Unknown. Final rule

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--- schema: federal-register doc_type: fedreg source_file: FR-2014-11-21.xml --- 79 225 Friday, November 21, 2014 Contents Agriculture Agriculture Department See Farm Service Agency Arts and Humanities, National Foundation See National Foundation on the Arts and the Humanities Blind or Severely Disabled, Committee for Purchase From People Who Are See Committee for Purchase From People Who Are Blind or Severely Disabled Census Bureau Census Bureau NOTICES Annual Surveys in the Manufacturing Area, 69422-69423 2014-27600 Centers Disease Centers for Disease Control and Prevention NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69478-69480 2014-27619 Centers Medicare Centers for Medicare & Medicaid Services NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 69480-69481 2014-27640 Medicare and Medicaid Programs; Accreditation Applications: American Association for Accreditation of Ambulatory Surgery Facilities, 69481-69482 2014-27649 Medicare and Medicaid Programs; Accreditation Programs; Approvals: DNV GL - Healthcare Critical Access Hospital, 69482-69486 2014-27576 The Joint Commission's Ambulatory Surgical Center, 69486-69488 2014-27577 Medicare Program:

Prior Authorization of Non-Emergent Hyperbaric Oxygen Therapy, 69488-69490 2014-27578 Town Hall Meeting on FY 2016 Applications for New Medical Services and Technology Add-On Payments, 69490-69492 2014-27579 Children Children and Families Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 69492-69493 2014-27558 Commerce Commerce Department See Census Bureau See Economic Analysis Bureau See Foreign-Trade Zones Board See International Trade Administration See National Oceanic and Atmospheric Administration NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69421-69422 2014-27643 Committee for Purchase Committee for Purchase From People Who Are Blind or Severely Disabled NOTICES Procurement List; Additions and Deletions, 69433-69435 2014-27591 2014-27592 Defense Department Defense Department NOTICES Arms Sales, 69435-69442 2014-27598 2014-27601 2014-27605 Termination of Department of Defense Federal Advisory Committees, 69442 2014-27593 Department of Transportation See Pipeline and Hazardous Materials Safety Administration Economic Analysis Bureau Economic Analysis Bureau NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Quarterly Survey of Payment Card and Bank Card Transactions Related to International Travel, 69423 2014-27613 Education Department Education Department NOTICES Applications for New Awards: Educational Technology, Media, and Materials for Individuals with Disabilities; Stepping-Up Technology, 69442-69450 2014-27516 Employment and Training Employment and Training Administration NOTICES Worker Adjustment Assistance Eligibility; Amended Certifications:

Ericsson Inc., et al., Overland Park, KS; Ericsson Inc., et al., Atlanta, GA, 69533 2014-27615 Fenner Precision, Inc., et al., Buffalo, NY, 69532-69533 2014-27617 Worker Adjustment Assistance Eligibility; Investigations, 69533-69534 2014-27616 Worker Adjustment Assistance; Investigations, 69534 2014-27556 Worker and Alternative Trade Adjustment Assistance Eligibility; Determinations, 69535-69536 2014-27614 Worker and Alternative Trade Adjustment Assistance; Determinations, 69536-69537 2014-27557 Energy Department Energy Department See Federal Energy Regulatory Commission Environmental Protection Environmental Protection Agency RULES Air Quality State Implementation Plans;

Approvals and Promulgations: Montana; Revisions to Administrative Rules - Air Quality, Subchapter 7, Exclusion for De Minimis Changes, 69374-69375 2014-27505 NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: 2015 Hazardous Waste Report, Notification of Regulated Waste Activity etc., 69461 2014-27533 National Listing of Fish Advisories, 69461-69462 2014-27534 California State Nonroad Engine Pollution Control Standards: Portable Diesel-Fueled Engines Air Toxics Control Measure, 69462-69465 2014-27645 Small Off-Road Engines Regulations;

Tier 4 Off-Road Compression-Ignition Regulations; etc., 69465-69469 2014-27644 Clean Air Act Title V Permit Petitions: Gateway Generating Station; Antioch, CA, 69469-69470 2014-27641 Environmental Impact Statements; Availability, 69470 2014-27633 Meetings: EPA and NHTSA Phase 2 Standards for MD/HD Greenhouse Gas and Fuel Efficiency; Public Workshop, 69471 2014-27638 Pesticide Program Dialogue Committee, 69470-69471 2014-27635 Executive Office of the President See Presidential Documents Farm Service Farm Service Agency NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Direct Loan Servicing—Special, 69421 2014-27434 Federal Aviation Federal Aviation Administration RULES Airworthiness Directives: Pratt and Whitney Division Turbofan Engines, 69369-69372 2014-27354 Amendment of Class E Airspace: Lakeport, CA, 69372-69373 2014-26860 PROPOSED RULES Airworthiness Directives: Airbus Airplanes, 69377-69379 2014-27631 NOTICES Meetings: Aviation Rulemaking Advisory Committee, 69548 2014-27602 RTCA Special Committee 224, Airport Security Access Control Systems, 69548-69549 2014-27545 Federal Communications Federal Communications Commission RULES Radio Broadcasting Services:

