Appraisals for Higher-Priced Mortgage Loans Exemption Threshold, 73943-73945 [2015-30097]
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73943
Rules and Regulations
Federal Register
Vol. 80, No. 228
Friday, November 27, 2015
This section of the FEDERAL REGISTER
contains regulatory documents having general
applicability and legal effect, most of which
are keyed to and codified in the Code of
Federal Regulations, which is published under
50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by
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new books are listed in the first FEDERAL
REGISTER issue of each week.
NATIONAL SCIENCE FOUNDATION
2 CFR Part 2500
RIN 3145–AA57
Uniform Administrative Requirements,
Cost Principles, and Audit
Requirements for Federal Awards
National Science Foundation.
ACTION: Final rule.
AGENCY:
NSF has adopted as final its
interim final rule outlining uniform
administrative requirements, cost
principles, and audit requirements for
Federal awards, pursuant to the
approval NSF received from OMB to
implement requirements via use of a
policy, rather than a regulation. In order
to establish a single location for each of
the Departments’ and Agencies’
implementation of the Uniform
Guidance, NSF has provided a link to its
policy implementation of OMB’s
Uniform Guidance for inclusion in this
issuance.
DATES: This rule is effective on
November 27, 2015.
ADDRESSES: The Foundation’s
implementation document, the NSF
Proposal and Award Policies and
Procedures Guide, may be found at:
https://www.nsf.gov/pubs/policydocs/
pappguide/nsf16001/?org=NSF.
FOR FURTHER INFORMATION CONTACT: Erin
Dawson, Assistant General Counsel,
Office of the General Counsel, National
Science Foundation, 4201 Wilson
Boulevard, Room 1265, Arlington, VA
22230; (703) 292–8060, edawson@
nsf.gov (please include RIN 3145–AA57
in the subject line of the message).
SUPPLEMENTARY INFORMATION: On
December 19, 2014, the Office of
Management and Budget (OMB)
published an Interim Final Rule that
implemented for all Federal awardmaking agencies, including NSF, OMB’s
final guidance on Uniform
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SUMMARY:
VerDate Sep<11>2014
16:09 Nov 25, 2015
Jkt 238001
Administrative Requirements, Cost
Principles, and Audit Requirements for
Federal Awards, 79 FR 75871. OMB
published the uniform rules as 2 CFR
part 200. As part of that rulemaking,
NSF adopted part 200 through an
agency-specific addendum at 2 CFR part
2500. The Foundation’s implementation
document, the NSF Proposal and Award
Policies and Procedures Guide, may be
found at: https://www.nsf.gov/pubs/
policydocs/pappguide/nsf16001/
?org=NSF.
NSF received no comments in
response to its adoption of the Interim
Final Rule. Therefore, 2 CFR part 2500
as described in the Interim Final Rule,
is adopted with no changes.
DEPARTMENT OF THE TREASURY
Regulatory Findings
12 CFR Part 1026
For the regulatory findings regarding
this rulemaking, please refer to the
analysis prepared by OMB in the
Interim Final Rule, which is
incorporated herein. 79 FR at 75876.
Accordingly, the Interim Final Rule
adding 2 CFR part 2500, which was
published at 79 FR 75871 on December
19, 2014, is adopted as a Final Rule
without change.
RIN 3170–AA11
Dated: November 20, 2015.
Lawrence Rudolph,
General Counsel, National Science
Foundation.
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12 CFR Part 34
[Docket No. OCC–2015–0021]
RIN 1557–AD99
FEDERAL RESERVE SYSTEM
12 CFR Part 226
[Docket No. R–1443]
RIN 7100–AD 90
BUREAU OF CONSUMER FINANCIAL
PROTECTION
Appraisals for Higher-Priced Mortgage
Loans Exemption Threshold
Board of Governors of the
Federal Reserve System (Board); Bureau
of Consumer Financial Protection
(Bureau); and Office of the Comptroller
of the Currency, Treasury (OCC).
ACTION: Final rule; official
interpretations; technical amendment.
