Sound Incentive Compensation Guidance, 76079 [2010-30680]

Download as PDF Federal Register / Vol. 75, No. 234 / Tuesday, December 7, 2010 / Notices emcdonald on DSK2BSOYB1PROD with NOTICES Issued in Washington, DC, on November 24, 2010. Jeffrey D. Wiese, Associate Administrator for Pipeline Safety. Supervision, 1700 G Street, NW., Washington, DC 20552. SUPPLEMENTARY INFORMATION: OTS may not conduct or sponsor an information [FR Doc. 2010–30605 Filed 12–6–10; 8:45 am] collection, and respondents are not required to respond to an information BILLING CODE 4910–60–P collection, unless the information collection displays a currently valid OMB control number. As part of the DEPARTMENT OF THE TREASURY approval process, we invite comments Office of Thrift Supervision on the following information collection. Title of Proposal: Sound Incentive Sound Incentive Compensation Compensation Guidance. Guidance OMB Number: 1550–0129. Form Number: N/A. AGENCY: Office of Thrift Supervision Description: The guidance is based on (OTS), Treasury. three key principles that are designed to ACTION: Notice and request for comment. ensure that incentive compensation arrangements at a financial institution SUMMARY: The proposed information collection request (ICR) described below do not encourage employees to take excessive risks. These principles has been submitted to the Office of provide that incentive compensation Management and Budget (OMB) for review and approval, as required by the arrangements should: • Provide employees incentives that Paperwork Reduction Act of 1995. OTS do not encourage excessive risk-taking is soliciting public comments on the beyond the organization’s ability to proposal. effectively identify and manage risk; DATES: Submit written comments on or • Be compatible with effective before January 6, 2011. A copy of this controls and risk management; and ICR, with applicable supporting • Be supported by strong corporate documentation, can be obtained from governance, including active and RegInfo.gov at http://www.reginfo.gov/ effective oversight by the organization’s public/do/PRAMain. board of directors. ADDRESSES: Send comments, referring to These principles and the guidance are the collection by title of the proposal or consistent with the Principles for Sound by OMB approval number, to OMB and Compensation Practices adopted by the OTS at these addresses: Office of Financial Stability Board (FSB) in April Information and Regulatory Affairs, 2009, as well as the Implementation Attention: Desk Officer for OTS, U.S. Standards for those principles issued by Office of Management and Budget, 725 the FSB in September 2009. This 17th Street, NW., Room 10235, guidance will promote the prompt Washington, DC 20503, or by fax to improvement of incentive compensation (202) 393–6974; and Information practices in the banking industry by Collection Comments, Chief Counsel’s providing a common prudential Office, Office of Thrift Supervision, foundation for incentive compensation 1700 G Street, NW., Washington, DC arrangements across banking 20552, by fax to (202) 906–6518, or by organizations and promoting the overall e-mail to movement of the industry towards infocollection.comments@ots.treas.gov. better practices. Supervisory action OTS will post comments and the related could play a critical role in addressing index on the OTS Internet Site at misaligned compensation incentives, http://www.ots.treas.gov. In addition, especially where issues of competition interested persons may inspect may make it difficult for individual comments at the Public Reading Room, firms to act alone. Through their 1700 G Street, NW., Washington, DC actions, supervisors could help to better 20552 by appointment. To make an align the interests of managers and other appointment, call (202) 906–5922, send employees with organizations’ longan e-mail to public.info@ots.treas.gov, or term health and reduce concerns that send a facsimile transmission to (202) making prudent modifications to 906–7755. incentive compensation arrangements might have adverse competitive FOR FURTHER INFORMATION CONTACT: For consequences. further information or to obtain a copy Type of Review: Extension of a of the submission to OMB, please currently approved collection. contact Ira L. Mills at, Affected Public: Business or other forira.mills@ots.treas.gov (202) 906–6531, profit. or facsimile number (202) 906–6518, Estimated Number of Respondents: Regulations and Legislation Division, 757. Chief Counsel’s Office, Office of Thrift VerDate Mar<15>2010 18:39 Dec 06, 2010 Jkt 223001 PO 00000 Frm 00128 Fmt 4703 Sfmt 4703 76079 Estimated Burden Hours per Response: 40 hours. Estimated Frequency of Response: On occasion. Estimated Total Burden: 30,280 hours. Clearance Officer: Ira L. Mills, (202) 906–6531, Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552. Dated: December 1, 2010. Ira L. Mills, Paperwork Clearance Officer, Office of Chief Counsel, Office of Thrift Supervision. [FR Doc. 2010–30680 Filed 12–6–10; 8:45 am] BILLING CODE 6720–01–P DEPARTMENT OF THE TREASURY Office of Thrift Supervision Purchase of Branch Office(s) and/or Transfer of Assets/Liabilities Office of Thrift Supervision (OTS), Treasury. ACTION: Notice and request for comment. AGENCY: The proposed information collection request (ICR) described below has been submitted to the Office of Management and Budget (OMB) for review and approval, as required by the Paperwork Reduction Act of 1995, 44 U.S.C. 3507. OTS is soliciting public comments on the proposal. DATES: Submit written comments on or before January 6, 2011. A copy of this ICR, with applicable supporting documentation, can be obtained from RegInfo.gov at http://www.reginfo.gov/ public/do/PRAMain. ADDRESSES: Send comments, referring to the collection by title of the proposal or by OMB approval number, to OMB and OTS at these addresses: Office of Information and Regulatory Affairs, Attention: Desk Officer for OTS, U.S. Office of Management and Budget, 725 17th Street, NW., Room 10235, Washington, DC 20503, or by fax to (202) 393–6974; and Information Collection Comments, Chief Counsel’s Office, Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552, by fax to (202) 906–6518, or by e-mail to infocollection.comments@ots.treas.gov. OTS will post comments and the related index on the OTS Internet Site at http:// www.ots.treas.gov. In addition, interested persons may inspect comments at the Public Reading Room, 1700 G Street, NW., Washington, DC 20552 by appointment. To make an appointment, call (202) 906–5922, send an e-mail to public.info@ots.treas.gov, or SUMMARY: E:\FR\FM\07DEN1.SGM 07DEN1

