[Federal Register Volume 82, Number 81 (Friday, April 28, 2017)]
[Notices]
[Pages 19663-19665]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-08559]


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COMMODITY FUTURES TRADING COMMISSION


Agency Information Collection Activities: Proposed Collection 
Revision, Comment Request: Adoption of Revised Registration Form 8-R 
and Cancellation of Form 3-R

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice.

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SUMMARY: The Commodity Futures Trading Commission (``CFTC'' or the 
``Commission'') is announcing an opportunity for public comment on the 
proposed revision to the collection of certain information by the 
Commission. Under the Paperwork Reduction Act (``PRA''), Federal 
agencies are required to publish notice in the Federal Register 
concerning each proposed collection of information and to allow 60 days 
for public comment. The Commission revised its Form 8-R, the 
application form that individuals use to register with the Commission 
or to be listed as a principal. This notice solicits comments on the 
PRA implications of the revisions to Form 8-R, including comments that 
address the burdens associated with the modified information collection 
requirements of the revised Form 8-R. Additionally, this notice also 
solicits comments on the PRA implications of reassigning the burdens 
associated with the information collections requirements of Commission 
Form 3-R, which is no longer used, to Commission Forms 7-R and 8-R.

DATES: Comments must be submitted on or before June 27, 2017.

ADDRESSES: You may submit comments, identified by ``OMB control numbers 
3038-0023 and 3038-0072; Adoption of Revised Registration Form 8-R and 
Cancellation of Form 3-R,'' by any of the following methods:
     The Commission's Web site, via its Comments Online process 
at http://comments.cftc.gov/. Follow the instructions for submitting 
comments through the Web site.
     Mail: Christopher Kirkpatrick, Secretary of the 
Commission, Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW., Washington, DC 20581.
     Hand Delivery/Courier: Same as Mail above.
     Federal eRulemaking Portal: http://www.regulations.gov/. 
Follow the instructions for submitting comments through the Portal.
    Please submit your comments using only one method.
    All comments must be submitted in English, or if not, accompanied 
by an English translation. Comments will be posted as received to 
http://www.cftc.gov. You should submit only information that you wish 
to make available publicly. If you wish the Commission to consider 
information that you believe is exempt from disclosure under the 
Freedom of Information Act, a petition for confidential treatment of 
the exempt information may be submitted according to the procedures 
established in Regulation 145.9.\1\
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    \1\ 17 CFR 145.9.
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    The Commission reserves the right, but shall have no obligation, to 
review, pre-screen, filter, redact, refuse or remove any or all of your 
submission from http://www.cftc.gov that it may deem to be 
inappropriate for publication, such as obscene language. All 
submissions that have been redacted or removed that contain comments on 
the merits of the information collection request will be retained in 
the public comment file and will be considered as required under the 
Administrative Procedure Act and other applicable laws, and may be 
accessible under the Freedom of Information Act.

FOR FURTHER INFORMATION CONTACT: Laura Gardy, Associate Director, (202) 
418-7645, [email protected]; or August A. Imholtz III, Special Counsel, 
(202) 418-5140, [email protected], Division of Swap Dealer and 
Intermediary Oversight, Commodity Futures Trading Commission, 1155 21st 
Street NW., Washington, DC 20581.

SUPPLEMENTARY INFORMATION: Under the PRA, Federal agencies must obtain 
approval from the Office of Management and Budget (``OMB'') for each 
collection of information they conduct or sponsor. ``Collection of 
Information'' is defined in 44 U.S.C. 3502(3) and 5 CFR 1320.3 and 
includes agency requests or requirements that members of the public 
submit reports, keep records, or provide information to a third party. 
Section 3506(c)(2)(A) of the PRA, 44 U.S.C. 3506(c)(2)(A), requires 
Federal agencies to provide a 60-day notice in the Federal Register 
concerning each proposed collection of information before submitting 
the collection to OMB for approval. To comply with this requirement, 
the CFTC is publishing notice of the proposed revision to the 
collections of information listed below. 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 number.
    Titles: Registration Under the Commodity Exchange Act (OMB control 
number 3038-0023); Registration of Swap Dealers and Major Swap 
Participants (OMB control number 3038-0072). This is a request for 
extension and revision of these currently approved information 
collections.
    Abstract: The Commission recently revised its Form 8-R, the 
application form that individuals must use to register with the 
Commission as an associated person, floor broker, or floor trader, or 
to be listed as a principal. The collections of information related to 
Form 8-R were previously approved by OMB in accordance with the PRA and 
assigned OMB control numbers 3038-0023 and 3038-0072. Additionally, the 
Commission no longer requires individuals and entities to use 
Commission Form 3-R to update their registration information, which now 
can be updated directly on Forms 7-R or 8-R. The Commission therefore 
is reassigning to Forms 7-R and 8-R the information collection burdens 
previously associated with Commission Form 3-R. The collection of 
information related to Form 3-R was previously approved by OMB in 
accordance with the PRA and assigned OMB control number 3038-0023.