AGENCY:
The OCC, the Board and the
Bureau are publishing final rules
amending the official interpretations for
their regulations that implement section
129H of the Truth in Lending Act
(TILA). Section 129H of TILA
establishes special appraisal
requirements for ‘‘higher-risk
mortgages,’’ termed ‘‘higher-priced
mortgage loans’’ or ‘‘HPMLs’’ in the
agencies’ regulations. The OCC, the
Board, the Bureau, the Federal Deposit
Insurance Corporation (FDIC), the
National Credit Union Administration
(NCUA) and the Federal Housing
Finance Agency (FHFA) (collectively,
the Agencies) issued joint final rules
implementing these requirements,
effective January 18, 2014. The
Agencies’ rules exempted, among other
loan types, transactions of $25,000 or
less, and required that this loan amount
be adjusted annually based on any
annual percentage increase in the
Consumer Price Index for Urban Wage
Earners and Clerical Workers (CPI–W).
If there is no annual percentage increase
in the CPI–W, the OCC, the Board and
the Bureau will not adjust this
SUMMARY:
[FR Doc. 2015–30144 Filed 11–25–15; 8:45 am]
BILLING CODE 7555–01–P
Office of the Comptroller of the
Currency
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Federal Register / Vol. 80, No. 228 / Friday, November 27, 2015 / Rules and Regulations
exemption threshold from the prior
year. Based on the annual percentage
decrease in the CPI–W as of June 1,
2015, the exemption threshold will
remain at $25,500 through December 31,
2016.
This final rule is effective
January 1, 2016.
DATES:
FOR FURTHER INFORMATION CONTACT:
OCC: Beth Knickerbocker, Counsel,
Legislative & Regulatory Activities
Division, at (202) 649–5490; for persons
who are deaf and hard of hearing, TTY,
(202) 649–5597.
Board: Lorna M. Neill, Counsel,
Division of Consumer and Community
Affairs, Board of Governors of the
Federal Reserve System, at (202) 452–
3667; for users of Telecommunications
Device for the Deaf (TDD) only, contact
(202) 263–4869.
Bureau: James Wylie, Counsel, Office
of Regulations, Bureau of Consumer
Financial Protection, at (202) 435–7700.
SUPPLEMENTARY INFORMATION:
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I. Background
The Dodd-Frank Wall Street Reform
and Consumer Protection Act of 2010
(Dodd-Frank Act) amended the Truth in
Lending Act (TILA) to add special
appraisal requirements for ‘‘higher-risk
mortgages.’’ 1 In January 2013, the
Agencies issued a joint final rule
implementing these requirements and
adopted the term ‘‘higher-priced
mortgage loan’’ (HPML) instead of
‘‘higher-risk mortgage’’ (the January
2013 Final Rule).2 In July 2013, the
Agencies proposed additional
exemptions from the January 2013 Final
Rule (the 2013 Supplemental Proposed
Rule).3 In December 2013, the Agencies
issued a supplemental final rule with
additional exemptions from the January
2013 Final Rule (the December 2013
Supplemental Final Rule).4 Among
other exemptions, the Agencies adopted
an exemption from the new HPML
appraisal rules for transactions of
$25,000 or less, to be adjusted annually
for inflation.
The Bureau’s, the OCC’s, and the
Board’s versions of the January 2013
Final Rule and December 2013
Supplemental Final Rule and
corresponding official interpretations
are substantively identical. The FDIC,
NCUA, and FHFA adopted the Bureau’s
version of the regulations under the
1 Public Law 111–203 section 1471, 124 Stat.
1376 (2010), codified at TILA section 129H, 15
U.S.C. 1639h.
2 78 FR 10368 (Feb. 13, 2013).
3 78 FR 48547 (Aug. 8, 2013).
4 78 FR 78520 (Dec. 26, 2013).
VerDate Sep<11>2014
16:09 Nov 25, 2015
Jkt 238001
January 2013 Final Rule and December
2013 Supplemental Final Rule.5
Section 34.203(b)(2) of Subpart G of
part 34 of the OCC’s regulations,
§ 226.43(b)(2) of the Board’s Regulation
Z, and § 1026.35(c)(2)(ii) of the Bureau’s
Regulation Z, and their accompanying
interpretations, provide that the
exemption threshold for smaller loans
will be adjusted effective January 1 of
each year based on any annual
percentage increase in the Consumer
Price Index for Urban Wage Earners and
Clerical Workers (CPI–W) that was in
effect on the preceding June 1. Any
increase in the threshold amount will be
rounded to the nearest $100 increment.
