Page 10 - July 2017

OMB for review. Comments are due 09/05/2017. subsequent rulemaking. Comments are due
The notice may be viewed at: 09/01/2017. The notice may be viewed at:
https://www.gpo.gov/fdsys/pkg/FR-2017-07- https://www.gpo.gov/fdsys/pkg/FR-2017-07-
07/pdf/2017-14257.pdf. Federal Register, Vol. 03/pdf/2017-13560.pdf. Federal Register, Vol. 82,
82, No. 129, 07/07/2017, 31686-31688. No. 126, 07/03/2017, 30776-30798.

OFAC Makes Changes to Lists. SBA Issues Quarterly Peg Rate.
The Office of Foreign Assets Control (OFAC) has
amended its lists of Specially Designated Global The Small Business Administration (SBA) publishes
Terrorists, Specially Designated Nationals and an interest rate called the optional peg rate on a
Blocked Persons, and Specially Designated Narcotics quarterly basis. The rate is a weighted average cost of
Trafficker Kingpins. The documents listing these money to the government for maturities similar to the
changes may be viewed at: average SBA direct loan. The rate may be used as a
www.treas.gov/offices/enforcement/ofac/actions. base rate for guaranteed fluctuating interest rate SBA
loans. The rate will be 2.625 percent for the July-
Treasury Issues Notice of Funds September quarter of FY 2017. Pursuant to 13 CFR
120.921(b), the maximum legal interest rate for any
Availability. third party lender’s commercial loan which funds any
portion of the cost of a 504 project shall be 6 percent
The Department of the Treasury (Treasury) has over the New York Prime rate or, if that exceeds the
issued a notice announcing the availability of funds maximum interest rate permitted by the constitution
for the 2017 fiscal year funding round of the Capital or laws of a given state, the maximum interest rate
Magnet Fund. The notice contains a table of critical will be the rate permitted by the constitution or laws
deadlines for applicants. The notice may be viewed of the given state. The notice may be viewed at:
at: https://www.gpo.gov/fdsys/pkg/FR-2017-06- https://www.gpo.gov/fdsys/pkg/FR-2017-07-
30/pdf/2017-13722.pdf. Federal Register, Vol. 82, 05/pdf/2017-14040.pdf. Federal Register, Vol. 82,
No. 125, 06/30/2017, 29984-29995. No. 127, 07/05/2017, 31132.

FHFA Proposes to Adopt Certain FHFB NCUA Finalizes Rule on Civil Monetary
Capital Requirements for FHLBs. Penalty Inflation Adjustment.

The Federal Housing Finance Agency (FHFA) has The National Credit Union Administration (NCUA)
issued a proposed rule to adopt, with amendments, has issued a rule finalizing the interim final rule
the regulations of the Federal Housing Finance Board published on 01/23/2017, amending regulations to
(FHFB) pertaining to the capital requirements for the adjust the maximum amount of each civil monetary
Federal Home Loan Banks (FHLBs). The proposed penalty within its jurisdiction to account for inflation.
rule would carry over most of the existing regulations This action, including the amount of the adjustments,
without material change, but would substantively is required under the Federal Civil Penalties Inflation
revise the credit risk component of the risk-based Adjustment Act of 1990, as amended by the Debt
capital requirement, as well as the limitations on Collection Improvement Act of 1996 and the Federal
extensions of unsecured credit. The principal Civil Penalties Inflation Adjustment Act
revisions to those provisions would remove Improvements Act of 2015. The rule is effective
requirements that FHLBs calculate credit risk capital 06/30/2017. The notice may be viewed at:
charges and unsecured credit limits based on ratings https://www.gpo.gov/fdsys/pkg/FR-2017-06-
issued by a Nationally Recognized Statistical Rating 30/pdf/2017-13643.pdf. Federal Register, Vol. 82,
Organization, and would instead require that FHLBs Vol. 125, 06/30/2017, 29710-29711.
use their own internal rating methodology. The
proposed rule also would revise the percentages used NCUA Finalizes Amendments to Safe
in the tables to calculate the credit risk capital
charges for advances and non-mortgage assets. FHFA Harbor.
would retain the percentages used in the existing
table to calculate the capital charges for mortgage- NCUA has issued a final rule to amend its regulations
related assets, but intends to address the appropriate regarding the treatment by NCUA, as liquidating
methodology for determining the credit risk capital agent or conservator of a federally insured credit
charges for residential mortgage assets as part of a union, of financial assets transferred by the credit
union in connection with a securitization or a

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