Various Locations, 69375-69376 2014-27535 PROPOSED RULES Rates for Interstate Inmate Calling Services, 69682-69708 2014-26922 Spectrum Access for Wireless Microphone Operations, 69387-69417 2014-26675 Unlicensed Use of TV Band and 600 MHz Band Spectrum, 69710-69746 2014-26674 NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 69471-69476 2014-27524 2014-27525 2014-27526 2014-27527 2014-27528 Federal Deposit Federal Deposit Insurance Corporation RULES Annual Stress Test, 69365-69369 2014-27610 Federal Energy Federal Energy Regulatory Commission NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69450-69451 2014-27549 Environmental Assessments; Availability, etc.: Minnesota Leased Housing Associates Ltd. Partnership; Meetings, 69453-69454 2014-27554 Texas Eastern Transmission, LP, Bailey East Mine Panel 2L Project, 69451-69453 2014-27611 Transcontinental Gas Pipe Line Co., LLC; Rock Springs Expansion Project, 69454-69455 2014-27552 Environmental Impact Statements; Availability, etc.: Juneau Hydropower, Inc., Sweetheart Lake Hydroelectric Project, 69457-69458 2014-27612 Transcontinental Gas Pipe Line Company, LLC;

Dalton Expansion Project, 69455-69457 2014-27548 Filings: PJM Interconnection, LLC, 69459 2014-27547 Petitions: Avista Corporation; Declaratory Orders, 69459 2014-27550 Requests Under Blanket Authorization: Columbia Gas Transmission, LLC, 69459-69460 2014-27546 2014-27553 Federal Highway Federal Highway Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 69549 2014-27599 Final Federal Agency Actions: Proposed CSX Railway Tunnel Project in Washington, DC, 69549-69550 2014-27468 Federal Reserve Federal Reserve System NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69476-69477 2014-27506 Formations of, Acquisitions by, and Mergers of Bank Holding Companies, 69477-69478 2014-27603 Federal Retirement Federal Retirement Thrift Investment Board NOTICES Senior Executive Service Performance Review Board, 69478 2014-27607 Fish Fish and Wildlife Service NOTICES Environmental Assessments; Availability, etc.: Great Swamp National Wildlife Refuge, Morris County, NJ; Final Comprehensive Conservation Plan, 69519-69521 2014-27590 Food and Drug Food and Drug Administration NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Notification of a Health Claim or Nutrient Content Claim Based on an Authoritative Statement of a Scientific Body, 69494-69496 2014-27517 Substances Prohibited from Use in Animal Food or Feed, 69493-69494 2014-27518 Guidance for Industry and Staff: Changes to an Approved Application--Biological Products--Human Blood and Blood Components Intended for Transfusion or for Further Manufacture, 69496-69497 2014-27521 Report on the Standardization of Risk Evaluation and Mitigation Strategies;

Correction, 69497 2014-27522 Meetings: Anti-Infective Drugs Advisory Committee, 69498 2014-27573 Developing and Using Precision Therapies in the Omics Era--Generating and Interpreting Evidence for Rare Subsets, 69497-69498 2014-27523 Foreign Trade Foreign-Trade Zones Board NOTICES Applications for Subzone Status: General Electric Co.; Decatur, AL, 69423-69424 2014-27653 Spenco Medical Corp., Foreign-Trade Zone 246, Waco, TX, 69424 2014-27676 Health and Human Health and Human Services Department See Centers for Disease Control and Prevention See Centers for Medicare & Medicaid Services See Children and Families Administration See Food and Drug Administration See Health Resources and Services Administration See National Institutes of Health PROPOSED RULES Clinical Trials Registration and Results Submission, 69566-69680 2014-26197 Health Resources Health Resources and Services Administration NOTICES Statement of Organization, Functions and Delegations of Authority, 69499 2014-27563 Homeland Homeland Security Department See U.S.

Citizenship and Immigration Services See U.S. Customs and Border Protection Housing Housing and Urban Development Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for Fee or Roster Personnel (Appraisers and Inspectors) Designation and Appraisal Reports, 69517 2014-27675 Federal Properties Suitable as Facilities to Assist the Homeless, 69518-69519 2014-27321 Indian Affairs Indian Affairs Bureau NOTICES Environmental Impact Statements;

Availability, etc.: Aiya Solar Project, Moapa River Indian Reservation, Clark County, NV, 69522-69523 2014-27642 Integrated Resource Management Plan, Colville Reservation, Okanogan and Ferry Counties, WA, 69521-69522 2014-27682 Interior Interior Department See Fish and Wildlife Service See Indian Affairs Bureau See Land Management Bureau International Trade Adm International Trade Administration NOTICES Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Certain Cut-to-Length Carbon Steel Plate from the Peoples Republic of China, 69425-69427 2014-27292 Tapered Roller Bearings and Parts Thereof, Finished and Unfinished, From the People's Republic of China, 69424-69425 2014-27683 Export Trade Certificates of Review:

