Unknown. Final rule

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A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

--- schema: federal-register doc_type: fedreg source_file: FR-2020-10-08.xml --- 85 196 Thursday, October 8, 2020 Contents Agriculture Agriculture Department See Animal and Plant Health Inspection Service See Food Safety and Inspection Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 63500 2020-22348 Animal Animal and Plant Health Inspection Service NOTICES Imports: Fresh Blueberries from Chile into the United States, 63500-63502 2020-22337 Bonneville Bonneville Power Administration NOTICES Environmental Impact Statements;

Availability, etc.: Columbia River System Operations, 63834-63870 2020-22147 Safety Enviromental Enforcement Bureau of Safety and Environmental Enforcement NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: General, 63573-63574 2020-22343 Oil and Gas Drilling Operations, 63574-63575 2020-22346 Unitization, 63575-63576 2020-22344 Civil Rights Civil Rights Commission NOTICES Meetings: Nevada Advisory Committee, 63504 2020-22309 Coast Guard Coast Guard RULES Safety Zone:

Brandon Road Lock and Dam to Lake Michigan including Des Plaines River, Chicago Sanitary and Ship Canal, Chicago River, and Calumet-Saganashkee Channel, Chicago, IL, 63447 2020-20790 NOTICES Meetings: National Boating Safety Advisory Council; November 2020 Teleconference, 63566-63567 2020-22304 Commerce Commerce Department See Foreign-Trade Zones Board See International Trade Administration See National Oceanic and Atmospheric Administration Comptroller Comptroller of the Currency RULES Regulatory Capital Rule and Total Loss-Absorbing Capacity Rule:

Eligible Retained Income, 63423-63428 2020-19829 Drug Drug Enforcement Administration NOTICES Decision and Order: Wayne Pharmacy, 63579-63583 2020-22216 Importer of Controlled Substances Application: MMJ Biopharma Cultivation, Inc., 63583-63584 2020-22070 Education Department Education Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Student Assistance General Provision, Subpart I; Immigration Status Confirmation, 63543 2020-22218 Employment and Training Employment and Training Administration RULES Strengthening Wage Protections for the Temporary and Permanent Employment of Certain Aliens, 63872-63915 2020-22132 NOTICES Extended Benefit Program:

North Dakota; Change in Status, 63585-63586 2020-22220 Utah and Alabama; Change in Status, 63585 2020-22219 Energy Department Energy Department See Bonneville Power Administration See Federal Energy Regulatory Commission Environmental Protection Environmental Protection Agency RULES Notification of Submission to the Secretary of Agriculture: Pesticides; Agricultural Worker Protection Standard; Revision of the Application Exclusion Zone Requirements, 63449-63450 2020-22280 Pesticide Tolerances:

Afidopyropen, 63453-63460 2020-21119 Kasugamycin; Emergency Exemptions, 63450-63453 2020-19761 State Plans for Designated Facilities and Pollutants; Approvals and Promulgations: Oregon Department of Environmental Quality; Control of Emissions from Existing Municipal Solid Waste Landfills, 63447-63449 2020-19886 NOTICES Guidance: Pesticides; Waiving Acute Dermal Toxicity Tests for Pesticide Technical Chemicals and Supporting Retrospective Analysis, 63548-63549 2020-22325 Farm Credit Farm Credit Administration RULES District Financial Reporting, 63428-63431 2020-20264 NOTICES Privacy Act;

Systems of Records, 63549-63551 2020-22351 Federal Aviation Federal Aviation Administration RULES Airworthiness Directives: Airbus Helicopters, 63431-63434, 63440-63443 2020-22241 2020-22259 Airbus SAS Airplanes, 63434-63440 2020-22235 2020-22243 General Electric Company Turbofan Engines, 63443-63445 2020-22267 NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Airman Knowledge Test Registration, 63640-63641 2020-22292 Organization Designation Authorization Survey, 63642-63643 2020-22274 Survey of Industry's Response to Safety Alert for Operators, 63641 2020-22352 Proposed Flight Standardization Board Report:

The Boeing Company 737, Revision 17 and The Boeing Company 737 Airplane Flight Manual Airspeed Unreliable Non-Normal Checklist, 63641-63642 2020-22381 Federal Bureau Federal Bureau of Investigation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: National Incident-Based Reporting System, 63584-63585 2020-22281 Federal Communications Federal Communications Commission NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 63551-63552 2020-22305 Public Safety and Homeland Security Bureau and Wireless Telecommunications Bureau Announce Temporary Filing Freeze on the Acceptance and Processing of Certain Applications for the 4940-4990 MHz Band, 63553 2020-22217 Federal Deposit Federal Deposit Insurance Corporation RULES Regulatory Capital Rule and Total Loss-Absorbing Capacity Rule:

Eligible Retained Income, 63423-63428 2020-19829 Federal Emergency Federal Emergency Management Agency NOTICES Meetings: Pandemic Response Voluntary Agreement of the Defense Production Act; Implementation, 63567-63568 2020-22419 Federal Energy Federal Energy Regulatory Commission NOTICES Combined Filings, 63544-63546 2020-22327 2020-22328 Petition for Declaratory Order: The Hoopa Valley Tribe and the Hoopa Valley Public Utilities District, 63546-63547 2020-22295 Records Governing Off-the-Record Communications, 63548 2020-22329 Request for Extension of Time:

UGI LNG, Inc., 63547-63548 2020-22296 Federal Highway Federal Highway Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 63643 2020-22284 Federal Motor Federal Motor Carrier Safety Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Financial Responsibility for Motor Carriers of Passengers and Motor Carriers of Property, 63648-63649 2020-22312 Parts and Accessories Necessary for Safe Operation;

Exemption Application: National Tank Truck Carriers Inc., 63643-63647 2020-22233 Qualification of Drivers; Exemption Applications: Implantable Cardioverter Defibrillators, 63647-63648 2020-22310 Vision, 63649-63652 2020-22311 Federal Railroad Federal Railroad Administration NOTICES Petition for Waiver of Compliance, 63652-63653 2020-22298 2020-22299 Federal Reserve Federal Reserve System RULES Regulatory Capital Rule and Total Loss-Absorbing Capacity Rule: Eligible Retained Income, 63423-63428 2020-19829 NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 63553-63559 2020-22275 Formations of, Acquisitions by, and Mergers of Bank Holding Companies, 63559 2020-22324 Federal Trade Federal Trade Commission PROPOSED RULES Duties of Creditors Regarding Risk-Based Pricing Rule, 63462-63473 2020-19529 Federal Transit Federal Transit Administration NOTICES Competitive Funding Opportunity: Public Transportation COVID-19 Research Demonstration Grant Program, 63653-63658 2020-22316 Fish Fish and Wildlife Service RULES Endangered and Threatened Species:

Coastal Distinct Population Segment of the Pacific Marten, 63806-63831 2020-19136 Endangered and Threatened Wildlife and Plants: Threatened Species Status for Eastern Black Rail with a Section 4(d) Rule, 63764-63803 2020-19661 PROPOSED RULES Endangered and Threatened Species: Reclassification of the Red-Cockaded Woodpecker from Endangered to Threatened with a Section 4(d) Rule, 63474-63499 2020-21510 Food and Drug Food and Drug Administration NOTICES Guidance: Premenopausal Women with Breast Cancer:

Developing Drugs for Treatment, 63559-63561 2020-22228 Food Safety Food Safety and Inspection Service NOTICES Requests for Nominations: National Advisory Committee on Microbiological Criteria for Foods, 63502-63504 2020-22293 Foreign Trade Foreign-Trade Zones Board NOTICES Subzone Application: ASML US, LLC, Wilton, CT; Foreign-Trade Zone 76, Bridgeport, CT, 63505 2020-22317 Subzone Expansion: Lam Research Corp., Hayward, CA; Subzone 18F, 63504 2020-22279 Health and Human Health and Human Services Department See Food and Drug Administration See Health Resources and Services Administration See National Institutes of Health Health Resources Health Resources and Services Administration NOTICES Meetings:

Advisory Commission on Childhood Vaccines; Correction, 63561 2020-22209 Senior Executive Service Performance Review Board, 63561 2020-22276 Homeland Homeland Security Department See Coast Guard See Federal Emergency Management Agency RULES Strengthening the H-1B Nonimmigrant Visa Classification Program, 63918-63965 2020-22347 NOTICES Meetings: Data Privacy and Integrity Advisory Committee, 63568-63569 2020-22240 Housing Housing and Urban Development Department PROPOSED RULES Housing Opportunity through Modernization Act of 2016:

Housing Choice Voucher and Project-Based Voucher Implementation; Additional Streamlining Changes, 63664-63724 2020-21400 NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Multifamily Rental Project Closing Documents, 63570-63572 2020-22338 Section 8 Housing Choice Vouchers: Implementation of the Housing Choice Voucher Mobility Demonstration, Extension of Application Due Date, 63569-63570 2020-22130 Interior Interior Department See Bureau of Safety and Environmental Enforcement See Fish and Wildlife Service See National Park Service Internal Revenue Internal Revenue Service NOTICES Meetings:

Taxpayer Advocacy Panel Joint Committee, 63658 2020-22246 Taxpayer Advocacy Panel Taxpayer Assistance Center Improvements Project Committee, 63658-63659 2020-22244 Taxpayer Advocacy Panel Taxpayer Communications Project Committee, 63658 2020-22242 Taxpayer Advocacy Panel's Special Projects Committee, 63658 2020-22245 International Trade Adm International Trade Administration NOTICES Antidumping or Countervailing Duty Investigations, Orders, or Reviews: Steel Concrete Reinforcing Bar from Taiwan, 63505-63507 2020-22315 Subsidy Programs Provided by Countries Exporting Softwood Lumber and Softwood Lumber Products to the United States, 63507 2020-22278 International Trade Com International Trade Commission NOTICES Complaint:

Certain Furniture Products Finished with Decorative Wood Grain Paper and Components Thereof, 63578-63579 2020-22321 Investigations; Determinations, Modifications, and Rulings, etc.: Certain Pick-Up Truck Folding Bed Cover Systems and Components Thereof, 63579 2020-22230 Prestressed Concrete Steel Wire Strand (PC Strand) from Argentina, Colombia, Egypt, Indonesia, Italy, Malaysia, Netherlands, Saudi Arabia, South Africa, Spain, Taiwan, Tunisia, Turkey, Ukraine, and United Arab Emirates, 63576-63577 2020-22308 Judicial Conference Judicial Conference of the United States NOTICES Meetings:

Committee on Rules of Practice and Procedure, 63579 2020-22326 Justice Department Justice Department See Drug Enforcement Administration See Federal Bureau of Investigation Labor Department Labor Department See Employment and Training Administration See Workers Compensation Programs Office National Institute National Institutes of Health NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: A Generic Submission for Formative Research, Pre-testing, Stakeholder, 63565-63566 2020-22266 Cancer Therapy Evaluation Program Branch and Support Contracts Forms and Surveys, 63561-63564 2020-22265 Meetings:

Center for Scientific Review, 63564-63565 2020-22273 National Institute of Allergy and Infectious Diseases, 63565 2020-22269 Office of the Secretary, 63566 2020-22264 National Oceanic National Oceanic and Atmospheric Administration RULES Fisheries of the Northeastern United States: Atlantic Bluefish Fishery; Quota Transfer from New Hampshire to North Carolina, 63460-63461 2020-22232 NOTICES Fish and Fish Product Import Provisions of the Marine Mammal Protection Act: Final 2020 List of Foreign Fisheries, 63527-63543 2020-22290 Meetings:

Fisheries of the South Atlantic; Southeast Data, Assessment, and Review, 63526-63527 2020-22300 New England Fishery Management Council, 63507-63508 2020-22303 North Pacific Fishery Management Council, 63525-63526 2020-22302 South Atlantic Fishery Management Council, 63525 2020-22301 Permits: Marine Mammals and Endangered Species, 63524-63525 2020-22333 Takes of Marine Mammals Incidental to Specified Activities: Marine Site Characterization Surveys, 63508-63524 2020-22307 National Park National Park Service NOTICES Meetings:

National Park System Advisory Board, 63572 2020-22116 National Science National Science Foundation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Grantee Reporting Requirements for the Accelerating Research through International Network-to-Network Collaboration Program, 63587-63588 2020-22318 Permit Modification Received under the Antarctic Conservation Act, 63587 2020-21074 Nuclear Regulatory Nuclear Regulatory Commission NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Domestic Licensing of Special Nuclear Material, 63593-63594 2020-22222 Registration Certificate—In Vitro Testing with Byproduct Material under General License, 63591-63592 2020-22226 Standard Specifications for the Granting of Patent Licenses, 63592-63593 2020-22224 Environmental Assessments; Availability, etc.: Prairie Island Independent Spent Fuel Storage Installation, 63588-63589 2020-22350 Order: MP Mine Operations, LLC, 63589-63591 2020-22314 Pension Benefit Pension Benefit Guaranty Corporation RULES Privacy Act Regulation:

