PH FedACTion: Financial Regulatory Updates
Daily Financial Regulation Update -- Tuesday, March 1, 2022
March 01, 2022
FedACTion Task Force
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Major Developments
Treasury Prohibits Transactions with Central Bank of Russia and Imposes Sanctions on Key Sources of Russia's Wealth
February 28, 2022
The U.S. Department of the Treasury's Office of Foreign Assets Control (OFAC) prohibited United States persons from engaging in transactions with the Central Bank of the Russian Federation, the National Wealth Fund of the Russian Federation, and the Ministry of Finance of the Russian Federation. This action effectively immobilizes any assets of the Central Bank of the Russian Federation held in the United States or by U.S. persons, wherever located.
Congress
U.S. House of Representatives
Committee on Small Business
Committee Announces March Hearings
February 28, 2022
The House Small Business Committee announced several committee hearings throughout March:- Tuesday, March 1, 2022- 10 A.M.- Hybrid Hearing: Competition and the Small Business Landscape: Fair Competition and a Level Playing Field
- Wednesday, March 2, 2022- 11 A.M.- Hybrid Hearing: The 8(a) Program: Overview and Next Steps to Promote Small Business Success (Subcommittee on Contracting and Infrastructure)
- Tuesday, March 8, 2022- 10 A.M.- Hybrid Hearing: Overview of the Small Business Innovation Research and Small Business Technology Transfer Programs
- Wednesday, March 9, 2022- 10 A.M.- Hybrid Hearing: Skill, Upskill, and Reskill: Analyzing New Investments in Workforce Development (Subcommittee on Innovation, Economic Workforce Development)
- Wednesday, March 16, 2022- 10 A.M.- Hybrid Hearing: An Empirical Review of the Paycheck Protection Program (Subcommittee on Oversight, Investigations, and Regulations)
Federal Agencies
U.S. Department of the Treasury
Preliminary Report on Foreign Holdings of U.S. Securities at End-June 2021
February 28, 2022
Preliminary data from the June 2021 benchmark survey of foreign portfolio holdings of U.S. securities were released today on the Treasury website. Final survey results, which will include additional detail as well as possible revisions to the preliminary data, will be reported on April 29, 2022. The survey was undertaken jointly by Treasury, the Federal Reserve Bank of New York, and the Board of Governors of the Federal Reserve System. The next annual survey will cover holdings at the end of June 2022; preliminary data are expected to be released by February 28, 2023.
Treasury to Host Virtual Roundtable on State and Local Efforts to Address Climate Change
February 28, 2022
The U.S. Department of the Treasury will host a virtual roundtable, entitled The Climate Transition: Federal Policy and State and Local Government Best Practices, on Thursday, March 3, 2022. The roundtable will open at 10:00 AM ET with remarks from U.S. Secretary of the Treasury Janet L. Yellen. Following the Secretary's remarks, White House Senior Advisor and Infrastructure Implementation Coordinator Mitch Landrieu will deliver remarks on the Bipartisan Infrastructure Law. Climate Counselor to the Secretary John Morton will then convene a panel of senior Administration officials to discuss key policies that support state and local governments in the climate transition.
Federal Reserve Bank of New York
A New Approach to Assess Inflation Expectations Anchoring Using Strategic Surveys
February 28, 2022
The Federal Reserve Bank of New York proposes a new approach to assessing the anchoring of inflation expectations using "strategic surveys." Households' revisions will be measured in long-run inflation expectations after they are presented with different economic scenarios. A key advantage of this approach is that it provides a causal interpretation in terms of how inflation events affect long-run inflation expectations. The method was implemented in the summer of 2019 and the spring-summer of 2021 when the anchoring of long-run inflation expectations was in question. The risk of unanchoring of expectations was reasonably low in both periods, and that long-run inflation expectations were essentially as well anchored in August 2021 as in July 2019, before the COVID-19 pandemic.
