Rule2022-18203
Rules Regarding Delegation of Authority
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
September 1, 2022
Effective
September 1, 2022
Issuing agencies
Federal Reserve System
Abstract
The Board is adopting a final rule that revises its rules regarding delegation of authority. The final rule codifies and revises delegations of authority previously approved by the Board, makes technical changes, and rescinds moot or superseded delegations.
Full Text
<html>
<head>
<title>Federal Register, Volume 87 Issue 169 (Thursday, September 1, 2022)</title>
</head>
<body><pre>
[Federal Register Volume 87, Number 169 (Thursday, September 1, 2022)]
[Rules and Regulations]
[Pages 53988-54026]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-18203]
[[Page 53987]]
Vol. 87
Thursday,
No. 169
September 1, 2022
Part III
Federal Reserve System
-----------------------------------------------------------------------
12 CFR Part 265
Rules Regarding Delegation of Authority; Final Rule
Federal Register / Vol. 87 , No. 169 / Thursday, September 1, 2022 /
Rules and Regulations
[[Page 53988]]
-----------------------------------------------------------------------
FEDERAL RESERVE SYSTEM
12 CFR Part 265
[Docket No. R-1778]
RIN No. 7100-AG 37
Rules Regarding Delegation of Authority
AGENCY: Board of Governors of the Federal Reserve System (Board).
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Board is adopting a final rule that revises its rules
regarding delegation of authority. The final rule codifies and revises
delegations of authority previously approved by the Board, makes
technical changes, and rescinds moot or superseded delegations.
DATES: Effective September 1, 2022.
FOR FURTHER INFORMATION CONTACT: Alison Thro, Deputy Associate General
Counsel, (202) 452-3236; Amory Goldberg, Senior Counsel, (202) 452-
3124; Andrew Hartlage, Senior Counsel, (202) 452-6483; Derald Seid,
Senior Counsel, (202) 452-2246; David Imhoff, Attorney, (202) 452-2249;
or Jasmin Keskinen, Attorney, (202) 475-6650, Legal Division; Vaishali
Sack, Deputy Associate Director, (202) 452-5221, or Dana Burnett,
Assistant Director, (202) 973-7317, Division of Supervision and
Regulation, Board of Governors of the Federal Reserve System, 20th
Street and C Street NW, Washington, DC 20551. For users of TTY-TRS,
please call 711 from any telephone, anywhere in the United States.
SUPPLEMENTARY INFORMATION:
I. Background
Section 11(k) of the Federal Reserve Act authorizes the Board to
delegate, by published order or rule and subject to the Administrative
Procedure Act, any of its functions, other than those related to
rulemaking or pertaining principally to monetary and credit policies,
to one or more administrative law judges, members or staff of the
Board, or the Reserve Banks.\1\ The Board has delegated authority to
Board members (in their individual capacity and as chairs of committees
of the Board), Board staff, and the Federal Reserve Banks to take
certain actions under the various statutes that the Board administers.
The Board's Rules Regarding Delegation of Authority (delegation rules)
implement section 11(k) of the Federal Reserve Act and enumerate the
actions that the Board has determined to delegate. By delegating
actions that do not raise significant legal, supervisory, or policy
issues, the Board can respond more efficiently to applications,
requests, and other matters.
---------------------------------------------------------------------------
\1\ 12 U.S.C. 248(k).
---------------------------------------------------------------------------
The last comprehensive revision of the delegation rules was in
1991.\2\ By revising the delegation rules as described below, the final
rule enhances transparency, improves usability, and relieves burden on
regulated institutions, practitioners before the Board, and Federal
Reserve staff.
---------------------------------------------------------------------------
\2\ Delegations of Authority, 56 FR 25614 (June 5, 1991).
---------------------------------------------------------------------------
I. Codifications, Technical Changes, and Rescissions
Since 1991, the Board has approved several additional delegations
in connection with statutory and regulatory changes and in the light of
supervisory experience. Many delegations of authority are codified in
the delegation rules (codified delegations), and many others have not
yet been incorporated into the delegation rules (uncodified
delegations). The final rule incorporates the uncodified delegations
into the delegation rules. Table 1 below lists these delegations,
identifies the delegatee, and notes where within the delegation rules
the delegations will be incorporated:
Table 1--Uncodified Delegations To Be Incorporated Into the Delegation
Rules
------------------------------------------------------------------------
Citation section: Short description: Delegated to:
------------------------------------------------------------------------
Functions delegated to Board members or staff within the Division of
Board Members
------------------------------------------------------------------------
265.4(a)(1)................... To appoint a first and Chair.
second alternate
director to the Board
of Directors of the
Bank for
International
Settlements.
265.4(a)(2)................... To make authorizations Chair.
and determinations
regarding Term
Deposit Facility test
operations.
265.4(a)(3)(i)................ Periodic reports to Chair.
Congress under
section 13(3)(C)(ii)
of the Federal
Reserve Act (12
U.S.C. 343(3)(C)(ii)).
265.4(a)(3)(ii)............... Seven-day reports to Chair.
Congress under
section 13(3)(C)(i)
of the Federal
Reserve Act (12
U.S.C. 343(3)(C)(ii)).
265.4(b)(1)................... To act on requests for Chair of the
extensions of State Committee on
member banks' and Supervision and
bank holding Regulation
companies' advanced (CSR).
approaches first
floor period start
dates.
265.4(c)...................... To grant or deny Chair of the
requests from the Committee on
Federal Reserve Banks Federal Reserve
for exceptions to the Bank Affairs.
Board's policies on
Federal Reserve Bank
directors.
265.4(g)...................... To approve and submit Assistant to the
the annual report to Board,
Congress concerning Congressional
the Board's Liaison Office,
compliance with Small Division of
Business Regulatory Board Members.
Enforcement Fairness
Act's requirements.
------------------------------------------------------------------------
Functions delegated to the Secretary of the Board
------------------------------------------------------------------------
265.5(a)(5)................... To grant or deny Secretary of the
procedural motions Board.
arising after an
administrative case
has been forwarded to
the Board for final
decision.
265.5(b)(3)................... To file reports on Secretary of the
rulemakings with Board.
Congress and the GAO
under Small Business
Regulatory
Enforcement Fairness
Act (often referred
to as the
``Congressional
Review Act'').
[[Page 53989]]
265.5(c)(2)................... To take actions that a Secretary of the
Reserve Bank could Board.
take but for a
director interlock at
a savings and loan
holding company
(SLHC).
265.5(c)(4)(i)................ To approve certain Secretary of the
requests related to Board.
an SLHC in mutual
form.
265.5(c)(4)(ii)............... To approve a request Secretary of the
to deregister as an Board.
SLHC.
------------------------------------------------------------------------
Functions delegated to the General Counsel
------------------------------------------------------------------------
265.6(c)(2)................... To review and act on General Counsel
requests for in consultation
permission to with Division
administer the 49 Director
percent revenue limit (Supervision
on nonfinancial data and Regulation
processing activities (S&R)).
on a business-line or
multiple-entity basis.
265.6(d)(1)................... To grant exceptions to General Counsel
management interlocks in consultation
under the general with Division
exemption of Director (S&R).
Regulation L and
subpart J of
Regulation LL.
265.6(d)(2)................... To approve requests to General Counsel
extend legacy in consultation
management interlocks. with Division
Director (S&R).
265.6(e)(1)................... To enter into a cease- General Counsel
and-desist order, with
removal and concurrence of
prohibition order, or Division
civil money penalty Director (S&R).
assessment order with
a bank holding
company or any
nonbanking subsidiary
thereof, with a State
member bank, with an
SLHC, or with any
other person or
entity subject to the
Board's jurisdiction
under section 8(b) or
(e) of the Federal
Deposit Insurance Act
(FDI Act) (12 U.S.C.
1818(b) or (e)), when
the order has been
consented to by the
institution or
individual subject to
the order; or to
issue a notice
suspending or
prohibiting an
institution-
affiliated party
under section 8(g) of
the FDI Act (12
U.S.C. 1818(g)) when
the notice has been
consented to by the
individual subject to
the notice.
265.6(e)(2)................... To stay, modify, General Counsel
terminate or suspend with
an order or notice concurrence of
issued pursuant to Division
paragraph (e)(1) of Director (S&R).
this section.
265.6(e)(3)................... To grant consent to a General Counsel
person subject to an with
order of removal and/ concurrence of
or prohibition or Division
suspension notice or Director (S&R).
order issued by the
Board or other
Federal financial
institutions
regulatory agency to
become an institution-
affiliated party of,
to otherwise
participate in the
conduct of the
affairs of, or to
take an action with
respect to any voting
rights in, any Board-
supervised
institution or entity.
265.6(h)...................... To determine that a General Counsel
company is not an with
SLHC (deregistration) concurrence of
pursuant to section Division
10(a)(1)(D)(ii) of Director (S&R).
the Home Owners' Loan
Act (``HOLA'') (12
U.S.C.
1467a(a)(1)(D)(ii)),
to determine that a
company is not an
SLHC by virtue of its
control of a savings
association that
functions solely in a
trust or fiduciary
capacity as described
in section 2(c)(2)(D)
of the Bank Holding
Company Act (BHC Act)
(12 U.S.C.
1841(c)(2)(D)), where
no significant legal,
policy, or
supervisory issues
are raised by the
specific proposal.
265.6(i)...................... To approve and publish General Counsel
small entity in consultation
compliance guides in with any other
accordance with the division
Small Business director
Regulatory responsible for
Enforcement Fairness drafting the
Act of 1996. associated
rule.
265.6(j)...................... To approve internal General Counsel
debt conversion in consultation
triggers that meet with Division
certain eligibility Director (S&R).
criteria and that do
not raise significant
legal, policy, or
supervisory issues.
265.6(k)...................... To approve or General Counsel
disapprove requests with
under section 19 of concurrence of
the FDI Act where no Division
significant legal, Director (S&R).
policy, or
supervisory issues
are raised by the
specific proposal.
------------------------------------------------------------------------
Functions delegated to the Director of the Division of Supervision and
Regulation
------------------------------------------------------------------------
265.7(a)(1)................... To refuse, modify, Division
terminate, or set Director (S&R).
aside a cease and
desist order for
SLHCs.
265.7(a)(2)................... To grant, deny, Division
modify, or extend Director (S&R).
time for performing a
commitment or
condition relied upon
in taking action
under HOLA.
265.7(a)(3)(i)................ To extend the 60-day Division
processing period for Director (S&R)
an acquisition of a with
bank or bank holding concurrence of
company filed under General
section 3 of the BHC Counsel.
Act (12 U.S.C. 1842),
pursuant to Sec.
225.15(d)(2) of
Regulation Y (12 CFR
225.15(d)(2)).
[[Page 53990]]
265.7(a)(3)(ii)(A)............ To extend the 60-day Division
processing period for Director (S&R)
a nonbanking proposal with
filed under section 4 concurrence of
of the BHC Act (12 General
U.S.C. 1843), Counsel.
pursuant to Sec.
225.24(d)(2) of
Regulation Y (12 CFR
225.24(d)(2)).
265.7(a)(3)(ii)(B)............ To extend the 60-day Division
processing period for Director (S&R)
a nonbanking proposal with
filed under section 4 concurrence of
of the BHC Act (12 General
U.S.C. 1843), Counsel.
pursuant to section
4(j)(1)(C) of the BHC
Act (12 U.S.C.
1843(j)(1)(C)) and
Sec. 225.24(d)(3)
of Regulation Y (12
CFR 225.24(d)(3)).
265.7(a)(3)(iii).............. To extend the 60-day Division
processing period for Director (S&R)
an acquisition of a with
savings association concurrence of
or SLHC filed under General
section 10(e) of the Counsel.
HOLA (12 U.S.C.
1467a(e)), pursuant
to Sec.
238.14(g)(2) of
Regulation LL (12 CFR
238.14(g)(2)).
265.7(a)(3)(iv)(A)............ To extend the 60-day Division
processing period for Director (S&R)
a nonbanking proposal with
filed under section concurrence of
10(c) of the HOLA (12 General
U.S.C. 1467a(c)), Counsel.
pursuant to Sec.
238.53(f)(2) of
Regulation LL (12 CFR
238.53(f)(2)).
265.7(a)(3)(iv)(B)............ To extend the 60-day Division
processing period for Director (S&R)
a nonbanking proposal with
filed under section concurrence of
10(c) of the HOLA (12 General
U.S.C. 1467a(c)), Counsel.
pursuant to Sec.
238.53(f)(3) of
Regulation LL (12 CFR
238.53(f)(3)).
265.7(a)(3)(v)................ To extend, for an Division
additional 180 days, Director (S&R)
the 180-day period with
within which final concurrence of
Board action is General
required on an Counsel.
application pursuant
to section 7(d) of
the International
Banking Act (12
U.S.C. 3105(d).
265.7(a)(4) (formerly To issue a notice that Division
265.7(a)(3)). an SLHC has Director (S&R)
insufficient capital with
and which directs the concurrence of
company to file with General
its regional Reserve Counsel.
Bank a capital
improvement plan
under subpart E of
the Board's Rules of
Practice for Hearings
(12 CFR part 263,
subpart E).
265.7(c)(1)................... To promulgate Division
registration forms, Director (S&R).
annual reports, and
other forms for SLHCs
under section 10 of
the HOLA (12 U.S.C.
1467a), and in
accordance with 5
U.S.C. 553.
265.7(c)(2)................... To take actions the Division
Reserve Banks could Director (S&R).
take under 12 CFR
265.20(c)(2)(ii) if
immediate or
expeditious action is
required to avert
failure of a savings
association or
because of an
emergency, pursuant
to section 10(c) of
the HOLA (12 U.S.C.
1467a).
265.7(c)(3)................... To waive, dispense Division
with, modify, or Director (S&R).
excuse the failure to
comply with Change in
Bank Control Act (12
U.S.C. 1817(j))
publication
requirements for
SLHCs.
