81 FR 5943 - Total Loss-Absorbing Capacity, Long-Term Debt, and Clean Holding Company Requirements for Systemically Important U.S. Bank Holding Companies and Intermediate Holding Companies of Systemically Important Foreign Banking Organizations; Regulatory Capital Deduction for Investments in Certain Unsecured Debt of Systemically Important U.S. Bank Holding Companies
FEDERAL RESERVE SYSTEM Federal Register Volume 81, Issue 23 (February 4, 2016)
Federal Register Volume 81, Issue 23 (February 4, 2016)
| Page Range | 5943-5943 | |
| FR Document | 2016-02113 |
[Federal Register Volume 81, Number 23 (Thursday, February 4, 2016)] [Proposed Rules] [Page 5943] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2016-02113] ======================================================================== Proposed Rules Federal Register ________________________________________________________________________ This section of the FEDERAL REGISTER contains notices to the public of the proposed issuance of rules and regulations. The purpose of these notices is to give interested persons an opportunity to participate in the rule making prior to the adoption of the final rules. ======================================================================== Federal Register / Vol. 81, No. 23 / Thursday, February 4, 2016 / Proposed Rules [[Page 5943]] FEDERAL RESERVE SYSTEM 12 CFR Part 217 and 252 [Regulations Q and YY; Docket No. R-1523] RIN 7100-AE37 Total Loss-Absorbing Capacity, Long-Term Debt, and Clean Holding Company Requirements for Systemically Important U.S. Bank Holding Companies and Intermediate Holding Companies of Systemically Important Foreign Banking Organizations; Regulatory Capital Deduction for Investments in Certain Unsecured Debt of Systemically Important U.S. Bank Holding Companies AGENCY: Board of Governors of the Federal Reserve System (Board). ACTION: Proposed rulemaking; extension of comment period. ----------------------------------------------------------------------- SUMMARY: On November 30, 2015, the Board published in the Federal Register a notice of proposed rulemaking inviting public 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 Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) and related deduction requirements for all banking organizations subject to the Board's capital rules. Due to the range and complexity of the issues addressed in the notice of proposed rulemaking, the Board has determined that an extension of the public comment period until February 19, 2016, is appropriate. This action will allow interested persons additional time to analyze the notice and prepare their comments. DATES: The comment period for the proposed rule published on November 30, 2015 (80 FR 74925), is extended. Comments on the proposed rule must be received on or before February 19, 2016. ADDRESSES: You may submit comments by any of the methods identified in the notice of proposed rulemaking.\1\ Please submit your comments using only one method. --------------------------------------------------------------------------- \1\ See Total Loss-Absorbing Capacity, Long-Term Debt, and Clean Holding Company Requirements for Systemically Important U.S. Bank Holding Companies and Intermediate Holding Companies of Systemically Important Foreign Banking Organizations; Regulatory Capital Deduction for Investments in Certain Unsecured Debt of Systemically Important U.S. Bank Holding Companies, 80 FR 74925 (Nov. 30, 2015). FOR FURTHER INFORMATION CONTACT: Constance M. Horsley, Assistant Director, (202) 452-5239, Thomas Boemio, Senior Project Manager, (202) 452-2982, Juan C. Climent, Manager, (202) 872-7526, Felton Booker, Senior Supervisory Financial Analyst, (202) 912-4651, Sean Healey, Senior Financial Analyst, (202) 912-4611, or Mark Savignac, Senior Financial Analyst, (202) 475-7606, Division of Banking Supervision and Regulation; or Laurie Schaffer, Associate General Counsel, (202) 452- 2272, Benjamin McDonough, Special Counsel, (202) 452-2036, Jay Schwarz, Senior Counsel, (202) 452-2970, Will Giles, Counsel, (202) 452-3351, Mark Buresh, Senior Attorney, (202) 452-5270, or Greg Frischmann, Senior Attorney, (202) 452-2803, Legal Division, Board of Governors of the Federal Reserve System, 20th and C Streets NW., Washington, DC 20551. For the hearing impaired only, Telecommunications Device for the --------------------------------------------------------------------------- Deaf (TDD) users may contact (202) 263-4869. SUPPLEMENTARY INFORMATION: On November 30, 2015, the Board published in the Federal Register a notice of proposed rulemaking inviting public 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. 