[Federal Register Volume 89, Number 166 (Tuesday, August 27, 2024)]
[Notices]
[Pages 68600-68602]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-19214]


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COMMODITY FUTURES TRADING COMMISSION


Agency Information Collection Activities Under OMB Review

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice.

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SUMMARY: In compliance with the Paperwork Reduction Act of 1995 
(``PRA''), this notice announces that the Information Collection 
Request (``ICR'') abstracted below has been forwarded to the Office of 
Management and Budget (``OMB'') for review and comment. The ICR 
describes the nature of the information collection and its expected 
costs and burden.

DATES: Comments must be submitted on or before September 26, 2024.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be submitted within 30 days of this 
notice's publication to OIRA, at https://www.reginfo.gov/public/do/PRAMain. Please find this particular information collection by 
selecting ``Currently under 30-day Review--Open for Public Comments'' 
or by using the website's search function. Comments can be entered 
electronically by clicking on the ``comment'' button next to the 
information collection on the ``OIRA Information Collections Under 
Review'' page, or the ``View ICR--Agency Submission'' page. A copy of 
the supporting statement for the collection of information discussed 
herein may be obtained by visiting https://www.reginfo.gov/public/do/PRAMain.
    In addition to the submission of comments to https://Reginfo.gov as 
indicated above, a copy of all comments submitted to OIRA may also be 
submitted to the Commodity Futures Trading Commission (the 
``Commission'' or ``CFTC'') by clicking on the ``Submit Comment'' box 
next to the descriptive entry for OMB Control No. 3038-0095, at https://comments.cftc.gov/FederalRegister/PublicInfo.aspx.
    Or by either of the following methods:
     Mail: Christopher Kirkpatrick, Secretary of the 
Commission, Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW, Washington, DC 20581.
     Hand Delivery/Courier: Same as Mail above.
    All comments must be submitted in English, or if not, accompanied 
by an English translation. Comments submitted to the Commission should 
include only information that you wish to make available publicly. If 
you wish the Commission to consider information that you believe is 
exempt from disclosure under the Freedom of Information Act, a petition 
for confidential treatment of the exempt information may be submitted 
according to the procedures established in Sec.  145.9 of the 
Commission's regulations. The Commission reserves the right, but shall 
have no obligation, to review, prescreen, filter, redact, refuse or 
remove any or all of your submission from https://www.cftc.gov that it 
may deem to be inappropriate for publication, such as obscene language. 
All submissions that have been redacted or removed that contain 
comments on the merits of the ICR will be retained in the public 
comment file and will be considered as required under the 
Administrative Procedure Act and other applicable laws, and may be 
accessible under the Freedom of Information Act.

FOR FURTHER INFORMATION CONTACT: Robert B. Wasserman, Chief Counsel and 
Senior Advisor, Division of Clearing and Risk, Commodity Futures 
Trading Commission, (202) 418-5092; email: [email protected], and 
refer to OMB Control No. 3038-0021.

SUPPLEMENTARY INFORMATION: 
    Title: Regulations Governing Bankruptcies of Commodity Brokers (OMB 
Control No. 3038-0021). This is a request for an extension of a 
currently approved information collection.\1\
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    \1\ There are two information collections associated with OMB 
Control No. 3038-0021. The first includes the reporting, 
recordkeeping, and third party disclosure requirements applicable to 
a single respondent in a commodity broker liquidation (e.g., a 
single commodity broker or a single trustee) within the relevant 
time period provided for in Commission regulations 190.02(b)(1), 
190.02(b)(2), 190.02(c)(1), 190.02(c)(2), 190.02(c)(4), 190.05(b), 
190.05(d), 190.07(b)(5), 190.12(a)(2), 190.12(b)(1), 190.12(b)(2), 
190.12(c)(1), 190.12(c)(2), and 190.14(a), and 190.14(d). The second 
information collection includes third party disclosure requirements 
that are applicable on a regular basis to multiple respondents 
(i.e., multiple FCMs) provided for in Commission regulations 1.41, 
1.43 and 1.55(p).

