Unknown. Interim final rule with request for comment

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--- schema: federal-register doc_type: fedreg source_file: FR-2021-02-17.xml --- 86 30 Wednesday, February 17, 2021 Contents Editorial Note: The printed version of the **Federal Register** Table of Contents for February 10, 2021, included two entries, “Designation as a Foreign Terrorist Organization; Revocation: Ansarallah (and Other Aliases),” and “Designation as a Global Terrorist; Revocation: Ansarallah, Abdul Malik al-Houthi, Abd al-Khaliq Badr al-Din al-Houthi, and Abdullah Yahya al Hakim (and their Respective Aliases),” under the State Department.

These documents did not publish in the February 10, 2021, issue of the **Federal Register.** Agriculture Agriculture Department See Foreign Agricultural Service Consumer Financial Protection Bureau of Consumer Financial Protection RULES Higher-Priced Mortgage Loan Escrow Exemption (Regulation Z), 9840-9857 2021-01572 Census Bureau Census Bureau NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Manufacturers' Unfilled Orders Survey, 9907-9908 2021-03177 Centers Disease Centers for Disease Control and Prevention NOTICES Temporary Exception From Expulsion of Unaccompanied Noncitizen Children Pending Forthcoming Public Health Determination, 9942 2021-03227 Civil Rights Civil Rights Commission NOTICES Meetings:

Arizona Advisory Committee, 9907 2021-03112 Missouri Advisory Committee, 9906-9907 2021-03111 Commerce Commerce Department See Census Bureau See Foreign-Trade Zones Board See International Trade Administration See National Oceanic and Atmospheric Administration Comptroller Comptroller of the Currency NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Debt Cancellation Contracts and Debt Suspension Agreements, 9994-9996 2021-03125 Consumer Product Consumer Product Safety Commission NOTICES Provisional Acceptance of a Settlement Agreement and Order:

Cybex International, Inc., 9911-9914 2021-03121 Education Department Education Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: National Assessment of Educational Progress 2021 School Survey, 9914-9915 2021-03162 National Study To Inform the 21st Century Community Learning Centers Program, 9915-9916 2021-03163 Energy Department Energy Department See Federal Energy Regulatory Commission NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 9916-9920 2021-03154 Environmental Protection Environmental Protection Agency RULES Air Quality State Implementation Plans; Approvals and Promulgations: Approval of Source-Specific Air Quality Implementation Plans; New Jersey, 9857-9859 2021-03055 Final Approval of State Underground Storage Tank Program Revisions: Indiana, 9879-9883 2021-03168 Ocean Dumping: Modification of an Ocean Dredged Material Disposal Site Offshore of Humboldt Bay, California, 9873-9879 2021-02731 Pesticide Tolerances:

Clopyralid, 9859-9862 2021-03172 Emamectin Benzoate, 9866-9868 2021-03174 Fluxametamide, 9862-9866 2021-03179 Orthosulfamuron, 9869-9872 2021-03181 PROPOSED RULES Air Quality State Implementation Plans; Approvals and Promulgations: Idaho: Logan Utah-Idaho Fine Particulate Matter Redesignation to Attainment and Maintenance Plan, 9884-9893 2021-03031 Final Approval of State Underground Storage Tank Program Revisions: Indiana, 9893-9894 2021-03169 NOTICES Access by Contractors to Information Claimed as Confidential Business Information, 9926-9928 2021-03170 Receipt of Requests To Voluntarily Cancel Certain Pesticide Registrations, 9928-9932 2021-03175 Requests To Voluntarily Cancel Certain Pesticide Registrations, 9932-9934 2021-03176 Federal Aviation Federal Aviation Administration NOTICES Meetings:

