Washington Report 360 | October 11, 2019

Key highlights

• The FRB approved interagency final rules to tailor the application of prudential standards and resolution planning requirements for domestic and foreign banking organizations. The final rules closely follow the previously released proposals. The FDIC has scheduled a vote for next week.
• All five issuing agencies (FRB, OCC, FDIC, SEC, CFTC) have now approved the final rules revising portions of the Volcker Rule including compliance and metrics, proprietary trading, and covered funds. (See Regulatory Insights previously released Regulatory Alert here)
• The Conference of State Bank Supervisors released a draft model law on payments regulation that is intended to establish a licensing standard and supervisory system across all 50 states.

Financial services legislative and regulatory news

Banking

• FRB approved final rules tailoring prudential standards and resolution planning requirements for domestic and foreign banking organizations to their risk profiles
  FRB, October 10, 2019
• All five issuing agencies have approved final rules amending the Volcker Rule
  FRB, OCC, FDIC, SEC, CFTC, October 8, 2019
• CFPB extended for two years the temporary HMDA threshold for open-end lines of credit
  CFPB, October 10, 2019
• CFPB published its Spring 2019 semi-annual report to Congress 
  CFPB, October 8, 2019

Capital Markets

• FINRA released a new Reg BI and Form CRS Checklist to aid assessment and implementation of the SEC's rule
  FINRA, October 8, 2019
• CFTC stated that the cryptocurrency "Ether" is a commodity
  CFTC, October 10, 2019
• SEC announced the formation of a new Asset Management Advisory Committee
  SEC, October 9, 2019

Other

• State Bank Supervisors proposed a model law on payments regulation
  CSBS, October 10, 2019
• The President signed an executive order for "improved agency guidance documents" and another executive order to promote "transparency and fairness in civil administrative enforcement and adjudication"
  White House, October 9, 2019
• GAO Report: Social Security Administration needs to improve oversight of organizations that manage money for vulnerable beneficiaries
  GAO-19-688, October 4, 2019
• New York Fed launched a series on “understanding causes and implications of various inequalities” of public policies
  New York Federal Reserve Bank, October 7, 2019
• FSB Report: Governance arrangements for the UPI (unique product identifier)
  FSB, October 9, 2019
• BIS Report: Governance arrangements for critical OTC derivatives data elements (other than UTI and UPI)
  CPMI, IOSCO, BIS, October 9, 2019

Industry news:

• Mitch McConnell met with cannabis execs in California to discuss cannabis banking reform
  MarketWatch, October 10, 2019
• Treasury and IRS proposed tax relief related to the LIBOR transition
  Treasury, October 8, 2019
• Justice Department issued guidance on inability-to-pay claims
  WSJ, October 8, 2019
• Pelosi, Waters defend CFPB's constitutionality in Supreme Court brief
  American Banker, October 9, 2019
• California’s new privacy law could cost companies a total of $55 billion to get in compliance
  CNBC, October 8, 2019
• Supreme Court ruling could mean more ADA lawsuits tied to bank websites
  American Banker, October 9, 2019