Exemption for Insider Threat Program Records, 63445-63447 2020-19950 Postal Regulatory Postal Regulatory Commission PROPOSED RULES Periodic Reporting, 63473-63474 2020-21416 NOTICES New Postal Products, 63594-63595 2020-22336 Presidential Documents Presidential Documents PROCLAMATIONS Special Observances: Child Health Day (Proc. 10094), 63973-63975 2020-22507 Fire Prevention Week (Proc. 10092), 63967-63970 2020-22498 Made In America Day and Made in America Week (Proc. 10093), 63971-63972 2020-22506 EXECUTIVE ORDERS Health and Medical Care:

Mental and Behavioral Health Support To Save Lives; Improvement Efforts (EO 13954), 63977-63979 2020-22510 ADMINISTRATIVE ORDERS Presidential Permits: Express Pipeline, LLC; Authorization To Operate and Maintain Existing Pipeline Facilities at the Canada-U.S. International Boundary (Presidential Permit of October 3, 2020), 63981-63983 2020-22511 Front Range Pipeline, LLC; Authorization To Operate and Maintain Existing Pipeline Facilities at the Mexico-U.S. International Boundary (Presidential Permit of October 3, 2020), 63985-63987 2020-22521 NuStar Logistics, L.P.;

Authorization To Operate and Maintain Existing Pipeline Facilities at the Mexico-U.S. International Boundary (Presidential Permit of October 3, 2020), 63989-63991 2020-22526 Securities Securities and Exchange Commission RULES Modernization of Regulation S-K Items 101, 103, and 105, 63726-63761 2020-19182 NOTICES Consolidated Tape Association: Filing and Immediate Effectiveness of the Thirty-Fifth Substantive Amendment to the Second Restatement of the CTA Plan and Twenty-Sixth Substantive Amendment to the Restated CQ Plan, 63606-63607 2020-22341 Joint Industry Plan:

Filing and Immediate Effectiveness of the Forty-Ninth Amendment to the Joint Self-Regulatory Organization Plan Governing the Collection, Consolidation and Dissemination of Quotation and Transaction Information for Nasdaq-Listed Securities Traded on Exchanges on an Unlisted Trading Privileges Basis, 63613-63614 2020-22342 Self-Regulatory Organizations; Proposed Rule Changes: Cboe BYX Exchange, Inc., 63610-63612 2020-22258 Cboe BZX Exchange, Inc., 63595-63597 2020-22254 Cboe C2 Exchange, Inc., 63608-63610 2020-22250 Cboe EDGA Exchange, Inc., 63599-63601 2020-22252 Cboe EDGX Exchange, Inc., 63616-63620, 63626-63628 2020-22253 2020-21403 Cboe Exchange, Inc., 63614-63616 2020-22251 Fixed Income Clearing Corp., 63610 2020-22255 MEMX, LLC, 63620-63626 2020-22249 National Securities Clearing Corp., 63607 2020-22256 NYSE American, LLC, 63601-63606 2020-22247 2020-22257 NYSE Arca, Inc., 63597-63599 2020-22248 Small Business Small Business Administration NOTICES Major Disaster Declaration:

California, 63628-63629 2020-22285 2020-22289 Florida, 63628-63629 2020-22283 Puerto Rico, 63629-63630 2020-22287 2020-22288 Social Social Security Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 63630-63636 2020-22297 Surface Transportation Surface Transportation Board NOTICES Abandonment Exemption: Union Pacific Railroad Co., Kootenai County, ID, 63637 2020-22335 Lease and Operation Exemption: Central Railroad Co. of Indianapolis from Norfolk Southern Railway Co., 63636-63637 2020-22286 Trade Representative Trade Representative, Office of United States NOTICES Initiation of Section 301 Investigation:

Vietnam's Acts, Policies, and Practices Related to Currency Valuation, 63637-63638 2020-22271 Vietnam's Acts, Policies, and Practices Related to the Import and Use of Illegal Timber, 63639-63640 2020-22270 Transportation Department Transportation Department See Federal Aviation Administration See Federal Highway Administration See Federal Motor Carrier Safety Administration See Federal Railroad Administration See Federal Transit Administration Treasury Treasury Department See Comptroller of the Currency See Internal Revenue Service See United States Mint NOTICES Senior Executive Service:

Legal Division Performance Review Board, 63659 2020-22237 U.S. Mint United States Mint NOTICES Price Increases for 2020 United States Mint Silver Numismatic Products, 63659 2020-22458 Veteran Affairs Veterans Affairs Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Advance Directive: Durable Power of Attorney for Health Care and Living Will, 63661 2020-22260 Application for Assumption Approval and/or Release from Personal Liability to the Government on a Home Loan, 63660 2020-22227 Mandatory Verification of Dependents, 63661-63662 2020-22282 VA-Guaranteed Home Loan Cash-out Refinance Loan Comparison Disclosure, 63662 2020-22221 Meetings:

Advisory Committee on Cemeteries and Memorials, 63660-63661 2020-22340 Workers' Workers Compensation Programs Office NOTICES Meetings: Advisory Board on Toxic Substances and Worker Health, 63586-63587 2020-22215 Separate Parts In This Issue Part II Housing and Urban Development Department, 63664-63724 2020-21400 Part III Securities and Exchange Commission, 63726-63761 2020-19182 Part IV Interior Department, Fish and Wildlife Service, 63764-63803 2020-19661 Part V Interior Department, Fish and Wildlife Service, 63806-63831 2020-19136 Part VI Energy Department, Bonneville Power Administration, 63834-63870 2020-22147 Part VII Labor Department, Employment and Training Administration, 63872-63915 2020-22132 Part VIII Homeland Security Department, 63918-63965 2020-22347 Part IX Presidential Documents, 63967-63975, 63977-63979, 63981-63983, 63985-63987, 63989-63991 2020-22507 2020-22498 2020-22506 2020-22510 2020-22511 2020-22521 2020-22526 Reader Aids Consult the Reader Aids section at the end of this issue for phone numbers, online resources, finding aids, and notice of recently enacted public laws.

