InfoBytes Blog
Filter
Subscribe to our InfoBytes Blog weekly newsletter and other publications for news affecting the financial services industry.
Arizona Governor exempts essential businesses from shelter-in-place orders
On March 23, the Arizona Governor ordered that local jurisdictions may not prohibit essential functions and must coordinate any orders restricting movement outside the home with the state health department. The order identifies financial institutions as an essential business and operation.
Alaska requires entrants to self-quarantine unless they support critical infrastructure
On March 23, the Alaska Governor ordered all people arriving in Alaska, including residents, workers, and visitors, to self-quarantine for 14 days unless they support critical infrastructure. The “financial services sector” is identified as a critical industry not subject to the quarantine requirement. The order took effect on March 25.
Alabama Securities Commission will conduct exams remotely
On March 23, the Alabama Securities Commission released information about changes to its work practices to respond to Covid-19. Among other things, it noted that audit field examiners are conducting streamlined, remote examinations by phone and email, and its staff will be responsive and receptive to requests for extensions and other regulatory relief.
NYDFS suspends license expiration for individual insurance producers for 60 days
On March 25, the NYDFS suspended the license expiration of all individuals who are licensed insurance producers – brokers, agents, intermediaries and other persons required to be licensed in order to sell, solicit or negotiate insurance in New York – for 60 days. The NYDFS issued the temporary suspension in light of the hardship that individuals may face obtaining the continuing education credits required for license renewals. At the end of this 60-day period, all licenses that would have expired without the extension will automatically expire unless the producer has submitted a license renewal application and completed all necessary continuing education credits.
Federal Reserve Board files reports with Congress on newly established lending facilities
On March 25, the Federal Reserve Board filed three reports to Congress pursuant to Section 13(3) of the Federal Reserve Act on the Primary Dealer Credit Facility, the Commercial Paper Funding Facility, and the Money Market Mutual Fund Liquidity Facility. Each report provides Congress with details on the facilities, including the structure and basic terms of the facilities. The announcement of the lending facilities was previously covered here.
NCUA issues FAQs regarding Covid-19 and credit union operations
On March 25, the National Credit Union Administration (NCUA) issued FAQs regarding the impact of Covid-19 on the NCUA and credit union operations. The FAQs answer questions regarding, among other things, flexibility for federal credit unions in planning annual meetings and monthly board of director meetings, restrictions on access to or closure of facilities, the impact of Covid-19 on the NCUA’s examination and supervision program, and deadlines for submission of certain filings (e.g., Call Reports, annual capital plan and/or stress testing, Bank Secrecy Act reports).
NMLS extends deadline for reports and SAFE MLO test enrollment
On March 25, in response to the Covid-19 pandemic, the NMLS Policy Committee extended the deadline for certain reporting obligations satisfied through NMLS, and the enrollment window for taking the SAFE MLO test.
Companies required to submit financial statements, the Mortgage Call Report, and the Money Services Businesses Call Report will have an additional 60 days from pre-established deadlines to submit such reports. Individuals will have the testing window on their test appointments extended 180 days.
The NMLS Resource Center has been updated with additional resources to provide updates on state agency operating status. In addition, the NMLS Policy Committee is encouraging states to accept documentation electronically that otherwise may have been required in hard copy.
The full announcement can be found on the NMLS Resource Center.
OCC issues bulletin to community banks on filing of Call Reports
On March 25, the OCC issued Bulletin 2020-24, which encourages institutions to file March 31 call reports by the filing deadline, but recognizes that Covid-19-related disruptions may cause filing delays. As such the OCC will not take action against institutions affected by Covid-19 for submitting in good faith the March 31 call report within 30 days of the filing deadline. Further, institutions may amend the filing to correct for unintentional and incidental reporting errors within 30 days of the filing deadline without penalty. Institutions affected by Covid-19 that expect a delay in their March 31 call report submission or anticipate challenges in obtaining director attestations before submission of the call report are encouraged to contact their supervisory office.
New York Fed releases FAQs on the Commercial Paper Funding Facility
On March 25, the Federal Reserve Bank of New York released FAQs to address programmatic inquiries about the newly-created Commercial Paper Funding Facility (CPFF), which will provide a liquidity backstop to U.S. issuers of commercial paper through a special purpose vehicle (SPV). The FAQs address, among other things, how the CPFF will work, when the CPFF will become operational, which issuers will be eligible to sell commercial paper to the SPV, whether issuers are required to register with the CPFF, and what types of commercial paper will be eligible for purchase by the SPV.
FFIEC issues statement regarding Call Report filing delays
On March 25, the FFIEC issued a statement providing that the federal banking agencies will not take action against any institution for submitting March 31, 2020, Reports of Condition and Income (Call Reports) after the respective filing deadline, as long as the report is submitted within 30 days of the official filing date. Institutions are encouraged to contact their primary federal regulator in advance of the official filing date if they anticipate a delayed submission.