For example, if the annual percentage
increase in the CPI–W would result in
a $950 increase in the threshold
amount, the threshold amount will be
increased by $1,000. However, if the
annual percentage increase in the CPI–
W would result in a $949 increase in the
threshold amount, the threshold amount
will be increased by $900.6 If there is no
annual percentage increase in the CPI–
W, the Agencies will not adjust the
threshold amounts from the prior year.7
II. Adjustment and Commentary
Revision
Effective January 1, 2016, the
exemption threshold amount remains at
$25,500. This threshold amount is based
on the CPI–W in effect on June 1, 2015,
which was reported on May 22, 2015.
The Bureau of Labor Statistics publishes
consumer-based indices monthly, but
does not report a Consumer Price Index
change on June 1; adjustments are
reported in the middle of the month.
The CPI–W is a subset of the Consumer
Price Index for All Urban Consumers
(CPI–U) and represents approximately
28 percent of the U.S. population.
Because there was a 0.8 percent
decrease in the CPI–W from April 2014
to April 2015, the OCC, the Board, and
the Bureau are not adjusting the
exemption threshold amount. The OCC,
the Board, and the Bureau are revising
the interpretations to their respective
regulations to add new comments as
follows:
5 See NCUA: 12 CFR 722.3; FHFA: 12 CFR part
1222. Although the FDIC adopted the Bureau’s
version of the regulation, the FDIC did not issue its
own regulation containing a cross-reference to the
Bureau’s version. See 78 FR 10368, 10370 (Feb. 13,
2013).
6 See 12 CFR part 34, Appendix C to Subpart G,
comment 203(b)(2)–1 (OCC); 12 CFR part 226,
Supplement I, comment 43(b)(2)–1 (Board); and 12
CFR part 1026, Supplement I, comment 35(c)(2)(ii)–
1 (Bureau).
7 See 78 FR 48547, 48565 (Aug. 8, 2013) (‘‘Thus,
under the proposal, if the CPI–W decreases in an
annual period, the percentage increase would be
zero, and the dollar amount threshold for the
exemption would not change.’’).
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• Comment 203(b)(2)–1.iii to 12 CFR
part 34, Appendix C to Subpart G
(OCC);
• Comment 43(b)(2)–1.iii to
Supplement I of 12 CFR part 226
(Board); and
• Comment 35(c)(2)(ii)–1.iii in
Supplement I of 12 CFR part 1026
(Bureau).
These new comments state that, from
January 1, 2016, through December 31,
2016, the threshold amount is $25,500.
These revisions are effective January 1,
2016.
III. Administrative Law Matters
Administrative Procedure Act
Under the Administrative Procedure
Act (APA), notice and opportunity for
public comment are not required if an
agency finds that notice and public
comment are impracticable,
unnecessary, or contrary to the public
interest.8 The amendment in this notice
is technical and applies the method
previously set forth in the 2013
Supplemental Proposed Rule.9 For these
reasons, the OCC, the Board, and the
Bureau have determined that publishing
a notice of proposed rulemaking and
providing opportunity for public
comment are unnecessary. Therefore,
the amendments are adopted in final
form.
Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA)
does not apply to a rulemaking where a
general notice of proposed rulemaking
is not required.10 As noted previously,
the Agencies have determined that it is
unnecessary to publish a general notice
of proposed rulemaking for this joint
final rule. Accordingly, the RFA’s
requirements relating to an initial and
final regulatory flexibility analysis do
not apply.
Paperwork Reduction Act
In accordance with the Paperwork
Reduction Act of 1995,11 the Agencies
reviewed this final rule. No collections
of information pursuant to the
Paperwork Reduction Act are contained
in the final rule.
Unfunded Mandates Reform Act
The OCC analyzes proposed rules for
the factors listed in Section 202 of the
Unfunded Mandates Reform Act of
1995, before promulgating a final rule
85
U.S.C. 553(b)(B).
