[Federal Register Volume 82, Number 39 (Wednesday, March 1, 2017)]
[Notices]
[Pages 12274-12276]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-03943]


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DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency

FEDERAL RESERVE SYSTEM

FEDERAL DEPOSIT INSURANCE CORPORATION


Proposed Agency Information Collection Activities; Comment 
Request

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

ACTION: Joint notice and request for comment.

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SUMMARY: In accordance with the requirements of the Paperwork Reduction 
Act (PRA) of 1995, the OCC, the Board, and the FDIC (the agencies) 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 agencies, 
under the auspices of the Federal Financial Institutions Examination 
Council (FFIEC), have approved the publication of proposed revisions to 
the Regulatory Capital Reporting for Institutions Subject to the 
Advanced Capital Adequacy Framework (FFIEC 101) for public comment. The 
FFIEC 101 is completed only by banking organizations subject to the 
advanced approaches risk-based capital rule. Generally, this rule 
applies to banking organizations with $250 billion or more in total 
consolidated assets or $10 billion or more in on-balance sheet foreign 
exposures (advanced approaches banking organizations).
    The proposed revisions would remove two credit valuation adjustment 
(CVA) items from the exposure at default (EAD) column on FFIEC 101 
Schedule B, Summary Risk-Weighted Asset Information for Banks Approved 
to Use Advanced Internal Ratings-Based and Advanced Measurement 
Approaches for Regulatory Capital Purposes (items 31.a and 31.b, column 
D). Advanced approaches banking organizations would discontinue 
reporting the EAD CVA data items on FFIEC 101 Schedule B effective with 
the June 30, 2017, reporting date.
    At the end of the comment period, the comments will be analyzed to 
determine the extent to which the FFIEC and the agencies should modify 
the proposed revisions. The agencies will then submit the proposed 
revisions to OMB for review and final approval.

DATES: Comments must be submitted on or before May 1, 2017.

ADDRESSES: Interested parties are invited to submit written comments to 
any or all of the agencies. All comments, which should refer to the OMB 
control number(s), will be shared among the agencies.
    OCC: Because paper mail in the Washington, DC, area and at the OCC 
is subject to delay, commenters are encouraged to submit comments by 
email, if possible to [email protected]. Comments may be sent to: 
Legislative and Regulatory Activities Division, Office of the 
Comptroller of the Currency, Attention: 1557-0239 (FFIEC 101), 400 7th 
Street SW., Suite 3E-218, mail stop 9W-11, Washington, DC 20219. In 
addition, comments may be sent by fax to (571) 465-4326. You may 
personally inspect and photocopy comments at the OCC, 400 7th Street 
SW., Washington, DC 20219. For security reasons, the OCC requires that 
visitors make an appointment to inspect comments. You may do so by 
calling (202) 649-6700 or, for persons who are deaf or hard of hearing, 
TTY, (202) 649-5597. Upon arrival, visitors will be required to present 
valid government-issued photo identification and to submit to security 
screening in order to inspect and photocopy comments.
    All comments received, including attachments and other supporting 
materials, are part of the public record and subject to public 
disclosure. Do not enclose any information in your comment or 
supporting materials that you consider confidential or inappropriate 
for public disclosure.
    Board: You may submit comments, which should refer to ``FFIEC 
101,'' by any of the following methods:
     Agency Web site: http://www.federalreserve.gov. Follow the 
instructions for submitting comments at: http://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: [email protected]. Include reporting 
form number in the subject line of the message.
     Fax: (202) 452-3819 or (202) 452-3102.
     Mail: Robert DeV. Frierson, Secretary, Board of Governors 
of the Federal Reserve System, 20th Street and Constitution Avenue NW., 
Washington, DC 20551.
    All public comments are available from the Board's Web site at 
www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm as submitted, 
unless modified for technical reasons. Accordingly, your comments will 
not be edited to remove any identifying or contact information. Public 
comments may also be viewed electronically or in paper in Room MP-500 
of the Board's Martin Building (20th and C Streets NW.) between 9:00 
a.m. and 5:00 p.m. on weekdays.
    FDIC: You may submit comments, which should refer to ``FFIEC 101,'' 
by any of the following methods:
     Agency Web site: https://www.fdic.gov/regulations/laws/federal/. Follow the instructions for submitting comments on the FDIC 
Web site.

