Notice2024-29295
Agency Information Collection Activities: Proposed Collection Renewal; Comment Request
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 12, 2024
Issuing agencies
Federal Deposit Insurance Corporation
Abstract
The FDIC, as part of its obligations under the Paperwork Reduction Act of 1995, invites the general public and other Federal agencies to take this opportunity to comment on the request to renew the existing information collections described below (OMB Control No. 3064-0165 and -0183). The notices of proposed renewal for these information collections were previously published in the Federal Register on October 10, 2024, and October 21, 2024, allowing for a 60- day comment period.
Full Text
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<title>Federal Register, Volume 89 Issue 239 (Thursday, December 12, 2024)</title>
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[Federal Register Volume 89, Number 239 (Thursday, December 12, 2024)]
[Notices]
[Pages 100492-100495]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-29295]
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FEDERAL DEPOSIT INSURANCE CORPORATION
[OMB No. 3064-0165; -0183]
Agency Information Collection Activities: Proposed Collection
Renewal; Comment Request
AGENCY: Federal Deposit Insurance Corporation (FDIC).
ACTION: Notice and request for comment.
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SUMMARY: The FDIC, as part of its obligations under the Paperwork
Reduction Act of 1995, invites the general public and other Federal
agencies to take this opportunity to comment on the request to renew
the existing information collections described below (OMB Control No.
3064-0165 and -0183). The notices of proposed renewal for these
information collections were previously published in the Federal
Register on October 10, 2024, and October 21, 2024, allowing for a 60-
day comment period.
DATES: Comments must be submitted on or before January 13, 2025.
ADDRESSES: Interested parties are invited to submit written comments to
the FDIC by any of the following methods:
<bullet> Agency website: <a href="https://www.fdic.gov/resources/regulations/federal-register-publications/">https://www.fdic.gov/resources/regulations/federal-register-publications/</a>.
<bullet> Email: <a href="/cdn-cgi/l/email-protection#7e1d1113131b100a0d3e181a171d50191108"><span class="__cf_email__" data-cfemail="0b686466666e657f784b6d6f6268256c647d">[email protected]</span></a>. Include the name and number of
the collection in the subject line of the message.
[[Page 100493]]
<bullet> Mail: Manny Cabeza (202-898-3767), Regulatory Counsel, MB-
3128, Federal Deposit Insurance Corporation, 550 17th Street NW,
Washington, DC 20429.
<bullet> Hand Delivery: Comments may be hand-delivered to the guard
station at the rear of the 17th Street NW building (located on F Street
NW), on business days between 7 a.m. and 5 p.m.
Written comments and recommendations for the proposed information
collection also should 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>. Find this particular
information collection by selecting ``Currently under 30-day Review--
Open for Public Comment'''' or by using the search function.
FOR FURTHER INFORMATION CONTACT: Manny Cabeza, Regulatory Counsel, 202-
898-3767, <a href="/cdn-cgi/l/email-protection#503d333132352a3110363439337e373f26"><span class="__cf_email__" data-cfemail="a0cdc3c1c2c5dac1e0c6c4c9c38ec7cfd6">[email protected]</span></a>, MB-3128, Federal Deposit Insurance
Corporation, 550 17th Street NW, Washington, DC 20429.
SUPPLEMENTARY INFORMATION: Proposal to renew the following currently
approved collection of information:
1. Title: Pillar 2 Guidance--Advanced Capital Framework.
OMB Number: 3064-0165.
Form Number: None.
Affected Public: Insured state nonmember banks and certain
subsidiaries of these entities.
Burden Estimate:
Summary of Estimated Annual Burden
[OMB No. 3064-0165]
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Type of burden Number of Time per
Information collection (IC) (frequency of Number of responses per response Annual burden
(obligation to respond) response) respondents respondent (HH:MM) (hours)
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Supervisory Guidance: Recordkeeping 1 4 105:00 420
Supervisory Process of (Quarterly).
Capital Adequacy (Pillar 2)
Related to the Implementation
of the Basel II Advanced
Capital Framework (Voluntary).
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Total Annual Burden ................ .............. .............. .............. 420
(Hours):.
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Source: FDIC.
General Description of Collection. In 2008, the Office of the
Comptroller of the Currency, the Board of Governors of the Federal
Reserve System, and the FDIC issued a supervisory guidance document
related to the supervisory review process of capital adequacy (Pillar
2) in connection with the implementation of the Basel II Advanced
Capital Framework. Sections 37, 41, 43 and 46 of the guidance include
possible information collections. Section 37 provides that banks should
state clearly the definition of capital used in any aspect of its
internal capital adequacy assessment process (ICAAP) and document any
changes in the internal definition of capital. Section 41 provides that
banks should maintain thorough documentation of its ICAAP. Section 43
specifies that the board of directors should approve the bank's ICAAP,
review it on a regular basis, and approve any changes. Section 46
recommends that boards of directors periodically review the assessment
of overall capital adequacy and analyze how measures of internal
capital adequacy compare with other capital measures such as regulatory
or accounting. There has been no change in the method or substance of
this information collection, the burden is unchanged from the 2021
burden estimate.
