Statutory and technical amendments have been made to the Federal Deposit Insurance Act (at 1-335) by the following:

The Board is amending Regulation D (Reserve Requirements of Depository Institutions) to reflect the annual indexing of the reserve requirement exemption amount and the low reserve tranche for 2016. The Regulation D amendments set the amount of total reservable liabilities of each depository institution that is subject to a 0 percent reserve requirement in 2016 at $15.2 million (from $14.5 million in 2015). More... This amount is known as the reserve requirement exemption amount. The Regulation D amendments also set the amount of net transaction accounts at each depository institution (over the reserve requirement exemption amount) that is subject to a 3 percent reserve requirement in 2016 at $110.2 million (from $103.6 million in 2015). This amount is known as the low reserve tranche. The adjustments to both of these amounts are derived using statutory formulas specified in the Federal Reserve Act.

The Board is also announcing changes in two other amounts, the nonexempt deposit cutoff level and the reduced reporting limit, that are used to determine the frequency at which depository institutions must submit deposit reports. The final rule became effective December 17, 2015 (Regulation D at 2-122, Docket R-1524) and was published in the Federal Register on November 17, 2015.

The Board, the Farm Credit Administration, the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration (NCUA), and the Office of the Comptroller of the Currency (OCC) (collectively, “the agencies”) are amending their regulations regarding loans in areas having special flood hazards to implement certain provisions of the Homeowner Flood Insurance Affordability Act of 2014 (HFIAA), which amends some of the changes to the Flood Disaster Protection Act of 1973 mandated by the Biggert-Waters Flood Insurance Reform Act of 2012 (Biggert-Waters). More... Specifically, the final rule requires the escrow of flood insurance payments on residential improved real estate securing a loan, consistent with the changes set forth in HFIAA. The final rule also incorporates an exemption in HFIAA for certain detached structures from the mandatory flood insurance purchase requirement. Furthermore, the final rule implements the provisions of Biggert-Waters related to the force placement of flood insurance. Finally, the final rule integrates the OCC’s flood insurance regulations for national banks and federal savings associations. The agencies plan to address the private flood insurance provisions in Biggert-Waters in a separate rulemaking. The final rule became effective October 1, 2015, except that certain amendments to section 208.25 became effective January 1, 2016 (Regulation H at 3-150, Docket R-1498), and was published in the Federal Register on July 21, 2015.

The Board published a final rule in the Federal Register on October 11, 2013 (78 FR 62018) regarding regulatory capital rules and another final rule on October 27, 2014 (79 FR 64025) regarding capital plan and stress test rules. This publication removes certain expired transitional requirements in Regulations H and Y, resolves certain citation errors, replaces a wrongly duplicated paragraph in Regulation Q, and corrects a typographical error in Regulation YY. More... The final rule became effective November 16, 2015 (Regulation H at 3-150, Regulation Q at 3-2100, Regulation Y at 4-001, and Regulation YY at 4-783, Dockets R-1442 and R-1492), the same day it was published in the Federal Register.

The Board, FDIC, and OCC issued interagency supervisory guidance on November 6, 2015. Deduction Methodology for Investments in Volcker Rule Covered Funds clarifies the interaction between the agencies’ regulatory capital rule and the Volcker rule with respect to the appropriate capital treatment for investments in certain private equity funds and hedge funds (Guidance, Capital at 3-1506.32).

The Board is adopting amendments to its regulatory capital framework (Regulation Q) to clarify how the definition of common equity tier 1 capital, a key capital component, applies to ownership interests issued by depository institution holding companies that are structured as partnerships or limited liability companies. In addition, the final rule amends Regulation Q to exclude temporarily from Regulation Q savings and loan holding companies that are trusts and depository institution holding companies that are employee stock ownership plans. More... The final rule became effective January 1, 2016 (Regulation Q at 3-2100, Docket R-1506) and was published in the Federal Register on December 9, 2015.

