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pdfSupporting Statement for the
Reporting, Recordkeeping, and Disclosure Requirements Associated with Regulation BB
(FR BB; OMB No. 7100-0197)
Community Reinvestment Act
(Docket No. R-1769) (RIN 7100-AG29)
Summary
The Board of Governors of the Federal Reserve System (Board), under authority delegated
by the Office of Management and Budget (OMB), has extended for three years, with revision, the
Reporting, Recordkeeping, and Disclosure Requirements Associated with Regulation BB
(FR BB; OMB No. 7100-0197). The Community Reinvestment Act (CRA)1 was enacted in 1977
and is implemented by Regulation BB - Community Reinvestment (12 CFR Part 228). The CRA
directs the Board, Federal Deposit Insurance Corporation, and Office of the Comptroller of the
Currency (collectively, the agencies) to evaluate financial institutions’ (banks and savings
associations) records of helping to meet the credit needs of their entire communities, including
low- and moderate-income areas, consistent with the safe and sound operation of the institutions.
The CRA is implemented through regulations issued by the agencies. The Board’s regulation
applies to state member banks (SMBs).
The agencies adopted a final rule2 that updates how CRA activities qualify for
consideration, where CRA activities are considered, and how CRA activities are evaluated. The
final rule revised the FR BB by (1) adding new reporting and recordkeeping requirements,
(2) separating and clarifying requirements that were previously consolidated, and (3) updating
section numbering and make further clarifications, as appropriate. The final rule is effective on
April 1, 2024. Most of the rule requirements are effective on January 1, 2026, while data reporting
requirements will be effective on January 1, 2027.
The current estimated total annual burden for the FR BB is 75,116 hours, and would
increase to 105,455 with the revisions. The revisions would result in an increase of 30,339 hours.
Background and Justification
In 1995, the agencies issued substantially identical regulations under the CRA to reduce
unnecessary compliance burden, promote consistency in CRA assessments, and encourage
improved performance.3 The current reporting, recordkeeping, and disclosure requirements under
Regulation BB are tailored to bank size in order to minimize burden on smaller banks, as
discussed below.
1
See 12 U.S.C. § 2901 et seq.
89 FR 6574 (February 1, 2024).
3
See 60 FR 22156 (May 4, 1995). On May 20, 2020, the Office of the Comptroller of the Currency published a final
rule amending the CRA regulatory framework applicable to its supervised institutions. 85 FR 34734 (June 5, 2020).
The final rule has an October 1, 2020, effective date; January 1, 2023, and January 1, 2024, compliance dates; and a
January 1, 2024, expiration date (for the agency’s existing CRA regulations).
2
Under Regulation BB, large banks are defined as those with assets of $1.564 billion or
more at the past two consecutive year-ends; all other banks are considered small banks or
intermediate small banks.4 The agencies annually adjust for inflation the relevant asset-size
thresholds and amend in their CRA regulations accordingly. This adjustment was most recently
completed in December 2023 (effective January 1, 2024).5
Other than the information collections pursuant to Regulation BB (and, as referenced
below, the Home Mortgage Disclosure Act (HMDA), which is implemented by Regulation C Home Mortgage Disclosure (12 CFR Part 1003)), the Board has no information collection that
supplies data regarding the community reinvestment activities of SMBs. Accordingly, the
Board’s ability to fulfill the statutory requirement to evaluate SMBs’ CRA activities is dependent
upon these information collections.
Description of Information Collection
The reporting, recordkeeping, and disclosure requirements associated with Regulation BB
are summarized below and also listed in Attachment 1. An SMB that qualifies for evaluation
under the small bank performance standards but elects evaluation under the lending, investment,
and service tests associated with large banks will collect, maintain, and report the data required
for large banks.6
Reporting Requirements
Section 228.25(b) - Request for designation as a wholesale or a limited purpose bank
The Board evaluates the performance of a wholesale or a limited purpose bank under the
community development test specified in the regulation. An SMB wishing to be designated as a
wholesale or limited purpose bank must file a request, in writing, with the Board at least 90 days
prior to the proposed effective date of the designation.
Section 228.27 - Strategic plan
An SMB may elect to be assessed under a strategic plan if the SMB has submitted the
plan to the Board, the Board has approved the plan, the plan is in effect, and the SMB has been
operating under an approved plan for at least one year. The Board’s approval of this plan does not
affect the SMB’s obligation, if any, to comply with the data collecting and reporting requirements
under section 228.42.7 The plan may have a term of no more than five years; multi-year plans
4
Beginning January 1, 2024, banks or savings associations that, as of December 31 of either of the prior two
calendar years, had assets of less than $1.564 billion are small banks or small savings associations. Small banks or
small savings associations with assets of at least $391 million as of December 31 of both of the prior two calendar
years and less than $1.564 billion as of December 31 of either of the prior two calendar years are intermediate small
banks or intermediate small savings associations. For the Paperwork Reduction Act respondent burden analysis
included in this information collection renewal, the Board used the Small Business Administration’s (SBA) small
entity definition (entities with less than $850 million in total assets).
