View Rule
View EO 12866 Meetings | Printer-Friendly Version Download RIN Data in XML |
TREAS/OTS | RIN: 1550-AB48 | Publication ID: Fall 2004 |
Title: Community Reinvestment Act | |
Abstract: OCC, the Board, FDIC, and OTS did a review of the Agencies' Community Reinvestment Act (CRA) regulations. The Agencies issued a joint advance notice of proposed rulemaking (ANPRM) seeking public comment on a wide range of questions as part of the review. In February 2004, the Agencies issued a joint notice of proposed rulemaking following their review of the CRA regulations which included an analysis of about 400 comments received on the ANPRM. The comments reflected a general consensus that fundamental elements of the regulations are sound, but indicated a profound split over the need for, and appropriate direction of, change. In an effort to keep pace with changes in the financial services industry, the Agencies proposed changes to the CRA in two areas: 1) to reduce burden, it would raise the asset threshold for being a "small institution" from $250 million to $500 million and drop the holding company test; and 2) to address abusive lending practices, it would provide for taking into account in assessing an institution's CRA performance, evidence that the institution (or any of the institution's affiliates the loans of which are considered) has engaged in specified discriminatory, illegal, or abusive credit practices in connection with certain loans. In August of 2004, OTS issued a final rule revising the definition of "small savings association" under its CRA regulations. Under the revised definition, "small savings association" means a savings association with total assets of less than $1 billion, regardless of any holding company assets. This final rule permits additional small savings associations to be subject to streamlined examinations as well as reduced data collection and reporting burdens under the CRA. OTS is also reviewing its CRA rules to ensure that they continue to encourage institutions to meet their statutory responsibilities while affording them greater flexibility. For example, OTS is reevaluating how the investment test works in today's environment, including considering making the investment test and the lending test mutually available opportunities; possibly revising the definition of "community development" under its CRA rules to encourage all savings associations to increase their community development activities in rural areas, with a particular focus on underserved nonmetropolitan areas; and encouraging institutions to perform community development activities in any areas affected by natural or other disasters or other major community disruptions. | |
Agency: Department of the Treasury(TREAS) | Priority: Substantive, Nonsignificant |
RIN Status: Previously published in the Unified Agenda | Agenda Stage of Rulemaking: Long-Term Actions |
Major: No | Unfunded Mandates: No |
CFR Citation: 12 CFR 563e (To search for a specific CFR, visit the Code of Federal Regulations.) | |
Legal Authority: 12 USC 1462a 12 USC 1463 12 USC 1464 12 USC 1467a 12 USC 1814 12 USC 1816 12 USC 1828(c) 12 USC 2901 to 2907 |
Legal Deadline:
None |
||||||||||||||||||||||||
Timetable:
|
Regulatory Flexibility Analysis Required: No | Government Levels Affected: None |
Federalism: No | |
Included in the Regulatory Plan: No | |
Related Agencies: Joint: TREAS/OCC, FRS, FDIC; | |
Agency Contact: Richard Bennett Senior Compliance Counsel, Regulations and Legislation Division Department of the Treasury Office of Thrift Supervision 1700 G Street NW., Washington, DC 20552 Phone:202 906-7409 Theresa A. Stark Project Manager, Compliance Policy Department of the Treasury Office of Thrift Supervision 1700 G Street NW., Washington, DC 20552 Phone:202 906-7054 Celeste Anderson Senior Project Manager, Compliance and Consumer Protection Department of the Treasury Office of Thrift Supervision 1700 G Street NW., Washington, DC 20552 Phone:202 906-7990 |