U.S. Regulatory Week Ahead
October 30 - November 3, 2023
There are four significant events we are watching closely this week. First, Federal Reserve Vice Chair for Supervision Michael Barr’s is giving not one but two speeches on November 3rd on the Fed’s recent expansion of Community Reinvestment Act regulations. It is unusual to see the Fed so quickly step out publicly like this to defend and try to explain themselves. But Barr has good reason to move quickly: Banks are not happy with the move and are likely to file lawsuits to block the rules.
The second significant event this week is happening at the Commodities Futures Trade Commission. They are holding an open meeting to consider a proposed rule on Investment of Customer Funds by Futures Commission Merchants and Derivatives Clearing Organizations. The draft rule has yet to be released but we will be sending it around as soon as it is published.
The third event is the Financial Stability Oversight Council’s meeting on Friday where they are expected to discuss designations of nonbanks as well as the FSOC’s framework for identifying stability risk. They will then go into a closed meeting to discuss the state of the commercial real estate market. What is said and done behind closed doors may be more important than the open meeting.
Finally, the fourth event will happen at the House Financial Services Committee on Thursday. The full committee convenes for a hearing examining SEC Chair Gary Gensler’s aggressive regulatory agenda. This is all part of a new onslaught of heightened opposition among House Republicans (and more than a few Democrats) to many of Gensler’s proposals, particularly his climate related regulations. This past week, Gensler spoke at the U.S. Chamber of Commerce and suggested he may scale back his initial climate proposals but did not give details. The Chamber has already indicated their intention to take the SEC to federal court over the climate proposals and many of Gensler’s other proposals. Gensler even cracked a joke about the coming lawsuits when he was introduced at the event.
There are other important events happening in the regulatory space this week. Below is the full regulatory calendar as we see it for the coming week. Please let us know if you have any questions.
U.S. Congressional Hearings
House of Representatives
November 2, 10:00 a.m.: The full committee holds a hearing entitled “Examining the SEC’s Agenda: Unintended Consequences for U.S. Capital Markets and Investors.” Hearing details and a list of witnesses will be provided later.
November 2, 2:00 p.m.: The Subcommittee on Housing and Insurance hold a hearing entitled “The Factors Influencing the High Cost of Insurance for Consumers” Hearing details and a list of witnesses will be provided later.
U.S. Senate
November 2, 10:00 a.m.: the full committee holds a hearing entitled “Ensuring Financial Protection for Servicemembers, Veterans, and Their Families.” Among those testifying will be Mr. Cory Titus, Director of Servicemember Compensation and Veteran Benefits, Military Officers Association of America, and Ms. Kelly Hruska, Government Relations Director, National Military Family Association.
US Regulatory Meetings & Events
Federal Reserve Board
November 1 - 2: The Federal Reserve Board’s Open Market Committee meets to consider rates. Fed Chair Jay Powell holds a press conference at 2:30 p.m. on November 2.
November 3, 8:00 a.m.: Federal Reserve Vice Chair for Supervision Vice Chair for Supervision Michael S. Barr speaks on the Community Reinvestment Act at the National Housing Conference - Breakfast with Barr: A Conversation About CRA in the 21st Century, Washington, D.C.
November 3, 3:30 p.m.: Federal Reserve Board Vice Chair for Supervision Michael S. Barr again speaks – this time virtually – on the Community Reinvestment Act at the New Community Reinvestment Act Rule: What It Means For Communities Around the Country.
U.S. Treasury Department
November 3, 1:50 p.m.: The Financial Stability Oversight Council will hold a public meeting to discuss the designations of nonbanks and its framework for identifying financial stability risks. The council will also hold a closed-door meeting where it plans to discuss topics including the commercial real estate market and oversight of the Treasury market.
Securities and Exchange Commission
November 2, 2:00 p.m.: The SEC holds a closed meeting.
Federal Deposit Insurance Corporation
November 2, 9:00 a.m.: The FDIC’s Advisory Committee on Economic Inclusion holds panel discussions on the current environment, including industry and market trends that affect consumer participation in the banking system.
Commodities Futures Trading Commission
November 1, 9:30 a.m.: The Commission will hold an open meeting to consider a proposed rule on the Investment of Customer Funds by Futures Commission Merchants and Derivatives Clearing Organizations.
November 2, 6:15 p.m.: Commissioner Kristin N. Johnson will participate in a fireside chat to discuss AI regulations, digital assets, and cybersecurity with former FTC Chair William Kovacic, moderated by Nick Elliott and hosted by WSJ.
Office of the Comptroller of the Currency
No significant events are scheduled.
The Consumer Financial Protection Bureau
October 30, 1:00 p.m.: The CFPB will hold an event entitled, “Data Enforcers Convening: Remedies and Accountability for Data Misuse and Algorithmic Harm.”
November 1, 10:00 a.m.: The CFPB’s Federal Financial Institutions Examination Council Appraisal Subcommittee meets to hold its third public hearing on appraisal bias. Witnesses include Robbie Wilson, Chief Appraiser, RSDS LLC, and President, National Society of Real Estate Appraisers, Dean Kelker, Board of Directors, Real Estate Valuation Advocacy Association, Danny Wiley, Senior Director of Single-Family Valuation, Freddie Mac, Lyle E. Radke, Senior Director, Single-Family Collateral Risk, Fannie Mae, Sharon Whitaker, Vice President, CRE & Mortgage Finance, American Bankers Association
National Credit Union Administration
The NCUA has published the staff draft budget for 2024-2025 in advance of a public briefing on November 16. You can access the draft budget HERE.
Federal Trade Commission & Department of Justice Antitrust Division
November 2 -3: The FTC holds the 16th Annual Microeconomics Conference at the Constitution Center in Washington, D.C.
November 3, 9:00 – 4:00 p.m.: The FTC and the Justice Department’s Antitrust Division hold a Public Workshop on the 2023 Draft Merger Guidelines at the University of Chicago Law School, Chicago, Illinois.
Farm Credit Administration
No significant events are scheduled.
Trade Associations & Think Tank Events
Think Tanks
October 30, 10:00 a.m.: The Peterson Institute for International Economics holds a webcast entitled “Is globalization really in retreat?” Former Federal Reserve Vice Chair Alan Blinder will speak along with Princeton Professor Stephen Redding and PIIE Scholar Arvind Subramanian.
October 31 – November 1: The American Enterprise Institute holds its 12th Annual Housing Conference in Washington, D.C.
November 3, 11:00 a.m.: The Brookings Institution’s Hamilton Project holds a webinar entitled “Policies to address a changing rental housing market”
Trade Associations
November 1- 2: SIFMA Holds its annual Market Structure Conference in New York. Several senior SEC officials will speak.
Please let us know if you have any questions or would like to be added to our email distribution list.