[Federal Register Volume 86, Number 211 (Thursday, November 4, 2021)]
[Notices]
[Pages 60818-60819]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-23802]


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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, with revision 
the Recordkeeping and Disclosure Requirements Associated with Loans 
Secured by Real Estate Located in Flood Hazard Areas Pursuant to 
Regulation H (FR H-2; OMB 7100-0280) of the Board's rules.

DATES: Comments must be submitted on or before January 3, 2022.

ADDRESSES: You may submit comments, identified by FR H-2, by any of the 
following methods:
     Agency website: https://www.federalreserve.gov/. Follow 
the instructions for submitting comments at https://www.federalreserve.gov/apps/foia/proposedregs.aspx.
     Email: [email protected]. Include the OMB 
number or FR 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 or to remove 
personally identifiable information at the commenter's request. 
Accordingly, comments will not be edited to remove any confidential 
business information, identifying information, or contact information. 
Public comments may also be viewed electronically or in paper in Room 
146, 1709 New York Avenue 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 
Office of Management and Budget (OMB) Desk Officer for the Federal 
Reserve Board, 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: 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.

SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board 
authority under the Paperwork Reduction Act (PRA) to approve and assign 
OMB control numbers to collections of information 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.
    During the comment period for this proposal, a copy of the proposed 
PRA OMB submission, including the draft reporting form and 
instructions, supporting statement, and other documentation, will be 
made available on the Board's public website at https://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested 
from the agency clearance officer, whose name appears above. Final 
versions of these documents will be made available at https://www.reginfo.gov/public/do/PRAMain, if approved.

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

[[Page 60819]]

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.

Proposal Under OMB Delegated Authority To Extend for Three Years, With 
Revision, the Following Information Collection

