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FDIC issues regulatory relief for areas in Tennessee affected by severe storms
On April 28, the FDIC issued FIL-51-2020 to provide regulatory relief to financial institutions and help facilitate recovery in areas of Tennessee affected by a recent series of severe weather. In the letter, the FDIC encourages institutions to consider, among other things, (i) extending repayment terms; (ii) restructuring existing loans; or (iii) easing terms for new loans to borrowers affected by the severe weather, provided the measures are “done in a manner consistent with sound banking practices, can contribute to the health of the local community and serve the long-term interests of the lending institution.” Additionally, the FDIC notes that institutions may receive Community Reinvestment Act consideration for community development loans, investments, and services in support of disaster recovery. The FDIC states it will also consider relief from certain filing and publishing requirements.
Find continuing InfoBytes coverage on disaster relief guidance here.
NCUA issues additional guidance on working with borrowers impacted by Covid-19
On April 30, the National Credit Union Administration issued guidance describing strategies for working with negatively impacted borrowers while taking measures to limit the negative financial impact of those strategies on the credit union and its ability to serve all members. The guidance describes strategies for providing new funds to borrowers, temporary loan modifications, and permanent loan modifications. It also states that credit unions should maintain policies to manage the risks of workout strategies, including clearly defined eligibility criteria, aggregate program limits, and controls to ensure workout actions are structured appropriately.
Michigan Department of Insurance and Financial Services extends insurance guidance
On April 30, the Michigan Department of Insurance and Financial Services (DIFS) issued a bulletin extending Bulletin 2020-12-INS for the period of time that Executive Order 2020-59, and any subsequent executive order that reaffirms or clarifies the measures in Executive Order 2020-59, remains effective. Bulletin 2020-12-INS provides that all claims must continue to be processed and paid in a timely manner. Additionally, insurers are expected to make all required filings with the DIFS. Entities and persons regulated by the DIFS also must comply with all applicable statutory and regulatory deadlines and requirements, unless such are expressly waived or modified by the DIFS, including applicable filing deadlines. Companies that experience difficulties meeting deadlines or requirements are urged to contact the DIFS immediately.
Michigan Department of Insurance and Financial Services extends guidance regarding essential businesses and operations
On April 30, the Michigan Department of insurance and Financial Services issued a bulletin extending Bulletin 2020-11-BT/CF/CU, which was previously covered here, and clarifies which financial services are considered essential businesses and operations. The bulletin is extended for the period of time that Executive Order 2020-59, and any subsequent executive order that reaffirms or clarifies the measures in Executive Order 2020-59, remains effective.
Massachusetts issues FAQs regarding recently passed law imposing moratoriums on foreclosures and evictions
Massachusetts issued responses to frequently asked questions regarding An Act Providing for a Moratorium on Evictions and Foreclosures During the Covid-19 Emergency, which was signed into law and effective on April 20, 2020. The FAQs provide guidance to borrowers on the foreclosure moratorium and forbearance period under the act and includes a section addressing reverse mortgages. The FAQs also provide guidance to lenders and servicers with respect to implementation of the act.
District of Columbia Department of Insurance, Securities and Banking issues FAQs
The District of Columbia Department of Insurance, Securities and Banking issued responses to frequently asked questions regarding the effect of Covid-19 on the administration of securities laws and regulations of the District of Columbia. The FAQs respond to questions regarding filings, the processing of licensing or registration applications, and remote work for securities professionals, among others.
Kansas issues executive order extending certain orders relating to the Covid-19 pandemic
On April 30, the Kansas governor issued an executive order delaying the sunset date of several existing executive orders relating to Covid-19 to May 31, 2020, or until the statewide state of disaster emergency relating to Covid-19 expires, whichever is earlier, with some exceptions. Among others, the executive order delays the sunset date for the order halting certain foreclosures and evictions (previously covered here) as well as the order temporarily allowing notaries and witnesses to act via audio-visual technology (previously covered here).
Georgia extends “sheltering in place” requirements
On April 30, the Georgia governor issued an executive order renewing the public health state of emergency, which was set to expire on May 13, for 30 days. The executive order extends the state’s “sheltering in place” requirements until June 12, 2020.
Delaware modifies state of emergency declaration
On April 30, the Delaware governor issued a fourteenth modification of the state’s emergency declaration, providing additional protections for Delaware renters with respect to payments under rental agreements.
Georgia governor issues renewal of state of emergency
On April 30, Georgia Governor Brian Kemp issued an executive order renewing the public health state of emergency. The extension renews Kemp’s previous emergency order set to expire on May 13. The extension is valid for an additional 30 days and will expire on June 13.