12424 Federal Register / Vol. 71, No. 47 / Friday, March 10, 2006 / Notices
The GO Zone is defined in the GO
Zone Act as ‘‘that portion of the
Hurricane Katrina disaster area
determined by the President to warrant
individual or individual and public
assistance from the Federal Government
under the Robert T. Stafford Disaster
Relief and Emergency Assistance Act by
reason of Hurricane Katrina’’ (Pub. L.
109–135, Section 101). The Hurricane
Katrina Disaster Area is defined as ‘‘an
area with respect to which a major
disaster has been declared by the
President before September 14, 2005,
under section 401 of such Act by reason
of Hurricane Katrina’’ (Pub. L. 109–135,
Section 101).
The CDFI Fund will contact each CY
2006 NMTC applicant that satisfies
items (iii)(A) and (B) above, and ask
each such applicant to submit responses
to a supplemental questionnaire that
will help the CDFI Fund evaluate
whether the applicant has a significant
mission of recovery and redevelopment
in the GO Zone. Such applicants must
provide the CDFI Fund with responses
to the supplemental questionnaire by
the deadlines established by the CDFI
Fund; failure to meet said deadlines will
result in a determination of ineligibility
for a GO Zone allocation.
After the CDFI Fund confirms that the
GO Zone is included within an
applicant’s particular geographic service
area and that the applicant intends to
target activities to Low-Income
Communities in certain FEMA-declared
disaster areas, then the CDFI Fund
reviewers will rate (i) whether the
applicant has significant resources in
the GO Zone to support its recovery and
redevelopment efforts and (ii) the
applicant’s track record of providing
financing and related services in the GO
Zone.
In assessing whether the applicant has
significant resources in the GO Zone to
support its recovery and redevelopment
efforts, reviewers will consider, among
other things, the applicant’s (or its
Controlling Entity’s) current physical
presence in the GO Zone. In assessing
an applicant’s track record of providing
financing and related services in the GO
Zone, reviewers will consider, among
other things, the applicant’s (or its
Controlling Entity’s) track record of
providing financing products and
services in the GO Zone over the past
five years.
Go Zone Allocation Determinations:
The CDFI Fund will evaluate and score
all applications, rank all applicants, and
make final allocation determinations in
accordance with the policies and
procedures set forth in section V.B of
the NOAA and this amendment. Final
allocation determinations for the $3.5
billion in allocation authority described
in the NOAA will be awarded prior to
allocation determinations for the $600
million in GO Zone allocation authority.
After the CDFI Fund has made its final
allocation determinations for the $3.5
billion allocation authority, it will make
final allocation determinations for the
GO Zone allocation authority in rank
order of score, with priority to those
applicants that were rated as having the
strongest significant mission of recovery
and redevelopment of the GO Zone but
were not selected to receive an
allocation under the initial $3.5 billion
of allocation authority. If allocation
authority is still available, the CDFI
Fund may provide additional GO Zone
allocation authority to eligible
applicants that were selected to receive
an allocation from the initial $3.5
billion, provided the CDFI Fund
determines that they have the capacity
to administer additional allocation
authority in the GO Zone. Unallocated
GO Zone allocation authority, if any,
will be carried over to the CY 2007
round of the NMTC Program, pursuant
to IRC 45D(f)(3).
Go Zone Allocation Agreement Terms:
All CDEs that are awarded GO Zone
allocation authority will be required, as
a condition of their allocation
agreements with the CDFI Fund, to
invest 100 percent of the Qualified Low-
Income Community Investments
(QLICIs) from the GO Zone allocation in
the GO Zone. In addition, GO Zone
CDEs will be required to maintain
accountability to the GO Zone through
their advisory or governing board
representation. Additional terms and
conditions for GO Zone allocation
authority will be set forth in the
allocation agreements.
All other information and
requirements set forth in the NOAA
shall remain effective, as published.
