The Board, the Consumer Financial Protection Bureau, the Federal Deposit Insurance Corporation (FDIC), the National Credit Union Administration, the Office of the Comptroller of the Currency (OCC), and the Conference of State Bank Supervisors issued a joint policy statement providing needed regulatory flexibility to enable mortgage servicers to work with struggling consumers affected by the coronavirus disease 2019 (COVID-19) emergency. More... This guidance will facilitate mortgage servicers’ ability to place consumers in short-term payment forbearance programs such as the one established by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). For more information, see the Joint Statement on Supervisory and Enforcement Practices Regarding the Mortgage Servicing Rules in Response to the COVID-19 Emergency and the CARES Act on the Board’s website: https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20200403a1.pdf.

The Board, the FDIC, and the OCC issued on March 19, 2020, Questions and Answers on Statement on the Use of Capital and Liquidity Buffers to respond to public inquiries from banking organizations regarding the use of their capital and liquidity buffers, and the application of the Board’s total loss-absorbing capacity rule. More... These questions and answers (Q&As) were developed to provide further information on the March 17, 2020, Statement on the Use of Capital and Liquidity Buffers. As discussed in the Q&As, the agencies support banking organizations that choose to use their capital and liquidity buffers to lend and undertake other supportive actions in a safe and sound manner. The agencies expect banking organizations to continue to manage their capital actions and liquidity risk prudently (Guidance, Capital at 3-1506.35).

In light of recent disruptions in economic conditions caused by COVID-19 and current strains in U.S. financial markets, the Board, the FDIC, and the OCC issued an interim final rule that revises the definition of eligible retained income for all depository institutions, bank holding companies, and savings and loan holding companies subject to the agencies’ capital rule. More... The revised definition of eligible retained income will make any automatic limitations on capital distributions that could apply under the agencies’ capital rules more gradual. The interim final rule is effective March 20, 2020 (Regulation Q, Docket R-1703), the same day it was published in the Federal Register.

To provide liquidity to the money market sector to help stabilize the financial system, the Board authorized the Federal Reserve Bank of Boston to establish the Money Market Mutual Fund Liquidity Facility (MMLF), pursuant to section 13(3) of the Federal Reserve Act. Under the MMLF, the Federal Reserve Bank of Boston will extend non-recourse loans to eligible financial institutions to purchase certain types of assets from money market mutual funds. More... To facilitate this Federal Reserve lending program, the Board, the FDIC, and the OCC adopted this interim final rule to allow banking organizations to neutralize the regulatory capital effects of participating in the program. This treatment would extend to the community bank leverage ratio. The interim final rule is effective March 23, 2020 (Regulation Q, Docket R-1705), the same day it was published in the Federal Register.

The Board, the FDIC, and the OCC are inviting comment on an interim final rule that delays the estimated impact on regulatory capital stemming from the implementation of Accounting Standards Update 2016-13, Financial Instruments—Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments (CECL). More... The interim final rule provides banking organizations that implement CECL before the end of 2020 the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period. The agencies are providing this relief to allow such banking organizations to better focus on supporting lending to creditworthy households and businesses in light of recent strains on the U.S. economy as a result of COVID-19, while also maintaining the quality of regulatory capital. The interim final rule is effective March 31, 2020 (Regulation Q, Docket R-1708), the same day it was published in the Federal Register. Comments on the interim final rule must be received by May 15, 2020.

In light of recent disruptions in economic conditions caused by COVID-19 and current strains in U.S. financial markets, the Board issued an interim final rule that revises the definition of eligible retained income for purposes of the Board’s total loss-absorbing capacity (TLAC) rule. More... The revised definition of eligible retained income will make any automatic limitations on capital distributions that could apply under the TLAC rule more gradual and aligns to recent action taken by the Board and the other federal banking agencies in the capital rule. The interim final rule is effective March 26, 2020 (Regulation YY, Docket R-1706), the same day it was published in the Federal Register.

Pursuant to the provisions of the Privacy Act of 1974, notice was given that the Board proposes to amend its Rules Regarding Access to Personal Information under the Privacy Act of 1974 (12 CFR part 261a). More... The Board is proposing to add a new system of records entitled BGFRS-43 “FRB—Security Sharing Platform,” to those identified as an “exempt” system of records. The amendments will become effective May 1, 2020, without further notice, unless comments dictate otherwise (Rules Regarding Access to Personal Information under the Privacy Act of 1974, Docket R-1704) and were published in the Federal Register on April 1, 2020.

Pursuant to the provisions of the Privacy Act of 1974, notice was given that the Board proposes to establish a new system of records BGFRS-43 “FRB—Security Sharing Platform.” More... The new system of records maintains records relating to the Security Sharing Platform that will allow the Board and the twelve Federal Reserve Banks to share information regarding individuals who are involved in incidents or events that may affect the safety and security of the premises, grounds, property, personnel, and operations of the Federal Reserve System. The new system of records will become effective May 1, 2020, without further notice, unless comments dictate otherwise (Rules Regarding Access to Personal Information under the Privacy Act of 1974, Systems of Records of the Federal Reserve System). The new system of records was published in the Federal Register on April 1, 2020.