To subscribe to the Federal Register Table of Contents electronic mailing list, go to https://public.govdelivery.com/accounts/USGPOOFR/subscriber/new, enter your e-mail address, then follow the instructions to join, leave, or manage your subscription. 85 196 Thursday, October 8, 2020 Rules and Regulations DEPARTMENT OF TREASURY Office of the Comptroller of the Currency 12 CFR Part 3 [Docket No. OCC-2020-0009] RIN 1557-AE81 FEDERAL RESERVE SYSTEM 12 CFR Parts 217 and 252 [Regulations Q and YY;

Docket Nos. R-1703, 1706; RIN 7100-AF77, 7100-AF80] FEDERAL DEPOSIT INSURANCE CORPORATION 12 CFR Part 324 RIN 3064-AF40 Regulatory Capital Rule and Total Loss-Absorbing Capacity Rule: Eligible Retained Income AGENCY: Office of the Comptroller of the Currency (OCC), Board of Governors of the Federal Reserve System (Board), and Federal Deposit Insurance Corporation (FDIC). ACTION: Final rule. SUMMARY: The OCC, Board, and FDIC (together, the agencies) are adopting as final the revisions to the definition of eligible retained income made under the interim final rule published in the **Federal Register** on March 20, 2020, for all depository institutions, bank holding companies, and savings and loan holding companies subject to the agencies' capital rule.

The final rule revises the definition of eligible retained income to make more gradual any automatic limitations on capital distributions that could apply under the agencies' capital rule. Separately, in this final rule, the Board also is adopting as final the definition of eligible retained income made under the interim final rule published in the **Federal Register** on March 26, 2020, for purposes of the Board's total loss-absorbing capacity

(TLAC)rule. The final rule adopts these interim final rules with no changes. DATES: The final rule is effective January 1, 2021. FOR FURTHER INFORMATION CONTACT: *OCC:* Benjamin Pegg, Risk Expert, Capital and Regulatory Policy,

(202)649-6370; or Kevin Korzeniewski, Counsel, or Marta Stewart-Bates, Senior Attorney, Chief Counsel's Office,

(202)649-5490, for persons who are deaf or hearing impaired, TTY,

(202)649-5597, Office of the Comptroller of the Currency, 400 7th Street SW, Washington, DC 20219. *Board:* Anna Lee Hewko, Associate Director,

(202)530-6360, Constance Horsley, Deputy Associate Director,

(202)452-5239, Matthew McQueeney, Senior Financial Institution Policy Analyst II,

(202)452-2942, or Eusebius Luk, Senior Financial Institution Policy Analyst I,

(202)452-2874, Division of Supervision and Regulation; Benjamin McDonough, Assistant General Counsel,

(202)452-2036, Mark Buresh, Senior Counsel,

(202)452-5270, Asad Kudiya, Senior Counsel,

(202)475-6358, or Mary Watkins, Senior Attorney,

(202)452-3722, Legal Division, Board of Governors of the Federal Reserve System, 20th Street and Constitution Avenue NW, Washington, DC 20551. Users of Telecommunication Device for Deaf

(TDD)only, call

(202)263-4869. *FDIC:* Bobby R. Bean, Associate Director, *bbean@fdic.gov;* Benedetto Bosco, Chief, Capital Policy Section, *bbosco@fdic.gov;* Michael Maloney, Senior Policy Analyst, *mmaloney@fdic.gov; regulatorycapital@fdic.gov;* Capital Markets Branch, Division of Risk Management Supervision,

(202)898-6888; or Michael Phillips, Counsel, *mphillips@fdic.gov;* Catherine Wood, Counsel, *cawood@fdic.gov;* Supervision and Legislation Branch, Legal Division, Federal Deposit Insurance Corporation, 550 17th Street NW, Washington, DC 20429. For the hearing impaired only, Telecommunication Device for the Deaf (TDD),

(800)925-4618. SUPPLEMENTARY INFORMATION: Table of Contents I. Introduction II. Background A. Capital Rule B. TLAC Rule III. Overview of the Interim Final Rules and Public Comments A. Capital Interim Final Rule B. TLAC Interim Final Rule C. Public Comments IV. Summary of the Final Rule V. Impact Assessment VI. Administrative Law Matters A. Congressional Review Act B. Paperwork Reduction Act C. Regulatory Flexibility Act D. Riegle Community Development and Regulatory Improvement Act of 1994 E. Use of Plain Language F. OCC Unfunded Mandates Reform Act of 1995 I. Introduction In light of recent disruptions in economic conditions caused by the coronavirus disease 2019 (COVID-19) and current strains in U.S. financial markets, the Office of the Comptroller of the Currency (OCC), Board of Governors of the Federal Reserve System (Board), and Federal Deposit Insurance Corporation

(FDIC)(together, the agencies) published an interim final rule in the **Federal Register** on March 20, 2020 (capital interim final rule) 1 that revised the definition of eligible retained income for all depository institutions, bank holding companies, and savings and loan holding companies (together, banking organizations) subject to the agencies' capital rule (capital rule). Separately, the Board published an interim final rule in the **Federal Register** on March 26, 2020 (TLAC interim final rule) 2 that revised the definition of eligible retained income for the largest and most systemically important U.S. bank holding companies (collectively, U.S. GSIBs) and the U.S. operations of the largest and most systemically important foreign banking organizations (collectively, covered intermediate holding companies

(IHCs)and together with U.S. GSIBs, TLAC covered companies), which are subject to the Board's total loss-absorbing capacity