FOR FURTHER INFORMATION, CONTACT:
Applications and other information
regarding the Fund and its programs
may be obtained from the Fund’s Web
site at http://www.cdfifund.gov. The
Fund may post on its website additional
information regarding the special GO
Zone allocation authority. Applicants
may contact the CDFI Fund with
questions or to obtain technical
assistance regarding the GO Zone
allocation authority as follows:
A. Information technology support:
Technical support can be obtained by
calling (202) 622–2455 or by e-mail at
ithelpdesk@cdfi.treas.gov. These are not
toll free numbers.
B. Programmatic support: If you have
any questions about the programmatic
requirements of this NOAA amendment,
contact the Fund’s NMTC Program
Manager by e-mail at
cdfihelp@cdfi.treas.gov, by telephone at
(202) 622–6355, by facsimile at (202)
622–7754, or by mail at CDFI Fund, 601
13th Street, NW, Suite 200 South,
Washington, DC 20005. These are not
toll-free numbers.
C. Administrative support: If you have
any questions regarding the
administrative requirements of this
NOAA amendment, contact the Fund’s
Grants Manager by e-mail at
grantsmanagement@cdfi.treas.gov, by
telephone at (202) 622–8226, by
facsimile at (202) 622–6453, or by mail
at CDFI Fund, 601 13th Street, NW.,
Suite 200 South, Washington, DC 20005.
These are not toll free numbers.
D. IRS support: For questions
regarding the tax aspects of the NMTC
Program, contact Branch Five, Office of
the Associate Chief Counsel
(Passthroughs and Special Industries),
IRS, by telephone at (202) 622–3040, by
facsimile at (202) 622–4753, or by mail
at 1111 Constitution Avenue, NW., Attn:
CC:PSI:5, Washington, DC 20224. These
are not toll free numbers.
E. Legal counsel support: If you have
any questions or matters that you
believe require response by the Fund’s
Office of Legal Counsel, please refer to
the document titled ‘‘How to Request a
Legal Review,’’ found on the Fund’s
Web site at http://www.cdfifund.gov.
Authority: 26 U.S.C. 45D; 31 U.S.C. 321; 26
CFR 1.45D–1.
Dated: March 3, 2006.
Arthur A. Garcia,
Director, Community Development Financial
Institutions Fund.
[FR Doc. E6–3372 Filed 3–9–06; 8:45 am]
BILLING CODE 4810 –70–P
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the
Currency
[Docket No. 06–03]
FEDERAL RESERVE SYSTEM
[Docket No. OP–1240]
FEDERAL DEPOSIT INSURANCE
CORPORATION
[RIN 3064–AC97]
Community Reinvestment Act;
Interagency Questions and Answers
Regarding Community Reinvestment;
Notice
AGENCIES: Office of the Comptroller of
the Currency, Treasury (OCC); Board of
Governors of the Federal Reserve
VerDate Aug<31>2005 20:31 Mar 09, 2006 Jkt 208001 PO 00000 Frm 00092 Fmt 4703 Sfmt 4703 E:\FR\FM\10MRN1.SGM 10MRN1
dsatterwhite on PROD1PC65 with PROPOSAL
The GO Zone is defined in the GO
Zone Act as ‘‘that portion of the
Hurricane Katrina disaster area
determined by the President to warrant
individual or individual and public
assistance from the Federal Government
under the Robert T. Stafford Disaster
Relief and Emergency Assistance Act by
reason of Hurricane Katrina’’ (Pub. L.
109–135, Section 101). The Hurricane
Katrina Disaster Area is defined as ‘‘an
area with respect to which a major
disaster has been declared by the
President before September 14, 2005,
under section 401 of such Act by reason
of Hurricane Katrina’’ (Pub. L. 109–135,
Section 101).
The CDFI Fund will contact each CY
2006 NMTC applicant that satisfies
items (iii)(A) and (B) above, and ask
each such applicant to submit responses
to a supplemental questionnaire that
will help the CDFI Fund evaluate
whether the applicant has a significant
mission of recovery and redevelopment
in the GO Zone. Such applicants must
provide the CDFI Fund with responses
to the supplemental questionnaire by
the deadlines established by the CDFI
Fund; failure to meet said deadlines will
result in a determination of ineligibility
for a GO Zone allocation.
