Technical Amendments to Form X-17A-5 Part IIA

Federal Register / Vol. 91, No. 121 / Thursday, June 25, 2026 / Rules and Regulations 38275 1A line item number is assigned to each response field on the FOCUS Report, which facilitates efficient analysis and comparison of data across firms. 2See Recordkeeping and Reporting Requirements for Security-Based Swap Dealers, Major Security￾Based Swap Participants, and Broker-Dealers; Correction, Exchange Act release no. 87005B (May 27, 2021); 86 FR 31115 (June 11, 2021). (4) Modify the terms or conditions under which it contracts or does business with a third party, including an institution-affiliated party, on the basis of reputation risk. (c) The NCUA will not require, instruct, or encourage an institution, or any employee of an institution, to terminate a contract with, discontinue doing business with, sign a contract with, initiate doing business with, modify the terms under which it will do business with a person or entity, or take any action or refrain from taking any action on the basis of the person’s or entity’s political, social, cultural, or religious views or beliefs, constitutionally protected speech, or on the basis of the person or entity’s involvement in politically disfavored but lawful business activities based on reputation risk. (d) The prohibitions in paragraphs (a) through (c) of this section apply only to actions taken on the bases described in paragraphs (a) through (c), and the prohibition in paragraph (c) shall not apply with respect to persons, entities, or jurisdictions sanctioned by the Office of Foreign Assets Control. (e) The prohibitions in paragraphs (a) through (c) of this section apply only to actions taken on the bases described in paragraphs (a) through (c), and the prohibition in paragraph (c) shall not apply with respect to actions taken to comply with statutory or regulatory field of membership requirements, administration of Community Development Revolving Loan Fund activities, or any other application or decision where Federal law mandates the NCUA to consider criteria such as character and fitness or integrity. (f) Nothing in this section shall restrict the NCUA’s authority to implement, administer, and enforce the provisions of subchapter II of chapter 53 of title 31, United States Code. (g) The NCUA will not take any supervisory action or other adverse action against an institution, a group of institutions, or the institution-affiliated parties of any institution that is designed to punish, discourage, or encourage an individual or group from engaging in any lawful political, social, cultural, or religious activities or lawful business activities, constitutionally protected speech, or, for political reasons, lawful business activities that are disfavored by the agency or any of its personnel. (h) The following definitions apply to this section: (1) Adverse action includes: (i) Any negative feedback delivered by or on behalf of the NCUA to an institution, including in an NCUA￾issued report of examination or a formal or informal enforcement action; (ii) A downgrade, or contribution to a downgrade, of any supervisory rating, including, but not limited to: (A) Any NCUA rating under the CAMELS ratings system; and (B) Any NCUA rating under any other rating system; (iii) A denial of a filing under any of the NCUA’s regulations in this chapter; (iv) Inclusion of a condition on a share insurance application or other approval; (v) Imposition of additional approval requirements; (vi) Any other heightened requirements on an activity or change; (vii) Any reclassification of a well￾capitalized federally insured credit union or imposition of a discretionary supervisory action under NCUA’s prompt corrective action rules (12 CFR part 702); and (viii) Any action that negatively impacts the institution, or an institution-affiliated party, or treats the institution differently than similarly situated peers. (2) Doing business with means an institution: (i) Providing any product or service, including account services; (ii) Contracting with a third party for the third party to provide a product or service; (iii) Providing discounted or free products or services to customers or third parties, including charitable activities; (iv) Entering into, maintaining, modifying, or terminating an employment relationship; or (v) Any other similar business activity that involves an institution’s member or accountholder or a third party. (3) Institution-affiliated party means the same as in section 206 of the Federal Credit Union Act (12 U.S.C. 1786(r)). (4) Institution means an entity for which the NCUA makes or will make supervisory determinations or other