Unfinished business: 8 reg-relief items on agencies' docket
WASHINGTON — The federal banking regulators are nearly finished with an extensive effort to ease parts of the banks' regulatory burden. But some key tasks remain.
Most of the unfinished work relates to implementing provisions of last year's regulatory relief legislation, which rolled back several Dodd-Frank Act reforms. The regulators — including the Federal Reserve Board, Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency — have issued eight pending proposals, a majority of which were mandated by the new law, that still need to be finalized.
The agencies recently completed work on rules exempting community banks from the Volcker Rule, streamlining call report requirements for banks with less than $5 billion of assets and allowing banks to factor in certain municipal bonds to meet liquidity requirements, among other things.
But a complex set of changes to how the agencies — most notably the Fed — regulate regional banks, a new capital ratio for community banks and narrower requirements for banks that conduct company-run stress tests are among regulations that are still unfinished. In concert with implementing the new law, known commonly as S 2155, the regulators also proposed steps not required by Congress, such as changes to foreign bank prudential standards.
Here is a rundown of the agencies' remaining to-do list: