Submission for OMB Review; Comment Request, 65547-65548 [E6-18790]

Download as PDF Federal Register / Vol. 71, No. 216 / Wednesday, November 8, 2006 / Notices boards. The board reviews and evaluates the initial appraisal of a senior executive’s performance by the supervisor, and considers recommendations to the appointing authority regarding the performance of the senior executive. Office Of Personnel Management. Linda M. Springer, Director. The following have been designated as members of the Performance Review Board of the Office of Personnel Management: Dan G. Blair, Deputy Director—Chair. Patricia L. Hollis, Chief of Staff and Director of External Affairs. Clarence Crawford, Chief Financial Officer. Robert Danbeck, Associate Director, Human Resources Products and Services Division. Nancy Kichak, Associate Director, Strategic Human Resources Policy Division. Solly Thomas, Acting Associate Director, Human Capital Leadership and Merit System Accountability Division. Kathy Dillaman, Associate Director, Federal Investigative Services Division. Ronald C. Flom, Associate Director, Management Services Division and Chief Human Capital Officer. Kerry McTigue, General Counsel. William A. Jackson Jr., Deputy Associate Director for Human Capital Management Services—Executive Secretariat. [FR Doc. E6–18789 Filed 11–7–06; 8:45 am] BILLING CODE 6325–45–P POSTAL SERVICE Sunshine Act Meeting Tuesday, November 14, 2006, at 2 p.m.; and Wednesday, November 15, 2006, at 8:30 a.m. PLACE: Washington, DC., at U.S. Postal Service Headquarters, 475 L’Enfant Plaza, SW., in the Benjamin Franklin Room. STATUS: November 14—2 p.m.—Closed; November 15—8:30 a.m.—Open. MATTERS TO BE CONSIDERED: cprice-sewell on PRODPC62 with NOTICES DATE AND TIME: Tuesday, November 14 at 2 p.m. (Closed). 1. Strategic Planning. 2. Rate Case Updated. 3. Labor Negotiations Update. 4. Audit and Finance Committee Report and Review of 2006 Year-End Financial Statements. VerDate Aug<31>2005 16:09 Nov 07, 2006 Jkt 211001 5. Financial Update. 6. Personnel Matters and Compensation Issues. Wednesday, November 15 at 8:30 a.m. (Open). 1. Minutes of the Previous Meeting, September 11–12, 2006. 2. Remarks of the Postmaster General and CEO Jack Potter. 3. Committee Reports. 4. Quarterly Report on Service Performance. 5. Consideration of Fiscal Year 2006 Audited Financial Statements. 6. Tentative Agenda for the December 5–6, 2006, meeting in Washington, DC. CONTACT PERSON FOR MORE INFORMATION: Wendy A. Hocking, Secretary of the Board, U.S. Postal Service, 475 L’Enfant Plaza, SW., Washington, DC 20260– 1000. Telephone (202) 268–4800. Wendy A. Hocking, Secretary. [FR Doc. 06–9131 Filed 11–3–06; 4:14 pm] BILLING CODE 7710–12–M SECURITIES AND EXCHANGE COMMISSION Submission for OMB Review; Comment Request Upon written request, copies available from: Securities and Exchange Commission, Office of Filings and Information Services, Washington, DC 20549. Extension: Rule 17i–4; SEC File No. 270–530; OMB Control No. 3235–0594. Notice is hereby given that pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) the Securities and Exchange Commission (‘‘Commission’’) has submitted to the Office of Management and Budget a request for extension of the previously approved collection of information discussed below. Section 231 of the Gramm-LeachBliley Act of 1999 1 (the ‘‘GLBA’’) amended Section 17 of the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.) (the ‘‘Act’’ or the ‘‘Exchange Act’’) to create a regulatory framework under which a holding company of a brokerdealer (‘‘investment bank holding company’’ or ‘‘IBHC’’) may voluntarily be supervised by the Commission as a supervised investment bank holding company (or ‘‘SIBHC’’).2 In 2004, the Commission promulgated rules, 1 Pub. 2 See PO 00000 L. 106–102, 113 Stat. 1338 (1999). 15 U.S.C. 78q(i). Frm 00097 Fmt 4703 Sfmt 4703 65547 including Rule 17i–4, (17 CFR 240.17i– 4.) to create a framework for the Commission to supervise SIBHCs.3 This framework includes qualification criteria for SIBHCs, as well as recordkeeping and reporting requirements. Among other things, this regulatory framework for SIBHCs is intended to provide a basis for non-U.S. financial regulators to treat the Commission as the principal U.S. consolidated home-country supervisor for SIBHCs and their affiliated brokerdealers.4 Rule 17i–4 requires an SIBHC to comply with present Exchange Act Rule 15c3–4 5 as though it were a brokerdealer, which requires that the firm establish, document and maintain