Regulation A: Extensions of Credit by Federal Reserve Banks, 49472-49473 [2018-21436]
Download as PDF
<![CDATA[
49472
Federal Register / Vol. 83, No. 191 / Tuesday, October 2, 2018 / Rules and Regulations
under § 1416.400(c), the eligible
orchardist or nursery tree grower must
first have suffered a mortality loss of
more than 7.5 percent (adjusted for
normal mortality) on a stand as a result
of natural disaster as determined by the
Deputy Administrator.
(b) The qualifying loss of a stand of
trees, bushes, or vines specified in
paragraph (a) of this section will be
determined based on:
(1) Each eligible disaster event, except
for losses due to plant disease;
(2) For plant disease, the time period,
as determined by the Deputy
Administrator, for which the stand is
infected.
(c) Mortality or damage loss not
eligible for inclusion as a qualifying loss
under this section or for payment under
§ 1416.406 includes those losses where:
(1) The loss or damage could have
been prevented through reasonable and
available measures; and
(2) The trees, bushes, or vines, in the
absence of a natural disaster, would
normally have required rehabilitation or
replanting within the 12-month period
following the loss.
(d) The damage or loss must be visible
and obvious to the county committee
representative. If the damage is no
longer visible, the county committee
may accept other evidence of the loss as
it determines is reasonable.
(e) The county committee may require
information from a qualified expert, as
determined by the county committee, to
determine extent of loss in the case of
plant disease or insect infestation.
(f) The Deputy Administrator will
determine the types of trees, bushes,
and vines that are eligible.
(g) A stand that did not suffer a
qualifying mortality loss as specified in
paragraph (a) of this section is not
eligible for payment.
§ 1416.404
[Amended]
34. In § 1416.404, in paragraph (a),
remove ‘‘To’’ and add ‘‘Once the
requisite qualifying eligible mortality
loss is determined according to
§ 1416.403, to’’.
■ 35. Amend § 1416.405 as follows:
■ a. Redesignate paragraphs (a) through
(d) as paragraphs (b) and (e);
■ b. Add new paragraph (a); and
■ c. Revise newly redesignated
paragraph (b).
The addition and revision read as
follows:
amozie on DSK3GDR082PROD with RULES
■
§ 1416.405
16:20 Oct 01, 2018
§ 1416.406
Payment Calculation.
*
*
*
*
*
(d) * * *
(3) Costs or expenses that the eligible
orchardist or nursery tree grower did
not actually bear or incur because
someone or some other entity bore or
incurred those costs or expenses, or the
costs were reimbursed under another
program. For example, if under any
other program the expenses are paid for
on behalf of the eligible orchardist or
nursery tree grower, those expenses are
not eligible for cost share under this
subpart.
*
*
*
*
*
Richard Fordyce,
Administrator, Farm Service Agency.
Robert Stephenson,
Executive Vice President, Commodity Credit
Corporation.
[FR Doc. 2018–21257 Filed 10–1–18; 8:45 am]
BILLING CODE 3410–05–P
FEDERAL RESERVE SYSTEM
12 CFR Part 201
[Docket No. R–1623]
RIN 7100–AF 17
Application.
(a) Applications for payment that had
been filed under the regulations in effect
at the time of filing and which were
issued an administrative decision for
either a 2017 or 2018 program year loss
VerDate Sep<11>2014
are not eligible for consideration under
paragraph (b) of this section, unless the
decision was based only on failure to
submit the application for payment by
the prior applicable deadline,
(b) To apply for TAP, a producer that
suffered eligible tree, bush, or vine
losses that occurred during the 2017 and
subsequent calendar years must provide
an application for payment and
supporting documentation to FSA by
the later of December 3, 2018 or within
90 calendar days of the disaster event or
date when the loss of trees, bushes, or
vines is apparent to the producer.
*
*
*
*
*
■ 36. Amend § 1416.406 as follows:
■ a. In paragraph (a) introductory text,
remove ‘‘Payment’’ and add ‘‘Once the
loss threshold in § 1416.403(a) is
satisfied, payment’’ in its place;
■ b. In paragraph (b), remove the words
‘‘damage or’’ in both places where they
appear;
■ c. Add paragraph (d)(3);
■ d. In paragraph (h), remove ‘‘eligible’’
before the word ‘‘stand’’; and
■ e. In paragraph (j), remove the number
‘‘500’’ and add the number ‘‘1,000’’ in
its place.