1. Form 8-R Revision

    The revised Form 8-R contains several changes that increase the 
existing information collection burden, currently 0.8 hours, associated 
with Form 8-R. The Commission estimates that the changes, which are 
discussed below, when considered together in aggregate add a total of 
0.1 burden hours to the information collection burdens associated with 
Form 8-R.

[[Page 19664]]

    First, in the ``Fingerprint Card Information'' section, revised 
Form 8-R adds two new questions. One new question addresses new 
requirements and exemptions thereto contained in Commission Regulation 
3.21(e) applicable to non-U.S. persons. The other new question 
addresses the fingerprinting requirement exception for certain outside 
directors of registered firms. Second, in the section titled 
``Disciplinary Information--Regulatory Disclosures,'' a new question 
was added to existing Question E. Among other things, Question E 
inquires whether the applicant (or an entity of which the applicant was 
a principal) violated, or aided and abetted the violation of, any 
investment-related statutes or regulations, a potential statutory basis 
for refusing or conditioning registration. The new question directs the 
applicant to disclose whether he or she has ever been found to have 
``failed to supervise another person's activities under any investment-
related statute or regulation.'' Third, in the section titled 
``Disciplinary Information--Financial Disclosures,'' the Commission 
revised Question J. Prior to the revision, Question J asked whether the 
applicant has ``currently failed to comply with any order to pay any 
futures-related civil monetary penalties, restitution amounts, 
disgorgement amounts, reparation amounts or arbitration awards.'' As 
revised, Question J now inquires whether the applicant ``failed to pay 
any arbitration awards involving CFTC-regulated products, CFTC civil 
monetary penalties, CFTC restitution amounts, CFTC disgorgement 
amounts, or CFTC reparation amounts.''
    The revised Form 8-R also contains several changes that do not 
alter the information collection burdens associated with Form 8-R. 
First, the revised Form 8-R combines into a single form two separate, 
existing versions of the Form 8-R, the Form 8-R ``Individual 
Application'' and the Form 8-R ``Floor Trader Order Enterer Individual 
Application,'' both of which were previously approved by OMB. In the 
section titled ``Sponsor Information and Registration Categories,'' the 
revised Form 8-R adds ``floor trader order enterer'' as a new category 
of persons that can be associated with a sponsor. Also in connection 
with this change, the revised Form 8-R includes two newly defined 
terms: ``entity floor trader'' and ``floor trader order enterer.'' 
Second, in the section titled ``Principal Information,'' the prior 
version of Form 8-R contained a blank space in which an applicant 
entered a title. In the revised Form 8-R, the space is replaced with a 
list of available titles for applicants to choose from. Third, NFA is 
simplifying the process by which it requests supplemental information 
and documentation regarding the applicant's criminal, regulatory or 
financial disclosures. The prior version of Form 8-R requested that 
applicants provide a written explanation of the facts and circumstances 
regarding any such disclosures. Applicants were also separately 
requested to provide NFA with copies of pertinent documents associated 
with each disclosure. To consolidate and modernize this process, the 
revised Form 8-R allows applicants to complete a separate ``Disclosure 
Matter Page'' for each matter, instance or event requiring disclosure 
and to simultaneously upload all pertinent documents associated with 
each disclosure. The Disclosure Matter Page provides applicants with an 
efficient and effective method of supplying the supplemental 
information and documentation that NFA requests in the normal course 
whenever an applicant responds affirmatively to any of the questions 
regarding criminal, regulatory or financial disclosures.
    Lastly, the revised Form 8-R contains numerous changes to the 
language, formatting and organization of Form 8-R, all of which--
individually and collectively--do not alter the information collection 
burdens associated with Form 8-R. The only changes to Form 8-R that 
affect the information collection burdens associated with the form are 
those discussed above.

