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PH FedACTion: Financial Regulatory Updates

Daily Financial Regulation Update -- Saturday, February 5, 2022

February 05, 2022

FedACTion Task Force

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Congress

U.S. House of Representatives

Committee on Financial Services

America COMPETES Act Containing Key Provisions Authored by Committee Members Passes in House

February 4, 2022

The U.S. House Committee on Financial Services announced the passage of the America Creating Opportunities for Manufacturing Pre-Eminence in Technology and Economic Strength (COMPETES) Act of 2022 in the House, which includes key provisions sponsored by members on the Financial Services Committee addressing:

  • US Policy on World Bank Group and Asian Development Bank Loans to China
  • Prohibitions or Conditions on Certain Transmittals of Funds
  • U.S. Stock Exchange Trading Prohibition for Two Consecutive Auditor Non-Inspection Years
  • Combating Wildlife Trafficking Financing and Proceeds Study Act
  • A Study on Chinese Support for Afghan Illicit Finance
  • U.S. Policy on Multilateral Development Bank Co-Financing Arrangements with China's Infrastructure Bank
  • China Financial Threat Mitigation
  • Support for Debt Relief for Developing Countries
  • COVID-19 Emergency Medical Supplies Enhancement
  • Securing America's Vaccines for Emergencies
  • Press Release

Committee on Small Business

Chairwoman Velázquez's Statement on House Passage of America COMPETES Act

February 4, 2022

House Small Business Committee Chairwoman Nydia M. Velázquez (D-NY) issued a statement after the House passed the America COMPETES Act of 2022.

Federal Agencies

U.S. Department of the Treasury

Treasury Releases Study on Illicit Finance in the High-Value Art Market

February 4, 2022

The U.S. Department of the Treasury published a study on the facilitation of money laundering and the financing of terrorism through the trade in works of high-value art. This study examined art market participants and sectors of the high-value art market that may present money laundering and terrorist financing risks to the U.S. financial system, and identified efforts that government agencies, regulators, and market participants could undertake to further mitigate the laundering of illicit proceeds through the high-value art market in the United States. The study was mandated by Congress in the Anti-Money Laundering Act of 2020.

Federal Reserve Board

Federal Bank Regulatory Agencies to Host the 2022 National Interagency Community Reinvestment Conference

February 4, 2022

The Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Office of the Comptroller of the Currency and the Federal Reserve Banks of Chicago and San Francisco will host the 2022 National Interagency Community Reinvestment Conference online from March 15 through March 17, 2022.

Paper: Cross-Sectional Financial Conditions, Business Cycles and The Lending Channel

February 4, 2022

The Board of Governors of the Federal Reserve System released a paper as part of its International Finance Discussion Papers series titled "Cross-Sectional Financial Conditions, Business Cycles and The Lending Channel."

Federal Deposit Insurance Corporation

FDIC and National Bankers Association to Co-host Podcast Series on Financial Inclusion and Minority Banks

February 4, 2022

The Federal Deposit Insurance Corporation and the National Bankers Association announced a new joint series of podcasts that will showcase public- and private-sector efforts to preserve and promote Minority Depository Institutions and advance diversity and inclusion across financial services.

Consumer Financial Protection Bureau

CFPB Issues Request for Information Regarding Fees Imposed by Providers of Consumer Financial Products or Services

February 4, 2022

The Consumer Financial Protection Bureau (CFPB) is seeking comments from the public related to fees that are not subject to competitive processes that ensure fair pricing. Submissions will serve to assist the CFPB and policymakers in exercising its enforcement, supervision, regulatory and other authorities with a goal of creating fairer, more transparent, and competitive consumer financial markets. Comments must be received on or before March 31, 2022.

Financial Stability Oversight Council

Financial Stability Oversight Council to Evaluate Nonbank Financial Intermediation by Hedge Funds, Open-End Funds and Money Market Funds

February 4, 2022

The Financial Stability Oversight Council (FSOC) issued a statement on nonbank financial intermediation. According to the statement, in 2021, the FSOC made it a priority to evaluate and address the risks to U.S. financial stability posed by three types of NBFIs: hedge funds, open-end funds and money market funds. At its meeting on February 4, 2022, the FSOC received updates from member agency staff on progress over the past year regarding these three types of NBFIs through working groups and FSOC member agency rulemaking activity. The FSOC states that it will continue to evaluate, monitor, and address these risks to financial stability in 2022.

U.S. Small Business Administration

Office of Advocacy Submits Comments on FinCEN's Proposed Rule On Beneficial Ownership Information Reporting Requirements

February 4, 2022

The Office of Advocacy of the U.S. Small Business Administration filed a comment letter on FinCEN's proposed rule on Beneficial Ownership Information Reporting Requirements.

Administration Changes

Vacancies

Federal Reserve Board

  • Vice Chair for Supervision – Sarah Bloom Raskin nominated January 14, 2022 (nomination hearing held on February 3, 2022)
  • Governor – Lisa Cook nominated January 14, 2022
    (nomination hearing held on February 3, 2022)
  • Governor – Phillip Jefferson, nominated January 14, 2022
    (nomination hearing held on February 3, 2022)

Federal Deposit Insurance Corporation

  • Chair – Martin Gruenberg will become Acting Chair as of February 4, 2022
  • Vice Chairman

Office of the Comptroller of the Currency

  • Comptroller – Vacant (Michael Hsu serves as Acting Comptroller)

Commodity Futures Commission

  • Three (3) Commissioner Vacancies

Appointments/Confirmation Hearings

U.S. Department of the Treasury - Janet Yellen (effective January 26, 2021)

Federal Reserve Board

Federal Reserve Bank of New York

Consumer Financial Protection Bureau - Rohit Chopra (effective October 12, 2021)

Securities and Exchange Commission - Gary Gensler (effective April 17, 2021)

Small Business Administration - Isabella Casillas Guzman (effective March 16, 2021)

Commodity Futures Trade Commission – Rostin Behnam (effective December 17, 2021)

Financial Crimes Enforcement Network

National Credit Union Administration - Todd M. Harper

U.S. Department of Housing and Urban Development - Marcia Fudge (effective March 10, 2021)

Federal Housing Finance Agency – Sandra L. Thompson

U.S. Department of Education - Dr. Miguel Cardona (effective March 2, 2021)

PH Client Alerts

Click here to read more from our Coronavirus series.

Legislation/Legislative Updates

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 the full text of the Consolidated Appropriations Act, 2021, Enacted December 27, 2020.

Click here to view the full text of the American Rescue Plan of 2021, Enacted March 11, 2021.

Click here to view the full text of the PPP Extension Act of 2021, Enacted March 30, 2021.

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.