The addition reads as follows:
Jkt 247001
Regulation A: Extensions of Credit by
Federal Reserve Banks
Board of Governors of the
Federal Reserve System.
AGENCY:
PO 00000
Frm 00014
Fmt 4700
Sfmt 4700
ACTION:
Final rule.
The Board of Governors of the
Federal Reserve System (‘‘Board’’) has
adopted final amendments to its
Regulation A to reflect the Board’s
approval of an increase in the rate for
primary credit at each Federal Reserve
Bank. The secondary credit rate at each
Reserve Bank automatically increased
by formula as a result of the Board’s
primary credit rate action.
SUMMARY:
Effective date: The amendments
to part 201 (Regulation A) are effective
October 2, 2018.
Applicability date: The rate changes
for primary and secondary credit were
applicable on September 27, 2018.
FOR FURTHER INFORMATION CONTACT:
Sophia Allison, Senior Special Counsel
(202–452–3565), Legal Division, or Lyle
Kumasaka, Lead Financial Institution &
Policy Analyst (202–452–2382), or
Kristen Payne, Senior Financial
Institution & Policy Analyst (202–452–
2872), Division of Monetary Affairs; for
users of Telecommunications Device for
the Deaf (TDD) only, contact 202–263–
4869; Board of Governors of the Federal
Reserve System, 20th and C Streets NW,
Washington, DC 20551.
SUPPLEMENTARY INFORMATION: The
Federal Reserve Banks make primary
and secondary credit available to
depository institutions as a backup
source of funding on a short-term basis,
usually overnight. The primary and
secondary credit rates are the interest
rates that the twelve Federal Reserve
Banks charge for extensions of credit
under these programs. In accordance
with the Federal Reserve Act, the
primary and secondary credit rates are
established by the boards of directors of
the Federal Reserve Banks, subject to
the review and determination of the
Board.
On September 26, 2018, the Board
voted to approve a 1⁄4 percentage point
increase in the primary credit rate in
effect at each of the twelve Federal
Reserve Banks, thereby increasing from
2.50 percent to 2.75 percent the rate that
each Reserve Bank charges for
extensions of primary credit. In
addition, the Board had previously
approved the renewal of the secondary
credit rate formula, the primary credit
rate plus 50 basis points. Under the
formula, the secondary credit rate in
effect at each of the twelve Federal
Reserve Banks increased by 1⁄4
percentage point as a result of the
Board’s primary credit rate action,
thereby increasing from 3.00 percent to
3.25 percent the rate that each Reserve
Bank charges for extensions of
DATES:
E:\FR\FM\02OCR1.SGM
02OCR1
Federal Register / Vol. 83, No. 191 / Tuesday, October 2, 2018 / Rules and Regulations
amozie on DSK3GDR082PROD with RULES
secondary credit. The amendments to
Regulation A reflect these rate changes.
The 1⁄4 percentage point increase in
the primary credit rate was associated
with an increase in the target range for
the federal funds rate (from a target
range of 13⁄4 to 2 percent to a target
range of 2 to 21⁄4 percent) announced by
the Federal Open Market Committee on
September 26, 2018, as described in the
Board’s amendment of its Regulation D
regulations published elsewhere in this
issue of the Federal Register.
Administrative Procedure Act
In general, the Administrative
Procedure Act (‘‘APA’’) 1 imposes three
principal requirements when an agency
promulgates legislative rules (rules
made pursuant to congressionally
delegated authority): (1) Publication
with adequate notice of a proposed rule;
(2) followed by a meaningful
opportunity for the public to comment
on the rule’s content; and (3)
publication of the final rule not less
than 30 days before its effective date.
The APA provides that notice and
comment procedures do not apply if the
agency for good cause finds them to be
‘‘unnecessary, impracticable, or contrary
to the public interest.’’ 2 Section 553(d)
of the APA also provides that
publication at least 30 days prior to a
rule’s effective date is not required for
(1) a substantive rule which grants or
recognizes an exemption or relieves a
restriction; (2) interpretive rules and
statements of policy; or (3) a rule for
which the agency finds good cause for
shortened notice and publishes its
reasoning with the rule.3 The APA
further provides that the notice, public
comment, and delayed effective date
requirements of 5 U.S.C. 553 do not
apply ‘‘to the extent that there is
involved . . . a matter relating to agency
management or personnel or to public
property, loans, grants, benefits, or
contracts.’’ 4
Regulation A establishes the interest
rates that the twelve Reserve Banks
charge for extensions of primary credit
and secondary credit. The Board has
determined that the notice, public
comment, and delayed effective date
requirements of the APA do not apply
to these final amendments to Regulation
A for several reasons. The amendments
involve a matter relating to loans and
are therefore exempt under the terms of
the APA. In addition, the Board has
determined that notice, public
comment, and delayed effective date
U.S.C. 551 et seq.