Commercial Space Transportation Advisory Committee, 9990-9991 2021-03082 Federal Communications Federal Communications Commission PROPOSED RULES Call Authentication Trust Anchor, 9894-9901 2021-03043 Federal Deposit Federal Deposit Insurance Corporation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 9934-9938 2021-03110 2021-03171 Federal Energy Federal Energy Regulatory Commission NOTICES Application: Green Mountain Power Corp.; City of Somersworth, NH, 9924-9925 2021-03159 LA Storage, LLC, 9921-9923 2021-03157 Walden Hydro, LLC, 9923-9924 2021-03156 Combined Filings, 9920-9921, 9925-9926 2021-03145 2021-03146 Effectiveness of Exempt Wholesale Generator Status:

Beowawe Power, LLC; Cameron Ridge, LLC; Cameron Ridge II, LLC; et al., 9926 2021-03148 Federal Financial Federal Financial Institutions Examination Council NOTICES Standardized Instructions and Format To Be Used for Interim and Final Progress Reporting, 9938 2021-03126 Federal Railroad Federal Railroad Administration NOTICES Application: Approval of Discontinuance or Modification of a Railroad Signal System, 9991-9993 2021-03076 2021-03077 2021-03078 Petition for Waiver of Compliance, 9993-9994 2021-03075 2021-03080 Federal Reserve Federal Reserve System RULES Loans to Executive Officers, Directors, and Principal Shareholders of Member Banks, 9837-9840 2021-02966 NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 9938-9941 2021-03091 2021-03092 2021-03093 Federal Retirement Federal Retirement Thrift Investment Board NOTICES Meetings: Board Meeting, 9941-9942 2021-03102 Food and Drug Food and Drug Administration NOTICES Meetings: Cellular, Tissue and Gene Therapies Advisory Committee, 9943-9944 2021-03173 Withdrawal of Drug Products From Sale for Reasons Other than Safety or Effectiveness: NYMALIZE (nimodipine), Oral Solution, 3 Milligrams/Milliliter, 9944-9945 2021-03083 Foreign Agricultural Foreign Agricultural Service NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 9905-9906 2021-03164 2021-03165 Foreign Trade Foreign-Trade Zones Board NOTICES Application for Subzone: Celgene Corp., Foreign-Trade Zone 49, Newark, NJ, 9908-9909 2021-03144 Authorization of Production Activity: Tricida Inc.; Foreign-Trade Zone 176; Rockford, IL, 9909 2021-03143 Health and Human Health and Human Services Department See Centers for Disease Control and Prevention See Food and Drug Administration See National Institutes of Health Homeland Homeland Security Department NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Cybersecurity and Infrastructure Security Agency Visitor Request Form, 9949-9950 2021-03104 SAFECOM Nationwide Surveys Generic Clearance, 9948-9949 2021-03105 Institute of Museum and Library Services Institute of Museum and Library Services NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Generic Clearance To Conduct Pre-Testing of Surveys, 9956 2021-03134 Meetings: National Museum and Library Services Board, 9956-9957 2021-03141 Interior Interior Department See National Park Service Internal Revenue Internal Revenue Service NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 9996-10004 2021-03128 2021-03129 2021-03130 2021-03131 2021-03132 2021-03133 2021-03135 2021-03136 2021-03137 2021-03138 2021-03142 Agency Information Collection Activities; Proposals, Submissions, and Approvals: Salary Reduction Simplified Employee Pension-Individual Retirement Accounts Contribution Agreement, 10002 2021-03140 International Trade Adm International Trade Administration NOTICES Determination in the Less-Than-Fair-Value Investigation:

Certain Aluminum Foil From the Republic of Armenia, Brazil, the Sultanate of Oman, the Russian Federation, and the Republic of Turkey, 9909 2021-03152 International Trade Com International Trade Commission NOTICES Investigations; Determinations, Modifications, and Rulings, etc.: Certain Lithium Ion Batteries, Battery Cells, Battery Modules, Battery Packs, Components Thereof, and Processes Therefor, 9952-9953 2021-03109 Wood Mouldings and Millwork Products From China, 9951-9952 2021-03100 Labor Department Labor Department NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Federal Employees' Compensation Act Medical Reports and Compensation Claims, 9953 2021-03117 Gain Handling Facilities Standard, 9955 2021-03116 Rehabilitation Action Report, 9954-9955 2021-03118 Workforce Innovation and Opportunity Act Common Performance Reporting, 9953-9954 2021-03115 National Credit National Credit Union Administration NOTICES Meetings; Sunshine Act, 9955-9956 2021-03211 National Foundation National Foundation on the Arts and the Humanities See Institute of Museum and Library Services National Institute National Institutes of Health NOTICES Meetings:

