Notice2023-17827
Agency Information Collection Activities: Announcement of Board Approval Under Delegated Authority and Submission to OMB
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
August 18, 2023
Issuing agencies
Federal Reserve System
Abstract
The Board of Governors of the Federal Reserve System (Board) is adopting a proposal to extend for three years, with revision, the Financial Statements for Holding Companies (FR Y-9 reports; OMB No. 7100-0128).
Full Text
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<title>Federal Register, Volume 88 Issue 159 (Friday, August 18, 2023)</title>
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[Federal Register Volume 88, Number 159 (Friday, August 18, 2023)]
[Notices]
[Pages 56624-56626]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-17827]
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FEDERAL RESERVE SYSTEM
Agency Information Collection Activities: Announcement of Board
Approval Under Delegated Authority and Submission to OMB
AGENCY: Board of Governors of the Federal Reserve System.
SUMMARY: The Board of Governors of the Federal Reserve System (Board)
is adopting a proposal to extend for three years, with revision, the
Financial Statements for Holding Companies (FR Y-9 reports; OMB No.
7100-0128).
FOR FURTHER INFORMATION CONTACT: Federal Reserve Board Clearance
Officer--Nuha Elmaghrabi--Office of the Chief Data Officer, Board of
Governors of the Federal Reserve System, <a href="/cdn-cgi/l/email-protection#49273c2128672c2524282e213b282b20092f3b2b672e263f"><span class="__cf_email__" data-cfemail="2f415a474e014a43424e48475d4e4d466f495d4d01484059">[email protected]</span></a>, (202)
452-3884.
Office of Management and Budget (OMB) Desk Officer for the Federal
Reserve Board, Office of Information and Regulatory Affairs, Office of
Management and Budget, New Executive Office Building, Room 10235, 725
17th Street NW, Washington, DC 20503, or by fax to (202) 395-6974.
SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board
authority under the Paperwork Reduction Act (PRA) to approve and assign
OMB control numbers to collections of information conducted or
sponsored by the Board. Board-approved collections of information are
incorporated into the official OMB inventory of currently approved
collections of information. The OMB inventory, as well as copies of the
PRA Submission, supporting statements (which contain more detailed
information about the information collections and burden estimates than
this notice), and approved collection of information instrument(s) are
available at <a href="https://www.reginfo.gov/public/do/PRAMain">https://www.reginfo.gov/public/do/PRAMain</a>. These documents
are also available on the Federal Reserve Board's public website at
<a href="https://www.federalreserve.gov/apps/reportingforms/home/review">https://www.federalreserve.gov/apps/reportingforms/home/review</a> or may
be requested from the agency clearance officer, whose name appears
above.
Final Approval Under OMB Delegated Authority of the Extension for Three
Years, With Revision, of the Following Information Collection
Collection title: Financial Statements for Holding Companies.
Collection identifier: FR Y-9C, FR Y-9LP, FR Y-9SP, FR Y-9ES, and
FR Y-9CS.
OMB control number: 7100-0128.
Effective Date: September 30, 2023.
General description of collection: The Board requires bank holding
companies, most savings and loan holding companies, securities holding
companies, and U.S. intermediate holding companies (collectively, HCs)
to provide standardized financial statements through one or more of the
FR Y-9 reports. The information collected on the FR Y-9 reports is
necessary for the Board to identify emerging financial risks and
monitor the safety and soundness of HC operations.
The FR Y-9C consists of standardized financial statements for HCs
similar to the Call Reports filed by commercial banks. The FR Y-9C
collects consolidated data and is filed quarterly by top-tier HCs with
total consolidated assets of $3 billion or more.
The FR Y-9LP, which collects parent company only financial data,
must be submitted quarterly by each HC that files the FR Y-9C, as well
as by each of its subsidiary HCs. The report consists of standardized
financial statements, including the following schedules: Income
Statement, Cash Flow Statement, Balance Sheet, Investments in
Subsidiaries and Associated Companies, Memoranda, and Notes to the
Parent Company Only Financial Statements.
The FR Y-9SP is a parent company only financial statement filed
semiannually by HCs with total consolidated assets of less than $3
billion. In a banking organization with total consolidated assets of
less than $3 billion that has tiered HCs, each HC in the organization
must submit, or have the top-tier HC submit on its behalf, a separate
FR Y-9SP. This report collects basic balance sheet and income data for
[[Page 56625]]
the parent company, as well as data on its intangible assets and
intercompany transactions.
