Colorado: FDIC Offers Guidance to Facilitate Recovery in Areas Affected by Wildfires
July 31 - The FDIC has announced a series of steps intended to provide regulatory relief to financial institutions and facilitate recovery in areas of Colorado affected by wildfires. Highlights:
- The Royal Gorge and Black Forest fires caused significant property damage in areas of Colorado from June 11 through June 21, 2013.
- A federal disaster for selected areas in Colorado was declared on July 26, 2013. Additional designations may be made after damage assessments are completed in the affected areas. A current list of designated areas is available at www.fema.gov.
- The FDIC is encouraging banks to work constructively with borrowers experiencing difficulties beyond their control because of damage caused by the wildfires.
- Extending repayment terms, restructuring existing loans, or easing terms for new loans, if done in a manner consistent with sound banking practices, can contribute to the health of the local community and serve the long-term interests of the lending institution.
- Banks may receive favorable Community Reinvestment Act consideration for community development loans, investments, and services in support of disaster recovery.
- The FDIC also will consider regulatory relief from certain filing and publishing requirements.