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PH FedACTion: Financial Regulatory Updates

Daily Financial Regulation Update -- Wednesday December 18

December 18, 2024

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Congress

U.S. House of Representatives

Committee on Financial Services

Representatives Send Letters to Administration Regarding Recent Rulemakings

December 17, 2024

The Chairman of the House Financial Services Committee, Patrick McHenry (NC-10), and the incoming Chairman and current Committee Vice Chair, French Hill (AR-02), sent letters to the outgoing Biden Administration’s agencies and regulators under the Committee’s jurisdiction. 

 

Federal Agencies

U.S. Department of the Treasury

Treasury Disrupts North Korean Digital Assets Money Laundering Network and Sanctions Key Facilitators Behind North Korea’s Illicit Financial Activities and Military Support to Russia

December 17, 2024

The Department of the Treasury’s Office of Foreign Assets Control (OFAC) is sanctioning two individuals and one entity involved in a network that launders millions of dollars of illicit funds generated by the Democratic People’s Republic of Korea (DPRK) information technology (IT) workers and cybercrime to support the DPRK Government. 

 

Federal Reserve Board

G.17 Industrial Production and Capacity Utilization – November 2024

December 17, 2024

The Federal Reserve Board released the G.17 industrial production and capacity utilization data for November 2024.

 

Federal Reserve Bank of New York

Business Leaders Survey – December 2024

December 17, 2024

Business activity contracted slightly in the region’s service sector in December, according to firms responding to the Federal Reserve Bank of New York’s Business Leaders Survey

 

Federal Deposit Insurance Corporation

FDIC Approves 2025 Operating Budget

December 17, 2024

The Board of Directors of the Federal Deposit Insurance Corporation approved a 2025 Operating Budget of $3 billion, a 2.2% increase from the previous year’s budget. 

 

Money Smart Newsletter – December 2024

December 17, 2024

The Federal Deposit Insurance Corporation released the December 2024 Money Smart Newsletter.

 

FDIC Publishes National Rates and Rate Caps – December 2024

December 16, 2024

The Federal Deposit Insurance Corporation released the national rates and rate caps as of December 16, 2024.

 

Office of the Comptroller of the Currency

OCC Reports Mortgage Performance for Third Quarter of 2024

December 17, 2024

The Office of the Comptroller of the Currency reported on the performance of first-lien mortgages in the federal banking system during the third quarter of 2024.

 

Securities and Exchange Commission

SEC Modernizes the Submission of Certain Forms, Filings, and Materials Under the Securities Exchange Act of 1934

December 16, 2024

The Securities and Exchange Commission adopted amendments to require the electronic filing, submission, or posting of certain forms, filings and other submissions that national securities exchanges, national securities associations, clearing agencies, broker-dealers, security-based swap dealers and major security-based swap participants make with the Commission. 

 

Commodity Futures Trading Commission

CFTC Commissioner Kristin N. Johnson Announces Reports and Recommendations Advanced by MRAC in 2024

December 17, 2024

The Market Risk Advisory Committee held a public meeting Dec. 10 during which the MRAC adopted three sets of recommendations for the U.S. Commodity Futures Trading Commission’s consideration. 

 

Consumer Financial Protection Bureau

CFPB Finalizes Rule to Protect Homeowners on Solar Panel Loans and Other Home Improvement Loans Paid Back Through Property Taxes

December 17, 2024

The Consumer Financial Protection Bureau finalized a rule mandated by Congress that applies existing residential mortgage protections to Property Assessed Clean Energy (PACE) loans.

 

CFPB Report Finds Mortgage Companies Create Obstacles for Homeowners After Death or Divorce

December 17, 2024

The Consumer Financial Protection Bureau issued a report on the experiences of homeowners dealing with their mortgage company after divorce or the death of an original borrower.

 

National Credit Union Administration

NCUA Board Approves 2025–2026 Budget; Succession Planning Final Rule

December 17, 2024

The National Credit Union Administration Board held its ninth and final open meeting of 2024 and approved the agency’s 2025‒2026 operating budgets and a final rule on succession planning.

 

Federal Housing Finance Agency

FHFA Releases Update of Enterprise Sales of Non-Performing Loans

December 17, 2024

The Federal Housing Finance Agency released a report on non-performing loans (NPLs) sold by Fannie Mae and Freddie Mac through the first half of 2024.