(TLAC)rule. These revisions help strengthen the ability of banking organizations and TLAC covered companies to continue lending and conducting other financial intermediation activities during stress periods by making distribution limitations more gradual, as intended by the agencies. 1 *See* 85 FR 15909 (March 20, 2020). 2 *See* 85 FR 17003 (March 26, 2020). In this final rule, the agencies are adopting as final and without change the revisions to the definition of eligible retained income made under the capital interim final rule and TLAC interim final rule, as detailed further below. II. Background A. Capital Rule Under the capital rule, a banking organization 3 must maintain minimum risk-based capital and leverage ratios. 4 In addition, a banking organization under the capital rule must maintain a buffer of regulatory capital above its applicable minimum risk-based capital and leverage ratio requirements, as applicable, to avoid restrictions on capital distributions—including in the form of dividends and share buybacks and certain discretionary bonus payments (collectively, capital distributions). 5 3 Banking organizations subject to the agencies' capital rule include national banks, state member banks, state nonmember banks, savings associations, and top-tier bank holding companies and savings and loan holding companies domiciled in the United States not subject to the Board's Small Bank Holding Company and Savings and Loan Holding Company Policy Statement (12 CFR part 225, Appendix C), but exclude certain savings and loan holding companies that are substantially engaged in insurance underwriting or commercial activities or that are estate trusts and bank holding companies and savings and loan holding companies that are employee stock ownership plans. 4 12 CFR 3.10 (OCC); 12 CFR 217.10 (Board); and 12 CFR 324.10 (FDIC). An additional minimum supplementary leverage ratio of 3 percent applies to banking organizations subject to Category I, II, and III standards. 5 *See* 12 CFR 3.11 (OCC); 12 CFR 217.11 (Board); and 12 CFR 324.11 (FDIC). Banking organizations under the capital rule are generally subject to a fixed capital conservation buffer requirement, composed solely of common equity tier 1 capital, of greater than 2.5 percent of risk-weighted assets. On March 4, 2020, the Board adopted a final rule that simplified the Board's regulatory capital framework for large bank holding companies and U.S. intermediate holding companies of foreign banking organizations with the introduction of a stress capital buffer requirement (SCB final rule). 6 Under the SCB final rule, a covered holding company will receive a new stress capital buffer requirement on an annual basis, which replaces the static greater than 2.5 percent capital conservation buffer requirement. 7 Moreover, banking organizations subject to Category I, II, and III standards also are subject to a countercyclical capital buffer requirement 8 and a minimum supplementary leverage ratio of 3 percent. U.S. GSIBs are subject to the GSIB surcharge, an additional capital buffer requirement based on a measure of their systemic risk. Further, U.S. GSIBs are subject to enhanced supplementary leverage ratio standards, and must hold an additional leverage capital buffer of tier 1 capital to avoid limitations on capital distributions. The insured depository institution subsidiaries of U.S. GSIBs must maintain a similarly higher supplementary leverage ratio to be considered well capitalized under the agencies' respective prompt corrective action frameworks. 9 6 Amendments to the Regulatory Capital, Capital Plan, and Stress Test Rules, March 4, 2020, available at *https://www.federalreserve.gov/newsevents/pressreleases/files/bcreg20200304a2.pdf.* The SCB final rule applies to bank holding companies and U.S. intermediate holding companies of foreign banking organizations subject to the capital plan rule (covered holding company). 12 CFR 225.8. 7 A covered holding company's first stress capital buffer requirement, as determined under the SCB final rule, will be effective October 1, 2020. *See* 12 CFR 225.8. 8 Currently, the countercyclical capital buffer is set at 0 percent. 9 *See* 12 CFR 6.4(b)(1)(i) (OCC); 12 CFR 208.43(b)(1)(i) (Board); 12 CFR 324.403(b)(1)(ii) (FDIC). The agencies established the capital buffer requirements to encourage better capital conservation by banking organizations and to enhance the resilience of the banking system during stress periods. 10 In particular, the agencies intended for the capital buffer requirements to limit gradually the ability of banking organizations to distribute capital if their capital ratios fall below certain levels, thereby strengthening the ability of banking organizations to continue lending and conducting other financial intermediation activities during stress periods. 10 *See* 78 FR 62018, 62034 (October 11, 2013). Under the capital rule, if a banking organization's capital ratios fall within its applicable minimum-plus-buffer requirements, the maximum amount of capital distributions it can make is a function of its eligible retained income. 11 All of the buffer requirements in the capital rule use the same definition of eligible retained income and the same definition of eligible retained income applies to depository institutions and holding companies. Prior to the issuance of the capital interim final rule, the capital rule generally defined eligible retained income as four quarters of net income, net of distributions and associated tax effects not already reflected in net income. 12 11 A banking organization in or below the bottom quartile of its capital conservation buffer requirement may not make any capital distributions without prior approval from the OCC, Board, or FDIC, as applicable. 12 For purposes of the stress capital buffer, the definition of eligible retained income used to determine restrictions on capital distributions by an applicable banking organization depended on the covered holding company's capital buffer amount compared to its stress capital buffer requirement. B. TLAC Rule In December 2016, the Board issued a final rule (TLAC rule) to require U.S. GSIBs and covered IHCs to maintain a minimum TLAC amount, consisting of minimum amounts of long-term debt

(LTD)and tier 1 capital. 13 In addition, the TLAC rule prescribed buffer requirements above the minimum TLAC amount which a TLAC covered company must maintain to avoid restrictions on capital distributions. 13 82 FR 8266 (January 27, 2017); 12 CFR part 252, subparts G and P. The TLAC rule applies to U.S. GSIBs and covered IHCs because the failure or material financial distress of these companies has the greatest potential to disrupt U.S. financial stability. 14 The requirements in the TLAC rule build on, and serve as a complement to, the regulatory capital requirements in the Board's capital rule (Board capital rule). 15 As with the Board capital rule, the TLAC buffer requirements were established to encourage better capital conservation by TLAC covered companies and to enhance the resilience of the banking system during stress periods. 16 In particular, the Board intended for the TLAC buffer requirements to limit gradually the ability of TLAC covered companies to make capital distributions under certain circumstances, thereby strengthening the ability of TLAC covered companies to continue lending and conducting other financial intermediation activities during stress periods. 14 *See* 12 CFR 252.60; 12 CFR 252.160. 15 While the Board capital rule's requirements are intended to ensure that a banking organization has sufficient capital to remain a going concern, the objective of the TLAC rule is to reduce the financial stability impact of the failure of a TLAC covered company by requiring sufficient loss- absorbing capacity on both a going-concern and a gone-concern basis. A TLAC covered company's regulatory capital, and especially its equity capital, is likely to be significantly or completely depleted in the events leading to its bankruptcy or resolution. Thus, if a TLAC covered company is to re-emerge from resolution with sufficient capital to successfully operate as a going concern, the firm must have a source of capital. The TLAC rule therefore requires TLAC covered companies to maintain a minimum amount of LTD that can absorb losses and serve as a source of capital in resolution. 16 78 FR 62018, 62034 (October 11, 2013). A TLAC covered company with a TLAC level that falls below the applicable minimum-plus-buffer requirements faces limitations on capital distributions, in a manner designed to parallel the restrictions on capital distributions under the Board capital rule. In particular, the maximum amount of capital distributions that a TLAC covered company can make is limited as a percentage of its eligible retained income, as defined in the TLAC rule. Prior to the issuance of TLAC interim final rule, the TLAC rule used the same definition of eligible retained income for purposes of the TLAC buffer as the definition used under the Board capital rule prior to the adoption of the capital interim final rule. III. Overview of the Interim Final Rules and Public Comments The spread of COVID-19 has disrupted economic activity in the United States, causing significant volatility in U.S. financial markets. The magnitude and persistence of COVID-19's overall effect on the economy remain uncertain. In light of these developments, banking organizations may experience a sudden and unanticipated decline in capital ratios. A. Capital Interim Final Rule In March 2020, the agencies issued the capital interim final rule, which revised the definition of eligible retained income to the greater of

(1)a banking organization's net income for the four preceding calendar quarters, net of any distributions and associated tax effects not already reflected in net income, and