After the CDFI Fund confirms that the
GO Zone is included within an
applicant’s particular geographic service
area and that the applicant intends to
target activities to Low-Income
Communities in certain FEMA-declared
disaster areas, then the CDFI Fund
reviewers will rate (i) whether the
applicant has significant resources in
the GO Zone to support its recovery and
redevelopment efforts and (ii) the
applicant’s track record of providing
financing and related services in the GO
Zone.
In assessing whether the applicant has
significant resources in the GO Zone to
support its recovery and redevelopment
efforts, reviewers will consider, among
other things, the applicant’s (or its
Controlling Entity’s) current physical
presence in the GO Zone. In assessing
an applicant’s track record of providing
financing and related services in the GO
Zone, reviewers will consider, among
other things, the applicant’s (or its
Controlling Entity’s) track record of
providing financing products and
services in the GO Zone over the past
five years.
Go Zone Allocation Determinations:
The CDFI Fund will evaluate and score
all applications, rank all applicants, and
make final allocation determinations in
accordance with the policies and
procedures set forth in section V.B of
the NOAA and this amendment. Final
allocation determinations for the $3.5
billion in allocation authority described
in the NOAA will be awarded prior to
allocation determinations for the $600
million in GO Zone allocation authority.
After the CDFI Fund has made its final
allocation determinations for the $3.5
billion allocation authority, it will make
final allocation determinations for the
GO Zone allocation authority in rank
order of score, with priority to those
applicants that were rated as having the
strongest significant mission of recovery
and redevelopment of the GO Zone but
were not selected to receive an
allocation under the initial $3.5 billion
of allocation authority. If allocation
authority is still available, the CDFI
Fund may provide additional GO Zone
allocation authority to eligible
applicants that were selected to receive
an allocation from the initial $3.5
billion, provided the CDFI Fund
determines that they have the capacity
to administer additional allocation
authority in the GO Zone. Unallocated
GO Zone allocation authority, if any,
will be carried over to the CY 2007
round of the NMTC Program, pursuant
to IRC 45D(f)(3).
Go Zone Allocation Agreement Terms:
All CDEs that are awarded GO Zone
allocation authority will be required, as
a condition of their allocation
agreements with the CDFI Fund, to
invest 100 percent of the Qualified Low-
Income Community Investments
(QLICIs) from the GO Zone allocation in
the GO Zone. In addition, GO Zone
CDEs will be required to maintain
accountability to the GO Zone through
their advisory or governing board
representation. Additional terms and
conditions for GO Zone allocation
authority will be set forth in the
allocation agreements.
All other information and
requirements set forth in the NOAA
shall remain effective, as published.
FOR FURTHER INFORMATION, CONTACT:
Applications and other information
regarding the Fund and its programs
may be obtained from the Fund’s Web
site at http://www.cdfifund.gov. The
Fund may post on its website additional
information regarding the special GO
Zone allocation authority. Applicants
may contact the CDFI Fund with
questions or to obtain technical
assistance regarding the GO Zone
allocation authority as follows:
A. Information technology support:
Technical support can be obtained by
calling (202) 622–2455 or by e-mail at
ithelpdesk@cdfi.treas.gov. These are not
toll free numbers.
B. Programmatic support: If you have
any questions about the programmatic
requirements of this NOAA amendment,
contact the Fund’s NMTC Program
Manager by e-mail at
cdfihelp@cdfi.treas.gov, by telephone at
(202) 622–6355, by facsimile at (202)
622–7754, or by mail at CDFI Fund, 601
13th Street, NW, Suite 200 South,
Washington, DC 20005. These are not
toll-free numbers.