Center for Scientific Review, 9945-9946 2021-03098 National Institute of Mental Health, 9946 2021-03113 National Institute on Alcohol Abuse and Alcoholism, 9946-9947 2021-03114 National Toxicology Program: Draft Technical Reports on Sodium Tungstate Dihydrate, Di-n-butyl phthalate, and Di(2-ethylhexyl) Phthalate, 9947-9948 2021-03096 National Oceanic National Oceanic and Atmospheric Administration PROPOSED RULES Fisheries of the Northeastern United States: Atlantic Surfclam and Ocean Quahog Fisheries;

Proposed 2021-2026 Fishing Quotas, 9901-9904 2021-02984 NOTICES Determination of Overfishing or an Overfished Condition, 9910 2021-03147 Meetings: Western Pacific Fishery Management Council, 9910-9911 2021-03193 National Park National Park Service NOTICES National Register of Historic Places: Pending Nominations and Related Actions, 9950-9951 2021-03123 National Science National Science Foundation NOTICES Meetings: Business and Operations Advisory Committee, 9957 2021-03119 Peace Peace Corps NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals, 9957 2021-03074 2021-03079 Personnel Personnel Management Office NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application To Participate as a Carrier, 9957-9958 2021-03166 Postal Regulatory Postal Regulatory Commission NOTICES Public Inquiry, 9958-9963 2021-03103 Securities Securities and Exchange Commission NOTICES Application: Blue Tractor ETF Trust and Blue Tractor Group, LLC, 9976-9978 2021-03086 Self-Regulatory Organizations;

Proposed Rule Changes: MEMX, LLC, 9963-9968 2021-03087 New York Stock Exchange, LLC, 9978-9985 2021-03088 The Depository Trust Co., 9968-9972 2021-03090 The Nasdaq Stock Market, LLC, 9972-9976 2021-03089 State Department State Department NOTICES Notifications to the Congress of Proposed Commercial Export Licenses, 9985-9990 2021-03122 Transportation Department Transportation Department See Federal Aviation Administration See Federal Railroad Administration Treasury Treasury Department See Comptroller of the Currency See Internal Revenue Service Veteran Affairs Veterans Affairs Department NOTICES Agency Information Collection Activities;

Proposals, Submissions, and Approvals: Application in Acquiring Specially Adapted Housing or Special Home Adaptation Grant, 10006 2021-03099 Certification of School Attendance--Restored Entitlement Program for Survivors, 10005 2021-03084 Lender's Staff Appraisal Reviewer Application, 10005-10006 2021-03095 Report of Income From Property of Business, 10004-10005 2021-03085 Restored Entitlement Program for Survivors Annual Eligibility Report, 10004 2021-03094 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. 86 30 Wednesday, February 17, 2021 Rules and Regulations FEDERAL RESERVE SYSTEM 12 CFR Part 215 [Regulation O; Docket No. R-1740] RIN 7100-AG 10 Loans to Executive Officers, Directors, and Principal Shareholders of Member Banks AGENCY:

Board of Governors of the Federal Reserve System (Board). ACTION: Interim final rule with request for comment. SUMMARY: On April 17 and July 15, 2020, the Board issued two interim final rules to except certain loans made through June 30 and August 8, 2020, respectively, that are guaranteed under the Small Business Administration's Paycheck Protection Program from the requirements of section 22(h) of the Federal Reserve Act and the Board's Regulation O. The Board is issuing this interim final rule to further extend this relief to PPP loans, including PPP second draw loans, made through March 31, 2021.

