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BOARD OF GOVERNORS

OF THE

FEDERAL RESERVE SYSTEM

WASHINGTON, D.C. 20551 

DIVISION OF SUPERVISION

AND REGULATION

SR 20-30 (revised)

December 18, 2020 

Revised March 31, 2021 

TO THE OFFICER IN CHARGE OF SUPERVISION

 AT EACH FEDERAL RESERVE BANK

SUBJECT: Financial Institutions Subject to the LISCC Supervisory Program

Applicability: This guidance is relevant for bank holding companies, savings and loan holding 

companies, nonbank financial companies, and foreign banking organizations subject to the Large 

Institution Supervision Coordinating Committee (LISCC) supervisory program.

The Federal Reserve established LISCC1 in 2010 to coordinate the Federal Reserve's 

supervision of (i) domestic bank holding companies and foreign banking organizations that pose 

elevated risks to U.S. financial stability and (ii) any nonbank financial institution that the 

Financial Stability Oversight Council (FSOC) has determined should be supervised by the 

Board. 

The Federal Reserve has periodically reassessed which financial institutions should be in 

the LISCC supervisory program, taking into account a number of factors such as the size of the 

institutions, their interconnectedness, lack of readily available substitutes for the services they 

provide, their complexity, and their cross-jurisdictional activities.2 

1 https://www.federalreserve.gov/supervisionreg/large-institution-supervision.htm

2 On November 6, 2020, the Board announced that it was accepting input on its plan to update the list of firms 

supervised by the LISCC supervisory program, and on the appropriate criteria for including foreign banking 

organizations in the LISCC supervisory program in the future should the risk of their U.S. operations increase. The 

Federal Reserve received several responsive comments, all of which broadly supported the alignment of the LISCC 

On March 31, 2021, SR Letter 20-30 was revised to include criteria to determine which 

foreign banking organizations will be subject to the Large Institution Supervision

Coordinating Committee (LISCC) supervisory program. 
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In an effort to increase transparency and align the Federal Reserve’s supervisory program 

with the current risk-based categories in its regulatory framework,3 this SR letter defines the 

financial institutions subject to LISCC supervisory program as: (i) a U.S. banking organization 

subject to Category I standards under the Board's tailoring framework, (ii) any non-commercial, 

non-insurance savings and loan holding company that would be identified for Category I 

standards if it were a bank holding company,4 (iii) any foreign banking organization whose 

combined U.S. operations5 would be identified for Category I standards if it were a bank holding 

company,

6 and (iv) any nonbank financial institution designated as systemically important by the 

FSOC.

Reserve Banks are asked to distribute this letter to the supervised institutions in their 

districts and to appropriate supervisory staff. 

In addition, institutions may send questions via the Board’s public website.7

Michael S. Gibson

Director

Supersedes: 

• SR letter 15-7, “Governance Structure of the Large Institution Supervision Coordinating 

Committee (LISCC) Supervisory Program”

supervisory program with the tailoring rules. https://www.federalreserve.gov/foia/files/liscc-public-comments20201218.pdf

3 https://www.federalreserve.gov/newsevents/pressreleases/bcreg20191010a.htm

4 See 12 CFR 252.5(b); see also 12 CFR 217.402. The method 1 score of any non-commercial, non-insurance 

savings and loan holding company would be determined based on the information submitted by the company on the 

FR Y-15 reporting form. 

5

 Combined U.S. operations means (1) the U.S. branches and agencies of the foreign banking organization and (2) 

the U.S. subsidiaries of the foreign banking organization (excluding any section 2(h)(2) company, if applicable) and 

subsidiaries of such U.S. subsidiaries. 

6

 That is, the combined U.S. operations would have a method 1 score of 130 or more, calculated pursuant to 12 CFR 

217.402. The method 1 score of the combined U.S. operations would be determined based on the information 

submitted by the foreign banking organization on the FR Y-15 reporting form with respect to its combined U.S. 

operations. 

7 See http://www.federalreserve.gov/apps/contactus/feedback.aspx