All Insights

PH FedACTion: Financial Regulatory Updates

Daily Financial Regulation Update -- Tuesday, September 22, 2020

September 22, 2020

By FedACTion Task Force

Subscribe to

PH Client Alerts

to read more from our Coronavirus series.


to view the full text of the Coronavirus Aid, Relief and Economic Security Act (the “CARES Act”), Enacted March 27, 2020.

to view the full text of the Paycheck Protection Program Increase Act of 2020, Enacted April 24, 2020.

to view the full text of the Paycheck Protection Program Flexibility Act of 2020, Enacted June 5, 2020.

from the Senate Committee on Banking, Housing, and Urban Affairs, Senate Committee on Small Business and Entrepreneurship, House Committee on Financial Services, and House Committee on Small Business.

Federal Agencies

Federal Reserve Board

Federal Reserve Chairman Powell Testifies Before the House Committee on Financial Services on the Coronavirus Aid, Relief, and Economic Security Act

September 22, 2020

The Board of Governors of the Federal Reserve System (Federal Reserve) issued the prepared testimony of Chairman Jerome Powell to be delivered to the U.S. House of Representatives Committee on Financial Services addressing how the Federal Reserve is addressing the economic challenges caused by COVID-19. Chairman Powell addresses the status of the various facilities implemented by the Federal Reserve to address pandemic-related financial challenges, including the Municipal Liquidity Facility, the Main Street Lending Programs, the Primary Market Corporate Credit Facility, the Secondary Market Corporate Credit Facility and the Term Asset-Backed Securities Loan Facility.

Federal Reserve Bank of New York

Labor Market Survey Shows a Sharp Increase in Transitions into Unemployment and Expectations Regarding Job Transitions Worsen

September 21, 2020

The Federal Reserve Bank of New York’s Center for Microeconomic Data released the July 2020 SCE Labor Market Survey showing a rise in transitions into unemployment and a decline in employer-to-employer transitions, compared to a year ago. Regarding expectations, the average expected likelihood of receiving an offer in the next four months declined sharply while the average expected wage offer (conditional on receiving one) remained largely unchanged. The average reservation wage, the lowest wage at which respondents would be willing to accept a new job, increased year-over-year. Expectations regarding job transitions displayed a broad-based worsening.

Blog: How Did State Reopenings Affect Small Business?

September 21, 2020

The Federal Reserve Bank of New York’s Liberty Street Economics blog released a post discussing the effects of the reopening of state economies on small businesses. The authors find that loosening of restrictions imposed to slow the spread of COVID-19 had positive and significant effects in the short term on small business revenues, the number of active merchants, and the number of employees working in small businesses. The authors investigate how much small business activity increased after the reopenings but do not assess whether, when or how states should loosen or tighten restrictions aimed at controlling the COVID-19 pandemic.

Department of Housing and Urban Development/Federal Housing Administration

HUD Awards More Than $500,000 in CARES Act Funding to Fifteen State and Local Fair Housing Organizations to Support COVID-19 Related Activities

September 21, 2020

The Department of Housing and Urban Development (HUD) announced more than half a million dollars in additional funding to HUD Fair Housing Assistance Program agencies in 12 states to support activities related to COVID-19. The awards are part of $1.5 million in Partnership and Special Enforcement Effort funds provided through the CARES Act.

Freddie Mac

Freddie Mac’s Apartment Investment Market Index Slightly Down in Q2 Reflecting COVID-19 Pandemic’s Impact on Multifamily Market

September 21, 2020

The Freddie Mac Multifamily Apartment Investment Market Index® (AIMI®) fell by 0.3% in the second quarter of 2020 after a quarterly increase (1.8%) in the first quarter of 2020. The decline reflects the impact of the COVID-19 pandemic and was largely driven by the first negative second quarter net operating income growth (-1.2%) since 2009 and mixed property price growth. On an annual basis, the AIMI rose by 6.1% as mortgage rates decreased for the fourth consecutive quarter.


European Banking Authority

EBA Phases Out its Guidelines on Legislative and Non-Legislative Loan Repayments Moratoria

September 21, 2020

The European Banking Authority (EBA), which has been monitoring the developments of the COVID-19 pandemic, plans to phase out its Guidelines on legislative and non-legislative payment moratoria in accordance with its end of September deadline. The Guidelines, which were published in the early phases of the COVID-19 pandemic, have provided flexibility as well as certainty on the regulatory framework, in light of the significant number of actions taken by banks to support their customers as exceptional lock-down measures were put in place. The regulatory treatment set out in the Guidelines will continue to apply to all payment holidays granted under eligible payment moratoria prior to September 30, 2020.

Get In Touch With Us

Contact Us