[Federal Register Volume 68, Number 157 (Thursday, August 14, 2003)]
[Notices]
[Pages 48661-48663]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-20698]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency

FEDERAL RESERVE BOARD

FEDERAL DEPOSIT INSURANCE CORPORATION

DEPARTMENT OF THE TREASURY

Office of Thrift Supervision


Agency Information Collection Activities: Submission for OMB 
Review; Comment Request

AGENCIES: Office of the Comptroller of the Currency (OCC), Treasury; 
Board of Governors of the Federal Reserve System (Board); Federal 
Deposit Insurance Corporation (FDIC); and Office of Thrift Supervision 
(OTS), Treasury.

ACTION: Notice of information collection to be submitted to OMB for 
review and approval under the Paperwork Reduction Act of 1995.

-----------------------------------------------------------------------

SUMMARY: In accordance with requirements of the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.), the OCC, Board, FDIC, and OTS 
(collectively, the Agencies) may not conduct or sponsor, and a 
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 Agencies hereby give notice that they plan to 
submit their respective information collections titled, ``Privacy of 
Consumer Financial Information,'' to OMB for review and approval.

DATES: You should submit your comments to the Agencies and the OMB Desk 
Officer by September 15, 2003.

ADDRESSES: You should direct your comments to: OCC: Public Information 
Room, Office of the Comptroller of the Currency, Mailstop 1-5, 
Attention: 1557-0216, 250 E Street, SW., Washington, DC 20219. Due to 
delays in paper mail delivery in the Washington area, commenters are 
encouraged to submit their comments by fax to (202) 874-4448, or by e-
mail to [email protected]. You can make an appointment to 
inspect the comments by calling (202) 874-5043 for an appointment.
    Board: Comments may be mailed to Ms. Jennifer J. Johnson, 
Secretary, Board of Governors of the Federal Reserve System, 20th 
Street and Constitution Avenue, NW., Washington, DC 20551. However, 
because paper mail in the Washington area and at the Board of Governors 
is subject to delay, please consider submitting your comments by e-mail 
to [email protected], or faxing them to the Office of 
the Secretary at (202) 452-3819 or (202) 452-3102. Members of the 
public may inspect comments in Room MP-500 between 9 a.m. and 5 p.m. on 
weekdays pursuant to Sec.  261.12, except as provided in Sec.  261.14, 
of the Board's Rules Regarding Availability of Information, 12 CFR 
261.12 and 261.14.
    FDIC: Steven F. Hanft, (202) 898-3907, Legal Division (Consumer and 
Compliance Unit), Room MB-3064, Federal Deposit Insurance Corporation, 
550 17th St. NW., Washington, DC 20429. All comments should refer to 
the OMB control number 3064-0136. Comments may be hand-delivered to the 
guard station at the rear of the 17th St. building (located on F 
Street) on business days between 7 a.m. and 5 p.m.
    OTS: Information Collection Comments, Chief Counsel's Office, 
Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552, 
by fax to (202) 906-6518, or by e-mail to 
[email protected]. OTS will post comments and the 
related index on the OTS Internet Site at http://www.ots.treas.gov. In 
addition, interested persons may inspect comments at the Public Reading 
Room, 1700 G Street, NW., by appointment. To make an appointment, call 
(202) 906-5922, send an e-mail to [email protected], or send a 
facsimile transmission to (202) 906-7755.
    OMB Desk Officer: Joseph F. Lackey, Jr., Office of Information and 
Regulatory Affairs, Office of Management and Budget, New Executive 
Office Building, Room 10235, Washington, DC 20503, or e-mail to 
[email protected].

FOR FURTHER INFORMATION CONTACT: You can request additional information 
or a copy of the collection from:
    OCC: Jessie Dunaway, OCC Clearance Officer, or Camille Dixon, (202) 
874-5090, Legislative & Regulatory Activities Division, Office of the 
Comptroller of the Currency, 250 E Street, SW., Washington, DC 20219.
    Board: Cindy Ayouch, Federal Reserve Board Clearance Officer, (202) 
452-3829, Division of Research and Statistics, Board of Governors of 
the Federal Reserve System, Washington, DC 20551. Telecommunications 
Device for the Deaf (TDD) users may contact (202) 263-4869, Board of 
Governors of the Federal Reserve System, Washington, DC 20551.
    FDIC: Steven F. Hanft, FDIC Clearance Officer, (202) 898-3907, fax 
number (202) 898-3838, Legal Division (Consumer and Compliance Unit), 
Federal Deposit Insurance Corporation, Room MB-3064, 550 17th Street, 
NW., Washington, DC 20429.
    OTS: Marilyn K. Burton, OTS Clearance Officer, at 
[email protected], (202) 906-6467, or facsimile number (202) 
906-6518, Regulations and Legislation Division, Chief Counsel's Office, 
Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552.