decisions, either solely or jointly. (5) Reputation risk means any risk, regardless of how the risk is labeled by the credit union or regulators, that an action or activity, or combination of actions or activities, or lack of actions or activities, of a credit union could negatively impact public perception of the credit union for reasons not clearly and directly related to the financial or operational condition of the institution. [FR Doc. 2026–12856 Filed 6–24–26; 8:45 am] BILLING CODE 7535–01–P SECURITIES AND EXCHANGE COMMISSION 17 CFR Part 249 [Release No. 34–105746] Technical Amendments to Form X– 17A–5 Part IIA AGENCY: Securities and Exchange Commission. ACTION: Final rule; technical amendments. SUMMARY: The Securities and Exchange Commission is adopting technical amendments to Form X–17A–5 (‘‘FOCUS Report’’) Part IIA under the Securities Exchange Act of 1934 (‘‘Exchange Act’’). DATES: The amendments are effective June 25, 2026. FOR FURTHER INFORMATION CONTACT: Raymond A. Lombardo, Assistant Director, or Valentina Minak Deng, Special Counsel, Office of Broker-Dealer Finances, at (202) 551–5500, Division of Trading and Markets, Securities and Exchange Commission, 100 F Street NE, Washington, DC 20549–7010. SUPPLEMENTARY INFORMATION: This Commission is adopting technical amendments to FOCUS Report Part IIA to: (a) remove an incorrect cross￾reference to ‘‘15 U.S.C. 78:f(a)’’ and replace it with ‘‘15 U.S.C. 78ff(a)’’; (b) remove an extraneous and incorrect reference to sub-line E. in line 19 in the Liabilities sub-section of the Statement of Financial Condition; (c) reverse an inadvertent switch of line items 1770 and 1780; 1 (d) remove an extra end parentheses that does not have a matching beginning parentheses; (e) re￾label line item 4338 as line item 4238 for consistency with the line item number assigned to the same response field in Form X–17A–5 Part II; (f) remove an incorrect reference to ‘‘$2,500 capital category as per Rule 15c3–1’’ and replace it with ‘‘Limited business (mutual funds and/or variable annuities only)’’; 2 and (g) correct incorrect references related to Exchange Act Rule 15c3–3. Statutory Authority We are adopting these technical amendments under the authority set VerDate Sep<11>2014 16:18 Jun 24, 2026 Jkt 268001 PO 00000 Frm 00041 Fmt 4700 Sfmt 4700 E:\FR\FM\25JNR1.SGM 25JNR1 lotter on DSK8BHNXB4PROD with RULES1

38276 Federal Register / Vol. 91, No. 121 / Thursday, June 25, 2026 / Rules and Regulations forth in sections 17(a) and 23(a) of the Exchange Act. List of Subjects in 17 CFR Part 249 Reporting and recordkeeping requirements; Securities. Text of Amendments For reasons set forth in the preamble, title 17, chapter II of the Code of Federal Regulations is amended as follows: PART 249—FORMS, SECURITIES EXCHANGE ACT OF 1934 ■ 1. The general authority citation for part 249 continues to read, in part, as follows: Authority: 15 U.S.C. 78a et seq. and 7201 et seq.; 12 U.S.C. 5461 et seq.; 18 U.S.C. 1350; Sec. 953(b) Pub. L. 111–203, 124 Stat. 1904; Sec. 102(a)(3) Pub. L. 112–106, 126 Stat. 309 (2012), Sec. 107 Pub. L. 112–106, 126 Stat. 313 (2012), Sec. 72001 Pub. L. 114–94, 129 Stat. 1312 (2015), and secs. 2 and 3 Pub. L. 116–222, 134 Stat. 1063 (2020), unless otherwise noted.

■ 2. Amend Part IIA of Form X–17A–5 (referenced in § 249.617) by: ■ a. On the cover page, removing ‘‘15 U.S.C. 78:f(a)’’ and adding in its place ‘‘15 U.S.C. 78ff(a).’’ ■ b. In the Liabilities sub-section of the Statement of Financial Condition, removing ‘‘E.’’ after ‘‘19.’’ ■ c. In the Ownership Equity sub￾section of the Statement of Financial Condition, removing ‘‘1780’’ and adding in its place ‘‘1770’’. ■ d. In the Ownership Equity sub￾section of the Statement of Financial Condition, removing ‘‘1770’’ and adding in its place ‘‘1780’’. ■ e. In the Ownership Equity sub￾section of the Statement of Financial Condition, removing ’’)’’ after ‘‘1020’’. ■ f. In the Net Income/Comprehensive Income sub-section of the Statement of Income (Loss) or Statement of Comprehensive Income, removing ‘‘4338’’ and adding in its place ‘‘4238’’. ■ g. In the Exemptive Provision under Rule 15c3–3 sub-section, removing ‘‘If an exemption from Rule 15c3–1 is claimed’’ and adding in its place ‘‘If an exemption from Rule 15c3–3 is claimed’’. ■ h. In the Exemptive Provision under Rule 15c3–3 sub-section, removing ‘‘$2,500 capital category as per Rule 15c3–1’’ and adding in its place ‘‘Limited business (mutual funds and/or variable annuities only)’’. ■ i. In the Exemptive Provision under Rule 15c3–3 sub-section, removing ‘‘(k)(2)(A)’’ and adding in its place ‘‘(k)(2)(i)’’. ■ j. In the Exemptive Provision under Rule 15c3–3 sub-section, removing ‘‘(k)(2)(B)’’ and adding in its place ‘‘(k)(2)(ii)’’. Note: Part IIA of Form X–17A–5 will not appear in the Code of Federal Regulations. Dated: June 22, 2026. Stephanie J. Fouse, Assistant Secretary. [FR Doc. 2026–12779 Filed 6–24–26; 8:45 am] BILLING CODE 8011–01–P RAILROAD RETIREMENT BOARD 20 CFR Part 356 RIN 3220–AB89 Civil Monetary Penalty Inflation Adjustment AGENCY: Railroad Retirement Board. ACTION: Direct final rule. SUMMARY: The Railroad Retirement Board amends its regulations to remove provisions purporting to set and adjust civil monetary penalties assessed under the False Claims Act. The amendment also removes obsolete language relating to a one-time catch-up inflation adjustment that was completed in 2016 and changes references to the Program Fraud Civil Remedies Act to refer to the Administrative False Claims Act. DATES: This rule is effective August 10, 2026 without further action, unless adverse comment is received by July 27, 2026. If adverse comment is received, the Railroad Retirement Board will publish a timely withdrawal of the rule in the Federal Register. ADDRESSES: You may submit comments, identified by RIN 3320–AB89, through any of the following methods:

1. Internet—Send inquiries via email to SecretarytotheBoard@rrb.gov.
2. Mail—Secretary to the Board, Railroad Retirement Board, 844 N Rush Street, Chicago, Illinois 60611–1275. Mailed comments must be received by the close of the comment period. Do not submit the same comment multiple times or by more than one method. Do not include any personally identifiable information (such as name, address, or other contact information) or confidential business information that you do not want publicly disclosed. All comments are public records; they are publicly displayed exactly as received, and will not be deleted, modified, or redacted. Comments may be submitted anonymously. Regardless of which method you choose, please indicate that your comments refer to RIN number 3320–AB89. FOR FURTHER INFORMATION CONTACT: Peter J. Orlowicz, Senior Counsel, Railroad Retirement Board, 844 North Rush Street, Chicago, IL 60611–1275, (312) 751–4922. SUPPLEMENTARY INFORMATION: As part of the implementation of the Debt Collection Improvement Act of 1996, Public Law 104–131, the Railroad Retirement Board (Board) added Part 356 to its regulations to provide for adjustment of civil monetary penalties provided by law within the Board’s jurisdiction. At that time, based on the best information available to the Board, it was determined that adjustments should be published for penalties under the False Claims Act, 31 U.S.C. 3729–
3. The False Claims Act provides that any person who knowingly submits, or causes to submit, false claims to the government is liable for three times the government’s damages plus a penalty that is adjusted for inflation. However, the False Claims Act is not administered by the Board. Instead, the Department of Justice has jurisdiction to set and adjust civil monetary penalties under the False Claims Act. See Table 1 to 28 CFR 85.5. The Board has never attempted to independently impose civil penalties under the False Claims Act. Instead, the Board refers such cases to the Department of Justice through the Board’s Office of Inspector General. Following the enactment of section 701 of the Bipartisan Budget Act of 2015 (Pub. L. 114–74, sec. 701 (Nov. 2, 2015)), entitled the Federal Civil Penalties Inflation Adjustment Act Improvements Act of 2015, the Board amended Part 356 to provide for inflationary adjustments to penalties under the Program Fraud Civil Remedies Act of 1986 and the False Claims Act. 81 FR 26127 (May 2, 2016). After those amendments were published, the Department of Justice Civil Division contacted the Board to resolve any conflict between the Department’s jurisdiction over the False Claims Act and Part 356. After reviewing the relevant legal authorities, the Board agreed with the Department that jurisdiction to adjust civil penalties under the False Claims Act belonged to the Department and Part 356 should be amended to remove references to penalties under the False Claims Act. Because the Board agrees with the Department that jurisdiction to adjust civil penalties under the False Claims Act belongs to the Department, repeal of the relevant section of Part 356 is directed by Executive Order 14219, Ensuring Lawful Governance and Implementing the President’s ‘‘Department of Government Efficiency’’ Deregulatory Initiative (Feb. 19, 2025). Additionally, because the Board does VerDate Sep<11>2014 16:18 Jun 24, 2026 Jkt 268001 PO 00000 Frm 00042 Fmt 4700 Sfmt 4700 E:\FR\FM\25JNR1.SGM 25JNR1 lotter on DSK8BHNXB4PROD with RULES1