Daily Financial Regulation Update -- Thursday, April 27, 2023

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Congress

U.S. House of Representatives

Committee on Financial Services

House Representatives Seek Information from Prudential Regulators Regarding Efforts to De-Bank the Digital Asset Ecosystem

April 26, 2023

House Financial Services Committee Chairman Patrick McHenry (NC-10), Digital Assets, Financial Technology and Inclusion Subcommittee Chairman French Hill (AR-02), and Oversight and Investigations Subcommittee Chairman Bill Huizenga (MI-04) sent letters to the Chair of the Board of Governors of the Federal Reserve System (Federal Reserve), Jerome Powell, Chairman of the Federal Deposit Insurance Corporation (FDIC), Martin Gruenberg, and Acting Comptroller of the Currency (OCC), Michael Hsu.

• Federal Reserve Board Chair Powell Letter
• FDIC Chair Gruenberg Letter
• Acting Comptroller Hsu Letter
• Press Release

House Representatives Demand FHFA Reverse Changes to the Loan Level Pricing Adjustment Structure

April 25, 2023

Chairman of the House Financial Services Committee, Patrick McHenry (NC-10), and the Chairman of the Subcommittee on Housing and Insurance, Warren Davidson (OH-08), sent a letter to Federal Housing Finance Agency (FHFA) Director Sandra Thompson.

• Letter
• Press Release

Committee on Small Business

Hearing: Help Wanted: Exploring How Alternative Paths to Student Debt Can Help to Strengthen Small Business

April 26, 2023

The U.S. House Committee on Small Business Subcommittee on Innovation, Entrepreneurship, and Workforce Development held a hearing entitled, "Help Wanted: Exploring How Alternative Paths to Student Debt Can Help to Strengthen Small Business."

• Hearing
• Hearing Notice
• Press Release
• Subcommittee Chair Molinaro Statement
• Subcommittee Ranking Member McGarvey Statement

Federal Agencies

Federal Reserve Board
Federal Deposit Insurance Corporation
Office of the Comptroller of the Currency
National Credit Union Administration
Consumer Financial Protection Burea

Joint Statement on Completing the LIBOR Transition

April 26, 2023

The Federal Reserve, the FDIC, the OCC, the National Credit Union Administration (NCUA), and the Consumer Financial Protection Bureau (CFPB) in conjunction with the state bank and state credit union regulators are jointly issuing this statement to remind supervised institutions that U.S. dollar London Inter-Bank Offered Rate (LIBOR) panels will end on June 30, 2023.

• Joint Statement
• Federal Reserve Board Supervision and Regulation Letter
• FDIC Financial Institution Letter
• OCC Bulletin
• NCUA Letter
• CFPB Press Release

Federal Deposit Insurance Corporation

Supervisory Guidance on Charging Overdraft Fees for Authorize Positive, Settle Negative Transactions

April 26, 2023

The FDIC is issuing supervisory guidance to its supervised institutions to ensure that supervised institutions are aware of the consumer compliance risks associated with assessing overdraft fees on a transaction that was authorized against a positive balance but settled against a negative balance.

• Supervisory Guidance
• Financial Institution Letter

Office of the Comptroller of the Currency

OCC Issues Guidance on Overdraft Protection Programs

April 26, 2023

The OCC issued guidance to address the risks associated with bank overdraft protection programs.

• Guidance
• News

Securities and Exchange Commission

Remarks at the 42nd Annual Small Business Forum

April 26, 2023

Securities and Exchange Commission (SEC) Commissioner Mark T. Uyeda gave remarks at the 42^nd Annual Small Business Forum.

• Remarks

Consumer Financial Protection Bureau

CFPB Issues Guidance to Protect Homeowners from Illegal Collection Tactics on Zombie Mortgages

April 26, 2023

The CFPB issued guidance on debt collectors, covered by the Fair Debt Collection Practices Act, threatening to foreclose on homes with mortgages past the statute of limitations.

• Advisory Opinion
• Blog
• Press Release
• Director Chopra Statement

Report: Consumer Credit and the Removal of Medical Collections from Credit Reports

April 26, 2023

The CFPB published a report entitled, "Consumer Credit and the Removal of Medical Collections from Credit Reports."

• Report
• Summary

National Credit Union Administration

NCUA–COSSEC Partnership Will Strengthen Supervision of Cooperativas

April 26, 2023

The NCUA and the Public Corporation for the Supervision and Insurance of Cooperatives of Puerto Rico signed a memorandum of understanding to collaborate on and provide staff training opportunities, identify enhanced supervision approaches, and develop methods to promptly resolve troubled cooperatives.