U.S.C. 553(b)(3)(A).
3 5 U.S.C. 553(d).
4 5 U.S.C. 553(a)(2) (emphasis added).
would be unnecessary and contrary to
the public interest because delay in
implementation of changes to the rates
charged on primary credit and
secondary credit would permit insured
depository institutions to profit
improperly from the difference in the
current rate and the announced
increased rate. Finally, because delay
would undermine the Board’s action in
responding to economic data and
conditions, the Board has determined
that ‘‘good cause’’ exists within the
meaning of the APA to dispense with
the notice, public comment, and
delayed effective date procedures of the
APA with respect to the final
amendments to Regulation A.
Regulatory Flexibility Analysis
The Regulatory Flexibility Act
(‘‘RFA’’) does not apply to a rulemaking
where a general notice of proposed
rulemaking is not required.5 As noted
previously, a general notice of proposed
rulemaking is not required if the final
rule involves a matter relating to loans.
Furthermore, the Board has determined
that it is unnecessary and contrary to
the public interest to publish a general
notice of proposed rulemaking for this
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 (‘‘PRA’’) of 1995,6 the
Board reviewed the final rule under the
authority delegated to the Board by the
Office of Management and Budget. The
final rule contains no requirements
subject to the PRA.
List of Subjects in 12 CFR Part 201
Banks, Banking, Federal Reserve
System, Reporting and recordkeeping.
Authority and Issuance
For the reasons set forth in the
preamble, the Board is amending 12
CFR part 201 to read as follows:
PART 201—EXTENSIONS OF CREDIT
BY FEDERAL RESERVE BANKS
(REGULATION A)
1. The authority citation for part 201
continues to read as follows:
■
Authority: 12 U.S.C. 248(i)–(j) and (s), 343
et seq., 347a, 347b, 347c, 348 et seq., 357,
374, 374a, and 461.
2. In § 201.51, paragraphs (a) and (b)
are revised to read as follows:
■
15
25
VerDate Sep<11>2014
16:20 Oct 01, 2018
Jkt 247001
55
U.S.C. 603, 604.
U.S.C. 3506; see 5 CFR part 1320, appendix
6 44
A.1.
PO 00000
Frm 00015
Fmt 4700
Sfmt 4700
49473
§ 201.51 Interest rates applicable to credit
extended by a Federal Reserve Bank.3
(a) Primary credit. The interest rate at
each Federal Reserve Bank for primary
credit provided to depository
institutions under § 201.4(a) is 2.75
percent.
(b) Secondary credit. The interest rate
at each Federal Reserve Bank for
secondary credit provided to depository
institutions under § 201.4(b) is 3.25
percent.
*
*
*
*
*
By order of the Board of Governors of the
Federal Reserve System, September 27, 2018.
Ann Misback,
Secretary of the Board.
[FR Doc. 2018–21436 Filed 10–1–18; 8:45 am]
BILLING CODE 6210–01–P
FEDERAL RESERVE SYSTEM
12 CFR Part 204
[Docket No. R–1624]
RIN 7100–AF 18
Regulation D: Reserve Requirements
of Depository Institutions
Board of Governors of the
Federal Reserve System.
ACTION: Final rule.
AGENCY:
The Board of Governors of the
Federal Reserve System (‘‘Board’’) is
amending Regulation D (Reserve
Requirements of Depository Institutions)
to revise the rate of interest paid on
balances maintained to satisfy reserve
balance requirements (‘‘IORR’’) and the
rate of interest paid on excess balances
(‘‘IOER’’) maintained at Federal Reserve
Banks by or on behalf of eligible
institutions. The final amendments
specify that IORR is 2.20 percent and
IOER is 2.20 percent, a 0.25 percentage
point increase from their prior levels.
