Registration of Mortgage Loan Originators, 51046-51048 [2013-20276]

Download as PDF 51046 Federal Register / Vol. 78, No. 161 / Tuesday, August 20, 2013 / Rules and Regulations be viewed at: www.ams.usda.gov/ MarketingOrdersSmallBusinessGuide. Any questions about the compliance guide should be sent to Jeffrey Smutny at the previously mentioned address in the FOR FURTHER INFORMATION CONTACT section. After consideration of all relevant matter presented, including the information and recommendation submitted by the Committee and other available information, it is hereby found that this rule, as hereinafter set forth, will tend to effectuate the declared policy of the Act. It is further found that good cause exists for not postponing the effective date of this rule until 30 days after publication in the Federal Register (5 U.S.C. 553) because the Committee is planning its next industry meeting for August, and having this final rule in place would be helpful to any discussion involving volume control. Further, the industry is aware of this rule, which was recommended at a public meeting. Also, a 30-day comment period was provided for in the proposed rule. 6 years ago or later, the sales history shall be computed by averaging the highest 4 of the 5 years and shall be adjusted as provided in paragraph (d). * * * (c) For growers with acreage with no sales history or for the first harvest of replanted acres, the sales history will be 75 barrels per acre for acres planted or re-planted 1 year ago and first harvested in the current crop year and 156 barrels per acre for acres planted or re-planted 2 years ago and first harvested in the current crop year. (d) In addition to the sales history computed in accordance with paragraphs (a) and (b) of this section, additional sales history shall be assigned to growers with acreage planted in the last 6 years. The additional sales histories depending on the date the acreage is planted are shown in Table 1. TABLE 1—ADDITIONAL SALES HISTORY ASSIGNED TO ACREAGE Additional current crop year sales history per acre Date planted List of Subjects in 7 CFR Part 929 Cranberries, Marketing agreements, Reporting and recordkeeping requirements. For the reasons set forth in the preamble, 7 CFR part 929 is amended as follows: 6 5 4 3 2 1 PART 929—CRANBERRIES GROWN IN THE STATES OF MASSACHUSETTS, RHODE ISLAND, CONNECTICUT, NEW JERSEY, WISCONSIN, MICHIGAN, MINNESOTA, OREGON, WASHINGTON, AND LONG ISLAND IN THE STATE OF NEW YORK * 1. The authority citation for 7 CFR part 929 continues to read as follows: years ago ........................... years ago ........................... years ago ........................... years ago ........................... years ago ........................... year ago ............................ * * * 49 117 157 183 156 75 * Dated: August 14, 2013. Rex A Barnes, Associate Administrator, Agricultural Marketing Service. [FR Doc. 2013–20253 Filed 8–19–13; 8:45 am] BILLING CODE 3410–02–P ■ FARM CREDIT ADMINISTRATION Authority: 7 U.S.C. 601–674. 2. Section 929.149 is amended by revising paragraph (a), the first sentence in paragraph (b), paragraphs (c) and (d), and Table 1 to read as follows: ■ § 929.149 Determination of sales history. sroberts on DSK5SPTVN1PROD with RULES * * * * * (a) For each grower with acreage with 6 or more years of sales history, a new sales history shall be computed using an average of the highest 4 of the most recent 6 years of sales. If the grower has acreage with 5 years of sales history and such acreage was planted more than 6 years ago, a new sales history shall be computed by averaging the highest 4 of the 5 years. (b) For growers whose acreage has 5 years of sales history and was planted VerDate Mar<15>2010 22:41 Aug 19, 2013 Jkt 229001 12 CFR Part 610 RIN 3052–AC78 Registration of Mortgage Loan Originators Farm Credit Administration. Interim rule with request for comments. AGENCY: ACTION: The Farm Credit Administration (FCA, we or us) is repealing its regulations that govern the registration of residential mortgage loan originators employed by Farm Credit System (FCS or System) institutions. We are repealing these regulations because the Bureau of Consumer Financial Protection (CFPB), pursuant to its SUMMARY: PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 authority under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), is consolidating and recodifying the regulations that six Federal agencies jointly enacted to implement the Secure and Fair Enforcement for Mortgage Licensing Act (S.A.F.E. Act), which require residential mortgage loan originators at banks, savings associations, credit unions, FCS institutions, and their subsidiaries to register with the National Mortgage Licensing System and Registry (NMLSR or Registry) and obtain a unique identifier. Repealing these regulations avoids duplication, which is likely to cause confusion at FCS institutions. DATES: This interim rule will become effective 30 days after publication in the Federal Register during which either or both Houses of Congress are in session. We will publish notice of the effective date in the Federal Register. Please send your comments to us by September 19, 2013. ADDRESSES: We offer a variety of methods for you to submit your comments. For accuracy and efficiency, commenters are encouraged to submit comments by email or through the FCA’s Web site. As facsimiles (fax) are difficult for us to process and achieve compliance with section 508 of the Rehabilitation Act, we are no longer accepting comments submitted by fax. Regardless of the method you use, please do not submit your comment multiple times via different methods. You may submit comments by any of the following methods: • Email: Send us an email at regcomm@fca.gov. • FCA Web site: https://www.fca.gov. Select ‘‘Public Comments’’ and follow the directions for ‘‘Submitting a Comment.’’ • Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. • Mail: Gary K. Van Meter, Director, Office of Regulatory Policy, Farm Credit Administration, 1501 Farm Credit Drive, McLean, VA 22102–5090. You may review copies of comments we receive at our office in McLean, Virginia, or from our Web site at https://www.fca.gov. Once you are in the Web site, select ‘‘Public Commenters,’’ then ‘‘Public Comments,’’ and follow the directions for ‘‘Reading Submitted Public Comments.’’ We will show your comments as submitted, but for technical reasons we may omit items such as logos and special characters. Identifying information that you provide, such as phone numbers and addresses, will be publicly available. However, we will attempt to remove E:\FR\FM\20AUR1.SGM 20AUR1 Federal Register / Vol. 78, No. 161 / Tuesday, August 20, 2013 / Rules and Regulations email addresses to help reduce Internet spam. FOR FURTHER INFORMATION CONTACT: Gaylon J. Dykstra, Assistant to the Director, Office of Regulatory Policy, Farm Credit Administration, 1501 Farm Credit Drive, McLean, VA 22102–5090, (703) 883–4498, TTY (703) 883–4056; or Richard A. Katz, Senior Counsel, Office of General Counsel, Farm Credit Administration, McLean, VA 22102– 5090, (703) 883–4020, TTY (703) 883– 4056. SUPPLEMENTARY INFORMATION: I. Background On July 30, 2008, Congress enacted the S.A.F.E. Act,1 which mandated a nationwide system for licensing and/or registering all residential mortgage loan originators in the United States. The S.A.F.E. Act requires all residential mortgage loan originators at depository institutions, FCS institutions, and their federally regulated subsidiaries to: (1) Register with the NMLSR; (2) obtain a unique identifier; and (3) maintain their registration.2 Originally, section 1507 of the S.A.F.E. Act required the Comptroller of the Currency, the Board of Governors of the Federal Reserve System, the Federal Deposit Insurance Corporation, the former Office of Thrift Supervision, and the National Credit Union Administration (collectively the Federal banking agencies) and the FCA to jointly develop and maintain a system for registering residential mortgage loan originators at the institutions they supervise and regulate. The six agencies decided to implement section 1507 of the S.A.F.E. Act through a joint rulemaking. The six agencies jointly published a proposed rule on June 9, 2009.3 A joint final rule was issued on July 28, 2010,4 and it became effective on October 1, 2010. However, actual registration with the NMLSR did not begin until the Registry became operational on January 31, 2011. The six agencies announced that the initial sroberts on DSK5SPTVN1PROD with RULES 1 The S.A.F.E. Act is title V of the Housing and Economic Recovery Act of 2008. Public Law 100– 289, Division A, Title V, sections 1501–1517, 122 Stat. 264, 2810–2824 (July 30, 2008), codified at 12 U.S.C. 5101–5116. 2 Separately, other provisions of the S.A.F.E. Act require every State to enact laws for licensing individuals who originate residential mortgages for State-regulated lenders. Residential mortgage loan originators who are licensed by one or more States must also register with the NMLSR, obtain a unique identifier, and maintain their licenses and registrations. 3 74 FR 27386 (June 9, 2009). 4 75 FR 44656 (July 28, 2009). The entire preamble to the final rule was reprinted at 75 FR 51623 (Aug. 23, 2010) because the footnotes in the preamble that was published on July 28, 2009 were not correctly numbered. VerDate Mar<15>2010 22:41 Aug 19, 2013 Jkt 229001 registration period for Federal registrations required by the S.A.F.E. Act and the final regulations would run from January 31, 2011, through July 29, 2011.5 Title X of the Dodd-Frank Act created the CFPB as the Federal agency that is primarily responsible for various Federal consumer financial protection laws.6 Since July 21, 2011, the CFPB has authority to prescribe rules or issue orders or guidelines pursuant to Federal consumer financial laws.7 The S.A.F.E. Act is an enumerated consumer financial law under the Dodd-Frank Act 8 and, therefore, the CFPB now has primary regulatory authority over it. Additionally, section 1100 of the DoddFrank Act amended section 1507 of the S.A.F.E. Act to transfer authority to develop and maintain the Registry from the FCA and the Federal banking agencies to the CFPB. As stated earlier, the FCA and the Federal banking agencies jointly enacted regulations to implement section 1507 of the S.A.F.E. Act. Pursuant to its authorities under title X of the Dodd-Frank Act, the CFPB has consolidated and recodified the S.A.F.E. Act regulations of the FCA and the Federal banking agencies.9 The CFPB recently published an interim rule in the Federal Register.10 Instead of substantively amending the current regulations, the CFPB has made only certain technical, formatting, and stylistic changes.11 5 The agencies issued a joint press release on January 31, 2011, and they subsequently published the announcement in the Federal Register on 76 FR 6185 (Feb. 3, 2011). 