265.7(c)(4)(i)................ To determine the Division
informational Director (S&R).
sufficiency of
section 914 notices
under the Financial
Institutions Reform,
Recovery, and
Enforcement Act
(FIRREA) for SLHCs.
265.7(c)(4)(ii)............... To waive the prior Division
notice requirements Director (S&R).
of section 914
notices under FIRREA
for SLHCs.
265.7(c)(5)................... To provide the Division
Department of Labor Director (S&R).
written notification
of possible
significant
violations of the
Employee Retirement
Income Security Act
(ERISA) by SLHCs.
265.7(c)(6)................... To determine pursuant Division
to 12 CFR Director (S&R).
225.63(a)(13) that
the services of an
appraiser are not
necessary for SLHCs.
265.7(c)(7)(i)................ To authorize a Division
financial holding Director (S&R),
company, or a foreign with
bank that has elected concurrence of
to be treated as a General
financial holding Counsel.
company, that is
subject to a
corrective agreement
under section 4(m) of
the BHC Act (12
U.S.C. 1843(m)), to
acquire shares of a
company pursuant to
authority in section
4(k) of the BHC Act
(12 U.S.C. 1843(k))
in order to continue
to engage in ordinary
course merchant
banking;
underwriting, dealing
in, or making a
market in securities;
sponsoring,
organizing, and
managing customer-
driven investment
funds; and hedging
risks incurred in
ongoing permissible
activities.
265.7(c)(7)(ii)............... To extend the time Division
within which a Director (S&R),
financial holding with
company must execute concurrence of
a corrective General
agreement under Counsel.
section 4(m) of the
BHC Act (12 U.S.C.
1843(m)).
265.7(c)(7)(iii).............. To extend the time Division
limits in, or Director (S&R),
otherwise modify, with
corrective agreements concurrence of
under section 4(m) of General
the BHC Act (12 Counsel.
U.S.C. 1843(m)).
265.7(c)(7)(iv)............... To determine not to Division
make public any Director (S&R),
corrective agreement with
under section 4(m) of concurrence of
the BHC Act (12 General
U.S.C. 1843(m)). Counsel.
[[Page 53991]]
265.7(c)(8)................... To approve requests by Division
financial holding Director (S&R),
companies (FHCs) to with
engage in physical concurrence of
commodity derivatives General
pursuant to section Counsel.
4(k)(1)(B) of the BHC
Act (12 U.S.C.
1843(k)(1)(B)).
265.7(c)(9)................... To approve requests by Division
FHCs to hold merchant Director (S&R),
banking investments with
beyond the standard concurrence of
time periods General
established in Sec. Counsel.
225.172(b)(4) of
Regulation Y (12 CFR
225.172(b)(4)).
265.7(c)(10).................. To act on exemption Division
requests under the Director (S&R),
single counterparty with
credit limits rule. concurrence of
General
Counsel.
265.7(c)(11)(i)(A)............ To develop and issue Division
scenarios for stress Director (S&R),
testing. jointly with
Division
Director
(Financial
Stability
(FS)), with
concurrence of
Chair of the
CSR.
265.7(c)(11)(i)(B)............ To develop and issue Division
additional scenarios Director (S&R),
or additional jointly with
components for stress Division
testing. Director (FS),
with
concurrence of
Chair of the
CSR.
265.7(c)(11)(ii)(A)........... To convey to a company Division
the summary of stress Director (S&R),
testing results. with
concurrence of
Chair of the
CSR, after
consultation
with the Board.
265.7(c)(11)(ii)(B)........... To determine the Division
content and timing of Director (S&R),
the public disclosure with
of stress testing concurrence of
results. Chair of the
CSR, after
consultation
with the Board
and Division
Director (FS).
265.7(c)(11)(ii)(C)........... To determine any Division
appropriate updates Director (S&R),
to a company's with
resolution plan based concurrence of
on stress testing Chair of the
results. CSR.
265.7(c)(11)(ii)(D)........... To require a company Division
to include one or Director (S&R),
more additional with
components in its concurrence of
severely adverse Chair of the
scenario in its CSR.
stress test.
265.7(c)(11)(iii)(A).......... To evaluate whether a Division
company has necessary Director (S&R),
capital to absorb after
losses and continue consultation
its operation under with Chair of
stress testing the CSR.
scenarios.
265.7(c)(11)(iii)(B).......... To conduct annual Division
stress tests. Director (S&R),
after
consultation
with Chair of
the CSR.
265.7(c)(11)(iii)(C).......... To require a company Division
with significant Director (S&R),
trading activity, or after
a subsidiary of such consultation
company, to include a with Chair of
trading and the CSR.
counterparty
component in stress
tests.
265.7(c)(11)(iv).............. To respond to request Division
for reconsideration Director (S&R),
that a company is in consultation
required to include with General
additional Counsel.
components, or to use
one or more
additional scenarios.
265.7(c)(11)(v)(A)............ To notify a company Division
that it is required Director (S&R).
to include more
components, or to use
one or more
additional scenarios.
265.7(c)(11)(v)(B)............ To coordinate with the Division
appropriate primary Director (S&R).
financial regulatory
agencies in
conducting stress
tests.
265.7(c)(11)(v)(C)............ To provide the as-of Division
date of any Director (S&R).
scenarios, additional
scenarios, additional
components, and the
relevant data.
265.7(c)(11)(v)(D)............ To extend (and in the Division
case of nonbank Director (S&R).
financial companies
supervised by the
Board or savings and
loan holding
companies,
accelerate) the
compliance date for
companies.
265.7(c)(11)(v)(E)(1)-(3)..... To extend certain time Division
periods. Director (S&R).
265.7(c)(11)(v)(F)............ To require a company Division
to submit additional Director (S&R).
information on a
consolidated basis.
265.7(c)(11)(v)(G)............ To require a company Division
to submit additional Director (S&R).
information.
265.7(c)(11)(v)(H)............ To determine that Division
disclosures made by a Director (S&R).
bank holding company
do not adequately
capture the potential
impact of scenarios
on the capital of a
State member bank.
265.7(c)(12).................. To approve (but not Division
deny) a request by a Director (S&R),
new banking entity with
for an extension of concurrence of
time to conform its General
activities and Counsel.
investments to the
requirements of
section 13 of the BHC
Act and its
implementing
regulations.
265.7(d)(7)(i)................ To grant or deny a Division
request to permit a Director (S&R),
foreign banking with
organization to use concurrence of
an alternative Chair of the
organizational CSR and General
structure or not Counsel.
transfer its
ownership interest in
a U.S. subsidiary to
its intermediate
holding company under
subpart O of
Regulation YY (12 CFR
part 252, subpart O).
265.7(d)(7)(ii)(A)............ To grant or deny Division
requests for Director (S&R),
modifying, including in consultation
extending the time with General
for, performing a Counsel.
commitment or
condition relied on
by the Board or its
delegatee in taking
any action under
subparts M through O
of Regulation YY (12
CFR part 252,
subparts M-O).
265.7(d)(7)(ii)(B)(1)......... To determine that an Division
asset should not Director (S&R),
qualify as an in consultation
eligible asset under with General
Sec. Sec. 252.146 Counsel.
and 252.158 of
Regulation YY.
[[Page 53992]]
265.7(d)(7)(ii)(B)(2)......... To determine that a Division
foreign banking Director (S&R),
organization or in consultation
foreign savings and with General
loan holding company Counsel.
must meet the
additional standards,
respectively, under
Sec. 238.162(b) of
Regulation LL (12 CFR
238.162(b)) and Sec.
Sec. 252.146 and
252.158 of Regulation
YY (12 CFR 252.146
and 252.158).
265.7(d)(7)(ii)(B)(3)......... To approve an Division
enterprise-wide Director (S&R),
stress test and in consultation
determine that it with General
meets the stress test Counsel.
requirements under
Sec. 238.162(b) of
Regulation LL (12 CFR
238.162(b)) and Sec.
Sec. 252.146 and
252.158 of Regulation
YY (252.146 and
252.158).
265.7(d)(7)(ii)(B)(4)......... To require the U.S. Division
branches and agencies Director (S&R),
of a foreign banking in consultation
organization and, if with General
the foreign banking Counsel.
organization has not
established a U.S.
intermediate holding
company, any
subsidiary of the
foreign banking
organization, to
maintain a liquidity
buffer or be subject
to intragroup funding
restrictions under
Sec. 252.158(d)(3)
of Regulation YY (12
CFR 252.158(d)(3)).
265.7(d)(7)(ii)(C)............ To determine that a Division
foreign banking Director (S&R),
organization would in consultation
meet or exceed with General
capital adequacy Counsel.
standards on a
consolidated basis
that are consistent
with the Basel
Capital Framework
were the foreign
banking organization
subject to such
standards under Sec.
Sec. 252.143(a)(2)
and 252.154(a)(2) of
Regulation YY (12 CFR
252.143(a)(2) and
252.154(a)(2)).
265.7(d)(7)(ii)(D)............ To approve an Division
alternative reporting Director (S&R),
structure for a U.S. in consultation
chief risk officer with General
based on Counsel.
circumstances
specific to the
foreign banking
organization under
Sec. Sec.
252.144(c)(3)(iii)
and
252.155(b)(3)(iii) of
Regulation YY (12 CFR
252.144(c)(3)(iii)
and
252.155(b)(3)(iii)).
265.7(d)(7)(ii)(E)(1)......... To require a foreign Division
banking organization Director (S&R),
to calculate the in consultation
collateral positions with General
for its combined U.S. Counsel.
operations more
frequently than
required under Sec.
252.156(g)(l)(i) of
Regulation YY (12 CFR
252.156(g)(l)(i)).
265.7(d)(7)(ii)(E)(2)......... To require a foreign Division
banking organization Director (S&R),
to perform stress in consultation
testing more with General
frequently than is Counsel.
required under Sec.
252.157(a)(2) of
Regulation YY (12 CFR
252.157(a)(2)).
265.7(d)(7)(ii)(F)............ To require a foreign Division
banking organization Director (S&R),
to provide additional in consultation
information under with General
Sec. Sec. Counsel.
252.147(a)(3),
252.153(a)(3) and
252.158(c)(2) of
Regulation YY (12 CFR
252.147(a)(3),
252.153(a)(3) and
252.158(c)(2)), as
appropriate.
265.7(e)(8)................... To approve (but not Division
deny) a request to Director (S&R),
make a distribution with
pursuant to Sec. concurrence of
217.303(g) of Vice Chair for
Regulation Q (12 CFR Supervision.
217.303(g)).
265.7(g)...................... To approve an Division
application to make a Director (S&R),
golden parachute with
payment or enter into concurrence of
an agreement to make General
a golden parachute Counsel.
payment under 12 CFR
part 359.
265.7(h)...................... To take actions Division
pursuant to prompt Director (S&R),
corrective action with the
under the rules approval of
implementing section General
38 of the FDI Act. Counsel.
265.7(i)...................... To take actions Division
related to Director (S&R),
assessments under in consultation
Regulation TT. with General
Counsel.
265.7(j)(1)................... To take certain Division
actions relating to Director (S&R).
capital plans, or
provide concurrence
to the appropriate
Reserve Bank when
appropriate.
265.7(j)(2)................... To take certain Division
actions relating to Director (S&R)
capital plans. with
concurrence of
Chair of the
CSR, and after
consultation
with the Board
and Division
Director (FS).
265.7(j)(3)................... To take certain Division
actions relating to Director (S&R),
the Board's capital jointly with
plan rules. Division
Director (FS),
with
concurrence of
Vice Chair for
Supervision.
265.7(k)...................... Capital delegations Division
under Regulation Q. Director (S&R),
with
concurrence of
Chair of the
CSR, and after
consultation
with General
Counsel.
265.7(l)...................... To act on requests by Division
financial companies Director (S&R).
to use accounting
other than GAAP for
Regulation XX, to
calculate the 10
percent liabilities
cap for purposes of
section 622 of the
Dodd-Frank Act, and
to consent to FHC de
minimis transactions
for purposes of
section 622 of the
Dodd-Frank Act.
[[Page 53993]]
265.7(m)(1)................... To extend the time Division
limits in, or Director (S&R),
otherwise modify, an with
agreement entered concurrence of
into by an SLHC General
pursuant to Sec. Counsel.
238.66 of Regulation
LL, determine that
publication of an
agreement entered
into by an SLHC
pursuant to Sec.
238.66 of Regulation
LL would be contrary
to the public
interest under the
publication
requirements of the
FDI Act, and act on
requests for
exemptions or
otherwise make
determinations under
section 11 of HOLA,
as implemented in
Regulation W.
265.7(m)(2)................... To designate the Division
responsible Reserve Director (S&R)
Bank of an SLHC when with Division
the standard Director
delegation would not (DCCA).
result in an
efficient allocation
of supervisory
resources or would
not otherwise be
appropriate.
265.7(n)...................... To approve internal Division
margin models for Director (S&R).
entities for which
the Board is the
prudential regulator.
265.7(o)...................... To make certain Division
determinations under Director (S&R),
Regulations LL, YY, in consultation
and QQ. with General
Counsel.
265.7(p)...................... To make certain Division
determinations under Director (S&R).
Regulation Q relating
to the exposure
amount of derivatives
contracts.
265.7(q)...................... To organize and Division
administer the Director (S&R).
Insurance Policy
Advisory Committee.
------------------------------------------------------------------------
Functions delegated to the Director of the Division of Consumer and
Community Affairs
------------------------------------------------------------------------
265.8(a) (note: delegations to To oversee policy Division
the Director of DCCA development regarding Director
contained in 265.9 are being compliance by State (DCCA).
redesignated to 265.8). member banks and
other supervised
entities, including
by establishing
criteria for the
execution of
examination and
enforcement
activities delegated
to the Reserve Banks
and monitoring those
activities.
