Notice2023-28373
Agency Information Collection Activities: Information Collection Renewal; Submission for OMB Review; Mandatory Contractual Stay Requirements for Qualified Financial Contracts
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
December 26, 2023
Issuing agencies
Treasury DepartmentComptroller of the Currency
Abstract
The OCC, as part of its continuing effort to reduce paperwork and respondent burden, invites 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 the respondent is 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, "Mandatory Contractual Stay Requirements for Qualified Financial Contracts." The OCC also is giving notice that it has sent the collection to OMB for review.
Full Text
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<title>Federal Register, Volume 88 Issue 246 (Tuesday, December 26, 2023)</title>
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[Federal Register Volume 88, Number 246 (Tuesday, December 26, 2023)]
[Notices]
[Pages 89024-89026]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-28373]
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
Agency Information Collection Activities: Information Collection
Renewal; Submission for OMB Review; Mandatory Contractual Stay
Requirements for Qualified Financial Contracts
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 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 the respondent is 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,
``Mandatory Contractual Stay Requirements for Qualified Financial
Contracts.'' The OCC also is giving notice that it has sent the
collection to OMB for review.
DATES: Comments must be received by January 25, 2024.
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#c1b1b3a0a8afa7ae81aea2a2efb5b3a4a0b2efa6aeb7"><span class="__cf_email__" data-cfemail="0d7d7f6c64636b624d626e6e23797f686c7e236a627b">[email protected]</span></a>.
<bullet> Mail: Chief Counsel's Office, Attention: Comment
Processing, Office of the Comptroller of the Currency, Attention: 1557-
0339, 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) 293-4835.
Instructions: You must include ``OCC'' as the agency name and
``1557-0339'' 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.
Written comments and recommendations for the proposed information
collection should also be sent within 30 days of publication of this
notice to <a href="http://www.reginfo.gov/public/do/PRAMain">www.reginfo.gov/public/do/PRAMain</a>. You can find this
information collection by selecting ``Currently under 30-day Review--
Open for Public Comments'' or by using the search function.
You may review comments and other related materials that pertain to
this information collection following the close of the 30-day comment
period for this notice by the method set forth in the next bullet.
<bullet> Viewing Comments Electronically: Go to <a href="http://www.reginfo.gov">www.reginfo.gov</a>.
Hover over the ``Information Collection Review'' tab and click on
``Information Collection Review'' from the drop-down menu. From the
``Currently under Review''
[[Page 89025]]
drop-down menu, select ``Department of Treasury'' and then click
``submit.'' This information collection can be located by searching OMB
control number ``1557-0339'' or ``Mandatory Contractual Stay
Requirements for Qualified Financial Contracts.'' 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 et seq.),
Federal agencies must obtain approval from the OMB for each collection
of information that 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 requests or requirements that members of the public
submit reports, keep records, or provide information to a third party.
The OCC asks that OMB extend its approval of the collection in this
notice.
Title: Mandatory Contractual Stay Requirements for Qualified
Financial Contracts.
OMB Control No.: 1557-0339.
Type of Review: Regular.
Frequency of Response: On occasion.
Affected Public: A national bank or Federal savings association
(FSA) (or any subsidiary of either) that is a subsidiary of a global
systemically important bank holding company that has been designated
pursuant to the Federal Reserve Board's Regulation YY, 12 CFR 252.82; a
national bank or FSA (or any subsidiary of either) that is a subsidiary
of a global systemically important foreign banking organization
designated pursuant to the Federal Reserve Board's Regulation YY, 12
CFR 252.87; a Federal branch or agency (or any U.S. subsidiary of a
Federal branch or agency) of a global systemically important foreign
banking organization designated pursuant to 12 CFR 252.87 of the
Federal Reserve Board's Regulation YY; and any national bank or FSA
that is not under a bank holding company and that has more than $700
billion in total assets as reported on its most recent Consolidated
Reports of Condition and Income (Call Report).
Abstract: Under 12 CFR part 47, a covered bank is required to
ensure that a covered qualified financial contract (QFC)--(1) contains
a contractual stay-and-transfer provision analogous to the statutory
stay-and-transfer provision imposed under Title II of the Dodd-Frank
Wall Street Reform and Consumer Protection Act (see 12 U.S.C.