DATES: This interim final rule is effective February 17, 2021. Comments on the interim final rule must be received no later than April 5, 2021. ADDRESSES: You may submit comments, identified by Docket No. R-1740 and RIN 7100 AG 10, by any of the following methods: • *Agency Website: http://www.federalreserve.gov.* Follow the instructions for submitting comments at *https://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm.* • *Email: regs.comments@federalreserve.gov.* Include docket and RIN numbers in the subject line of the message. • *Fax:*

(202)452-3819 or

(202)452-3102. • *Mail:* Ann E. Misback, Secretary, Board of Governors of the Federal Reserve System, 20th Street and Constitution Avenue NW, Washington, DC 20551. All public comments will be made available on the Board's website at *http://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm* as submitted, unless modified for technical reasons or to remove personally identifiable information at the commenter's request. Accordingly, comments will not be edited to remove any identifying or contact information. Public comments also may be viewed electronically or in paper form in Room 146, 1709 New York Avenue NW, Washington, DC 20006, between 9:00 a.m. and 5:00 p.m. on weekdays. FOR FURTHER INFORMATION CONTACT: Benjamin McDonough, Associate General Counsel,

(202)452-2036, Alison Thro, Deputy Associate General Counsel,

(202)452-3236, Dan Hickman, Senior Counsel,

(202)973-7432, Josh Strazanac, Senior Attorney,

(202)452-2457, Jasmin Keskinen, Attorney,

(202)475-6650, Legal Division; or Anna Lee Hewko, Associate Director,

(202)530-6360, Juan Climent, Assistant Director,

(202)872-7526,

(202)452-5239, Kathryn Ballintine, Manager,

(202)452-2555, Rebecca Zak, Lead Financial Institution Policy Analyst,

(202)912-7995, Eusebius Luk, Senior Financial Policy Analyst I,

(202)452-2874, Division of Supervision and Regulation; 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. SUPPLEMENTARY INFORMATION: Table of Contents I. Background II. The Interim Final Rule III. Administrative Law Matters A. Administrative Procedure Act B. Paperwork Reduction Act C. Regulatory Flexibility Act D. Riegle Community Development and Regulatory Improvement Act of 1994 E. Use of Plain Language I. Background On March 27, 2020, the President signed into law the Coronavirus Aid, Relief, and Economic Security (CARES) Act which, among other things, created the Paycheck Protection Program

(PPP)to facilitate lending to small businesses affected by the outbreak of COVID-19 and imposition of associated containment measures (COVID event). Although the CARES Act specified that the PPP would end on June 30, 2020, it was later extended to August 8, 2020. 1 On December 27, 2020, the President signed into law the Consolidated Appropriations Act, 2021 (Appropriations Act), which further extended the PPP to March 31, 2021. 2 The Appropriations Act also created “PPP second draw loans,” which are substantially similar to the PPP loans that have been made to date. 3 1 Prioritized Paycheck Protection Program Act, S. 4116, 116th Cong. section 1 (2020). 2 Consolidated Appropriations Act, 2021, H.R. 133, 116th Cong. section 323 (2020). 3 Consolidated Appropriations Act, 2021, H.R. 133, 116th Cong. section 311. Regulation O sets forth quantitative and qualitative requirements for loans made by a bank 4 to its directors, executive officers, and principal shareholders, as well as to any companies owned by such persons (collectively, insiders). 5 Regulation O also sets forth procedural and recordkeeping requirements for loans by banks to their insiders. These requirements normally would apply to PPP loans made by banks to the small businesses owned by their insiders. In some cases, the restrictions in Regulation O could delay or entirely prohibit a bank from making a PPP loan to such a business. This could be particularly challenging in small communities where bank insiders often own small businesses and there are few alternative lenders. 4 Sections 22(g) and 22(h), and Regulation O, apply to all banks that are members of the Federal Reserve System. Other federal law subjects federally insured state non-member banks and insured savings associations to sections 22(g) and 22(h) in the same manner and to the same extent as if they were member banks. 12 U.S.C. 1828(j) (non-member banks); 12 U.S.C. 1468(b) (savings associations); 12 CFR 337.3 (state non-member banks and state savings associations); 12 CFR 31.2 (national banks and federal savings associations). Accordingly, any reference to “bank” in this notice applies to all member banks and institutions subject to sections 22(g) and 22(h) in the same manner and to the same extent as member banks. 5 *See generally* 12 CFR part 215. On April 17, 2020, the Board issued an exception to section 22(h) of the Federal Reserve Act 6 and the corresponding provisions of Regulation O for PPP loans made to insiders that would not be prohibited from receiving a PPP loan under the Small Business Administration

