[Federal Register Volume 84, Number 24 (Tuesday, February 5, 2019)]
[Notices]
[Pages 1731-1732]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-01000]


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FEDERAL RESERVE SYSTEM


Proposed Agency Information Collection Activities; Comment 
Request

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Notice, request for comment.

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SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
invites comment on a proposal to extend for three years, without 
revision, the Recordkeeping Requirements of Regulation H and Regulation 
K Associated with the Procedures for Monitoring Bank Secrecy Act 
Compliance (FR K; OMB No. 7100-0310). The internal Agency Tracking 
Number previously assigned by the Board to this information collection 
was ``Reg K.'' The Board is changing the internal Agency Tracking 
Number to ``FR K'' for the purpose of consistency.

DATES: Comments must be submitted on or before April 8, 2019.

ADDRESSES: You may submit comments, identified by FR K, by any of the 
following methods:
     Agency Website: http://www.federalreserve.gov. Follow the 
instructions for submitting comments at https://www.federalreserve.gov/apps/foia/proposedregs.aspx.
     Email: [email protected]. Include OMB 
number in the subject line of the message.
     FAX: (202) 452-3819 or (202) 452-3102.
     Mail: Ann E. Misback, 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 website at 
https://www.federalreserve.gov/apps/foia/proposedregs.aspx 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 form in Room 3515, 1801 K Street NW (between 18th and 19th 
Streets, NW), Washington, DC 20006 between 9:00 a.m. and 5:00 p.m. on 
weekdays. For security reasons, the Board requires that visitors make 
an appointment to inspect comments. You may do so by calling (202) 452-
3684. 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. Additionally, 
commenters may send a copy of their comments to the 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.

FOR FURTHER INFORMATION CONTACT: A copy of the PRA OMB submission, 
including the proposed reporting form and instructions, supporting 
statement, and other documentation will be placed into OMB's public 
docket files, if approved. These documents will also be made available 
on the Board's public website at http://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested from the agency clearance 
officer, whose name appears below.
    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.

SUPPLEMENTARY INFORMATION: On June 15, 1984, the Office of Management 
and Budget (OMB) delegated to the Board authority under the Paperwork 
Reduction Act (PRA) to approve and assign OMB control numbers to 
collection of information requests and requirements conducted or 
sponsored by the Board. In exercising this delegated authority, the 
Board is directed to take every reasonable step to solicit comment. In 
determining whether to approve a collection of information, the Board 
will consider all comments received from the public and other agencies.

Request for Comment on Information Collection Proposal

    The Board invites public comment on the following information 
collection, which is being reviewed under authority delegated by the 
OMB under the PRA. Comments are invited on the following:
    a. Whether the proposed collection of information is necessary for 
the proper performance of the Board's functions, including whether the 
information has practical utility;
    b. The accuracy of the Board's estimate of the burden of the 
proposed information collection, 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 collection on 
respondents, including through the use of automated collection 
techniques or other forms of information technology; and
    e. Estimates of capital or startup costs and costs of operation, 
maintenance, and purchase of services to provide information.
    At the end of the comment period, the comments and recommendations 
received will be analyzed to determine the extent to which the Board 
should modify the proposal.

[[Page 1732]]

Proposal To Approve Under OMB Delegated Authority the Extension for 
Three Years, Without Revision, of the Following Report

    Report title: Recordkeeping Requirements of Regulation H and 
Regulation K Associated with the Procedures for Monitoring Bank Secrecy 
Act Compliance.
    Agency form number: FR K.
    OMB control number: 7100-0310.
    Frequency: Annually.
    Respondents: State member banks; Edge and agreement corporations; 
and certain U.S. branches, agencies, and representative offices of 
foreign banks supervised by the Board.
    Estimated number of respondents: Establish compliance program--1; 
maintenance of compliance program--957.
    Estimated average hours per response: Establish compliance 
program--16; maintenance of compliance program--4.
    Estimated annual burden hours: Establish compliance program--16; 
maintenance of compliance program--3,828.
    General description of report: The Board's Regulation K and 
Regulation H require state member banks, Edge and agreement 
corporations and, except for a federal branch or a federal agency or a 
state branch that is insured by the Federal Deposit Insurance 
Corporation, the U.S. branches, agencies, and representative offices of 
foreign banks supervised by the Board to establish a written Bank 
Secrecy Act (BSA) compliance program that includes the following 
components: (1) A system of internal controls to assure ongoing 
compliance, (2) independent testing of compliance by the institution's 
personnel or by an outside party, (3) the designation of an individual 
or individuals for coordinating and monitoring day-to-day compliance, 
and (4) training for appropriate personnel.\1\ The compliance program 
must be approved by the board of directors of the state member bank, 
Edge corporation, or agreement corporation and must be noted in the 
institution's minutes. In the case of a branch, agency, or 
representative office of a foreign bank, the compliance program may be 
approved by the foreign bank's board of directors and noted in the 
minutes or approved by a delegee acting under the express authority of 
the foreign bank's board of directors.
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    \1\ See 12 CFR 208.63(c); these specific requirements are 
incorporated by reference in 12 CFR 211.5(m)(1) and 211.24(j)(1).
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    Legal authorization and confidentiality: The FR K is authorized 
pursuant to the Federal Deposit Insurance Act (12 U.S.C. 1818(s)), 
which requires the federal banking agencies, including the Board, to 
(1) prescribe regulations requiring the institutions they regulate to 
establish and maintain procedures reasonably designed to assure and 
monitor compliance with the BSA and (2) to review such procedures 
during the course of their examinations.\2\ The FR K is mandatory.
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    \2\ The Board's authority in 12 U.S.C. 1818(s) to prescribe 
regulations includes the entities required to comply with section 
208.63 of the Board's Regulation H (12 CFR 208.63) and sections 
211.5(m)(1) and 211.24(j)(1) of the Board's Regulation K (12 CFR 
211.5(m)(1) and 12 CFR 211.24(j)(1)).
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    Because the Federal Reserve will not collect this information, 
confidentiality issues would normally not arise. Because the records 
will be retained at banking organizations, the Freedom of Information 
Act (FOIA) will only be implicated if the Board's examiners retain a 
copy of the record as part of an examination or supervision of a 
banking institution. In that case, the records would be exempt from 
disclosure under exemption 8 to FOIA, which protects examination 
materials from disclosure (5 U.S.C. 552(b)(8)). Exemption 4 to FOIA, 
which protects confidential financial information, may also be 
applicable (5 U.S.C. 552(b)(4)).

    Board of Governors of the Federal Reserve System, January 30, 
2019.
Michele Taylor Fennell,
Assistant Secretary of the Board.
[FR Doc. 2019-01000 Filed 2-4-19; 8:45 am]
 BILLING CODE 6210-01-P