70194 Federal Register / Vol. 78, No. 227 / Monday, November 25, 2013 / Rules and Regulations 

each year based on any annual 

percentage increase in the CPI–W that 

was in effect on the preceding June 1. 

Any increase in the threshold amount 

will be rounded to the nearest $100 

increment. For example, if the annual 

percentage increase in the CPI–W would 

result in a $950 increase in the 

threshold amount, the threshold amount 

will be increased by $1,000. However, if 

the annual percentage increase in the 

CPI–W would result in a $949 increase 

in the threshold amount, the threshold 

amount will be increased by $900. See 

comments 2(e)–9 in Supplements I of 12 

CFR part 213 and 12 CFR part 1013. 

II. Adjustment and Commentary 

Revision 

Effective January 1, 2014, the adjusted 

exemption threshold amount is $53,500. 

This adjustment is based on the CPI–W 

index in effect on June 1, 2013, which 

was reported on May 16, 2013. The 

Bureau of Labor Statistics publishes 

consumer-based indices monthly, but 

does not report a CPI change on June 1; 

adjustments are reported in the middle 

of the month. The CPI–W is a subset of 

the CPI–U index (based on all urban 

consumers) and represents 

approximately 28 percent of the U.S. 

population. The adjustment reflects a 

0.9 percent increase in the CPI–W from 

April 2012 to April 2013 and is rounded 

to the nearest $100 increment. 

Accordingly, the Board and the Bureau 

are revising the commentaries to their 

respective regulations to add new 

comment 2(e)–9.v stating that, from 

January 1, 2014 through December 31, 

2014, the threshold amount is $53,500. 

These revisions are effective January 1, 

2014. 

III. Administrative Law Matters 

Administrative Procedure Act 

Under the Administrative Procedure 

Act, notice and opportunity for public 

comment are not required if the Board 

and the Bureau find that notice and 

public comment are impracticable, 

unnecessary, or contrary to the public 

interest. 5 U.S.C. 553(b)(B). This annual 

adjustment is required by statute. The 

amendment in this notice is technical 

and non-discretionary, and it applies 

the method previously established in 

the agencies’ regulations for 

determining adjustments to the 

exemption threshold. For these reasons, 

the Board and the Bureau have 

determined that publishing a notice of 

proposed rulemaking and providing 

opportunity for public comment are 

unnecessary. Therefore, the 

amendments are adopted in final form. 

Regulatory Flexibility Act 

The Regulatory Flexibility Act (RFA) 

does not apply to a rulemaking where a 

general notice of proposed rulemaking 

is not required. 5 U.S.C. 603 and 604. 

As noted previously, the agencies have 

determined that it is unnecessary to 

publish a general notice of proposed 

rulemaking for this joint final rule. 

Accordingly, the RFA’s requirements 

relating to an initial and final regulatory 

flexibility analysis do not apply. 

Paperwork Reduction Act 

In accordance with the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3506; 

5 CFR part 1320), the agencies reviewed 

this final rule. No collections of 

information pursuant to the Paperwork 

Reduction Act are contained in the final 

rule. 

List of Subjects 

12 CFR Part 213 

Advertising, Consumer leasing, 

Consumer protection, Federal Reserve 

System, Reporting and recordkeeping 

requirements. 

12 CFR Part 1013 

Advertising, Consumer leasing, 

Reporting and recordkeeping 

requirements. 

Board of Governors of the Federal 

Reserve System 

Text of Final Revisions 

For the reasons set forth in the 

preamble, the Board amends Regulation 

M, 12 CFR part 213, as set forth below: 

PART 213—CONSUMER LEASING 

(REGULATION M) 

■ 1. The authority citation for part 213 

continues to read as follows: 

Authority: 15 U.S.C. 1604 and 1667f; Pub. 

L. 111–203 § 1100E, 124 Stat. 1376. 

■ 2. In Supplement I to Part 213, under 

Section 213.2—Definitions, under 2(e) 

Consumer Lease, paragraph 9.v is added 

to read as follows: 

Supplement I to Part 213—Official Staff 

Interpretations 

* * * * * 

Section 213.2—Definitions 

* * * * * 

2(e) Consumer Lease. 

