[Federal Register Volume 83, Number 102 (Friday, May 25, 2018)]
[Notices]
[Pages 24306-24309]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-11292]


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FEDERAL DEPOSIT INSURANCE CORPORATION


Agency Information Collection Activities: Proposed Collection 
Renewal; Comment Request (OMB No. 3064-0165; -0183; and -0196)

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Notice and request for comment.

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SUMMARY: The FDIC, as part of its continuing effort to reduce paperwork 
and respondent burden, invites the general public and other Federal 
agencies to take this opportunity to comment on the renewal of existing 
information collections, as required by the Paperwork Reduction Act of 
1995 (PRA). Currently, the FDIC is soliciting comment on renewal of the 
information collections described below.

DATES: Comments must be submitted on or before July 24, 2018.

ADDRESSES: Interested parties are invited to submit written comments to 
the FDIC by any of the following methods:
     https://www.FDIC.gov/regulations/laws/federal.
     Email: [email protected]. Include the name and number of 
the collection in the subject line of the message.
     Mail: Manny Cabeza (202-898-3767), Counsel, MB-3007, 
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 17th Street Building

[[Page 24307]]

(located on F Street), on business days between 7:00 a.m. and 5:00 p.m.
    All comments should refer to the appropriate OMB control number 
referenced in the Supplementary Information section below. A copy of 
the comments may also be submitted to the OMB desk officer for the 
FDIC: Office of Information and Regulatory Affairs, Office of 
Management and Budget, New Executive Office Building, Washington, DC 
20503.

FOR FURTHER INFORMATION CONTACT: Manny Cabeza, Counsel, 202-898-3767, 
[email protected], MB-3007, Federal Deposit Insurance Corporation, 550 
17th Street NW, Washington, DC 20429.

SUPPLEMENTARY INFORMATION: Proposal to renew the following currently 
approved collections of information:
    1. Title: Interagency Supervisory Guidance for the Supervisory 
Review Process of Capital Adequacy (Pillar 2) Related to the 
Implementation of the Basel II 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 Annual Burden
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                                                                             Estimated    Estimated time                                   Total annual
                                                  Type of burden             number of     per response       Frequency of  response         estimated
                                                                            respondents       (hours)                                      burden hours
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Pillar 2 Guidance......................  Recordkeeping..................               2             105  Quarterly.....................             840
                                        ----------------------------------------------------------------------------------------------------------------
    Total Estimated Annual Burden......  ...............................  ..............  ..............  ..............................             840
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    General Description of Collection: There has been no change in the 
method or substance of this information collection. The number of 
institutions subject to the record keeping requirements has decreased 
from eight (8) to two (2). 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.\1\ 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.
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    \1\ 73 FR 44620 (July 31, 2008).
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    2. Title: Credit Risk Retention.
    OMB Number: 3064-0183.
    Form Number: None.
    Affected Public: Insured state non-member banks, insured state 
branches of foreign banks, state savings associations and certain 
subsidiaries of these entities.
    Burden Estimate:

                                            Summary of Annual Burden
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                                                     Estimated       Estimated       Estimated       Estimated
                                                     number of        annual       average hours   annual burden
                                                     offerings       frequency     per response        hours
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                                                Disclosure Burden
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Subpart B:
    Sec.   373.4 Standard Risk Retention--                     1               1             5.5             5.5
     Horizontal Interest........................
    Sec.   373.4 Standard Risk Retention--                    40               1             2.0              80
     Vertical Interest..........................
    Sec.   373.4 Standard Risk Retention--                     4               1             7.5              30
     Combined Interest..........................
    Sec.   373.5 Revolving Master Trusts........              15               1             7.0             105
    Sec.   373.6 Eligible ABCP Conduits.........              15               1             3.0              45
    Sec.   373.7 Commercial MBS.................              15               1           20.75          311.25
    Sec.   373.8 FNMA and FHLMC.................              15               1             1.5            22.5
    Sec.   373.9 Open Market CLOs...............              15               1           20.25          303.75
    Sec.   373.10 Qualified Tender Option Bonds.              15               1             6.0              90
                                                 ---------------------------------------------------------------
        Subpart B Subtotal......................  ..............  ..............  ..............  ..............
Subpart C:
    Sec.   373.11 Allocation of Risk Retention                 3               1             2.5             7.5
     to an Originator...........................
Subpart D:
    Sec.   373.13 and .19(g) Exemption for                    13               1            1.25           16.25
     Qualified Residential Mortgages............
    Sec.   373.15 Exemption for Qualifying                    16               1            20.0             320
     Commercial Loans, Commercial Real Estate
     and Automobile Loans.......................
    Sec.   373.16 Underwriting Standards for                   6               1            1.25             7.5
     Qualifying Commercial Loans................
    Sec.   373.17 Underwriting Standards for                   6               1            1.25             7.5
     Qualifying CRE Loans.......................
    Sec.   373.18 Underwriting Standards for                   6               1            1.25             7.5
     Qualifying Automobile Loans................
                                                 ---------------------------------------------------------------
            Total Estimated Disclosure Burden...  ..............  ..............  ..............        1,359.25
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[[Page 24308]]

