[Federal Register Volume 86, Number 180 (Tuesday, September 21, 2021)]
[Notices]
[Pages 52463-52467]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-20306]


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FEDERAL DEPOSIT INSURANCE CORPORATION


Agency Information Collection Activities: Proposed Collection 
Renewal; Comment Request; OMB No. 3064-0109; -00124; -0162; -0179; -
0196

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Agency Information Collection Activities: Submission for OMB 
Review; Comment Request.

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SUMMARY: The FDIC, as part of its obligations under the Paperwork 
Reduction Act of 1995, invites the general public and other Federal 
agencies to take this opportunity to comment on the request to renew 
the existing information collections described below (OMB Control No. 
3064-0109; -0124; -0137; -0162; and -0196).

DATES: Comments must be submitted on or before October 21, 2021.

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), Regulatory Counsel, MB-
3128, 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 (located on F Street), 
on business days between 7:00 a.m. and 5:00 p.m.
    Written comments and recommendations for the proposed information 
collection should be sent within 30 days of publication of this notice 
to www.reginfo.gov/public/do/PRAMain. Find this particular information 
collection by selecting ``Currently under 30-day Review--Open for 
Public Comments'' or by using the search function.

FOR FURTHER INFORMATION CONTACT:  Manny Cabeza, Regulatory Counsel, 
202-898-3767, [email protected], MB-3128, 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: Notice of Branch Closure.
    OMB Number: 3064-0109.
    Form Number: None.
    Affected Public: FDIC-insured depository institutions.
    Burden Estimate:

                                                                Summary of Annual Burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                Estimated     Estimated
                                                                                          Estimated     Estimated  average      time per       annual
 Information collection description        Type of burden       Obligation to  respond    number of   frequency of  response    response       burden
                                                                                         respondents                             (hours)       (hours)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notice of Branch Closure............  Reporting..............  Mandatory..............           178  4.388.................             2         1,562
Adoption of Branch Closure Policy...  Recordkeeping..........  Mandatory..............            22  On Occasion...........             8           176
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    Total Estimated Annual Burden: 1,738 hours.
    General Description of Collection: Section 42 of the Federal 
Deposit Insurance Act mandates that an insured depository institution 
closing a branch notify its primary federal regulator not later than 90 
days prior to the closing. The statute also provides that a notice be 
posted on the premises of the branch for the 30-day period immediately 
prior to the closing and that the customers be notified in a mailing at 
least 90 days prior to the closing. Each insured depository institution 
that has one or

[[Page 52464]]

more branches is required to adopt a written policy for branch 
closings. There is no change in the methodology or substance of this 
information collection. The slight increase in total estimated annual 
burden from 1,550 hours in 2018 to 1,738 hours currently is due to 
economic factors reflected in the increase in estimated number or 
respondents and in the frequency of response (number of branch closings 
per respondent).
    2. Title: Notification of Changes of Insured Status.
    OMB Number: 3064-0124.
    Form Number: None.
    Affected Public: Insured depository institutions.
    Burden Estimate:

                                                                Summary of Annual Burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                               Estimated    Estimated  average
      Information collection          Type of burden       Obligation to       number of       frequency of      Estimated time per   Estimated  annual
           description                                        respond         respondents        response        response  (hours)     burden  (hours)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Notification of Change in Insured  Disclosure.........  Mandatory..........             8  On Occasion........  2..................  16
 Status.
Certification....................  Reporting..........  Mandatory..........           240  On Occasion........  1..................  240
    Total Estimated Annual         ...................  ...................  ............  ...................  ...................  256 hours.
     Burden:
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    General Description of Collection: This information collection 
consists of two parts: (1) A certification that insured depository 
institutions provide the FDIC when all deposit liabilities from one 
insured depository institution are assumed from another insured 
depository institution, with the latter institution responsible for 
providing the certification, and (2) a notification that an insured 
depository institution provides to its depositors when it seeks to 
voluntarily terminate its insured status. The certification is 
necessary to implement the provisions of section 8(q) of the Federal 
Deposit Insurance Act, 12 U.S.C. 1818(q), regarding termination of the 
insured status of the transferring institution and termination of the 
separate deposit insurance coverage provided on deposit accounts 
assumed by the assuming institution. The depositor notification is 
required by section 8(a) (6) of the Federal Deposit Insurance Act, 12 
U.S.C. 1818(a) (6). This provision ensures that the institution's 
depositors receive appropriate information regarding the institution's 
intent to terminate its insured status and that, prior to the 
termination of the institution's insured status, depositors receive 
appropriate information concerning federal deposit insurance coverage 
of their accounts once the institution's insured status is terminated. 
There is no change in the methodology or substance of this information 
collection. Based on supervisory experience, the FDIC has revised its 
estimate of the Time per Response for the Certification component from 
0.25 hours to 1 hour and has revised the estimated time to respond to 
the Notification component from 1 hour to 2 hours. The estimated number 
of respondents has changed due to economic factors. The estimated 
number of annual respondents to the Notification component has 
increased from 2 to 8. The estimated number of annual respondents to 
the Certification component has increased from 150 to 240. As a result 
of the foregoing total estimated annual burden has increased from 39.5 
hours in 2018 to 256 hours currently.

