Regulatory relief measures are being deployed for federally supervised banking institutions in Michigan affected by severe storms, flooding, and tornadoes, according to a Financial Institution Letter (FIL) issued Friday by the Federal Deposit Insurance Corp. (FDIC).
These weather events caused significant property damage in areas of Michigan from June 25, 2021, through June 26, 2021, the agency said, and have prompted a federal disaster declaration by the Federal Emergency Management Agency (FEMA).
The FDIC said it is encouraging banks to work constructively with borrowers experiencing difficulties; that they may receive Community Reinvestment Act (CRA) consideration for community development loans, investments, and services in support of disaster recovery; and that the agency will also consider regulatory relief from certain filing and publishing requirements.