have been proposed.
The proposed amendments are not expected to 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 requested comment         12/31/97                    62 FR 68424
Further Board action by         08/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Kathleen M. O'Day, Associate General Counsel, Federal 
Reserve System, Legal Division
Phone: 202 452-3786

RIN: 7100-AC47
_______________________________________________________________________




4279.  REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK 
CONTROL (DOCKET NUMBER: R-0990)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 1817(j)(13); 12 USC 1818; 12 USC 1828o; 12 USC 
1831i; 12 USC 1831p-1; 12 USC 1843(c)(8); 12 USC 1844(b); 12 USC 
1972(1); 12 USC 3106; 12 USC 3108; 12 USC 3310; 12 USC 3331 to 3351; 12 
USC 3907; 12 USC 3909

CFR Citation:  12 CFR 225

Legal Deadline: None

Abstract: In December 1997, the Board approved issuing for public 
comment a proposal to exempt any transaction involving the underwriting 
or dealing of mortgage-backed securities from the Board's appraisal 
requirements (62 FR 64997, December 9, 1997). This amendment would 
permit a nonbank subsidiary of a bank holding company engaged in 
underwriting and dealing in securities (a so-called section 20 
subsidiary) to underwrite and deal in mortgage-backed securities 
without demonstrating that the loans underlying the securities are 
supported by appraisals that meet the Board's appraisal requirements. 
As the proposal notes, the Board believes the public rating or due 
diligence that the market requires for mortgage-backed securities 
provides information that is at least as sufficient for assessing risks 
as new appraisals for the underlying loans. The Board proposed this 
amendment to address concerns raised by bank holding companies 
regarding the inability of section 20 subsidiaries to actively 
participate in the commercial mortgage-backed securities market due to 
the appraisal restrictions of subpart G.
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. Following review of the public comments, the 
Board is expected to take further action within the next three months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         12/09/97                    62 FR 64997
Further action by               05/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Deneen Donnley-Evans, Attorney, Federal Reserve System, 
Legal Division
Phone: 202 736-5567

RIN: 7100-AC49
_______________________________________________________________________




4280. REGULATION: DD--TRUTH IN SAVINGS (DOCKET NUMBERS: R-0836 AND 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 percentage 
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 Number 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

[[Page 23003]]

extent of the disclosures, and the options for compliance offered by 
the final rule.
Staff has reviewed the public comments and is expected to forward the 
matter to the Board within the next two months.

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 by         04/00/98

Small Entities Affected: Businesses

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-AB80
_______________________________________________________________________




4281.  POLICY STATEMENT ON PRIVATELY OPERATED MULTILATERAL 
SETTLEMENT SYSTEMS (DOCKET NUMBER: R-0987)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 221 et seq

CFR Citation:  None

Legal Deadline: None

Abstract: In November 1997, the Board approved requesting comment on a 
proposed policy statement on privately operated multilateral settlement 
systems to integrate current policy statements and new provisions (62 
FR 60713, November 12, 1997). The policy would require privately 
operated multilateral settlement systems for U.S. dollar payments to 
address material credit, liquidity, operational, legal, and systemic 
risks, thereby enhancing the safety and soundness of the payments 
system.
The proposal was designed to minimize regulatory burden on small 
arrangements that do not raise material risks and would not 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 four months.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         11/12/97                    62 FR 60713
Further Board action by         07/00/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC44
_______________________________________________________________________




4282. RULES REGARDING AVAILABILITY OF INFORMATION (DOCKET NUMBER: R-
0917)

Priority:  Substantive, Nonsignificant

Legal Authority:  5 USC 552; 12 USC 248(i); 12 USC 248(k); 12 USC 321 
et seq; 12 USC 611 et seq; 12 USC 1442; 12 USC 1817(a)(2)(A); 12 USC 
1817(a)(8); 12 USC 1818(u); 12 USC 1818(v); 12 USC 1821(o); 12 USC 
1821(t); 12 USC 1830; 12 USC 1844; 12 USC 1951 et seq; ...