Office of the Comptroller of the Currency
Revised Licensing Booklets: Revised Comptroller's Licensing Manual Booklets
February 28, 2022
The Office of the Comptroller of the Currency (OCC) issued revised booklets under the Comptroller's Licensing Manual addressing "Articles of Association, Charter, and Bylaw Amendments," "Fiduciary Powers," "Subordinated Debt," and "Subsidiaries and Equity Investments." The revised booklets replace booklets of the same title issued between June 2017 and January 2019. The revised booklets reflect recent changes to 12 C.F.R. Part 5, make corrections when necessary, and contain updated guidance.
- Articles of Association, Charter, and Bylaw Amendments
- Fiduciary Powers
- Subordinated Debt
- Subsidiaries and Equity Investments
- OCC Bulletin
Consumer Financial Protection Bureau
CFPB Moves to Thwart Illegal Auto Repossessions
February 28, 2022
The Consumer Financial Protection Bureau (CFPB) is moving to thwart illegal repossessions in the heated auto market. A compliance bulletin issued today reveals conduct observed during CFPB examinations and enforcement actions, including the illegal seizure of cars, sloppy record keeping, unreliable balance statements, and ransom for personal property.
FINRA
U.S. Imposes Sanctions on Russian Entities and Individuals
February 28, 2022
The U.S. government has imposed sanctions in response to Russia's actions in Ukraine. FINRA is issuing this Notice to provide member firms with information about these recent actions. FINRA encourages member firms to continue to monitor the Department of Treasury's Office of Foreign Asset Control website for relevant information.
National Credit Union Administration
Remarks of Todd M. Harper Chairman of the National Credit Union Administration before the CUNA Governmental Affairs Conference
February 28, 2022
Todd M. Harper, Chairman of the National Credit Union Administration, provided remarks before the CUNA Governmental Affairs Conference addressing what the NCUA has recently achieved, what comes next for credit unions and the NCUA, and financial-wellness tools for moving forward.
U.S. Small Business Administration
SBA OIG Report 22-09: SBA's Paycheck Protection Program Loan Review Processes
February 28, 2022
The Office of Inspector General (OIG) conducted an evaluation to assess the U.S. Small Business Administration's processes for reviewing Paycheck Protection Program loans for eligibility and forgiveness.
U.S. Department of Housing and Urban Development/Federal Housing Administration
HUD Secretary Fudge Joins DOE Secretary Granholm to Announce Better Climate Challenge
February 28, 2022
Housing and Urban Development Secretary Marcia L. Fudge joined Department of Energy (DOE) Secretary Jennifer M. Granholm and White House National Climate Advisor Gina McCarthy to announce the inaugural Better Climate Challenge, a private-public partnership led by DOE with over 80 American businesses and organizations that have signed on to ambitious carbon reduction goals. The Better Climate Challenge also encourages partners to share pathways to de-carbonization among each other to multiply the impact of their innovative strategies to decarbonize.
International
European Commission
EU coordinating emergency assistance and steps up humanitarian aid for Ukraine
February 28, 2022
As the humanitarian situation in Ukraine worsens and neighboring countries receive Ukrainians fleeing their country, the European Commission is working on all fronts to provide emergency assistance.
Antitrust: Commission consults stakeholders on sustainability agreements in agriculture
February 28, 2022
The European Commission is inviting stakeholders such as primary producers, processors, manufacturers, wholesalers, retailers and input providers to share their experience with agreements aimed at achieving sustainability objectives in the agri-food supply chains. The feedback will help the Commission to draft guidelines on a new derogation exempting sustainability agreements in the field of agriculture from competition rules under certain conditions.
