Notice2022-03898
Agency Information Collection Activities: Information Collection Renewal; Comment Request; Leveraged Lending
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
February 24, 2022
Issuing agencies
Treasury DepartmentComptroller of the Currency
Abstract
The OCC, as part of its continuing effort to reduce paperwork and respondent burden, invites the general public and other Federal agencies to take this opportunity to comment on a continuing information collection as required by the Paperwork Reduction Act of 1995 (PRA). In accordance with the requirements of the PRA, the OCC may not conduct or sponsor, and respondents are not required to respond to, an information collection unless it displays a currently valid Office of Management and Budget (OMB) control number. The OCC is soliciting comment concerning the renewal of its information collection titled "Leveraged Lending."
Full Text
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<title>Federal Register, Volume 87 Issue 37 (Thursday, February 24, 2022)</title>
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[Federal Register Volume 87, Number 37 (Thursday, February 24, 2022)]
[Notices]
[Pages 10428-10429]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2022-03898]
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
Agency Information Collection Activities: Information Collection
Renewal; Comment Request; Leveraged Lending
AGENCY: Office of the Comptroller of the Currency (OCC), Treasury.
ACTION: Notice and request for comment.
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SUMMARY: The OCC, as part of its continuing effort to reduce paperwork
and respondent burden, invites the general public and other Federal
agencies to take this opportunity to comment on a continuing
information collection as required by the Paperwork Reduction Act of
1995 (PRA). In accordance with the requirements of the PRA, the OCC may
not conduct or sponsor, and respondents are not required to respond to,
an information collection unless it displays a currently valid Office
of Management and Budget (OMB) control number. The OCC is soliciting
comment concerning the renewal of its information collection titled
``Leveraged Lending.''
DATES: Comments must be received by April 25, 2022.
ADDRESSES: Commenters are encouraged to submit comments by email, if
possible. You may submit comments by any of the following methods:
<bullet> Email: <a href="/cdn-cgi/l/email-protection#49393b2820272f2609262a2a673d3b2c283a672e263f"><span class="__cf_email__" data-cfemail="58282a3931363e3718373b3b762c2a3d392b763f372e">[email protected]</span></a>.
<bullet> Mail: Chief Counsel's Office, Attention: Comment
Processing, Office of the Comptroller of the Currency, Attention: 1557-
0315, 400 7th Street SW, Suite 3E-218, Washington, DC 20219.
<bullet> Hand Delivery/Courier: 400 7th Street SW, Suite 3E-218,
Washington, DC 20219.
<bullet> Fax: (571) 465-4326.
Instructions: You must include ``OCC'' as the agency name and
``1557-0315'' in your comment. In general, the OCC will publish
comments on <a href="http://www.reginfo.gov">www.reginfo.gov</a> without change, including any business or
personal information provided such as name and address information,
email addresses, or phone numbers. Comments received, including
attachments and other supporting materials, are part of the public
record and subject to public disclosure. Do not include any information
in your comment or supporting materials that you consider confidential
or inappropriate for public disclosure.
Following the close of this notice's 60-day comment period, the OCC
will publish a second notice with a 30-day comment period. You may
review comments and other related materials that pertain to this
information collection beginning on the date of publication of the
second notice for this collection by the method set forth in the next
bullet. Following the close of this notice's 60-day comment period, the
OCC will publish a second notice with a 30-day comment period.
<bullet> Viewing Comments Electronically: Go to <a href="http://www.reginfo.gov">www.reginfo.gov</a>.
Hover over the ``Information Collection Review'' drop down menu. From
the ``Currently under Review'' drop-down menu, select ``Department of
Treasury'' and then click ``submit.'' This information collection can
be located by searching by OMB control number ``1557-0315'' or
``Leveraged Lending.'' Upon finding the appropriate information
collection, click on the related ``ICR Reference Number.'' On the next
screen, select ``View Supporting Statement and Other Documents'' and
then click on the link to any comment listed at the bottom of the
screen.
<bullet> For assistance in navigating <a href="http://www.reginfo.gov">www.reginfo.gov</a>, please
contact the Regulatory Information Service Center at (202) 482-7340.