78 FR 48547, 48565 (Aug. 8, 2013) (‘‘Thus,
under the proposal, if the CPI–W decreases in an
annual period, the percentage increase would be
zero, and the dollar amount threshold for the
exemption would not change.’’).
10 5 U.S.C. 603 and 604.
11 44 U.S.C. 3506; 5 CFR part 1320.
9 See
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73945
for which a general notice of proposed
rulemaking was published.12 As
discussed above, the OCC has
determined that the publication of a
general notice of proposed rulemaking
is unnecessary.
Paragraph 34.203(b)(2)
1. Threshold Amount. * * *
iii. From January 1, 2016, through
December 31, 2016, the threshold amount is
$25,500.
List of Subjects
BOARD OF GOVERNORS OF THE
FEDERAL RESERVE SYSTEM
Supplement I to Part 1026—Official
Interpretations
Authority and Issuance
*
For the reasons set forth in the
preamble, the Board amends Regulation
Z, 12 CFR part 226, as set forth below:
Subpart E—Special Rules for Certain
Home Mortgage Transactions
PART 226—TRUTH IN LENDING
(REGULATION Z)
Section 1026.35—Requirements for
Higher-Priced Mortgage Loans
3. The authority citation for part 226
continues to read as follows:
*
Authority: 12 U.S.C. 3806; 15 U.S.C. 1604,
1637(c)(5), 1639(l), and 1639h; Pub. L. 111–
24, section 2, 123 Stat. 1734; Pub. L. 111–
203, 124 Stat. 1376.
*
12 CFR Part 34
Appraisal, Appraiser, Banks, Banking,
Consumer protection, Credit, Mortgages,
National banks, Reporting and
recordkeeping requirements, Savings
associations, Truth in lending.
12 CFR Part 226
Advertising, Appraisal, Appraiser,
Consumer protection, Credit, Federal
Reserve System, Mortgages, Reporting
and recordkeeping requirements, Truth
in lending.
12 CFR Part 1026
Advertising, Appraisal, Appraiser,
Banking, Banks, Consumer protection,
Credit, Credit unions, Mortgages,
National banks, Reporting and
recordkeeping requirements, Savings
associations, Truth in lending.
Office of the Comptroller of the
Currency
For the reasons set forth in the
preamble, the OCC amends 12 CFR part
34 as set forth below:
PART 34—REAL ESTATE LENDING
AND APPRAISALS
2. In Appendix C to Subpart G, under
Section 34.203—Appraisals for HigherPriced Mortgage Loans, paragraph
34.203(b)(2)–1.iii is added to read as
follows:
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*
*
*
*
*
*
*
*
*
12 2
*
*
*
16:09 Nov 25, 2015
*
*
*
Subpart E—Special Rules for Certain
Home Mortgage Transactions
*
*
*
*
*
Section 226.43—Appraisals for HigherRisk Mortgage Loans
*
*
*
*
*
*
*
*
*
Paragraph 43(b)(2)
*
*
*
*
*
*
*
*
*
*
*
*
35(c) Appraisals
*
*
35(c)(2) Exemptions
*
*
*
*
*
Paragraph 35(c)(2)(ii)
1. * * *
iii. From January 1, 2016, through
December 31, 2016, the threshold amount is
$25,500.
*
*
*
*
*
Dated: November 19, 2015.
Amy Friend,
Senior Deputy Comptroller and Chief
Counsel.
By order of the Board of Governors of the
Federal Reserve System, acting through the
Secretary of the Board under delegated
authority, November 18, 2015.
Robert deV. Frierson,
Secretary of the Board.
Dated: October 8, 2015.
Richard Cordray,
Director, Bureau of Consumer Financial
Protection.
[FR Doc. 2015–30097 Filed 11–25–15; 8:45 am]
FEDERAL RESERVE SYSTEM
*
*
*
*
BUREAU OF CONSUMER FINANCIAL
PROTECTION
Authority and Issuance
For the reasons set forth in the
preamble, the Bureau amends
Regulation Z, 12 CFR part 1026, as set
forth below:
PART 1026—TRUTH IN LENDING
(REGULATION Z)
Authority: 12 U.S.C. 2601, 2603–2605,
2607, 2609, 2617, 3353, 5511, 5512, 5532,
5581; 15 U.S.C. 1601 et seq.