(2)the average of a banking organization's net income over the preceding four quarters. 17 This revision reduces the likelihood that a banking organization is suddenly subject to abrupt and restrictive distribution limitations in a scenario where its ratios fall within its applicable minimum-plus-buffer requirements. 17 The capital interim final rule also applies to the U.S. intermediate holding companies of foreign banking organizations required to be established or designated under 12 CFR 252.153. The capital interim final rule's changes to the definition of eligible retained income allow banking organizations to more freely use their capital and leverage buffers and supports banking organizations' lending activity and other financial intermediation activities to avoid compounding negative impacts on the financial markets. The revised definition of eligible retained income under the capital interim final rule applies to all of a banking organization's buffer requirements, including the fixed greater than 2.5 percent capital conservation buffer and, if applicable, the countercyclical capital buffer, as well as, for global systemically important bank holding companies, the GSIB surcharge, and enhanced supplementary leverage ratio buffer. Once the stress capital buffer requirements for covered holding companies under the SCB final rule apply, the revised definition would also apply to all parts of a covered holding company's buffer requirements. The agencies believe that having one definition of eligible retained income for all banking organizations under the capital rule simplifies the regulatory capital framework and ensures fairness across banking organizations of all sizes. In addition, the revised definition of eligible retained income under the capital interim final rule assists in the ability of S-corporation banking organizations to provide dividends to shareholders in order to meet their pass-through tax liabilities. S-corporation banking organizations do not pay federal income taxes. Instead, income and losses of an S-corporation are attributed to shareholders, potentially increasing their personal tax liability when the S-corporation has income and potentially reducing their personal tax liability when the S-corporation has losses. In a situation where the S-corporation has income but does not pay dividends, its shareholders are responsible for meeting their increased personal tax liability using their own resources. When an otherwise adequately capitalized S-corporation banking organization is restricted from making dividends because one or more of its capital ratios breach its buffer requirements, a situation can arise in which the banking organization's dividends to its shareholders would be insufficient to pay their share of taxes on the banking organization's income. 18 18 FDIC, FIL-40-2014 (July 21, 2014). The agencies encourage banking organizations to make prudent decisions regarding capital distributions. 19 The capital interim final rule was intended to strengthen the incentives for a banking organization to use its buffers in a prudent manner in adverse conditions and continue to serve as a financial intermediary and source of credit to the economy. The capital interim final rule does not make changes to any other requirement that may limit capital distributions. 20 For instance, under the prompt corrective action requirements, an insured depository institution that becomes less than adequately capitalized would be subject to dividend restrictions. 21 19 *See* Interagency Statement on the Use of Capital and Liquidity Buffers (March 17, 2020), *available at: https://www.occ.gov/news-issuances/news-releases/2020/nr-ia-2020-34a.pdf.* 20 *See, e.g.,* 12 U.S.C. 56 and 60 (OCC); 12 CFR 5.46, 5.55, and 5.64 (OCC); 12 CFR 208.5 and 12 CFR 225.4(b) (Board); 12 U.S.C. 1828(i) and 12 CFR 303.241 (FDIC). 21 *See* 12 CFR 6.6 (OCC); 12 CFR 208.40 (Board); 12 CFR 324.405 (FDIC). B. TLAC Interim Final Rule The COVID-19 stress period has presented analogous concerns under the TLAC rule to those described above around buffer use and continued financial intermediation. That is, in light of developments in connection with COVID-19, TLAC covered companies rule may experience a sudden and unanticipated decline in TLAC and, prior to the issuance of the TLAC interim final rule, the Board was similarly concerned that the mechanics around buffer requirements set forth in the TLAC rule did not reflect the intended gradual manner in which capital distribution restrictions applied. A modest reduction in TLAC could result in sudden and severe limitations on capital distributions, undermining a TLAC covered company's ability to use its TLAC buffer and creating a strong incentive to limit lending and other financial intermediation activities, thereby deterring the company from continued lending to creditworthy businesses and households during a stress period. In March 2020, the Board issued the TLAC interim final rule so that the definition of eligible retained income under the TLAC rule paralleled the definition of the term under the Board capital rule. Specifically, the TLAC interim final rule revises the definition of eligible retained income under the TLAC rule to mean the greater of

(1)a TLAC covered company's net income for the four preceding calendar quarters, net of any distributions and associated tax effects not already reflected in net income, and

