(A) Each law enforcement unit shall adopt policies and procedures governing
the cross-designation or deputation of law enforcement officers as state or
local law enforcement officers. Such policies and procedures shall identify
the scope of permissible activities for cross-designated or deputized law
enforcement officers.
(B) Law enforcement officers may only be cross-designated or deputized as
state or local law enforcement officers consistent with policies and
procedures adopted by their respective law enforcement unit and based upon a
determination that such cross-designation or deputation is beneficial to the
performance of Federal Reserve functions and
responsibilities.