C. Administrative support: If you have
any questions regarding the
administrative requirements of this
NOAA amendment, contact the Fund’s
Grants Manager by e-mail at
grantsmanagement@cdfi.treas.gov, by
telephone at (202) 622–8226, by
facsimile at (202) 622–6453, or by mail
at CDFI Fund, 601 13th Street, NW.,
Suite 200 South, Washington, DC 20005.
These are not toll free numbers.
D. IRS support: For questions
regarding the tax aspects of the NMTC
Program, contact Branch Five, Office of
the Associate Chief Counsel
(Passthroughs and Special Industries),
IRS, by telephone at (202) 622–3040, by
facsimile at (202) 622–4753, or by mail
at 1111 Constitution Avenue, NW., Attn:
CC:PSI:5, Washington, DC 20224. These
are not toll free numbers.
E. Legal counsel support: If you have
any questions or matters that you
believe require response by the Fund’s
Office of Legal Counsel, please refer to
the document titled ‘‘How to Request a
Legal Review,’’ found on the Fund’s
Web site at http://www.cdfifund.gov.
Authority: 26 U.S.C. 45D; 31 U.S.C. 321; 26
CFR 1.45D–1.
Dated: March 3, 2006.
Arthur A. Garcia,
Director, Community Development Financial
Institutions Fund.
[FR Doc. E6–3372 Filed 3–9–06; 8:45 am]
BILLING CODE 4810 –70–P
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the
Currency
[Docket No. 06–03]
FEDERAL RESERVE SYSTEM
[Docket No. OP–1240]
FEDERAL DEPOSIT INSURANCE
CORPORATION
[RIN 3064–AC97]
Community Reinvestment Act;
Interagency Questions and Answers
Regarding Community Reinvestment;
Notice
AGENCIES: Office of the Comptroller of
the Currency, Treasury (OCC); Board of
Governors of the Federal Reserve
VerDate Aug<31>2005 20:31 Mar 09, 2006 Jkt 208001 PO 00000 Frm 00092 Fmt 4703 Sfmt 4703 E:\FR\FM\10MRN1.SGM 10MRN1
dsatterwhite on PROD1PC65 with PROPOSAL
12425Federal Register / Vol. 71, No. 47 / Friday, March 10, 2006 / Notices
System (Board); Federal Deposit
Insurance Corporation (FDIC).
ACTION: Notice.
SUMMARY: The OCC, Board, and FDIC
(collectively, ‘‘the Agencies’’) are
publishing revised guidance (Questions
and Answers) relating to the
Community Reinvestment Act (‘‘the
Act’’ or ‘‘CRA’’). The Questions and
Answers primarily addresses topics
included in the revisions that the
Agencies made to their CRA regulations,
which became effective September 1,
2005.
DATES: Effecticve Date: March 10, 2006.
FOR FURTHER INFORMATION CONTACT:
OCC: Margaret Hesse, Special Counsel,
Community and Consumer Law
Division, (202) 874–5750; or Karen
Tucker, National Bank Examiner,
Compliance Policy Division, (202) 874–
4428, Office of the Comptroller of the
Currency, 250 E Street, SW.,
Washington, DC 20219.
Board: Anjanette M. Kichline,
Supervisory Consumer Financial
Services Analyst, (202) 785–6054;
Catherine M.J. Gates, Senior
Supervisory Consumer Financial
Services Analyst, (202) 452–3946;
Kathleen C. Ryan, Counsel, (202) 452–
3667; or Dan S. Sokolov, Counsel, (202)
452–2412, Division of Consumer and
Community Affairs, Board of Governors
of the Federal Reserve System, 20th
Street and Constitution Avenue, NW.,
Washington, DC 20551.
FDIC: Pamela Freeman, Policy
Analyst, (202) 898–6568, CRA and Fair
Lending Policy Section, Division of
Supervision and Consumer Protection;
or Susan van den Toorn, Counsel, Legal
Division, (202) 898–8707, Federal
Deposit Insurance Corporation, 550 17th
Street, NW., Washington, DC 20429.