FOR FURTHER INFORMATION CONTACT: Shaquita Merritt, Clearance Officer,
(202) 649-5490, Chief Counsel's Office, Office of the Comptroller of
the Currency, 400 7th Street SW, Washington, DC 20219. If you are deaf,
hard of hearing, or have a speech disability, please dial 7-1-1 to
access telecommunications relay services.
SUPPLEMENTARY INFORMATION: Under the PRA (44 U.S.C. 3501-3520), Federal
agencies must obtain approval from OMB for each collection of
information they conduct or sponsor. ``Collection of information'' is
defined in 44 U.S.C. 3502(3) and 5 CFR 1320.3(c) to include Agency
recommendations, requests, or requirements that members of the public
submit reports, keep records, or provide information to a third party.
Section 3506(c)(2)(A) of title 44 (44 U.S.C. 3506(c)(2)(A)) requires
Federal agencies to provide a 60-day notice in the Federal Register
concerning each proposed collection of information, including each
proposed extension of an
[[Page 10429]]
existing collection of information, before submitting the collection to
OMB for approval. To comply with this requirement, the OCC is
publishing notice of the proposed collection of information set forth
in this document.
Title: Leveraged Lending.
OMB Control No.: 1557-0315.
Description: On March 22, 2013, the agencies \1\ issued guidance to
the financial institutions they supervise \2\ on how to evaluate and
monitor credit risks in leveraged loans, understand the effect of
changes in borrowers' enterprise values on credit portfolio quality,
and assess the sensitivity of future credit losses to these changes in
enterprise values.\3\ In regard to the underwriting of such credits,
the guidance provides information for financial institutions to
consider in assessing whether borrowers have the ability to repay
credits when due and whether borrowers have sustainable capital
structures, including bank borrowings and other debt, to support their
continued operations through economic cycles. The guidance also
provides information to financial institutions on the risks and
potential impact of stressful events and circumstances on a borrower's
financial condition.
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\1\ OCC, Board of Governors of the Federal Reserve System, and
Federal Deposit Insurance Corporation.
\2\ For the OCC, the term ``financial institution'' or
``institution'' includes national banks, Federal savings
associations, and Federal branches and agencies supervised by the
OCC.
\3\ 78 FR 17766 (March 22, 2013).
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The final guidance recommends that financial institutions consider
developing: (i) Underwriting policies for leveraged lending, including
stress-testing procedures for leveraged credits; (ii) risk management
policies, including stress-testing procedures for pipeline exposures;
and, (iii) policies and procedures for incorporating the results of
leveraged credit and pipeline stress tests into the firm's overall
stress-testing framework. While not requirements, these recommended
policies qualify as ``collections of information'' as defined in the
PRA.
Respondents are financial institutions with leveraged lending
activities as defined in the guidance that may develop policies
recommended in the guidance.
Title: Guidance on Leveraged Lending.
OMB Control No.: 1557-0315.
Frequency of Response: Annual.
Affected Public: Financial institutions with leveraged lending.
Burden Estimates:
Estimated number of respondents: 29.
Estimated total annual burden: 39,162 hours to build; 49,462 hours
for ongoing use.
Total estimated annual burden: 88,624 hours.
Comments submitted in response to this notice will be summarized,
included in the request for OMB approval, and become a matter of public
record. Comments are invited on:
(a) Whether the information collection is necessary for the proper
performance of the OCC's functions, including whether the information
has practical utility;
(b) The accuracy of the OCC's estimates of the burden of the
information collection, including the validity of the methodology and
assumptions used;
(c) Ways to enhance the quality, utility, and clarity of the
information to be collected;
(d) Ways to minimize the burden of the information collection on
respondents, including through the use of automated collection
techniques or other forms of information technology; and
(e) Estimates of capital or startup costs and costs of operation,
maintenance, and purchase of services to provide information.
Theodore J. Dowd,
Deputy Chief Counsel, Office of the Comptroller of the Currency.
[FR Doc. 2022-03898 Filed 2-23-22; 8:45 am]
BILLING CODE 4810-33-P
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