SUPPLEMENTARY INFORMATION: Comments: The Agencies separately requested 
comments on the proposed extension, without revision, of the 
information collections contained in the Privacy regulations (OCC, 
December 26, 2002, 67 FR 78869; Board, April 9, 2003, 68 FR 17397; 
FDIC, January 2, 2003, 68 FR 121; OTS, December 13, 2002, 67 FR 76775).

[[Page 48662]]

    Three comments were received: two from trade associations, and one 
from a financial institution. The financial institution suggested ways 
the agencies could improve their estimates. The commenters all asserted 
that the agencies underestimated the burden associated with this 
collection. Both trade associations also said that far fewer 
institutions find themselves in circumstances requiring disclosure than 
the agencies had originally estimated because institutions with less 
than $1 billion in assets do not share customer information with 
nonaffiliated third parties. The net effect of these comments would be 
that the burden-per-institution estimate should be increased, but the 
number of institutions experiencing burden should be decreased. The 
agencies believe this conclusion is supported by the past three years' 
experience in implementing the collection. Accordingly, the agencies 
have increased their estimate of the burden per respondent for this 
collection of information, and reduced the estimated number of 
respondents.
    The reporting burden for consumers has increased from the 2000 
estimates to the 2003 estimates. This increase reflects the experience 
of banks since 2000 concerning the number of consumers that actually 
exercise their right to opt out. Despite the overall increase, the 
estimated response time per consumer was lowered from one hour to 
thirty minutes due to a better understanding of the amount of time it 
takes a consumer to respond to an opt-out notice.
    Both trade associations suggested that the agencies develop a 
``short form'' privacy notice to permit easier compliance with the 
statute and its implementing regulation. They both also suggested that 
the agencies re-interpret the statute's apparent requirement for annual 
disclosure to mean that annual disclosure is required only when an 
institution's privacy policies have changed since they were last 
disclosed. These suggestions exceed the scope of this notice and have 
been referred to the appropriate program officials for further 
consideration.
    Title:
    OCC: Privacy of Consumer Information.
    Board: Reporting and Disclosure Requirements Associated With 
Regulation P (Privacy of Consumer Financial Information).
    FDIC: Privacy of Consumer Financial Information.
    OTS: Privacy of Consumer Financial Information.
    Type of Review: Extension of a currently approved collection.
    OMB Control Numbers:
    OCC: 1557-0216.
    Board: 7100-0294.
    FDIC: 3064-0136.
    OTS: 1550-0103.
    Description: The Gramm-Leach-Bliley Act (Pub. L. 106-102) mandates 
that the Federal banking agencies issue regulations as necessary to 
implement notice requirements and restrictions on a financial 
institution's ability to disclose nonpublic personal information about 
consumers to nonaffiliated third parties. Those regulations are found 
at 12 CFR 40 (OCC); 12 CFR 216 (FRB); 12 CFR 332 (FDIC); and 12 CFR 573 
(OTS). This collection of information is contained in those 
regulations.
    The Agencies are proposing to extend OMB approval of the 
information collection associated with these regulations. This 
submission involves no change to the regulations or to the information 
collection requirements.
    The information collection requirements are as follows:
    Section --.4(a) requires a bank to provide an initial notice to 
consumers that accurately reflects its privacy policies and practices.
    Section --.5(a) requires a bank to provide a notice annually to 
customers during the continuation of the customer relationship that 
accurately reflects the bank's privacy policies and practices.
    Section --A.7(a)(1) requires a bank to provide a clear and 
conspicuous notice that accurately explains the right to opt out. The 
notice must state that the bank discloses or reserves the right to 
disclose nonpublic personal information to nonaffiliated third parties; 
that the consumer has the right to opt out of that disclosure; and a 