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 – Vacant (Martin Gruenberg serves as Acting Chair)
- 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
- Statement by Federal Reserve Board Chair Jerome H. Powell on his nomination by President Biden (November 22, 2021)
- Statement by Governor Lael Brainard on her nomination by President Biden (November 22, 2021)
- Secretary of the Treasury Janet L. Yellen Statement on Federal Reserve Nominations (November 22, 2021)
- Statement by Secretary Walsh on Federal Reserve Nominations (November 22, 2021)
- Brown Statement on the Renomination of Jerome Powell for Fed Chair (November 22, 2021)
- Toomey Statement on Renomination of Jerome Powell for Fed Chair (November 22, 2021)
- Brown Applauds Biden's Nomination of Governor Lael Brainard for Vice Chair (November 22, 2021)
- Brown Applauds Biden's Nominees for Fed Board (January 14, 2022)
- Toomey Statement on President Biden's Fed Nominees (January 14, 2022)
- Waters Applauds Nominations of Sarah Bloom Raskin, Lisa Cook, and Philip Jefferson to Leadership Roles in the Federal Reserve (January 14, 2022)
- Statement by Secretary of the Treasury Janet L. Yellen on Federal Reserve Nominations (January 14, 2022)
Federal Reserve Bank of New York
Consumer Financial Protection Bureau - Rohit Chopra (effective October 12, 2021)
- Statement by House Committee on Financial Services Chair Maxine Waters on Rohit Chopra's Confirmation (September 30, 2021)
- CSBS Statement on Rohit Chopra Confirmation as CFPB Director (September 30, 2021)
Securities and Exchange Commission - Gary Gensler (effective April 17, 2021)
- LizAnn Eisen Joins Division of Corporation Finance as Deputy Director, Disclosure Program (January 27, 2022)
- Lori H. Price Named Acting Director of the Office of Credit Ratings; Ahmed Abonamah to Leave SEC (February 1, 2022)
- Kelly L. Gibson, Director of the Philadelphia Regional Office, to Leave the SEC; Scott Thompson and Joy Thompson named Office Acting Co-Heads (February 11, 2022)
Small Business Administration - Isabella Casillas Guzman (effective March 16, 2021)
- Statement by Administrator Guzman Applauding President Biden's Appointees to Lead SBA Regional Offices (November 18, 2021)
- Statement by Administrator Guzman Applauding President Biden's New Appointees to the U.S. Small Business Administration (December 6, 2021)
- Statement by Administrator Guzman Applauding President Biden's New Appointees to the U.S. Small Business Administration (January 25, 2022)
Commodity Futures Trade Commission – Rostin Behnam (effective December 17, 2021)
- Kristin Johnson, Nominee for Commissioner of the Commodity Futures Trading Commission (September 13, 2021)
- Christy Goldsmith Romero, Nominee for Commissioner of the Commodity Futures Trading Commission (September 13, 2021)
- U.S. Senate Unanimously Confirms Behnam as Chairman (December 17, 2021)
- CFTC Chairman Rostin Behnam Announces Executive Staff Appointments (January 20, 2022)
- CFTC Chairman Rostin Behnam Appoints Initial CFTC Leadership (January 25, 2022)
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)
- Adrianne Todman Sworn in as Deputy Secretary of Housing and Urban Development (June 15, 2021)
- Statement from Secretary Marcia L. Fudge on the Confirmation of Alanna McCargo (December 15, 2021)
- Statement from Secretary Marcia L. Fudge on the Confirmation of Alanna McCargo (February 15, 2022)
Federal Housing Finance Agency – Sandra L. Thompson
- Brown Statement on the Selection of Sandra Thompson to Lead FHFA (December 14, 2021)
- Waters Applauds Biden's Nomination of Sandra L. Thompson as Permanent Director of the FHFA (December 14, 2021)
- Statement from HUD Secretary Marcia L. Fudge on the Nomination of Sandra Thompson (December 14, 2021)
U.S. Department of Education - Dr. Miguel Cardona (effective March 2, 2021)
- Secretary Cardona Statement on Confirmation of Education Department Officials Brown, Rodriguez and Graham (October 6, 2021)
- Statement from Secretary Miguel Cardona on the Confirmation of Catherine Lhamon as Assistant Secretary for the Office for Civil Rights (October 20, 2021)
- Statement by U.S. Secretary of Education Miguel Cardona on the Confirmation of Sandra Bruce as the Department's Inspector General (December 3, 2021)
- Statement by U.S. Secretary of Education Miguel Cardona on President Biden's Nomination of LaWanda Toney (December 16, 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.