5
See 88 FR 87895 (December 20, 2023).
6
12 CFR 228.42(f).
7
See 12 CFR 228.27(b).
2
must include annual interim measurable goals. Before submitting a plan to the Board or
amending8 a plan during its term, an SMB must seek suggestions from members of the public in
its assessment area(s), formally solicit public comment for at least 30 days, and during the period
of formal public comment make copies of the plan available for public review at its offices at no
cost and by mail for a reasonable cost.
A strategic plan must include measurable goals for helping meet the credit needs of each
assessment area covered by the plan, addressing the lending, investment, and service tests, as
appropriate. A plan must specify goals that constitute “satisfactory” performance and also may
specify goals that constitute “outstanding” performance. If an institution fails to meet its own
goals for “satisfactory” performance, an SMB may elect in its plan to be evaluated under the
other applicable performance test(s) specified in the regulation.
Section 228.42(b) - Loan information to be reported
Small business and small farm loan data. A large bank is required to report annually by
March 1 to the Board in machine-readable form the following data for the preceding calendar
year. For each geographical location in which a large bank originated or purchased a small
business or small farm loan, it must report the aggregate number and amount of loans:
• of $100,000 or less at origination,
• of more than $100,000 at origination, but less than or equal to $250,000 at origination,
• of more than $250,000 at origination, and
• made to businesses and farms with gross annual revenues of $1 million or less (using the
revenues that the bank considered in making its credit decision).
Community development loan data. A large bank is also required to report annually by
March 1 to the Board in machine-readable form the aggregate number and aggregate amount of
community development loans originated or purchased in the preceding calendar year.
Home mortgage loan data. A large bank that is subject to reporting of home mortgage
loan data under Regulation C is also required under Regulation BB to report annually by March 1
to the Board in machine-readable form certain home mortgage loan data. The paperwork burden
for providing this data is associated with other clearances.9
Section 228.42(d) - Affiliate lending data
An SMB that elects to have the Board consider loans by an affiliate, for purposes of the
lending or the community development test or an approved strategic plan, must collect, maintain,
and report for those loans the data that the SMB would have collected, maintained, and reported
had the loans been originated or purchased by the SMB. For home mortgage loans, the bank must
also be prepared to identify the home mortgage loans reported by the affiliate under HMDA and
Regulation C.
8
See 12 CFR 228.27(h) requiring that amendments to existing plans follow the public participation requirements
associated with adoption of a new strategic plan.
9
See HMDA Loan/Application Register (FR HMDA-LAR; OMB No. 7100-0247 (Board) and OMB No. 3170-0008
(Consumer Financial Protection Bureau)).
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Section 228.42(e) - Data on lending by a consortium or a third party
An SMB may elect to have the Board consider community development loans made by a
consortium or a third party, for purposes of the lending or the community development tests or an
approved strategic plan. If so, the SMB must report for those loans the data that the bank would
have reported had the loans been originated or purchased by the SMB.
Section 228.42(g) - Assessment area delineation
Each SMB must delineate one or more assessment areas within which the Board evaluates
its record of helping to meet the credit needs of its community.10 Large banks must also report the
list of assessment areas to the Board by March 1 each year. Assessment areas consist generally of
one or more metropolitan statistical areas (MSAs) or one or more contiguous political
subdivisions, such as counties, cities, or towns. Assessment areas include the geographies in
which a bank has its main office, branches, and deposit-taking automated teller machines, as well
as the surrounding geographies in which the bank has originated or purchased a substantial
portion of its loans. There are rules designed to prevent redlining (arbitrary exclusion of lowerincome or minority neighborhoods) in the designation of assessment areas.
Recordkeeping Requirements
Section 228.42(a) - Loan information to be collected and maintained
A large bank is required to collect and maintain, in machine-readable form, until the
completion of its next CRA examination, the following data for each small business or small farm
loan originated or purchased:
• a unique number or alpha-numeric symbol used to identify the relevant loan file,
• the loan amount at origination,
• the loan location, and
• an indicator whether the loan was made to a business or a farm with gross annual
revenues of $1 million or less.
Section 228.42(c) - Consumer loan data
An SMB has the option to collect and maintain, in machine-readable form, data for
consumer loans originated or purchased by the bank for consideration under the lending test. An
SMB may maintain data for one or more of the following categories of consumer loans: motor
vehicle, credit card, home equity, other secured, and other unsecured. If the SMB maintains data
for loans in a certain category, it must maintain data for all loans originated or purchased within
that category. The SMB must maintain data separately for each category and must include for
each loan:
• a unique number or alpha-numeric symbol used to identify the relevant loan file,
• the loan amount at origination or purchase,
• the loan location, and
10
See 12 CFR 228.41.