    Report title: Recordkeeping and Disclosure Requirements Associated 
with Loans Secured by Real Estate Located in Flood Hazard Areas 
Pursuant to Section 208.25 of Regulation H.
    Agency form number: FR H-2.
    OMB control number: 7100-0280.
    Frequency: On occasion.
    Respondents: State member banks (SMBs).
    Estimated number of respondents: Recordkeeping: Private flood 
insurance (Sections 208.25(c)(3)(iii) and (iv)), 11,171; Retention of 
standard Federal Emergency Management Agency (FEMA) form (Section 
208.25(f)(2)), 728; Notice of special flood insurance (Section 
208.25(i)), 728; Disclosure: Notice of special flood hazards and 
availability of federal disaster relief assistance with escrow notice, 
as applicable (Sections 208.25(i) and (e), as applicable), 728; Notice 
to FEMA of servicer (Section 208.25(j)(1)), 728; Notice to FEMA of 
change of servicer (Section 208.25(j)(2)), 728; Notice to borrowers of 
lapsed mandated flood insurance (Section 208.25(g)), 728; Purchase of 
flood insurance on the borrower's behalf (Section 208.25(g)), 728; 
Notice to borrowers of lapsed mandated flood insurance due to remapping 
(Section 208.25(g)), 728; Purchase of flood insurance on the borrower's 
behalf due to remapping (Section 208.25(g)), 728; One-time notice for 
any designated loan outstanding on July 1 of the year SMB no longer 
qualifies for small lender exception, 12.
    Estimated average time per response: Recordkeeping: Private flood 
insurance (Sections 208.25(c)(3)(iii) and (iv)), 15 minutes; Retention 
of standard FEMA form (Section 208.25(f)(2)), 2.5 minutes; Notice of 
special flood insurance (Section 208.25(i)), 2.5 minutes; Disclosure: 
Notice of special flood hazards and availability of federal disaster 
relief assistance with escrow notice, as applicable (Sections 208.25(i) 
and (e), as applicable), 5 minutes; Notice to FEMA of servicer (Section 
208.25(j)(1)), 5 minutes; Notice to FEMA of change of servicer (Section 
208.25(j)(2)), 5 minutes; Notice to borrowers of lapsed mandated flood 
insurance (Section 208.25(g)), 5 minutes; Purchase of flood insurance 
on the borrower's behalf (Section 208.25(g)), 15 minutes; Notice to 
borrowers of lapsed mandated flood insurance due to remapping (Section 
208.25(g)), 5 minutes; Purchase of flood insurance on the borrower's 
behalf due to remapping (Section 208.25(g)), 15 minutes; One-time 
notice for any designated loan outstanding on July 1 of the year SMB no 
longer qualifies for small lender exception, 40 hours.
    Estimated annual burden hours: Recordkeeping: Private flood 
insurance (Sections 208.25(c)(3)(iii) and (iv)), 2,793; Retention of 
standard FEMA form (Section 208.25(f)(2)), 12,255; Notice of special 
flood insurance (Section 208.25(i)), 2,457; Disclosure: Notice of 
special flood hazards and availability of federal disaster relief 
assistance with escrow notice, as applicable (Sections 208.25(i) and 
(e), as applicable), 4,914; Notice to FEMA of servicer (Section 
208.25(j)(1)), 4,914; Notice to FEMA of change of servicer (Section 
208.25(j)(2)), 2,487; Notice to borrowers of lapsed mandated flood 
insurance (Section 208.25(g)), 971; Purchase of flood insurance on the 
borrower's behalf (Section 208.25(g)), 728; Notice to borrowers of 
lapsed mandated flood insurance due to remapping (Section 208.25(g)), 
485; Purchase of flood insurance on the borrower's behalf due to 
remapping (Section 208.25(g)), 728; One-time notice for any designated 
loan outstanding on July 1 of the year SMB no longer qualifies for 
small lender exception, 480.
    General description of report: In general, the federal flood 
insurance statutes and Regulation H--Membership of State Banking 
Institutions in the Federal Reserve System (12 CFR 208) provide that a 
lender shall not make, increase, extend, or renew a loan secured by a 
building or mobile home located in a special flood hazard area unless 
the secured property is covered by flood insurance for the term of the 
loan. With respect to the recordkeeping and disclosure provisions, the 
regulation generally requires state member banks to retain certain 
flood hazard documentation and to notify borrowers and servicers 
regarding properties in flood hazard areas and requirements related to 
flood insurance. State member banks also must notify FEMA of the 
identity of, and any change in, the servicer of a loan secured by 
improved property in a special flood hazard area.
    Proposed revisions: The Board proposes to revise the FR H-2 
information collection to account for the recordkeeping provision in 
section 208.25(i) of Regulation H that had not been previously cleared 
by the Board under the PRA. When a state member bank makes, increases, 
extends, or renews a loan secured by a building or a mobile home 
located or to be located in a special flood hazard area, Regulation H 
requires that the bank mail or deliver a written notice to the borrower 
and to the servicer in all cases indicating whether flood insurance is 
available under the National Flood Insurance Program (NFIP) for the 
collateral securing the loan. The state member bank must retain a 
record of the receipt of the notices by the borrower and the servicer 
for the period of time the bank owns the loan.
    Legal authorization and confidentiality: Section 102 of the Flood 
Disaster Protection Act of 1973, as amended,\1\ and section 1364 of the 
National Flood Insurance Act, as amended,\2\ authorize the Board to 
impose the disclosure and recordkeeping requirements in section 208.25 
of Regulation H. The obligation to comply is mandatory.
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    \1\ 42 U.S.C. 4012a.
    \2\ 42 U.S.C. 4104a.
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    Because the Federal Reserve does not collect information from the 
FR H-2, confidentiality issues generally would not arise. In the event 
the records are obtained by the Board as part of the examination or 
supervision of a financial institution, this information may be 
considered confidential pursuant to exemption 8 of the Freedom of 
Information Act, which protects information contained in ``examination, 
operating, or condition reports'' obtained in the bank supervisory 
process.\3\
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    \3\ 5 U.S.C. 552(b)(8). The Board also has the authority to 
require reports from state member banks. (12 U.S.C. 248(a) and 324).

    Board of Governors of the Federal Reserve System, October 27, 
2021.
Michele Taylor Fennell,
Deputy Associate Secretary of the Board.
[FR Doc. 2021-23802 Filed 11-3-21; 8:45 am]
BILLING CODE 6210-01-P