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[[Page 68601]]

    Abstract: This collection of information involves the reporting, 
recordkeeping, and third-party disclosure requirements set forth in the 
CFTC's bankruptcy regulations for commodity broker liquidations, 17 CFR 
part 190. These regulations apply to commodity broker liquidations 
under Chapter 7, Subchapter IV of the Bankruptcy Code.\2\
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    \2\ 11 U.S.C. 761 et seq.
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    The reporting requirements include, for example, notices to the 
Commission regarding the filing of petitions for bankruptcy and notices 
to the Commission regarding the intention to transfer open commodity 
contracts in a commodity broker liquidation. The recordkeeping 
requirements include, for example, the statements of customer accounts 
that a trustee appointed for the purposes of a commodity broker 
liquidation (Trustee) must generate and adjust as set forth in the 
regulations. The third party disclosure requirements include, for 
example, the disclosure statement that a commodity broker must provide 
to its customers containing information regarding the manner in which 
customer property is treated under part 190 of the Commission's 
regulations in the event of a bankruptcy and, in the event of a 
commodity broker liquidation, certain notices that a Trustee must 
provide to customers and to the persons to whom commodity contracts and 
specifically identifiable customer property have been or will be 
transferred. The information collection requirements are necessary, and 
will be used, to facilitate the effective, efficient, and fair conduct 
of liquidation proceedings for commodity brokers and to protect the 
interests of customers in these proceedings both directly and by 
facilitating the participation of the CFTC in such proceedings.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid OMB number. On June 17, 2024, the Commission published 
in the Federal Register notice of the proposed extension of this 
information collection and provided 60 days for public comment on the 
proposed extension, 89 FR 51315, June 17, 2024 (``60-Day Notice''). The 
Commission did not receive any relevant comments. Accordingly, the 
Commission is retaining the burden estimates set forth in the 60-Day 
Notice.
    Burden Statement: The Commission notes that commodity broker 
liquidations occur at unpredictable and irregular intervals when 
particular commodity brokers become insolvent. While a commodity broker 
liquidation has not occurred in the past three years, the Commission 
took the conservative approach of maintaining the assumptions contained 
in the previous renewal of this information collection that, on 
average, a Futures Commission Merchant (``FCM'') commodity broker 
liquidation would occur every three years and that a Derivatives 
Clearing Organization (``DCO'') commodity broker liquidation would 
occur every fifty years. The Commission generally has retained the 
burden hour estimates set forth in the previous information collection 
as there have been no interim experiences nor are there currently 
apparent circumstances that would warrant altering those estimates. The 
Commission further notes, however, that the information collection 
burden will vary in particular commodity broker liquidations depending 
on the size of the commodity broker, the extent to which accounts are 
able to be quickly transferred, and other factors specific to the 
circumstances of the liquidation.
    The respondent burden for this information collection is estimated 
to be as follows: \3\
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    \3\ Because an FCM commodity broker liquidation is estimated to 
occur only once every three years, this information collection 
expresses such burdens in terms of those that would be imposed on 
one respondent during the three-year period.

 Reporting--FCMs: \4\
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    \4\ The reporting requirements for FCMs are contained in 
Commission regulations 190.03(b)(1) and 190.03(b)(2).

    Estimated Number of Respondents: 1.
    Estimated Annual Number of Responses per Respondent: 1.
    Estimated Total Annual Number of Responses: 1.
    Estimated Annual Number of Burden Hours per Respondent: 1.
    Estimated Total Annual Burden Hours: 1.
    Type of Respondents: FCM commodity brokers who have filed a 
petition in bankruptcy, Trustees.
    Frequency of Collection: On occasion.

 Recordkeeping--FCMs: \5\
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    \5\ The recordkeeping requirements for FCMs are contained in 
Commission regulations 190.05(b) and 190.05(d).