    3. Title: Large-Bank Deposit Insurance Programs.
    OMB Number: 3064-0162.
    Form Number: None.
    Affected Public: Insured depository institutions having at least $2 
billion in deposits and at least either: (a) 250,000 Deposit accounts; 
or (b) $20 billion in total assets, regardless of the number of deposit 
accounts (a ``covered institution'').
    Burden Estimate:

                                                                Summary of Annual Burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                          Estimated       Estimated                                        Total annual
                                   Type of burden     Obligation to       number of     frequency of   Estimated time     Frequency of       estimated
                                                         respond         respondents      responses     per response        response          burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                     Implementation
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Posting and removing             Recordkeeping....  Mandatory........               7               1             150  One time.........           1,050
 provisional holds--360.9(c)(1)
 and (2).
Providing standard data format   Recordkeeping....  Mandatory........               7               1             110  One time.........             770
 for deposit account and
 customer information--
 360.9(d)(1).
Notification of identity of      Reporting........  Mandatory........               7               1               8  One time.........              56
 person responsible for
 producing standard data
 downloads--360.9(c)(3).
Request for exemption from       Reporting........  Voluntary........               1               1              20  On occasion......              20
 provisional hold requirements--
 360.9(c)(9).
Provide deposit account and      Reporting........  Mandatory........               7               1              40  On occasion......             280
 customer information in
 required standard format--
 360.9(d)(3).
Request for extension of         Reporting........  Voluntary........               1               1              20  On occasion......              20
 compliance deadline--
 360.9(e)(7).
Request for exemption--360.9(f)  Reporting........  Voluntary........               1               1              20  On occasion......              20
                                                                      ----------------------------------------------------------------------------------
    Total Implementation Burden  .................  .................  ..............  ..............  ..............  .................           2,216
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[[Page 52465]]