a system of internal risk management controls to assist it in managing the risks associated with its business activities (including market, credit, operational, funding, and legal risks). In addition, Rule 17i–4 requires that an SIBHC establish, document, and maintain procedures for the detection and prevention of money laundering and terrorist financing as part of its internal risk management control system. Finally, Rule 17i–4 requires that an SIBHC periodically review its internal risk management control system for integrity of the risk measurement, monitoring, and management process, and accountability, at the appropriate organizational level, for defining the permitted scope of activity and level of risk. The collection of information required pursuant to Rule 17i–4 is needed so that the Commission can adequately supervise the activities of these SIBHCs, and to allow the Commission to effectively determine whether supervision of an IBHC as an SIBHC is necessary or appropriate in furtherance of the purposes of Section 17 of the Act. Without this information, the Commission would be unable to adequately supervise the SIBHC as provided for under the Exchange Act. We estimate that three IBHCs will file Notices of Intention with the Commission to be supervised by the Commission as SIBHCs. An SIBHC will require, on average, about 3,600 hours to assess its present structure, businesses, and controls, and establish and document its risk management control system. In addition, an SIBHC will require, on average, approximately 250 3 See Exchange Act Release No. 49831 (Jun. 8, 2004), 69 FR 34472 (Jun. 21, 2004). 4 See H.R. Conf. Rep. No. 106–434, 165 (1999). See also Exchange Act Release No. 49831, at 6 (Jun. 8, 2004), 69 FR 34472, at 34473 (Jun. 21, 2004). 5 17 CFR 240.15c3–4. E:\FR\FM\08NON1.SGM 08NON1 65548 Federal Register / Vol. 71, No. 216 / Wednesday, November 8, 2006 / Notices cprice-sewell on PRODPC62 with NOTICES hours each year to maintain its risk management control system. Consequently, the total initial burden for all SIBHCs is approximately 10,800 hours 6 and the continuing annual burden is about 750 hours.7 Thus, the total burden relating to Rule 17i–4 for all SIBHCs is approximately 11,550 hours 8 in the first year, and approximately 750 hours each year thereafter.9 We believe that an IBHC likely will upgrade its information technology (‘‘IT’’) systems in order to more efficiently comply with certain of the SIBHC framework rules (including Rules 17i–4, 17i–5, 17i–6 and 17i–7), and that this would be a one-time cost. Depending on the state of development of the IBHC’s IT systems, it would cost an IBHC between $1 million and $10 million to upgrade its IT systems to comply with the SIBHC framework of rules. Thus, on average, it would cost each of the three IBHCs about $5.5 million to upgrade their IT systems, or approximately $16.5 million in total. It is impossible to determine what percentage of the IT systems costs would be attributable to each Rule, so we allocated the total estimated upgrade costs equally (at 25% for each of the above-mentioned Rules), with $4,125,000 attributable to Rule 17i–4. The records required to be created pursuant to Rule 17i–4 must be preserved for a period of not less than three years.10 The collection of information is mandatory and the information required to be provided to the Commission pursuant to this Rule is deemed confidential pursuant to Section 17(j) of the Exchange Act and Section 552(b)(3)(B) of the Freedom of Information Act,11 notwithstanding any other provision of law. 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 control number. Comments should be directed to: (i) the Desk Officer for the Securities and Exchange Commission, Office of Information and Regulatory Affairs, Office of Management and Budget, Room 10102, New Executive Office Building, Washington, DC 20503 or by sending an e-mail to: David_Rostker@omb.eop.gov; and (ii) R. Corey Booth, Director/Chief Information hours × 3 SIBHCs) = 10,800 hours. 7 (250 hours per year × 3 SIBHCs) = 750 hours per year. 8 (3,600 hours × 3 SIBHCs) + (250 hours per year × 3 SIBHCs). 9 (250 hours per year × 3 SIBHCs). 10 17 CFR 240.17i–5(b)(5). 