4
•
the gross annual income of the borrower that the SMB considered in making its credit
decision.
At its option, an SMB may also provide other information concerning its lending
performance, including additional loan distribution data.
Disclosure Requirements
Section 228.43 - Public file
All SMBs are required to maintain and make available to the public a file containing
comments received from the public for the current year and each of the prior two calendar years
and any response to the comments from the bank. The file also must contain a copy of the public
section of the SMB’s most recent CRA performance evaluation prepared by the Board, a list of
the bank’s open branches with addresses and geographies, a list of bank branches opened or
closed during the current year and each of the prior two calendar years, a list of the services
generally offered by the bank, and a map of each assessment area. The bank may include in the
file any other information that it chooses.
Large banks must also include in the public file the CRA Disclosure Statement (section
228.42(h)) prepared by the Board for each of the prior two calendar years and, if applicable,
information about consumer loan data. SMBs required to report data under HMDA and
Regulation C must include in the public file a copy of the HMDA Disclosure Statement prepared
by the Consumer Financial Protection Bureau for each of the prior two calendar years. In
addition, any SMB that elects to have home mortgage lending of an affiliate in any of those years
considered in its CRA evaluation must include in the public file the affiliate’s HMDA Disclosure
Statement for those years.
A small bank or an intermediate small bank must include in the public file the bank’s
loan-to-deposit ratio for each quarter of the prior calendar year, and if it elects to be evaluated
under the lending, service, and investment tests the information required under the disclosure
rules applicable to large banks.
An SMB that has, in accordance with section 228.27, submitted and been approved by the
Board for assessment under a strategic plan must include a copy of the plan in the public file.
An SMB that received a rating worse than “satisfactory” during its most recent CRA
examination must include in the public file a description of its efforts to improve its performance
and update the description quarterly.
Section 228.44 - Public notice by banks
An SMB must provide in the public lobby of its main office and in each branch a
prescribed notice informing consumers of their rights to certain information about the bank’s
operations and CRA performance as evaluated by the Board.
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Respondent Panel
The FR BB panel comprises all SMBs (as defined by in 12 CFR 208.2(g)), bank holding
companies (as defined in 12 U.S.C. § 1841), savings and loan holding companies (as defined in
12 U.S.C. § 1467a), foreign banking organizations (as defined in 12 CFR 211.21(o)), foreign
banks that do not operate an insured branch, state branch, or state agency of a foreign bank (as
defined in 12 U.S.C. §§ 3101(11) and (12), Edge or agreement corporations (as defined in
12 CFR 211.1(c)(2) and (3), and bank service providers
Frequency and Time Schedule
The reporting, recordkeeping, and disclosure requirements required by Regulation BB are
either mandatory or required to obtain a benefit and depend on bank size and other factors.
SMBs that are required to collect assessment area information, small business and small farm
data, community development data, and home mortgage loan data must collect and report the
data for the prior calendar year (as of December 31) to the Board in machine-readable form
annually by March 1.
The Board uses the data to examine and assess SMBs’ CRA records; to prepare the public
sections of CRA performance evaluations; and to help evaluate applications for bank acquisitions
and other transactions. The Board prepares annually for each SMB a public disclosure statement
that contains, on a state-by-state basis, information on small farm, small business, and community
development loans.
Together with the other agencies, the Board prepares annually for each MSA (including
an MSA that crosses a state boundary) and for each non-MSA portion of each state, an aggregate
disclosure statement of small business and small farm lending by all institutions subject to
reporting requirements under the agencies’ CRA regulations. These disclosure statements
indicate, for each geography, the number and amount of all small business and small farm loans
originated or purchased by reporting institutions, except that the Board may adjust the form of the
disclosure if necessary to protect the privacy of a borrower or the competitive position of an
institution. The Federal Financial Institutions Examination Council (FFIEC) also makes both
statements available on the FFIEC CRA website https://www.ffiec.gov/cra/. The statements are
usually available at each SMB and on the FFIEC website in late July.
Any SMB electing to submit a strategic plan to the Board must do so at least three
months prior to the proposed effective date of the plan. The Board will act upon a plan within 60
calendar days after the Board receives the complete plan and other required material. If the Board
fails to act within this 60 days, the plan shall be deemed approved unless the Board extends the
review period for good cause. As indicated above, an SMB may not be evaluated under a
strategic plan unless it has been operating under an approved plan for at least one year.
Revisions to the FR BB
Under the final rule, the Board added the following reporting and recordkeeping
requirements to FR BB.
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Reporting Requirements
Section 228.14(b)(1) provides that a bank may request that the Board confirm that a loan,
investment, or service is eligible for community development consideration by submitting a
request to, and in a format prescribed by the Board.