9. Threshold amount. * * * 

* * * * * 

v. From January 1, 2014 through December 

31, 2014, the threshold amount is $53,500. 

* * * * * 

Bureau of Consumer Financial 

Protection 

Authority and Issuance 

For the reasons set forth in the 

preamble, the Bureau amends 

Regulation M, 12 CFR part 1013, as set 

forth below: 

PART 1013—CONSUMER LEASING 

(REGULATION M) 

■ 1. The authority citation for part 1013 

continues to read as follows: 

Authority: 15 U.S.C. 1604 and 1667f; Pub. 

L. No. 111–203 § 1100E, 124 Stat. 1376. 

■ 2. In Supplement I to part 1013, under 

Section 1013.2—Definitions, under 2(e) 

Consumer Lease, paragraph 9.v is added 

to read as follows: 

Supplement I to Part 1013—Official 

Interpretations 

* * * * * 

Section 1013.2—Definitions 

* * * * * 

2(e) Consumer Lease. 

9. Threshold amount. * * * 

* * * * * 

v. From January 1, 2014 through December 

31, 2014, the threshold amount is $53,500. 

* * * * * 

By order of the Board of Governors of the 

Federal Reserve System, November 19, 2013. 

Robert deV. Frierson, 

Secretary of the Board. 

Dated: November 17, 2013. 

Richard Cordray, 

Director, Bureau of Consumer Financial 

Protection. 

[FR Doc. 2013–28194 Filed 11–22–13; 8:45 am] 

BILLING CODE 6210–01–P; 4810–AM–P 

FEDERAL RESERVE SYSTEM 

12 CFR Part 226 

[Docket No. R–1470] 

BUREAU OF CONSUMER FINANCIAL 

PROTECTION 

12 CFR Part 1026 

[Docket No. CFPB–2013–0035] 

Truth in Lending (Regulation Z) 

AGENCY: Board of Governors of the 

Federal Reserve System (Board); and 

Bureau of Consumer Financial 

Protection (Bureau). 

ACTION: Final rules, official 

interpretations and commentary. 

SUMMARY: The Board and the Bureau are 

publishing final rules amending the 

official interpretations and commentary 

for the agencies’ regulations that 


emcdonald on DSK67QTVN1PROD with RULES
Federal Register / Vol. 78, No. 227 / Monday, November 25, 2013 / Rules and Regulations 70195 

1Although consumer credit transactions above 

the threshold are generally exempt, loans secured 

by real property or by personal property used or 

expected to be used as the principal dwelling of a 

consumer and private education loans are covered 

by TILA regardless of the loan amount. See 12 CFR 

226.3(b)(1)(i) and 12 CFR 1026.3(b)(1)(i). 

2Public Law 111–203 § 1100E, 124 Stat. 1376 

(2010). 

3 76 FR 18354 (Apr. 4, 2011). 

4 76 FR 79768 (Dec. 22, 2011). 

5Section 1029(a) of the Dodd-Frank Act states: 

‘‘Except as permitted in subsection (b), the Bureau 

may not exercise any rulemaking, supervisory, 

enforcement, or any other authority * * * over a 

motor vehicle dealer that is predominantly engaged 

in the sale and servicing of motor vehicles, the 

leasing and servicing of motor vehicles, or both.’’ 

12 U.S.C. 5519(a). Section 1029(b) of the DoddFrank Act states: ‘‘Subsection (a) shall not apply to 

any person, to the extent that such person (1) 

provides consumers with any services related to 

residential or commercial mortgages or selffinancing transactions involving real property; (2) 

operates a line of business (A) that involves the 

extension of retail credit or retail leases involving 

motor vehicles; and (B) in which (i) the extension 

of retail credit or retail leases are provided directly 

to consumers; and (ii) the contract governing such 

extension of retail credit or retail leases is not 

routinely assigned to an unaffiliated third party 

finance or leasing source; or (3) offers or provides 

a consumer financial product or service not 

involving or related to the sale, financing, leasing, 

rental, repair, refurbishment, maintenance, or other 

servicing of motor vehicles, motor vehicle parts, or 

any related or ancillary product or service.’’ 12 

U.S.C. 5519(b). 

