Pub. 14 2019-2020 Issue 4

WWW.NEBANKERS.ORG 22 Regulation CC Updates – Action Plan and Q&As T HECONSUMERFINANCIALPROTECTION Bureau and Federal Reserve Board (collectively, the Agencies) issued a final rule regarding inflation-based adjustments to thedollar amounts required by the Expedited Funds Availability Act (EFA Act), which is implemented by RegulationCC. TheAgencies also amended RegulationCC to incorporate theEconomic Growth, Regulatory Relief, and Consumer Protection Act amendments to the Expe- ditedFunds AvailabilityAct, which include extendingcoverage toAmericanSamoa, the Commonwealth of the Northern Mariana Islands, and Guam and certain other tech- nical amendments. There have been many questions as to what actually went into effect on Sept. 3, 2019. The final rule states that this rule is effective Sept. 3, 2019, except for the amendments to 12 CFR 229.1, 229.10, 229.11, 229.12(d), 229.21, and appendix E to part 229, which are effec- tive July 1, 2020. To put it another way, all of the amendments go into effect on Sept. 3, 2019, except for the newly adjusted dollar amounts, which are effective July 1, 2020. So, the amend- ments related to the extension of the EFA Act to American Samoa, the Commonwealth of the Northern Mariana Islands, and Guam found in 229.12(e) and 229.43, the definitions of Automatic TellerMachine, States and the United States, and the technical amendments to Regu- lation DD all went into effect on Sept. 3, 2019. Themajor part of the rule regarding the newly adjusted dollar amounts goes into effect on July 1, 2020. The amendments institute a Dodd- Frank Act statutory requirement to adjust for inflation the amount of funds depositor y institutions must make available to their customers. The Dodd- Frank Act amendments require the EFA Act dollar amounts to be adjusted every five years based on the annual percentage increase of Consumer Price Index for UrbanWage Earners or CPI-W, rounded to the nearest multiple of $25. Jennifer Kirby, CRCM, Virtual Compliance Officer