reasonable means by which the consumer may exercise the opt out right. 
Section .10(c) states that a bank may allow a consumer to select 
certain nonpublic personal information or certain nonaffiliated third 
parties with respect to which the consumer wishes to opt out (partial 
opt-out).
    Section --.8(a) requires a bank to provide consumers with a revised 
notice of the bank's policies and procedures and a new opt out notice, 
if the bank wishes to disclose information in a way that is 
inconsistent with the notices previously given to a consumer.
    The regulation also identifies affirmative actions that consumers 
must take to exercise their rights. In order for consumers to prevent 
banks from sharing their information with nonaffiliated parties, they 
must opt out (Sec. Sec.  --.7(a)(2)(ii), --.10(a)(2) and --.10(c)).
    Consumers also have the right at any time during their continued 
relationship with the bank to change or update their opt out status 
with the bank (Sec. Sec.  --.7(f) and (g)).
    These information collection requirements ensure bank compliance 
with applicable Federal law.
    Affected Public: Business or other for-profit; individuals.
    Frequency: Annually.
    Burden Estimates:
    OCC:
    Estimated annual number of institution respondents: Initial notice, 
118; annual notice and change in terms, 1,960; opt-out notice, 371.
    Estimated average time per response per institution: Initial 
notice, 80 hours; annual notice and change in terms, 8 hours; opt-out 
notice, 8 hours.
    Estimated subtotal annual burden hours for institutions: 28,088 
hours.
    Estimated annual number of consumer respondents: 481,950.
    Estimated average time per consumer response: 30 minutes.
    Estimated subtotal annual burden hours for consumers: 240,975 
hours.
    Estimated total annual burden hours: 269,063 hours.
    Board:
    Estimated annual number of institution respondents: Initial notice, 
1,311; annual notice and change in terms, 6,692; opt-out notice, 1,197.
    Estimated average time per response per institution: Initial 
notice, 80 hours; annual notice and change in terms, 8 hours; opt-out 
notice, 8 hours.
    Estimated subtotal annual burden hours for institutions: 167,992 
hours.
    Estimated annual number of consumer respondents: 402,675.
    Estimated average time per consumer response: 30 minutes.
    Estimated subtotal annual burden hours for consumers: 201,338 
hours.
    Estimated total annual burden hours: 369,330 hours.
    FDIC:
    Estimated annual number of institution respondents: Initial notice, 
208; annual notice and change in terms, 5,138; opt-out notice, 873.
    Estimated average time per response per institution: Initial 
notice, 80 hours; annual notice and change in terms, 8 hours; opt-out 
notice, 8 hours.
    Estimated subtotal annual burden hours for institutions: 64,728 
hours.
    Estimated annual number of consumer respondents: 223,475.
    Estimated average time per consumer response: 30 minutes.
    Estimated subtotal annual burden hours for consumers: 111,738 
hours.
    Estimated total annual burden hours: 176,466 hours.
    OTS:
    Estimated annual number of institution respondents: Initial notice,

[[Page 48663]]

25; annual notice and change in terms, 949; opt-out notice, 182.
    Estimated average time per response per institution: Initial 
notice, 80 hours; annual notice and change in terms, 8 hours; opt-out 
notice, 8 hours.
    Estimated subtotal annual burden hours for institutions: 11,048 
hours.
    Estimated annual number of consumer respondents: 67,550.
    Estimated average time per consumer response: 30 minutes.
    Estimated subtotal annual burden hours for consumers: 33,775 hours.
    Estimated total annual burden hours: 44,823.

    Dated: August 6, 2003.
Mark J. Tenhundfeld,
Assistant Director, Legislative and Regulatory Activities Division, 
Office of the Comptroller of the Currency.
    Board of Governors of the Federal Reserve System, July 22, 2003.
Jennifer J. Johnson,
Secretary of the Board.
    Dated at Washington, DC, this 21st day of July, 2003.

Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
    Dated: August 7, 2003.

    By the Office of Thrift Supervision.
James E. Gilleran,
Director.
[FR Doc. 03-20698 Filed 8-13-03; 8:45 am]
BILLING CODE 4810-33-P; 6210-01-P; 6741-01-P; 6720-01-P