implement the Truth in Lending Act 

(TILA). The Dodd-Frank Wall Street 

Reform and Consumer Protection Act 

(Dodd-Frank Act) amended TILA by 

requiring that the dollar threshold for 

exempt consumer credit transactions be 

adjusted annually by any annual 

percentage increase in the Consumer 

Price Index for Urban Wage Earners and 

Clerical Workers (CPI–W). Based on the 

annual percentage increase in the CPI– 

W as of June 1, 2013, the Board and the 

Bureau are adjusting the exemption 

threshold to $53,500, effective January 

1, 2014. Because the Dodd-Frank Act 

also requires similar adjustments in the 

Consumer Leasing Act’s threshold for 

exempt consumer leases, the Board and 

the Bureau are making similar 

amendments to each of their respective 

regulations implementing the Consumer 

Leasing Act elsewhere in the Federal 

Register. 

DATES: This final rule is effective 

January 1, 2014. 

FOR FURTHER INFORMATION CONTACT: 

Board: Vivian W. Wong, Counsel, 

Division of Consumer and Community 

Affairs, Board of Governors of the 

Federal Reserve System, at (202) 452– 

3667; for users of Telecommunications 

Device for the Deaf (TDD) only, contact 

(202) 263–4869. 

Bureau: David Friend, Counsel, Office 

of Regulations, Bureau of Consumer 

Financial Protection, at (202) 435–7700. 

SUPPLEMENTARY INFORMATION: 

I. Background 

The Dodd-Frank Wall Street Reform 

and Consumer Protection Act of 2010 

(Dodd-Frank Act) increased the 

threshold in the Truth in Lending Act 

(TILA) for exempt consumer credit 

transactions 1 from $25,000 to $50,000, 

effective July 21, 2011.2 In addition, the 

Dodd-Frank Act requires that this 

threshold be adjusted annually for 

inflation by the annual percentage 

increase in the Consumer Price Index 

for Urban Wage Earners and Clerical 

Workers (CPI–W), as published by the 

Bureau of Labor Statistics. In April 

2011, the Board issued a final rule 

amending Regulation Z (which 

implements TILA) consistent with these 

provisions of the Dodd-Frank Act.3

Title X of the Dodd-Frank Act 

transferred rulemaking authority for a 

number of consumer financial 

protection laws from the Board to the 

Bureau, effective July 21, 2011. In 

connection with this transfer of 

rulemaking authority, the Bureau issued 

its own Regulation Z implementing 

TILA in an interim final rule, 12 CFR 

part 1026 (Bureau Interim Final Rule).4

The Bureau Interim Final Rule 

substantially duplicated the Board’s 

Regulation Z, including the revisions to 

the threshold for exempt transactions 

made by the Board in April 2011. 

Although the Bureau has the authority 

to issue rules to implement TILA for 

most entities, the Board retains 

authority to issue rules under TILA for 

certain motor vehicle dealers covered by 

section 1029(a) of the Dodd-Frank Act, 

and the Board’s Regulation Z continues 

to apply to those entities.5

Section 226.3(b)(1)(ii) of the Board’s 

Regulation Z and § 1026.3(b)(1)(ii) of the 

Bureau’s Regulation Z, and their 

accompanying commentaries, provide 

that the exemption threshold will be 

adjusted annually effective January 1 of 

each year based on any annual 

percentage increase in the CPI–W that 

was in effect on the preceding June 1. 

Any increase in the threshold amount 

will be rounded to the nearest $100 

increment. For example, if the annual 

percentage increase in the CPI–W would 

result in a $950 increase in the 

threshold amount, the threshold amount 

will be increased by $1,000. However, if 

the annual percentage increase in the 

CPI–W would result in a $949 increase 

in the threshold amount, the threshold 

amount will be increased by $900. See 

comments 3(b)–1 in Supplements I of 12 

CFR part 226 and 12 CFR part 1026. 

II. Adjustment and Commentary 

Revision 

Effective January 1, 2014, the adjusted 

exemption threshold amount is $53,500. 