11 5 U.S.C. 552(b)(3)(B). Officer, Securities and Exchange Commission, c/o Shirley Martinson, 6432 General Green Way, Alexandria, VA 22312 or send an e-mail to: PRA_Mailbox@sec.gov. Comments must be submitted to OMB within 30 days of this notice. Dated: October 23, 2006. Nancy M. Morris, Secretary. [FR Doc. E6–18790 Filed 11–7–06; 8:45 am] BILLING CODE 8011–01–P SECURITIES AND EXCHANGE COMMISSION Submission for OMB Review; Comment Request Upon written request, copies available from: Securities and Exchange Commission, Office of Filings and Information Services, Washington, DC 20549. Extension: Rule 17i–2; SEC File No. 270–528; OMB Control No. 3235–0592. Notice is hereby given that pursuant to the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 et seq.) the Securities and Exchange Commission (‘‘Commission’’) has submitted to the Office of Management and Budget a request for extension of the previously approved collection of information discussed below. Section 231 of the Gramm-LeachBliley Act of 1999 1 (the ‘‘GLBA’’) amended Section 17 of the Securities Exchange Act of 1934 (the ‘‘Act’’ or the ‘‘Exchange Act’’) to create a regulatory framework under which a holding company of a broker-dealer (‘‘investment bank holding company’’ or ‘‘IBHC’’) may voluntarily be supervised by the Commission as a supervised investment bank holding company (or ‘‘SIBHC’’).2 In 2004, the Commission promulgated rules, including Rule 17i– 2 (17 CFR 240.17i–2) to create a framework for the Commission to supervise SIBHCs.3 This framework includes qualification criteria for SIBHCs, as well as recordkeeping and reporting requirements. Among other things, this regulatory framework for SIBHCs is intended to provide a basis for non-U.S. financial regulators to treat the Commission as the principal U.S. consolidated, home-country supervisor 4 6 (3,600 VerDate Aug<31>2005 15:11 Nov 07, 2006 Jkt 211001 1 Pub. L. No. 106–102, 113 Stat. 1338 (1999). 15 U.S.C. 78q(i). 3 See Exchange Act Release No. 49831 (Jun. 8, 2004), 69 FR 34472 (Jun. 21, 2004). 4 See H.R. Conf. Rep. No. 106–434, 165 (1999). See also Exchange Act Release No. 49831, at 6 (Jun. 8, 2004), 69 FR 34472, at 34473 (Jun. 21, 2004). 2 See PO 00000 Frm 00098 Fmt 4703 Sfmt 4703 for SIBHCs and their affiliated brokerdealers. Rule 17i–2 provides the method by which an IBHC can elect to become an SIBHC. In addition, Rule 17i–2 indicates that the IBHC will automatically become an SIBHC 45 days after the Commission receives its completed Notice of Intention unless the Commission issues an order indicating either that it will begin its supervision sooner or that it does not believe it to be necessary or appropriate in furtherance of Section 17 of the Act for the IBHC to be so supervised. Finally, Rule 17i–2 sets forth the criteria the Commission would use to make this determination. The collections of information required by Rule 17i–2 are necessary to allow the Commission to effectively determine whether supervision of an IBHC as an SIBHC is necessary or appropriate in furtherance of the purposes of Section 17 of the Act. In addition, these collections are needed so that the Commission can adequately supervise the activities of these SIBHCs. Finally, these rules enhance the Commission’s supervision of the SIBHCs’ subsidiary broker-dealers through collection of additional information and inspections of affiliates of those broker-dealers. We estimate that three IBHCs will file Notices of Intention with the Commission to be supervised by the Commission as SIBHCs. Each IBHC that files a Notice of Intention to become supervised by the Commission as an SIBHC will require approximately 900 hours to draft the Notice of Intention, compile the various documents to be included with the Notice of Intention, and work with the Commission staff. Further, each IBHC likely will have an attorney review its Notice of Intention and it will take the attorney approximately 100 hours to complete such a review. Consequently, we estimate the total one-time burden for all three firms to file their Notices of Intention would be approximately 3,000 hours.5 Rule 17i–2 also requires that an IBHC/SIBHC update its Notice of Intention on an ongoing basis.6 Each IBHC/SIBHC will require approximately two hours each month to update its Notice of Intention, as necessary. Thus, we estimate that it will take the three 5 (900 hours + 100 hours) × 3 IBHCs/SIBHCs = 3,000 hours. 6 An IBHC would be required to review and update its Notice of Intention to the extent it becomes inaccurate prior to a Commission determination, and an SIBHC would be required to update its Notice of Intention if it changes a mathematical model used to calculate its risk allowances pursuant to Rule 17i–7 after a Commission determination was made. E:\FR\FM\08NON1.SGM 08NON1

