On September 27th, the FDIC approved a final rule to extend through December 31, 2010, the Safe Harbor Protection for Treatment by the FDIC as Conservator or Receiver of Financial Assets Transferred by an Insured Depository Institution in Connection With a Securitization or Participation. Under this safe harbor, all securitizations or participations in process before the end of 2010 are permanently grandfathered under the existing terms of 12 C.F.R. Part 360.6. After a transition period, the new final rule will require insured institutions to comply with the Dodd-Frank Act's requirement that banks maintain on their balance sheets a 5% interest in any securitization. Securitizations of loans meeting certain underwriting standards, such as traditional 30-year mortgages with 20% down payments, would be exempt from the 5% risk retention requirement. FDIC Press Release. On September 30th, the New York Times reported other regulators, notably the OCC, have expressed concern over the FDIC's decision to adopt the risk retention requirement without consulting with them. Regulatory Rivalry.