(SBA)lending restrictions (original IFR). 7 The exception was intended to facilitate lending by banks to a broad range of small businesses within their communities, consistent with applicable law and safe and sound banking practices. The exception applied only to PPP loans made by June 30, 2020, the original date on which the PPP was set to expire. The Board extended the exception after Congress extended the PPP. 8 6 12 U.S.C. 375b. 7 “Loans to Executive Officers, Directors, and Principal Shareholders of Member Banks,” 85 FR 22345 (Apr. 22, 2020)). 8 “Loans to Executive Officers, Directors, and Principal Shareholders of Member Banks,” 85 FR 43119 (July 16, 2020)). The Board received a dozen comments in response to the IFRs it issued in April and July from one trade association, several small businesses, and several individuals. Most of the comments expressed support for the Board's relief, indicating that it would bolster the effectiveness of the PPP in providing support to small businesses. Several raised issues related to the terms and administration of the PPP. One commenter asserted that no bank executives should receive loans from their banks in excess of $15,000 because executives could take advantage of their banks to the detriment of depositors. In response to comments about the terms and administration of the PPP, the Board notes that the SBA is the agency responsible for setting forth the requirements and administering the program. Any comments concerning those matters are properly addressed to the SBA. Regarding one commenter's suggestion that no executive should be able to borrow more than $15,000 from its banks because executives could exert undue influence and cause harm to a bank, the Board notes that PPP loans have standardized terms and are fully guaranteed as to principal and interest by the U.S. government. Accordingly, a bank may not amend the terms of a PPP loan to be unduly favorable to an executive and the bank is unlikely to suffer a loss because of the loan guarantee. The Board also notes that the relief only extends to insiders who would not be prohibited from receiving a PPP loan by the SBA's lending restrictions, which currently prohibit an “officer” from receiving a PPP loan from his or her bank. 9 9 13 CFR 120.110 (prohibiting an “Associate” of a lender from receiving a loan made by the lender pursuant to section 7(a) of the Small Business Act); 13 CFR 120.10 (defining “Associate of a Lender” to include “an officer”). The Board is issuing this interim final rule to extend the exception to PPP loans made through March 31, 2021, and to PPP second draw loans. II. The Interim Final Rule Section 22(h) authorizes the Board to adopt, by regulation, exceptions to the definition of “extension of credit” in section 22(h) for transactions that “pose minimal risk.” 10 Therefore, the Board may except PPP loans and PPP second draw loans from the restrictions in section 22(h) and the corresponding provisions of Regulation O upon a determination that such loans pose minimal risk. 10 12 U.S.C. 375b(9)(D)(ii). The Board determined in the original IFR that PPP loans pose minimal risk. 11 Among other things, this determination relieved member banks from ensuring that PPP loans made to certain insiders complied with the qualitative, quantitative, and procedural requirements set forth in section 22(h) and Regulation O. The Appropriations Act did not change any of the features of PPP loans on which the Board relied in the original IFR to determine that PPP loans pose minimal risk. Moreover, under the Appropriations Act, PPP second draw loans have the same features as PPP loans, except that fewer borrowers are eligible for PPP second draw loans as for PPP loans. 