Jkt 238001
*
1. * * *
iii. From January 1, 2016, through
December 31, 2016, the threshold amount is
$25,500.
5. The authority citation for part 1026
continues to read as follows:
U.S.C. 1532.
VerDate Sep<11>2014
*
■
34.203(b) Exemptions
*
4. In Supplement I to part 226, under
Section 226.43—Appraisals for HigherRisk Mortgage Loans, under paragraph
43(b)(2), paragraph 43(b)(2)–1.iii is
added to read as follows:
*
*
*
Subpart G—Appraisals for HigherPriced Mortgage Loans
*
*
43(b) Exemptions
Authority: 12 U.S.C. 1 et seq., 25b, 29, 93a,
371, 1463, 1464, 1465,1701j–3, 1828(o), 3331
et seq., 5101 et seq., 5412(b)(2)(B) and 15
U.S.C. 1639h.
*
*
■
*
1. The authority citation for part 34
continues to read as follows:
■
Section 34.203—Appraisals for HigherPriced Mortgage Loans
*
■
*
Authority and Issuance
Appendix C to Subpart G—OCC
Interpretations
*
Supplement I to Part 226—Official Staff
Interpretations
DEPARTMENT OF THE TREASURY
■
*
6. In Supplement I to part 1026, under
Section 1026.35—Requirements for
Higher-Priced Mortgage Loans, under
paragraph 35(c)(2)(ii), paragraph
35(c)(2)(ii)–1.iii is added to read as
follows:
■
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BILLING CODE 4810–33–P; 6210–01–P; 4810–AM–P
12 CFR Part 213
[Docket No. R–1519]
RIN 7100 AE–35
BUREAU OF CONSUMER FINANCIAL
PROTECTION
12 CFR Part 1013
RIN 3170–AA06
Consumer Leasing (Regulation M)
Board of Governors of the
Federal Reserve System (Board); and
Bureau of Consumer Financial
Protection (Bureau).
AGENCIES:
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Agencies
[Federal Register Volume 80, Number 228 (Friday, November 27, 2015)]
[Rules and Regulations]
[Pages 73943-73945]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-30097]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
12 CFR Part 34
[Docket No. OCC-2015-0021]
RIN 1557-AD99
FEDERAL RESERVE SYSTEM
12 CFR Part 226
[Docket No. R-1443]
RIN 7100-AD 90
BUREAU OF CONSUMER FINANCIAL PROTECTION
12 CFR Part 1026
RIN 3170-AA11
Appraisals for Higher-Priced Mortgage Loans Exemption Threshold
AGENCY: Board of Governors of the Federal Reserve System (Board);
Bureau of Consumer Financial Protection (Bureau); and Office of the
Comptroller of the Currency, Treasury (OCC).
ACTION: Final rule; official interpretations; technical amendment.
-----------------------------------------------------------------------
SUMMARY: The OCC, the Board and the Bureau are publishing final rules
amending the official interpretations for their regulations that
implement section 129H of the Truth in Lending Act (TILA). Section 129H
of TILA establishes special appraisal requirements for ``higher-risk
mortgages,'' termed ``higher-priced mortgage loans'' or ``HPMLs'' in
the agencies' regulations. The OCC, the Board, the Bureau, the Federal
Deposit Insurance Corporation (FDIC), the National Credit Union
Administration (NCUA) and the Federal Housing Finance Agency (FHFA)
(collectively, the Agencies) issued joint final rules implementing
these requirements, effective January 18, 2014. The Agencies' rules
exempted, among other loan types, transactions of $25,000 or less, and
required that this loan amount be adjusted annually based on any annual
percentage increase in the Consumer Price Index for Urban Wage Earners
and Clerical Workers (CPI-W). If there is no annual percentage increase
in the CPI-W, the OCC, the Board and the Bureau will not adjust this
[[Page 73944]]
exemption threshold from the prior year. Based on the annual percentage
decrease in the CPI-W as of June 1, 2015, the exemption threshold will
remain at $25,500 through December 31, 2016.