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     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: [email protected]. Include ``FFIEC 101'' in the 
subject line of the message.
     Mail: Manuel E. Cabeza, Counsel, Room MB-3007, Attn: 
Comments, Federal Deposit Insurance Corporation, 550 17th Street NW., 
Washington, DC 20429.
     Hand Delivery: Comments may be hand delivered to the guard 
station at the rear of the 550 17th Street Building (located on F 
Street) on business days between 7:00 a.m. and 5:00 p.m.
    Public Inspection: All comments received will be posted without 
change to https://www.fdic.gov/regulations/laws/federal/ including any 
personal information provided. Comments may be inspected at the FDIC 
Public Information Center, Room E-1002, 3501 Fairfax Drive, Arlington, 
VA 22226, between 9:00 a.m. and 5:00 p.m. on business days.
    Additionally, commenters may send a copy of their comments to the 
OMB desk officer for the agencies by mail to the Office of Information 
and Regulatory Affairs, U.S. Office of Management and Budget, New 
Executive Office Building, Room 10235, 725 17th Street NW., Washington, 
DC 20503; by fax to (202) 395-6974; or by email to 
[email protected].

FOR FURTHER INFORMATION CONTACT: For further information about the 
proposed revisions to regulatory reporting requirements discussed in 
this notice, please contact any of the agency clearance officers whose 
names appear below. In addition, copies of the proposed revised FFIEC 
101 form and instructions can be obtained at the FFIEC's Web site 
(http://www.ffiec.gov/ffiec_report_forms.htm).
    OCC: Shaquita Merritt, OCC Clearance Officer, (202) 649-5490 or, 
for persons who are deaf or hard of hearing, TTY, (202) 649-5597, 
Legislative and Regulatory Activities Division, Office of the 
Comptroller of the Currency, 400 7th Street SW., Washington, DC 20219.
    Board: Nuha Elmaghrabi, Federal Reserve Board Clearance Officer, 
(202) 452-3829, Office of the Chief Data Officer, 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: Manuel E. Cabeza, Counsel, (202) 898-3767, Federal Deposit 
Insurance Corporation, 550 17th Street NW., Room MB-3007, Washington, 
DC 20429.

SUPPLEMENTARY INFORMATION: The agencies are proposing to extend for 
three years, with revision, the FFIEC 101, which is currently an 
approved collection of information for each agency.
    Report Title: Risk-Based Capital Reporting for Institutions Subject 
to the Advanced Capital Adequacy Framework.
    Form Number: FFIEC 101.
    Frequency of Response: Quarterly.
    Affected Public: Business or other for-profit.

OCC

    OMB Control No.: 1557-0239.
    Estimated Number of Respondents: 20 national banks and federal 
savings associations.
    Estimated Time per Response: 674 burden hours per quarter to file.
    Estimated Total Annual Burden: 53,920 burden hours to file.

Board

    OMB Control No.: 7100-0319.
    Estimated Number of Respondents: 6 state member banks; 16 bank 
holding companies and savings and loan holding companies; and 6 
intermediate holding companies.
    Estimated Time per Response: 674 burden hours per quarter for state 
member banks to file, 677 burden hours per quarter for bank holding 
companies and savings and loan holding companies to file; and 3 burden 
hours per quarter for intermediate holding companies to file.
    Estimated Total Annual Burden: 16,176 burden hours for state member 
banks to file; 43,328 burden hours for bank holding companies and 
savings and loan holding companies to file; and 72 burden hours for 
intermediate holding companies to file.

FDIC

    OMB Control No.: 3064-0159.
    Estimated Number of Respondents: 2 insured state nonmember banks 
and state savings associations.
    Estimated Time per Response: 674 burden hours per quarter to file.
    Estimated Total Annual Burden: 5,392 burden hours to file.