12 Accordingly, for the same reasons cited in the original IFR, the Board has determined that PPP loans and PPP second draw loans appear to pose minimal risk to bank safety and soundness. 13 11 85 FR 22346. 12 For example, only borrowers who already have received a PPP loan may obtain a PPP second draw loan. PPP Second draw loans also are only available to employers with 300 or fewer employees. Consolidated Appropriations Act, 2021, H.R. 133, 116th Cong. section 311. 13 85 FR 22345, 22346 (Apr. 22, 2020); 85 FR 43119, 43119-20 (July 16, 2020). SBA lending restrictions continue to apply to certain PPP loans and PPP second draw loans that also would be subject to section 22(h) and the corresponding provisions of Regulation O. 14 Excepting loans that would be prohibited by the SBA lending restrictions from the requirements of section 22(h) and the corresponding provisions in Regulation O would not achieve any meaningful regulatory purpose. Excepting these loans from one regime and not the other also may create confusion because some lenders may mistakenly interpret an exception under one regime to extend to both regimes. Accordingly, the exception continues to apply only for insiders that would not be prohibited from receiving a PPP loan or PPP second draw loan by the SBA lending restrictions. 14 Business Loan Program Temporary Changes; Paycheck Protection Program as Amended by the Economic Aid Act, 86 FR 3712 (Jan. 6, 2021). This interim final rule does not except a PPP loan or PPP second draw loan from other restrictions that may apply to the loan, including section 22(g) of the Federal Reserve Act or section 215.5 of Regulation O. 15 This determination also does not affect application of SBA lending restrictions to a PPP loan or PPP second draw loan. The SBA has stated that “[f]avoritism by [a PPP] [l]ender in processing time or prioritization of [a] director's or equity holder's PPP application is prohibited.” 16 The Board will administer the interim final rule accordingly. 15 12 U.S.C. 375a; 12 CFR 215.5. 16 *Id.* at 14-15. *Question 1: Are there any additional terms or conditions that should apply to the exception? Why?* *Question 2: Based on the experience with the PPP program, what, if any, terms or conditions for PPP second draw loans would make it unreasonable for such loans to be exempted from the requirements of section 22(h)?* III. Administrative Law Matters A. Administrative Procedure Act The Board is issuing the interim final rule without prior notice and the opportunity for public comment and the delayed effective date ordinarily prescribed by the Administrative Procedure Act (APA). 17 Pursuant to section 553(b)(B) of the APA, general notice and the opportunity for public comment are not required with respect to a rulemaking when an “agency for good cause finds (and incorporates the finding and a brief statement of reasons therefor in the rules issued) that notice and public procedure thereon are impracticable, unnecessary, or contrary to the public interest.” 18 17 5 U.S.C. 553. 18 5 U.S.C. 553(b)(B). The Board believes that the public interest is best served by implementing the interim final rule immediately in light of the short timeframe for execution of the renewed PPP mandated by the Appropriations Act. Accordingly, the Board finds that there is good cause consistent with the public interest to issue the rule without advance notice and comment. 19 19 5 U.S.C. 553(b)(B); 553(d)(3). The APA also requires a 30-day delayed effective date, except for

