[Federal Register Volume 83, Number 177 (Wednesday, September 12, 2018)]
[Notices]
[Pages 46163-46164]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-19675]
-----------------------------------------------------------------------
FEDERAL RESERVE SYSTEM
Agency Information Collection Activities: Announcement of Board
Approval Under Delegated Authority
AGENCY: Board of Governors of the Federal Reserve System.
SUMMARY: Notice is hereby given of temporary approval of revisions to
the mandatory Complex Institution Liquidity Monitoring Report (FR
2052a; OMB No. 7100-0361) by the Board of Governors of the Federal
Reserve System (Board) pursuant to the authority delegated to the Board
by the Office of Management and Budget (OMB), per OMB Regulations on
Controlling Paperwork Burdens on the Public. The temporary approval is
valid until March 31, 2019.
DATES: The revisions are applicable as of June 30, 2018.
FOR FURTHER INFORMATION CONTACT:
Federal Reserve Board Clearance Officer--Nuha Elmaghrabi--Office of
the Chief Data Officer, Board of Governors of the Federal Reserve
System, Washington, DC 20551, (202) 452-3829. Telecommunications Device
for the Deaf (TDD) users may contact (202) 263-4869, Board of Governors
of the Federal Reserve System, Washington, DC 20551.
OMB Desk Officer--Shagufta Ahmed--Office of Information and
Regulatory Affairs, Office of Management and Budget, New Executive
Office Building, Room 10235, 725 17th Street NW, Washington, DC 20503
or by fax to (202) 395-6974.
SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board
authority under the Paperwork Reduction Act (PRA) to temporarily
approve a revision to a collection of information without providing
opportunity for public comment if the Board determines that a change in
an existing collection must be instituted quickly and that public
participation in the approval process would defeat the purpose of the
collection or substantially interfere with the Board's ability to
perform its statutory obligation.
The Board's delegated authority requires that the Board, after
temporarily approving a collection, publish a notice soliciting public
comment. The Board will publish a notice in the future inviting comment
on these actions.
Final approval under OMB delegated authority of the temporary
revision of the following report:
Report title: Complex Institution Liquidity Monitoring Report.
Agency form number: FR 2052a.
OMB control number: 7100-0361.
Effective Date: June 30, 2018.
Frequency: Monthly, and each business day (daily).
Respondents: U.S. bank holding companies (BHCs), U.S. savings and
loan holding companies (SLHCs), and foreign banking organizations
(FBOs) with U.S. assets.
Estimated number of respondents: Monthly, 40; Daily, 12.
Estimated average hours per response: Monthly, 120; Daily, 220.
Estimated annual burden hours: 717,600.
General description of report: The FR 2052a is used to monitor the
overall liquidity profile of institutions supervised by the Board.
These data provide detailed information on the liquidity risks within
different business lines (e.g., financing of securities positions,
prime brokerage activities). In particular, these data serve as part of
the Board's supervisory surveillance program in its liquidity risk
management area and provide timely information on firm-specific
liquidity risks during periods of stress. Analyses of systemic and
idiosyncratic liquidity risk issues are then used to inform the Board's
supervisory processes, including the preparation of analytical
[[Page 46164]]
reports that detail funding vulnerabilities.
Legal authorization and confidentiality: The Board's Legal Division
has determined that the FR 2052a is authorized pursuant to section 5 of
the Bank Holding Company Act (12 U.S.C. 1844), section 8 of the
International Banking Act (12 U.S.C. 3106), and section 165 of the
Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank
Act) (12 U.S.C. 5365) and are mandatory. Section 5(c) of the Bank
Holding Company Act authorizes the Board to require BHCs to submit
reports to the Board regarding their financial condition. Section 8(a)
of the International Banking Act subjects FBOs to the provisions of the
Bank Holding Company Act. Section 165 of the Dodd-Frank Act requires
the Board to establish prudential standards for certain BHCs and FBOs,
which include liquidity requirements.
Financial institution information required by the FR 2052a is
collected as part of the Board's supervisory process. Therefore, such
information is entitled to confidential treatment under Exemption 8 of
the Freedom of Information Act (FOIA) (5 U.S.C. 552(b)(8)). In
addition, the institution information provided by each respondent would
not be otherwise available to the public and its disclosure could cause
substantial competitive harm. Accordingly, it is entitled to
confidential treatment under the authority of exemption 4 of the FOIA
(5 U.S.C. 552(b)(4)), which protects from disclosure trade secrets and
commercial or financial information.
Current Actions: The Economic Growth, Regulatory Relief, and
Consumer Protection Act (EGRRCPA), enacted on May 24, 2018, amended
various provisions of banking law to eliminate or reduce statutory and
regulatory requirements on certain banking organizations. Section 403
of EGRRCPA provides that the federal banking agencies shall treat
certain municipal obligations as ``high quality liquid assets'' (HQLA)
for purposes of their liquidity regulations, and must amend those
regulations to reflect this new treatment within 90 days of the
enactment of EGRRCPA. The federal banking agencies, on August 22, 2018,
issued an interim final rule \1\ amending their liquidity regulations
(the ``Liquidity IFR'). The current FR 2052a instructions are
inconsistent with the provisions of EGRRCPA. The Board has revised the
FR 2052a to provide that respondents are permitted to report investment
grade municipal obligations as HQLA, consistent with EGRRCPA and the
Liquidity IFR. In order for the FR 2052a to reflect section 403 of
EGRRCPA, which became effective immediately when EGRRCPA was signed on
May 24, 2018, the Board cannot comply with the normal clearance process
and still receive the June 30, 2018, financial data in a timely manner.
Therefore, the Board has determined that the revision to the FR 2052a
described above must be instituted quickly and public participation in
the approval process would substantially interfere with the Board's
ability to perform its statutory obligations arising from EGRRCPA.
---------------------------------------------------------------------------
\1\ Press Release, Board of Governors of the Federal Reserve
System, Agencies issue final rule regarding the treatment of certain
municipal securities as high-quality liquid assets (August 22,
2018), available at https://www.federalreserve.gov/newsevents/pressreleases/bcreg20180822a.htm.
Board of Governors of the Federal Reserve System, September 6,
2018.
Michele Taylor Fennell,
Assistant Secretary of the Board.
[FR Doc. 2018-19675 Filed 9-11-18; 8:45 am]
BILLING CODE 6210-01-P