CFR Citation:  12 CFR 261

Legal Deadline: None

Abstract: In February 1996, the Board issued for public comment 
proposed amendments to its Rules Regarding Availability of Information 
(61 FR 7436, February 28, 1996). The proposed amendments, although 
primarily technical in nature, are intended to improve the Board's 
efficiency in processing requests for the disclosure of publicly 
available information as well as confidential supervisory information. 
It is not anticipated that the proposed amendments will have a 
significant economic impact on a substantial number of small entities 
subject to the regulation.
In light of the passage of time since the Board's February 1996 
proposal was issued for public comment, the Board will make changes in 
that proposal based on the comments received and will reissue revised 
proposed amendments for further comment. The February 1996 proposal 
deals primarily with the discretionary authority of the Board's General 
Counsel to produce information. These amendments are part of the 
Board's overall review of its regulations as required by section 303 of 
the Riegle Community Development and Regulatory Improvement Act of 
1994. Further Board action on the remainder of the regulation is 
expected by mid-year.
In a separate action, the Board recently implemented amendments to 
those subparts of the Board's Rules Regarding Availability of 
Information that implement the Freedom of Information Act and the 
Electronic Freedom of Information Act Amendments of 1996 (62 FR 54356, 
October 20, 1997).

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         02/28/96                     61 FR 7436
Further Board action by         06/00/98

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Karen Appelbaum, Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-3389

RIN: 7100-AC22
_______________________________________________________________________




4283. APPLICABILITY OF SECTIONS 23A AND 23B OF THE FEDERAL RESERVE ACT 
TO TRANSACTIONS BETWEEN A MEMBER BANK AND ITS SUBSIDIARIES (DOCKET 
NUMBER: R-0977)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 371c(b)(1)(E)

CFR Citation:  12 CFR 250.243

Legal Deadline: None

Abstract: Sections 23A and 23B of the Federal Reserve Act restrict the 
ability of a member bank to fund an affiliate through direct 
investment, loans, or other transactions. In July 1997, the Board 
issued for public comment a proposal to apply sections 23A and 23B to 
transactions between a member bank and any subsidiary that engages in 
activities that are impermissible for the bank itself and that Congress 
has not previously exempted from coverage by section 23A (62 FR 37744, 
July 15, 1997). The proposed treatment is largely consistent with the 
existing treatment of these subsidiaries by the other banking agencies, 
which have applied sections 23A and 23B in some form to transactions 
between a bank and such subsidiaries. The issuance of the regulations 
will avoid the application of sections 23A and 23B on an ad hoc basis 
by different agencies,

[[Page 23004]]

which could result in confusion and inconsistencies.
The proposal is not expected to have a significant economic impact on a 
substantial number of small businesses. 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         07/15/97                    62 FR 37744
Further Board action by         04/00/98

Small Entities Affected: None

Government Levels Affected: State, Federal

Agency Contact: Pamela G. Nardolilli, Senior Attorney, Federal Reserve 
System, Legal Division
Phone: 202 452-3289

RIN: 7100-AC42
_______________________________________________________________________


FEDERAL RESERVE SYSTEM (FRS)                          Completed Actions


  



_______________________________________________________________________




4284. REGULATION: B--EQUAL CREDIT OPPORTUNITY (DOCKET NUMBER: R-0955)

Priority:  Substantive, Nonsignificant

Legal Authority:  15 USC 1691 to 1691f

CFR Citation:  12 CFR 202

Legal Deadline:  Final, Statutory, March 31, 1997.

Abstract: Section 2302 of the Economic Growth and Regulatory Paperwork 
Reduction Act of 1996 (1996 Act) creates a legal privilege for 
information developed by creditors through ``self-tests'' conducted to 
determine the level or effectiveness of creditor compliance with the 
Equal Credit Opportunity Act (ECOA), provided that appropriate 
corrective action is taken to address any possible violations that may 
be discovered. Privileged information may not be obtained by a 
Government agency for use in an examination or investigation relating 
to fair lending compliance or by a Government agency or credit 
applicant in any civil proceeding in which a violation of the ECOA is 
alleged.
In January 1997, the Board issued for public comment regulations, 
including a definition of what constitutes a ``self-test'' (62 FR 56, 
January 2, 1997). The proposed regulations would define a ``self-test'' 
as any program, practice, or study that creates data or factual 
information about the creditor's compliance with the ECOA that is not 
available or derived from loan files or other records related to credit 
transactions. This includes but is not limited to the practice of using 
fictitious loan applicants (testers).
In December 1997, following review of the public comments, the Board 
adopted final revisions to Regulation B substantially as proposed (62 
FR 66412, December 18, 1997). However, the language of the final rule 
was modified to apply to self-testing for compliance with any ECOA 
requirement as implemented by Regulation B. The proposal is not 
expected to have a significant economic impact on small institutions.
The 1996 Act also establishes a privilege for creditor self-testing 
under the Fair Housing Act which is administered by the Department of 
Housing and Urban Development (HUD). As directed by the 1996 Act, the 
Board and HUD have issued substantially similar regulations.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         01/02/97                       62 FR 56
Board adopted proposal          12/18/97                    62 FR 66412