DATES: This final rule is effective January 1, 2016.
FOR FURTHER INFORMATION CONTACT:
OCC: Beth Knickerbocker, Counsel, Legislative & Regulatory
Activities Division, at (202) 649-5490; for persons who are deaf and
hard of hearing, TTY, (202) 649-5597.
Board: Lorna M. Neill, Counsel, Division of Consumer and Community
Affairs, Board of Governors of the Federal Reserve System, at (202)
452-3667; for users of Telecommunications Device for the Deaf (TDD)
only, contact (202) 263-4869.
Bureau: James Wylie, Counsel, Office of Regulations, Bureau of
Consumer Financial Protection, at (202) 435-7700.
SUPPLEMENTARY INFORMATION:
I. Background
The Dodd-Frank Wall Street Reform and Consumer Protection Act of
2010 (Dodd-Frank Act) amended the Truth in Lending Act (TILA) to add
special appraisal requirements for ``higher-risk mortgages.'' \1\ In
January 2013, the Agencies issued a joint final rule implementing these
requirements and adopted the term ``higher-priced mortgage loan''
(HPML) instead of ``higher-risk mortgage'' (the January 2013 Final
Rule).\2\ In July 2013, the Agencies proposed additional exemptions
from the January 2013 Final Rule (the 2013 Supplemental Proposed
Rule).\3\ In December 2013, the Agencies issued a supplemental final
rule with additional exemptions from the January 2013 Final Rule (the
December 2013 Supplemental Final Rule).\4\ Among other exemptions, the
Agencies adopted an exemption from the new HPML appraisal rules for
transactions of $25,000 or less, to be adjusted annually for inflation.
---------------------------------------------------------------------------
\1\ Public Law 111-203 section 1471, 124 Stat. 1376 (2010),
codified at TILA section 129H, 15 U.S.C. 1639h.
\2\ 78 FR 10368 (Feb. 13, 2013).
\3\ 78 FR 48547 (Aug. 8, 2013).
\4\ 78 FR 78520 (Dec. 26, 2013).
---------------------------------------------------------------------------
The Bureau's, the OCC's, and the Board's versions of the January
2013 Final Rule and December 2013 Supplemental Final Rule and
corresponding official interpretations are substantively identical. The
FDIC, NCUA, and FHFA adopted the Bureau's version of the regulations
under the January 2013 Final Rule and December 2013 Supplemental Final
Rule.\5\
---------------------------------------------------------------------------
\5\ See NCUA: 12 CFR 722.3; FHFA: 12 CFR part 1222. Although the
FDIC adopted the Bureau's version of the regulation, the FDIC did
not issue its own regulation containing a cross-reference to the
Bureau's version. See 78 FR 10368, 10370 (Feb. 13, 2013).
---------------------------------------------------------------------------
Section 34.203(b)(2) of Subpart G of part 34 of the OCC's
regulations, Sec. 226.43(b)(2) of the Board's Regulation Z, and Sec.
1026.35(c)(2)(ii) of the Bureau's Regulation Z, and their accompanying
interpretations, provide that the exemption threshold for smaller loans
will be adjusted effective January 1 of each year based on any annual
percentage increase in the Consumer Price Index for Urban Wage Earners
and Clerical Workers (CPI-W) that was in effect on the preceding June
1. Any increase in the threshold amount will be rounded to the nearest
$100 increment. For example, if the annual percentage increase in the
CPI-W would result in a $950 increase in the threshold amount, the
threshold amount will be increased by $1,000. However, if the annual
percentage increase in the CPI-W would result in a $949 increase in the
threshold amount, the threshold amount will be increased by $900.\6\ If
there is no annual percentage increase in the CPI-W, the Agencies will
not adjust the threshold amounts from the prior year.\7\
---------------------------------------------------------------------------
\6\ See 12 CFR part 34, Appendix C to Subpart G, comment
203(b)(2)-1 (OCC); 12 CFR part 226, Supplement I, comment 43(b)(2)-1
(Board); and 12 CFR part 1026, Supplement I, comment 35(c)(2)(ii)-1
(Bureau).