6 Public Law 111–203, title X, 124 Stat. 1376, 1955–2113, (July 21, 2010). 7 Section 1061 of the Dodd-Frank Act transferred the ‘‘consumer financial protection functions’’ of the Federal banking agencies, the Department of Housing and Urban Development (HUD), and the Federal Trade Commission to the CFPB. The ‘‘consumer financial protection functions’’ that transferred to the CFPB under section 1061(a)(1) of the Dodd-Frank Act include ‘‘all authority to prescribe rules or issues orders or guidelines pursuant to any Federal consumer financial law. . . .’’ 8 See section 1002(12)(N) of the Dodd-Frank Act, which classifies the S.A.F.E. Act as one of the ‘‘enumerated consumer laws,’’ and section 1002(14), which includes these ‘‘enumerated consumer laws’’ within the definition of a ‘‘Federal consumer financial law.’’ 9 The CFPB also has recodified the regulations that HUD promulgated under the S.A.F.E. Act to coordinate State compliance with the S.A.F.E. Act, and establish and maintain a licensing and registration system for residential mortgage loan originators in a State or territory that does not have one in place that meets the requirements of the S.A.F.E. Act. 10 See 76 FR 78483 (December 19, 2011). The interim rule became effective on December 30, 2011, and the comment period expired on February 17, 2012. 11 See 76 FR 78484 (December 19, 2011). PO 00000 Frm 00007 Fmt 4700 Sfmt 4700 51047 The CFPB consulted with the FCA and the Federal banking agencies when it drafted the interim rule. The CFPB has addressed all of the FCA’s concerns, and it has gone to great lengths to ensure that the consolidated and recodified rule does not inadvertently conflict with provisions of the Farm Credit Act of 1971, as amended, and FCA regulations and other guidance that govern the lending authorities and corporate structure of FCS institutions. Additionally, the CFPB’s interim rule does not impose any new substantive obligations on System institutions or their employees who are subject to the registration requirements of the S.A.F.E. Act.12 As stated in the preamble to its interim rule, the CFPB considers employees of FCS associations who previously registered with the NMLSR and obtained unique identifiers in accordance the FCA’s S.A.F.E. Act regulations to remain registered under its new regulations.13 Under these circumstances, the CFPB’s consolidation and recodification of S.A.F.E. Act regulations causes no concerns to the FCA. Three provisions in title X of the Dodd-Frank Act pertain to the FCA’s rulemaking authority over the S.A.F.E Act,14 while section 1022 of the Dodd-Frank Act grants the CFPB primary rulemaking authority over consumer financial laws. The FCA is repealing its S.A.F.E. Act regulations at 12 CFR part 610 in order to avoid confusion and unnecessary duplication. The CFPB’s regulation at 12 CFR part 1007 will now govern the registration of residential mortgage loan originators at FCS institutions. To assist FCS institutions in locating part 1007, rescinded part 610 will retain its original heading and include a cross cite to the CFPB’s rules governing the Federal registration of residential mortgage loan originators (Regulation G). The FCA will continue to examine and enforce compliance by FCS 12 Id. 13 Id. 14 Section 1027(k) of the Dodd-Frank Act states ‘‘No provision of this title [X] shall be construed as altering, amending, or affecting the authority of the Farm Credit Administration to adopt rules, initiate enforcement proceedings, or take any other action with respect to a [Farm Credit System institution].’’ (Emphasis added). Second, section 1100 of the Dodd-Frank Act retained the FCA’s authority under section 1510 of the S.A.F.E. Act to ‘‘charge reasonable fees to cover the costs of maintaining and providing access to information from the Nationwide Mortgage Licensing System and Registry, to the extent that such fees are not charged to consumers for access to such system and registry.’’ If the FCA were to assess such fees, it would do so only after a notice and comment rulemaking. Finally, the FCA, in contrast to the Federal banking agencies, is not a ‘‘transferor agency’’ under section 1061 of the Dodd-Frank Act. E:\FR\FM\20AUR1.SGM 20AUR1 51048 Federal Register / Vol. 78, No. 161 / Tuesday, August 20, 2013 / Rules and Regulations institutions and their employees with the requirements of the S.A.F.E. Act and its implementing regulations pursuant to its authorities under the Farm Credit Act of 1971 and sections 1024(f) and 1027(k) of the Dodd-Frank Act. sroberts on DSK5SPTVN1PROD with RULES II. Administrative Procedure Act The Administrative Procedure Act (APA) 15 generally requires Federal agencies to give public notice that it is proposing to adopt, amend, or repeal a regulation, and then afford all interested parties an opportunity to comment before promulgating a final rule. However, a provision of the APA 16 authorizes waiver of notice and comment rulemaking when an agency, for good cause, finds that notice and comment are impracticable, unnecessary, or contrary to the public interest. The FCA finds good cause for waiving notice and comment in this situation. Section 1100 of the Dodd-Frank Act amended section 1507 of the S.A.F.E. Act by granting the CFPB authority to develop and maintain the Registry that the FCA and the Federal banking agencies previously exercised. Since the FCA and Federal banking agencies