5390(c)(9)-(10)) and in the Federal Deposit Insurance Act (see 12
U.S.C. 1821(e)(8)-(10)) and (2) limits the exercise of default rights
based on the insolvency of an affiliate of the covered bank. A covered
bank is defined in 12 CFR 47.3(b) as:
<bullet> A national bank or FSA that has more than $700 billion in
total assets as reported on the national bank's or FSA's most recent
Call Report;
<bullet> A national bank or FSA that is a subsidiary of a global
systemically important bank holding company that has been designated
pursuant to Sec. 252.82 of this title (Federal Reserve Board
Regulation YY) (12 CFR 252.82);
<bullet> A national bank or FSA that is a subsidiary of a global
systemically important foreign banking organization that has been
designated pursuant to Sec. 252.87 of this title (Federal Reserve
Board Regulation YY) (12 CFR 252.87);
<bullet> A Federal branch or agency, as defined in subpart B of
this chapter (governing Federal branches and agencies), of a global
systemically important foreign banking organization that has been
designated pursuant to Sec. 252.87 of this title (Federal Reserve
Board Regulation YY) (12 CFR 252.87); or
<bullet> A subsidiary of a covered bank, except, as defined in 12
CFR 47.3(b)(3):
[cir] Subsidiaries held in satisfaction of debt previously
contracted in good faith,
[cir] Portfolio companies held under the Small Business Investment
Act of 1956, and
[cir] Certain companies engaged in the business of making public
welfare investments.
The requirements are intended to enhance the resilience and the
safety and soundness of Federally chartered and licensed financial
institutions by addressing concerns relating to the exercise of default
rights of certain financial contracts that could interfere with the
orderly resolution of certain systemically important financial firms.
Covered banks may comply either by amending the contractual
provisions of their QFCs consistent with the requirements of Sec. Sec.
47.4 and 47.5 within a specified period of time or by adhering to the
International Swaps and Derivatives Association 2015 Universal
Resolution Stay Protocol or U.S. Protocol (ISDA Protocols).
Alternatively, 12 CFR 47.6(b)(1) provides that a covered bank may
request that the OCC approve as compliant with the requirements of
Sec. Sec. 47.4 and 47.5 provisions of one or more forms of covered
QFCs, or amendments to one or more forms of covered QFCs, with enhanced
creditor protection conditions.
In order for the OCC to evaluate a covered bank's request, 12 CFR
47.6(b)(3) requires that the request include (1) an analysis of the
proposal that addresses a range of factors laid out in Sec. 47.6(d)
that are intended to facilitate the OCC's consideration of whether the
proposal would be consistent with the restrictions and the main
objectives of the rule; (2) a written legal opinion verifying that the
covered bank's proposed provisions or amendments would be valid and
enforceable under applicable laws of the relevant jurisdictions,
including, in the case of proposed amendments, the validity and
enforceability of the proposal to amend the covered QFCs; and (3) any
additional information relevant to the OCC's approval that the OCC
requests. The OCC will then use the information collected to determine
whether the covered bank's proposed alternative creditor protection
conditions comply with the requirements of the rule and achieve its
policy goals.
Estimated Burden:
Number of Respondents: 44.
Estimated Burden per Respondent: 140 hours.
Total Estimated Annual Burden: 6,160 hours.
Comments: On June 28, 2023, the OCC published a 60-day notice for
this information collection (88 FR 42002). No comments were received.
Comments continue to be invited on:
(a) Whether the collection of information is necessary for the
proper performance of the functions of the OCC, including whether the
information has practical utility;
(b) The accuracy of the OCC's estimate of the burden of the
collection of information;
(c) Ways to enhance the quality, utility, and clarity of the
information to be collected;
(d) Ways to minimize the burden of the collection on respondents,
including through the use of automated collection techniques or other
forms of information technology; and
(e) Estimates of capital or start-up costs and costs of operation,
[[Page 89026]]
maintenance, and purchase of services to provide information.
Patrick T. Tierney,
Assistant Director, Bank Advisory, Office of the Comptroller of the
Currency.
[FR Doc. 2023-28373 Filed 12-22-23; 8:45 am]
BILLING CODE 4810-33-P
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</html>Indexed from Federal Register on December 26, 2023.
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