SUPPLEMENTARY INFORMATION:
Background
On August 2, 2005, the OCC, Board,
and FDIC published in the Federal
Register a joint final rule revising their
Community Reinvestment Act
regulations (70 FR 44256). The joint
final rule became effective September 1,
2005.
The joint final rule addressed
regulatory burden on banks with assets
between $250 million and $1 billion by
exempting them from CRA loan data
collection and reporting obligations. It
also made such banks, called
intermediate small banks, eligible for
evaluation under the small bank lending
test and a flexible new community
development test, rather than the
lending, investment and service tests
that are used to evaluate larger banks.
Holding company affiliation is no longer
a factor in determining which CRA
evaluation standards apply to a bank.
The joint final rule also revised the
term ‘‘community development’’ to
include banks’ activities that revitalize
or stabilize designated distressed or
underserved nonmetropolitan middle-
income areas or designated disaster
areas. Finally, the rule addressed the
impact on a bank’s CRA rating of
evidence of discrimination or other
credit practices that violate an
applicable law, rule, or regulation.
To help financial institutions meet
their responsibilities under the CRA and
to increase public understanding of the
CRA regulations, the staffs of the OCC,
Board, FDIC, and Office of Thrift
Supervision have previously published
answers to the most frequently asked
questions about the community
reinvestment regulations of the four
Federal financial regulatory agencies.
This guidance has been intended to
provide informal staff guidance for use
by examiners and other agency
personnel, financial institutions, and
the public, and is supplemented
periodically. The four agencies’
Interagency Questions and Answers
Regarding Community Reinvestment
(2001 Interagency Questions and
Answers) were last published July 12,
2001 (65 FR 36620).
On November 10, 2005, the staffs of
the OCC, Board, and FDIC jointly
published for comment in the Federal
Register proposed Questions and
Answers to provide additional guidance
specific to the new OCC, Board, and
FDIC rules issued on August 2, 2005,
that apply to their institutions. (Because
the OTS’s CRA regulation varies from
the OCC’s, Board’s, and FDIC’s CRA
regulations, the proposed Questions and
Answers were not, and this final
guidance is not, applicable to thrifts
regulated by OTS.)
In response to the Agencies’ request
for comment on the proposed Questions
and Answers, the OCC received 193
letters, the Board received 182 letters,
and the FDIC received 183 letters. Most
commenters submitted letters to all
three Agencies. Comment letters were
submitted by community organizations,
individuals, banks and financial
institution trade organizations, and state
and local governments.
The Agencies carefully considered the
comments received. As discussed
below, some of the proposed questions
and answers have been revised in this
final guidance to address suggestions by
commenters, while other questions and
answers are being adopted as proposed.
The Questions and Answers that are
being adopted today are grouped by the
provision of the CRA regulations that
they discuss, are presented in the same
order as the regulatory provisions, and
employ the same abbreviated method to
cite to the regulations. For example, the
small bank performance standards for
national banks appear at 12 CFR 25.26;
for Federal Reserve System member
banks supervised by the Board, they
appear at 12 CFR 228.26; and for
nonmember state banks, at 12 CFR
345.26. Accordingly, the citation in this
document would be to § ll.26. Each
question is numbered using a system
that consists of the regulatory citation
(as described above) and a number,
connected by a dash. For example, the
first question addressing § ll.12(g)(4)
would be identified as § ll.12(g)(4)–1.
As a result of technical changes made
to the Agencies’ regulations (70 FR
15570 (March 28, 2005)) and the
substantive regulatory revisions
mentioned above (70 FR 44256 (August
2, 2005)), some of the citation
numbering in the 2001 Interagency
Questions and Answers does not
correspond to the current section
citations of the revised regulations. In
this final guidance, if a reference is
made to guidance in the 2001
Interagency Questions and Answers, the
number of the question and answer, as
published in the 2001 Interagency
Questions and Answers, is given, even
if that reference does not reflect the
current regulatory citation. The
Agencies’ staffs are working to update
the 2001 Interagency Questions and
Answers to reflect the revisions to the
regulations made by the three Agencies,
as discussed above, and will correct the
citation references in the next
publication of the Interagency Questions
and Answers. When the 2001
Interagency Questions and Answers
document is revised and republished
later this year, the Agencies will publish
an integrated document containing the
questions and answers that are being
published in this final guidance and the
revised 2001 interagency guidance.