implemented the S.A.F.E. Act by jointly enacting regulations, the CFPB assumed responsibility for these regulations, by operation of law, on July 21, 2011. The CFPB is now exercising its new authority under title X of the DoddFrank Act by consolidating and recodifying the S.A.F.E. Act regulations of the FCA and the Federal banking agencies without substantive change. Under the circumstances, repeal of the FCA’s regulations in part 610 conforms with title X of the Dodd-Frank Act. For these reasons, the FCA finds that notice and comment rulemaking procedures for the repeal of the FCA’s regulations in part 610 are impractical, unnecessary, and contrary to the public interest because the CFPB, not the FCA, now has primary rulemaking authority over S.A.F.E. Act, which the CFPB is now exercising. Although notice and comment rulemaking is not required in this situation, we invite your comments. We will respond to any comments we receive when we publish the final rule. III. Regulatory Flexibility Act Pursuant to section 605(b) of the Regulatory Flexibility Act (5 U.S.C. 601 et seq.), the FCA certifies that the interim rule will not have a significant economic impact on a substantial number of small entities. Each of the 15 5 16 5 U.S.C. 551 et seq. U.S.C. 553(b). VerDate Mar<15>2010 22:41 Aug 19, 2013 Jkt 229001 banks in the System, considered together with its affiliated associations, has assets and annual income in excess of the amounts that would qualify them as small entities. Therefore, System institutions are not ‘‘small entities’’ as defined in the Regulatory Flexibility Act. List of Subjects in 12 CFR Part 610 Banks, banking, Consumer protection, Loan programs—housing and community development, Mortgages, Reporting and recordkeeping requirements, Rural areas. ■ For the reasons stated in the preamble, part 610 of chapter VI, title 12 of the Code of Federal Regulations is revised to read as follows: PART 610—REGISTRATION OF MORTGAGE LOAN ORIGINATORS Authority: Secs. 1.5, 1.7, 1.9, 1.10, 1.11, 1.13, 2.2, 2.4, 2.12, 5.9, 5.17, 7.2, 7.6, 7.8 of the Farm Credit Act (12 U.S.C. 2013, 2015, 2017, 2018, 2019, 2021, 2073, 2075, 2093, 2243, 2252, 2279a–2, 2279b, 2279c–10); and secs. 1501 et seq. of Pub. L. 110–289, 122 Stat. 2654. § 610.101 Cross reference. The rules formerly at 12 CFR part 610 have been recodified by the Consumer Financial Protection Bureau at 12 CFR part 1007, ‘‘S.A.F.E. Mortgage Licensing Act—Federal Registration of Residential Mortgage Loan Originators (Regulation G)’’. Dated: August 14, 2013. Dale L. Aultman, Secretary, Farm Credit Administration Board. [FR Doc. 2013–20276 Filed 8–19–13; 8:45 am] BILLING CODE 6705–01–P DEPARTMENT OF TRANSPORTATION Federal Aviation Administration 14 CFR Part 39 [Docket No. FAA–2013–0353; Directorate Identifier 2008–SW–029–AD; Amendment 39–17545; AD 2013–16–07] RIN 2120–AA64 Airworthiness Directives; Eurocopter France Helicopters Federal Aviation Administration (FAA), DOT. ACTION: Final rule. AGENCY: PO 00000 Frm 00008 Fmt 4700 Sfmt 4700 This AD is effective September 24, 2013. The Director of the Federal Register approved the incorporation by reference of certain documents listed in this AD as of September 24, 2013. DATES: For service information identified in this AD, contact American Eurocopter Corporation, 2701 N Forum Drive, Grand Prairie, TX 75052; telephone (972) 641–0000 or (800) 232– 0323; fax (972) 641–3775; or at https:// www.eurocopter.com/techpub. You may review the referenced service information at the FAA, Office of the Regional Counsel, Southwest Region, 2601 Meacham Blvd., Room 663, Fort Worth, Texas 76137. ADDRESSES: Examining the AD Docket You may examine the AD docket on the Internet at https:// www.regulations.gov or in person at the Docket Operations Office between 9 a.m. and 5 p.m., Monday through Friday, except Federal holidays. The AD docket contains this AD, any incorporated-by-reference service information, the foreign authority’s AD, the economic evaluation, any comments received, and other information. The street address for the Docket Operations Office (phone: 800–647–5527) is U.S. Department of Transportation, Docket Operations Office, M–30, West Building Ground Floor, Room W12–140, 1200 New Jersey Avenue SE., Washington, DC 20590. Gary Roach, Aviation Safety Engineer, Regulations and Policy Group, Rotorcraft Directorate, FAA, 2601 Meacham Blvd., Fort Worth, TX 76137; telephone (817) 222–5110; email gary.b.roach@faa.gov. FOR FURTHER INFORMATION CONTACT: We are adopting a new airworthiness directive (AD) for certain Eurocopter France (Eurocopter) Model AS332C, AS332L, AS332L1, AS332L2, and EC225LP helicopters to require inspecting for the presence of blind SUMMARY: holes in the tail gearbox (TGB) attachment fittings, and, if they are missing, installing an additional washer under the head of the attachment bolt until the attachment fitting is replaced with an airworthy attachment fitting. This AD was prompted by the discovery of interference between the TGB aft attachment bolt and the structure fitting, caused by a manufacturing anomaly that omitted the blind hole required for proper fit of the attachment bolt. This condition, if not detected and corrected, could result in insufficient tightening of the TGB casing, damage to the TGB attachment, cracking under the attachment bolt, and loss of the TGB, resulting in loss of control of the helicopter. SUPPLEMENTARY INFORMATION: E:\FR\FM\20AUR1.SGM 20AUR1

