[Federal Register Volume 85, Number 36 (Monday, February 24, 2020)]
[Notices]
[Pages 10511-10512]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-03520]


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DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency


Agency Information Collection Activities: Information Collection 
Renewal; Comment Request; Appraisals for Higher-Priced Mortgage Loans

AGENCY: Office of the Comptroller of the Currency (OCC), Treasury.

ACTION: Notice and request for comment.

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SUMMARY: The OCC, 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 a continuing 
information collection as required by the Paperwork Reduction Act of 
1995 (PRA). In accordance with the requirements of the PRA, the OCC 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 OCC is 
soliciting comment concerning renewal of its information collection 
titled, ``Appraisals for Higher-Priced Mortgage Loans.''

DATES: Comments must be submitted on or before April 24, 2020.

ADDRESSES:  Commenters are encouraged to submit comments by email, if 
possible. You may submit comments by any of the following methods:
     Email: [email protected].
     Mail: Chief Counsel's Office, Attention: Comment 
Processing, 1557-0313, Office of the Comptroller of the Currency, 400 
7th Street SW, Suite 3E-218, Washington, DC 20219.
     Hand Delivery/Courier: 400 7th Street SW, Suite 3E-218, 
Washington, DC 20219.
     Fax: (571) 465-4326.
    Instructions: You must include ``OCC'' as the agency name and 
``1557-0313'' in your comment. In general, the OCC will publish 
comments on www.reginfo.gov without change, including any business or 
personal information provided, such as name and address information, 
email addresses, or phone numbers. Comments received, including 
attachments and other supporting materials, are part of the public 
record and subject to public disclosure. Do not include any information 
in your comment or supporting materials that you consider confidential 
or inappropriate for public disclosure.
    You may review comments and other related materials that pertain to 
this information collection beginning on the date of publication of the 
second notice for this collection \1\ by any of the following methods:
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    \1\ Following the close of this notice's 60-day comment period, 
the OCC will publish a second notice with a 30-day comment period.
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     Viewing Comments Electronically: Go to www.reginfo.gov. 
Click on the ``Information Collection Review'' tab. Underneath the 
``Currently under Review'' section heading, from the drop-down menu 
select ``Department of Treasury'' and then click ``submit.'' This 
information collection can be located by searching by OMB control 
number ``1557-0313'' or ``Appraisals for Higher-Priced Mortgage 
Loans.'' Upon finding the appropriate information collection, click on 
the related ``ICR Reference Number.'' On the next screen, select ``View 
Supporting Statement and Other Documents'' and then click on the link 
to any comment listed at the bottom of the screen.
     For assistance in navigating www.reginfo.gov, please 
contact the Regulatory Information Service Center at (202) 482-7340.
     Viewing Comments Personally: You may personally inspect 
comments at the OCC, 400 7th Street SW, Washington, DC. 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 hearing impaired, TTY, (202) 649-5597. Upon arrival, 
visitors will be required to present valid government-issued photo 
identification and submit to security screening in order to inspect 
comments.

FOR FURTHER INFORMATION CONTACT: Shaquita Merritt, (202) 649-5490 or, 
for persons who are deaf or hearing impaired, TTY, (202) 649-5597, 
Chief Counsel's Office, Office of the Comptroller of the Currency, 400 
7th Street SW, Suite 3E-218, Washington, DC 20219.

SUPPLEMENTARY INFORMATION: Under the PRA (44 U.S.C. 3501 et seq.), 
Federal agencies must obtain approval from the OMB for each collection 
of information that they conduct or sponsor. ``Collection of 
information'' is defined in 44 U.S.C. 3502(3) and 5 CFR 1320.3(c) to 
include 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 title 44 requires Federal agencies to provide 
a 60-day notice in the Federal Register concerning each proposed 
collection of information, including each proposed extension of an 
existing collection of information, before submitting the collection to 
OMB for approval. To comply with this requirement, the OCC is 
publishing notice of the proposed collection of information set forth 
in this document.
    Title: Appraisals for Higher-Priced Mortgage Loans.
    Description: This information collection relates to section 1471 of 
the Dodd-Frank Wall Street Reform and Consumer Protection Act, which 
added a new section 129H to the Truth in Lending Act (TILA) 
establishing special appraisal requirements for ``higher-risk 
mortgages.'' For certain mortgages with an annual percentage rate that 
exceeds the average prime offer rate by a specified percentage, 
creditors must obtain an appraisal or appraisals meeting certain 
specified standards, provide applicants with a notification regarding 
the use of the appraisals, and give applicants a copy of the written 
appraisals used. The statute permits the OCC to issue a rule to include 
exemptions from these requirements.
    The information collection requirements are found in 12 CFR 
34.203(c)(1), (c)(2), (d), (e) and (f). This information is required to 
protect