Agencies

[Federal Register Volume 71, Number 216 (Wednesday, November 8, 2006)]
[Notices]
[Pages 65547-65548]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-18790]


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SECURITIES AND EXCHANGE COMMISSION


Submission for OMB Review; Comment Request

Upon written request, copies available from: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension:
    Rule 17i-4; SEC File No. 270-530; OMB Control No. 3235-0594.

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.) the Securities and Exchange Commission 
(``Commission'') has submitted to the Office of Management and Budget a 
request for extension of the previously approved collection of 
information discussed below.
    Section 231 of the Gramm-Leach-Bliley Act of 1999 \1\ (the 
``GLBA'') amended Section 17 of the Securities Exchange Act of 1934 (15 
U.S.C. 78a et seq.) (the ``Act'' or the ``Exchange Act'') to create a 
regulatory framework under which a holding company of a broker-dealer 
(``investment bank holding company'' or ``IBHC'') may voluntarily be 
supervised by the Commission as a supervised investment bank holding 
company (or ``SIBHC'').\2\ In 2004, the Commission promulgated rules, 
including Rule 17i-4, (17 CFR 240.17i-4.) to create a framework for the 
Commission to supervise SIBHCs.\3\ This framework includes 
qualification criteria for SIBHCs, as well as recordkeeping and 
reporting requirements. Among other things, this regulatory framework 
for SIBHCs is intended to provide a basis for non-U.S. financial 
regulators to treat the Commission as the principal U.S. consolidated 
home-country supervisor for SIBHCs and their affiliated broker-
dealers.\4\
---------------------------------------------------------------------------

    \1\ Pub. L. 106-102, 113 Stat. 1338 (1999).
    \2\ See 15 U.S.C. 78q(i).
    \3\ See Exchange Act Release No. 49831 (Jun. 8, 2004), 69 FR 
34472 (Jun. 21, 2004).
    \4\ See H.R. Conf. Rep. No. 106-434, 165 (1999). See also 
Exchange Act Release No. 49831, at 6 (Jun. 8, 2004), 69 FR 34472, at 
34473 (Jun. 21, 2004).
---------------------------------------------------------------------------

    Rule 17i-4 requires an SIBHC to comply with present Exchange Act 
Rule 15c3-4 \5\ as though it were a broker-dealer, which requires that 
the firm establish, document and maintain a system of internal risk 
management controls to assist it in managing the risks associated with 
its business activities (including market, credit, operational, 
funding, and legal risks). In addition, Rule 17i-4 requires that an 
SIBHC establish, document, and maintain procedures for the detection 
and prevention of money laundering and terrorist financing as part of 
its internal risk management control system. Finally, Rule 17i-4 
requires that an SIBHC periodically review its internal risk management 
control system for integrity of the risk measurement, monitoring, and 
management process, and accountability, at the appropriate 
organizational level, for defining the permitted scope of activity and 
level of risk.
---------------------------------------------------------------------------