Agencies

[Federal Register Volume 78, Number 161 (Tuesday, August 20, 2013)]
[Rules and Regulations]
[Pages 51046-51048]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-20276]


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FARM CREDIT ADMINISTRATION

12 CFR Part 610

RIN 3052-AC78


Registration of Mortgage Loan Originators

AGENCY: Farm Credit Administration.

ACTION: Interim rule with request for comments.

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SUMMARY: The Farm Credit Administration (FCA, we or us) is repealing 
its regulations that govern the registration of residential mortgage 
loan originators employed by Farm Credit System (FCS or System) 
institutions. We are repealing these regulations because the Bureau of 
Consumer Financial Protection (CFPB), pursuant to its authority under 
the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-
Frank Act), is consolidating and recodifying the regulations that six 
Federal agencies jointly enacted to implement the Secure and Fair 
Enforcement for Mortgage Licensing Act (S.A.F.E. Act), which require 
residential mortgage loan originators at banks, savings associations, 
credit unions, FCS institutions, and their subsidiaries to register 
with the National Mortgage Licensing System and Registry (NMLSR or 
Registry) and obtain a unique identifier. Repealing these regulations 
avoids duplication, which is likely to cause confusion at FCS 
institutions.

DATES: This interim rule will become effective 30 days after 
publication in the Federal Register during which either or both Houses 
of Congress are in session. We will publish notice of the effective 
date in the Federal Register. Please send your comments to us by 
September 19, 2013.