(1)substantive rules which grant or recognize an exemption or relieve a restriction;

(2)interpretative rules and statements of policy; or

(3)as otherwise provided by the agency for good cause. 20 Because the rules relieve a restriction by providing an exception to the definition of “extension of credit” in section 22(h) and Regulation O, the interim final rule is exempt from the APA's delayed effective date requirement. 21 20 5 U.S.C. 553(d). 21 5 U.S.C. 553(d)(1). While the Board believes that there is good cause to issue the rule without advance notice and comment and with an immediate effective date, the Board is interested in the views of the public and requests comment on all aspects of the interim final rule. B. Paperwork Reduction Act The Paperwork Reduction Act (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. On June 15, 1984, OMB delegated to the Board authority under the PRA to approve and assign OMB control numbers to collections of information conducted or sponsored by the Board, as well as the authority to temporarily approve a new collection of information without providing opportunity for public comment if the Board determines that a change in an existing collection must be instituted quickly and that public participation in the approval process would defeat the purpose of the collection or substantially interfere with the Board's ability to perform its statutory obligation. This interim final rule does not contain any collections of information subject to the PRA. C. Regulatory Flexibility Act The Regulatory Flexibility Act

(RFA)22 requires an agency to consider whether the rules it proposes will have a significant economic impact on a substantial number of small entities. 23 The RFA applies only to rules for which an agency publishes a general notice of proposed rulemaking pursuant to 5 U.S.C. 553(b). As discussed previously, consistent with section 553(b)(B) of the APA, the Board has determined for good cause that general notice and opportunity for public comment are unnecessary, and therefore the Board is not issuing a notice of proposed rulemaking. Accordingly, the Board has concluded that the RFA's requirements relating to initial and final regulatory flexibility analysis do not apply. 22 5 U.S.C. 601 *et seq.* 23 Under regulations issued by the SBA, a small entity includes a depository institution, bank holding company, or savings and loan holding company with total assets of $600 million or less and trust companies with total assets of $41.5 million or less. *See* 13 CFR 121.201. Nevertheless, the Board seeks comment on whether, and the extent to which, the interim final rule would affect a significant number of small entities. 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), 24 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), the federal banking agencies must consider, consistent with the principle of safety and soundness and the public interest, any administrative burdens that such regulations would place on depository institutions, including small depository institutions, and customers of depository institutions, 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, with certain exceptions, including for good cause. 25 The Board believes that the public interest is best served by implementing the interim final rule immediately. As discussed in the original IFR, the COVID event has disrupted economic activity in the United States and other countries. The magnitude and persistence of the COVID event on the economy remain uncertain. In light of the substantial disruptions in the economy, and the likelihood that this interim final rule would help ameliorate those disruptions by promoting lending to small businesses, the Board finds good cause exists under section 302 of RCDRIA to publish this interim final rule with an immediate effective date. 24 12 U.S.C. 4802(a). 25 12 U.S.C. 4802. As such, the interim final rule will be effective immediately on publication. Nevertheless, the Board seeks comment on RCDRIA. E. Use of Plain Language Section 722 of the Gramm-Leach-Bliley Act 26 requires the federal banking agencies to use plain language in all proposed and final rules published after January 1, 2000. The Board has sought to present the interim final rule in a simple and straightforward manner. The Board invites comments on whether there are additional steps it could take to make the rule easier to understand. For example: 26 12 U.S.C. 4809. • *Have we organized the material to suit your needs? If not, how could this material be better organized?* • *Are the requirements in the regulation clearly stated? If not, how could the regulation be more clearly stated?* • *Does the regulation contain language or jargon that is not clear? If so, which language requires clarification?* • *Would a different format (grouping and order of sections, use of headings, paragraphing) make the regulation easier to understand? If so, what changes to the format would make the regulation easier to understand?* • *What else could we do to make the regulation easier to understand?* List of Subjects in 12 CFR Part 215 Credit, Penalties, Reporting and Recordkeeping requirements. Authority and Issuance For the reasons stated in the preamble, the Board of Governors of the Federal Reserve System amends 12 CFR chapter II as follows: PART 215—LOANS TO EXECUTIVE OFFICERS, DIRECTORS, AND PRINCIPAL SHAREHOLDERS OF MEMBER BANKS (REGULATION O) 1. The authority citation for part 215 is revised to read as follows: Authority: 12 U.S.C. 248(a), 375a(10), 375b(9) and (10), 1468, 1817(k), 5412; and Pub. L. 102-242, 105 Stat. 2236

(1991)(12 U.S.C. 1811 note). 2. In § 215.3, revise paragraphs (b)(8)(i) through

(iii)to read as follows: § 215.3 Extension of credit.

(b)* * *

(8)* * *

(i)Made pursuant to the “Paycheck Protection Program” in which the participation by the Small Business Administration on a deferred basis is 100 percent pursuant to section 1102 of Public Law 116-136 or section 311 of Public Law 116-260;

(ii)That is made during the period beginning on February 15, 2020, and ending on March 31, 2021; and

(iii)That would not be prohibited by 13 CFR 120.110(o) or rules or interpretations thereof issued by the Small Business Administration. By order of the Board of Governors of the Federal Reserve System, February 9, 2021. Ann Misback, Secretary of the Board. [FR Doc. 2021-02966 Filed 2-16-21; 8:45 am]

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