Discussion of Final Guidance and
Comments Received
All of the questions and answers that
were proposed in November are being
adopted today, either as proposed or
with revisions. In addition, one of the
proposed questions and answers
(§ ll.12(g)(4)(iii)–3) has been divided
into two questions and answers for
purposes of clarity.
§ ll.12(g)(4)–1:
This proposed question and answer
stated that the new definition of
‘‘community development’’ applies to
all banks, and not to intermediate small
banks only. The Agencies received very
VerDate Aug<31>2005 20:31 Mar 09, 2006 Jkt 208001 PO 00000 Frm 00093 Fmt 4703 Sfmt 4703 E:\FR\FM\10MRN1.SGM 10MRN1
dsatterwhite on PROD1PC65 with PROPOSAL
System (Board); Federal Deposit
Insurance Corporation (FDIC).
ACTION: Notice.
SUMMARY: The OCC, Board, and FDIC
(collectively, ‘‘the Agencies’’) are
publishing revised guidance (Questions
and Answers) relating to the
Community Reinvestment Act (‘‘the
Act’’ or ‘‘CRA’’). The Questions and
Answers primarily addresses topics
included in the revisions that the
Agencies made to their CRA regulations,
which became effective September 1,
2005.
DATES: Effecticve Date: March 10, 2006.
FOR FURTHER INFORMATION CONTACT:
OCC: Margaret Hesse, Special Counsel,
Community and Consumer Law
Division, (202) 874–5750; or Karen
Tucker, National Bank Examiner,
Compliance Policy Division, (202) 874–
4428, Office of the Comptroller of the
Currency, 250 E Street, SW.,
Washington, DC 20219.
Board: Anjanette M. Kichline,
Supervisory Consumer Financial
Services Analyst, (202) 785–6054;
Catherine M.J. Gates, Senior
Supervisory Consumer Financial
Services Analyst, (202) 452–3946;
Kathleen C. Ryan, Counsel, (202) 452–
3667; or Dan S. Sokolov, Counsel, (202)
452–2412, Division of Consumer and
Community Affairs, Board of Governors
of the Federal Reserve System, 20th
Street and Constitution Avenue, NW.,
Washington, DC 20551.
FDIC: Pamela Freeman, Policy
Analyst, (202) 898–6568, CRA and Fair
Lending Policy Section, Division of
Supervision and Consumer Protection;
or Susan van den Toorn, Counsel, Legal
Division, (202) 898–8707, Federal
Deposit Insurance Corporation, 550 17th
Street, NW., Washington, DC 20429.
SUPPLEMENTARY INFORMATION:
Background
On August 2, 2005, the OCC, Board,
and FDIC published in the Federal
Register a joint final rule revising their
Community Reinvestment Act
regulations (70 FR 44256). The joint
final rule became effective September 1,
2005.
The joint final rule addressed
regulatory burden on banks with assets
between $250 million and $1 billion by
exempting them from CRA loan data
collection and reporting obligations. It
also made such banks, called
intermediate small banks, eligible for
evaluation under the small bank lending
test and a flexible new community
development test, rather than the
lending, investment and service tests
that are used to evaluate larger banks.
Holding company affiliation is no longer
a factor in determining which CRA
evaluation standards apply to a bank.
The joint final rule also revised the
term ‘‘community development’’ to
include banks’ activities that revitalize
or stabilize designated distressed or
underserved nonmetropolitan middle-
income areas or designated disaster
areas. Finally, the rule addressed the
impact on a bank’s CRA rating of
evidence of discrimination or other
credit practices that violate an
applicable law, rule, or regulation.