(2)the average of a TLAC covered company's net income over the preceding four quarters. The Board adopted this modified definition with the intent to support TLAC covered companies' lending activity and other financial intermediation activities and avoid compounding impacts on the financial markets. The revised definition applies with respect to all TLAC buffer requirements under the TLAC rule. 22 22 Under the TLAC rule, a U.S. GSIB is subject to the external TLAC risk-weighted buffer, which sits above the minimum risk-based TLAC requirement, and the external TLAC leverage buffer, which sits above the minimum total-leverage exposure-based TLAC requirement. 12 CFR 252.63(c). Similarly, a covered IHC is subject to covered IHC TLAC buffer, which sits above the minimum risk-based TLAC requirement. 12 CFR 252.165(d). C. Public Comments The agencies received five public comment letters on the capital interim final rule, and the Board received two public comments on the TLAC interim final rule. Comments on the Capital Interim Final Rule Some commenters on the capital interim final rule supported the change to the definition of eligible retained income in the capital rule, indicating that flexibility provided by the change will help banking organizations continue to lend through the COVID-19 crisis. One commenter indicated that the capital interim final rule would assist community banking organizations organized as S-corporations to meet tax obligations and still raise capital as needed. Another commenter was supportive of the capital interim final rule's application of a consistent definition of eligible retained income across banking organizations of all sizes and suggested that the new definition will add consistency to the capital rule while balancing the need for banking organizations to lend to borrowers affected by COVID-19 and still maintain general safety and soundness. Other commenters opposed the change to the definition of eligible retained income in the capital interim final rule and advocated that the agencies be more prescriptive in compelling banking organizations to take actions to conserve capital or continue lending, such as prohibiting capital distributions while the COVID-19 crisis continues. 23 One commenter was supportive of the capital interim final rule, but asserted that the revised definition of eligible retained income should only be used by a banking organization if the capital distributions enhance the financial institution's ability to contribute to economic recovery of both the stock market and main street businesses. The commenter suggested that capital distributions should have requirements and restrictions associated with them, such as limits on executive bonuses or payouts and limits on share repurchases, and should not be permitted in certain situations. 23 The Board received a number of comments that were not specifically responsive to the proposals. In particular, commenters suggested that the Board take actions outside of the scope of the Board capital rule. These comments are not within the scope of this rulemaking and therefore are not discussed in this Supplementary Information . The agencies note that the capital buffer requirements do restrict capital distributions. As described above, if a banking organization's capital or leverage ratios fall within its applicable minimum-plus-buffer requirements, the maximum amount of capital distributions it can make is limited as a percentage of its eligible retained income, as defined in the capital rule. Accordingly, the capital buffer requirements compel banking organizations to increasingly constrain distributions as their regulatory capital ratios approach their applicable minimums. For instance, a banking organization in or below the bottom quartile of its buffer requirement may not make any capital distributions without prior approval from its primary Federal regulator. The revised definition of eligible retained income under the final rule facilitates banking organizations' use of their buffers as intended by ensuring that the limits on capital distributions apply gradually. The revised definition reduces the incentive for banking organizations to limit their lending and other financial intermediation activities in order to avoid facing abrupt limitations on capital distributions. Comments on the TLAC Interim Final Rule The comment letters addressing the TLAC interim final rule generally opposed the Board's change to the definition of eligible retained income and advocated for additional restrictions on capital distributions. These comments closely aligned with similar comments received in connection with the capital interim final rule. A commenter to the TLAC interim final rule suggested that TLAC covered companies that utilize U.S. Treasury or Federal Reserve lending facilities should not be able to apply the revised definition of eligible retained income since it would potentially allow for greater distributions while simultaneously taking advantage of government support. Additionally, this commenter suggested that TLAC covered companies should be subject to minimum requirements for lending and limits on executive bonuses and share repurchases in order to ensure capital distributions enhance their ability to contribute to the economic recovery. Another commenter to the TLAC interim final rule indicated that, given the uncertainties surrounding COVID-19 and potential economic effects, TLAC covered companies should be taking actions to conserve capital. This commenter asserted that the TLAC interim final rule may pose risks to safety and soundness because capital distributed will not be available to absorb future losses of unknown severity. Further, the commenter expressed doubt that the TLAC interim final rule would achieve the Board's intent of promoting lending to the economy. The commenter concluded that the best way to promote lending would be for the Board to prohibit capital distributions by TLAC covered companies for the duration of the crisis. In addition, the commenter requested that the Board delay implementation of the revised definition of eligible retained income until after the crisis has passed. The revised definition of eligible retained income under the TLAC interim final rule facilitates TLAC covered companies' use of their buffers as intended by ensuring that the limits on capital distributions apply gradually. The revised definition reduces the incentive for TLAC covered companies to limit their lending and other financial intermediation activities in order to avoid facing abrupt limitations on capital distributions. IV. Summary of the Final Rule For the reasons discussed above, the final rule adopts the definition of eligible retained income unchanged from the capital interim final rule, and the TLAC interim final rule. Accordingly, under the final rule, eligible retained income for purposes of the agencies' capital rule and the Board's TLAC rule is defined as the greater of

(1)a banking organization's or TLAC covered company's net income (as applicable) for the four preceding calendar quarters, net of any distributions and associated tax effects not already reflected in net income, and

(2)the average of a banking organization's or TLAC covered company's net income (as applicable) over the preceding four quarters. V. Impact Assessment In ordinary economic circumstances, many banking organizations will distribute a significant portion of their net income and retain the rest to support growth. As banking organizations enter stress periods, the restrictions in the capital rule and TLAC rule, as applicable, limit distributions and help to preserve capital and support lending. However, if the limits to distributions are too restrictive, banking organizations can face a sharp increase in their distribution limitations when their applicable ratios fall to certain levels. This may create an incentive for banking organizations to reduce lending or take other actions to avoid using their buffers. The revised definition of eligible net income in the final rule allows banking organizations to more gradually reduce distributions as they enter stress and provides banking organizations with stronger incentives to continue to lend in a stressed scenario. On the other hand, by enabling banking organizations to gradually decrease capital distributions in stress (rather than mandating a sharp decrease) the rule could incrementally reduce the banking organization's loss-absorption capacity in stress. The definition of eligible retained income affects the distributions of banking organizations operating within their applicable minimum-plus-buffer requirements. It does not have an impact on minimum capital or TLAC requirements, *per se.* As such, the revised definition of eligible retained income in the final rule is not likely to have any noticeable effect on the minimum capital requirements of banking organizations or the TLAC or LTD requirements applicable to covered companies. However, the final rule could impact actual capital levels given the additional flexibility of meeting buffers during times of stress. VI. Administrative Law Matters A. Congressional Review Act For purposes of Congressional Review Act, the Office of Management and Budget

(OMB)makes a determination as to whether a final rule constitutes a “major” rule. 24 If a rule is deemed a “major rule” by the OMB, the Congressional Review Act generally provides that the rule may not take effect until at least 60 days following its publication. 25 24 5 U.S.C. 801 *et seq.* 25 5 U.S.C. 801(a)(3). The Congressional Review Act defines a “major rule” as any rule that the Administrator of the Office of Information and Regulatory Affairs of the OMB finds has resulted in or is likely to result in

(A)an annual effect on the economy of $100,000,000 or more;

(B)a major increase in costs or prices for consumers, individual industries, Federal, State, or local government agencies or geographic regions, or

(C)significant adverse effects on competition, employment, investment, productivity, innovation, or on the ability of United States-based enterprises to compete with foreign-based enterprises in domestic and export markets. 26 26 5 U.S.C. 804(2). As required by the Congressional Review Act, the agencies will submit the final rule and other appropriate reports to Congress and the Government Accountability Office for review. B. Paperwork Reduction Act The Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3521)

(PRA)states that no agency may conduct or sponsor, nor is the respondent required to respond to, an information collection unless it displays a currently valid OMB control number. In connection with the capital interim final rule, the agencies made revisions to their current information collections for the Consolidated Reports of Condition and Income (Call Reports) (FFIEC 031, FFIEC 041, and FFIEC 051). The OMB control numbers for the agencies are: OCC OMB No. 1557-0081; Board OMB No. 7100-0036; and FDIC OMB No. 3064-0052. OMB has approved these revisions and the agencies are seeking comment in a separate **Federal Register** notice. 27 There is no change, however, to the Call Reports or their related instructions in connection with this final rule. 27 *See* 85 FR 44361 (July 22, 2020). Also, in connection with the capital interim final rule, the Board temporarily revised the Consolidated Financial Statements for Holding Companies (FR Y-9; OMB No. 7100-0128) to reflect the changes made in the capital interim final rule, and invited comment on a proposal to extend that collection of information for three years, with revision. No comments were received regarding this proposal under the PRA. The Board has now extended the FR Y-9 reports for three years, with revision, as proposed, to align the reporting instructions with this final rule. The Board has reviewed the revisions to the FR Y-9C pursuant to authority delegated by the OMB and will submit information collection burden estimates to OMB to finalize the revisions. All of the updates to the FR Y-9C noted in the interim final rule should be minimal and result in zero estimated net change in hourly burden.