 

Ginnie Mae

Ginnie Mae Publishes Fiscal Year 2024 Annual Financial Report Demonstrating Financial Performance and Expanding Pathways to Homeownership

December 17, 2024

Ginnie Mae released its Fiscal Year 2024 (FY24) Annual Financial Report, highlighting its financial results and demonstrating extraordinary performance in strengthening the U.S. housing finance market to ensure more Americans have meaningful opportunities to achieve homeownership. 

 

Bank Policy Institute

Blog: The Economics of Synthetic Risk Transfers

December 17, 2024

The Bank Policy Institute published a blog post entitled “The Economics of Synthetic Risk Transfers.”

 

State Agencies

New York State Department of Financial Services

DFS Proposes New Regulation to Ensure Access to Mortgage Loans from Nonbank Lenders

December 17, 2024

New York State Department of Financial Services proposed a regulation to ensure nonbank mortgage lenders are supporting access to home loans in the communities they serve.

 

International

European Banking Authority

The EBA publishes final draft technical standards on the conditions for determining whether an instrument attracting residual risk acts as a hedge

December 17, 2024

The European Banking Authority published its final draft Regulatory Technical Standards (RTS) on the conditions for determining whether an instrument attracting residual risk acts as a hedge.

 

The European Supervisory Authorities’ Dry Run exercise shows the goal of reporting of registers of information under Digital Operational Resilience Act in 2025 within reach

December 17, 2024

The European Supervisory Authorities (EBA, EIOPA and ESMA – the ESAs) published a summary report with the key findings from the 2024 Dry Run exercise on reporting the registers of information under the Digital Operational Resilience Act (DORA).

 

The European Banking Authority publishes a no action letter on the application of the European Market Infrastructure Regulation

December 17, 2024

The European Banking Authority published a no action letter stating that competent authorities (CAs) should not prioritize any supervisory or enforcement action in relation to the processing of applications for initial margin (IM) model authorization received as a result of the entry into force of EMIR 3.

 

Financial Conduct Authority

FCA consults on new private stock market

December 17, 2024

The Financial Conduct Authority has set out proposals for a new platform - The Private Intermittent Securities and Capital Exchange System (PISCES) - on which shares in private companies will be bought and sold.

 

FCA responds to High Court motor finance judicial review decision

December 17, 2024

The Financial Conduct Authority issued a statement in response to the High Court’s motor finance judicial review decision.

 

Administration Changes

Vacancies
Appointments/Confirmation Hearings

U.S. Department of the Treasury – Scott Bessent (nominated November 2024); Janet Yellen (effective January 26, 2021)

Federal Reserve Board – Jerome H. Powell (effective May 23, 2022)

  • Vice Chair Phillip N Jefferson (sworn in September 13, 2023)
  • Vice Chair for Supervision Michael Barr (sworn in July 19, 2022)
  • Governor Michelle W. Bowman (sworn in November 26, 2018)
  • Governor Christopher J. Waller (sworn in December 18, 2020)
  • Governor Lisa D. Cook (sworn in September 13, 2022)
  • Governor Adriana D. Kugler (sworn in September 13, 2023)

Federal Reserve Bank of New York – John C. Williams (effective June 18, 2018)

Federal Reserve Bank of Boston – Susan M. Collins (effective July 1, 2022)

Federal Deposit Insurance Corporation – Martin Gruenberg (resigning effective January 19, 2025)

  • Vice Chairman Travis Hill (sworn in January 5, 2023)
  • Director Jonathan McKernan (sworn in January 5, 2023)
  • Director Michael Hsu (Acting Comptroller of the Currency)
  • Director Rohit Chopra (Director of Consumer Financial Protection Bureau)

Office of the Comptroller of the Currency – Michael Hsu (acting Comptroller, effective May 10, 2021)

Securities and Exchange Commission – Paul Atkins (nominated December 2024); Gary Gensler (resigning January 20, 2025)

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

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

National Credit Union Administration – Todd M. Harper (effective January 20, 2021)

Small Business Administration – Kelly Loeffler (nominated December 2024); Isabella Casillas Guzman (effective March 16, 2021)

U.S. Department of Housing and Urban Development – Scott Turner (nominated November 2024); Marcia Fudge (resigned March 11, 2024, effective March 22, 2024)

Federal Housing Finance Agency – Sandra L. Thompson (effective June 22, 2022)

U.S. Department of Education – Linda McMahon (nominated November 2024); Dr. Miguel Cardona (effective March 2, 2021)

Financial Crimes Enforcement Network – Andrea Gacki (effective July 13, 2023)

 

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