Section 228.42(b)(3) provides that a large bank with assets greater than $10 billion report
annually by April 1 to the Board in electronic form, as prescribed by the Board, deposits data for
the previous calendar year including for each county, state, and multistate MSA and for the
institution overall. The reporting must include the average annual deposit balances (calculated
based on average daily balances as provided in statements such as monthly or quarterly
statements, as applicable), in aggregate, of deposit accounts with associated addresses located in
such county, state, or multistate MSA where available, and for the institution overall. Any other
bank that opts to collect and maintain deposits data must report these data in the same form and
for the same duration as described in this paragraph. A bank that reports deposits data for which
a deposit location is not available must report these deposits at the nationwide area.
Section 228.42(c) provides that to the extent that its operations subsidiaries, or operating
subsidiaries, as applicable, engage in retail banking services, retail banking products, community
development lending, community development investments, or community development
services, a bank must collect, maintain, and report data for these activities for purposes of
evaluating the bank’s performance. For home mortgage loans, a bank must be prepared to
identify the loans reported by the operations subsidiary, or operating subsidiary, under 12 CFR
Part 1003, if applicable, or collect and maintain home mortgage loans by the operations
subsidiary or operating subsidiary that the bank would have collected and maintained under
section 228.42(a)(3) had the loans been originated or purchased by the bank.
Recordkeeping Requirements
Section 228.42(a)(3) provides that a large bank subject to 12 CFR Part 1003 collect and
maintain in prescribed electronic form, until the completion of the bank’s next CRA examination
in which the data are evaluated, data on home mortgage loan applications, originations, and
purchases outside the MSAs in which the bank has a home or branch office (or outside any
MSA) pursuant to the requirements in 12 CFR 1003.4(e). A large bank that is not subject to 12
CFR Part 1003 due to the location of its branches, but would otherwise meet the HMDA size and
lending activity requirements pursuant to 12 CFR Part 1003, must collect and maintain in
electronic form, until the completion of the bank’s next CRA examination in which the data are
evaluated, data on closed-end home mortgage loan, excluding multifamily loans, originated or
purchased during the evaluation period.
Section 228.42(a)(4) provides that a large bank must collect and maintain in prescribed
electronic form until the completion of its next CRA examination in which the data are
evaluated, data on their retail banking services and retail banking products. These data include
data regarding the bank’s main offices, branches, and remote service facilities, and information
with respect to retail banking services and retail banking products offered and provided by the
bank during the evaluation period. Large banks with assets greater than $10 billion, large banks
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with assets of less than or equal to $10 billion that do not operate any branches, and large banks
that request additional consideration for digital delivery systems and other delivery systems,
must collect and maintain data on the range of services and products offered through those
systems and digital and other delivery systems activity by individuals, families, or households in
low-, moderate-, middle-, and upper-income census tracts. Large banks may also submit any
additional information not required that demonstrates that their digital delivery systems and other
delivery systems serve the needs of low- and moderate-income individuals, families, or
households and low- and moderate-income census tracts. Large banks with assets greater than
$10 billion or large banks with assets of less than or equal to $10 billion that request additional
consideration for deposit products responsive to the needs of low- and moderate-income
individuals, families, or households must collect and maintain data including the number of
responsive deposit products opened and closed in low-, moderate-, middle-, and upper-income
census tracts, as well as the percentage of responsive deposit accounts in comparison to total
deposit accounts. Pursuant to section 228.42(a)(4), a bank may opt to collect and maintain
additional data not required that demonstrates that digital delivery systems and other delivery
systems serve low- and moderate-income individuals, families, or households and low- and
moderate-income census tracts and any other information that demonstrates the availability and
usage of the bank’s deposit products responsive to the needs of low- and moderate-income
individuals, families, or households and low- and moderate-income census tracts in a format of
the bank’s own choosing.
Section 228.42(a)(5) provides that a large bank, a limited purpose bank that would be a
large bank based on the asset size criteria described in the definition of a large bank, and an
intermediate bank that opts to be evaluated under the Community Development Financing Test,
collect and maintain until the completion of its next CRA examination in which the data are
evaluated, the following data for community development loans and community development
investments originated, purchased, refinanced, renewed, or modified by the bank: general
information on community development loans and community development investments;
specific community development loan or investment information; indicators of the impact and
responsiveness of the loan or investment; allocation of the dollar volume of the community
development loan or community development investment to geographic areas served by the loan
or investment; location information; and other information relevant to determining that an
activity meets the standards of a community development loan or community development
investment. Large banks must collect and maintain this information in prescribed electronic form
while an intermediate bank that opts to be evaluated under the Community Development
Financing Test, must collect and maintain this information in the format used by the bank in the
normal course of business.
Section 228.42(a)(6) provides that a large bank must collect and maintain in a format of
the bank’s choosing or in a standardized format provided by the agencies until the completion of
its next CRA examination in which the data are evaluated, community development services data
including community development services information, indicators of the impact and
responsiveness of the activity, and location information.