(1)*Report title:* Financial Statements for Holding Companies. *Agency form number:* FR Y-9C, FR Y-9LP, FR Y-9SP, FR Y-9ES, and FR Y-9CS. *OMB control number:* 7100-0128. *Effective Date:* Currently effective. *Frequency:* Quarterly, semiannually, and annually. *Respondents:* Bank holding companies, savings and loan holding companies, 28 securities holding companies, and U.S. intermediate holding companies (collectively, HCs). 28 A savings and loans holding company

(SLHC)must file one or more of the FR Y-9 series of reports unless it is:

(1)A unitary SLHC with primarily commercial assets that meets the requirements of section 10(c)(9)(c) of the Home Owners' Loan Act, for which thrifts make up less than 5 percent of its consolidated assets; or

(2)a SLHC that primarily holds insurance-related assets and does not otherwise submit financial reports with the SEC pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934. *Estimated number of respondents:* FR Y-9C (non-advanced approaches

(AA)HCs community bank leverage ratio (CBLR)) with less than $5 billion in total assets—71, FR Y-9C (non AA HCs CBLR) with $5 billion or more in total assets—35, FR Y-9C (non AA HCs non-CBLR) with less than $5 billion in total assets—84, FR Y-9C (non AA HCs non-CBLR) with $5 billion or more in total assets—154, FR Y-9C (AA HCs)—19, FR Y-9LP—434, FR Y-9SP—3,960, FR Y-9ES—83, FR Y-9CS—236. *Estimated average hours per response:* Reporting FR Y-9C (non AA HCs CBLR) with less than $5 billion in total assets—29.17, FR Y-9C (non AA HCs CBLR) with $5 billion or more in total assets—35.14, FR Y-9C (non AA HCs non-CBLR) with less than $5 billion in total assets—41.01, FR Y-9C (non AA HCs non-CBLR) with $5 billion or more in total assets—46.98, FR Y-9C (AA HCs)—48.80, FR Y-9LP—5.27, FR Y-9SP—5.40, FR Y-9ES—0.50, FR Y-9CS—0.50. Recordkeeping FR Y-9C (non-advanced approaches HCs with less than $5 billion in total assets), FR Y-9C (non-advanced approaches HCs with $5 billion or more in total assets), FR Y-9C (advanced approaches HCs), and FR Y-9LP: 1.00 hour; FR Y-9SP, FR Y-9ES, and FR Y-9CS: 0.50 hours. *Estimated annual burden hours:* Reporting FR Y-9C (non AA HCs CBLR) with less than $5 billion in total assets—8,284, FR Y-9C (non AA HCs CBLR) with $5 billion or more in total assets—4,920, FR Y-9C (non AA HCs non-CBLR) with less than $5 billion in total assets—13,779, FR Y-9C (non AA HCs non-CBLR) with $5 billion or more in total assets—28,940, FR Y-9C (AA HCs)—3,709, FR Y-9LP—9,149, FR Y-9SP—42,768, FR Y-9ES—42, FR Y-9CS—472. Recordkeeping FR Y-9C—1,452, FR Y-9LP—1,736, FR Y-9SP—3,960, FR Y-9ES—42, FR Y-9CS—472. C. Regulatory Flexibility Act The Regulatory Flexibility Act

(RFA)requires an agency to consider whether the rules it proposes will have a significant economic impact on a substantial number of small entities. The RFA requires an agency to prepare a final regulatory flexibility analysis when it promulgates a final rule after being required to publish a general notice of proposed rulemaking. As discussed previously, the agencies have decided to adopt, without changes, revisions to the definition of eligible retain income made under the capital interim final rule and the TLAC interim final rule. There was no general notice of proposed rulemaking associated with this final rule. Accordingly, the agencies have concluded that the RFA's requirements relating to initial and final regulatory flexibility analysis do not apply to the promulgation of this final rule. D. Riegle Community Development and Regulatory Improvement Act of 1994 Pursuant to section 302(a) of the Riegle Community Development and Regulatory Improvement Act (RCDRIA), 29 in determining the effective date and administrative compliance requirements for new regulations that impose additional reporting, disclosure, or other requirements on insured depository institutions (IDIs), each Federal banking agency must consider, consistent with the principle of safety and soundness and the public interest, any administrative burdens that such regulations would place on IDIs, including small IDIs, and customers of IDIs, as well as the benefits of such regulations. In addition, section 302(b) of RCDRIA requires new regulations and amendments to regulations that impose additional reporting, disclosures, or other new requirements on IDIs generally to take effect on the first day of a calendar quarter that begins on or after the date on which the regulations are published in final form. 30 The agencies considered the administrative burdens and benefits of the final rule in determining its effective date and administrative compliance requirements. As such, the final rule will be effective on January 1, 2021. 29 12 U.S.C. 4802(a). 30 12 U.S.C. 4802. E. Use of Plain Language Section 722 of the Gramm-Leach-Bliley Act 31 requires the Federal banking agencies to use plain language in all proposed and final rules published after January 1, 2000. The agencies have sought to present the final rule in a simple and straightforward manner and did not receive any comments on the use of plain language. 31 12 U.S.C. 4809. F. OCC Unfunded Mandates Reform Act of 1995 As a general matter, the Unfunded Mandates Act of 1995 (UMRA), 2 U.S.C. 1531 *et seq.,* requires the preparation of a budgetary impact statement before promulgating a rule that includes a Federal mandate that may result in the expenditure by State, local, and tribal governments, in the aggregate, or by the private sector, of $100 million or more in any one year. However, the UMRA does not apply to final rules for which a general notice of proposed rulemaking was not published. See 2 U.S.C. 1532(a). Therefore, because the OCC has not published a general notice of proposed rulemaking in connection with this revision, the OCC has not prepared an economic analysis of the rule under the UMRA. Authority and Issuance For the reasons set forth in the preamble, the interim final rules that were published at 85 FR 15909 on March 20, 2020, and 85 FR 17003 on March 26, 2020, are adopted as final rules by the OCC, Board, and FDIC without change. Brian P. Brooks, Acting Comptroller of the Currency By order of the Board of Governors of the Federal Reserve System. Ann E. Misback, Secretary of the Board Federal Deposit Insurance Corporation. By order of the Board of Directors. Dated at Washington, DC, on or about August 21, 2020. James P. Sheesley, Acting Assistant Executive Secretary. [FR Doc. 2020-19829 Filed 10-7-20; 8:45 am]

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