Notice2024-09850

Proposed Collection; Comment Request; Extension: Rule 17g-5

Primary source

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Published
May 7, 2024

Issuing agencies

Securities and Exchange Commission

Full Text

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<title>Federal Register, Volume 89 Issue 89 (Tuesday, May 7, 2024)</title>
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[Federal Register Volume 89, Number 89 (Tuesday, May 7, 2024)]
[Notices]
[Pages 38202-38203]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-09850]


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SECURITIES AND EXCHANGE COMMISSION

[SEC File No. 270-563, OMB Control No. 3235-0649]


Proposed Collection; Comment Request; Extension: Rule 17g-5

    Upon Written Request, Copies Available From: Securities and 
Exchange Commission, Office of FOIA Services, 100 F Street NE, 
Washington, DC 20549-2736

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``Commission'') is soliciting comments on the existing 
collection of information provided for in Rule 17g-5 (17 CFR 240.17g-5) 
under the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) 
(``Exchange Act''). The Commission plans to submit this existing 
collection of information to the Office of Management and Budget for 
extension and approval.
    Rule 17g-5(a)(3) and (e) contain collection of information 
requirements.\1\ Specifically, Rule 17g-5(a)(3) prohibits a person 
within a nationally recognized statistical rating organization 
(``NRSRO'') from having a conflict of interest relating to the issuance 
or maintenance of a credit rating for a security or money market 
instrument issued by an asset pool or as part of any asset-backed 
securities transaction that was paid for by the issuer, sponsor, or 
underwriter of the security or money market instrument unless certain 
information and representations relating to the security are disclosed 
or furnished.
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    \1\ See 17 CFR 240.17g-5(a)(3) and (e).
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    Currently, there are 6 credit rating agencies registered as NRSROs 
in the issuer of asset-backed securities category of credit ratings, 
and it is estimated based on recent issuance data that there are 
approximately 1,480 new asset-backed securities transactions per year 
that implicate Rule 17g-5(a)(3). Based on staff experience, the

[[Page 38203]]

Commission estimates that the total annual hour burden to comply with 
Rule 17g-5(a)(3) will be 61,899 hours. The Commission further estimates 
that this annual hour burden will result in a total annual cost of 
$14,126,168. This cost is attributable to costs that may be incurred by 
NRSROs and arrangers of asset-backed securities posting information on 
a password-protected website, as required by Rule 17g-5, and preparing 
and procuring representations to determine whether an exemption under 
the rule applies, as well as costs incurred by NRSROs preparing 
certifications required under the rule to gain access to websites 
maintained by other NRSROs or arrangers of asset-backed securities.
    Written comments are invited on: (a) whether the proposed 
collection of information is necessary for the proper performance of 
the functions of the Commission, including whether the information 
shall have practical utility; (b) the accuracy of the Commission's 
estimates of the burden of the proposed collection of information; (c) 
ways to enhance the quality, utility, and clarity of the information on 
respondents; and (d) ways to minimize the burden of the collection of 
information on respondents, including through the use of automated 
collection techniques or other forms of information technology. 
Consideration will be given to comments and suggestions submitted by 
July 8, 2024.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid OMB control number.
    Please direct your written comments to: Dave Bottom, Director/Chief 
Information Officer, Securities and Exchange Commission, c/o John 
Pezzullo, 100 F St NE, Washington, DC 20549 or send an email to: 
<a href="/cdn-cgi/l/email-protection#90c0c2d1cfddf1f9fcf2ffe8d0e3f5f3bef7ffe6"><span class="__cf_email__" data-cfemail="4a1a180b15072b23262825320a392f29642d253c">[email&#160;protected]</span></a>.

    Dated: May 1, 2024.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2024-09850 Filed 5-6-24; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on May 7, 2024.

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