ADDRESSES: We offer a variety of methods for you to submit your 
comments. For accuracy and efficiency, commenters are encouraged to 
submit comments by email or through the FCA's Web site. As facsimiles 
(fax) are difficult for us to process and achieve compliance with 
section 508 of the Rehabilitation Act, we are no longer accepting 
comments submitted by fax. Regardless of the method you use, please do 
not submit your comment multiple times via different methods. You may 
submit comments by any of the following methods:
     Email: Send us an email at reg-comm@fca.gov.
     FCA Web site: https://www.fca.gov. Select ``Public 
Comments'' and follow the directions for ``Submitting a Comment.''
     Federal eRulemaking Portal: https://www.regulations.gov. 
Follow the instructions for submitting comments.
     Mail: Gary K. Van Meter, Director, Office of Regulatory 
Policy, Farm Credit Administration, 1501 Farm Credit Drive, McLean, VA 
22102-5090.
    You may review copies of comments we receive at our office in 
McLean, Virginia, or from our Web site at https://www.fca.gov. Once you 
are in the Web site, select ``Public Commenters,'' then ``Public 
Comments,'' and follow the directions for ``Reading Submitted Public 
Comments.'' We will show your comments as submitted, but for technical 
reasons we may omit items such as logos and special characters. 
Identifying information that you provide, such as phone numbers and 
addresses, will be publicly available. However, we will attempt to 
remove

[[Page 51047]]

email addresses to help reduce Internet spam.

FOR FURTHER INFORMATION CONTACT: 
Gaylon J. Dykstra, Assistant to the Director, Office of Regulatory 
Policy, Farm Credit Administration, 1501 Farm Credit Drive, McLean, VA 
22102-5090, (703) 883-4498, TTY (703) 883-4056; or
Richard A. Katz, Senior Counsel, Office of General Counsel, Farm Credit 
Administration, McLean, VA 22102-5090, (703) 883-4020, TTY (703) 883-
4056.

SUPPLEMENTARY INFORMATION:

I. Background

    On July 30, 2008, Congress enacted the S.A.F.E. Act,\1\ which 
mandated a nationwide system for licensing and/or registering all 
residential mortgage loan originators in the United States. The 
S.A.F.E. Act requires all residential mortgage loan originators at 
depository institutions, FCS institutions, and their federally 
regulated subsidiaries to: (1) Register with the NMLSR; (2) obtain a 
unique identifier; and (3) maintain their registration.\2\ Originally, 
section 1507 of the S.A.F.E. Act required the Comptroller of the 
Currency, the Board of Governors of the Federal Reserve System, the 
Federal Deposit Insurance Corporation, the former Office of Thrift 
Supervision, and the National Credit Union Administration (collectively 
the Federal banking agencies) and the FCA to jointly develop and 
maintain a system for registering residential mortgage loan originators 
at the institutions they supervise and regulate. The six agencies 
decided to implement section 1507 of the S.A.F.E. Act through a joint 
rulemaking. The six agencies jointly published a proposed rule on June 
9, 2009.\3\ A joint final rule was issued on July 28, 2010,\4\ and it 
became effective on October 1, 2010. However, actual registration with 
the NMLSR did not begin until the Registry became operational on 
January 31, 2011. The six agencies announced that the initial 
registration period for Federal registrations required by the S.A.F.E. 
Act and the final regulations would run from January 31, 2011, through 
July 29, 2011.\5\
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    \1\ The S.A.F.E. Act is title V of the Housing and Economic 
Recovery Act of 2008. Public Law 100-289, Division A, Title V, 
sections 1501-1517, 122 Stat. 264, 2810-2824 (July 30, 2008), 
codified at 12 U.S.C. 5101-5116.
    \2\ Separately, other provisions of the S.A.F.E. Act require 
every State to enact laws for licensing individuals who originate 
residential mortgages for State-regulated lenders. Residential 
mortgage loan originators who are licensed by one or more States 
must also register with the NMLSR, obtain a unique identifier, and 
maintain their licenses and registrations.
    \3\ 74 FR 27386 (June 9, 2009).
    \4\ 75 FR 44656 (July 28, 2009). The entire preamble to the 
final rule was reprinted at 75 FR 51623 (Aug. 23, 2010) because the 
footnotes in the preamble that was published on July 28, 2009 were 
not correctly numbered.
    \5\ The agencies issued a joint press release on January 31, 
2011, and they subsequently published the announcement in the 
Federal Register on 76 FR 6185 (Feb. 3, 2011).
---------------------------------------------------------------------------

    Title X of the Dodd-Frank Act created the CFPB as the Federal 
agency that is primarily responsible for various Federal consumer 
financial protection laws.\6\ Since July 21, 2011, the CFPB has 
authority to prescribe rules or issue orders or guidelines pursuant to 
Federal consumer financial laws.\7\ The S.A.F.E. Act is an enumerated 
consumer financial law under the Dodd-Frank Act \8\ and, therefore, the 
CFPB now has primary regulatory authority over it. Additionally, 
section 1100 of the Dodd-Frank Act amended section 1507 of the S.A.F.E. 
Act to transfer authority to develop and maintain the Registry from the 
FCA and the Federal banking agencies to the CFPB. As stated earlier, 
the FCA and the Federal banking agencies jointly enacted regulations to 
implement section 1507 of the S.A.F.E. Act.
---------------------------------------------------------------------------