2. Title: Credit Risk Retention.
OMB Number: 3064-0183.
Form Number: None.
Affected Public: Insured State nonmember banks, State savings
institutions, insured State branches of foreign banks, and any
subsidiary of the aforementioned entities.
Burden Estimate:
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Estimated Number of Total annual
IC description Type of burden Frequency of response number of responses/ Hours per estimated
(obligation to respond) respondents respondent response burden
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Disclosure Burdens
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Sec. 373.4(a)(2) Standard Risk Disclosure (Mandatory).. On Occasion............ 2 2 5.5 22
Retention--Horizontal Interest.
Sec. 373.4(a)(1) Standard Risk Disclosure (Mandatory).. On Occasion............ 2 2 2.0 8
Retention--Vertical Interest.
Sec. 373.4(a)(3) Standard Risk Disclosure (Mandatory).. On Occasion............ 1 1 7.5 8
Retention--Combined Interest *.
Sec. 373.5 Revolving Master Trusts. Disclosure (Mandatory).. On Occasion............ 3 2 7.0 42
Sec. 373.6 Eligible ABCP Conduits * Disclosure (Mandatory).. On Occasion............ 1 1 3.0 3
Sec. 373.7 Commercial MBS *........ Disclosure (Mandatory).. On Occasion............ 1 1 20.75 21
Sec. 373.10 Qualified Tender Option Disclosure (Mandatory).. On Occasion............ 1 1 6.0 6
Bonds *.
Sec. 373.11 Allocation of Risk Disclosure (Mandatory).. On Occasion............ 1 1 2.5 3
Retention to an Originator *.
Sec. 373.13 Exemption for Qualified Disclosure (Mandatory).. On Occasion............ 1 1 1.25 1
Residential Mortgages *.
Sec. 373.15 Exemption for Disclosure (Mandatory).. On Occasion............ 1 1 20.0 20
Qualifying Commercial Loans,
Commercial Real Estate and
Automobile Loans *.
Sec. 373.16 Underwriting Standards Disclosure (Mandatory).. On Occasion............ 1 1 1.25 1
for Qualifying Commercial Loans *.
Sec. 373.17 Underwriting Standards Disclosure (Mandatory).. On Occasion............ 1 1 1.25 1
for Qualifying Commercial Real
Estate Loans *.
[[Page 100494]]
Sec. 373.18 Underwriting Standards Disclosure (Mandatory).. On Occasion............ 1 1 1.25 1
for Qualifying Automobile Loans *.
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Disclosure Subtotal.............. ........................ ....................... .............. .............. .............. 137
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Recordkeeping Burdens
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Sec. 373.4(a)(2) Standard Risk Recordkeeping On Occasion............ 2 2 0.5 2
Retention--Horizontal Interest. (Mandatory).
Sec. 373.4(a)(1) Standard Risk Recordkeeping On Occasion............ 2 2 0.5 2
Retention--Vertical Interest. (Mandatory).
Sec. 373.4(a)(3) Standard Risk Recordkeeping On Occasion............ 1 1 0.5 1
Retention--Combined Interest *. (Mandatory).
Sec. 373.5 Revolving Master Trusts. Recordkeeping On Occasion............ 3 2 0.5 3
(Mandatory).
Sec. 373.6 Eligible ABCP Conduits * Recordkeeping On Occasion............ 1 1 20.0 20
(Mandatory).
Sec. 373.7 Commercial MBS *........ Recordkeeping On Occasion............ 1 1 30.0 30
(Mandatory).
Sec. 373.11 Allocation of Risk Recordkeeping On Occasion............ 1 1 20.0 20
Retention to an Originator *. (Mandatory).
Sec. 373.13 Exemption for Qualified Recordkeeping On Occasion............ 1 1 40.0 40
Residential Mortgages *. (Mandatory).
Sec. 373.15 Exemption for Recordkeeping On Occasion............ 1 1 0.5 1
Qualifying Commercial Loans, (Mandatory).
Commercial Real Estate and
Automobile Loans *.
Sec. 373.16 Underwriting Standards Recordkeeping On Occasion............ 1 1 40.0 40
for Qualifying Commercial Loans *. (Mandatory).
Sec. 373.17 Underwriting Standards Recordkeeping On Occasion............ 1 1 40.0 40
for Qualifying Commercial Real (Mandatory).
Estate Loans *.
Sec. 373.18 Underwriting Standards Recordkeeping On Occasion............ 1 1 40.0 40
for Qualifying Automobile Loans *. (Mandatory).