JDE USA, LLC, 69427-69428 2014-26932 International Trade Com International Trade Commission NOTICES Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Certain Kitchen Appliance Shelving and Racks from China, 69525 2014-27539 Investigations; Determinations, Modifications, and Rulings, etc.: Certain Windshield Wipers and Components Thereof, 69525-69526 2014-27560 Meetings; Sunshine Act, 69526-69527 2014-27722 Justice Department Justice Department NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: 2014 Census of Publicly Funded Forensic Crime Laboratories, 69527 2014-27597 Application for an Amended Federal Firearms License, 69527-69528 2014-27595 Notification of Change of Mailing or Premise Address, 69528-69529 2014-27596 Labor Department Labor Department See Employment and Training Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Alternative Method of Compliance for Certain Simplified Employee Pensions, 69530-69531 2014-27567 Documenting and Evaluating Initial Results of the Office of Disability Employment Policy's Getting to Work Curriculum, 69529-69530 2014-27566 Respiratory Protection Standard, 69531 2014-27544 Meetings:

Advisory Committee on Veterans' Employment, Training and Employer Outreach, 69531-69532 2014-27625 Land Land Management Bureau PROPOSED RULES Leasing Public Lands for Solar and Wind Energy Development: Competitive Processes, Terms, and Conditions; Corrections, 69387 2014-27639 NOTICES Realty Actions: Non-Competitive Direct Sale of Reversionary Interest in Clark County, NV, 69523-69525 2014-27606 NASA National Aeronautics and Space Administration NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69537-69538 2014-27513 National Foundation National Foundation on the Arts and the Humanities NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Museums for All, 69538-69539 2014-27652 National Highway National Highway Traffic Safety Administration NOTICES Petitions for Inconsequential Noncompliance: Continental Tire the Americas, LLC, 69554-69556 2014-27585 Harley-Davidson Motor Company, Inc., 69553-69554 2014-27587 JLG Industries, Inc., 69550-69551 2014-27588 Oreion Motors, LLC, 69556-69557 2014-27582 RECARO Child Safety, LLC, 69551-69553 2014-27586 Petitions for Inconsequential Noncompliance;

Approvals: General Motors, LLC, 69557-69558 2014-27584 Harley-Davidson Motor Company, Inc., 69558-69559 2014-27583 National Institute National Institutes of Health NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for Collaboration with the Therapeutic Development Branch, Division of Preclinical Innovation, etc., 69499-69500 2014-27636 Generic Clearance for the Collection of Qualitative Feedback on Agency Service Delivery, 69500-69501 2014-27637 Meetings:

Center for Scientific Review, 69501-69502 2014-27561 National Oceanic National Oceanic and Atmospheric Administration PROPOSED RULES Endangered and Threatened Species: Proposed Listing Determinations for Nassau Grouper; Public Hearing, 69417-69418 2014-27651 Fisheries of the Caribbean, Gulf of Mexico, and South Atlantic: Reef Fish Fishery of the Gulf of Mexico; Red Snapper Management Measures, 69418-69420 2014-27648 NOTICES Endangered and Threatened Species: Take of Anadromous Fish, 69428-69429 2014-27543 Meetings:

Caribbean Fishery Management Council, 69431-69432 2014-27621 Fisheries of the South Atlantic; Southeast Data, Assessment and Review, 69429 2014-27620 Mid-Atlantic Fishery Management Council, 69430-69431 2014-27541 North Pacific Fishery Management Council, 69429-69430, 69432 2014-27540 2014-27622 Permits: Marine Mammals; File No. 18824, 69432-69433 2014-27538 Pipeline Pipeline and Hazardous Materials Safety Administration NOTICES Special Permit Applications, 69559-69561 2014-27426 2014-27427 Special Permit Applications;

Delays, 69561-69562 2014-27428 Special Permit Applications; Modifications, 69562 2014-27430 Postal Regulatory Postal Regulatory Commission NOTICES International Mail Contract, 69539-69540 2014-27562 Presidential Documents Presidential Documents ADMINISTRATIVE ORDERS Central African Republic; Certification Concerning U.S. Participation in U.N. Multinational Integrated Stabilization Mission (Memorandum of September 26, 2014), 69747-69749 2014-27847 Child Soldiers Prevention Act of 2008;

Waiver (Presidential Determination) No. 2014-18 of September 30, 2014, 69755 2014-27870 Foreign Assistance Act of 1961; Delegation of Authority (Memorandum of September 30, 2014), 69751 2014-27856 Refugee Admissions for Fiscal Year 2015 (Presidential Determination) No. 2014-17 of September 30, 2014, 69753-69754 2014-27860 Railroad Retirement Railroad Retirement Board NOTICES Meetings: Actuarial Advisory Committee, 69540 2014-27542 Securities Securities and Exchange Commission RULES Staff Accounting Bulletin, 69373-69374 2014-27618 NOTICES Meetings;

Sunshine Act, 69540 2014-27800 Self-Regulatory Organizations; Proposed Rule Changes: Chicago Mercantile Exchange Inc., 69545-69547 2014-27572 International Securities Exchange, LLC, 69547-69548 2014-27571 NYSE Arca, Inc., 69540-69545 2014-27570 Transportation Department Transportation Department See Federal Aviation Administration See Federal Highway Administration See National Highway Traffic Safety Administration See Pipeline and Hazardous Materials Safety Administration Treasury Treasury Department See United States Mint NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 69563 2014-27569 U.S. Citizenship U.S. Citizenship and Immigration Services NOTICES Temporary Protected Status; Designations: Guinea, 69511-69515 2014-27770 Liberia, 69502-69506 2014-27772 Sierra Leone, 69506-69511 2014-27778 Customs U.S. Customs and Border Protection NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Crew Member's Declaration, 69516 2014-27575 Crew's Effects Declaration, 69516-69517 2014-27574 U.S.