    Estimated Number of Respondents: 1.
    Estimated Annual Number of Responses per Respondent: 26,666.67.
    Estimated Total Annual Number of Responses: 26,666.67.
    Estimated Annual Number of Burden Hours per Respondent: 266.67.
    Estimated Total Annual Burden Hours: 266.67.
    Type of Respondents: Trustees.
    Frequency of Collection: Only during the pendency of an FCM 
bankruptcy: daily and on occasion.

 Third Party Disclosures Applicable to a Single Respondent--
FCMs: \6\
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    \6\ These third party disclosure requirements are contained in 
Commission regulations 190.03(c)(1), 190.03(c)(2), 190.02(c)(4), and 
190.07(b)(5).

    Estimated Number of Respondents: 1.
    Estimated Annual Number of Responses per Respondent: 10,003.32.
    Estimated Total Annual Number of Responses: 10,003.32.
    Estimated Annual Number of Burden Hours per Respondent: 1,336.66.
    Estimated Total Annual Burden Hours: 1,336.66.
    Type of Respondents: Trustees.
    Frequency of Collection: On occasion.

 Reporting--DCOs: \7\
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    \7\ The reporting requirements for DCOs are contained in 
Commission regulations 190.12(a)(2), 190.12(b)(1), 190.12(b)(2), 
190.12(c)(1), and 190.12(c)(2).

    Estimated Number of Respondents: \8\ 1.
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    \8\ Because a DCO commodity broker liquidation is estimated to 
occur only once every fifty years, this information collection 
expresses such burdens in terms of those that would be imposed on 
one respondent during the fifty-year period.
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    Estimated Annual Number of Responses per Respondent: 1.
    Estimated Total Annual Number of Responses: 1.
    Estimated Annual Number of Burden Hours per Respondent: 2.98.
    Estimated Total Annual Burden Hours: 0.61.
    Type of Respondents: DCO commodity brokers who have filed a 
petition in bankruptcy, Trustees.
    Frequency of Collection: On occasion.

 Recordkeeping--DCOs: \9\
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    \9\ The recordkeeping requirements for DCOs are contained in 
Commission regulation 190.14(d).

    Estimated Number of Respondents: 1.
    Estimated Annual Number of Responses per Respondent: 9.
    Estimated Total Annual Number of Responses: 9.
    Estimated Annual Number of Burden Hours per Respondent: 0.9.
    Estimated Total Annual Burden Hours: 0.9.
    Type of Respondents: Trustees.
    Frequency of Collection: Only during the pendency of a DCO 
bankruptcy: daily.

 Third Party Disclosures Applicable to a Single Respondent--
DCOs: \10\
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    \10\ The third-party disclosure requirements for DCOs are 
contained in Commission regulation 190.14(a).

    Estimated Number of Respondents: 1.
    Estimated Annual Number of Responses per Respondent: 9.
    Estimated Total Annual Number of Responses: 9.
    Estimated Annual Number of Burden Hours per Respondent: 0.9.
    Estimated Total Annual Burden Hours: 0.9.

[[Page 68602]]

    Type of Respondents: Trustees.
    Frequency of Collection: On occasion.

 Third Party Disclosures Applicable to Multiple Respondents 
During Business as Usual: \11\
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    \11\ The third-party disclosure requirements that are applicable 
on a regular basis to multiple respondents (i.e., multiple FCMs) are 
contained in Commission regulations 1.41, 1.43 and 1.55(p).

    Estimated Number of Respondents: 125.
    Estimated Annual Number of Responses per Respondent: 3,000.
    Estimated Total Annual Number of Responses: 375,000.
    Estimated Annual Number of Burden Hours per Respondent: 20.
    Estimated Total Annual Burden Hours: 7,500.
    Type of Respondents: FCMs.
    Frequency of Collection: On occasion.

    There are no new capital or start-up or operations costs associated 
with this information collection, nor are there any maintenance costs 
associated with this information collection.

(Authority: 44 U.S.C. 3501 et seq.)

    Dated: August 22, 2024.
Robert Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2024-19214 Filed 8-26-24; 8:45 am]
BILLING CODE 6351-01-P