265.8(b) (note: delegations to To call meetings of Division
the Director of DCCA and consult with the Director
contained in 265.9 are being Community Advisory (DCCA).
redesignated to 265.8). Council, approve the
agenda for such
meetings, publish
Federal Register
notices soliciting
Community Advisory
Council nominations
from the public to
assist in the
selection of
prospective members,
and accept any
resignations from
Community Advisory
Council members.
265.8(h) (note: delegations to To designate the Division
the Director of DCCA responsible Reserve Director (DCCA)
contained in 265.9 are being Bank of an SLHC when with Division
redesignated to 265.8). the standard Director (S&R).
delegation would not
result in an
efficient allocation
of supervisory
resources or would
not otherwise be
appropriate.
------------------------------------------------------------------------
Functions delegated to the Director of the Division of Monetary Affairs
------------------------------------------------------------------------
265.10(a)..................... To adjust the terms Division
and conditions of Director (MA)
individual Term with
Deposit Facility test concurrence of
operations that raise General
significant technical Counsel, and in
or operations issues. consultation
with Chair if
feasible.
265.10(b)..................... To approve the annual Division
indexation of the Director (MA)
reserve requirement with
exemption, low concurrence of
reserve tranche, non- General
exempt deposit Counsel.
cutoff, and reduced
reporting limit
amounts under
Regulation D.
------------------------------------------------------------------------
Functions delegated to the Director of the Division of Reserve Bank
Operations and Payment Systems
------------------------------------------------------------------------
265.11(a)(1).................. To issue a notice of Division
no objection to a Director of the
designated financial Division of
market utility Reserve Bank
relating to an Operations and
advance notice of Payments
proposed material Systems
change submitted (RBOPS).
under section 806(e)
of the Dodd-Frank Act
(12 U.S.C. 5465(e))
and Sec. 234.4 of
Regulation HH (12 CFR
234.4).
265.11(a)(2).................. To extend the review Division
period for proposed Director
changes that raise (RBOPS).
novel or complex
issues and to request
additional
information from the
designated financial
market utility for
consideration of the
notice.
265.11(b)(1).................. To approve the Division
publication of annual Director
lists of institutions (RBOPS) in
that fall above and consultation
below the small with Division
issuer exemption Director (S&R)
asset threshold under and General
Regulation II. Counsel.
265.11(b)(2).................. To approve the Division
publication of annual Director
lists of the average (RBOPS) in
interchange fees each consultation
network provides to with General
non-exempt and exempt Counsel.
issuers.
------------------------------------------------------------------------
[[Page 53994]]
Functions delegated to the Director of the Division of Financial
Stability
------------------------------------------------------------------------
265.13(a)(1)(i)(A)............ To develop and issue Division
scenarios for stress Director (FS),
testing. jointly with
Division
Director (S&R),
with
concurrence of
Chair of the
CSR.
265.13(a)(1)(i)(B)............ To develop and issue Division
additional scenarios Director (FS),
or additional jointly with
components for stress Division
testing. Director (S&R),
with
concurrence of
Chair of the
CSR.
265.13(b)..................... To take certain Division
actions relating to Director (FS),
the Board's capital jointly with
plan rules. Division
Director (S&R),
with
concurrence of
Vice Chair for
Supervision.
------------------------------------------------------------------------
Functions delegated to Federal Reserve Banks
------------------------------------------------------------------------
265.20(a)(4) (formerly To extend the time to Reserve Bank.
265.11(a)(4)). file a registration
statement for an SLHC
under section 10(b)
of HOLA.
265.20(a)(9) (formerly To grant a 90-day Reserve Bank.
265.11(a)(9)). extension to SLHCs to
file an annual report.
265.20(a)(15) (formerly To enter into a Reserve Bank,
265.11(a)(15)). written agreement with the prior
with an SLHC or a non- approval of
depository or Division
nonbanking subsidiary Director (S&R)
thereof. and General
Counsel.
265.20(a)(15) (formerly To enter into a Reserve Bank,
265.11(a)(15)). written agreement with the prior
with a foreign bank approval of
that has elected to Division
be treated as a Director (S&R)
financial holding and General
company. Counsel.
265.20(c)(1) (formerly To require reports Reserve Bank.
265.11(c)(1)). under oath pursuant
to section 10(b)(2)
of HOLA.
265.20(c)(2) (formerly To notify an SLHC that Reserve Bank.
265.11(c)(2)). an acquisition should
not be consummated
until authorized by
the Reserve Bank or
Board or to allow an
SLHC to acquire a
going concern before
the 30-day period in
Regulation LL.
265.20(c)(3) (formerly Petition for review of Reserve Bank.
265.11(c)(3)). decision that adverse
comments are not
substantive; permit
proposed de novo
activities;
authorization of
consummation.
265.20(c)(4).................. To approve certain Reserve Bank.
nonbanking proposals
by bank holding
companies and foreign
banks subject to
section 4 of the BHC
Act.
265.20(c)(5) (formerly To permit or stay a de Reserve Bank.
265.11(c)(4)). novo modification or
relocation of
activities by an SLHC.
265.20(c)(6) (formerly To take certain Reserve Bank.
265.11(c)(5)). actions under the
Change in Bank
Control Act for SLHCs.
265.20(c)(7).................. To waive, shorten, or Reserve Bank.
modify publication
requirements for
Change in Control
notice for SLHCs.
265.20(c)(10)................. To extend time for a Reserve Bank.
banking entity to
reduce its interest
in a covered fund
pursuant to the
Volcker Rule.
265.20(c)(11)................. To act on section 914 Reserve Bank.
notices under FIRREA
for SLHCs pursuant to
Regulation LL.
265.20(c)(12)................. To approve Reserve Bank.
applications for
prior approval for
SLHCs unless certain
factors are present.
265.20(c)(12)(vi)-(vii)....... Included additional Reserve Bank.
criteria for
delegated authority
for banking
acquisitions.
265.20(c)(14)................. To make certain Reserve Bank.
determinations under
Regulation MM.
265.20(c)(14)(xiv) and (xv)... To approve requests Reserve Bank.
from mutual holding
companies (MHCs) to
conduct stock
issuances under
Regulation MM.
265.20(d)(16)................. To approve a request Reserve Bank.
by an Edge
corporation to
declare or pay a
dividend of property
other than cash.
265.20(e)(13)................. To approve a request Reserve Bank.
by a State member
bank to declare or
pay a dividend of
property other than
cash.
265.20(h)..................... To act on Reserve Bank.
determination
requests for
qualified family
partnerships.
265.20(i)..................... To make FHC elections Reserve Bank, in
effective and to consultation
approve corrective with Board
action agreements for staff.
section 4(m) purposes.
265.20(j)..................... To make certain Reserve Bank.
determinations under
the subparts F and G
of Regulation LL.
265.20(k)..................... To assent or dissent, Federal Reserve
as appropriate, to Bank of New
certain financial York.
operations of the
Bank for
International
Settlements.
265.20(l)..................... To make certain Reserve Bank,
determinations under with
the regulatory concurrence of
capital rule. Division
Director (S&R).
------------------------------------------------------------------------
[[Page 53995]]
Several of the codified and uncodified delegations include cross-
references that have become inaccurate or obsolete as a result of
changes in the underlying statutes or regulations. In addition, some of
the codified and uncodified delegations include spelling and usage
errors, and the formulation of some of the delegations is inconsistent
with current regulation drafting guidance. The final rule corrects
these errors or deficiencies and makes other technical changes. Table 2
below lists the affected provisions and, with respect to each, briefly
describes the change.
Table 2--Technical Changes
------------------------------------------------------------------------
Short description:
Citation: part or section Reason for change
------------------------------------------------------------------------
Part 265 throughout............. Reformat citations Reflect current
to statutes and guidance from the
cross-references Office of the
to Board Federal Register
regulations. and consistency
Reformat titles of with other Board
delegatees, regulations.
including by
removing
``Chairman'' and
replacing with
``Chair''.
Remove ``delegee''
and replace with
``delegatee''.
Remove ``Board's
Director'' and
replace with
``Director''.
Remove ``Board's
General Counsel''
and replace with
``General
Counsel''.
Part 265 Subpart A and Subpart B Divide Part 265 Make references
into ``Subpart A-- and citations to
General groups of
Provisions'' and sections that
``Subpart B-- contain
Delegations of delegations more
Authority''. concise and user-
friendly.
265.1(b)........................ Discuss purpose Reflect revisions
and scope of Part in the draft and
265 with language accurately
that recognizes reflect location
the addition of of delegations.
``Subpart A'' and
``Subpart B''.
265.2(c)........................ Add paragraph (c) Clarifies
to expressly authority of
permit Board Board employee
employees to delegatees to
subdelegate subdelegate
concurrences and concurrences and
consultations. consultations.
265.4........................... Revise section Add words ``or
heading to read: staff within the
Functions Division of Board
delegated to Members'' to
Board members or reflect
staff within the delegatees.
Division of Board
Members.
265.4(a)........................ Redesignate Reflect move to
265.4(a) to 265.4(d).
265.4(d), and add
new delegations
in 265.4(a)
through 265.4(c),
which are
described in
Table 1, above.
265.4(b)........................ Redesignate Reflect move to
265.4(b) to 265.4(f).
265.4(f), add new
delegations in
265.4(a) through
265.4(c), which
are described in
Table 1, above,
and redesignate
265.4(c) as
265.4(e).
265.4(c)........................ Redesignate Reflect move to
265.4(c) to 265.4(e).
265.4(e), add new
delegations in
265.4(a) through
265.4(c), which
are described in
Table 1, above,
and redesignate
265.4(b) as
265.4(f).
265.4(d)(1) (formerly Add ``section 8(b) Specifically
265.4(a)(1)). and (c) of the reference the FDI
Federal Deposit Act when citing
Insurance Act'' to 12 U.S.C.
and add 1818.
parentheses
around ``12
U.S.C. 1818(b)
and (c)''.
265.4(d)(2)(i) (formerly Replace ``(12 CFR Reflect more
265.4(a)(2)(i)). part 263)'' with specific
add ``(12 CFR citation.
263.10(e))''.
265.4(f) (formerly 265.4(b)).... Remove ``(the Parenthetical
`Action abbreviation is
Committee')''. not needed.
265.4(f)(2) (formerly Remove Improve
265.4(b)(2)). ``Reserved'' text. organization as
reserved text is
not needed.
265.5........................... Revise section Add word ``the''
heading to read: to improve
Functions language.
delegated to the
Secretary of the
Board.
265.5(a)(3)..................... Replace ``rules Improve usage.
and regulations''
with ``rules''.
265.5(a)(4)..................... Replace ``make Improve usage and
technical clarity.
corrections''
with ``make, with
the concurrence
of the General
Counsel,
technical
corrections''.
Replace
``including
removal of
obsolete
provisions'' with
``including
making regular
updates that are
required by law
and/or calculated
via a formula
prescribed by
law, removal of
obsolete
provisions''.
Replace ``and
orders and'' with
``orders, and''.
Remove ``but only
with the
concurrence of
the Board's
General Counsel''.
265.5(b)(1) heading............. Replace ``FOIA'' More precisely
with ``Freedom of identify statute
Information Act''. being referenced.
265.5(b)(2) heading............. Replace ``FOIA'' More precisely
with ``Freedom of identify statute
Information Act being referenced.
and Privacy Act''.
265.5(c) heading................ Replace ``Change Correct
in bank control; capitalization
Mergers'' with and clarify that
``savings and delegations in
loan holding this paragraph
companies; change also pertain to
in bank control; SLHCs as
mergers'' in described in
heading. Table 1, above.
[[Page 53996]]
265.5(c)(1)..................... Replace ``the Bank Reflect amended
Service name of statute.
Corporation Act''
with ``the Bank
Service Company
Act''.
265.5(c)(2)..................... Replace ``any Reflect addition
holding company, of SLHCs as
bank, or described in
company'' with Table 1, above.
``any bank
holding company,
bank, savings and
loan holding
company, or
company''.
265.5(d)(1) and (2)............. Remove Improve
``Reserved'' text organization,
in 265.5(d)(1) make consistent
and redesignate with other Board
265.5(d)(2) as regulations, and
265.5(d)(1). add statutory
Replace ``Edge or citations.
Agreement
corporation''
with ``Edge
corporation, an
agreement
corporation''.
After ``12 U.S.C.
601 and 604'' add
``, and 611 et
seq.''.
After ``section
25A of the
Federal Reserve
Act'' add ``(12
U.S.C. 611a,
615(c), and
619)''.
Replace
``following
conditions'' with
``conditions in
paragraphs
(d)(1)(i) through
(iii) of this
section''.
265.5(d)(1)(iii)(B) (formerly Replace ``the Improve clarity.
265.5(d)(2)(iii)(B)). parent bank or
bank holding
company, or
subsidiary Edge
or Agreement
corporation, as
the case may be,
and the selling
parent or
subsidiary holds
the stock with
the consent of
the Board
pursuant to
Regulations K and
Y (12 CFR parts
211 and 225),''
with ``the parent
bank, parent bank
holding company,
subsidiary Edge
corporation, or
subsidiary
agreement
corporation, as
the case may be,
and the selling
entity holds the
stock with the
consent of the
Board pursuant to
Regulation K or Y
(12 CFR parts 211
and 225), as
applicable''.
265.5(d)(3)..................... Remove Improve
``Reserved'' text. organization as
reserved text is
not needed.
265.5(e)(1)..................... Replace ``(12 CFR Correct citation.
part 204)'' with
``(12 CFR
204.2)''.
265.5(e)(2)..................... Remove Improve
``Reserved'' text. organization as
reserved text is
not needed.
265.5(f)........................ Replace ``Sec. Correct cross-
204.3(b)(2)(ii) references and
of Regulation D citations.
(12 CFR part 204)
or Sec.
209.15(b) of
Regulation I (12
CFR part 209)''
with ``Sec.
204.3(g)(2) of
Regulation D (12
CFR 204.3(g)(2))
or Sec.
209.2(c) of
Regulation I (12
CFR 209.2(c))''.
