Federal agencies are constantly tasked with outlining the
regulatory priorities driving their actions with respect to covered entities
and various economic sectors. In this roundup, we note some of the latest
efforts in that respect, as well as a key change in senior leadership at one
agency:
FHFA seeks input on FHLBank system mission
The Federal Housing Finance Agency (FHFA) issued a Request
for Input (RFI) on the mission of the Federal Home Loan Bank (FHLBank) System
as the agency considers appropriate next steps for related rulemaking
activities. Specifically, the FHFA is requesting public comments pertaining to
the core recommendation for the FHLBank System outlined in the agency’s report
titled “Federal
Home Loan Bank System at 100: Focusing on the Future.” Given the vital role
the government-sponsored enterprises play in the secondary mortgage market, the
report recommends clarifying the mission of the FHLBank System and updating how
the agency evaluates progress toward achieving it. Read more here.
Federal Reserve rejects two rulemaking petitions
The Federal Reserve denied two rulemaking petitions
submitted by the American Bankers Association and the Bank Policy Institute
urging the Fed to release for comment rulemaking to revise supervisory models
and stress scenarios the agency uses to calculate binding capital requirements
through its annual stress tests. The Fed cited legal and policy considerations,
including a lack of legal authority to enact the changes to the supervisory
frameworks outlined in the petitions. The first petition asked the Fed to
develop a framework requiring Fed-supervised firms to disclose promised
financial commitments to certain corporate initiatives. The second asked for
revisions to the Uniform Financial Institution Rating System framework and
adjustments to the framework for financial holding company eligibility. Learn
more here.
OCC leader testifies regarding agency priorities
Acting Comptroller Michael Hsu testified before the House
Financial Services Committee about the Office of the Comptroller of the
Currency’s priorities, including guarding against complacency, the importance
of adapting to digitalization, managing climate-related financial risk, and
promoting fairness in banking. He also gave an overview of the state of the
federal banking system and recent key regulatory developments. His full
testimony is available here.
SEC announces departure of public policy director
The Securities and Exchange Commission (SEC) announced that
Policy Director Heather Slavkin Corzo will be departing the agency. Corey
Klemmer, most recently the SEC’s corporation finance counsel to Chair Gary
Gensler, has been appointed to take her place. Slavkin Corzo was one of Chair
Gensler’s first appointees to his senior staff, joining the SEC in April 2021.
She led a team of policy experts who advise Gensler on SEC rulemakings and
other regulatory issues. Slavkin oversaw the proposal and adoption of almost 40
rulemakings on market structure, issuer disclosure, fund oversight and other
areas critical to investor protection and capital formation. Learn more here.