[[Page 10512]]

consumers and promote the safety and soundness of creditors making 
higher-priced mortgage loans (HPMLs) subject to 12 CFR part 34, subpart 
G. This information is used by creditors to evaluate real estate 
collateral securing HPMLs subject to 12 CFR 1026.35(c) and by consumers 
entering these transactions. The collections of information are 
mandatory for creditors making HPMLs subject to 12 CFR part 34, subpart 
G.
    Under 12 CFR 34.203(e) and (f), a creditor must, no later than the 
third business day after the creditor receives a consumer's application 
for an HPML, provide the consumer with a disclosure that informs the 
consumer that the creditor may order an appraisal to determine the 
value of the property and charge the consumer for that appraisal, that 
the creditor will provide the consumer with a copy of any appraisal, 
and that the consumer may choose to have an additional appraisal 
conducted at the expense of the consumer. If a loan is an HPML subject 
to 12 CFR 34.203(c), then, under 12 CFR 34.203(c)(1) and (2), the 
creditor is required to obtain a written appraisal prepared by a 
certified or licensed appraiser who conducts a physical visit of the 
interior of the property that will secure the transaction (Written 
Appraisal) and provide a copy of the Written Appraisal to the consumer. 
Under 12 CFR 34.203(d)(1), a creditor is required to obtain an 
additional appraisal (Additional Written Appraisal) for an HPML that is 
subject to 12 CFR part 34, subpart G if: (1) The seller acquired the 
property securing the loan 90 or fewer days prior to the date of the 
consumer's agreement to acquire the property and the price in the 
consumer's agreement to acquire the property exceeds the seller's 
acquisition price by more than 10 percent; or (2) the seller acquired 
the property securing the loan 91 to 180 days prior to the date of the 
consumer's agreement to acquire the property and the price in the 
consumer's agreement to acquire the property exceeds the seller's 
acquisition price by more than 20 percent.
    Under 12 CFR 34.203(d)(3) and (4), the Additional Written Appraisal 
must meet the requirements described in 12 CFR 34.203(c)(1) and also 
include an analysis of: (1) The difference between the price at which 
the seller acquired the property and the price the consumer is 
obligated to pay to acquire the property; (2) changes in market 
conditions between the date the seller acquired the property and the 
date of the consumer's agreement to acquire the property; and (3) any 
improvements made to the property between the date the seller acquired 
the property and the date of the consumer's agreement to acquire the 
property. Under 12 CFR 34.203(f), a creditor is required to provide the 
consumer with a copy of any Additional Written Appraisal.
    Affected Public: Businesses or other for-profit.
    Type of Submission: Regular.
    Burden Estimates:
    Estimated Number of Respondents: 1,134.
    Estimated Total Annual Burden: 292 hours.
    Frequency of Response: On occasion.
    Comments: Comments submitted in response to this notice will be 
summarized and included in the request for OMB approval. All comments 
will become a matter of public record. Comments are invited on:
    (a) Whether the collection of information is necessary for the 
proper performance of the functions of the OCC, including whether the 
information has practical utility;
    (b) The accuracy of the OCC's estimate of the information 
collection burden;
    (c) Ways to enhance the quality, utility, and clarity of the 
information to be collected;
    (d) Ways to minimize the burden of the collection 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.

    Dated: February 14, 2020.
Theodore J. Dowd,
Deputy Chief Counsel, Office of the Comptroller of the Currency.
[FR Doc. 2020-03520 Filed 2-21-20; 8:45 am]
BILLING CODE 4810-33-P