Mint United States Mint NOTICES Pricing for the 2014 Coin and Chronicles Set - Franklin D. Roosevelt, 69563 2014-27650 Veteran Affairs Veterans Affairs Department PROPOSED RULES Animals on VA Property, 69379-69387 2014-27629 NOTICES Wait-Time Goals of the Department for the Veterans Choice Program, 69563-69564 2014-27581 Separate Parts In This Issue Part II Health and Human Services Department, 69566-69680 2014-26197 Part III Federal Communications Commission, 69682-69708 2014-26922 Part IV Federal Communications Commission, 69710-69746 2014-26674 Part V Presidential Documents, 69747-69749, 69751, 69753-69755 2014-27847 2014-27870 2014-27856 2014-27860 Reader Aids Consult the Reader Aids section at the end of this page for phone numbers, online resources, finding aids, reminders, and notice of recently enacted public laws.

To subscribe to the Federal Register Table of Contents LISTSERV electronic mailing list, go to http://listserv.access.gpo.gov and select Online mailing list archives, FEDREGTOC-L, Join or leave the list (or change settings); then follow the instructions. 79 225 Friday, November 21, 2014 Rules and Regulations FEDERAL DEPOSIT INSURANCE CORPORATION 12 CFR Part 325 RIN 3064-AE18 Annual Stress Test AGENCY: Federal Deposit Insurance Corporation. ACTION: Final rule. SUMMARY: The Federal Deposit Insurance Corporation (the Corporation or FDIC) is issuing a final rule that implements proposed revisions to regulations regarding the annual stress testing requirements for state nonmember banks and state savings associations with total consolidated assets of more than $10 billion (covered banks).

The regulations, which implement section 165(i)(2) of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act), require covered banks to conduct annual stress tests, report the results of such stress tests to the Corporation and the Board of Governors of the Federal Reserve System (the Board), and publicly disclose a summary of the results of the required stress tests. The final rule revises the 2016 stress test cycle and for years thereafter to begin on January 1 of the calendar year rather than October 1, as is provided for by the current rule.

Additionally, the final rule modifies the “as of” dates for financial data (that covered banks will use to perform their stress tests) as well as the reporting dates and public disclosure dates of the annual stress tests for both $10 billion to $50 billion covered banks and over $50 billion covered banks. DATES: This final rule is effective January 1, 2015. FOR FURTHER INFORMATION CONTACT: Ryan Sheller, Section Chief,

(202)412-4861, Large Bank Supervision, Division of Risk Management and Supervision; Mark G. Flanigan, Supervisory Counsel,