To help financial institutions meet
their responsibilities under the CRA and
to increase public understanding of the
CRA regulations, the staffs of the OCC,
Board, FDIC, and Office of Thrift
Supervision have previously published
answers to the most frequently asked
questions about the community
reinvestment regulations of the four
Federal financial regulatory agencies.
This guidance has been intended to
provide informal staff guidance for use
by examiners and other agency
personnel, financial institutions, and
the public, and is supplemented
periodically. The four agencies’
Interagency Questions and Answers
Regarding Community Reinvestment
(2001 Interagency Questions and
Answers) were last published July 12,
2001 (65 FR 36620).
On November 10, 2005, the staffs of
the OCC, Board, and FDIC jointly
published for comment in the Federal
Register proposed Questions and
Answers to provide additional guidance
specific to the new OCC, Board, and
FDIC rules issued on August 2, 2005,
that apply to their institutions. (Because
the OTS’s CRA regulation varies from
the OCC’s, Board’s, and FDIC’s CRA
regulations, the proposed Questions and
Answers were not, and this final
guidance is not, applicable to thrifts
regulated by OTS.)
In response to the Agencies’ request
for comment on the proposed Questions
and Answers, the OCC received 193
letters, the Board received 182 letters,
and the FDIC received 183 letters. Most
commenters submitted letters to all
three Agencies. Comment letters were
submitted by community organizations,
individuals, banks and financial
institution trade organizations, and state
and local governments.
The Agencies carefully considered the
comments received. As discussed
below, some of the proposed questions
and answers have been revised in this
final guidance to address suggestions by
commenters, while other questions and
answers are being adopted as proposed.
The Questions and Answers that are
being adopted today are grouped by the
provision of the CRA regulations that
they discuss, are presented in the same
order as the regulatory provisions, and
employ the same abbreviated method to
cite to the regulations. For example, the
small bank performance standards for
national banks appear at 12 CFR 25.26;
for Federal Reserve System member
banks supervised by the Board, they
appear at 12 CFR 228.26; and for
nonmember state banks, at 12 CFR
345.26. Accordingly, the citation in this
document would be to § ll.26. Each
question is numbered using a system
that consists of the regulatory citation
(as described above) and a number,
connected by a dash. For example, the
first question addressing § ll.12(g)(4)
would be identified as § ll.12(g)(4)–1.
As a result of technical changes made
to the Agencies’ regulations (70 FR
15570 (March 28, 2005)) and the
substantive regulatory revisions
mentioned above (70 FR 44256 (August
2, 2005)), some of the citation
numbering in the 2001 Interagency
Questions and Answers does not
correspond to the current section
citations of the revised regulations. In
this final guidance, if a reference is
made to guidance in the 2001
Interagency Questions and Answers, the
number of the question and answer, as
published in the 2001 Interagency
Questions and Answers, is given, even
if that reference does not reflect the
current regulatory citation. The
Agencies’ staffs are working to update
the 2001 Interagency Questions and
Answers to reflect the revisions to the
regulations made by the three Agencies,
as discussed above, and will correct the
citation references in the next
publication of the Interagency Questions
and Answers. When the 2001
Interagency Questions and Answers
document is revised and republished
later this year, the Agencies will publish
an integrated document containing the
questions and answers that are being
published in this final guidance and the
revised 2001 interagency guidance.
Discussion of Final Guidance and
Comments Received
All of the questions and answers that
were proposed in November are being
adopted today, either as proposed or
with revisions. In addition, one of the
proposed questions and answers
(§ ll.12(g)(4)(iii)–3) has been divided
into two questions and answers for
purposes of clarity.
§ ll.12(g)(4)–1:
This proposed question and answer
stated that the new definition of
‘‘community development’’ applies to
all banks, and not to intermediate small
banks only. The Agencies received very
VerDate Aug<31>2005 20:31 Mar 09, 2006 Jkt 208001 PO 00000 Frm 00093 Fmt 4703 Sfmt 4703 E:\FR\FM\10MRN1.SGM 10MRN1
dsatterwhite on PROD1PC65 with PROPOSAL