Featured Product

    GAO Report Reviews Policies and Analyses in Regulatory Flexibility Act

    February 27, 2018

    The U.S. GAO published a report reviewing policies and analyses under the Regulatory Flexibility Act. The report concludes that policies and analyses under the Regulatory Flexibility Act and Retrospective Reviews could be improved.

    The Regulatory Flexibility Act requires federal agencies to analyze the impact of their regulations on small entities. GAO found several weaknesses with the analyses of six financial regulators—CFPB, CFTC, FDIC, FED, OCC, and SEC—that could undermine the goal of the Regulatory Flexibility Act and limit transparency and public accountability. For example, some analyses lacked important information, such as data sources, methodologies, and consideration of broad economic impact. Evaluations of potential economic effects and alternative regulatory approaches also were limited. Additionally, regulators generally lacked comprehensive policies and procedures for implementation of the Regulatory Flexibility Act. By not developing such policies and procedures, the ability of regulators to consistently and effectively meet the objectives of Regulatory Flexibility Act may be limited.

    This report is based on findings from the GAO reports on implementation of the Regulatory Flexibility Act (published in January 30, 2018) and on regulatory burden on community banks and credit unions (published in February 13, 2018). In these two reports, GAO made 20 recommendations to the financial regulators to improve their policies, procedures, and analysis under the Regulatory Flexibility Act and in retrospective reviews. The regulators generally agreed with the recommendations. Federal financial regulators must comply with various rulemaking and review requirements, including those in the Regulatory Flexibility Act and the Economic Growth and Regulatory Paperwork Reduction Act of 1996 (EGRPRA). These statutes require analyses relating to regulatory burden, small entities, or both analyses during rulemaking and retrospective reviews. As part of the retrospective reviews, EGRPRA directs FDIC, FED, and OCC to review regulations at least every 10 years and identify areas that are outdated, unnecessary, or unduly burdensome. The Regulatory Flexibility Act requires agencies to review within 10 years of publication those rules assessed as having a significant economic impact on a substantial number of small entities. Agencies are to determine if rules should be continued without change, amended, or rescinded to minimize such impact.


    Related Links

    Keywords: Americas, US, Banking, Regulatory Flexibility Act, Retrospective Reviews, EGRPRA, Proportionality, GAO

    Related Articles
    News

    EBA Report on MREL Shows Progress in Resolution Planning

    EBA published the first quantitative report taking stock of the increased capacity of minimum requirements for own funds and eligible liabilities (MREL) in EU.

    February 17, 2020 WebPage Regulatory News
    News

    ESMA Updates Q&A on Credit Rating Agencies Regulation

    ESMA updated questions and answers (Q&A) document on the Credit Rating Agencies (CRA) Regulation.

    February 17, 2020 WebPage Regulatory News
    News

    EC Announces Funding for Sustainable Finance Project in France

    EC announced an investment for the latest projects, including a project on sustainable finance, under the LIFE program for the environment and climate action.

    February 17, 2020 WebPage Regulatory News
    News

    FDIC Releases Economic Scenarios for Stress Testing in 2020

    FDIC released the hypothetical economic scenarios for use in the upcoming stress tests for covered institutions with total consolidated assets of more than USD 250 billion.

    February 14, 2020 WebPage Regulatory News
    News

    EBA Acknowledges EC Adoption of Amended Supervisory Reporting Standard

    EBA acknowledged the adoption, by EC, of an Implementing Act with regard to the common reporting (COREP) and financial reporting (FINREP) changes, in accordance with the Capital Requirements Regulation or CRR.

    February 14, 2020 WebPage Regulatory News
    News

    APRA and ASIC Welcome Proposed Reforms for Superannuation Sector

    APRA and the Australian Securities and Investments Commission (ASIC) have jointly welcomed the proposed legislative reforms increasing the role of ASIC in the superannuation sector.

    February 14, 2020 WebPage Regulatory News
    News

    ESMA Responds to EC Consultation on Review of Benchmarks Regulation

    ESMA published its response to EC consultation on review of the Benchmarks Regulation in EU.

    February 14, 2020 WebPage Regulatory News
    News

    OSFI on Guide and Form for Replicating Portfolio Information Summary

    OSFI revised the instruction guide and form related to filing the Replicating Portfolio Information Summary.

    February 14, 2020 WebPage Regulatory News
    News

    FFIEC Publishes Guide to HMDA Reporting for Data Collected in 2020

    FFIEC issued the 2020 edition of guide to Home Mortgage Disclosure Act (HMDA) reporting for the data collected in 2020 and reported in 2021.

    February 13, 2020 WebPage Regulatory News
    News

    ISDA Guide on Smart Contracts for Equity and Interest Rate Derivatives

    ISDA has published the fourth and fifth installments in a series of legal guidelines for smart derivatives contracts.

    February 13, 2020 WebPage Regulatory News
    RESULTS 1 - 10 OF 4687