(202)898-7426, Grace Pyun, Senior Attorney,

(202)898-3609, or Benjamin Klein, Senior Attorney,

(202)898-7027, Legal Division, Federal Deposit Insurance Corporation, 550 17th Street NW., Washington, DC, 20429. SUPPLEMENTARY INFORMATION: I. Background Section 165(i) of the Dodd-Frank Act requires two types of stress tests. Section 165(i)(1) requires the Board to conduct annual stress tests of holding companies with $50 billion or more in total consolidated assets (“supervisory stress tests”). Section 165(i)(2) of the Dodd-Frank Act requires the federal banking agencies to issue regulations requiring financial companies with more than $10 billion in total consolidated assets to conduct annual stress tests themselves (company-run stress tests), and it requires that the implementing regulations issued by each of the federal banking agencies be consistent and comparable with each other. In October 2012, the FDIC, the Office of the Comptroller of the Currency (the OCC), and the Board (collectively the Agencies) issued final rules 1 implementing the company-run stress tests requirements. The FDIC's final rule was codified as part 325, subpart C of the FDIC rules and regulations (the Annual Stress Test rule). The Annual Stress Test rule requires FDIC-insured state nonmember banks and FDIC-insured state-chartered savings associations with total consolidated assets of more than $10 billion to conduct annual stress tests. 1 77 FR 62417 (Oct. 15, 2012) (FDIC); 77 FR 61238 (October 9, 2012) (OCC); 77 FR 62396 (October 12, 2012) (Board). Part 325, subpart C identifies two categories of covered banks. The first category includes state nonmember banks and state savings associations that have between $10 billion and $50 billion in total consolidated assets, and the second category includes state nonmember banks and state savings associations with over $50 billion in total consolidated assets. 2 For both categories of covered banks, the company-run stress test must assess the potential impact of different scenarios 3 on the capital of the covered bank and certain related items over a forward-looking, nine-quarter planning horizon, taking into account all relevant exposures and activities. 4 2 12 CFR 325.202(d). 3 On an annual basis, prior to the start of the stress testing period and no later than November 15, the FDIC provides to covered banks a minimum of three economic scenarios (baseline, adverse, and severely adverse) and additional scenarios as the FDIC determines appropriate for the covered banks to use in performing their stress tests. 4 In addition, certain covered banks with significant trading activities (as determined by the FDIC) may be required to include a trading and counterparty component for the scenarios used in their stress tests. Part 325, subpart C also provides timeframes for the testing, reporting, and publication of the company-run stress tests, which vary depending on the category into which the covered bank falls. Covered banks use financial data as of September 30 (the “as of” date) of the preceding calendar year to make projections that estimate their financial position under the different stress scenarios, and to report and publish the results of their annual stress test in the following calendar year. Covered banks with $10 billion to $50 billion in total assets must report the results of their stress tests by March 31 and publish a summary of their results between June 15 and June 30. 5 Over $50 billion covered banks are required to report the results of their annual stress test by January 5 of each calendar year and publish a summary of their results between March 15 and March 31. 6 These testing, reporting, and publication milestones are consistent across the federal banking agencies' respective annual stress testing rules. 5 12 CFR 325.204(a); 325.206(a); 325.207(a). 6 12 CFR 325.204(a); 325.206(a); 325.207(a). A covered bank that is a consolidated subsidiary of a bank holding company or savings and loan holding company subject to company-run stress test requirements administered by the Board is generally permitted to publish abbreviated disclosures of its annual stress test results with the parent holding company's summary and on the same timeline as the parent holding company. 7 The FDIC requires that specific information be included in the disclosure to reflect the changes in the covered bank's capital ratios and the reasons for those changes. 7 12 CFR 325.207(b). Since the publication and codification of the Annual Stress Test rule, the Agencies have received feedback from the industry regarding the resource constraints that covered banks face at the beginning and end of the calendar year arising from competing regulatory and reporting deadlines. Furthermore, the Agencies are aware that conducting stress testing during the last quarter of a calendar year may also make it difficult for covered banks to make timely modifications to strategic and operational plans for the following year that address any issues identified in the company-run stress test results. For these reasons, on July 1, 2014, the FDIC, in coordination with the Board and the OCC, issued a notice of proposed rulemaking (the NPR) in the **Federal Register** that proposed to modify the dates of the stress test cycle and the corresponding reporting and publication deadlines. The NPR proposed to shift the testing, reporting, and disclosure dates for the 2016 company-run stress test cycle and each annual cycle thereafter. 8 The Corporation is now issuing a final rule modifying the dates of the stress test cycle and the corresponding reporting and publication deadlines as proposed in the NPR, as described further below. The final rule will be consistent with final rules issued by the OCC and Board making the same date modifications to the stress testing cycle, agency reporting, and public disclosure. 8 79 FR 37235 (July 1, 2014) (FDIC); 79 FR 37231 (OCC); 79 FR 37420 (Board). II. Comments Received The NPR solicited public comment on all aspects of the proposed rule. The NPR's comment period ended on September 2, 2014, and the FDIC received five comment letters. Comments were submitted by, or on behalf of, individuals, banks and bank holding companies, and banking and financial services industry trade groups and associations. The commenters generally supported the proposed revisions in the NPR, but also requested additional revisions to the proposed timeline shifts. The commenters supported the proposed timing shift for the start of the stress test cycles to address the challenges to banking organizations and personnel presented at the end of the calendar year. Some commenters encouraged the FDIC to accelerate implementation of the proposed changes so that the adjusted timeframes apply beginning with the 2015 stress test cycle, rather than with the 2016 stress test cycle. The final rule adopts the proposed revisions to the start of the stress test cycle and related dates, but does not accelerate the implementation of the modified dates. The transition period is necessary to give the FDIC and banking organizations sufficient time to revise reporting schedules and change internal systems. As such, the new timeline will become applicable to the stress testing cycle that begins on January 1, 2016. Commenters also requested that the FDIC provide stress test scenarios by no later than January 15 of a given calendar year given the compressed timeframe for implementation of stress testing processes. In developing the scenarios, the FDIC seeks to provide covered banks with sufficient time to conduct the annual stress tests, while also ensuring that the scenarios reflect timely data on economic and financial conditions. Under the revised timeline, the FDIC expects to provide stress test scenarios as soon as possible and before the deadlines set by the final rule. Accordingly, the FDIC has adopted this aspect of the proposal without significant change. Commenters additionally requested that the length of the planning horizon be reduced from nine quarters to eight quarters. The NPR would have shifted the stress testing timeline by one quarter, but would have maintained the nine-quarter planning horizon. The commenters argued that the ninth quarter does not provide additional meaningful information given the incremental uncertainty in projections as they move further into the future, and that eight quarters would still represent two full years of capital planning. The FDIC believes that the ninth quarter period provides meaningful information to the Agencies in assessing the projections of covered banks. Accordingly, the final rule maintains the nine-quarter planning horizon. Commenters also requested that the Agencies delay incorporation of advanced approaches risk-based capital rules into the annual stress testing process indefinitely. The NPR proposed to revise the testing and reporting dates and did not address the application of the risk-based capital rules. As such, the FDIC believes that technical aspects of projecting risk-based capital requirements under the advanced approaches should be dealt with on a case-by-case basis and through the supervisory process. III. The Final Rule After reviewing the comments, the FDIC is issuing this final rule to implement the changes proposed in the NPR to part 325, subpart C of the FDIC Rules and Regulations. A. Company-Run Stress Test Timelines Beginning January 1, 2016, the stress testing cycle that, under the previous rule, would have begun on October 1 of a given calendar year, will begin January 1 of a given calendar year. Beginning with the 2016 stress-testing cycle, the final rule requires covered banks to conduct company-run stress tests using financial data as of December 31 of the preceding calendar year, which represents a three-month shift from September 30 in the previous rule. The FDIC will provide the economic scenarios to be used by covered banks in their company-run stress tests no later than February 15, rather