This section of the FEDERAL REGISTER

contains notices to the public of the proposed

issuance of rules and regulations. The

purpose of these notices is to give interested

persons an opportunity to participate in the

rule making prior to the adoption of the final

rules.

Proposed Rules Federal Register

73679 

Vol. 80, No. 227 

Wednesday, November 25, 2015 

DEPARTMENT OF HOMELAND 

SECURITY 

6 CFR Part 46 

DEPARTMENT OF AGRICULTURE 

7 CFR Part 1c 

DEPARTMENT OF ENERGY 

10 CFR Part 745 

NATIONAL AERONAUTICS AND 

SPACE ADMINISTRATION 

14 CFR Part 1230 

DEPARTMENT OF COMMERCE 

15 CFR Part 27 

SOCIAL SECURITY ADMINISTRATION 

20 CFR Part 431 

AGENCY FOR INTERNATIONAL 

DEVELOPMENT 

22 CFR Part 225 

DEPARTMENT OF JUSTICE 

28 CFR Part 46 

DEPARTMENT OF LABOR 

29 CFR Part 21 

DEPARTMENT OF DEFENSE 

32 CFR Part 219 

DEPARTMENT OF EDUCATION 

34 CFR Part 97 

DEPARTMENT OF VETERANS 

AFFAIRS 

38 CFR Part 16 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 26 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

45 CFR Part 46 

RIN 0937–AA02 

NATIONAL SCIENCE FOUNDATION 

45 CFR Part 690 

DEPARTMENT OF TRANSPORTATION 

49 CFR Part 11 

Federal Policy for the Protection of 

Human Subjects 

AGENCIES: Department of Homeland 

Security; Department of Agriculture; 

Department of Energy; National 

Aeronautics and Space Administration; 

Department of Commerce; Social 

Security Administration; Agency for 

International Development; Department 

of Justice; Department of Labor; 

Department of Defense; Department of 

Education; Department of Veterans 

Affairs; Environmental Protection 

Agency; Department of Health and 

Human Services; National Science 

Foundation; and Department of 

Transportation. 

ACTION: Notice of proposed rulemaking. 

SUMMARY: The Department of Health and 

Human Services and the other Federal 

Departments and Agencies listed in this 

document are extending the comment 

period on the Federal Policy for the 

Protection of Human Subjects notice of 

proposed rulemaking. The NPRM 

requests comment on proposed 

revisions to modernize, strengthen, and 

make more effective the Federal Policy 

for the Protection of Human Subjects 

that was promulgated as a Common 

Rule in 1991. The NPRM was published 

in the Federal Register on September 8, 

2015. 

DATES: The comment period for the 

NPRM published on September 8, 2015 

(80 FR 53933), is extended by 30 days 

and thus will end on January 6, 2016. 

ADDRESSES: You may submit comments, 

identified by docket ID number HHS– 

OPHS–2015–0008, by one of the 

following methods: 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Enter the above 

docket ID number in the ‘‘Enter 

Keyword or ID’’ field and click on 

‘‘Search.’’ On the next Web page, click 

on ‘‘Submit a Comment’’ action and 

follow the instructions. 

• Mail/Hand delivery/Courier [For 

paper, disk, or CD–ROM submissions] 

to: Jerry Menikoff, M.D., J.D., OHRP, 

1101 Wootton Parkway, Suite 200, 

Rockville, MD 20852. 

Comments received, including any 

personal information, will be posted 

without change to http://

www.regulations.gov. 

FOR FURTHER INFORMATION CONTACT: Jerry 

Menikoff, M.D., J.D., Office for Human 

Research Protections (OHRP), 

Department of Health and Human 

Services, 1101 Wootton Parkway, Suite 

200, Rockville, MD 20852; telephone: 

240 453–6900 or 1–866–447–4777; 

EMAIL: Jerry.Menikoff@hhs.gov. 


srobinson on DSK5SPTVN1PROD with PROPOSALS
73680 Federal Register / Vol. 80, No. 227 / Wednesday, November 25, 2015 / Proposed Rules 

1See 12 CFR 1024.41(f) and (g). 

2 77 FR 27471 (May 17, 2010). 

3 77 FR 27479. 

SUPPLEMENTARY INFORMATION: Since the 

NPRM was published on September 8, 

2015 (80 FR 53933), participating 

departments and agencies have received 

requests to extend the comment period 

to allow sufficient time for a full review 

of the NPRM. The departments and 

agencies listed in this document are 

committed to affording the public a 

meaningful opportunity to comment on 

the NPRM and welcome comments. 

Dated: November 20, 2015. 

Sylvia Burwell, 

Secretary of the Department of Health and 

Human Services. 

[FR Doc. 2015–30122 Filed 11–24–15; 8:45 am] 

BILLING CODE 4150–36–P 

FEDERAL DEPOSIT INSURANCE 

CORPORATION 

12 CFR Part 360 

RIN 3064–AE38 

Treatment of Financial Assets 

Transferred in Connection With a 

Securitization or Participation 

AGENCY: Federal Deposit Insurance 

Corporation (‘‘FDIC’’). 

ACTION: Notice of proposed rulemaking. 

SUMMARY: The FDIC is proposing a rule 

that would revise a provision of its 

Securitization Safe Harbor Rule, which 

relates to the treatment of financial 

assets transferred in connection with a 

securitization or participation, in order 

to clarify a requirement as to loss 

mitigation by servicers of residential 

mortgage loans. 