Small Entities Affected: None

Government Levels Affected: State, Federal

Agency Contact: James A. Michaels, Senior Attorney, Federal Reserve 
System, Division of Consumer and Community Affairs
Phone: 202 452-3667

RIN: 7100-AC23
_______________________________________________________________________




4285. REGULATION: D--RESERVE REQUIREMENTS OF DEPOSITORY INSTITUTIONS 
(DOCKET NUMBER: R-0980)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 248(a); 12 USC 248(c); 12 USC 371a; 12 USC 
461; 12 USC 601; 12 USC 611; 12 USC 3105

CFR Citation:  12 CFR 204

Legal Deadline: None

Abstract: In August 1997, the Board approved issuing for public comment 
proposed amendments to Regulation D to allow U.S. branches and agencies 
of foreign banks and Edge and Agreement corporations to choose whether 
to aggregate reserves on a nationwide basis in a single account at one 
Reserve Bank or to continue the current practice of having separate 
accounts on a same-State/same-District basis (62 FR 42708, August 8, 
1997). The amendments would also update and clarify the pass-through 
account rules in Regulation D for all institutions. These amendments 
would facilitate interstate banking and eliminate certain restrictions 
applicable to pass-through accounts.
Following review of the public comments, the Board adopted a revised 
version of its proposal (62 FR 59775, November 5, 1997). Under the 
final rule, U.S. agencies and branches of foreign banks and Edge and 
Agreement Corporations will have a choice on how to aggregate reserve 
balances, but all institutions, including domestic banks, will continue 
to file reports of deposits and other reports at their local Federal 
Reserve Banks. The amendments will not have a significant economic 
impact on a substantial number of small entities.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         08/08/97                    62 FR 42708
Board adopted final rule        11/05/97                    62 FR 59775

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC36

[[Page 23005]]

_______________________________________________________________________




4286. REGULATION: G--SECURITIES CREDIT BY PERSONS OTHER THAN BANKS, 
BROKERS, OR DEALERS; REGULATION: T--CREDIT BY BROKERS AND DEALERS; 
REGULATION: U--CREDIT BY BANKS (DOCKET NUMBER: R-0923)

Priority:  Substantive, Nonsignificant

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

CFR Citation:  12 CFR 207; 12 CFR 220; 12 CFR 221

Legal Deadline: None

Abstract: The Board is conducting a periodic review of its margin 
regulations. In May 1996, the Board approved requesting comment on 
amendments that would allow broker-dealers to extend good-faith credit 
on any non-equity security; allow transactions involving non-equity 
securities to be effected in an account not subject to the restrictions 
of Regulation T's margin account; remove restrictions on the ability of 
broker-dealers to calculate required margin for non-equity securities 
on a ``portfolio'' basis; relax the Board's collateral requirements for 
the borrowing and lending of securities; and exempt from Regulation T 
any credit extended abroad by a U.S. broker-dealer on foreign 
securities to foreign persons (61 FR 20399, May 6, 1996). The proposal 
also sought comment on whether the Board should expand the number of 
equity securities eligible for loan value under Regulation T and 
whether the Board should amend Regulations G and U to modify their 
method for determining which equity securities qualify as margin stock.
In December 1997, following review of the public comments, the Board 
took final action on this proposal (63 FR 2806, January 16, 1998). The 
amendments were adopted substantially as proposed with the exception of 
the borrowing and lending securities under Regulation T and loan value 
for equity securities under Regulations G, T, and U. The Board amended 
Regulation T to eliminate the collateral requirements for the borrowing 
and lending securities and expanded the number of equity securities 
eligible for loan value to include all securities listed on the NASDAQ 
Stock Market. The Board amended Regulations G and U to provide that the 
only over-the-counter stocks that meet the definition of margin stock 
are those that trade in the NASDAQ Stock Market's National Market 
System. The amendments will allow the Board to cease publication of its 
quarterly ``List of Marginable OTC Stocks'' in 1999. The amendments 
will not have a significant economic impact on a substantial number of 
small lenders.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         05/06/96                    61 FR 20399
Board adopted proposal          01/16/98                     63 FR 2806

