Federal Reserve Delegation of Authority Correction Rule

Content

ACTION:

Final rule; correcting amendments.

SUMMARY:

The Board is revising its Rules Regarding Delegation of Authority to add delegations previously approved by the Board and
to make certain technical corrections.

DATES:

Effective March 5, 2026.

FOR FURTHER INFORMATION CONTACT:

Amory Goldberg, Senior Counsel, (202) 469-1015, Legal Division, Board of Governors of the Federal Reserve System, 20th Street
and Constitution Avenue NW, Washington, DC 20551. For users of TTY-TRS, please call 711 from any telephone, anywhere in the
United States.

SUPPLEMENTARY INFORMATION:

I. Background

Section 11(k) of the Federal Reserve Act authorizes the Board to delegate, by published order or rule and subject to the Administrative
Procedure Act, any of its functions, other than those related to rulemaking or pertaining principally to monetary and credit
policies, to one or more administrative law judges, members or staff of the Board, or the Reserve Banks. (1) The Board has delegated authority to Board members (in their individual capacity and as chairs of committees of the Board),
Board staff, and the Federal Reserve Banks to take certain actions under the various statutes that the Board administers.
The Board's Rules Regarding Delegation of Authority (delegation rules) implement section 11(k) of the Federal Reserve Act
and enumerate the actions that the Board has determined to delegate. By delegating actions that do not raise significant legal,
supervisory, or policy issues, the Board can respond more efficiently to applications, requests, and other matters.

The Board published a final rule in 2022 that comprehensively revised the delegation rules. (2) The Board is amending the delegation rules to publish two delegations of authority approved by the Board, and to make certain
technical corrections.

II. Regulatory Analyses

These amendments relate solely to the agency's organization, procedure, or practice. Accordingly, the provisions of the Administrative
Procedure Act (APA) regarding notice of proposed rulemaking and opportunity for public participation are not applicable. (3)

Because no notice of proposed rulemaking is required to be issued, or has been issued, in connection with this rule, it is
not a “rule” for purposes of the Regulatory Flexibility Act, and that act, therefore, does not apply. (4)

In accordance with the Paperwork Reduction Act of 1995 (PRA), (5) the Board may not conduct or sponsor, and a respondent is not required to respond to, an information collection unless it
displays a currently valid Office of Management and Budget control number. The amendments do not contain any collections of
information as defined in the PRA.

Section 722 of the Gramm-Leach-Bliley Act (6) requires the Federal banking agencies to use plain language in all proposed and final rules published after January 1, 2000.
The Board has sought to present this rule in a simple and straightforward manner.

As a rule of internal agency organization, the final rule is not a “substantive rule” for the purposes of the APA; as such,
the act does not require the Board to delay the effective date of the rule. (7) Accordingly, the amendments are effective March 5, 2026.

List of Subjects in 12 CFR Part 265

Authority delegations (Government agencies); Banks, banking.

Authority and Issuance

For the reasons stated in the preamble the Board of Governors of the Federal Reserve System corrects 12 CFR part 265 by making
the following correcting amendments:

PART 265—RULES REGARDING DELEGATION OF AUTHORITY

Regulatory Text 1. The authority citation for part 265 continues to read as follows:

Authority:

12 U.S.C. 248(i) and (k).

Subpart B—Delegations of Authority

Regulatory Text

§ 265.4 [Amended]

1. In § 265.4, remove and reserve paragraph (d)(2).

§ 265.5 [Amended] Regulatory Text 3. In § 265.5, in paragraph (a)(2)(i), remove “Board's approval authority,” and add in its place “Board's approval, authorization,”

1. In § 265.6, add paragraph (l) to read as follows:

§ 265.6 Functions delegated to the General Counsel.

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(l) Section 106 of the Bank Holding Company Act Amendments of 1970. To grant exceptions to the anti-tying provisions of section 106 of the Bank Holding Company Act Amendments of 1970 (12 U.S.C.
1972) to allow a bank holding company's credit card subsidiary to offer a credit card secured by deposits at an affiliate
and similar credit card programs.

§ 265.7 [Amended] Regulatory Text 5. In § 265.7, in paragraph (d)(7)(ii)(B)(3), remove “(252.146 and 252.158);” and add in its place “(12 CFR 252.146 and 252.158);”

1. In § 265.11, add paragraph (c) to read as follows:

§ 265.11 Functions delegated to the Director of the Division of Reserve Bank Operations and Payment Systems.

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(c) Regulation HH. After consulting with interested division directors, to

  establish the process for receiving notifications described in section 234.3(a)(17)(vi)(A) of the Board's Regulation HH (12
  CFR 234.3(a)(17)(vi)(A)) and to provide notice of this process to affected firms.

By order of the Board of Governors of the Federal Reserve System, acting through the Secretary of the Board under delegated
authority.

Benjamin W. McDonough, Deputy Secretary of the Board. [FR Doc. 2026-04373 Filed 3-4-26; 8:45 am] BILLING CODE 6210-01-P

Footnotes

(1) 12 U.S.C. 248(k).

(2) Rules Regarding Delegation of Authority, 87 FR 53988 (September 1, 2022).

(3) 5 U.S.C. 553(b)(A).

(4) 5 U.S.C. 601(2).

(5) 44 U.S.C. 3501 et seq.

(6) 12 U.S.C. 4809.

(7) See 5 U.S.C. 553(d).

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