DATES: Comments on the Proposed Rule 

must be received by January 25, 2016. 

You may submit comments, identified 

by RIN number, by any of the following 

methods: 

• Agency Web site: http://

www.FDIC.gov/regulations/laws/federal. 

Follow instructions for submitting 

comments on the agency Web site. 

• Email: Comments@FDIC.gov. 

Include RIN 3064–AE38 in the subject 

line of the message. 

• Mail: Robert E. Feldman, Executive 

Secretary, Attention: Comments, Federal 

Deposit Insurance Corporation, 550 17th 

Street NW., Washington, DC 20429. 

• Hand Delivery/Courier: Guard 

station at the rear of the 550 17th Street 

Building (located on F Street) on 

business days between 7:00 a.m. and 

5:00 p.m. 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

Instructions: All comments will be 

posted without change to http://

www.fdic.gov/regulations/laws/federal/, 

including any personal information 

provided. 

FOR FURTHER INFORMATION CONTACT: 

George H. Williamson, Manager, 

Division of Resolutions and 

Receiverships, (571) 858–8199. Phillip 

E. Sloan, Counsel, Legal Division, (703) 

562–6137. 

SUPPLEMENTARY INFORMATION

I. Background 

The Federal Deposit Insurance 

Corporation (FDIC), in regulations 

codified at 12 CFR 360.6 (the 

Securitization Safe Harbor Rule), set 

forth criteria under which in its capacity 

as receiver or conservator of an insured 

depository institution the FDIC will not, 

in the exercise of its authority to 

repudiate contracts, recover or reclaim 

financial assets transferred in 

connection with securitization 

transactions. Asset transfers that, under 

the Securitization Safe Harbor Rule, are 

not subject to recovery or reclamation 

through the exercise of the FDIC’s 

repudiation authority include those that 

pertain to certain grandfathered 

transactions, such as, for example, asset 

transfers made prior to December 31, 

2010 that satisfied the conditions 

(except for the legal isolation condition 

addressed by the Securitization Safe 

Harbor Rule) for sale accounting 

treatment under generally accepted 

accounting principles (GAAP) in effect 

for reporting periods prior to November 

15, 2009 and that pertain to a 

securitization transaction that satisfied 

certain other requirements. In addition, 

the Securitization Safe Harbor Rule 

provides that asset transfers that are not 

grandfathered, but that satisfy the 

conditions (except for the legal isolation 

condition addressed by the 

Securitization Safe Harbor Rule) for sale 

accounting treatment under GAAP in 

effect for reporting periods after 

November 15, 2009 and that pertain to 

a securitization transaction that satisfies 

all other conditions of the Securitization 

Safe Harbor Rule (such asset transfers, 

together with grandfathered asset 

transfers, are referred to collectively as 

Safe Harbor Transfers) will not be 

subject to FDIC recovery or reclamation 

actions through the exercise of the 

FDIC’s repudiation authority. For any 

securitization transaction in respect of 

which transfers of financial assets do 

not qualify as Safe Harbor Transfers but 

which transaction satisfies all of its 

other requirements, the Securitization 

Safe Harbor Rule provides that, in the 

event the FDIC as receiver or 

conservator remains in monetary default 

for a specified period under a 

securitization due to its failure to pay or 

apply collections or repudiates the 

securitization asset transfer agreement 

and does not pay damages within a 

specified period, certain remedies can 

be exercised on an expedited basis. 

Paragraph (b)(3)(ii) of the 

Securitization Safe Harbor Rule sets 

forth conditions relating to the servicing 

of residential mortgage loans. This 

paragraph includes a condition that the 

securitization documents must require 

that the servicer commence action to 

mitigate losses no later than ninety days 

after an asset first becomes delinquent 

unless all delinquencies on such asset 

have been cured. 

In January, 2013, the Consumer 

Financial Protection Bureau (CFPB) 

adopted mortgage loan servicing 

requirements that became effective on 

January 10, 2014. One of the 

requirements, set forth in Subpart C to 

Regulation X, at 12 CFR 1024.41, in 

general prohibits a servicer from 

commencing a foreclosure unless the 

borrower’s mortgage loan obligation is 

more than 120 days delinquent. This 

section of Regulation X also provides 

additional rules that, among other 

things, require a lender to further delay 

foreclosure if the borrower submits a 

loss mitigation application before the 

lender has commenced the foreclosure 

process and requires a lender to delay 

a foreclosure for which it has 

commenced the foreclosure process if a 

borrower has submitted a complete loss 

mitigation application more than 37 

days before a foreclosure sale.1

II. Discussion 

While the Securitization Safe Harbor 

Rule does not define what constitutes 

action to mitigate losses, the preamble 

to the notice of proposed rulemaking 

that preceded issuance of the 

Securitization Safe Harbor Rule 2 stated, 

‘‘In this connection, it is important to 

note that action to mitigate losses may 

include contact with the borrower or 

other steps designed to return the asset 

to regular payments, but does not 

require initiation of foreclosure or other 

formal enforcement proceedings.’’ 3

Accordingly, it should be unlikely that 

the 90-day loss mitigation requirement 

of the Securitization Safe Harbor Rule 

would conflict with the foreclosure 

commencement delays mandated by the 

CFPB under Regulation X. However, as 

there may be circumstances where 

commencement of foreclosure is the 

only available and reasonable loss 

mitigation action, the FDIC is proposing 


srobinson on DSK5SPTVN1PROD with PROPOSALS