This adjustment is based on the CPI–W 

index in effect on June 1, 2013, which 

was reported on May 16, 2013. The 

Bureau of Labor Statistics publishes 

consumer-based indices monthly, but 

does not report a CPI change on June 1; 

adjustments are reported in the middle 

of the month. The CPI–W is a subset of 

the CPI–U index (based on all urban 

consumers) and represents 

approximately 28 percent of the U.S. 

population. The adjustment reflects a 

0.9 percent increase in the CPI–W from 

April 2012 to April 2013 and is rounded 

to the nearest $100 increment. 

Accordingly, the Board and the Bureau 

are revising the commentaries to their 

respective regulations to add new 

comment 3(b)–1.v to state that, from 

January 1, 2014 through December 31, 

2014, the threshold amount is $53,500. 

These revisions are effective January 1, 

2014. 

III. Administrative Law Matters 

Administrative Procedure Act 

Under the Administrative Procedure 

Act, notice and opportunity for public 

comment are not required if the Board 

and the Bureau find that notice and 

public comment are impracticable, 

unnecessary, or contrary to the public 

interest. 5 U.S.C. 553(b)(B). This annual 

adjustment is required by statute. The 

amendment in this notice is technical 

and non-discretionary, and it applies 

the method previously established in 

the agencies’ regulations for 

determining adjustments to the 

exemption threshold. For these reasons, 

the Board and the Bureau have 

determined that publishing a notice of 

proposed rulemaking and providing 

opportunity for public comment are 

unnecessary. Therefore, the 

amendments are adopted in final form. 

Regulatory Flexibility Act 

The Regulatory Flexibility Act (RFA) 

does not apply to a rulemaking where a 

general notice of proposed rulemaking 

is not required. 5 U.S.C. 603 and 604. 

As noted previously, the agencies have 

determined that it is unnecessary to 

publish a general notice of proposed 

rulemaking for this joint final rule. 

Accordingly, the RFA’s requirements 

relating to an initial and final regulatory 

flexibility analysis do not apply. 

Paperwork Reduction Act 

In accordance with the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3506; 

5 CFR part 1320), the agencies reviewed 


emcdonald on DSK67QTVN1PROD with RULES
70196 Federal Register / Vol. 78, No. 227 / Monday, November 25, 2013 / Rules and Regulations 

this final rule. No collections of 

information pursuant to the Paperwork 

Reduction Act are contained in the final 

rule. 

List of Subjects 

12 CFR Part 226 

Advertising, Consumer protection, 

Federal Reserve System, Reporting and 

recordkeeping requirements, Truth in 

lending. 

12 CFR Part 1026 

Advertising, Consumer protection, 

Credit, Credit unions, Mortgages, 

National banks, Reporting and 

recordkeeping requirements, Savings 

associations, Truth in lending. 

Board of Governors of the Federal 

Reserve System 

Text of Final Revisions 

For the reasons set forth in the 

preamble, the Board amends Regulation 

Z, 12 CFR part 226, as set forth below: 

PART 226—TRUTH IN LENDING 

(REGULATION Z) 

■ 1. The authority citation for part 226 

continues to read as follows: 

Authority: 12 U.S.C. 3806; 15 U.S.C. 1604, 

1637(c)(5), and 1639(l); Pub. L. 111–24 § 2, 

123 Stat. 1734; Pub. L. No. 111–203, 124 Stat. 

1376. 

Subpart A—General 

■ 2. In Supplement I to part 226, under 

Section 226.3—Exempt Transactions, 

under 3(b) Credit over applicable 

threshold amount, paragraph 1.v is 

added to read as follows: 

Supplement I to Part 226—Official Staff 

Interpretations 

* * * * * 

Subpart A—General 

* * * * * 

Section 226.3—Exempt Transactions 

* * * * * 

3(b) Credit over applicable threshold 

amount. 

1. Threshold amount. * * * 

* * * * * 

v. From January 1, 2014 through December 

31, 2014, the threshold amount is $53,500. 

* * * * * 

Bureau of Consumer Financial 

Protection 

Authority and Issuance 

For the reasons set forth in the 

preamble, the Bureau amends 

Regulation Z, 12 CFR part 1026, as set 

forth below: 

PART 1026—TRUTH IN LENDING 

(REGULATION Z) 

■ 1. The authority citation for part 1026 

continues to read as follows: 

Authority: 12 U.S.C. 2601, 2603–2605, 

2607, 2609, 2617, 5511, 5512, 5532, 5581; 15 

U.S.C. 1601 et seq. 