    \6\ Public Law 111-203, title X, 124 Stat. 1376, 1955-2113, 
(July 21, 2010).
    \7\ Section 1061 of the Dodd-Frank Act transferred the 
``consumer financial protection functions'' of the Federal banking 
agencies, the Department of Housing and Urban Development (HUD), and 
the Federal Trade Commission to the CFPB. The ``consumer financial 
protection functions'' that transferred to the CFPB under section 
1061(a)(1) of the Dodd-Frank Act include ``all authority to 
prescribe rules or issues orders or guidelines pursuant to any 
Federal consumer financial law. . . .''
    \8\ See section 1002(12)(N) of the Dodd-Frank Act, which 
classifies the S.A.F.E. Act as one of the ``enumerated consumer 
laws,'' and section 1002(14), which includes these ``enumerated 
consumer laws'' within the definition of a ``Federal consumer 
financial law.''
---------------------------------------------------------------------------

    Pursuant to its authorities under title X of the Dodd-Frank Act, 
the CFPB has consolidated and recodified the S.A.F.E. Act regulations 
of the FCA and the Federal banking agencies.\9\ The CFPB recently 
published an interim rule in the Federal Register.\10\ Instead of 
substantively amending the current regulations, the CFPB has made only 
certain technical, formatting, and stylistic changes.\11\
---------------------------------------------------------------------------

    \9\ The CFPB also has recodified the regulations that HUD 
promulgated under the S.A.F.E. Act to coordinate State compliance 
with the S.A.F.E. Act, and establish and maintain a licensing and 
registration system for residential mortgage loan originators in a 
State or territory that does not have one in place that meets the 
requirements of the S.A.F.E. Act.
    \10\ See 76 FR 78483 (December 19, 2011). The interim rule 
became effective on December 30, 2011, and the comment period 
expired on February 17, 2012.
    \11\ See 76 FR 78484 (December 19, 2011).
---------------------------------------------------------------------------

    The CFPB consulted with the FCA and the Federal banking agencies 
when it drafted the interim rule. The CFPB has addressed all of the 
FCA's concerns, and it has gone to great lengths to ensure that the 
consolidated and recodified rule does not inadvertently conflict with 
provisions of the Farm Credit Act of 1971, as amended, and FCA 
regulations and other guidance that govern the lending authorities and 
corporate structure of FCS institutions. Additionally, the CFPB's 
interim rule does not impose any new substantive obligations on System 
institutions or their employees who are subject to the registration 
requirements of the S.A.F.E. Act.\12\ As stated in the preamble to its 
interim rule, the CFPB considers employees of FCS associations who 
previously registered with the NMLSR and obtained unique identifiers in 
accordance the FCA's S.A.F.E. Act regulations to remain registered 
under its new regulations.\13\
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    \12\ Id.
    \13\ Id.
---------------------------------------------------------------------------

    Under these circumstances, the CFPB's consolidation and 
recodification of S.A.F.E. Act regulations causes no concerns to the 
FCA. Three provisions in title X of the Dodd-Frank Act pertain to the 
FCA's rulemaking authority over the S.A.F.E Act,\14\ while section 1022 
of the Dodd-Frank Act grants the CFPB primary rulemaking authority over 
consumer financial laws.
---------------------------------------------------------------------------

    \14\ Section 1027(k) of the Dodd-Frank Act states ``No provision 
of this title [X] shall be construed as altering, amending, or 
affecting the authority of the Farm Credit Administration to adopt 
rules, initiate enforcement proceedings, or take any other action 
with respect to a [Farm Credit System institution].'' (Emphasis 
added). Second, section 1100 of the Dodd-Frank Act retained the 
FCA's authority under section 1510 of the S.A.F.E. Act to ``charge 
reasonable fees to cover the costs of maintaining and providing 
access to information from the Nationwide Mortgage Licensing System 
and Registry, to the extent that such fees are not charged to 
consumers for access to such system and registry.'' If the FCA were 
to assess such fees, it would do so only after a notice and comment 
rulemaking. Finally, the FCA, in contrast to the Federal banking 
agencies, is not a ``transferor agency'' under section 1061 of the 
Dodd-Frank Act.
---------------------------------------------------------------------------