Section 228.42(a)(7) provides that a large bank with assets greater than $10 billion collect
and maintain annually in prescribed electronic form until the completion of its next CRA
8
examination in which the data are evaluated, the dollar amount of its deposits at the county level
based on deposit location. The bank should allocate the deposits for which a deposit location is
not available to the nationwide area. Annual deposits must be calculated based on average daily
balances as provided in statements such as monthly or quarterly statements. Any other bank that
opts to collect and maintain deposits data must collect and maintain the data in the same form
and for the same duration as described in this paragraph in prescribed electronic form, until the
completion of the bank’s next CRA examination in which the data are evaluated.
Under the final rule, the Board also revised the following reporting, recordkeeping, and
disclosure requirements in FR BB.
Reporting Requirements
Section 228.26 provides that banks requesting a designation as a limited purpose bank
must file a written request with the Board at least 90 days prior to the proposed effective date of
the designation.
Section 228.27 provides that any bank may have its record of helping meet the credit
needs of its entire community evaluated under a strategic plan, provided the Board has approved
the plan, the plan is in effect, and the bank has been operating under an approved plan for at least
one year. Section 228.27 sets forth the requirements for strategic plans, including the term of a
plan; the treatment of multiple assessment areas; the treatment of operations subsidiaries or
operating subsidiaries, as applicable, and affiliates that are not operations subsidiaries or
operating subsidiaries; justification requirements; public participation; submission; content; and
required amendments due to a change in material circumstances. Additionally, during the term of
a plan, a bank could request that the Board approve an amendment to the plan in the absence of a
change in material circumstances. A bank that requests such an amendment must provide an
explanation regarding why it is necessary and appropriate to amend its plan goals.
Section 228.42(b)(1) provides that a large bank must report annually by April 1 to the
Board in electronic form, as prescribed by the Board, certain aggregate data for the prior
calendar year for small business loans or small farm loans for each census tract in which the
bank originated or purchased such loans.
Section 228.42(b)(2) provides that a large bank and a limited purpose bank that would be
a large bank based on the asset size described in the definition of a large bank must report
annually by April 1 to the Board in electronic form, as prescribed by the Board, the following
community development loan and community development investment data for the prior
calendar year: general information on community development loans and community
development investments; specific information on the community development loan or
investment; indicators of the impact and responsiveness of the loan or investment; allocation of
the dollar volume of the community development loan or community development investment to
geographic areas served by the loan or investment; location information; other information
relevant to determining that an activity meets the standards under community development; and
allocation of dollar value of activity to counties served by the community development activity
(if available).
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Section 228.42(d) provides that a bank that elects to have retail banking services, retail
banking products, community development lending, community development investments, or
community development services engaged in by an affiliate (that is not an operations subsidiary
or operating subsidiary) considered for purposes of this part must collect, maintain, and report
the loans and investments, services, or products the bank would have collected, maintained, and
reported under sections 228.42(a) and (b) had the loans, investments, services, or products been
engaged in by the bank. For home mortgage loans, the bank must be prepared to identify the
home mortgage loans reported by its affiliate under 12 CFR Part 1003, if applicable, or collect
and maintain home mortgage loans by the affiliate that the bank would have collected and
maintained under section 228.42(a)(3) had the loans been originated or purchased by the bank.
Section 228.42(e) provides that a bank that elects to have community development loans
and community development investments by a consortium or third party be considered for
purposes of this part must collect, maintain, and report the lending and investments data they
would have collected, maintained, and reported under sections 228.42(a)(5) and (b)(2) if the
loans or investments had been originated, purchased, refinanced, or renewed by the bank.
Section 228.42(f)(1) provides that a large bank and a limited purpose bank that would be
a large bank based on the asset size criteria described in the definition of a large bank must
collect and report by April 1 of each year a list of each facility-based assessment area showing
the states, MSAs, and counties that make up each facility-based assessment area, as of December
31 of the prior calendar year, or the last date the facility-based assessment area was in effect,
provided the facility-based assessment area was delineated for at least six months of the prior
calendar year.
Section 228.42(f)(2) provides that a large bank with one or more retail lending
assessment area delineated pursuant to section 228.17 must collect and report each year by
April 1 a list of retail lending assessment area showing the states, MSAs and counties in the retail
lending assessment area for the prior calendar year.
Recordkeeping Requirements
Section 228.42(a)(1) provides that a large bank must collect and maintain in prescribed
electronic form, until the completion of its next CRA examination in which the data are
evaluated, data on small business loans and small farm loans originated or purchased by the bank
during the evaluation period.
Section 228.42(a)(2) provides that a large bank for which automobiles are a product line
must collect and maintain in prescribed electronic form, until the completion of the bank’s next
CRA examination in which the data are evaluated, data on automobile loans originated or
purchased by the bank during the evaluation period. A small or intermediate bank for which
automobiles are a product line may collect and maintain the same automobile loan data in a
format of the bank’s choosing, including in an electronic form prescribed by the Board, until the
completion of the bank’s next CRA examination in which the data are evaluated.