than November 15, as is provided under the previous rule. For those certain covered banks with significant amounts of trading activities that are required to include trading and counterparty components in their adverse and severely adverse scenarios, the FDIC will select an “as of” date between January 1 and March 1 of a calendar year for the data used in this component. The FDIC will communicate this date to the covered banks no later than March 1. All $10 billion to $50 billion covered banks will be required to conduct and submit the results of their company-run stress tests to the FDIC by July 31 and publish those results during a period beginning on October 15 and ending October 31. Over $50 billion covered banks will be required to conduct and submit the results of their company-run stress tests to the FDIC by April 5 and publish those results during a period beginning on June 15 and ending on July 15. The April 5 reporting deadline for over $50 billion covered banks is a minor change from the April 7 deadline proposed in the NPR. Furthermore, a covered bank that is a consolidated subsidiary of a bank holding company or savings and loan holding company that is required to conduct an annual company-run stress test under applicable regulations of the Board may continue to elect to conduct its stress test and report to the FDIC on the same timeline as its parent bank holding company or savings and loan holding company as it had under the previous rule. Under the final rule, however, an over $50 billion covered bank that is a consolidated subsidiary of a holding company that is subject to supervisory stress tests conducted by the Board under 12 CFR part 252 may publish the required summary of its company-run stress test no earlier than the date that the Board publishes the supervisory stress test results for the parent holding company, but no later than July 15. In addition, if the Board publishes the supervisory stress test results of the covered bank's parent holding company prior to June 15, then the covered bank may satisfy its publication requirement either through actual publication by the covered bank or through publication by the parent holding company under § 325.207. B. Applicability The final rule amends the applicability provisions in § 325.203 of the Annual Stress Test rule to reflect the changed timeline. Previously, a state nonmember bank or state savings association that became a covered bank had to conduct its first annual stress test beginning in the next calendar year after the date the state nonmember bank or state savings association became a covered bank. Under the new 2016 stress testing timeline, if this applicability provision were left unchanged, a state nonmember bank or state savings association that became a covered bank as of September 30 of a given year would have been required to conduct its first stress test on January 1, three months after becoming a covered bank. The final rule provides a minimum of nine months between the date on which a state nonmember bank or state savings association becomes a covered bank and the start date of the stress testing cycle in which the covered bank must conduct its first stress test. To preserve the nine-month minimum, the final rule establishes a March 31 cutoff date. A state nonmember bank or state savings association that becomes a covered bank on or before March 31 of a given year would be required to conduct its first stress test in the next calendar year. For example, a state nonmember bank or state savings association that becomes a covered bank on or before March 31, 2015 would be required to conduct its first stress test in the stress testing cycle beginning January 1, 2016. A state nonmember bank or state savings association that becomes a covered bank after March 31 of a given year would be required to conduct its first stress test in the second calendar year after the date the state nonmember bank or state savings association becomes a covered bank. For example, a state nonmember bank or state savings association that becomes a covered bank on June 30, 2015 would be required to conduct its first stress test in the stress testing cycle beginning January 1, 2017. Table 1—Modified Annual Stress Test Timeline for $10 Billion to $50 Billion Covered Banks Action required “As of” date for financial data Current rule September 30 Final rule December 31 Distribution of Scenarios for Annual Stress Tests by FDIC By November 15 By February 15. Reporting of Annual Stress Test Results By March 31 By July 31. Public Disclosure of Annual Stress Test Results Between June 15 and June 30 Between October 15 and October 31. Table 2—Modified Annual Stress Test Timeline for Over $50 Billion Covered Banks Action required “As of” date for financial data Current rule September 30 Final rule December 31 Distribution of Scenarios for Annual Stress Tests by FDIC By November 15 By February 15. Reporting of Annual Stress Test Results By January 5 By April 5. Public Disclosure of Annual Stress Test Results Between March 15 and March 31 Between June 15 and July 15, *except no earlier than Board publication of the supervisory stress test results of the covered bank's holding company* . 9 IV. Administrative Law Matters A. Paperwork Reduction Act Analysis In accordance with the requirements of the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521) (“PRA”), the Corporation may not conduct or sponsor, and the respondent is not required to respond to, an information collection unless it displays a currently valid Office of Management and Budget (“OMB”) control number. The FDIC has two stress testing information collections: The Annual Stress Test and Stress Testing Reporting Templates, 3064-0187 and -0189. 9 If the Board releases supervisory stress test results prior to June 15, then the covered bank may release its annual stress test results prior to June 15, but no earlier than the release of the supervisory stress test results and no later than July 15. The Corporation is revising 12 CFR 325.202, 325.203, 325.204, 325.206, and 325.207 by modifying timelines for the testing, reporting, and disclosure of the annual stress tests for covered banks. The revisions shift by three months the “as of” date of the financial data used to conduct company-run stress tests for covered banks from September 30 to December 31. The final rule also shifts the reporting and disclosure deadlines for both $10 billion to $50 billion covered banks and over $50 billion covered banks and provide for a new transition period for those covered banks that become covered under the rule. Additionally, under the final rule, an over $50 billion covered bank that is a consolidated subsidiary of a bank holding company or savings and loan holding company subject to supervisory stress tests conducted by the Board may publish the required summary of its annual stress test results no earlier than the date that the Board publishes the supervisory stress test results of the covered bank's parent holding company, but no later than July 15. The revision of timelines in part 325, subpart C does not revise the FDIC's stress testing information collections of information. B. Regulatory Flexibility Act Analysis The Regulatory Flexibility Act, 5 U.S.C. 601, *et seq.* (RFA), requires that each federal agency either certify that a proposed rule would not, if adopted in final form, have a significant economic impact on a substantial number of small entities or prepare an initial regulatory flexibility analysis of the rule and publish the analysis for comment. 10 The final rule applies only to state nonmember banks and state savings associations with more than $10 billion in total consolidated assets. Under regulations issued by the Small Business Administration (SBA), a bank or other depository institution is considered “small” if it has $550 million or less in assets. 11 As of June 30, 2014, there are approximately 3,268 small state nonmember banks and state savings associations. Since the final rule applies only to twenty-six state nonmember banks and state savings associations with more than $10 billion in total consolidated assets, the Corporation does not expect that the final rule will directly affect a substantial number of small entities. It is hereby certified that this rule will not have a significant economic impact on a substantial number of small entities and therefore, a regulatory flexibility analysis under the RFA is not required. 10 *See* 5 U.S.C. 603, 604, and 605. 11 13 CFR 121.201. C. Plain Language Section 722 of the Gramm-Leach-Bliley Act (Pub. L. 106-102, 113 Stat. 1338, 1471, 12 U.S.C. 4809) requires federal banking agencies to use plain language in all proposed and final rules published after January 1, 2000. The Corporation sought to present the proposed rule in a simple and straightforward manner and invited comment on how to make the proposed rule easier to understand. The FDIC received no comments on the use of plain language. D. Small Business Regulatory Enforcement Fairness Act The Office of Management and Budget has determined that the final rule is not a “major rule” within the meaning of the relevant sections of the Small Business Regulatory Enforcement Fairness Act of 1996 12 (“SBREFA”). 12 5 U.S.C. 801, *et seq.* List of Subjects in 12 CFR Part 325 Administrative practice and procedure, Banks, Banking, Disclosures, Federal Deposit Insurance Corporation, Reporting and recordkeeping requirements, State savings associations, Stress tests. Authority and Issuance For reasons stated in the preamble, the Board of Directors of the Federal Deposit Insurance Corporation amends subpart C to part 325 of title 12 of the Code of Federal Regulations as follows: PART 325—CAPITAL MAINTENANCE 1. Revise the authority citation for part 325 to read as follows: Authority: 12 U.S.C. 5365(i)(2); 12 U.S.C. 5412(b)(2)(C); 12 U.S.C. 1818, 12 U.S.C. 1819(a)(Tenth), 12 U.S.C. 1831o, and 12 U.S.C. 1831p-1. 2. In § 325.202, add paragraph