\7\ See 78 FR 48547, 48565 (Aug. 8, 2013) (``Thus, under the
proposal, if the CPI-W decreases in an annual period, the percentage
increase would be zero, and the dollar amount threshold for the
exemption would not change.'').
---------------------------------------------------------------------------
II. Adjustment and Commentary Revision
Effective January 1, 2016, the exemption threshold amount remains
at $25,500. This threshold amount is based on the CPI-W in effect on
June 1, 2015, which was reported on May 22, 2015. The Bureau of Labor
Statistics publishes consumer-based indices monthly, but does not
report a Consumer Price Index change on June 1; adjustments are
reported in the middle of the month. The CPI-W is a subset of the
Consumer Price Index for All Urban Consumers (CPI-U) and represents
approximately 28 percent of the U.S. population. Because there was a
0.8 percent decrease in the CPI-W from April 2014 to April 2015, the
OCC, the Board, and the Bureau are not adjusting the exemption
threshold amount. The OCC, the Board, and the Bureau are revising the
interpretations to their respective regulations to add new comments as
follows:
Comment 203(b)(2)-1.iii to 12 CFR part 34, Appendix C to
Subpart G (OCC);
Comment 43(b)(2)-1.iii to Supplement I of 12 CFR part 226
(Board); and
Comment 35(c)(2)(ii)-1.iii in Supplement I of 12 CFR part
1026 (Bureau).
These new comments state that, from January 1, 2016, through
December 31, 2016, the threshold amount is $25,500. These revisions are
effective January 1, 2016.
III. Administrative Law Matters
Administrative Procedure Act
Under the Administrative Procedure Act (APA), notice and
opportunity for public comment are not required if an agency finds that
notice and public comment are impracticable, unnecessary, or contrary
to the public interest.\8\ The amendment in this notice is technical
and applies the method previously set forth in the 2013 Supplemental
Proposed Rule.\9\ For these reasons, the OCC, the Board, and the Bureau
have determined that publishing a notice of proposed rulemaking and
providing opportunity for public comment are unnecessary. Therefore,
the amendments are adopted in final form.
---------------------------------------------------------------------------
\8\ 5 U.S.C. 553(b)(B).
\9\ See 78 FR 48547, 48565 (Aug. 8, 2013) (``Thus, under the
proposal, if the CPI-W decreases in an annual period, the percentage
increase would be zero, and the dollar amount threshold for the
exemption would not change.'').
---------------------------------------------------------------------------
Regulatory Flexibility Act
The Regulatory Flexibility Act (RFA) does not apply to a rulemaking
where a general notice of proposed rulemaking is not required.\10\ As
noted previously, the Agencies have determined that it is unnecessary
to publish a general notice of proposed rulemaking for this joint final
rule. Accordingly, the RFA's requirements relating to an initial and
final regulatory flexibility analysis do not apply.
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\10\ 5 U.S.C. 603 and 604.
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Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995,\11\ the
Agencies reviewed this final rule. No collections of information
pursuant to the Paperwork Reduction Act are contained in the final
rule.
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\11\ 44 U.S.C. 3506; 5 CFR part 1320.
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Unfunded Mandates Reform Act
The OCC analyzes proposed rules for the factors listed in Section
202 of the Unfunded Mandates Reform Act of 1995, before promulgating a
final rule
[[Page 73945]]
for which a general notice of proposed rulemaking was published.\12\ As
discussed above, the OCC has determined that the publication of a
general notice of proposed rulemaking is unnecessary.
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\12\ 2 U.S.C. 1532.
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List of Subjects
12 CFR Part 34
Appraisal, Appraiser, Banks, Banking, Consumer protection, Credit,
Mortgages, National banks, Reporting and recordkeeping requirements,
Savings associations, Truth in lending.
12 CFR Part 226
Advertising, Appraisal, Appraiser, Consumer protection, Credit,
Federal Reserve System, Mortgages, Reporting and recordkeeping
requirements, Truth in lending.
12 CFR Part 1026
Advertising, Appraisal, Appraiser, Banking, Banks, Consumer
protection, Credit, Credit unions, Mortgages, National banks, Reporting
and recordkeeping requirements, Savings associations, Truth in lending.