10
Disclosures Requirements
Sections 228.43 and 228.44 provide that banks must maintain a public file, in either paper
or digital format, that includes the information prescribed in each part. Banks are required to
provide copies on request, either on paper or in another form acceptable to the person making the
request, of the information in the bank’s public file. A bank is also required to provide in the
public area of its main office and branches the public notice set forth in Appendix F (CRA
Notice).
In addition, the Board separated and clarified burden estimates that were previously
consolidated. The Board also updated section numbering made further clarifications, as
appropriate, in accordance with the final rule.
Public Availability of Data
The data described in this information collection may be found in SMBs’ CRA
performance evaluations and public files, on the Consumer Financial Protection Bureau’s
website, and on the FFIEC website.
Legal Status
The FR BB is authorized by section 806 of the CRA, which permits the Board to issue
“[r]egulations to carry out the purposes of [the CRA]” (12 U.S.C. § 2905); section 11 of the
Federal Reserve Act, which permits the Board to “require such statements and reports as it
deems necessary” of state member banks (12 U.S.C. § 248(a)(1)); and section 9 of the Federal
Reserve Act, which permits the Board to examine state member banks (12 U.S.C. § 325). Most
of the reporting, recordkeeping, and disclosure requirements of Regulation BB are mandatory.
However, there are several limited parts of the collection that are required to obtain a benefit:
specifically, the request for designation as a wholesale or limited purpose bank, the strategic
plan, and the reporting and recordkeeping requirements associated with data regarding consumer
loans and lending performance, affiliate lending data, and data on lending by a consortium or a
third party.
Most of the information collected under Regulation BB is not considered confidential.
However, if a respondent elects to submit a strategic plan pursuant to 12 CFR 228.27, the
respondent may submit additional information to the Board relating to the strategic plan on a
confidential basis, so long as the goals in the plan are sufficiently specific to enable the public
and the Board to judge the merits of the plan. The Board will determine whether the additional
information is entitled to confidential treatment on a case-by-case basis.
To the extent a respondent submits information contained in or related to examination,
operating, or condition reports prepared by, or on behalf of, or for the use of an agency
responsible for the regulation or supervision of financial institutions, the respondent may request
confidential treatment pursuant to exemption 8 of the Freedom of Information Act (FOIA)
(5 U.S.C. § 552(b)(8)). To the extent a respondent submits nonpublic commercial or financial
information which is both customarily and actually treated as private by the respondent, the
11
respondent may request confidential treatment pursuant to exemption 4 of the FOIA (5 U.S.C. §
552(b)(4)).
Consultation Outside the Agency
The Board consulted with the FDIC and OCC on the revisions to the rulemaking and
FR BB.
Public Comments
On June 3, 2022, the agencies published a notice of proposed rulemaking in the Federal
Register (87 FR 33884) requesting public comment on the extension, with revision, of the
FR BB. The comment period for this notice expired on August 5, 2022.
The agencies received four public comments that appear to relate to the Paperwork
Reduction Act (PRA) addressing the agencies’ estimated burden costs on the information
collection requirements of the proposed rule. One commenter stated that the proposal would
generally require considerable additional resources for implementation and ongoing costs to
manage their CRA programs under the proposed rule. The commenter estimated that it could
incur implementation costs of $150,000. This commenter also believed that complying with the
proposed rule would require substantially more time than the estimated yearly burden of 80
hours per year. Another commenter stated that the costs associated with implementing the
proposal would be significantly greater than the agencies had estimated and could require
significant investments at covered institutions, potentially including hiring several additional
fulltime employees. This commenter requested that the agencies provide a more detailed
explanation of their estimations of the proposed rule’s costs. Another commenter believed the
estimated burden of 80 hours per year was very low, suggesting that another 500 hours,
minimum, would be required for compliance. The commenter stated that the proposed rule is
complex and would require significant investment by covered institutions to achieve compliance.
An additional commenter stated that the agencies provided insufficient support for their burden
estimates. This commenter requested that the agencies provide more details on the breakdown of
estimated compliance costs and an analysis of how the potential costs might impact economic
output.
The agencies incorporated a number of changes into the final rule as a result of public
comments received regarding compliance burden. The agencies have carefully reviewed their
burden associated with reporting, recordkeeping, and disclosure for each section of the rule in
light of these changes to the final rule and in consideration of the comments received. The
agencies note that, consistent with the PRA, the PRA burden estimates reflect only the burden
related to reporting, recordkeeping, and disclosure requirements in the final rule. PRA burdens,
like compliance costs, may vary across institutions, and the agencies’ PRA burden estimates are
meant to be overall averages. The agencies do not have detailed data that would permit the
agencies to precisely estimate the quantitative effect of the final rule for every type of institution.