265.6........................... Revise section Add word ``the''
heading to read: to improve
Functions language, and
delegated to the correct
General Counsel. capitalization.
Revise
introductory
language to
remove ``The
Board's general
counsel (or the
general
counsel's'' and
replace with
``The General
Counsel (or the
General
Counsel's''.
265.6(a)(1)..................... Replace ``262.3(i) Correct citation.
of this chapter
(Rules of
Procedure)'' with
``262.3(k) of the
Board's Rules of
Procedure (12 CFR
262.3(k))''.
265.6(a)(2)..................... Replace ``(12 CFR Correct citation.
part 262)'' with
``(12 CFR
262.25)''.
265.6(a)(3)..................... Replace ``(12 CFR Correct citation.
part 263)'' with
``(12 CFR
263.6)''.
265.6(a)(4)..................... Move this Move so that all
delegation to delegations
265.6(e)(4) and involving
delete ``with the enforcement
concurrence of actions delegated
the Director of to the General
the Division of Counsel, with
Supervision and concurrence of
Regulation''. the Director of
S&R, are under
265.6(e).
265.6(b)(1) heading............. Replace ``FOIA'' More precisely
with ``Board identify records
records''. being referenced.
265.6(b)(3)..................... After ``under this More precisely
paragraph'' add identify
``(b)(3)''. paragraph being
referenced.
265.6(c) heading................ Replace ``Change Correct
in bank control; capitalization
Mergers'' with and clarify that
``savings and delegations in
loan holding this paragraph
companies; change also pertain to
in bank control; SLHCs as
mergers'' in described in
heading. Table 1, above.
[[Page 53997]]
265.6(c)(2) (formerly Redesignate Reflect move to
265.6(c)(1)). 265.6(c)(2) as section
265.6(c)(1). 265.6(c)(1)
Replace ``of BHC More precisely
Act'' in heading identify statute
with ``of the being referenced.
Bank Holding
Company Act.''.
265.6(c)(3) heading............. Replace ``of CBC More precisely
Act'' with ``of identify statute
the Change in being referenced.
Bank Control
Act''.
265.6(e)........................ Replace ``the Correct
director of the capitalization
Board's Division and name of
of Banking division.
Supervision and Parenthetical is
Regulation (or no longer
the Director's necessary as
delegee)'' with section 265.2(c)
``the Director of states that Board
the Division of employees who are
Supervision and authorized to
Regulation''. concur or consult
on a delegated
action may
subdelegate their
authority to
delegatees in
their division.
265.6(e)(1)..................... Add ``under Add statutory
section 8(b) or authority.
(e) of the
Federal Deposit
Insurance Act (12
U.S.C. 1818(b) or
(e))''.
265.6(e)(4)..................... Move this Move so that all
delegation from delegations
265.6(a)(4) to involving
265.6(e)(4), and enforcement
delete ``with the actions delegated
concurrence of to the General
the Director of Counsel, with
the Division of concurrence of
Supervision and the Director of
Regulation''. S&R, are under
section 265.6(e).
265.6(f)(3)..................... Remove ``the Correct reference
Board's Director to Director of
of the Director S&R.
of the Division''
and replace with
``the Director of
the Division''.
265.7........................... Revise section Add the word
heading to read: ``the'' to
Functions improve language.
delegated to the
Director of the
Division of
Supervision and
Regulation.
265.7(a)(2)..................... Replace ``Bank Correct statutory
Merger Act, the authorities.
Change in Bank
Control Act of
1978, the Federal
Reserve Act, or
the International
Banking Act,''
with ``section
18(c) of the
Federal Deposit
Insurance Act,
the Change in
Bank Control Act,
the Federal
Reserve Act, the
International
Banking Act,''.
265.7(a)(2)..................... Add ``or the Dodd- Accommodate
Frank Wall Street legislative
Reform and change.
Consumer
Protection Act''.
265.7(a)(3)..................... Redesignate Reflect move to
265.7(a)(3) to section
265.7(a)(4), and 265.7(a)(4).
add new
delegation in
265.7(a)(3),
which is
described in
Table 1, above.
265.7(a)(4) (formerly Replace ``subpart Correct citation.
265.7(a)(3)). D'' with
``subpart E''.
265.7(a)(5) (formerly Replace ``Sec. Correct language
265.7(a)(4)). '' with and more
``section''. precisely
Replace ``provided identify Director
the Director is'' who is
with ``provided referenced.
that the Director
of the Division
of Supervision
and Regulation
is''.
265.7(b)(1) heading............. Replace ``FOIA'' More precisely
with identify records
``Confidential being referenced.
supervisory
information''.
265.7(b)(1)..................... Replace ``261.11'' Correct citation
with ``261.22''. to reflect
revision of
underlying
regulation.
265.7(b)(2) heading............. Replace ``FOIA'' More precisely
with ``Freedom of identify statute
Information Act''. being referenced.
265.7(b)(2)..................... Replace ``Sec. Delete second
Sec. ``Sec. '' as
261.8(a)(2) and unnecessary and
(3)'' with ``Sec. correct citation
261.15(a)(4) to reflect
and (8)''. revision of
underlying
regulation.
265.7(c) heading................ Replace ``Change Correct
in bank control; capitalization
Mergers'' with and clarify that
``savings and delegations in
loan holding this paragraph
companies; also pertain to
financial holding SLHCs and
companies; change financial holding
in bank control; companies as
mergers'' in described in
heading. Table 1, above.
265.7(c)(2)..................... Replace ``Sec. Update citation
265.11(c)(2)(ii)' and correct typo.
' with ``Sec.
265.20(c)(2)(ii)'
'.
Replace ``on''
with ``or''.
265.7(c)(4)..................... Replace More precisely
``Financial identify statute
Institutions being referenced
Reform, Recovery and correct
and Enforcement'' citation.
with ``Financial
Institutions
Reform, Recovery,
and Enforcement
of 1989''.
Replace ``(12 CFR
part 225)'' with
``(12 CFR part
225, subpart H)''.
265.7(c)(4)(i).................. Replace ``(12 CFR Fix citation.
part 225)'' with
``(12 CFR
225.72)''.
265.7(c)(5)..................... Add ``(29 U.S.C. Add statutory
1001 et seq.)'' citations.
and add ``(29
U.S.C. 1204(b))''.
265.7(d)(3)..................... Add Conform to
``International paragraph-heading
banking matters'' format in
paragraph heading. section.
[[Page 53998]]
265.7(d)(4)..................... Remove Reflect
``Reserved'' text reorganization,
and redesignate and update
265.7(d)(6) as citation.
265.7(d)(4).
Replace ``(12 CFR
part 211)'' with
``(12 CFR part
211, subpart D)''.
265.7(d)(5)..................... Remove Reflect
``Reserved'' text reorganization,
and redesignate and more
265.8 as precisely
265.7(d)(5). identify statute
Replace ``IBA'' being referenced.
with
``International
Banking Act''.
265.7(d)(6)..................... Redesignate Reflect
265.7(d)(14) as reorganization.
265.7(d)(6).
265.7(d)(9)-(13)................ Remove Improve
``Reserved'' text. organization as
reserved text is
not needed.
265.7(e)(1)..................... Replace ``Act'' More precisely
with ``Federal identify statute
Deposit Insurance being referenced.
Act''.
265.7(e)(3)..................... Add ``(29 U.S.C. Add statutory
1001 et seq.)'' citations.
and ``(29 U.S.C.
1204(b))''.
265.7(e)(4)..................... Replace ``12 Correct citation.
U.S.C.
3105(b)(1)'' with
``12 U.S.C.
3105(c)(1)''.
265.7(e)(5)..................... Replace ``Sec. Update citations.
265.11(e)(5),
(11), and (12)''
with ``Sec.
265.20(e)(5),
(11), and (12)''.
Replace ``Sec.
265.11(e)(3),
(4), and (7)''
with ``Sec.
265.20(e)(3),
(4), and (7)''.
265.7(e)(6)..................... Remove Regulation P was
``Regulation P'' repealed in 2014
from paragraph and removing it
heading. conforms the
paragraph heading
to the section
265.20(e)(8)
paragraph
heading.
265.7(e)(6)..................... Replace ``Sec. Update citation.
265.11(e)(8)''
with ``Sec.
265.20(e)(8)''.
265.7(e)(7)(i).................. Replace Correct citations.
``paragraph 23 of
section 9 of the
Federal Reserve
Act'' with
``section 9(23)
of the Federal
Reserve Act''.
Replace ``12 CFR
208.22(b)(1)''
with ``Sec.
208.22(b)(1) of
Regulation H (12
CFR
208.22(b)(1))''.
265.7(e)(7)(ii)................. Replace Correct citation.
``paragraph 23 of
section 9 of the
Federal Reserve
Act'' with
``section 9(23)
of the Federal
Reserve Act''.
265.7(f)(1)..................... Replace More precisely
``Securities identify statute
Exchange Act'' being referenced.
with ``Securities
Exchange Act of
1934''.
265.7(f)(1)(iii)................ Replace ``extent'' Correct typo.
with ``extend''.
265.7(f)(2)..................... Replace Correct typo, and
``statement'' more precisely
with ``state'' identify statute
Replace being referenced.
``Securities
Exchange Act''
with ``Securities
Exchange Act of
1934''.
265.7(f)(3)..................... Replace More precisely
``Securities identify statute
Exchange Act'' being referenced.
with ``Securities
Exchange Act of
1934''.
265.7(f)(4)..................... Replace More precisely
``Securities identify statute
Exchange Act'' being referenced.
with ``Securities
Exchange Act of
1934''.
265.7(f)(5)(i).................. Replace ``Act'' More precisely
with ``Securities identify statute
Exchange Act of being referenced,
1934''. and correct
Replace ``15 citation.
U.S.C. 78q-1''
with ``15 U.S.C.
78q-1(c)(2)''.
265.7(f)(5)(ii)................. Replace ``Act'' More precisely
with ``Securities identify statute
Exchange Act of being referenced,
1934''. and correct
Replace ``15 citation.
U.S.C. 78c'' with
``15 U.S.C.
78c(a)(34)(B)''.
265.7(f)(6)(i) and (ii)......... Replace ``(12 CFR Correct citation.
part 208)'' with
``(12 CFR
208.36)''.
265.7(f)(9)..................... Replace ``15 Correct citation.
U.S.C. 78q-1''
with ``15 U.S.C.
78q-1(c)''.
265.7(f)(10).................... Replace ``(12 CFR Correct citations.
part 207)'' with
``(12 CFR
207.6(d))''.
Replace ``(12 CFR
part 220)'' with
``(12 CFR
220.17(f))'' and.
Replace ``(12 CFR
part 221)'' with
``(12 CFR
221.7(d))''.
265.8........................... Redesignate 265.8 Reflect
to 265.9, and reorganization so
redesignate 265.9 that the
to 265.8. functions
delegated to the
Director of DCCA
come before the
functions
delegated to the
Director of IF.
265.8 (formerly 265.9).......... Revise section Add word ``the''
heading to read: to improve
Functions language.
delegated to the
Director of the
Division of
Consumer and
Community Affairs.
265.8 introductory text Replace ``Board's Simplify language.
(formerly 265.9). Division'' with
``Division''.
265.8(a) (formerly 265.9(a)).... Redesignate as Simplify language.
(a)(2) and
streamline
citations.
[[Page 53999]]
265.8(c) (formerly 265.9(c)).... Add ``to the Reflect change in
extent that the Board's
laws are authority.
applicable to
motor vehicle
dealers, as
defined in
section 1029 of
the Dodd-Frank
Wall Street
Reform and
Consumer
Protection Act
(12 U.S.C.
5519)''.
265.8(c)(1) (formerly Replace ``(12 CFR Correct citations.
265.9(c)(1)). part 226)'' with
``(12 CFR
226.28)''.
Replace ``213.7''
with ``213.9''..
Replace ``(12 CFR
part 213)'' with
``(12 CFR
213.9)''.
265.8(c)(2) (formerly Replace ``(12 CFR Correct citation.
265.9(c)(2)). part 205)'' with
``(12 CFR
205.12)''.
265.8(c)(3) (formerly Replace ``(12 CFR Correct citation.
265.9(c)(3)). part 202)'' with
``(12 CFR
202.11)''.
265.8(f) (formerly 265.9(f)).... Replace More precisely
``Community identify statute
Reinvestment being referenced.
Act'' with
``Community
Reinvestment Act
of 1977''.
265.8(f)(1) (formerly Replace ``(12 CFR Correct citation.
265.9(f)(1)). part 228)'' with
``(12 CFR
228.27(g) and
(h))''.
265.8(f)(2) (formerly Replace ``(12 CFR Correct citation.
265.9(f)(2)). part 228)'' with
``(12 CFR
228.25(b))''.
265.8(g) (formerly 265.8(g)).... Add ``or Clarify scope of
permitted''. delegation.
265.9........................... Redesignate 265.9 Reflect
to 265.8, and reorganization so
redesignate 265.8 that the
to 265.9. functions
delegated to the
Director of DCCA
come before the
functions
delegated to the
Director of IF.
265.9 (formerly 265.8).......... Revise section Remove the word
heading to read: ``Staff'' to
Functions improve language.
delegated to the
Director of the
Division of
International
Finance.
265.9 introductory text Replace ``Board's Simplify language.
(formerly 265.8). Staff Director''
with ``Director''.
265.9(b) (formerly 265.8(b)).... Remove Improve
``Reserved'' text. organization as
reserved text is
not needed.
265.10.......................... Redesignate 265.10 Accommodate the
to 265.12. additional Board
delegatees in
sections 265.10
and 265.11.
265.11.......................... Redesignate 265.11 Accommodate
to 265.20. additional Board
delegatees.
265.20 introductory text Add ``Except as Accommodate
(formerly 265.11). otherwise delegation to
provided in this Federal Reserve
section''; and Bank of New York,
Replace and correct
``reponsible'' spelling error.
with
``responsible''.