 
                                                                         Ongoing
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Notification of identity of      Reporting........  Mandatory........             126               1               8  One time.........           1,008
 person responsible for
 producing standard data
 downloads--360.9(c)(3).
Request for exemption from       Reporting........  Voluntary........               1               1              20  On occasion......              20
 provisional hold requirements--
 360.9(c)(9).
Request for exemption--360.9(f)  Reporting........  Voluntary........               1               1              20  On occasion......              20
Test compliance with 360.9 (c)-  Reporting........  Mandatory........              40               1              80  On occasion......           3,200
 (d) pursuant to 360.9(h).
                                                                      ----------------------------------------------------------------------------------
    Total Ongoing Burden.......  .................  .................  ..............  ..............  ..............  .................           4,248
                                                                      ----------------------------------------------------------------------------------
        Total Estimated Annual   .................  .................  ..............  ..............  ..............  .................           6,464
         Burden.
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    General Description of Collection: Upon the failure of an FDIC-
insured depository institution, the FDIC is required to pay insured 
deposits as soon as possible. To do so, the FDIC must be able to 
quickly determine the total insured amount for each depositor. To make 
this determination, the FDIC must ascertain the balances of all deposit 
accounts owned by the same depositor in the same ownership capacity at 
a failed institution as of the day of failure. The FDIC issued a 
regulation (12 CFR 360.9) (Section 360.9) to modernize the process of 
determining the insurance status of each depositor in the event of 
failure of a covered institution. The FDIC requires institutions that 
are covered under Section 360.9 to have mechanisms in place that will 
automatically place a provisional hold on domestic and foreign deposit 
accounts, and sweep and automated credit account arrangements, in the 
event that a covered institution is close to failing. A ``provisional 
hold'' is defined in 12 CFR Section 360.9(b)(6) as ``an effective 
restriction on access to some or all of a deposit or other liability 
account after the failure of an insured depository institution.'' 
Section 360.9 also requires institutions to have in place practices and 
procedures for providing the FDIC, in a standard format upon the close 
of any day's business, certain data on the accounts and customers of 
the institution, and to provide the FDIC with this information upon 
request. The purpose of these requirements is to allow the deposit and 
other operations of a covered institution to continue functioning on 
the day following failure, and to permit the FDIC to fulfill its legal 
requirement to promptly provide liquidity to depositors of a failed 
institution. This information also helps to ensure equitable treatment 
of depositors at different institutions, and helps to preserve the 
franchise value of a failed institution, thereby reducing costs to the 
FDIC in the event that a covered institution fails.
    FDIC-insured depository institutions (IDIs) that are covered by 
Section 360.9 are defined in Section 360.9(b)(1) as having at least $2 
billion in deposits and either (1) 250,000 or more deposit accounts, or 
(2) $20 billion or more in assets, regardless of the number of deposit 
accounts. IDIs that meet this criteria for two consecutive quarters 
qualify as covered institutions.
    This information collection consists of seven distinct reporting 
and recordkeeping requirements (ICs) that impose annual implementation 
burden on covered institutions. Four of these seven reporting 
requirements entail an ongoing burden component: (1) Section 
360.9(c)(3) (IC requirements C and H, below) requires covered 
institutions to provide certain information to the FDIC both while the 
institution is implementing the systems required under 360.9 (IC 
requirement C) and on an ongoing basis (IC requirement H); (2) Section 
360.9(c)(9) (IC requirements D and I, below) permits institutions to 
request an exemption from certain requirements of Section 360.9. 
Institutions could submit such requests either while they are 
implementing the systems required under Section 360.9 (IC requirement 
D) or after they are already in compliance with Section 360.9 (IC 
requirement I); (3) Section 360.9(f) (IC requirements G and J, below) 
permits institutions to request an exemption from all of the 
requirements of Section 360.9 under certain conditions. Institutions 
could submit such requests either while they are implementing the 
systems required under Section 360.9 (IC requirement G) or after they 
are already in compliance with Section 360.9 (IC requirement J). Since 
reporting by institutions pursuant to Sections 360.9(c)(3), 
360.9(c)(9), and 360.9(f) are counted as both implementation and 
ongoing requirements, this IC contains eleven \1\ requirements in 
total. These requirements, with corresponding CFR sections, are listed 
and described as follows:
---------------------------------------------------------------------------

    \1\ 8 distinct requirements, plus 3 requirements that are 
counted as both implementation and ongoing requirements, brings the 
total number of requirements for this IC to 11.

A. 360.9(c)(1) and (2) (Implementation)--Require covered institutions 
to set up systems for automatically placing provisional holds on 
domestic and foreign deposit accounts and sweep and automated credit 
account arrangements
B. 360.9(d)(1) and (2) (Implementation)--Require covered institutions 
to establish practices and procedures for providing the FDIC, in a 
standard format upon the close of any day's business, customer and 
depositor data for all deposit accounts held in domestic and foreign 
offices and interest bearing investment accounts connected with sweep 
and automated credit arrangements
C. 360.9(c)(3) (Implementation)--Requires covered institutions to 
notify the FDIC of the person(s) responsible for producing the standard 
data download and administering provisional holds, both while the 
functionality is being constructed and on an ongoing basis (IC 
requirement H)
D. 360.9(c)(9) (Implementation)--Permits covered institutions to submit 
to the FDIC a request for an exemption from the provisional hold 
requirements for those account systems servicing a relatively small 
number of accounts where the application of manual provisional holds is 
feasible, both while the

[[Page 52466]]

systems are being constructed and on an ongoing basis (IC requirement 
I)
E. 360.9(d)(3) (Implementation)--Requires covered institutions to 
submit the data required by 360.9(d)(1) to the FDIC upon request both 
while the systems are being constructed and on an ongoing basis (IC 
requirement K)
F. 360.9(e)(7) (Implementation)--Permits covered institutions to submit 
to the FDIC a request for an extension of the deadline for complying 
with the requirements of Section 360.9
G. 360.9(f) (Implementation)--Permits covered institutions to apply for 
an exemption from the requirements of Section 360.9, if the institution 
has a high concentration of deposits incidental to credit card 
operations, both during the implementation period in the first year and 
on an ongoing basis (IC requirement J)
H. 360.9(c)(3) (Ongoing)--Requires covered institutions to provide the 
information described in IC requirement C above to the FDIC on an 
ongoing basis
I. 360.9(c)(9) (Ongoing)--Permits covered institutions to request an 
exemption from the provisional hold requirements, as described in IC 
requirement D above, both while the systems are being constructed and 
on an ongoing basis
J. 360.9(f) (Ongoing)--Permits covered institutions to apply for an 
exemption from the requirements of Section 360.9, as described in IC 
requirement G above, at any time after the institution is in compliance 
with the requirements of Section 360.9 if the institution has a high 
concentration of deposits incidental to credit card operations. The 
ongoing burden component under 12 CFR Section 360.9(f) was 
inadvertently omitted from the 2018 submission and is now included in 
this renewal.
K. 360.9(h) (Ongoing)--Requires covered institutions to provide 
appropriate assistance to the FDIC in its testing of the systems 
required under Section 360.9