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Scott Holz, Senior Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-2966

RIN: 7100-AC12
_______________________________________________________________________




4287. REGULATION: G--SECURITIES CREDIT BY PERSONS OTHER THAN BANKS, 
BROKERS, OR DEALERS; REGULATION: T--CREDIT BY BROKERS AND DEALERS; 
REGULATION: U--CREDIT BY BANKS (DOCKET NUMBER R-0944)

Priority:  Substantive, Nonsignificant

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

CFR Citation:  12 CFR 207; 12 CFR 220; 12 CFR 221

Legal Deadline: None

Abstract: In November 1996, the Board requested public comment on 
amendments to Regulations G, T, and U to implement the National 
Securities Markets Improvement Act of 1996 (NSMIA) (61 FR 60168, 
November 26, 1996). NSMIA repealed section 8(a) of the Securities 
Exchange Act of 1934, and the proposed amendments would delete 
provisions of the regulations that implement section 8(a). The Board 
also sought comment on whether the repeal of section 8(a) eliminated 
the need for the Board to maintain two separate regulations 
(Regulations G and U) for lenders other than broker-dealers. NSMIA also 
deregulated lending to certain broker-dealers. The proposed amendments 
would eliminate some provisions covering loans to certain broker-
dealers and sought comment on whether and how the Board could provide 
additional clarification as to which broker-dealers are covered by this 
statutory deregulation.
In December 1997, following review of the public comments, the Board 
took final action on this proposal (63 FR 2806, January 16, 1998). The 
amendments concerning the repeal of section 8(a) of the Securities 
Exchange Act of 1934 were adopted substantially as proposed, and the 
Board amended Regulation U to cover lenders formerly subject to 
Regulation G, thereby eliminating Regulation G. The Board adopted 
several nonexclusive ``safe harbors'' to help identify which broker-
dealers qualify for the deregulatory treatments specified in NSMIA. The 
Board also adopted technical amendments to Regulation X to reflect the 
elimination of Regulation G. The amendments will not have a significant 
economic impact on a significant number of small lenders.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         11/26/96                    61 FR 60168
Board adopted proposal          01/16/98                     63 FR 2806

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Scott Holz, Senior Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-2966

RIN: 7100-AC27
_______________________________________________________________________




4288. REGULATION: H--MEMBERSHIP OF STATE BANKING INSTITUTIONS IN THE 
FEDERAL RESERVE SYSTEM; AND REGULATION: K--INTERNATIONAL BANKING 
OPERATIONS (DOCKET NUMBER: R-0962)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 1835a

CFR Citation:  12 CFR 208; 12 CFR 211

Legal Deadline:  Final, Statutory, June 1, 1997.

Abstract: Section 109 of the Riegle-Neal Interstate Banking and 
Branching Efficiency Act of 1994 requires the Federal banking agencies 
to prescribe uniform regulations to prohibit an out-of-state bank from 
using the authority

[[Page 23006]]

provided by the act to engage in interstate branching primarily for the 
purpose of deposit production. In March 1997, the Board issued for 
public comment a proposed rule to implement section 109 jointly with 
the Federal Deposit Insurance Corporation and the Office of the 
Comptroller of the Currency (62 FR 12730, March 17, 1997). The proposed 
rules would prohibit the use of interstate branches for deposit 
production and provide guidelines for determining whether a bank is 
reasonably helping to meet the needs of the communities served by 
interstate branches.
Following review of the public comments, the Board adopted the proposal 
substantially as proposed (62 FR 47728, September 10, 1997). It is not 
anticipated that the final rule will have a significant economic impact 
on a substantial number of small entities subject to regulation by the 
Board, as the rule affects only banks that have branches in more than 
one State, which are primarily larger banks.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         03/17/97                    62 FR 12730
Board adopted proposal          09/10/97                    62 FR 47728

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC28
_______________________________________________________________________




4289. 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 (section 36 of the FDI Act).
Further action to implement section 121 is not expected by the Board.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Further action is not expected  02/20/98

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AB41
_______________________________________________________________________




4290. REGULATION: J--COLLECTION OF CHECKS AND OTHER ITEMS BY FEDERAL 
RESERVE BANKS AND FUNDS TRANSFERS THROUGH FEDWIRE (DOCKET NUMBER: R-
0972)