The amendments are intended to
enhance the role of such rates of interest
in moving the Federal funds rate into
the target range established by the
Federal Open Market Committee
(‘‘FOMC’’ or ‘‘Committee’’).
DATES: Effective date: The amendments
to part 204 (Regulation D) are effective
October 2, 2018.
Applicability date: The IORR and
IOER rate changes were applicable on
September 27, 2018.
FOR FURTHER INFORMATION CONTACT:
Sophia Allison, Senior Special Counsel
SUMMARY:
3 The primary, secondary, and seasonal credit
rates described in this section apply to both
advances and discounts made under the primary,
secondary, and seasonal credit programs,
respectively.
E:\FR\FM\02OCR1.SGM
02OCR1
]]>Agencies
[Federal Register Volume 83, Number 191 (Tuesday, October 2, 2018)]
[Rules and Regulations]
[Pages 49472-49473]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-21436]
=======================================================================
-----------------------------------------------------------------------
FEDERAL RESERVE SYSTEM
12 CFR Part 201
[Docket No. R-1623]
RIN 7100-AF 17
Regulation A: Extensions of Credit by Federal Reserve Banks
AGENCY: Board of Governors of the Federal Reserve System.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Board of Governors of the Federal Reserve System
(``Board'') has adopted final amendments to its Regulation A to reflect
the Board's approval of an increase in the rate for primary credit at
each Federal Reserve Bank. The secondary credit rate at each Reserve
Bank automatically increased by formula as a result of the Board's
primary credit rate action.
DATES: Effective date: The amendments to part 201 (Regulation A) are
effective October 2, 2018.
Applicability date: The rate changes for primary and secondary
credit were applicable on September 27, 2018.
FOR FURTHER INFORMATION CONTACT: Sophia Allison, Senior Special Counsel
(202-452-3565), Legal Division, or Lyle Kumasaka, Lead Financial
Institution & Policy Analyst (202-452-2382), or Kristen Payne, Senior
Financial Institution & Policy Analyst (202-452-2872), Division of
Monetary Affairs; for users of Telecommunications Device for the Deaf
(TDD) only, contact 202-263-4869; Board of Governors of the Federal
Reserve System, 20th and C Streets NW, Washington, DC 20551.
SUPPLEMENTARY INFORMATION: The Federal Reserve Banks make primary and
secondary credit available to depository institutions as a backup
source of funding on a short-term basis, usually overnight. The primary
and secondary credit rates are the interest rates that the twelve
Federal Reserve Banks charge for extensions of credit under these
programs. In accordance with the Federal Reserve Act, the primary and
secondary credit rates are established by the boards of directors of
the Federal Reserve Banks, subject to the review and determination of
the Board.
On September 26, 2018, the Board voted to approve a \1/4\
percentage point increase in the primary credit rate in effect at each
of the twelve Federal Reserve Banks, thereby increasing from 2.50
percent to 2.75 percent the rate that each Reserve Bank charges for
extensions of primary credit. In addition, the Board had previously
approved the renewal of the secondary credit rate formula, the primary
credit rate plus 50 basis points. Under the formula, the secondary
credit rate in effect at each of the twelve Federal Reserve Banks
increased by \1/4\ percentage point as a result of the Board's primary
credit rate action, thereby increasing from 3.00 percent to 3.25
percent the rate that each Reserve Bank charges for extensions of
[[Page 49473]]
secondary credit. The amendments to Regulation A reflect these rate
changes.
The \1/4\ percentage point increase in the primary credit rate was
associated with an increase in the target range for the federal funds
rate (from a target range of 1\3/4\ to 2 percent to a target range of 2
to 2\1/4\ percent) announced by the Federal Open Market Committee on
September 26, 2018, as described in the Board's amendment of its
Regulation D regulations published elsewhere in this issue of the
Federal Register.