The FR Y-9ES is filed annually by each employee stock ownership
plan (ESOP) that is also an HC. The report collects financial data on
the ESOP's benefit plan activities. The FR Y-9ES consists of four
schedules: Statement of Changes in Net Assets Available for Benefits,
Statement of Net Assets Available for Benefits, Memoranda, and Notes to
the Financial Statements.
The instructions to each of the FR Y-9C, FR Y-9LP, FR Y-9SP, and FR
Y-9ES state that respondent HCs should retain workpapers and other
records used in the preparation of the reports for a period of three
years following submission. In addition, HCs must maintain in their
files a manually signed and attested printout of the data submitted
under each form for a period of three years.
The FR Y-9CS is a voluntary, free-form supplemental report that the
Board may utilize to collect critical additional data deemed to be
needed from HCs in an expedited manner. The FR Y-9CS data collections
are used to assess and monitor emerging issues related to HCs, and the
report is intended to supplement the other FR Y-9 reports. The data
requested by the FR Y-9CS would depend on the Board's data needs in any
given situation. For example, changes made by the Financial Accounting
Standards Board may introduce into generally accepted accounting
principles new data items that are not currently collected by the other
FR Y-9 reports. The Board could use the FR Y-9CS report to collect
these data until the items are implemented into the other FR Y-9
reports.
Frequency: Quarterly, semiannual, annual, and as needed.
Respondents: HCs.\1\
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\1\ The following depository institution holding companies are
exempt: (1) a unitary savings and loan holding company with
primarily commercial assets that meets the requirements of section
10(c)(9)(c) of the Home Owners' Loan Act, for which thrifts make up
less than 5 percent of its consolidated assets; and (2) a savings
and loan holding companu that primarily holds insurance-related
assets and does not otherwise submit financial reports with the
Securities and Exchange Commission pursuant to sections 13 or 15(d)
of the Securities Exchange Act of 1934.
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Total estimated number of respondents:
Reporting
FR Y-9C (non-advanced approaches holding companies with less than
$5 billion in total assets): 107; FR Y-9C (non-advanced approaches
holding companies with $5 billion or more in total assets): 236; FR Y-
9C (advanced approaches holding companies): 9; FR Y-9LP: 411; FR Y-9SP:
3,596; FR Y-9ES: 73; FR Y-9CS: 236.
Recordkeeping
FR Y-9C: 352; FR Y-9LP: 411; FR Y-9SP: 3,596; FR Y-9ES: 73; FR Y-
9CS: 236.
Estimated average hours per response:
Reporting
FR Y-9C (non-advanced approaches holding companies with less than
$5 billion in total assets): 35.34; FR Y-9C (non-advanced approaches
holding companies with $5 billion or more in total assets): 44.54; FR
Y-9C (advanced approaches holding companies): 49.76; FR Y-9LP: 5.27; FR
Y-9SP: 5.45; FR Y-9ES: 0.50; FR Y-9CS: 0.50.
Recordkeeping
FR Y-9C: 1; FR Y-9LP: 1; FR Y-9SP: 0.50; FR Y-9ES: 0.50; FR Y-9CS:
0.50.
Total estimated change in burden: (563).
Total estimated annual burden hours: 114,489.\2\
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\2\ More detailed information regarding this collection,
including more detailed burden estimates, can be found in the OMB
Supporting Statement posted at <a href="https://www.federalreserve.gov/apps/reportingforms/home/review">https://www.federalreserve.gov/apps/reportingforms/home/review</a>. On the page displayed at the link, you
can find the OMB Supporting Statement by referencing the collection
identifier, FR Y-9.
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Current actions: On March 28, 2023, the Board published a notice in
the Federal Register (88 FR 18315) requesting public comment for 60
days on the extension, with revision, of the FR Y-9 reports (the March
2023 notice). These proposed revisions to the FR Y-9C were meant to
ensure alignment with proposed revisions to the Consolidated Reports of
Condition and Income (Call Reports) (FFIEC 031, FFIEC 041, and FFIEC
051) resulting from the 2022 statutorily mandated review of the Call
Reports. The proposal also sought public comment on previously made
clarifications to FR Y-9C reporting instructions related to reporting
certain Federal Home Loan Mortgage Corporation and similar
securitizations.