There is no change in the methodology or substance of this information 
collection. The decrease in total estimated annual burden from 10,268 
hours in 2018 to 6,064 hours currently, is due to economic factors 
reflected in a decrease in the number of estimated annual respondents. 
The inclusion of ongoing burden for requests for exemption pursuant to 
12 CFR 360.9(f) accounts for an increase of 20 hours in total estimated 
annual burden for one respondent.

    4. Title: Assessment Rate Adjustment Guidelines for Large and 
Highly Complex Institutions.
    OMB Number: 3064-0179.
    Form Number: None.
    Affected Public: Large and highly complex depository institutions.
    Burden Estimate:

                                                                Summary of Annual Burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                Estimated     Estimated
                                                                                          Estimated    Estimated  frequency     time per       annual
 Information collection description        Type of burden       Obligation  to respond    number of        of  responses        response       burden
                                                                                         respondents                             (hours)       (hours)
--------------------------------------------------------------------------------------------------------------------------------------------------------
Assessment Rate Adjustment            Reporting..............  Mandatory..............             2  On Occasion...........            80           160
 Guidelines for Large and Highly
 Complex Institutions.
--------------------------------------------------------------------------------------------------------------------------------------------------------

    Total Estimated Annual Burden: 160 hours.
    General Description of Collection: The FDIC's deposit insurance 
assessment authority is set forth in Section 7 of the Federal Deposit 
Insurance Act, 12 U.S.C. 1817(b) and (c) and promulgated in regulations 
under 12 CFR part 327. These regulations also set out the process for 
making adjustments to the total score of these institutions used by the 
FDIC in making deposit insurance assessments. Depository institutions 
are permitted to make a written request to the FDIC for an assessment 
adjustment. An institution is able to request review of, or appeal, an 
upward adjustment, the magnitude of an upward adjustment, removal of a 
previously implemented downward adjustment or an increase in a 
previously implemented upward adjustment through the FDIC's internal 
review process set forth at 12 CFR 327.4(c). An institution can 
similarly request review of or appeal a decision not to apply an 
adjustment following a request by the institution for an adjustment.
    An institution can submit its written request for an adjustment to 
the FDIC's Director of the Division of Insurance and Research in 
Washington, DC In making such a request, the institution will provide 
support by including evidence of a material risk or risk-mitigating 
factor that it believes was not adequately considered.
    There is no change in the methodology or substance of this 
information collection. The increase in total estimated annual burden 
from 80 hours in 2018 to 160 hours currently is due to economic factors 
as reflected in the increase in estimated number of respondents.

    5. Title: Regulatory Capital Rules: Regulatory Capital, Revisions 
to 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:

                                                                Summary of Annual Burden
--------------------------------------------------------------------------------------------------------------------------------------------------------
                                                                                                                                Estimated     Estimated
                                                                                          Estimated    Estimated  frequency     time per       annual
 Information collection description        Type of burden       Obligation  to respond    number of        of  responses        response       burden
                                                                                         respondents                             (hours)       (hours)
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Disclosure Requirements Associated    Disclosure.............  Mandatory..............             5  Quarterly.............             5           100
 with Supplementary Leverage Ratio
 (12 CFR 324.172 and 173).
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[[Page 52467]]

    Total Estimated Annual Burden: 100 hours.
    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. All banking organizations that are subject to the 
advanced approaches risk-based capital rules are required to disclose 
their supplementary leverage ratios. 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.
    There is no change in the methodology or substance of this 
information collection. The increase in total estimated annual burden 
from 40 hours in 2018 to 100 hours currently is due to economic factors 
as reflected in the increase in estimated number of respondents.

Request for Comment

    Comments are invited on: (a) Whether the collection of information 
is 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 burden of the 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; and (d) ways to minimize the burden of the collection 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, this 15th day of September 2021.

Federal Deposit Insurance Corporation.
James P. Sheesley,
Assistant Executive Secretary.
[FR Doc. 2021-20306 Filed 9-20-21; 8:45 am]
BILLING CODE 6714-01-P