PH FedACTion: Financial Regulatory Updates
Daily Financial Regulation Update -- Wednesday July 31, 2024
July 31, 2024
By Paul Hastings Professional
PH FedACTion: Financial Regulatory Updates
Wednesday, July 31, 2024
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Major Developments
FDIC Board Approves Proposed Rule to Revise Brokered Deposit Regulations
July 30, 2024
The Board of Directors of the Federal Deposit Insurance Corporation (“FDIC”) approved a notice of proposed rulemaking, which if implemented, will effectively roll back significant portions of 2020’s regulations on brokered deposits (12 CFR 337.6)
- Memorandum
- Proposed Rule
- Press Release
- Financial Institution Letter
- Chair Gruenberg Statement
- Vice Chair Hill Statement
- Director McKernan Statement
- Acting Comptroller Hsu Statement
FDIC Board Approves Proposed Rule to Amend Change in Bank Control Act Regulations
July 30, 2024
The FDIC’s Board of Directors approved a notice of proposed rulemaking to amend the agency’s regulations under the Change in Bank Control Act, which will impact how the FDIC addresses change in control notices, rebuttals and passivity commitments filed by various forms of asset managers who invest in non-member banks.
- Proposed Rule
- Memorandum
- Form Letter
- Director Chopra Resolution
- Director McKernan Resolution
- Press Release
- Chair Gruenberg Statement
- Acting Comptroller Hsu Statement
FDIC Board Approves Proposed Rule to Amend the Agency’s Regulations Governing Parent Companies of Industrial Banks and Industrial Loan Companies
July 30, 2024
The FDIC’s Board of Directors approved a notice of proposed rulemaking to amend part 354 of the FDIC Rules and Regulations governing parent companies of industrial banks and industrial loan companies addressing, in part, concerns regarding reliance on parents and affiliates for customers, and services.
- Proposed Rule
- Memorandum
- Press Release
- Financial Institution Letter
- Chair Gruenberg Statement
- Vice Chair Hill Statement
- Director McKernan Statement
- Acting Comptroller Hsu Statement
Congress
U.S. Senate
Committee on Banking, Housing, and Urban Affairs
Hearing: Banning Noncompete Agreements: Benefits for Workers, Businesses, and the Economy
July 30, 2024
The U.S. Senate Committee on Banking, Housing, and Urban Affairs Subcommittee on Economic Policy held a hearing entitled, “Banning Noncompete Agreements: Benefits for Workers, Businesses, and the Economy.”
Federal Agencies
Federal Deposit Insurance Corporation
FDIC Board Approves Request for Information on Deposits
July 30, 2024
The Federal Deposit Insurance Corporation Board of Directors approved a request for information (RFI) soliciting the public’s comments on deposit data that is not currently reported in the Call Report or other regulatory reports, including for uninsured deposits.
- Request for Information
- Memorandum
- Press Release
- Financial Institution Letter
- Chair Gruenberg Statement
- Vice Chair Hill Statement
FDIC Approves Final Guidance to Enhance Resolution Planning at Large Banks
July 30, 2024
The Federal Deposit Insurance Corporation Board of Directors approved final joint guidance to help certain large banks further develop their resolution plans.
- Domestic Guidance
- Foreign Guidance
- Memorandum
- Press Release
- Chair Gruenberg Statement
- Vice Chair Hill Statement
- Director McKernan Statement
- Acting Comptroller Hsu Statement
FDIC Board Approves Revisions to Section 19 Regulations
July 30, 2024
The Federal Deposit Insurance Corporation Board of Directors approved revisions to regulations under Section 19 of the Federal Deposit Insurance (FDI) Act to conform to the Fair Hiring in Banking Act (FHBA), which became effective on December 23, 2022.
Securities and Exchange Commission
Remarks to the Small Business Capital Formation Advisory Committee
July 30, 2024
Securities and Exchange Commission Chair Gary Gensler and Commissioner Mark T. Uyeda gave remarks to the Small Business Capital Formation Advisory Committee.
Commodity Futures Trading Commission
CFTC Warns Customers to Watch for Follow-on Frauds
July 30, 2024
The Office of Customer Education and Outreach of the Commodity Futures Trading Commission (CFTC) issued a customer advisory reminding the public that frauds may extend beyond one-time acts and that victims may be targeted multiple times—sometimes by the same criminal gangs.
Federal Housing Finance Agency
FHFA House Price Index Unchanged in May; Up 5.7 Percent from Last Year
July 30, 2024
U.S. house prices were unchanged in May, according to the Federal Housing Finance Agency seasonally adjusted monthly House Price Index. House prices rose 5.7 percent from May 2023 to May 2024. The previously reported 0.2 percent price increase in April was revised upward to 0.3 percent.
Fannie Mae
Fannie Mae Reports Net Income of $4.5 Billion for Second Quarter 2024
July 30, 2024
Fannie Mae reported its second quarter 2024 financial results and filed its Second Quarter 2024 Form 10-Q with the Securities and Exchange Commission.
International
European Banking Authority
The EBA launches consultation to overhaul its resolution planning reporting framework
July 30, 2024
The European Banking Authority launched a public consultation on its draft ITS overhauling the EBA resolution planning reporting framework. The consultation runs until October 30, 2024.
Bank of England
The Bank of England’s approach to innovation in money and payments
July 30, 2024
The Bank of England has published a Discussion Paper on its approach to innovation in money and payments.
Bank of England
Prudential Regulation Authority
Bank of England establishes Cost Benefit Analysis Panel
July 30, 2024
The Prudential Regulation Authority and Bank of England have established a new cost benefit analysis panel.
Annual Reports 2024
July 30, 2024
The Bank of England and the Prudential Regulation Authority have published several annual reports and accounts.
- Bank Annual Report
- PRA Annual Report
- Asset Purchase Facility Annual Report
- Alternative Liquidity Facility Annual Report
- Bank’s Official Operations Report
- Bank’s Climate-Related Financial Disclosure
- Prescribed Persons Annual Report
- Enforcement Decision Making Committee Report
- PRA Practitioner Panel Annual Report
- PRA Insurance Practitioner Panel Annual Report
- PRA Secondary Objectives Report
IEO evaluation of the PRA’s approach to the secondary competitiveness and growth objective
July 30, 2024
The Bank of England’s Independent Evaluation Office (IEO) published the results of its evaluation of the Prudential Regulation Authority’s approach to its approach to the new the secondary competitiveness and growth objectives.
Consultation Paper: International firms: Updates to SS5/21 and branch reporting
July 30, 2024
The Prudential Regulation Authority published a consultation paper entitled, “International firms: Updates to SS5/21 and branch reporting.”
Financial Conduct Authority
Update on motor finance work
July 30, 2024
The Financial Conduct Authority is proposing to extend the current pause to the time firms have to respond to consumers about motor finance complaints involving a discretionary commission arrangement.
Administration Changes
Vacancies
Office of the Comptroller of the Currency
- Comptroller – Vacant (Michael Hsu serves as Acting Comptroller)
Appointments/Confirmation Hearings
U.S. Department of the Treasury – 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 (effective January 5, 2023)
- 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 – Gary Gensler (effective April 17, 2021)
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 – Isabella Casillas Guzman (effective March 16, 2021)
U.S. Department of Housing and Urban Development – Marcia Fudge (effective March 10, 2021) (resigned March 11, 2024, effective March 22, 2024)
Federal Housing Finance Agency – Sandra L. Thompson (effective June 22, 2022)
U.S. Department of Education – 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.