    \5\ 17 CFR 240.15c3-4.
---------------------------------------------------------------------------

    The collection of information required pursuant to Rule 17i-4 is 
needed so that the Commission can adequately supervise the activities 
of these SIBHCs, and to allow the Commission to effectively determine 
whether supervision of an IBHC as an SIBHC is necessary or appropriate 
in furtherance of the purposes of Section 17 of the Act. Without this 
information, the Commission would be unable to adequately supervise the 
SIBHC as provided for under the Exchange Act.
    We estimate that three IBHCs will file Notices of Intention with 
the Commission to be supervised by the Commission as SIBHCs. An SIBHC 
will require, on average, about 3,600 hours to assess its present 
structure, businesses, and controls, and establish and document its 
risk management control system. In addition, an SIBHC will require, on 
average, approximately 250

[[Page 65548]]

hours each year to maintain its risk management control system. 
Consequently, the total initial burden for all SIBHCs is approximately 
10,800 hours \6\ and the continuing annual burden is about 750 
hours.\7\ Thus, the total burden relating to Rule 17i-4 for all SIBHCs 
is approximately 11,550 hours \8\ in the first year, and approximately 
750 hours each year thereafter.\9\
---------------------------------------------------------------------------

    \6\ (3,600 hours x 3 SIBHCs) = 10,800 hours.
    \7\ (250 hours per year x 3 SIBHCs) = 750 hours per year.
    \8\ (3,600 hours x 3 SIBHCs) + (250 hours per year x 3 SIBHCs).
    \9\ (250 hours per year x 3 SIBHCs).
---------------------------------------------------------------------------

    We believe that an IBHC likely will upgrade its information 
technology (``IT'') systems in order to more efficiently comply with 
certain of the SIBHC framework rules (including Rules 17i-4, 17i-5, 
17i-6 and 17i-7), and that this would be a one-time cost. Depending on 
the state of development of the IBHC's IT systems, it would cost an 
IBHC between $1 million and $10 million to upgrade its IT systems to 
comply with the SIBHC framework of rules. Thus, on average, it would 
cost each of the three IBHCs about $5.5 million to upgrade their IT 
systems, or approximately $16.5 million in total. It is impossible to 
determine what percentage of the IT systems costs would be attributable 
to each Rule, so we allocated the total estimated upgrade costs equally 
(at 25% for each of the above-mentioned Rules), with $4,125,000 
attributable to Rule 17i-4.
    The records required to be created pursuant to Rule 17i-4 must be 
preserved for a period of not less than three years.\10\ The collection 
of information is mandatory and the information required to be provided 
to the Commission pursuant to this Rule is deemed confidential pursuant 
to Section 17(j) of the Exchange Act and Section 552(b)(3)(B) of the 
Freedom of Information Act,\11\ notwithstanding any other provision of 
law.
---------------------------------------------------------------------------

    \10\ 17 CFR 240.17i-5(b)(5).
    \11\ 5 U.S.C. 552(b)(3)(B).
---------------------------------------------------------------------------

    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 control number.
    Comments should be directed to: (i) the Desk Officer for the 
Securities and Exchange Commission, Office of Information and 
Regulatory Affairs, Office of Management and Budget, Room 10102, New 
Executive Office Building, Washington, DC 20503 or by sending an e-mail 
to: David--Rostker@omb.eop.gov; and (ii) R. Corey Booth, Director/Chief 
Information Officer, Securities and Exchange Commission, c/o Shirley 
Martinson, 6432 General Green Way, Alexandria, VA 22312 or send an e-
mail to: PRA--Mailbox@sec.gov. Comments must be submitted to OMB within 
30 days of this notice.

    Dated: October 23, 2006.
Nancy M. Morris,
Secretary.
[FR Doc. E6-18790 Filed 11-7-06; 8:45 am]
BILLING CODE 8011-01-P