Priority:  Substantive, Nonsignificant

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

CFR Citation:  12 CFR 210

Legal Deadline: None

Abstract: Effective January 2, 1998, the Federal Reserve Banks will 
begin to implement a policy under which each chartered depository 
institution may maintain only a single account with the Federal 
Reserve. A single account will establish a single debtor-creditor 
relationship between each institution and a Federal Reserve Bank and 
will make account management more efficient for banks with interstate 
branches. In May 1997, the Board issued for public comment proposed 
amendments to subpart A of Regulation J to conform the Federal Reserve 
check collection rules to the single account structure (62 FR 27547, 
May 20, 1997). In September 1997, following review of the public 
comments, the Board adopted the amendments substantially as proposed 
(62 FR 48166, September 15, 1997). Under the final Regulation J 
amendments, all of an institution's check collection transactions 
through the Federal Reserve Banks will be reflected in a single account 
held at the institution's Administrative Reserve Bank. The Regulation J 
amendments will generally permit an institution to send an item to any 
Reserve Bank for collection.
The amendments will apply to all institutions, regardless of size, that 
send checks, returned checks, or other items to a Reserve Bank or 
receive items from a Reserve Bank. The final rule sets out the terms 
under which the Reserve Banks handle items and should not have a 
significant economic impact on a substantial number of small 
institutions.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         05/20/97                    62 FR 27547
Board adopted final rule        09/15/97                    62 FR 48166

Small Entities Affected: None

Government Levels Affected: None

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

RIN: 7100-AC41

[[Page 23007]]

_______________________________________________________________________




4291. REGULATION: U--CREDIT BY BANKS FOR THE PURPOSE OF PURCHASING OR 
CARRYING MARGIN STOCKS (DOCKET NUMBER: R-0905) (SECTION 610 REVIEW)

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. In December 1995, the Board proposed amendments 
for public comment that would reduce the regulatory burden associated 
with loans secured by margin stock and other collateral; clarify the 
circumstances under which a bank may finance the purchase of customer 
securities bought on a cash basis at a broker-dealer; and allow the 
same loan value for exchange-traded options currently permitted for 
other margin equity securities (60 FR 63660, December 12, 1995). 
Comment was also invited on all other areas of the regulation. The 
proposals satisfy requirements under section 303 of the Riegle 
Community Development and Regulatory Improvement Act of 1994 and 
section 610(c) of the Regulatory Flexibility Act.
In December 1997, following review of the public comments, the Board 
adopted the amendments in substantially the form proposed (63 FR 2806, 
January 16, 1998). It is not anticipated that the revisions will have a 
significant economic impact on the overall lending activities of a 
substantial number of small lenders.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         12/12/95                    60 FR 63660
Board adopted proposal          01/16/98                     63 FR 2806

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Scott Holz, Senior Attorney, Federal Reserve System, 
Legal Division
Phone: 202 452-2966

RIN: 7100-AB65
_______________________________________________________________________




4292. REGULATION: Y--BANK HOLDING COMPANIES AND CHANGE IN BANK CONTROL; 
REVIEW OF RESTRICTIONS IN THE BOARD'S SECTION 20 ORDERS (DOCKET NUMBER: 
R-0958)

Priority:  Economically Significant. Major under 5 USC 801.

Legal Authority:  12 USC 1843(c)(8)

CFR Citation:  12 CFR 225

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 the member bank may not 
underwrite and deal in directly (``ineligible securities''). Beginning 
in 1987, the Board has issued a series of orders authorizing bank 
holding companies to establish ``section 20 subsidiaries'' to engage in 
underwriting and dealing in ineligible securities. In those orders, the 
Board established a series of prudential restrictions as conditions for 
approval under the Bank Holding Company Act. The restrictions are 
designed to prevent securities underwriting and dealing risk from being 
passed from a section 20 subsidiary to an affiliated insured depository 
institution, and thus to the Federal safety net, and to mitigate the 
potential for conflicts of interest, unfair competition, and other 
adverse effects that may arise from the conduct of ineligible 
securities activities.
In January 1997, the Board issued for public comment a proposal to 
remove most of the prudential restrictions that apply to section 20 
subsidiaries (62 FR 2622, January 17, 1997). The Board noted that the 
prudential restrictions were adopted when the Board had little 
experience supervising investment banks in the United States and before 
the existence of a number of significant protections currently in 
place. In view of these factors and the fact that the prudential 
restrictions prevent bank holding companies from reaping possible 
synergy gains from the operation of an investment bank, the Board 
proposed removing most of the prudential restrictions and retaining 
only those that address bank safety and soundness, significant 
conflicts of interest, or other concerns that are not addressed by 
other statutes or regulations.
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. In August 1997, following review of the public 
comments, the Board adopted the proposal substantially as proposed (62 
FR 45295, August 27, 1997).