265.20(a)(2) (formerly Replace ``(9)'' Correct citation.
265.11(a)(2)). with ``(7)''.
265.20(a)(3) (formerly Replace ``(22)'' Correct citation.
265.11(a)(3)). with ``(20)''.
265.20(a)(6) heading (formerly Replace ``dpc'' Make consistent
265.11(a)(6)). with ``DPC''. with other Board
regulations.
265.20(a)(6) (formerly Replace ``(12 CFR Correct citation.
265.11(a)(6)). part 225)'' with
``(12 CFR
225.22(c)(1)).
265.20(a)(10) (formerly Replace ``(12 CFR Correct citation.
265.11(a)(10)). part 211)'' with
``(12 CFR
211.8(e) and
(f))''.
265.20(a)(11) (formerly Replace Correct spelling
265.11(a)(11)). ``consummante'' error.
with
``consummate''.
265.20(a)(15) (formerly Replace ``prior Make consistent
265.11(a)(15)). approval of with other
both'' with delegations.
``concurrence
of''.
[[Page 54000]]
265.20(a)(15)(i) (formerly Replace ``with a Adding reference
265.11(a)(15)(i)). State member to SLHCs as
bank, or with any explained in
other person or Table 1, above,
entity subject to adding reference
the Board's to a ``foreign
supervisory bank that has
jurisdiction elected to be
under 12 U.S.C. treated as a
1818(b) financial holding
concerning the company'' as
prevention or explained in
correction of an Table 1, above,
unsafe or unsound and adding
practice in references to
conducting the specific statutes
business of the for clarity.
bank holding
company,
nonbanking
subsidiary, or
State member bank
or other entity,
or concerning the
correction or
prevention of any
violation of law,
rule, or
regulation,''
with ``with a
savings and loan
holding company
or any subsidiary
thereof (other
than a savings
association),
with a State
member bank, with
a foreign bank
that has elected
to be treated as
a financial
holding company,
or with any
person or entity
subject to the
Board's
supervisory
jurisdiction
under section
8(b) of the
Federal Deposit
Insurance Act (12
U.S.C. 1818(b))
concerning the
prevention or
correction of an
unsafe or unsound
practice in
conducting the
business of the
bank holding
company or its
nonbanking
subsidiary,
savings and loan
holding company
or its subsidiary
(other than a
savings
association), or
State member
bank, or foreign
bank that has
elected to be
treated as a
financial holding
company, or other
entity, or
concerning the
correction or
prevention of any
violation of law,
rule, or
regulation,
including section
4(m) of the Bank
Holding Company
Act (12 U.S.C.
1843(m))''.
265.20(a)(15)(ii) (formerly Replace ``this Clarify that this
265.20(a)(15)(ii)). paragraph'' with delegation does
``this paragraph not apply to
(a)(15), other extensions of
than to extend corrective
time limits in a agreements under
corrective section 4(m) of
agreement with a the BHC Act.
financial
institution under
section 4(m) of
the Bank Holding
Company Act (12
U.S.C. 1843(m))''.
265.20(a)(15)(iii) (formerly Remove ``and (k)'' 12 U.S.C. 1818(k)
265.11(a)(15)(iii)). in the two places was repealed.
it appears.
265.20(a)(17) heading (formerly Replace Improve
265.11(a)(17)). ``Modification of description of
commitments'' delegation.
with ``Relief
from or
modification of
commitments''.
265.20(a)(17) (formerly Replace ``the Bank More precisely
265.11(a)(17)). Merger Act'' with identify statutes
``section 18(c) being referenced.
of the Federal
Deposit Insurance
Act (12 U.S.C.
1828(c))''.
Remove ``of
1978''..
265.20(b)(1) (formerly Replace Reflect revision
265.11(b)(1)). ``described in of underlying
the Board's Rules regulation and
Regarding correct citation.
Availability of
Information (12
CFR 261.11)''
with ``described
in Sec. Sec.
261.21(a) and
261.22(a) of the
Board's Rules
Regarding
Availability of
Information (12
CFR 261.21(a) and
261.22(a))''.
265.20(b)(2) (formerly Remove Improve
265.11(b)(2)). ``Reserved'' text. organization as
reserved text is
not needed.
265.20(c)(2)(ii) (formerly Replace ``in Reflect revision
265.11(c)(2)(ii)). Regulation Y (12 of underlying
CFR regulation.
225.23(a)(2))''
with ``in Sec.
225.24(d)(1) of
Regulation Y (12
CFR
225.24(d)(1))''.
265.20(c)(3) introductory text Replace ``Sec. Reflect revision
(formerly 265.11(c)(3)). 225.4(b)(1) of of underlying
Regulation Y (12 regulation and
CFR part 225)'' correct citation.
with ``subpart C
of Regulation Y
(12 CFR part 225,
subpart C)''.
Replace ``Sec.
265.3 of this
part'' with
``Sec. 265.3
(12 CFR 265.3)''.
265.20(c)(3)(i) (formerly Replace ``Sec. Reflect revision
265.11(c)(3)(i)). 225.25 of of underlying
Regulation Y (12 regulation and
CFR part 225)'' correct citation.
with ``Sec.
225.28(b) of
Regulation Y (12
CFR 225.28(b))''.
265.20(c)(3)(ii) (formerly Replace ``Sec. Reflect revision
265.11(c)(3)(ii)). 225.23(a)(2) of of underlying
Regulation Y (12 regulation and
CFR part 225)'' correct citation.
with ``subpart C
of Regulation Y
(12 CFR part 225,
subpart C)''.
265.20(c)(5) (formerly Replace ``Sec. Update citation to
265.11(c)(4)). 265.11(d)(3) of reflect
this part'' with reorganization of
``paragraph this section.
(c)(3) of this
section''.
265.20(c)(6) heading (formerly Capitalize Correct
265.11(c)(5)). ``Change'' and capitalization
add ``the''. and improve
language.
[[Page 54001]]
265.20(c)(6)(iii) (formerly Replace ``Sec. Reflect revision
265.11(c)(5)(iii)). 225.41(b) of of underlying
Regulation Y (12 regulation.
CFR part 225)''
with ``Sec.
225.41(c)(2) of
Regulation Y (12
CFR
225.41(c)(2))''.
265.20(c)(6)(iv)(E) (formerly Replace ``(12 CFR Correct citation.
265.11(c)(5)(iv)(E)). part 225)'' with
``(12 CFR
225.41)''.
265.20(c)(8) (formerly Replace Improve usage.
265.11(c)(8)). ``Grandfathered
nonbanking
activities'' with
``Legacy
nonbanking
activities'' and
other conforming
amendments.
265.20(c)(9) (formerly Replace ``under Remove reference
265.11(c)(8)). sections 4(c)(8) to section 5(b)
and 5(b) of the of the BHC Act,
Bank Holding reflect revision
Company Act (12 of underlying
U.S.C. regulation, and
1843(c)(8), update citation
1844(b)) and to reflect
225.23(b) of reorganization of
Regulation Y (12 this section.
CFR part 225)''
with ``section
4(c)(8) of the
Bank Holding
Company Act (12
U.S.C.
1843(c)(8)) and
subpart C of
Regulation Y (12
CFR part 225,
subpart C)''.
Replace ``in Sec.
265.11(f)(1),
(2), (3), or (4)
of this part''
with ``paragraphs
(c)(12)(i)
through (iv) of
this section''.
265.20(c)(11) introductory text Replace More precisely
(formerly 265.11(c)(9)). ``Financial identify statute
Institutions being referenced,
Reform, Recovery, and correct
and Enforcement citation.
Act'' with
``Financial
Institutions
Reform, Recovery,
and Enforcement
Act of 1989''.
Replace ``(12 CFR
part 225)'' with
``(12 CFR part
225, subpart H)''.
265.20(c)(11)(i) (formerly Add ``(12 CFR Add citation.
265.11(c)(9)(i)). 225.72)''.
265.20(c)(11)(ii) (formerly Replace ``that Accommodate
265.11(c)(9)(ii)). section'' with addition of SLHC-
``those related
sections''. delegation.
265.20(c)(12) (formerly Replace Correct
265.11(c)(12)). ``present.'' with punctuation.
``present:''.
265.20(c)(12)(v)(A) (formerly Replace Reflect
265.11(c)(11)(v)(A)). ``paragraph reorganization of
(c)(11)(v)(B)'' this paragraph,
with ``paragraph and improve
265.20(c)(12)(v)( language.
B)''.
Replace ``Board's
Division'' with
``Division'' in
two places.
265.20(c)(12)(v)(B)(2) (formerly Replace ``Board's Improve language.
265.11(c)(11)(v)(B)(2)). Division'' with
``Division''.
265.20(c)(12)(vi) (formerly Replace ``Sec. Reflect revision
265.11(c)(11)(vi)). 225.25(b)'' with of underlying
``Sec. regulation and
225.28(b) of update citation.
Regulation Y (12
CFR 225.28(b))''.
265.20(c)(13)(i) (formerly Replace ``12 CFR Make citations to
265.11(c)(12)(i)). 238.12(d)(1), regulations
that an consistent.
application under
12 CFR 238.11''
with ``Sec.
225.12(d)(2) of
Regulation Y (12
CFR
225.12(d)(2)),
that an
application under
Sec. 225.11 of
Regulation Y (12
CFR 225.11)''.
265.20(c)(13)(ii) (formerly Replace ``12 CFR Make citations to
265.11(c)(12)(ii)). 238.12(d)(1), regulations
that an consistent.
application under
12 CFR 238.11''
with ``Sec.
238.12(d)(1) of
Regulation LL (12
CFR
238.12(d)(1)),
that an
application under
Sec. 238.11 of
Regulation LL (12
CFR 238.11)''.
265.20(d)(1) heading (formerly Replace ``Edge or Make consistent
265.11(d)(1)). agreement with other Board
corporation'' regulations.
with ``Edge
corporation, or
agreement
corporation''.
265.20(d)(1) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(1)). part 211)'' with
``(12 CFR
211.3)''.
265.20(d)(2) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(2)). part 211)'' with
``(12 CFR
211.4(a)(8))''.
265.20(d)(3) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(3)). part 211)'' with
``(12 CFR
211.5)''.
265.20(d)(4) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(4)). part 211)'' with
``(12 CFR
211.5)''.
265.20(d)(5) (formerly Add ``Sec. '' Correct citation.
265.11(d)(5)). before
211.5(a)(3).
Replace ``(12 CFR
part 211)'' with
``(12 CFR
211.5(a)(3))''.
265.20(d)(6) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(6)). part 211)'' with
``(12 CFR
211.5(d))''.
265.20(d)(7) (formerly Replace ``to Improve language,
265.11(d)(7)). otherwise and correct
acquire'' with citation.
``otherwise to
acquire''.
Replace ``(12 CFR
part 211)'' with
``(12 CFR
211.5(e))''.
265.20(d)(8)(i) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(8)(i)). part 211)'' with
``(12 CFR
211.9(a)(4)))''.
265.20(d)(8)(ii) (formerly Replace first Correct citations.
265.11(d)(8)(ii)). citation to ``(12
CFR part 211)''
with ``(12 CFR
211.9(a)(5)))''.
Replace second
citation to ``(12
CFR part 211)''
with ``(12 CFR
211.9(b))''.
[[Page 54002]]
265.20(d)(9)(ii) (formerly Replace Correct spelling
265.11(d)(9)(ii)). ``authorty'' with and usage errors.
``authority''.
Replace period
with semicolon..
265.20(d)(9)(iii) (formerly Add ``and'' after Correct usage
265.11(d)(9)(iii)). the semicolon. error.
265.20(d)(9)(iv) (formerly Replace ``and Make consistent
265.11(d)(9)(iv)). Regulation K (12 with other Board
CFR 211.31- regulations.
211.34'' with
``and subpart C
of Regulation K
(12 CFR part 211,
subpart C)''.
265.20(d)(10)(i) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(10)(i)). part 211)'' with
``(12 CFR
211.9(f))''.
265.20(d)(10)(ii) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(10)(ii)). part 211)'' with
``(12 CFR
211.24(a)(2)(i))'
'.
265.20(d)(11)(i) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(11)(i)). part 211)'' with
``(12 CFR
211.10(a)(14))''.
265.20(d)(11)(ii) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(11)(ii)). part 211)'' with
``(12 CFR
211.10(a)(15))''.
265.20(d)(11)(iii) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(11)(iii)). part 211)'' with
``(12 CFR
211.10(a)(15)(iv)
(B))''.
265.20(d)(11)(iv) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(11)(iv)). part 211)'' with
``(12 CFR
211.10(a)(18))''.
265.20(d)(12) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(12)). part 211)'' with
``((12 CFR
211.22(b))''.
265.20(d)(13) (formerly Replace ``under Correct cross-
265.11(d)(13)). Sec. reference and
211.22(c)(1) of citation.
Regulation K (12
CFR part 211)''
with ``under Sec.
211.22(b)(1) of
Regulation K ((12
CFR
211.22(b)(1))''.
265.20(d)(14)(i) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(14)(i)). part 211)'' with
``((12 CFR
211.24(a)(1)))''.
265.20(d)(14)(ii) (formerly Replace ``(12 CFR Correct citation.
265.11(d)(14)(ii)). part 211)'' with
``((12 CFR
211.24(a)(51)))''.
265.20(e)(4) (formerly Remove ``and 60''. Correct citations.
265.11(e)(4)). Replace ``12 CFR
208.5(c)'' with
``in Sec.
208.5(c) of
Regulation H (12
CFR 208.5(c))''.
265.20(e)(4)(i) (formerly Replace ``banks'' Correct spelling
265.11(e)(4)(i)). with ``bank's''. error.
265.20(e)(5) introductory text Replace ``239'' Correct citation.
(formerly 265.11(e)(5)). with ``329''.
265.20(e)(5) (formerly Add ``of Correct citation.
265.11(e)(5)). Regulation H (12
CFR 208.5(d))''.