General Description of Reports

    Each advanced approaches banking organization is required to file 
quarterly regulatory capital data on the FFIEC 101. The FFIEC 101 
information collection is mandatory for advanced approaches banking 
organizations: 12 U.S.C. 161 (national banks), 12 U.S.C. 324 (state 
member banks), 12 U.S.C. 1844(c) (bank holding companies), 12 U.S.C. 
1467a(b) (savings and loan holding companies), 12 U.S.C. 1817 (insured 
state nonmember commercial and savings banks), 12 U.S.C. 1464 (savings 
associations), and 12 U.S.C. 1844(c), 3106, and 3108 (intermediate 
holding companies).
    The agencies use these data to assess and monitor the levels and 
components of each reporting entity's capital requirements and the 
adequacy of the entity's capital under the Advanced Capital Adequacy 
Framework; to evaluate the impact of the Advanced Capital Adequacy 
Framework on individual reporting entities and on an industry-wide 
basis and its competitive implications; and to supplement on-site 
examination processes. The reporting schedules also assist advanced 
approaches banking organizations in understanding expectations relating 
to the system development necessary for implementation and validation 
of the Advanced Capital Adequacy Framework. Submitted data that are 
released publicly will also provide other interested parties with 
information about advanced approaches banking organizations' regulatory 
capital.

Current Actions

    The agencies are inviting comment on a proposal to remove two items 
from FFIEC 101 Schedule B. No other revisions to the FFIEC 101 report 
are being proposed.
    The two items proposed for removal collect EAD information related 
to CVAs that already is captured in a separate item on FFIEC 101 
Schedule B. Specifically, the agencies are proposing to remove column D 
(EAD) for items 31.a, ``Credit valuation adjustments--simple 
approach,'' and 31.b, ``Credit value adjustments--advanced approach.'' 
These line items were added to the FFIEC 101 report in March of 2014, 
and were intended to provide data pertaining to the CVA requirements 
under the agencies' regulatory capital rules \1\ for over-the-counter 
(OTC) derivative activities.
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    \1\ For national banks and federal savings associations, 12 CFR 
part 3 (OCC); for state member banks and holding companies, 12 CFR 
part 217 (Board); and for state nonmember banks and state savings 
associations, 12 CFR part 324 (FDIC).
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    Under these rules, CVA is the fair value adjustment to reflect 
counterparty credit risk in the valuation of an OTC derivative contract 
that has a positive fair value. The advanced approaches risk-based 
capital rules provide two approaches for calculating the CVA capital 
requirement: The simple and advanced CVA approaches. The conditions for 
each approach, as well as the methods for calculation, are described in 
section 132 of the

[[Page 12276]]

regulatory capital rules. Currently, EAD information pertaining to CVAs 
that is reported in FFIEC 101 Schedule B remains confidential, even 
after an institution completes its parallel run period.
    The agencies have determined that the EAD information reported in 
column D of items 31.a and 31.b on FFIEC 101 Schedule B is already 
captured in column D of item 10 (OTC derivatives--no cross-product 
netting--EAD adjustment method) on FFIEC 101 Schedule B. Continuing to 
collect the same EAD information in both places is not only redundant, 
but also may be misinterpreted by the users of FFIEC 101 data as 
additional default risk held by the reporting entity. For these 
reasons, the agencies propose removing column D for items 31.a and 31.b 
on FFIEC 101 Schedule B.
    The agencies would continue to collect the amount of risk-weighted 
assets for CVAs in column G of items 31.a and 31.b on FFIEC 101 
Schedule B.

Request for Comment

    Public comment is requested on all aspects of this joint notice. 
Comments are invited on
    (a) Whether the collections of information that are the subject of 
this notice are necessary for the proper performance of the agencies' 
functions, including whether the information has practical utility;
    (b) The accuracy of the agencies' estimates of the burden of the 
information collections as they are proposed to be revised, including 
the validity of the methodology and assumptions used;
    (c) Ways to enhance the quality, utility, and clarity of the 
information to be collected;
    (d) Ways to minimize the burden of information collections 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, 
maintenance, and purchase of services to provide information.

    Comments submitted in response to this joint notice will be 
shared among the agencies and will be summarized or included in the 
agencies' requests for OMB approval. All comments will become a 
matter of public record.

    Dated: February 23, 2017.
Karen Solomon,
Deputy Chief Counsel, Office of the Comptroller of the Currency.
    Board of Governors of the Federal Reserve System, February 23, 
2017.
Robert deV. Frierson,
Secretary of the Board.
    Dated at Washington, DC, this 22nd day of February, 2017.

Federal Deposit Insurance Corporation,
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2017-03943 Filed 2-28-17; 8:45 am]
BILLING CODE 4810-33-P;6210-01-P; 6714-01-P