Administrative Procedure Act
In general, the Administrative Procedure Act (``APA'') \1\ imposes
three principal requirements when an agency promulgates legislative
rules (rules made pursuant to congressionally delegated authority): (1)
Publication with adequate notice of a proposed rule; (2) followed by a
meaningful opportunity for the public to comment on the rule's content;
and (3) publication of the final rule not less than 30 days before its
effective date. The APA provides that notice and comment procedures do
not apply if the agency for good cause finds them to be ``unnecessary,
impracticable, or contrary to the public interest.'' \2\ Section 553(d)
of the APA also provides that publication at least 30 days prior to a
rule's effective date is not required for (1) a substantive rule which
grants or recognizes an exemption or relieves a restriction; (2)
interpretive rules and statements of policy; or (3) a rule for which
the agency finds good cause for shortened notice and publishes its
reasoning with the rule.\3\ The APA further provides that the notice,
public comment, and delayed effective date requirements of 5 U.S.C. 553
do not apply ``to the extent that there is involved . . . a matter
relating to agency management or personnel or to public property,
loans, grants, benefits, or contracts.'' \4\
---------------------------------------------------------------------------
\1\ 5 U.S.C. 551 et seq.
\2\ 5 U.S.C. 553(b)(3)(A).
\3\ 5 U.S.C. 553(d).
\4\ 5 U.S.C. 553(a)(2) (emphasis added).
---------------------------------------------------------------------------
Regulation A establishes the interest rates that the twelve Reserve
Banks charge for extensions of primary credit and secondary credit. The
Board has determined that the notice, public comment, and delayed
effective date requirements of the APA do not apply to these final
amendments to Regulation A for several reasons. The amendments involve
a matter relating to loans and are therefore exempt under the terms of
the APA. In addition, the Board has determined that notice, public
comment, and delayed effective date would be unnecessary and contrary
to the public interest because delay in implementation of changes to
the rates charged on primary credit and secondary credit would permit
insured depository institutions to profit improperly from the
difference in the current rate and the announced increased rate.
Finally, because delay would undermine the Board's action in responding
to economic data and conditions, the Board has determined that ``good
cause'' exists within the meaning of the APA to dispense with the
notice, public comment, and delayed effective date procedures of the
APA with respect to the final amendments to Regulation A.
Regulatory Flexibility Analysis
The Regulatory Flexibility Act (``RFA'') does not apply to a
rulemaking where a general notice of proposed rulemaking is not
required.\5\ As noted previously, a general notice of proposed
rulemaking is not required if the final rule involves a matter relating
to loans. Furthermore, the Board has determined that it is unnecessary
and contrary to the public interest to publish a general notice of
proposed rulemaking for this final rule. Accordingly, the RFA's
requirements relating to an initial and final regulatory flexibility
analysis do not apply.
---------------------------------------------------------------------------
\5\ 5 U.S.C. 603, 604.
---------------------------------------------------------------------------
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act (``PRA'') of
1995,\6\ the Board reviewed the final rule under the authority
delegated to the Board by the Office of Management and Budget. The
final rule contains no requirements subject to the PRA.
---------------------------------------------------------------------------
\6\ 44 U.S.C. 3506; see 5 CFR part 1320, appendix A.1.
---------------------------------------------------------------------------
List of Subjects in 12 CFR Part 201
Banks, Banking, Federal Reserve System, Reporting and
recordkeeping.
Authority and Issuance
For the reasons set forth in the preamble, the Board is amending 12
CFR part 201 to read as follows:
PART 201--EXTENSIONS OF CREDIT BY FEDERAL RESERVE BANKS (REGULATION
A)
0
1. The authority citation for part 201 continues to read as follows:
Authority: 12 U.S.C. 248(i)-(j) and (s), 343 et seq., 347a,
347b, 347c, 348 et seq., 357, 374, 374a, and 461.
0
2. In Sec. 201.51, paragraphs (a) and (b) are revised to read as
follows:
Sec. 201.51 Interest rates applicable to credit extended by a Federal
Reserve Bank.\3\
---------------------------------------------------------------------------
\3\ The primary, secondary, and seasonal credit rates described
in this section apply to both advances and discounts made under the
primary, secondary, and seasonal credit programs, respectively.
---------------------------------------------------------------------------
(a) Primary credit. The interest rate at each Federal Reserve Bank
for primary credit provided to depository institutions under Sec.
201.4(a) is 2.75 percent.
(b) Secondary credit. The interest rate at each Federal Reserve
Bank for secondary credit provided to depository institutions under
Sec. 201.4(b) is 3.25 percent.
* * * * *
By order of the Board of Governors of the Federal Reserve
System, September 27, 2018.
Ann Misback,
Secretary of the Board.
[FR Doc. 2018-21436 Filed 10-1-18; 8:45 am]
BILLING CODE 6210-01-P