(m)to read as follows: § 325.202 Definitions.

(m)*Stress test cycle* means:

(1)Until October 1, 2015, the period beginning October 1 of a calendar year and ending on September 30 of the following calendar year; and

(2)Beginning October 1, 2015, the period beginning January 1 of a calendar year and ending on December 31 of that year. 3. In § 325.203, revise paragraph

(b)to read as follows: § 325.203 Applicability. (b)(1) A state nonmember bank or state savings association that becomes a covered bank after October 15, 2012 and on or before March 31, 2014 shall conduct its first annual stress test under this subpart beginning in the next calendar year after the date the state nonmember bank or state savings association becomes a covered bank.

(2)A state nonmember bank or state savings association that becomes a covered bank after March 31, 2014 and on or before March 31, 2015 shall conduct its first annual stress test under this subpart in the January 1, 2016 stress testing cycle.

(3)A state nonmember bank or state savings association that becomes a covered bank on or before March 31 in years following 2015 shall conduct its first annual stress test under this subpart in the stress testing cycle in the next calendar year after the date the state nonmember bank or state savings association becomes a covered bank. A state nonmember bank or state savings association that becomes a covered bank after March 31 in years following 2015 shall conduct its first annual stress test under this subpart in the second calendar year after the date the state nonmember bank or state savings association becomes a covered bank. 4. Revise § 325.204 to read as follows: § 325.204 Annual stress tests required.