■ 2. In Supplement I to part 1026, under 

Section 1026.3—Exempt Transactions, 

under 3(b) Credit Over Applicable 

Threshold Amount, new paragraph 1.v 

is added to read as follows: 

Supplement I to Part 1026—Official 

Interpretations 

* * * * * 

Subpart A—General 

* * * * * 

Section 1026.3—Exempt Transactions 

* * * * * 

3(b) Credit Over Applicable Threshold 

Amount 

1. Threshold amount. * * * 

* * * * * 

v. From January 1, 2014 through December 

31, 2014, the threshold amount is $53,500. 

* * * * * 

By order of the Board of Governors of the 

Federal Reserve System, November 19, 2013. 

Robert deV. Frierson, 

Secretary of the Board. 

Dated: November 17, 2013. 

Richard Cordray, 

Director, Bureau of Consumer Financial 

Protection. 

[FR Doc. 2013–28195 Filed 11–22–13; 8:45 am] 

BILLING CODE 4810–AM–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2013–0693; Directorate 

Identifier 2013–NM–059–AD; Amendment 

39–17661; AD 2013–23–06] 

RIN 2120–AA64 

Airworthiness Directives; The Boeing 

Company Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule. 

SUMMARY: We are adopting a new 

airworthiness directive (AD) for certain 

The Boeing Company Model 757–200 

and –200PF series airplanes. This AD 

was prompted by reports indicating that 

a standard access door was located 

where an impact-resistant access door 

was required, and stencils were missing 

from some impact-resistant access 

doors. This AD requires an inspection of 

the left- and right-hand wing fuel tank 

access doors to determine that impactresistant access doors are installed in 

the correct locations, and to replace any 

door with an impact-resistant access 

door if necessary. This AD also requires 

an inspection for stencils and index 

markers on impact-resistant access 

doors, and application of new stencils 

or index markers if necessary. This AD 

also requires revising the maintenance 

program to incorporate changes to the 

airworthiness limitations section. We 

are issuing this AD to prevent foreign 

object penetration of the fuel tank, 

which could cause a fuel leak near an 

ignition source (e.g., hot brakes or 

engine exhaust nozzle), consequently 

leading to a fuel-fed fire. 

DATES: This AD is effective December 

30, 2013. 

The Director of the Federal Register 

approved the incorporation by reference 

of certain publications listed in this AD 

as of December 30, 2013. 

ADDRESSES: For service information 

identified in this AD, contact Boeing 

Commercial Airplanes, Attention: Data 

& Services Management, P.O. Box 3707, 

MC 2H–65, Seattle, WA 98124–2207; 

telephone 206–544–5000, extension 1; 

fax 206–766–5680; Internet https://

www.myboeingfleet.com. You may view 

this referenced service information at 

the FAA, Transport Airplane 

Directorate, 1601 Lind Avenue SW., 

Renton, WA. For information on the 

availability of this material at the FAA, 

call 425–227–1221. 

Examining the AD Docket 

You may examine the AD docket on 

the Internet at http://

www.regulations.gov; or in person at the 

Docket Management Facility between 9 

a.m. and 5 p.m., Monday through 

Friday, except Federal holidays. The AD 

docket contains this AD, the regulatory 

evaluation, any comments received, and 

other information. The address for the 

Docket Office (phone: 800–647–5527) is 

Document Management Facility, U.S. 

Department of Transportation, Docket 

Operations, M–30, West Building 

Ground Floor, Room W12–140, 1200 

New Jersey Avenue SE., Washington, 

DC 20590. 

FOR FURTHER INFORMATION CONTACT: 

Suzanne Lucier, Aerospace Engineer, 

Propulsion Branch, ANM–140S, FAA, 

Seattle Aircraft Certification Office, 

1601 Lind Avenue SW., Renton, WA 

98057–3356; phone: 425–917–6438; fax: 

425–917–6590; email: suzanne.lucier@

faa.gov. 

SUPPLEMENTARY INFORMATION: 


emcdonald on DSK67QTVN1PROD with RULES