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
Authority and Issuance
For the reasons set forth in the preamble, the OCC amends 12 CFR
part 34 as set forth below:
PART 34--REAL ESTATE LENDING AND APPRAISALS
0
1. The authority citation for part 34 continues to read as follows:
Authority: 12 U.S.C. 1 et seq., 25b, 29, 93a, 371, 1463, 1464,
1465,1701j-3, 1828(o), 3331 et seq., 5101 et seq., 5412(b)(2)(B) and
15 U.S.C. 1639h.
Subpart G--Appraisals for Higher-Priced Mortgage Loans
0
2. In Appendix C to Subpart G, under Section 34.203--Appraisals for
Higher-Priced Mortgage Loans, paragraph 34.203(b)(2)-1.iii is added to
read as follows:
Appendix C to Subpart G--OCC Interpretations
* * * * *
Section 34.203--Appraisals for Higher-Priced Mortgage Loans
* * * * *
34.203(b) Exemptions
* * * * *
Paragraph 34.203(b)(2)
1. Threshold Amount. * * *
iii. From January 1, 2016, through December 31, 2016, the
threshold amount is $25,500.
* * * * *
BOARD OF GOVERNORS OF THE FEDERAL RESERVE SYSTEM
Authority and Issuance
For the reasons set forth in the preamble, the Board amends
Regulation Z, 12 CFR part 226, as set forth below:
PART 226--TRUTH IN LENDING (REGULATION Z)
0
3. The authority citation for part 226 continues to read as follows:
Authority: 12 U.S.C. 3806; 15 U.S.C. 1604, 1637(c)(5), 1639(l),
and 1639h; Pub. L. 111-24, section 2, 123 Stat. 1734; Pub. L. 111-
203, 124 Stat. 1376.
0
4. In Supplement I to part 226, under Section 226.43--Appraisals for
Higher-Risk Mortgage Loans, under paragraph 43(b)(2), paragraph
43(b)(2)-1.iii is added to read as follows:
Supplement I to Part 226--Official Staff Interpretations
* * * * *
Subpart E--Special Rules for Certain Home Mortgage Transactions
* * * * *
Section 226.43--Appraisals for Higher-Risk Mortgage Loans
* * * * *
43(b) Exemptions
* * * * *
Paragraph 43(b)(2)
1. * * *
iii. From January 1, 2016, through December 31, 2016, the
threshold amount is $25,500.
* * * * *
BUREAU OF CONSUMER FINANCIAL PROTECTION
Authority and Issuance
For the reasons set forth in the preamble, the Bureau amends
Regulation Z, 12 CFR part 1026, as set forth below:
PART 1026--TRUTH IN LENDING (REGULATION Z)
0
5. The authority citation for part 1026 continues to read as follows:
Authority: 12 U.S.C. 2601, 2603-2605, 2607, 2609, 2617, 3353,
5511, 5512, 5532, 5581; 15 U.S.C. 1601 et seq.
0
6. In Supplement I to part 1026, under Section 1026.35--Requirements
for Higher-Priced Mortgage Loans, under paragraph 35(c)(2)(ii),
paragraph 35(c)(2)(ii)-1.iii is added to read as follows:
Supplement I to Part 1026--Official Interpretations
* * * * *
Subpart E--Special Rules for Certain Home Mortgage Transactions
* * * * *
Section 1026.35--Requirements for Higher-Priced Mortgage Loans
* * * * *
35(c) Appraisals
* * * * *
35(c)(2) Exemptions
* * * * *
Paragraph 35(c)(2)(ii)
1. * * *
iii. From January 1, 2016, through December 31, 2016, the
threshold amount is $25,500.
* * * * *
Dated: November 19, 2015.
Amy Friend,
Senior Deputy Comptroller and Chief Counsel.
By order of the Board of Governors of the Federal Reserve
System, acting through the Secretary of the Board under delegated
authority, November 18, 2015.
Robert deV. Frierson,
Secretary of the Board.
Dated: October 8, 2015.
Richard Cordray,
Director, Bureau of Consumer Financial Protection.
[FR Doc. 2015-30097 Filed 11-25-15; 8:45 am]
BILLING CODE 4810-33-P; 6210-01-P; 4810-AM-P