Accordingly, the burden estimates are shown based on the agencies’ extensive experience with
CRA compliance and estimating associated burden. The agencies estimated the associated
burden by referencing the number of entities supervised by each agency and estimating the
12
frequency of response and the time per response. The agencies believe the estimates of burden
hours are reasonable considering the reporting, recordkeeping, and disclosure requirements of
the final rule.
Under the final rule, the agencies retained the information collection provisions of the
proposed rule, with certain modifications. The agencies have included a reporting burden for the
community development illustrative list and confirmation of eligibility process pursuant to
section 228.14. The agencies have included a recordkeeping burden for Home Mortgage Loans
pursuant to section 228.42(a)(3). The agencies have also removed reporting requirements for
community development services pursuant to section 228.42(b)(4) and consumer loans data automobile loans pursuant to section 228.42(b)(2). However, the recordkeeping requirements
have been maintained for both provisions.
On February 1, 2024, the agencies published a final rule in the Federal Register (89 FR
6574). The final rule is effective on April 1, 2024.
Estimates of Respondent Burden
As shown in the table below, the estimated total annual burden for the FR BB is 75,116
hours, and would increase to 105,455 hours with the revisions. The burden estimates for
reporting requirements related to loan data, other than community development loan data, include
time estimates for geocoding easy- and hard-to-find loan geographies. The number of
respondents for the non-optional reporting requirements (loan data and assessment area
delineation) and optional reporting requirements (third-party and affiliate lending) are based on
the number of CRA data respondents regulated by the Board. Optional reporting requirements for
requests for strategic plan approvals and designations as a wholesale or a limited purpose bank
are based on previous experience.11 Optional recordkeeping requirement burden estimates for
consumer loan data and other loan data are estimated based on a review of CRA performance
evaluations. The burden for the public file disclosure requirements includes estimates for both the
large and small bank requirements. The public file requirement burden estimate also includes an
estimate of the time required for small banks, including intermediate small banks, to delineate an
assessment area. These reporting, recordkeeping, and disclosure requirements represent
approximately 1.5 percent of the Board’s total paperwork burden.
11
On average, the Board receives requests for two strategic plan approvals a year and less than one request for
designation as a wholesale or a limited purpose bank a year.
13
FR BB
Reporting
Section 228.25(b)
Request for designation as a
wholesale or a limited purpose bank
Section 228.27
Request for strategic plan approval
Sections 228.41 and 228.42(g)
Assessment area delineation
Section 228.42(b)
Loan data:
Small business and small farm
Community development
HMDA out of MSA
Section 228.42(d)
Affiliate lending data
Section 228.42(e)
Data on lending by a consortium or a
third party
Recordkeeping
Section 228.42(a)
Small business and small farm loan
register
Section 228.42(c):
Consumer loan data
Other loan data
Disclosure
Sections 228.43 and 228.44
Content and availability of public
file and public notice by banks
Current Total
Proposed
Reporting
Section 228.14(b)(1)
Request for confirmation of
eligibility
Section 228.26
Limited purpose banks
Section 228.27
Strategic plan
Section 228.42(b)(1)
Small business and small farm loan
data
Estimated
number of
respondents
Estimated
Estimated
Estimated
annual
average hours annual burden
frequency per response
hours
1
1
4
4
2
1
275
550
117
1
2
234
113
98
117
1
1
1
8
13
253
904
1,274
29,601
5
1
38
190
12
1
17
204
113
1
219
24,747
28
20
1
1
326
25
9,128
500
778
1
10
7,780
75,116
18
1
8
144
1
1
4
4
3
1
400
1,200
106
1
8
848
14
Section 228.42(b)(2)
Community development loan and
community development investment
data
Section 228.42(b)(3)
Deposits data
Section 228.42(c)
Data on operations
subsidiaries/operating subsidiaries
Section 228.42(d)
Data on other affiliates
Section 228.42(e)
Data on community development
financing by a consortium or a third
party
Section 228.42(f)(1)
Facility-based assessment areas data
Section 228.42(f)(2)
Retail lending assessment areas
Recordkeeping
Section 228.42(a)(1)
Small business and small farm loan
data
Section 228.42(a)(2)
Consumer loan data - automobile
loans
Section 228.42(a)(3)
Home mortgage loans
Section 228.42(a)(4)
Retail banking services and retail
banking products data
Section 228.42(a)(5)
Community development loan and
community development investment
data
Section 228.42(a)(6)
Community development services
data
Section 228.42(a)(7)
Deposits data
Disclosure
Sections 228.43 and 228.44
Content and availability of public
112
1
8
896
35
1
8
280
139
1
38
5,282
238
1
38
9,044
5
1
17
85
112
1
2
224
8
1
4
32
106
1
219
23,214
2
1
75
150
14
1
8
112
107
1
50
5,350
113
1
300
33,900
112
1
50
5,600
35
1
350
12,250
684
1
10
6,840
15
file and Public notice by banks12
Proposed Total
105,455
Change
30,339
The estimated total annual cost to the public for the FR BB is $5,246,853, and would
increase to $7,366,032 with the revisions.13
Sensitive Questions
This information collection contains no questions of a sensitive nature, as defined by
OMB guidelines.