(a)*General requirements—*

(1)*$10 billion to $50 billion covered bank.* Prior to January 1, 2016, a $10 billion to $50 billion covered bank must conduct a stress test on or before March 31 of each calendar year based on financial data as of September 30 of the preceding calendar year. Beginning January 1, 2016, a $10 billion to $50 billion covered bank must conduct a stress test on or before July 31 of each calendar year based on financial data as of December 31 of the preceding calendar year.

(2)*Over $50 billion covered bank.* Prior to January 1, 2016, an over $50 billion covered bank must conduct a stress test on or before January 5 of each calendar year based on financial data as of September 30 of the preceding calendar year. Beginning January 1, 2016, an over $50 billion covered bank must conduct a stress test on or before April 5 of each calendar year based on financial data as of December 31 of the preceding calendar year.

(b)*Scenarios provided by the Corporation.* In conducting the stress test under this subpart, each covered bank must use the scenarios provided the Corporation. The scenarios provided by the Corporation will reflect a minimum of three sets of economic and financial conditions, including baseline, adverse, and severely adverse scenarios. The Corporation will provide a description of the scenarios required under this section to each covered bank no later than November 15 (for stress test cycle beginning October 1, 2014) or February 15 (for stress test cycle beginning January 1, 2016, and all stress test cycles thereafter) of that calendar year.

(c)*Significant trading activities.* The Corporation may require a covered bank with significant trading activities, as determined by the Corporation, to include trading and counterparty components in its adverse and severely adverse scenarios. The trading and counterparty position data used in these components will be as of a date between October 1 and December 1 (for the stress test cycle beginning October 1, 2014) or between January 1 and March 1 (for the stress test cycle beginning January 1, 2016, and all stress test cycles thereafter) of that calendar year selected by the Corporation and communicated to the covered bank no later than December 1 (for the stress test cycle beginning October 1, 2014) or March 1 (for the stress test cycle beginning January 1, 2016, and all stress test cycles thereafter) of the calendar year. 5. Revise § 325.206(a) to read as follows: § 325.206 Required reports of stress test results to the FDIC and the Board of Governors of the Federal Reserve System. *(a) Report required for annual stress test results—*

(1)*$10 billion to $50 billion covered bank.* Prior to January 1, 2016, a $10 billion to $50 billion covered bank must report to the FDIC and to the Board on or before March 31 the results of the stress test in the manner and form specified by the FDIC. Beginning January 1, 2016, a $10 billion to $50 billion covered bank must report to the FDIC and to the Board on or before July 31 the results of the stress test in the manner and form specified by the FDIC.

(2)*Over $50 billion covered bank.* Prior to January 1, 2016, an over $50 billion covered bank must report to the FDIC and to the Board, on or before January 5, the results of the stress test in the manner and form specified by the FDIC. Beginning January 1, 2016, an over $50 billion covered bank must report to the FDIC and to the Board, on or before April 5, the results of the stress test in the manner and form specified by the FDIC. 6. Revise § 325. 207(a) to read as follows: § 325.207 Publication of stress test results. *(a) Publication date—*

(1)*$10 billion to $50 billion covered bank.*

(i)Prior to January 1, 2016, a $10 billion to $50 billion covered bank must publish a summary of the results of its annual stress test in the period starting June 15 and ending June 30 (for the stress test cycle beginning October 1, 2014).

(ii)Beginning January 1, 2016, a $10 billion to $50 billion covered bank must publish a summary of the results of its annual stress test in the period starting October 15 and ending October 31 (for the stress test cycle beginning January 1, 2016 and for all stress test cycles thereafter).

(2)*Over $50 billion covered bank.*

(i)Prior to January 1, 2016, an over $50 billion covered bank must publish a summary of the results of its annual stress tests in the period starting March 15 and ending March 31 (for the stress test cycle beginning October 1, 2014).

(ii)Beginning January 1, 2016, an over $50 billion covered bank must publish a summary of the results of its annual stress tests in the period starting June 15 and ending July 15 (for the stress test cycle beginning January 1 2016, and for all stress test cycles thereafter) provided:

(A)Unless the Corporation determines otherwise, if the over $50 billion covered bank is a consolidated subsidiary of a bank holding company or savings and loan holding company subject to supervisory stress tests conducted by the Board of Governors of the Federal Reserve System under 12 CFR part 252, then, within the June 15 to July 15 period, such covered bank may not publish the required summary of its annual stress test earlier than the date that the Board of Governors of the Federal Reserve System publishes the supervisory stress test results of the covered bank's parent holding company.

(B)If the Board of Governors of the Federal Reserve System publishes the supervisory stress test results of the covered bank's parent holding company prior to June 15, then such covered bank may publish its stress test results prior to June 15, but no later than July 15, through actual publication by the covered bank or through publication by the parent holding company under paragraph

(b)of this section. Dated at Washington, DC, this 18th day of November 2014. Federal Deposit Insurance Corporation. By order of the Board of Directors. Robert E. Feldman, Executive Secretary. [FR Doc. 2014-27610 Filed 11-20-14; 8:45 am]

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