As a result of the statutorily mandated review required by Section
604 of the of the Financial Services Regulatory Relief Act of 2006,\3\
the Office of the Comptroller of the Currency, the Board, and the
Federal Deposit Insurance Corporation identified multiple items for
proposed removal or consolidation on the Call Reports related to FDIC
loss-sharing agreements. The March notice proposed corresponding
revisions to the FR Y-9C. Additional detail about the specific line
items impacted is included in the March 2023 notice.
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\3\ 12 U.S.C. 1817(a)(11).
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The comment period for the March 2023 notice ended on May 30, 2023.
After considering the comments received on the proposal, the Board is
proceeding with the proposed revisions related to the 2022 statutorily
mandated review, with certain modifications. These reporting revisions
would take effect for the September 30, 2023, report date, rather than
as of the June 30, 2023, report date, as originally proposed. The Board
is continuing to review the reporting of certain Federal Home Loan
Mortgage Corporation and similar securitizations.
Detailed Discussion of Public Comments
1. Statutorily Mandated Review
The Board received one comment. The commenter generally supported
the removal of items no longer necessary in connection with the
statutorily mandated review.
After further deliberation and recent loss-share transactions
established by the FDIC, the Board decided to retain and redesignate
certain items related to FDIC loss-sharing agreements. These FR Y-9C
items are being retained to stay aligned with corresponding revisions
on the Call Report. These items are also necessary at the holding
company level in order to monitor the safety and soundness of
respondents. On the FR Y-9C, the retained items are:
<bullet> Schedule HC-M, item 6.b.(7), ``Portion of covered other
real estate owned included in items 6.b.(1) through 6.b.(6) above that
is protected by FDIC loss-sharing agreements.'' This item would be
redesignated as item 6 and reflect the total of other real estate owned
that is protected by FDIC loss-sharing arrangements. The Board still
would discontinue all other subitems of item 6, including subitems
6.b.(1) through 6.b.(6), 6.c and 6.d, as this information is not
necessary for deposit insurance assessment or other purposes.
<bullet> Schedule HC-N, item 12.f, ``Portion of covered loans and
leases included in items 12.a through 12.e above that is protected by
FDIC loss-sharing agreements'' (Columns A, B, and C). This item would
be redesignated as item 12 and reflect the total of loans and leases
protected by FDIC loss-sharing arrangements. The Board would
discontinue subitems 12.a through 12.e, as this information is not
necessary for deposit insurance assessment or other purposes.
2. Clarification of Reporting Certain Securitizations
In the March 2023 notice, the Board requested comment on a previous
[[Page 56626]]
reporting clarification pertaining to certain Federal Home Loan
Mortgage Corporation and similar securitization structures that have
government guarantees in the FR Y-9C. In the June 2022 FR Y-9C Report
instructions book update and Supplemental Instructions, the Board
included a technical clarification that these securitizations should be
reported in Schedule HC-B, Securities, item 5.b., ``Structured
financial products.''
One comment was received on this clarification. The commenter
supported reporting these securities in item 5.b. However, the
commenter also noted the lack of transparency in this item regarding
the proportion of securities with government guarantees. The commenter
suggested that a subcategory be added to item 5.b to report the amount
that was guaranteed by the U.S. government or an agency. The Board will
consider whether to propose the addition of the suggested item as part
of a future proposal.
3. Other Comments Received
The commenter also made one suggestion for a modification to the FR
Y-9C that was not specifically related to any of the proposed changes.
Specifically, the commenter suggested that the Board provide
clarification on how long an institution would continue to report a
loan subsequent to its modification that met the criteria in Accounting
Standards Update 2022-02, ``Financial Instruments--Credit Losses (Topic
326): Troubled Debt Restructurings and Vintage Disclosures'' (ASU 2022-
02) in the FR Y-9C. The Board is considering whether to propose
revisions to the FR Y-9C in response to ASU 2022-02, and would take
this comment into account when formulating such a proposal. This
proposal would follow the standard notice and comment process pursuant
to the PRA.
Board of Governors of the Federal Reserve System, August 15,
2023.
Michele Taylor Fennell,
Deputy Associate Secretary of the Board.
[FR Doc. 2023-17827 Filed 8-17-23; 8:45 am]
BILLING CODE 6210-01-P
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