The Bank Policy Institute and American Bankers Association submitted a petition this week to the Federal Reserve to consider a rulemaking process and seek public comments on its annual scenarios used to determine stress capital buffer requirements.
In a letter addressed to the Fed Board of Governors, the BPI and ABA asked the central bank to make public all models, formulas and methodologies used to decide the examination course. The bank groups also claimed the Fed violated the Administrative Procedure Act by not revealing the details of the models and formulas used in the test and all the scenarios used in the stress test exercises.