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. In recognition of the complexities of the issues involved and the variety of considerations involved in its impact and implementation, the Board requested that commenters respond to numerous questions. The proposed rule stated that the public comment period would close on February 1, 2016.\2\ --------------------------------------------------------------------------- \2\ Id. --------------------------------------------------------------------------- The Board has received a request from the public for an extension of the comment period to allow for additional time for comments related to the provisions of the proposed rule.\3\ The Board believes that the additional period for comment will facilitate public comment on the questions posed by the Board in the proposed rule. Therefore, the Board is extending the end of the comment period for the proposed rule from February 1, 2016, to February 19, 2016. --------------------------------------------------------------------------- \3\ See Comment letter to the Board from the American Bankers Association et al. (Jan. 25, 2016). By order of the Board of Governors of the Federal Reserve System, acting through the Secretary of the Board under delegated authority, January 29, 2016. Robert deV. Frierson, Secretary of the Board. [FR Doc. 2016-02113 Filed 2-3-16; 8:45 am] BILLING CODE P
![5943
Proposed Rules Federal Register
Vol. 81, No. 23
Thursday, February 4, 2016
This section of the FEDERAL REGISTER ADDRESSES: You may submit comments amount of unsecured long-term debt,
contains notices to the public of the proposed by any of the methods identified in the and related buffer. Similarly, the
issuance of rules and regulations. The notice of proposed rulemaking.1 Please proposed rule would require the top-tier
purpose of these notices is to give interested submit your comments using only one U.S. intermediate holding company of a
persons an opportunity to participate in the method.
rule making prior to the adoption of the final global systemically important foreign
rules. FOR FURTHER INFORMATION CONTACT: banking organization with $50 billion or
Constance M. Horsley, Assistant more in U.S. non-branch assets (covered
Director, (202) 452–5239, Thomas IHC) to maintain outstanding a
FEDERAL RESERVE SYSTEM Boemio, Senior Project Manager, (202) minimum amount of intra-group loss-
452–2982, Juan C. Climent, Manager, absorbing instruments, including a
12 CFR Part 217 and 252 (202) 872–7526, Felton Booker, Senior minimum amount of unsecured long-
[Regulations Q and YY; Docket No. R–1523]
Supervisory Financial Analyst, (202) term debt, and related buffer. The
912–4651, Sean Healey, Senior
RIN 7100–AE37 proposed rule would also impose
Financial Analyst, (202) 912–4611, or
restrictions on the other liabilities that
Mark Savignac, Senior Financial
Total Loss-Absorbing Capacity, Long- Analyst, (202) 475–7606, Division of a covered BHC or covered IHC may have
Term Debt, and Clean Holding Banking Supervision and Regulation; or outstanding. Finally, the proposed rule
Company Requirements for Laurie Schaffer, Associate General would require state member banks, bank
Systemically Important U.S. Bank Counsel, (202) 452–2272, Benjamin holding companies, and savings and
Holding Companies and Intermediate McDonough, Special Counsel, (202) loan holding companies that are subject
Holding Companies of Systemically 452–2036, Jay Schwarz, Senior Counsel, to the Board’s capital rules to apply a
Important Foreign Banking (202) 452–2970, Will Giles, Counsel, regulatory capital deduction treatment
Organizations; Regulatory Capital (202) 452–3351, Mark Buresh, Senior to their investments in unsecured debt
Deduction for Investments in Certain Attorney, (202) 452–5270, or Greg issued by covered BHCs.
Unsecured Debt of Systemically Frischmann, Senior Attorney, (202) In recognition of the complexities of
Important U.S. Bank Holding 452–2803, Legal Division, Board of
Companies the issues involved and the variety of
Governors of the Federal Reserve considerations involved in its impact
AGENCY: Board of Governors of the System, 20th and C Streets NW.,
and implementation, the Board
Federal Reserve System (Board). Washington, DC 20551. For the hearing
requested that commenters respond to
impaired only, Telecommunications
ACTION: Proposed rulemaking; extension numerous questions. The proposed rule
Device for the Deaf (TDD) users may
of comment period. stated that the public comment period
contact (202) 263–4869.