 
                                              Recordkeeping Burden
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Subpart B:
    Sec.   373.4 Standard Risk Retention--                     1               1             0.5             0.5
     Horizontal Interest........................
    Sec.   373.4 Standard Risk Retention--                    40               1             0.5              20
     Vertical Interest..........................
    Sec.   373.4 Standard Risk Retention--                     4               1             0.5               2
     Combined Interest..........................
    Sec.   373.5 Revolving Master Trusts........              15               1             0.5             7.5
    Sec.   373.6 Eligible ABCP Conduits.........              15               1            20.0             300
    Sec.   373.7 Commercial MBS.................              15               1            30.0             450
Subpart C:
    Sec.   373.11 Allocation of Risk Retention                 3               1            20.0              60
     to an Originator...........................
Subpart D:
    Sec.   373.13 and .19(g) Exemption for                    13               1            40.0             520
     Qualified Residential Mortgages............
    Sec.   373.15 Exemption for Qualifying                    16               1             0.5               8
     Commercial Loans, Commercial Real Estate
     and Automobile Loans.......................
    Sec.   373.16 Underwriting Standards for                   6               1            40.0             240
     Qualifying Commercial Loans................
    Sec.   373.17 Underwriting Standards for                   6               1            40.0             240
     Qualifying CRE Loans.......................
    Sec.   373.18 Underwriting Standards for                   6               1             400             240
     Qualifying Automobile Loans................
                                                 ---------------------------------------------------------------
        Total Estimated Recordkeeping Burden....  ..............  ..............  ..............           2,088
                                                 ---------------------------------------------------------------
            Total Estimated Annual Burden.......  ..............  ..............  ..............        3,447.25
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    There has been no change in the method or substance of this 
information collection. The above burden estimate is derived from 
FDIC's estimate that there are currently approximately 1,400 annual 
offerings subject to the Credit Risk Retention rule (12 CFR part 373). 
The methodology used to estimate burden is fully detailed in the FDIC's 
supporting statement for this information collection (3064-0183) 
available at https://www.reginfo.gov/public/do/PRAViewDocument?ref_nbr=201501-3064-002.
    General Description of Collection: This information collection 
request relates to the disclosure and recordkeeping requirements of 12 
CFR part 373 (the Credit Risk Retention Rule) which implements section 
15G of the Securities Exchange Act of 1934,\2\ added by section 941 of 
the Dodd-Frank Wall Street Reform and Consumer Protection Act \3\ 
(Section 941). The Credit Risk Retention Rule was jointly issued by the 
Federal Deposit Insurance Corporation (``FDIC''), the Office of the 
Comptroller of the Currency (``OCC''), the Federal Reserve Board 
(``Board''), the Securities and Exchange Commission (``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'').
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    \2\ 15 U.S.C. 78o-11.
    \3\ Public Law 111-2-3, 124 Stat. 1376 (2010).
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    Section 941 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 a 
securitizer to retain not less than five percent of the credit risk of 
any asset that the securitizer, through the issuance of an asset-backed 
security (``ABS''), transfers, sells or conveys to a third party, and 
(ii) prohibit a securitizer from directly or indirectly hedging or 
otherwise transferring the credit risk that the securitizer is required 
to retain under section 941 and the agencies' implementing rules.
    The Credit Risk Retention Rule provides a menu of credit risk 
retention options from which securitizers can choose and sets out the 
standards, including disclosure and recordkeeping requirements, for 
each option; identifies the eligibility criteria, including 
certification and disclosure requirements, that must be met for asset-
backed securities (ABS) offerings to qualify for certain exemptions; 
specifies the underwriting standards for commercial real estate (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 
obligations may be allocated by sponsors to originators, including 
disclosure and monitoring requirements. 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). The agencies believe that the 
disclosure and recordkeeping requirements will enhance market 
discipline, help ensure the quality of the assets underlying a 
securitization, and assist investors in evaluating transactions.
    3. Title: Disclosure Requirements Associated with the Supplementary 
Leverage Ratio.
    OMB Number: 3064-0196.
    Form Number: None.
    Affected Public: Insured state nonmember banks and state savings 
associations that are subject to the FDIC's advanced approaches risk-
based capital rules.
    Burden Estimate:

[[Page 24309]]



                                                                Summary of Annual Burden
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                                                                             Estimated    Estimated time                                   Total annual
                                                  Type of  burden            number of     per response        Frequency of response         estimated
                                                                            respondents       (hours)                                      burden hours
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12 CFR 324.172 and 173..................  Disclosure....................               2               5  Quarterly.....................              40
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    Total Estimated Annual Burden.......  ..............................  ..............  ..............  ..............................              40
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    There has been no change in the method or substance of this 
information collection. The number of institutions subject to the 
disclosure requirements has decreased from eight (8) to two (2).
    General Description of Collection: The supplementary leverage ratio 
regulations strengthen the definition of total leverage exposure and 
improve the measure of a banking organization's on- and off-balance 
sheet exposures. The rules are generally consistent with the Basel 
Committee on Banking Supervision's 2014 revisions and promote 
consistency in the calculation of this ratio across jurisdictions. All 
banking organizations that are subject to the advanced approaches risk-
based capital rules \4\ are required to disclose their supplementary 
leverage ratios.\5\ Advanced approaches banking organizations must 
report their supplementary leverage ratios on the applicable regulatory 
reports. The calculation and disclosure requirements for the 
supplementary leverage ratio in the federal banking agencies' 
regulatory capital rules are generally consistent with international 
standards published by the Basel Committee on Banking Supervision. 
These disclosures enhance the transparency and consistency of reporting 
requirements for the supplementary leverage ratio by all 
internationally active organizations.
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    \4\ 12 CFR 324.100(b)(1).
    \5\ 12 CFR 324.10(c), 324.172(d), and 324.173.
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Request for Comment

    Comments are invited on: (a) Whether the collections of information 
are 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 burdens of the information 
collections, 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 
collections 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.

    Dated at Washington, DC, on May 22, 2018.

Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2018-11292 Filed 5-24-18; 8:45 am]
 BILLING CODE 6714-01-P