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         01/17/97                     62 FR 2622
Board adopted proposal          08/27/97                    62 FR 45295

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-AC31
_______________________________________________________________________




4293. REGULATION: Z--TRUTH IN LENDING (DOCKET NUMBER: R-0960)

Priority:  Substantive, Nonsignificant

Legal Authority:  12 USC 1601 et seq

CFR Citation:  12 CFR 226

Legal Deadline: None

Abstract: In January 1997, the Board approved issuing for public 
comment a proposal to revise the variable-rate disclosure provisions in 
Regulation Z (62 FR 5183, February 4, 1997). The revisions implement an 
amendment to the Truth in Lending Act (TILA) contained in the Economic 
Growth and Regulatory Paperwork Reduction Act of 1996. The TILA 
requires creditors to provide consumers with uniform cost and other 
disclosures about consumer credit transactions. The amendment applies 
to variable-rate loans with a term exceeding one year and secured by 
the consumer's principal dwelling. The amendment allows creditors 
either (1) to disclose an historical example of how rates tied to a 
particular index or formula moved over a fifteen-year period and how 
rate changes affected loan payments based on a $10,000 loan or (2) to 
give a statement that the periodic payment may substantially increase 
or decrease together with a maximum interest rate and payment based on 
a $10,000 loan.
It is not anticipated that the proposal will have a significant 
economic impact on a substantial number of small

[[Page 23008]]

entities subject to the Board's regulation. In December 1997, following 
review of the public comments, the Board adopted the proposal 
substantially as proposed (62 FR 63441, December 1, 1997).

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         02/04/97                     62 FR 5183
Board adopted proposal          12/01/97                    62 FR 63441

Small Entities Affected: None

Government Levels Affected: None

Agency Contact: Kyung Cho-Miller, Attorney, Federal Reserve System, 
Division of Consumer and Community Affairs
Phone: 202 452-2412

RIN: 7100-AC33
_______________________________________________________________________




4294. RULES REGARDING AVAILABILITY OF INFORMATION (DOCKET NUMBER: R-
0975)

Priority:  Substantive, Nonsignificant

Legal Authority:  5 USC 552

CFR Citation:  12 CFR 261

Legal Deadline:  Final, Statutory, October 2, 1997.

Abstract: In June 1997, as a result of amendments to the Freedom of 
Information Act (FOIA), the Board issued for public comment proposed 
changes to its Rules Regarding Availability of Information (Rules) (62 
FR 31526, June 10, 1997). In addition, the Rules were reviewed under 
section 303 of the Riegle Community Development and Regulatory 
Improvement Act, and some of the proposed changes are intended to 
streamline the Rules in accordance with that Act.
The proposed amendments establish multi-track processing of FOIA 
requests and provide for expedited processing of FOIA requests in 
certain circumstances. In addition, the proposed changes extend the 
time for processing FOIA requests from 10 days to 20 days and reflect 
the new requirements that certain information be made available over 
the Internet, beginning on November 1, 1997.
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. In October 1997, following review of the public 
comments, the Board adopted the proposal substantially as proposed (62 
FR 54356, October 20, 1997).
The Board also has pending proposed changes to Subpart C of the Rules, 
which were published for comment in 1996 (61 FR 7436, February 28, 
1996; Docket Number R-0917). These proposed changes primarily concern 
the discretionary authority of the Board's General Counsel to disclose 
information in certain circumstances. The comments received on this 
earlier proposal are still under consideration.

Timetable:
________________________________________________________________________

Action                            Date                      FR Cite

________________________________________________________________________

Board requested comment         06/10/97                    62 FR 31526
Board adopted proposal          10/20/97                    62 FR 54356

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-AC43
[FR Doc. 98-5171 Filed 04-24-98; 8:45 am]
BILLING CODE 6210-01-F