The Board is adopting a final rule that makes targeted amendments to its capital plan and stress test rules. For bank holding companies with more than $10 billion but less than $50 billion in total consolidated assets and savings and loan holding companies with total consolidated assets of more than $10 billion, the final rule modifies certain mandatory capital action assumptions in the stress test rules and delays the application of the company-run stress test requirements to savings and loan holding companies until January 1, 2017. More... For bank holding companies that have total consolidated assets of $50 billion or more and state member banks that are subject to the Board’s advanced approaches capital requirements, the final rule delays the use of the supplementary leverage ratio for one year and indefinitely defers the use of the advanced approaches risk-based capital framework in the capital plan and stress test rules. For bank holding companies that have total consolidated assets of $50 billion or more, the final rule removes the tier 1 common capital ratio requirement, and modifies certain mandatory capital action assumptions. To reflect other recent rulemakings, the final rule also makes other amendments to the capital plan and stress test rules. All changes in the final rule apply as of January 1, 2016, which is the beginning of the next capital planning and stress test cycle. The final rule became effective January 1, 2016 (Regulation Y at 4-001 and Regulation YY at 4-783, Docket R-1517) and was published in the Federal Register on December 2, 2015.

The Board and the Consumer Financial Protection Bureau (CFPB) published final rules amending the official interpretations and commentary for the agencies’ regulations that implement the Consumer Leasing Act (CLA). The Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) amended the CLA by requiring that the dollar threshold for exempt consumer leases be adjusted annually by the annual percentage increase in the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W). More... If there is no annual percentage increase in the CPI-W, the Board and the CFPB will not adjust this exemption threshold from the prior year. Based on the annual percentage decrease in the CPI-W as of June 1, 2015, the exemption threshold will remain at $54,600 through December 31, 2016. The final rule became effective January 1, 2016 (Regulation M at 6-500 and Consumer Financial Protection Bureau, Regulation M at 6-5500, Docket R-1519) and was published in the Federal Register on November 27, 2015.

The Board and the CFPB published final rules amending the official interpretations and commentary for the agencies’ regulations that implement the Truth in Lending Act (TILA). The Dodd-Frank Act amended TILA by requiring that the dollar threshold for exempt consumer credit transactions be adjusted annually by the annual percentage increase in the CPI-W. More... If there is no annual percentage increase in the CPI-W, the Board and the CFPB will not adjust this exemption threshold from the prior year. Based on the annual percentage decrease in the CPI-W as of June 1, 2015, the exemption threshold will remain at $54,600 through December 31, 2016. The final rule became effective January 1, 2016 (Regulation Z at 6-600 and Consumer Financial Protection Bureau, Regulation Z at 6-5600, Docket R-1520) and was published in the Federal Register on November 27, 2015.

The Board, CFPB, and OCC published final rules amending the official interpretations for their regulations that implement section 129H of TILA. Section 129H of TILA establishes special appraisal requirements for “higher-risk mortgages,” termed “higher-priced mortgage loans” or “HPMLs” in the agencies’ regulations. More... The Board, CFPB, FDIC, the Federal Housing Finance Agency, NCUA, and OCC issued joint final rules implementing these requirements, effective January 18, 2014. The agencies’ rules exempted, among other loan types, transactions of $25,000 or less, and required that this loan amount be adjusted annually based on any annual percentage increase in the CPI-W. If there is no annual percentage increase in the CPI-W, the Board, CFPB, and OCC will not adjust this exemption threshold from the prior year. Based on the annual percentage decrease in the CPI-W as of June 1, 2015, the exemption threshold will remain at $25,500 through December 31, 2016. The final rule became effective January 1, 2016 (Regulation Z at 6-600 and Consumer Financial Protection Bureau, Regulation Z at 6-5600, Docket R-1443) and was published in the Federal Register on November 27, 2015.

The CFPB issued this final rule amending the regulatory text and official interpretations for Regulation Z, which implements TILA. The CFPB is required to calculate annually the dollar amounts for several provisions in Regulation Z; this final rule reviews the dollar amounts for provisions implementing amendments to TILA under the Credit Card Accountability Responsibility and Disclosure Act of 2009, the Home Ownership and Equity Protection Act of 1994, and the Dodd-Frank Act. More... These amounts are adjusted, where appropriate, based on the annual percentage change reflected in the CPI-W in effect on June 1, 2015. The minimum interest charge disclosure thresholds will remain unchanged in 2016. The final rule became effective January 1, 2016 (Consumer Financial Protection Bureau, Regulation Z at 6-5600) and was published in the Federal Register on September 21, 2015.

The CFPB amended certain mortgage rules it issued in 2013. This final rule revises the CFPB’s regulatory definitions of small creditor, and rural and underserved areas, for purposes of certain special provisions and exemptions from various requirements provided to certain small creditors under the CFPB’s mortgage rules. The final rule became effective January 1, 2016 (Consumer Financial Protection Bureau, Regulation Z at 6-5600, Docket CFPB-2015-0004) and was published in the Federal Register on October 2, 2015.