265.20(e)(6) (formerly Replace ``inferior- Improve usage, and
265.11(e)(6)). quality'' with more precisely
``inferior identify statute
quality''. being referenced.
Remove ``of
1978''..
265.20(e)(7) (formerly Replace ``371a'' Correct citation.
265.11(e)(7)). with ``371d''.
Replace ``12 CFR
208.21(a)'' with
``Sec.
208.21(a) of
Regulation H (12
CFR 208.21(a))''.
265.20(e)(11) (formerly Replace ``(12 CFR Correct citation.
265.11(e)(11)). part 204)'' with
``(12 CFR
204.2(a)(1)(vii)(
C))''.
265.20(e)(12)(i) (formerly Replace ``12 CFR Correct citation.
265.11(e)(12)(i)). 208.22(b)(1)''
with ``Sec.
208.22(b)(1) of
Regulation H (12
CFR
208.22(b)(1))''.
265.20(g)(2) (formerly Redesignate Reflect recission
265.11(g)(1)). paragraph (g)(2) of paragraph
as (g)(1). (g)(1) and
Remove heading.... improve usage.
Remove ``of the
Board''..
------------------------------------------------------------------------
Finally, certain delegations in the delegation rules have become
moot due to the repeal or revision of the underlying legislation or
regulation. The final rule rescinds these delegations and removes them
from the delegation rules. Table 3 below lists these delegations and
the grounds for rescission.
Table 3--Rescissions
------------------------------------------------------------------------
Reason for
Prior citation: section Short description: rescission
------------------------------------------------------------------------
265.5(b)(3)................... To approve annual Statutory
reports required by reporting
the Privacy Act. requirement
repealed.
265.5(b)(4)................... To determine the Statutory
average predominant provision
prime rate quoted by repealed.
commercial banks to
large businesses
pursuant to section
6621 of the Internal
Revenue Code of 1986.
265.5(c)(3)................... To approve certain Statutory
transactions under provision
section 5(d)(3)(A) of repealed.
the FDI Act.
265.6(c)(1)................... To determine whether a Statutory
company that provision
transfers shares repealed.
under section 2(g) of
the BHC Act is
incapable of
controlling the
transferee.
265.6(c)(4)................... Tax certifications Tax code
pursuant to Internal provisions were
Revenue Code section repealed.
1101 et seq.
[[Page 54003]]
265.6(d)(2)................... Granting temporary Statutory
exceptions from provisions
management interlock permitting
prohibitions in these
Regulation L for exceptions were
certain banks. repealed.
265.7(c)(2)................... Remove ``and 12 CFR
265.11(c)(3)(iii)''. 265.11(c)(3)(ii
i) is a
proposed
rescission,
below.
265.9(b) (note: delegations to Pursuant to section The statutory
the Director of DCCA in 265.9 703(b) of the requirement for
are being redesignated to Consumer Credit the Board to
265.8). Protection Act (15 maintain a
U.S.C. 1691b(b)), to Consumer
call meetings of and Advisory
consult with the Council was
Consumer Advisory repealed; but
Council established see the
under that section, replacement
approve the agenda delegation for
for such meetings, section
and accept any 265.8(b)
resignations from described in
Consumer Advisory Table 1, above.
Council members.
265.9(c)(4) (note: delegations To determine whether a Board no longer
to the Director of DCCA in State law is has rule
265.9 are being redesignated inconsistent with writing
to 265.8). section 306(a) of the authority.
Home Mortgage
Disclosure Act (12
U.S.C. 2805(a)) and
Sec. 203.3 of
Regulation C (12 CFR
203).
265.9(c)(5) (note: delegations To determine whether a Board no longer
to the Director of DCCA in State law is has rule
265.9 are being redesignated inconsistent with writing
to 265.8). section 273 of the authority.
Truth in Savings Act
(12 U.S.C. 4312) and
Sec. 230.1 of
Regulation DD (12 CFR
230).
265.9(e) (note: delegations to Making annual Board no longer
the Director of DCCA in 265.9 adjustments under the has rule
are being redesignated to Home Mortgage writing
265.8). Disclosure Act and authority.
section
103(a)(1)(B)(ii) of
the Truth in Lending
Act.
265.11(c)(3)(iii) (note: To permit early Regulatory
delegations to the Reserve consummation for provision
Banks in 265.11 are being certain nonbanking requiring
redesignated to 265.20). proposals by bank delayed
holding companies. consummation
removed.
265.11(c)(8) (note: To approve Regulatory
delegations to the Reserve applications for provision
Banks in 265.11 are being opening additional requiring
redesignated to 265.20). offices for applications
previously approved for additional
nonbanking activities. offices
removed.
265.11(c)(10) (note: To engage in certain Statutory
delegations to the Reserve transactions under provision
Banks in 265.11 are being section 5(d)(3)(A) of repealed.
redesignated to 265.20). the FDI Act.
265.11(g)(1) (note: To permit additional Regulatory
delegations to the Reserve time to dissolve or provision
Banks in 265.11 are being conform a management revised to
redesignated to 265.20). interlock after a provide
change of additional time
circumstances. without
approval of the
Board.
------------------------------------------------------------------------
II. Regulatory Analyses
These amendments relate solely to the agency's organization,
procedure, or practice. Accordingly, the provisions of the
Administrative Procedure Act (APA) regarding notice of proposed
rulemaking and opportunity for public participation are not
applicable.\3\
---------------------------------------------------------------------------
\3\ 5 U.S.C. 553(b)(A).
---------------------------------------------------------------------------
Because no notice of proposed rulemaking is required to be issued,
or has been issued, in connection with this rule, it is not a ``rule''
for purposes of the Regulatory Flexibility Act, and that act,
therefore, does not apply.\4\
---------------------------------------------------------------------------
\4\ See 5 U.S.C. 601(2).
---------------------------------------------------------------------------
In accordance with the Paperwork Reduction Act of 1995 (PRA),\5\
the Board may not conduct or sponsor, and a respondent is not required
to respond to, an information collection unless it displays a currently
valid Office of Management and Budget control number. The Board has
reviewed the proposed rule and has determined that it contains no
collections of information as defined in the PRA.
---------------------------------------------------------------------------
\5\ 44 U.S.C. 3501 et seq.
---------------------------------------------------------------------------
Section 722 of the Gramm-Leach-Bliley Act \6\ requires the Federal
banking agencies to use plain language in all proposed and final rules
published after January 1, 2000. The Board has sought to present this
rule in a simple and straightforward manner.
---------------------------------------------------------------------------
\6\ 12 U.S.C. 4809.
---------------------------------------------------------------------------
As a rule of internal agency organization, the final rule is not a
``substantive rule'' for the purposes of the APA; as such, the act does
not require the Board to delay the effective date of the rule.\7\
Accordingly, the amendments are effective September 1, 2022.
---------------------------------------------------------------------------
\7\ See 5 U.S.C. 553(d).
---------------------------------------------------------------------------
List of Subjects in 12 CFR Part 265
Authority delegations (Government agencies); Banks, banking.
Authority and Issuance
0
For the reasons stated in preamble the Board of Governors of the
Federal Reserve System revises 12 CFR part 265 to read as follows:
PART 265--RULES REGARDING DELEGATION OF AUTHORITY
Subpart A--General Provisions
Sec.
265.1 Authority, purpose, and scope.
265.2 Delegation of functions generally.
265.3 Board review of delegated actions.
Subpart B--Delegations of Authority
265.4 Functions delegated to Board members or staff within the
Division of Board Members.
265.5 Functions delegated to the Secretary of the Board.
265.6 Functions delegated to the General Counsel.
265.7 Functions delegated to the Director of the Division of
Supervision and Regulation.
265.8 Functions delegated to the Director of the Division of
Consumer and Community Affairs.
265.9 Functions delegated to the Director of the Division of
International Finance.
265.10 Functions delegated to the Director of the Division of
Monetary Affairs.
265.11 Functions delegated to the Director of the Division of
Reserve Bank Operations Payment Systems.
265.12 Functions delegated to the Secretary of the Federal Open
Market Committee.
265.13 Functions delegated to the Director of the Division of
Financial Stability.
265.14-265.19 [Reserved]
265.20 Functions delegated to Federal Reserve Banks.
Authority: 12 U.S.C. 248(i) and (k).
Subpart A--General Provisions
Sec. 265.1 Authority, purpose, and scope.
(a) Pursuant to section 11(k) of the Federal Reserve Act (12 U.S.C.
248(k)), the Board of Governors of the Federal
[[Page 54004]]
Reserve System (the Board) may delegate, by published order or rule,
any of its functions other than those relating to rulemaking or
pertaining principally to monetary and credit policies to Board members
and employees, Reserve Banks, or administrative law judges. Pursuant to
section 11(i) of the Federal Reserve Act (12 U.S.C. 248(i)), the Board
may make all rules and regulations necessary to enable it to
effectively perform the duties, functions, or services specified in
that Act. Other provisions of Federal law also may authorize specific
delegations by the Board.
(b) This part details the functions that the Board has delegated.
Subpart A contains general provisions pertaining to delegations of
authority, including review of action taken pursuant to delegated
authority. Subpart B contains the specific functions delegated to Board
members, Board employees and the Federal Reserve Banks. Except as
otherwise indicated in this part, the Board will review a delegated
action only if a Board member, at his or her own initiative, requests a
review.
Sec. 265.2 Delegation of functions generally.
(a) The Board has determined to delegate authority to exercise the
functions described in this part.
(b) The Chair of the Board shall assign responsibility for
performing such delegated functions.
(c) Where a delegatee must act with the concurrence of a Board
employee, or in consultation with a Board employee, that Board employee
may subdelegate his or her authority to concur or be consulted on the
delegated action to an employee within the same division or office.
Sec. 265.3 Board review of delegated actions.
(a) Request by Board member. The Board shall review any action
taken at a delegated level upon the vote of one member of the Board,
either on the member's own initiative or on the basis of a petition for
review by any person claiming to be adversely affected by the delegated
action.
(b) Petition for review. A petition for review of a delegated
action must be received by the Secretary of the Board not later than
the fifth day following the date of the delegated action.
(c) Notice of review. The Secretary shall give notice of review by
the Board of a delegated action to any person with respect to whom the
action was taken not later than the tenth day following the date of the
delegated action. Upon receiving notice, such person may not proceed
further in reliance upon the delegated action until notified of the
outcome of the review by the Board.
(d) By action of a delegatee. A delegatee may submit any matter to
the Board for determination if the delegatee considers it appropriate
because of the importance or complexity of the matter.
Subpart B--Delegations of Authority
Sec. 265.4 Functions delegated to Board members or staff within the
Division of Board Members.
(a) Chair. The Chair is authorized:
(1) Bank for International Settlements. To appoint a first and
second alternate director to the Board of Directors of the Bank for
International Settlements.
(2) Term Deposit Facility (TDF). To authorize TDF test operations
with maximum award amounts of up to $20 billion and with maximum
offering rates of up to 5 basis points over the interest on excess
reserves rate, to adjust the schedules and other terms and conditions
for TDF test operations as necessary, to approve additional TDF test
operations, to determine when TDF test operations should offer term
deposits with an early withdrawal feature, and to establish, with
respect to term deposits that are offered with an early withdrawal
feature, an early withdrawal penalty that includes forfeiture of all
interest on any term deposits withdrawn before the expiration of the
term plus an additional penalty of 75 basis points at an annual rate
applied to the principal over the entire term of the term deposit.
(3) Disclosures related to emergency lending programs. To approve:
(i) Periodic reports to Congress under section 13(3)(C)(ii) of the
Federal Reserve Act (12 U.S.C. 343(3)(C)(ii)) for the Primary Dealer
Credit Facility, Money Market Liquidity Facility, Commercial Paper
Funding Facility, Paycheck Protection Program Liquidity Facility,
Secondary Market Corporate Credit Facility, Municipal Liquidity
Facility, Term Asset-Backed Securities Loan Facility, Main Street New
Loan Facility, Main Street Expanded Loan Facility, Main Street Priority
Loan Facility, Nonprofit Organization New Loan Facility, and Nonprofit
Organization Expanded Loan Facility, and to approve technical or minor
changes to the scope of information included in such reports; and
(ii) Seven-day reports to Congress under section 13(3)(C)(i) of the
Federal Reserve Act (12 U.S.C. 343(3)(C)(ii)).
(b) Chair of the Committee on Supervision and Regulation. The Chair
of the Committee on Supervision and Regulation is authorized:
(1) To act on requests for extensions of State member banks' and
bank holding companies' advanced approaches first floor period start
dates that are consistent with previous exemptions approved by the
Board and that do not raise additional significant policy issues.
(2) [Reserved].
(c) Chair of the Committee on Federal Reserve Bank Affairs. The
Chair of the Committee on Federal Reserve Bank Affairs is authorized to
consider and grant or deny requests from the Federal Reserve Banks for
exceptions to the Board's policies on Federal Reserve Bank directors.
(d) Individual members. Any Board member designated by the Chair is
authorized:
(1) Approval of amendments to notice of charges or cease and desist
orders. To approve (after receiving recommendations of the Director of
the Division of Supervision and Regulation and the General Counsel)
amendments to any notice, temporary order, or proposed order previously
approved by the Board in a specific formal enforcement matter
(including a notice of charges or removal notice) or any proposed or
temporary cease and desist order previously approved by the Board under
section 8(b) and (c) of the Federal Deposit Insurance Act (12 U.S.C.
1818(b) and (c)).
(2) Requests for permission to appeal rulings. (i) To act, when
requested by the Secretary, upon any request under Sec. 263.10(e) of
the Board's Rules of Practice for Hearings (12 CFR 263.10(e)) for
special permission to appeal from a ruling of the presiding officer on
any motion made at a hearing conducted under the rules, and if special
permission is granted, the merits of the appeal shall be presented to
the Board for decision.