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Recordkeeping Subtotal........... ........................ ....................... .............. .............. .............. 239
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Total Annual Burden Hours.... ........................ ....................... .............. .............. .............. 376 hours
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General Description of Collection: This information collection
request comprises disclosure and recordkeeping requirements under the
credit risk retention rule issued pursuant to section 15G of the
Securities Exchange Act of 1934 (15 U.S.C. 78o-11), as added by section
941 of the Dodd-Frank Wall Street Reform and Consumer Protection Act
(Dodd-Frank).\1\ The Credit Risk Retention rule (the Rule) was jointly
issued in 2015 by the FDIC, the Office of the Comptroller of the
Currency (OCC), the Federal Reserve Board (Board'', the Securities and
Exchange Commission (the Commission) and, with respect to the portions
of the Rule addressing the securitization of residential mortgages, the
Federal Housing Finance Agency (FHFA) and the Department of Housing and
Urban Development (HUD).\2\ The FDIC regulations corresponding to the
Rule are found at 12 CFR part 373.\3\
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\1\ Public Law 111-2-3, 124 Stat. 1376 (2010).
\2\ 79 FR 77740.
\3\ Each agency adopted the same rule text but each agency's
version of its rule is codified in different parts of the Code of
Federal Regulations with substantially identical section numbers
(e.g., __.01; .__02, etc.). Rule citations herein are to FDIC's
version of the Rule which is codified at 12 CFR part 373.
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Section 941 of Dodd-Frank requires the Board, the FDIC, the OCC
(collectively, the Federal banking agencies), the Commission and, in
the case of the securitization of any ``residential mortgage asset,''
together with HUD and FHFA, to jointly prescribe regulations that (i)
require an issuer of an asset-backed security or a person who organizes
and initiates an asset backed securities transaction by selling or
transferring assets, either directly or indirectly, including through
an affiliate, to the issuer (issuer or organizer) to retain not less
than five percent of the credit risk of any asset that the issuer or
organizer, through the issuance of an asset-backed security (ABS),
transfers, sells or conveys to a third party and (ii) prohibit an
issuer or organizer from directly or indirectly hedging or otherwise
transferring the credit risk that the issuer or organizer is required
to retain under section 941 and the agencies' implementing rules.
Exempted from the credit risk retention requirements of section 941 are
certain types of securitization transactions, including ABS
collateralized solely by qualified residential mortgages (QRMs), as
that term is defined in the Rule. In addition, section 941 provides
that the agencies must permit an issuer or organizer to retain less
than five percent of the credit risk of residential mortgage loans,
commercial real estate (CRE) loans, commercial loans and automobile
loans that are transferred, sold or conveyed through the issuance of
ABS by the issuer or organizer, if the loans meet underwriting
standards established by the Federal banking agencies.
The FDIC implemented section 941 of Dodd-Frank through 12 CFR part
373 (the Rule). The Rule defines a securitizer as (1) the depositor of
the asset-backed securities (if the depositor is not the sponsor); or
(2) the sponsor of the asset-backed securities.\4\ The Rule provides a
menu of credit risk retention options from which securitizers can
choose and sets out the standards, including disclosure, recordkeeping,
and reporting requirements, for each option; identifies the eligibility
criteria, including certification and disclosure requirements, that
must be met for ABS offerings to qualify for the QRM and other
exemptions; specifies the underwriting standards for CRE loans,
commercial loans and automobile loans, as well as disclosure,
certification and recordkeeping requirements, that must be met for ABS
issuances collateralized by such loans to qualify for reduced credit
risk retention; and sets forth the circumstances under which retention
[[Page 100495]]
obligations may be allocated by sponsors to originators, including
disclosure and monitoring requirements.
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\4\ 12 CFR 373.2.
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Part 373 contains several requirements that qualify as information
collections under the Paperwork Reduction Act of 1995 (PRA). The
information collection requirements are found in 12 CFR 373.4, 373.5,
373.6, 373.7, 373.8, 373.9, 373.10, 373.11, 373.13, 373.15, 373.16,
373.17, 373.18, and 373.19(g). The recordkeeping requirements relate
primarily to (i) the adoption and maintenance of various policies and
procedures to ensure and monitor compliance with regulatory
requirements and (ii) certifications, including as to the effectiveness
of internal supervisory controls. The required disclosures for each
risk retention option are intended to provide investors with material
information concerning the sponsor's retained interest in a
securitization transaction (e.g., the amount, form and nature of the
retained interest, material assumptions and methodology,
representations and warranties). Compliance with the information
collection requirements is mandatory, responses to the information
collections will not be kept confidential and, with the exception of
the recordkeeping requirements in 12 CFR 373.4(d), 373.5(k)(3), and
373.15(d), the Rule does not specify a mandatory retention period for
the information.
Request for Comment
Comments are invited on (a) whether the collection of information
is necessary for the proper performance of the FDIC's functions,
including whether the information has practical utility; (b) the
accuracy of the 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; 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. All
comments will become a matter of public record.
Federal Deposit Insurance Corporation.
Dated at Washington, DC, on December 9, 2024.
James P. Sheesley,
Assistant Executive Secretary.
[FR Doc. 2024-29295 Filed 12-11-24; 8:45 am]
BILLING CODE 6714-01-P
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