• Press Release
• Chair Harper Remark

Fannie Mae

Fannie Mae Releases March 2023 Monthly Summary

April 26, 2023

Fannie Mae's March 2023 Monthly Summary is now available.

• Monthly Summary
• Press Release

Bank Policy Institute

The SEC's Credit Default Swaps Disclosure Proposal Could Imperil Banks' Ability to Manage Risk Through the Credit Default Swap Market, Undermining Bank Safety and Soundness

April 26, 2023

The Bank Policy Institute published a one-page entitled, "The SEC's Credit Default Swaps Disclosure Proposal Could Imperil Banks' Ability to Manage Risk Through the Credit Default Swap Market, Undermining Bank Safety and Soundness."

• One-Pager

International

European Commission

Commission proposes new economic governance rules fit for the future

April 26, 2023

The Commission has presented legislative proposals to implement the most comprehensive reform of the EU's economic governance rules since the aftermath of the economic and financial crisis. The central objective of these proposals is to strengthen public debt sustainability and promote sustainable and inclusive growth in all Member States through reforms and investment.

• Questions and Answers
• Factsheet
• Legislative Proposals
• Press Release
• Executive Vice-President Dombrovskis Remarks

UK Financial Conduct Authority

Speech: City Week: how regulation can help the UK lead in Fintech

April 26, 2023

The Financial Conduct Authority Chief Operating Officer Emily Shepperd gave a speech at City Week 2023 entitled, "City Week: how regulation can help the UK lead in Fintech."

• Speech

Administration Changes

Vacancies

Board of Governors of the Federal Reserve System

• Vice Chair – Vacant (Vice Chair Leal Brainard resigned effective on or around February 20, 2023)

Office of the Comptroller of the Currency

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

Financial Crimes Enforcement Network

• Director – Vacant (Himamauli Das serves as Acting Director)

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 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 Phillip N Jefferson (sworn in May 23, 2022)
• Governor Lisa D. Cook (sworn in May 23, 2022)
• Federal Reserve announces appointment of Joshua Gallin as Secretary of the Federal Open Market Committee (February 2, 2023)

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

• Vincent Alvarez designated Chair of Federal Reserve Bank of New York Board of Directors; Rosa Gil designated Deputy Chair (January 10, 2023)
• Pat Wang appointed as a Class C Director to Federal Reserve Bank of New York Board of Directors (January 10, 2023)
• Federal Reserve Bank of New York names Roberto Perli SOMA Manager (February 2, 2023)
• Cali Brooks and Miguel Soto-Class appointed to Federal Reserve Bank of New York Community Advisory Board (April 4, 2023)

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

• Federal Reserve Bank of Boston announces 2023 Board of Directors (January 10, 2023)
• Federal Reserve Bank of Boston announces new external advisory council members (April 10, 2023)

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)
• FDIC announces senior leadership changes in Division of Risk Management Supervision (January 26, 2023)

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

• OCC announces Deputy Comptroller for Systemic Risk Identification and Support (January 11, 2023)
• Kristen Baldwin named OCC Chief Information Officer (February 8, 2023)

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

• SEC announces appointment of Cristina Martin Firvida as Investor Advocate (January 10, 2023)
• Paul Munter named Chief Accountant (January 11, 2023)
• Erik Gerding named Director of Division of Corporation Finance (January 13, 2023)
• Silvestre Fontes named Director of Boston Regional Office (January 25, 2023)
• Cicely LaMothe named Deputy Director, Disclosure Operations, for the Division of Corporation Finance (February 14, 2023)
• SEC appoints Deborah J. Jeffrey as Inspector General (April 17, 2023)
• Eric R. Werner named Director of Fort Worth Regional Office (April 25, 2023)

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

• Commissioner Pham announces members of the CFTC's Global Markets Advisory Committee (January 12, 2023)
• CFTC Commissioner Pham announces additional staff appointment (February 7, 2023)
• Chairman Behnam announces veteran Federal prosecutor Ian McGinley as Enforcement Director (February 28, 2023)
• Commissioner Goldsmith Romero announces Yevgeny Shrago as Senior Counsel and Policy Advisor (April 14, 2023)
• CFTC Appoints Jeffrey Sutton as Executive Director (April 18, 2023)

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

• CFPB announces appointments of New Advisory Committee Members (March 1, 2023)

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

• Cory Phariss named New AMAC President (February 9, 2023)

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

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

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

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.