(ii) Notwithstanding Sec. 265.3, the denial of special permission
to appeal a ruling may be reviewed by the Board only if a Board member
requests a review within two days of the denial. No person claiming to
be adversely affected by the denial shall have any right to petition
the Board or any Board member for review or reconsideration of the
denial.
(3) Extension of time period for final Board action. To extend for
an additional 180 days the 180-day period within which final Board
action is required on an application pursuant to section 7(d) of the
International Banking Act (12 U.S.C. 3105(d)).
(e) Exigent circumstances. The Chair is authorized to determine
when an emergency situation exists for purposes of section 2(b)(2) of
the Board's Rules of Organization. If the Chair is unavailable or
unable to determine that an
[[Page 54005]]
emergency situation exists, then the Vice Chair is authorized to
determine when an emergency situation exists.
(f) Three-member Action Committee. Any three Board members
designated from time to time by the Chair are authorized:
(1) Absence of quorum. To act, upon certification by the Secretary
of the Board of an absence of a quorum of the Board present in person,
by unanimous vote on any matter that the Chair has certified must be
acted upon promptly in order to avoid delay that would be inconsistent
with the public interest except for matters:
(i) Relating to rulemaking;
(ii) Pertaining principally to monetary and credit policies; and
(iii) For which a statute expressly requires the affirmative vote
of more than three Board members.
(2) [Reserved].
(g) Reports to Congress pursuant to the Small Business Regulatory
Enforcement Fairness Act of 1996. The Assistant to the Board,
Congressional Liaison Office, Division of Board Members, is authorized,
in consultation with the General Counsel, to approve and submit the
annual report to Congress describing the status of the Board's
compliance with sections 212(a)(1) through (5) of the Small Business
Regulatory Enforcement Fairness Act of 1996 (5 U.S.C. 601 note),
pursuant to section 212(a)(6) of the Act.
Sec. 265.5 Functions delegated to the Secretary of the Board.
The Secretary of the Board (or the Secretary's delegatee) is
authorized:
(a) Procedure--(1) Extension of time period for public
participation in proposed regulations. To extend, when appropriate
under the Board's Rules of Procedure (12 CFR 262.2(a) and (b)), the
time period for public participation with respect to proposed
regulations of the Board.
(2) Extension of time period in notices, orders, rules, or
regulations. (i) To grant or deny requests to extend any time period in
any notice, order, rule, or regulation of the Board relating to filing
information, comments, opposition, briefs, exceptions, or other
matters, in connection with any application, request, or petition for
the Board's approval authority, determination, or permission, or any
other action by the Board.
(ii) Notwithstanding Sec. 265.3, no person claiming to be
adversely affected by any such extension of time by the Secretary shall
have the right to petition the Board or any Board member for review or
reconsideration of the extension.
(3) Conforming citations and references in Board rules. (i) To
conform references to administrative positions or units in Board rules
with changes in the administrative structure of the Board and in the
government and agencies of the United States.
(ii) To conform citations and references in Board rules with other
regulatory or statutory changes adopted or promulgated by the Board or
by the government or agencies of the United States.
(4) Technical corrections in Board rules and regulations. To make,
with the concurrence of the General Counsel, technical corrections,
such as spelling, grammar, construction, and organization (including
making regular updates that are required by law and/or calculated via a
formula prescribed by law, removal of obsolete provisions, and
consolidation of related provisions), to the Board's rules,
regulations, orders, and other records of Board action.
(5) Procedural motions in administrative cases pending before the
Board. To grant or deny procedural motions arising after an
administrative case has been forwarded to the Board for final decision.
(b) Availability of information--(1) Freedom of Information Act
requests. To make available, upon request, information in Board records
and consider requests for confidential treatment of information in
Board records under the Freedom of Information Act (5 U.S.C. 552) and
under the Board's Rules Regarding Availability of Information (12 CFR
part 261).
(2) Review of denial of access to Board records; Freedom of
Information Act and Privacy Act. To review and determine an appeal of
denial of access to Board records under the Freedom of Information Act
(5 U.S.C. 552), the Privacy Act (5 U.S.C. 552a), and the Board's rules
regarding such access (12 CFR parts 261 and 261a, respectively).
(3) File reports of rulemakings with Congress and the Government
Accountability Office. To file reports of rulemakings with Congress and
the Government Accountability Office pursuant to the Congressional
Review Act (5 U.S.C. 801 et seq.).
(c) Bank holding companies; savings and loan holding companies;
change in bank control; mergers--(1) Reports on competitive factors in
bank mergers. To furnish reports on competitive factors involved in a
bank merger to the Comptroller of the Currency and the Federal Deposit
Insurance Corporation under the provisions of the Federal Deposit
Insurance Act (12 U.S.C. 1828(c)); the Bank Holding Company Act (12
U.S.C. 1842(a), 1843(c)(8) and (j)); the Bank Service Company Act (12
U.S.C. 1865(a) and (b)); the Change in Bank Control Act (12 U.S.C.
1817(j)); and the Federal Reserve Act (12 U.S.C. 321 et seq., 601-604a,
611 et seq.).
(2) Reserve Bank director interlocks. To take actions the Reserve
Bank could take except for the fact that the Reserve Bank may not act
because a director, senior officer, or principal shareholder of any
bank holding company, bank, savings and loan holding company, or
company involved in the transaction is a director of that Reserve Bank
or branch of the Reserve Bank.
(3) [Reserved].
(4) Savings and loan holding companies. (i) To approve the
establishment of a mutual holding company or a subsidiary holding
company of a mutual holding company pursuant to section 10(o) of the
Home Owners' Loan Act (12 U.S.C. 1467a(o)) and Sec. Sec. 239.3 and
239.11 of Regulation MM (12 CFR 239.3 and 239.11), including issuing a
charter, if the following conditions are met:
(A) The appropriate Reserve Bank and relevant divisions of the
Board recommend approval; and
(B) No significant policy issue is raised on which the Board has
not expressed its view.
(ii) To grant a request to deregister as a savings and loan holding
company pursuant to section 10(b)(6) of the Home Owners' Loan Act (12
U.S.C. 1467a(b)(6)) and Sec. 238.4(d) of Regulation LL (12 CFR
238.4(d)).
(d) International banking--(1) Acquisition of foreign company or
U.S. company financing exports. To grant, under sections 25 and 25A of
the Federal Reserve Act (12 U.S.C. 601 and 604, and 611 et seq.) and
section 4(c)(13) of the Bank Holding Company Act (12 U.S.C.
1843(c)(13)) and the Board's Regulations K and Y (12 CFR parts 211 and
225), specific consent to the acquisition, either directly or
indirectly, by a member bank, an Edge corporation, an agreement
corporation, or a bank holding company, of stock of a company chartered
under the laws of a foreign country or a company chartered under the
laws of a State of the United States that is organized and operated for
the purpose of financing exports from the United States, and to approve
any such acquisition that may exceed the limitations of section 25A of
the Federal Reserve Act (12 U.S.C. 611a, 615(c), and 619) based on the
company's capital and surplus, if all of the conditions in paragraphs
(d)(1)(i) through (iii) of this section are met:
[[Page 54006]]
(i) The appropriate Reserve Bank and all relevant divisions of the
Board's staff recommend approval;
(ii) No significant policy issue is raised on which the Board has
not expressed its view;
(iii) The acquisition does not result, either directly or
indirectly, in the bank, corporation, or bank holding company acquiring
effective control of the company, except that this condition need not
be met if:
(A) The company is to perform nominee, fiduciary, or other services
incidental to the activities of a foreign branch or affiliate of the
bank holding company, or corporation; or
(B) The stock is being acquired from the parent bank, parent bank
holding company, subsidiary Edge corporation, or subsidiary agreement
corporation, as the case may be, and the selling entity holds the stock
with the consent of the Board pursuant to Regulation K or Y (12 CFR
parts 211 or 225), as applicable.
(2) [Reserved].
(e) Member banks--(1) Waiver of penalty for early withdrawals of
time deposits. To permit depository institutions to waive the penalty
for early withdrawal of time deposits under section 19(j) of the
Federal Reserve Act (12 U.S.C. 371b) and Sec. 204.2 of Regulation D
(12 CFR 204.2) if the following conditions are met:
(i) The President declares an area of major disaster or emergency
area pursuant to section 301 of the Disaster Relief Act of 1974 (42
U.S.C. 5141);
(ii) The waiver is limited to depositors suffering disaster or
emergency related losses in the officially designated area; and
(iii) The appropriate Reserve Bank and all relevant divisions of
the Board's staff recommend approval.
(2) [Reserved].
(f) Location of institution. To determine the Federal Reserve
District in which an institution is located pursuant to Sec.
204.3(g)(2) of Regulation D (12 CFR 204.3(g)(2)) or Sec. 209.2(c) of
Regulation I (12 CFR 209.2(c)) if:
(1) The relevant Federal Reserve Banks and the institution agree on
the specific Reserve Bank in which the institution should hold stock or
with which the institution should maintain reserve balances; and
(2) The agreed-upon location does not raise any significant policy
issues.
Sec. 265.6 Functions delegated to the General Counsel.
The General Counsel (or the General Counsel's delegatee) is
authorized:
(a) Procedure--(1) Reconsideration of Board action. Pursuant to
Sec. 262.3(k) of the Board's Rules of Procedure (12 CFR 262.3(k)) to
determine whether or not to grant a request for reconsideration or
whether to deny a request for stay of the effective date of any action
taken by the Board with respect to an action as provided in that part.
(2) Public meetings. To order, after consulting with the directors
of other interested divisions of the Board and the appropriate Reserve
Bank, that a public meeting or other proceeding be held in accordance
with Sec. 262.25 of the Board's Rules of Procedure (12 CFR 262.25), in
connection with any application or notice filed with the Board, and to
designate the presiding officer in the proceeding under terms and
conditions the General Counsel deems appropriate.
(3) Designation of Board counsel for hearings. To designate Board
staff attorneys as Board counsel in any proceeding ordered by the Board
in accordance with Sec. 263.6 of the Board's Rules of Practice for
Hearings (12 CFR 263.6).
(b) Availability of Information--(1) Board records. To make
available information of the Board of the nature and in the
circumstances described in the Board's Rules Regarding Availability of
Information (12 CFR part 261).
(2) Disclosure to foreign authorities. To make the determinations
required for disclosure of information to a foreign bank regulatory or
supervisory authority, and to obtain, to the extent necessary, the
agreement of such authority to maintain the confidentiality of such
information to the extent possible under applicable law.
(3) Assistance to foreign authorities. To approve requests for
assistance from any foreign bank regulatory or supervisory authority
that is conducting an investigation regarding violations of any law or
regulation relating to banking matters or currency transactions
administered or enforced by such authority, and to make the
determinations required for any investigation or collection of
information and evidence pertinent to such request. In deciding whether
to approve requests for assistance under this paragraph (b)(3), the
General Counsel shall consider:
(i) Whether the requesting authority has agreed to provide
reciprocal assistance with respect to banking matters within the
jurisdiction of any appropriate Federal banking agency;
(ii) Whether compliance with the request would prejudice the public
interest of the United States; and
(iii) Whether the request is consistent with the requirement that
the Board conduct any such investigation in compliance with the laws of
the United States and the policies and procedures of the Board.
(c) Bank holding companies; savings and loan holding companies;
change in bank control; mergers--(1) Control determinations under
section 4(c)(8) of the Bank Holding Company Act. To determine, or issue
an order for a hearing to determine, whether a company engaged in
financial, fiduciary, or insurance activities falls within the
exemption in section 4(c)(8) of the Bank Holding Company Act (12 U.S.C.
1843(c)(8)), permitting retention or acquisition of control thereof by
a bank holding company.
(2) Data processing. In consultation with the Director of the
Division of Supervision and Regulation, to review and act on requests
for permission by bank holding companies to administer the 49 percent
revenue limit on nonfinancial data processing activities on a business-
line or multiple-entity basis in appropriate circumstances under Sec.
225.28(b)(14)(ii) of Regulation Y (12 CFR 225.28(b)(14)(ii)).
(3) Notices under the Change in Bank Control Act. To revoke
acceptance of and return as incomplete a notice filed under the Change
in Bank Control Act (12 U.S.C. 1817(j)) or to extend the time during
which action must be taken on a notice where the General Counsel
determines, with the concurrence of the Director of the Division of
Supervision and Regulation, that the notice is materially incomplete
under that Act or Regulation Y (12 CFR part 225), or contains material
information that is substantially inaccurate.
(d) Management interlocks--(1) General exemptions. After
consultation with the Director of the Division of Supervision and
Regulation, to grant exceptions from the prohibitions of Regulation L
(12 CFR part 212) or subpart J of Regulation LL (12 CFR part 238
subpart J) under the general exemption of section 212.6 of Regulation L
(12 CFR 212.6) or section 238.96 of Regulation LL (12 CFR 238.6).
(2) Legacy management interlocks. After consultation with the
Director of the Division of Supervision and Regulation, to approve a
request to extend a management interlock permissible under section 206
of the Depository Institution Management Interlocks Act (12 U.S.C.
3205).
(e) Enforcement actions. With the concurrence of the Director of
the Division of Supervision and Regulation:
(1) To enter into a cease-and-desist order, removal and prohibition
order, or civil money penalty assessment order with a bank holding
company or any nonbanking subsidiary thereof, with a State member bank,
with a savings and
[[Page 54007]]
loan holding company, or with any other person or entity subject to the
Board's jurisdiction under section 8(b) or (e) of the Federal Deposit
Insurance Act (12 U.S.C. 1818(b) or (e)), when the order has been
consented to by the institution or individual subject to the order; or
to issue a notice suspending or prohibiting an institution-affiliated
party under section 8(g) of the Federal Deposit Insurance Act (12
U.S.C. 1818(g)) when the notice has been consented to by the individual
subject to the notice;
(2) To stay, modify, terminate, or suspend an order or notice
issued pursuant to paragraph (e)(1) of this section.