    The FCA is repealing its S.A.F.E. Act regulations at 12 CFR part 
610 in order to avoid confusion and unnecessary duplication. The CFPB's 
regulation at 12 CFR part 1007 will now govern the registration of 
residential mortgage loan originators at FCS institutions. To assist 
FCS institutions in locating part 1007, rescinded part 610 will retain 
its original heading and include a cross cite to the CFPB's rules 
governing the Federal registration of residential mortgage loan 
originators (Regulation G).
    The FCA will continue to examine and enforce compliance by FCS

[[Page 51048]]

institutions and their employees with the requirements of the S.A.F.E. 
Act and its implementing regulations pursuant to its authorities under 
the Farm Credit Act of 1971 and sections 1024(f) and 1027(k) of the 
Dodd-Frank Act.

II. Administrative Procedure Act

    The Administrative Procedure Act (APA) \15\ generally requires 
Federal agencies to give public notice that it is proposing to adopt, 
amend, or repeal a regulation, and then afford all interested parties 
an opportunity to comment before promulgating a final rule. However, a 
provision of the APA \16\ authorizes waiver of notice and comment 
rulemaking when an agency, for good cause, finds that notice and 
comment are impracticable, unnecessary, or contrary to the public 
interest.
---------------------------------------------------------------------------

    \15\ 5 U.S.C. 551 et seq.
    \16\ 5 U.S.C. 553(b).
---------------------------------------------------------------------------

    The FCA finds good cause for waiving notice and comment in this 
situation. Section 1100 of the Dodd-Frank Act amended section 1507 of 
the S.A.F.E. Act by granting the CFPB authority to develop and maintain 
the Registry that the FCA and the Federal banking agencies previously 
exercised. Since the FCA and Federal banking agencies implemented the 
S.A.F.E. Act by jointly enacting regulations, the CFPB assumed 
responsibility for these regulations, by operation of law, on July 21, 
2011. The CFPB is now exercising its new authority under title X of the 
Dodd-Frank Act by consolidating and recodifying the S.A.F.E. Act 
regulations of the FCA and the Federal banking agencies without 
substantive change. Under the circumstances, repeal of the FCA's 
regulations in part 610 conforms with title X of the Dodd-Frank Act. 
For these reasons, the FCA finds that notice and comment rulemaking 
procedures for the repeal of the FCA's regulations in part 610 are 
impractical, unnecessary, and contrary to the public interest because 
the CFPB, not the FCA, now has primary rulemaking authority over 
S.A.F.E. Act, which the CFPB is now exercising.
    Although notice and comment rulemaking is not required in this 
situation, we invite your comments. We will respond to any comments we 
receive when we publish the final rule.

III. Regulatory Flexibility Act

    Pursuant to section 605(b) of the Regulatory Flexibility Act (5 
U.S.C. 601 et seq.), the FCA certifies that the interim rule will not 
have a significant economic impact on a substantial number of small 
entities. Each of the banks in the System, considered together with its 
affiliated associations, has assets and annual income in excess of the 
amounts that would qualify them as small entities. Therefore, System 
institutions are not ``small entities'' as defined in the Regulatory 
Flexibility Act.

List of Subjects in 12 CFR Part 610

    Banks, banking, Consumer protection, Loan programs--housing and 
community development, Mortgages, Reporting and recordkeeping 
requirements, Rural areas.

0
For the reasons stated in the preamble, part 610 of chapter VI, title 
12 of the Code of Federal Regulations is revised to read as follows:

PART 610--REGISTRATION OF MORTGAGE LOAN ORIGINATORS

    Authority: Secs. 1.5, 1.7, 1.9, 1.10, 1.11, 1.13, 2.2, 2.4, 
2.12, 5.9, 5.17, 7.2, 7.6, 7.8 of the Farm Credit Act (12 U.S.C. 
2013, 2015, 2017, 2018, 2019, 2021, 2073, 2075, 2093, 2243, 2252, 
2279a-2, 2279b, 2279c-10); and secs. 1501 et seq. of Pub. L. 110-
289, 122 Stat. 2654.


Sec.  610.101  Cross reference.

    The rules formerly at 12 CFR part 610 have been recodified by the 
Consumer Financial Protection Bureau at 12 CFR part 1007, ``S.A.F.E. 
Mortgage Licensing Act--Federal Registration of Residential Mortgage 
Loan Originators (Regulation G)''.

    Dated: August 14, 2013.
Dale L. Aultman,
Secretary, Farm Credit Administration Board.
[FR Doc. 2013-20276 Filed 8-19-13; 8:45 am]
BILLING CODE 6705-01-P
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