The Board published revisions to part II of the Federal Reserve Policy on Payment System Risk in the Federal Register on December 5, 2014 related to the procedures for measuring balances intraday in institutions’ accounts at the Federal Reserve Banks. More... This publication corrects the omission of several posting times in the Board’s procedures for posting debit and credit entries to institutions’ Federal Reserve accounts for automated clearinghouse debit transactions and commercial check transactions. The policy changes took effect on July 23, 2015 (Federal Reserve Policy Statement on Payment System Risk at 9-1000, Docket OP-1472).

The Board invites comment on a proposed rule to promote financial stability by improving the resolvability and resiliency of large, interconnected U.S. bank holding companies and the U.S. operations of large, interconnected foreign banking organizations pursuant to section 165 of the Dodd-Frank Act and related deduction requirements for all banking organizations subject to the Board’s capital rules. More... Under the proposed rule, a U.S. top-tier bank holding company identified by the Board as a global systemically important banking organization (covered BHC) would be required to maintain outstanding a minimum amount of loss-absorbing instruments, including a minimum amount of unsecured long-term debt, and related buffer. Similarly, the proposed rule would require the top-tier U.S. intermediate holding company of a global systemically important foreign banking organization with $50 billion or more in U.S. non-branch assets (covered IHC) to maintain outstanding a minimum amount of intra-group loss-absorbing instruments, including a minimum amount of unsecured long-term debt, and related buffer. The proposed rule would also impose restrictions on the other liabilities that a covered BHC or covered IHC may have outstanding. Finally, the proposed rule would require state member banks, bank holding companies, and savings and loan holding companies that are subject to the Board’s capital rules to apply a regulatory capital deduction treatment to their investments in unsecured debt issued by covered BHCs. Comments on this notice of proposed rulemaking must be received by February 1, 2016 (Docket R-1523).

The Board invites public comment on a proposed rule that would implement public disclosure requirements regarding the liquidity coverage ratio (LCR) of large, internationally active banking organizations and certain smaller, less complex banking organizations. More... The proposed rule would apply to all depository institution holding companies and covered nonbank companies that are required to calculate the LCR (covered companies). A covered company would be required to publicly disclose on a quarterly basis quantitative information about its LCR calculation, as well as a discussion of certain features of its LCR results. The proposed rule also would amend the LCR rule to provide a full year for certain companies to come into compliance. Comments on this notice of proposed rulemaking must be received by February 2, 2016 (Docket R-1525).

The Board is seeking public comment on a proposed policy statement detailing the framework the Board would follow in setting the countercyclical capital buffer (CCyB). The buffer is a macroprudential tool that can be used to increase the resilience of the financial system by raising capital requirements on internationally active banking organizations when there is an elevated risk of above-normal losses in the future. More... The CCyB would then be available to help banking organizations absorb shocks associated with declining credit conditions. Implementation of the buffer could also help moderate fluctuations in the supply of credit. For more information, see the press release and related information on the Board’s public website: www.federalreserve.gov/newsevents/press/bcreg/20151221b.htm. Comments on this notice of proposed rulemaking must be received by February 19, 2016.

The Board, FDIC, and OCC are conducting a review of the regulations they have issued in order to identify outdated or otherwise unnecessary regulatory requirements imposed on insured depository institutions, as required by the Economic Growth and Regulatory Paperwork Reduction Act of 1996 (EGRPRA). EGRPRA requires the agencies to organize the regulations into categories and publish groups of categories for comment. The agencies are seeking public comment on regulations in the following categories: rules of procedure; safety and soundness; and securities.

In addition, as previously announced, the agencies have expanded the scope of the EGRPRA review to include recently issued final rules. Accordingly, the agencies invite the public to comment on any agency final rule not included in a previous EGRPRA Federal Register notice.

Finally, in order to be as inclusive as possible, the agencies also invite comment during the comment period for this notice on any agency rule that was issued in final form on or before December 31, 2015. These rules are listed on the EGRPRA website, http://egrpra.ffiec.gov/. The public may also comment on any other agency rule, including rules covered by the three prior notices during the open comment period for this notice. Comments on this notice of regulatory review must be received by March 22, 2016 (Docket R-1510).