PH FedACTion: Financial Regulatory Updates
Daily Financial Regulation Update - Saturday, June 13, 2020
June 13, 2020
FedACTion Task Force
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Major Developments
Federal Reserve Bank of Boston
Federal Reserve Bank of Boston Releases Updated Main Street Lending Program Documents
June 11, 2020
The Federal Reserve Bank of Boston released several updated Main Street Lending Program (the Program) forms and agreements, updated to reflect the recent changes to the Program.
Congress
Click here to view the full text of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), Enacted March 27, 2020.
Click here to view the full text of the Paycheck Protection Program Increase Act of 2020, Enacted April 24, 2020.
Click here to view the full text of the Paycheck Protection Program Flexibility Act of 2020, Enacted June 5, 2020.
Click here to view a running list of proposed legislation from the Senate Committee on Banking, Housing, and Urban Affairs, Senate Committee on Small Business and Entrepreneurship, House Committee on Financial Services, and House Committee on Small Business.
Federal Agencies
Federal Reserve Board
Fed Submits Monetary Policy Report to Congress
June 12, 2020
The Board of Governors of the Federal Reserve System (Federal Reserve) submitted its June 2020 Monetary Policy Report to Congress. The report covers recent economic and financial developments and describes monetary policy measures the Federal Reserve has taken to stabilize economic conditions during the COVID-19 pandemic. In addition, the report summarizes economic projections for real gross domestic product, the unemployment rate and inflation through 2022 and over the longer run. Based on recent economic activity data, the report finds that real gross domestic product is likely to contract at a rapid pace in the second quarter after tumbling at an annual rate of 5% in the first quarter of 2020.
Federal Reserve Board Releases Report, “Fed Listens: Perspectives from the Public”
June 12, 2020
The Board of Governors of the Federal Reserve (Federal Reserve) released a report, Fed Listens: Perspectives from the Public, which summarizes the 15 Fed Listens events held by the Federal Reserve and the Federal Reserve Banks since the beginning of 2019, including the most recent event to discuss the effects of the COVID-19 pandemic. Fed Listens events are part of the Federal Reserve’s review of monetary policy strategy, tools, and communication practices.
Federal Reserve Bank of New York
New York Fed Releases Updated Notice of Interest for the Municipal Liquidity Facility
June 12, 2020
The Federal Reserve Bank of New York posted an updated Notice of Interest (NOI) to reflect the revised set of Eligible Designated Cities, Counties and Revenue Bond Issuers discussed in the Term Sheet for the Municipal Liquidity Facility (MLF) posted on June 3, 2020. Submission of the NOI is the first step in applying to sell eligible notes to the MLF.
New York Fed Releases Article on Importance of Fed Swap Lines During Onset of COVID-19
June 12, 2020
As part of its Liberty Street Economics web series, the Federal Reserve Bank of New York posted an article about the importance of the Federal Reserve’s U.S. dollar standing swap lines with a number of other central banks at the onset of the COVID-19 pandemic.
Department of Education
U.S. Department of Education Issues Rule defining Eligible Students to ReeiveCOVID-19 Relief Funds
June 11, 2020
The U.S. Department of Education released for public comment an interim final rule (IFR) to distribute COVID-19 Relief Funds to only eligible students enrolled in eligible education programs. The IFR is intended to align eligibility requirements for emergency financial aid grants under the CARES Act with Title IV eligibility, which dictates which students can receive taxpayer-subsidized student loans or grants.
State Agencies
New York State Department of Financial Services
DEPARTMENT OF FINANCIAL SERVICES ANNOUNCES REMOTE ONLINE INSURANCE LICENSING EXAM OPTION
June 11, 2020
The New York State Department of Financial Services announced that remote online proctored testing will be available starting June 15, 2020 for all 28 New York insurance licensing exams. Most testing centers in the state have been closed due to the COVID-19 pandemic. Online testing will allow candidates to take the exams at a testing center or any other location of their choice, including their home or office. The option is available to all candidates.
International
European Commission
Commission Releases Statement on Consulting Member States on Proposal to Expand State Aid Temporary Framework
June 12, 2020
The European Commission sent to Member States a draft proposal to further extend the scope of the State Aid Temporary Framework (the Framework) adopted on March 19, 2020 to support the economy in the context of the coronavirus outbreak. The draft proposal would expand the Framework to further support micro, small and start-up companies and incentivize private investments therein.