2. Cancellation of Form 3-R

    Commission Regulations 3.11 and 3.31 historically required entities 
and individuals to use Commission Form 3-R to update or correct certain 
types of information that originally was supplied on Commission Forms 
7-R or 8-R, the registration forms for entities and individuals 
respectively. Regulations 3.11 and 3.31 were amended in 2012 to reflect 
a new practice whereby Forms 7-R and 8-R could be directly updated 
online, and the requirement to use Form 3-R for updates, or for any 
other purpose, was deleted from the Commission rules. At that time, 
however, the Commission did not reassign to Forms 7-R and 8-R the 
information collection burden associated with the Form 3-R. The 
Commission is doing so now.
    The information collection burden associated with Form 3-R is 0.1 
hours. In reassigning that burden to Forms 7-R and 8-R, the Commission 
believes that it is appropriate to adopt a conservative approach and 
assign an additional 0.1 hours each to the Form 7-R and 8-R. 
Accordingly, by virtue of cancelling Form 3-R, and reassigning to Forms 
7-R and 8-R the information collection burdens associated with Form 3-
R, the information collections burdens for Forms 7-R and 8-R each will 
increase by 0.1 hours. The reassignment of the information collection 
burden from Form 3-R to Forms 7-R and 8-R reallocates the information 
collection burdens within OMB control number 3038-0023, and does not 
increase or decrease the total information collection burden under that 
control number.

3. Invitation to Comment

    With respect to the information collections discussed above, the 
CFTC invites comments on:
     Whether the proposed revision to the collection of 
information is necessary for the proper performance of the functions of 
the Commission, including whether the information will have a practical 
use;
     The accuracy of the Commission's estimate of the burden of 
the proposed revision to the collection of information, including the 
validity of the methodology and assumptions used;
     Ways to enhance the quality, usefulness, and clarity of 
the information to be collected; and
     Ways to minimize the burden of collection of information 
on those who are to respond, including through the further use of 
appropriate automated electronic, mechanical, or other technological 
collection techniques or other forms of information technology; e.g., 
permitting electronic submission of responses.
    Burden Statement: As explained above, the Commission believes that 
the revisions to Form 8-R increase the information collection burdens 
associated with that Form under OMB control numbers 3038-0023 and 3038-
0072. Additionally, the Commission believes that reassigning to Forms 
7-R and 8-R the information collection burdens formerly associated with 
Commission Form 3-R reallocates the information collection burdens 
within OMB control number 3038-0023, and therefore does not increase or 
decrease the total information collection burden under that control 
number.
    The Commission estimates the burden of this collection of 
information under OMB control number 3038-0023 to be:
    Respondents/Affected Entities: (1) Users of Form 7-R, specifically 
futures commission merchants, retail foreign exchange dealers, 
introducing brokers, commodity trading advisors, commodity pool 
operators, floor trader firms, and

[[Page 19665]]

leverage transaction merchants; and (2) users of Form 8-R, specifically 
(i) associated persons of futures commission merchants, retail foreign 
exchange dealers, introducing brokers, commodity trading advisors, 
commodity pool operators, and leverage transaction merchants; floor 
brokers; (ii) principals of futures commission merchants, retail 
foreign exchange dealers, introducing brokers, commodity trading 
advisors, commodity pool operators, floor trader firms, or leverage 
transaction merchants; (iii) floor brokers; (iv) floor traders; and (v) 
floor trader order enterers.
    Estimated Number of Respondents: 78,109.
    Estimated Total Annual Burden on Respondents: 7,210 hours.
    Frequency of Collection: Periodically.
    There are no capital costs or operating and maintenance costs 
associated with this collection.
    The Commission estimates the burden of this collection of 
information under OMB control number 3038-0072 to be:
    Respondents/Affected Entities: (1) Users of Form 7-R, specifically 
swap dealers and major swap participants; and (2) users of Form 8-R, 
specifically principals of swap dealers and of major swap participants.
    Estimated Number of Respondents: 770.
    Estimated Total Annual Burden on Respondents: 648 hours.
    Frequency of Collection: Periodically.
    There are no capital costs or operating and maintenance costs 
associated with this collection.

    Authority: 44 U.S.C. 3501 et seq.

    Dated: April 24, 2017.
Robert N. Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2017-08559 Filed 4-27-17; 8:45 am]
BILLING CODE 6351-01-P