[Federal Register Volume 87, Number 66 (Wednesday, April 6, 2022)]
[Notices]
[Pages 19932-19933]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-07226]


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FEDERAL RESERVE SYSTEM


Agency Information Collection Activities: Announcement of Board 
Approval Under Delegated Authority and Submission to OMB

AGENCY: Board of Governors of the Federal Reserve System.

SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
is adopting 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).

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.
    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.

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. Board-approved collections of information are 
incorporated into the official OMB inventory of currently approved 
collections of information. The OMB inventory, as well as copies of the 
PRA Submission, supporting statements, and approved collection of 
information instrument(s) are available at https://www.reginfo.gov/public/do/PRAMain. These documents are also available on the Federal 
Reserve 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 Approval Under OMB Delegated Authority of the Extension for Three 
Years, Without Revision, of the Following Information Collection

    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: Annual.
    Respondents: State member banks; Edge Act and agreement 
corporations; and U.S. branches, agencies, and representative offices 
of foreign banks supervised by the Board, except for a federal branch 
or a federal agency or a state branch that is insured by the Federal 
Deposit Insurance Corporation (FDIC).
    Estimated number of respondents: Establish compliance program--1; 
Maintenance of compliance program--906.
    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--3,624.

[[Page 19933]]

    General description of report: Section 208.63 of the Board's 
Regulation H--Membership of State Banking Institutions in the Federal 
Reserve System (12 CFR part 208) requires state member banks to 
establish and maintain in writing procedures reasonably designed to 
ensure and monitor compliance with the provisions of the Bank Secrecy 
Act (BSA) \1\ and its implementing regulations. Sections 211.5(m)(1) 
and 211.24(j)(1) of the Board's Regulation K--International Banking 
Operations (12 CFR part 211) impose those same requirements on Edge Act 
and agreement corporations and, except for a federal branch or a 
federal agency \2\ or a state branch that is insured by the FDIC, the 
U.S. branches, agencies, and representative offices of foreign banks 
supervised by the Board.
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    \1\ See 31 U.S.C. 5311 et seq.
    \2\ The terms ``federal agency'' and ``federal branch'' have the 
same meanings as in section 1 of the International Banking Act of 
1978 (12 U.S.C. 3101). See 12 CFR 211.21.
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    Legal authorization and confidentiality: The FR K is authorized 
pursuant to section 8(s) of the Federal Deposit Insurance Act (FDIA), 
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 (12 U.S.C. 1818(s)).\3\ The FR 
K is mandatory.
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    \3\ Section 8(s) of the FDIA authorizes the Board to prescribe 
regulations covering 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)). See 12 U.S.C. 1813(c)(3), 
1818(b)(3), and 1818(b)(4).
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    Because the records required by the FR K will be retained at 
banking organizations, the Freedom of Information Act (FOIA) would only 
be implicated if the Board's examiners obtained a copy of the records 
as part of the examination or supervision of a banking institution. In 
that case, the records may be exempt from disclosure under exemption 8 
of the FOIA, which protects examination materials from disclosure (5 
U.S.C. 552(b)(8)). To the extent that information retained in response 
to the FR K constitutes nonpublic commercial or financial information, 
which is both customarily and actually treated as private by the 
respondent, it may also be kept confidential under exemption 4 of the 
FOIA (5 U.S.C. 552(b)(4)). Exemption 4 protects ``trade secrets and 
commercial or financial information obtained from a person [that is] 
privileged or confidential.''
    Current actions: On December 10, 2021, the Board published a notice 
in the Federal Register (86 FR 70496) requesting public comment for 60 
days on the extension, without revision, of the FR K. The comment 
period for this notice expired on February 8, 2022. The Board did not 
receive any comments.

    Board of Governors of the Federal Reserve System, April 1, 2022.
Ann Misback,
Secretary of the Board.
[FR Doc. 2022-07226 Filed 4-5-22; 8:45 am]
BILLING CODE 6210-01-P