(3) To grant consent to a person subject to an order of removal
and/or prohibition or suspension notice or order issued by the Board or
other Federal financial institutions regulatory agency to become an
institution-affiliated party of, to otherwise participate in the
conduct of the affairs of, or to take an action with respect to any
voting rights in, any Board-supervised institution or entity.
(4) To take, or authorize designated persons to take actions
permitted under 12 U.S.C. 1818(n), 1820(c), and 12 U.S.C. 1844(f),
including administering oaths and affirmations, taking depositions, and
issuing, revoking, quashing, or modifying subpoenas duces tecum.
(f) International banking--(1) After-the-fact applications. With
the concurrence of the Director of the Division of Supervision and
Regulation, to grant a request by a foreign bank to establish a branch,
agency, commercial lending company, or representative office through
certain acquisitions, mergers, consolidations, or similar transactions,
in conjunction with which:
(i) The foreign bank would be required to file an after-the-fact
application for the Board's approval under Sec. 211.24(a)(6) of
Regulation K (12 CFR 211.24(a)(6)); or
(ii) The General Counsel may waive the requirement for an after-
the-fact application if:
(A) The surviving foreign bank commits to wind down the U.S.
operations of the acquired foreign bank; and
(B) The merger or consolidation raises no significant policy or
supervisory issues.
(2) To modify the requirement that a foreign bank that has
submitted an application or notice to establish a branch, agency,
commercial lending company, or representative office pursuant to Sec.
211.24(a) of Regulation K (12 CFR 211.24(a)) shall publish notice of
the application or notice in a newspaper of general circulation in the
community in which the applicant or notificant proposes to engage in
business, as provided in Sec. 211.24(b)(2) of Regulation K (12 CFR
211.24(b)(2)).
(3) With the concurrence of the Director of the Division of
Supervision and Regulation, to grant a request for an exemption under
section 4(c)(9) of the Bank Holding Company Act (12 U.S.C. 1843(c)(9)),
provided that the request raises no significant policy or supervisory
issues that the Board has not already considered.
(4) To return applications and notices filed under the
International Banking Act for informational deficits.
(5) To determine that an entity qualifies as a ``special-purpose
foreign government-owned bank'' for purposes of Sec. 211.24(d)(3) of
Regulation K (12 CFR 211.24(d)(3)).
(g) Conflicts of interest waivers. To issue individual conflicts of
interest waivers under 18 U.S.C. 208(b)(1) to employees and officials
other than Board members.
(h) Deregistration requests. With the concurrence of the Director
of the Division of Supervision and Regulation, to determine, pursuant
to section 10(a)(1)(D)(ii) of the Home Owners' Loan Act (12 U.S.C.
1467a(a)(1)(D)(ii)), that a company is not a savings and loan holding
company by virtue of its control of a savings association that
functions solely in a trust or fiduciary capacity as described in
section 2(c)(2)(D) of the Bank Holding Company Act (12 U.S.C.
1841(c)(2)(D)), where no significant legal, policy, or supervisory
issues are raised by the specific proposal.
(i) Small entity compliance guides. In consultation with the
director of any other division responsible for drafting the associated
rule, as appropriate, to approve and publish small entity compliance
guides in accordance with section 212 of the Small Business Regulatory
Enforcement Fairness Act of 1996 (5 U.S.C. 601 note).
(j) Internal debt conversion triggers. In consultation with the
Director of the Division of Supervision and Regulation, to approve
contractual language (``conversion trigger'') required to be included
in the eligible internal debt securities (``eligible long-term debt'')
issued pursuant to the Board's total loss-absorbing capacity rule
(``TLAC Rule'') by the U.S. intermediate holding companies of foreign
global systemically important banking organizations required to be
formed under 12 CFR 252.153(a) (``Covered IHCs''), to the extent that
such language does not raise any significant legal, policy, or
supervisory concerns. The authority delegated to the General Counsel in
consultation with the Director of the Division of Supervision and
Regulation to approve conversion triggers is limited to requests that
meet the following criteria:
(1) The conversion trigger does not include any conditions for
triggering the conversion other than the issuance of an internal debt
conversion order by the Board;
(2) The instruments governing the long-term debt and related
documents mitigate any impediments to conversion of the long-term debt
into equity capital;
(3) The conversion trigger provides for the conversion of the long-
term debt into common equity tier 1 capital;
(4) The conversion trigger requires the conversion of long-term
debt in the amount specified by the Board's internal debt conversion
order; and
(5) Upon conversion of long-term debt pursuant to the conversion
trigger, the converted long-term debt would no longer remain
outstanding as a liability of the Covered IHC.
(k) Section 19 of the Federal Deposit Insurance Act. With the
concurrence of the Director of the Division of Supervision and
Regulation, to approve or disapprove requests under section 19 of the
Federal Deposit Insurance Act (12 U.S.C. 1829) where no significant
legal, policy or supervisory issues are raised by the specific
proposal.
Sec. 265.7 Functions delegated to the Director of the Division of
Supervision and Regulation.
The Director of the Division of Supervision and Regulation (or the
Director's delegatee) is authorized:
(a) Procedure--(1) Cease and desist orders. To refuse, with the
prior concurrence of the appropriate Reserve Bank and the General
Counsel, an application to the Board to stay, modify, terminate, or set
aside any effective cease and desist order previously issued by the
Board under section 8(b) of the Federal Deposit Insurance Act (12
U.S.C. 1818(b)), or any written agreement between the Board or the
Reserve Bank and a bank holding company or any nonbanking subsidiary
thereof, a savings and loan holding company or any nondepository
subsidiary thereof, or a State member bank.
(2) Modification of commitments or conditions. To grant or deny
requests for modifying, including extending the time for, performing a
commitment or condition relied on by the Board or its delegatee in
taking any action under the Bank Holding Company Act, the Home Owners'
Loan Act, section 18(c) of the Federal Deposit Insurance Act, the
[[Page 54008]]
Change in Bank Control Act, the Federal Reserve Act, the International
Banking Act, or the Dodd-Frank Wall Street Reform and Consumer
Protection Act. In acting on such requests, the Director may take into
account changed circumstances and good faith efforts to fulfill the
commitments or conditions, and shall consult with the directors of
other interested divisions where appropriate. The Director may not take
any action that would be inconsistent with or result in an evasion of
the provisions of the Board's original action.
(3) Processing extensions. With the concurrence of the General
Counsel, to extend the processing periods for the following
applications and notices:
(i) The 60-day processing period for an acquisition of a bank or
bank holding company filed under section 3 of the Bank Holding Company
Act (12 U.S.C. 1842), pursuant to Sec. 225.15(d)(2) of Regulation Y
(12 CFR 225.15(d)(2));
(ii) The 60-day processing period for a nonbanking proposal filed
under section 4 of the Bank Holding Company Act (12 U.S.C. 1843),
pursuant to:
(A) Section 225.24(d)(2) of Regulation Y (12 CFR 225.24(d)(2)); and
(B) Section 4(j)(1)(C) of the Bank Holding Company Act (12 U.S.C.
1843(j)(1)(C)) and Sec. 225.24(d)(3) of Regulation Y (12 CFR
225.24(d)(3));
(iii) The 60-day processing period for an acquisition of a savings
association or savings and loan holding company filed under section
10(e) of the Home Owners' Loan Act (12 U.S.C. 1467a(e)), pursuant to
Sec. 238.14(g)(2) of Regulation LL (12 CFR 238.14(g)(2));
(iv) The 60-day processing period for a nonbanking proposal filed
under section 10(c) of the Home Owners' Loan Act (12 U.S.C. 1467a(c)),
pursuant to:
(A) Section 238.53(f)(2) of Regulation LL (12 CFR 238.53(f)(2));
and
(B) Section 238.53(f)(3) of Regulation LL (12 CFR 238.53(f)(3));
and
(v) For an additional 180 days, the 180-day period within which
final Board action is required on an application pursuant to section
7(d) of the International Banking Act (12 U.S.C. 3105(d)).
(4) Notice of insufficient capital. To issue, with the concurrence
of the General Counsel, a notice that a State member bank, bank holding
company, or savings and loan holding company has insufficient capital
and which directs the bank or company to file with its regional Reserve
Bank a capital improvement plan under subpart E of the Board's Rules of
Practice for Hearings (12 CFR part 263, subpart E).
(5) Obtaining possession or control of securities; extending time
period. To approve, under section 403.5(g) of the Treasury Department
regulations (17 CFR 403.5) implementing the Government Securities Act
of 1986, as amended (Pub. L. 95-571), the application of a member bank,
a State branch or agency of a foreign bank, a foreign bank, or a
commercial lending company owned or controlled by a foreign bank, to
extend for one or more limited periods commensurate with the
circumstances the 30-day time period specified in 17 CFR
403.5(c)(1)(iii), provided that the Director of the Division of
Supervision and Regulation is satisfied that the applicant is acting in
good faith and that exceptional circumstances warrant such action.
(b) Availability of information--(1) Confidential supervisory
information. To make available information of the Board of the nature
and in the circumstances described in Sec. 261.22 of the Board's Rules
Regarding Availability of Information (12 CFR 261.22).
(2) Freedom of Information Act; availability of information. To
make available, under the Board's Rules Regarding Availability of
Information (12 CFR part 261), reports and other information of the
Board acquired pursuant to the Board's Regulations G, T, U, and X (12
CFR parts 207, 220, 221, 224) of the nature and in circumstances
described in Sec. 261.15(a)(4) and (8) of these rules.
(c) Bank holding companies; savings and loan holding companies;
financial holding companies; change in bank control; mergers--(1) Bank
holding company and savings and loan holding company registration forms
and annual reports. To promulgate registration forms and annual reports
and other forms for use in connection with the Bank Holding Company Act
and the Home Owners' Loan Act, after receiving clearance from the
Office of Management and Budget (where necessary), under section 5 of
the Bank Holding Company Act (12 U.S.C. 1844) or section 10 of the Home
Owners' Loan Act (12 U.S.C. 1467a), and in accordance with 5 U.S.C.
553.
(2) Emergency action. To take actions the Reserve Bank could take
under this part at Sec. 265.20(c)(2)(ii) if immediate or expeditious
action is required to avert failure of a bank or savings association or
because of an emergency pursuant to sections 3(a) and 4(c)(8) of the
Bank Holding Company Act (12 U.S.C. 1842(a), 1843(c)(8)), section 10(c)
of the Home Owners' Loan Act (12 U.S.C. 1467a(c)), or the Change in
Bank Control Act (12 U.S.C. 1817(j)).
(3) Waiver of notice. To waive, dispense with, modify or excuse the
failure to comply with the requirement for publication and solicitation
of public comment regarding a notice filed under the Change in Bank
Control Act (12 U.S.C. 1817(j)), with the concurrence of the General
Counsel, provided a written finding is made that such disclosure would
seriously threaten the safety or soundness of a bank holding company,
savings and loan holding company, or a bank.
(4) Notices for addition or change of directors or officers. Under
section 914(a) of the Financial Institutions Reform, Recovery, and
Enforcement Act of 1989 (12 U.S.C. 1831i) and subpart H of Regulation Y
(12 CFR part 225, subpart H) or subpart H of Regulation LL (12 CFR part
238, subpart H), provided that no senior officer or director or
proposed senior officer or director of the notificant is also a
director of the Reserve Bank or a branch of the Reserve Bank:
(i) To determine the informational sufficiency of notices filed
pursuant to Sec. 225.72 of Regulation Y (12 CFR 225.72) or Sec.
238.73 of Regulation LL (12 CFR 238.73); and
(ii) To waive the prior notice requirements of that section.
(5) ERISA violations. To provide the Department of Labor written
notification of possible significant violations of the Employee
Retirement Income Security Act (ERISA) (29 U.S.C. 1001 et seq.) by bank
holding companies or savings and loan holding companies, in accordance
with section 3004(b) of ERISA (29 U.S.C. 1204(b)) and the Interagency
Agreement adopted to implement its provisions.
(6) Appraisal not required. To determine pursuant to 12 CFR
225.63(a)(13) that the services of an appraiser are not necessary in
order to protect Federal financial and public policy interests in real
estate-related financial transactions or to protect the safety and
soundness of an institution.
(7) Financial holding company corrective action agreements. With
the concurrence of the General Counsel, to authorize a financial
holding company, or a foreign bank that has elected to be treated as a
financial holding company, that is subject to section 4(m) of the Bank
Holding Company Act (12 U.S.C. 1843(m)):
(i) To acquire shares of a company pursuant to authority in section
4(k) of the Bank Holding Company Act (12 U.S.C. 1843(k)) in order to
continue to engage in the following categories of existing activities
which require recurring transactions in the ordinary course:
(A) Merchant banking,
(B) Underwriting dealing in, or making a market in securities;
[[Page 54009]]
(C) Sponsoring, organizing, and managing customer-driven investment
funds; and
(D) Hedging risks incurred in ongoing permissible activities;
(ii) To extend the time within which a financial holding company
must execute a corrective agreement under section 4(m) of the Bank
Holding Company Act (12 U.S.C. 1843(m));
(iii) To extend the time limits in, or otherwise modify, corrective
agreements under section 4(m) of the Bank Holding Company Act (12
U.S.C. 1843(m)); and
(iv) To determine not to make public any corrective agreement under
section 4(m) of the Bank Holding Company Act (12 U.S.C. 1843(m));
(8) Complementary physical commodity trading activities. With the
concurrence of the General Counsel, to approve requests by financial
holding companies to engage in complementary physical commodity trading
activities, pursuant to section 4(k)(1)(B) of the Bank Holding Company
Act (12 U.S.C. 1843(k)(1)(B)), as an activity that is complementary to
permissible commodity derivatives activities, provided that the
proposal meets the conditions imposed by the Board approving previous
requests and the proposal does not raise any significant legal, policy,
or supervisory issues.
(9) Extension of merchant banking investment holding periods. With
the concurrence of the General Counsel, to approve requests b
[…truncated; see source link]Indexed from Federal Register on September 1, 2022.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.