Estimate of Cost to the Federal Reserve System
The estimated cost to the Federal Reserve System for collecting and processing this
information collection is $677,300.
12
Of these respondents, 464 are considered small entities as defined by the Small Business Administration (i.e.,
entities with less than $850 million in total assets). Size standards effective March 17, 2023. See
https://www.sba.gov/document/support-table-size-standards.
13
Total cost to the responding public is estimated using the following formula: total burden hours, multiplied by the
cost of staffing, where the cost of staffing is calculated as a percent of time for each occupational group multiplied
by the group’s hourly rate and then summed (30% Office & Administrative Support at $23, 45% Financial
Managers at $84, 15% Lawyers at $85, and 10% Chief Executives at $124). Hourly rates for each occupational
group are the (rounded) mean hourly wages from the Bureau of Labor Statistics (BLS), Occupational Employment
and Wages, May 2023, published April 3, 2024, https://www.bls.gov/news.release/ocwage.t01.htm. Occupations are
defined using the BLS Standard Occupational Classification System, https://www.bls.gov/soc/.
16
Attachment 1
Summary of Annual Reporting, Recordkeeping, and Disclosure Requirements
Associated with Regulation BB
Requirements
Reporting
Recordkeeping
Disclosure
Assessment area (228.41, 228.42(g))
Large banks14
Report list of geographies Collect list of
in assessment area(s)
geographies in
assessment area(s)
Small business and small farm loan data (228.42(b)(1))
Large banks
Report aggregate number
and amount of loans:
• $100,000 or less at
origination,
• More than $100,000,
but less than or equal
to $250,000 at
origination,
• More than $250,000
at origination, and
• to business or farm
with gross annual
revenue of $1 million
or less
Community development loan data (228.42(b)(2))
Large banks
Aggregate number and
amount of community
development loans
originated or purchased
Home mortgage loan data (228.42(b)(3))
Large banks
If applicable:
Location of each loan
application, origination,
or purchase outside of
MSAs where bank has
offices (property
location)
14
For the purpose of this attachment, large banks are defined as any bank other than a small bank or an intermediate
small bank, as defined by Regulation BB, or any small bank or an intermediate small bank electing not to employ the
reporting exemptions available to small banks.
17
Requirements
Reporting
Recordkeeping
Disclosure
Request for designation as a wholesale or a limited purpose bank (optional) (228.25(b))
All banks
Request in writing filed
with the Board three
months in advance of
proposed effective date
of designation
Strategic plan (optional) (228.27)
All banks
Submitted to and
approved by the Board
Affiliate lending data (optional) (228.42(d))
All banks
Loan data the bank
Loan data the bank
would have reported had would have collected
the loans been
and maintained had
originated or purchased the loans been
by the bank
originated or
purchased by the
bank15
Data on lending by a consortium or a third party (optional) (228.42(e))
All banks
Loan data the bank
would have reported had
the loans been
originated or purchased
by the bank
Small business and small farm loan register (228.42(a))
Large banks
Must collect and
maintain:
• unique number or
alpha-numeric
symbol,
• loan amount,
• loan location, and
• indicator whether
loan was to
business or farm
with gross annual
revenues of $1
million or less
15
For home mortgage loans, the bank must be prepared to identify the home mortgage loans reported by the affiliate
under HMDA and Regulation C.
18
Requirements
Reporting
Recordkeeping
Disclosure
Consumer loan data (optional) (228.42(c)(1))
All banks
Loans originated or
purchased:
• unique number or
alpha-numeric
symbol,
• loan amount,
• loan location, and
• borrower’s gross
income
considered in
making credit
decision
Other loan data (optional) (228.42(c)(2))
All banks
Other lending
performance
information
Public file (228.43)
All banks
•
comment letters
and responses
(current and
prior two years)
• public section of
most recent CRA
performance
evaluation
• list of bank
branches
• list of branch
openings and
closings
• list of services
offered
• map of each
assessment area
if applicable:
• strategic plan
• description of
current efforts to
improve its CRA
performance
19
Requirements
Reporting
Recordkeeping
Disclosure
•
Large banks
CRA Disclosure
Statements (prior
two years)
if applicable:
• consumer loan
data (prior two
years)
• HMDA
Disclosure
Statements (prior
two years)
• loan-to-deposit
ratio; each
quarter prior year
if applicable:
• information
required under
disclosure rules
for large banks
Small banks and
intermediate
small banks
Public notice (228.44)
All banks
Prescribed notices
informing
consumers of their
rights to certain
information
20
| File Type | application/pdf |
| File Modified | 2024-04-19 |
| File Created | 2024-04-19 |