would close on February 1, 2016.2
SUMMARY: On November 30, 2015, the SUPPLEMENTARY INFORMATION: On
Board published in the Federal Register November 30, 2015, the Board The Board has received a request from
a notice of proposed rulemaking published in the Federal Register a the public for an extension of the
inviting public comment on a proposed notice of proposed rulemaking inviting comment period to allow for additional
rule to promote financial stability by public comment on a proposed rule to time for comments related to the
improving the resolvability and promote financial stability by improving provisions of the proposed rule.3 The
resiliency of large, interconnected U.S. the resolvability and resiliency of large, Board believes that the additional
bank holding companies and the U.S. interconnected U.S. bank holding period for comment will facilitate
operations of large, interconnected companies and the U.S. operations of public comment on the questions posed
foreign banking organizations pursuant large, interconnected foreign banking by the Board in the proposed rule.
to section 165 of the Dodd-Frank Wall organizations pursuant to section 165 of Therefore, the Board is extending the
Street Reform and Consumer Protection the Dodd-Frank Act and related end of the comment period for the
Act (Dodd-Frank Act) and related deduction requirements for all banking proposed rule from February 1, 2016, to
deduction requirements for all banking organizations subject to the Board’s
February 19, 2016.
organizations subject to the Board’s capital rules. Under the proposed rule,
capital rules. a U.S. top-tier bank holding company By order of the Board of Governors of the
Due to the range and complexity of identified by the Board as a global Federal Reserve System, acting through the
the issues addressed in the notice of systemically important banking Secretary of the Board under delegated
proposed rulemaking, the Board has organization (covered BHC) would be authority, January 29, 2016.
determined that an extension of the required to maintain outstanding a Robert deV. Frierson,
public comment period until February minimum amount of loss-absorbing Secretary of the Board.
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS
19, 2016, is appropriate. This action will instruments, including a minimum [FR Doc. 2016–02113 Filed 2–3–16; 8:45 am]
allow interested persons additional time BILLING CODE P
1 See Total Loss-Absorbing Capacity, Long-Term
to analyze the notice and prepare their
Debt, and Clean Holding Company Requirements
comments. for Systemically Important U.S. Bank Holding
DATES: The comment period for the Companies and Intermediate Holding Companies of
proposed rule published on November Systemically Important Foreign Banking
Organizations; Regulatory Capital Deduction for
30, 2015 (80 FR 74925), is extended. Investments in Certain Unsecured Debt of
2 Id.
Comments on the proposed rule must be Systemically Important U.S. Bank Holding 3 See Comment letter to the Board from the
received on or before February 19, 2016. Companies, 80 FR 74925 (Nov. 30, 2015). American Bankers Association et al. (Jan. 25, 2016).
VerDate Sep<11>2014 16:55 Feb 03, 2016 Jkt 238001 PO 00000 Frm 00001 Fmt 4702 Sfmt 9990 E:\FR\FM\04FEP1.SGM 04FEP1](https://thefederalregister.org/doc/81_FR_5966/page/1.svg)
Document Created: 2016-02-04 00:31:39
Document Modified: 2016-02-04 00:31:39
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Proposed Rules | |
| Action | Proposed rulemaking; extension of comment period. | |
| Dates | The comment period for the proposed rule published on November 30, 2015 (80 FR 74925), is extended. Comments on the proposed rule must be received on or before February 19, 2016. | |
| Contact | Constance M. Horsley, Assistant Director, (202) 452-5239, Thomas Boemio, Senior Project Manager, (202) 452-2982, Juan C. Climent, Manager, (202) 872-7526, Felton Booker, Senior Supervisory Financial Analyst, (202) 912-4651, Sean Healey, Senior Financial Analyst, (202) 912-4611, or Mark Savignac, Senior Financial Analyst, (202) 475-7606, Division of Banking Supervision and Regulation; or Laurie Schaffer, Associate General Counsel, (202) 452- 2272, Benjamin McDonough, Special Counsel, (202) 452-2036, Jay Schwarz, Senior Counsel, (202) 452-2970, Will Giles, Counsel, (202) 452-3351, Mark Buresh, Senior Attorney, (202) 452-5270, or Greg Frischmann, Senior Attorney, (202) 452-2803, Legal Division, Board of Governors of the Federal Reserve System, 20th and C Streets NW., Washington, DC 20551. For the hearing impaired only, Telecommunications Device for the | |
| FR Citation | 81 FR 5943 | |
| RIN Number | 7100-AE37 | |
| CFR Citation | 12
CFR
217 12 CFR 252 |
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