Agencies

[Federal Register Volume 75, Number 234 (Tuesday, December 7, 2010)]
[Notices]
[Page 76079]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-30680]


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DEPARTMENT OF THE TREASURY

Office of Thrift Supervision


Sound Incentive Compensation Guidance

AGENCY: Office of Thrift Supervision (OTS), Treasury.

ACTION: Notice and request for comment.

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SUMMARY: The proposed information collection request (ICR) described 
below has been submitted to the Office of Management and Budget (OMB) 
for review and approval, as required by the Paperwork Reduction Act of 
1995. OTS is soliciting public comments on the proposal.

DATES: Submit written comments on or before January 6, 2011. A copy of 
this ICR, with applicable supporting documentation, can be obtained 
from RegInfo.gov at http://www.reginfo.gov/public/do/PRAMain.

ADDRESSES: Send comments, referring to the collection by title of the 
proposal or by OMB approval number, to OMB and OTS at these addresses: 
Office of Information and Regulatory Affairs, Attention: Desk Officer 
for OTS, U.S. Office of Management and Budget, 725 17th Street, NW., 
Room 10235, Washington, DC 20503, or by fax to (202) 393-6974; and 
Information Collection Comments, Chief Counsel's Office, Office of 
Thrift Supervision, 1700 G Street, NW., Washington, DC 20552, by fax to 
(202) 906-6518, or by e-mail to infocollection.comments@ots.treas.gov. 
OTS will post comments and the related index on the OTS Internet Site 
at http://www.ots.treas.gov. In addition, interested persons may 
inspect comments at the Public Reading Room, 1700 G Street, NW., 
Washington, DC 20552 by appointment. To make an appointment, call (202) 
906-5922, send an e-mail to public.info@ots.treas.gov">public.info@ots.treas.gov, or send a 
facsimile transmission to (202) 906-7755.

FOR FURTHER INFORMATION CONTACT: For further information or to obtain a 
copy of the submission to OMB, please contact Ira L. Mills at, 
ira.mills@ots.treas.gov (202) 906-6531, or facsimile number (202) 906-
6518, Regulations and Legislation Division, Chief Counsel's Office, 
Office of Thrift Supervision, 1700 G Street, NW., Washington, DC 20552.

SUPPLEMENTARY INFORMATION: OTS may not conduct or sponsor an 
information collection, and respondents are not required to respond to 
an information collection, unless the information collection displays a 
currently valid OMB control number. As part of the approval process, we 
invite comments on the following information collection.
    Title of Proposal: Sound Incentive Compensation Guidance.
    OMB Number: 1550-0129.
    Form Number: N/A.
    Description: The guidance is based on three key principles that are 
designed to ensure that incentive compensation arrangements at a 
financial institution do not encourage employees to take excessive 
risks. These principles provide that incentive compensation 
arrangements should:
     Provide employees incentives that do not encourage 
excessive risk-taking beyond the organization's ability to effectively 
identify and manage risk;
     Be compatible with effective controls and risk management; 
and
     Be supported by strong corporate governance, including 
active and effective oversight by the organization's board of 
directors.
    These principles and the guidance are consistent with the 
Principles for Sound Compensation Practices adopted by the Financial 
Stability Board (FSB) in April 2009, as well as the Implementation 
Standards for those principles issued by the FSB in September 2009. 
This guidance will promote the prompt improvement of incentive 
compensation practices in the banking industry by providing a common 
prudential foundation for incentive compensation arrangements across 
banking organizations and promoting the overall movement of the 
industry towards better practices. Supervisory action could play a 
critical role in addressing misaligned compensation incentives, 
especially where issues of competition may make it difficult for 
individual firms to act alone. Through their actions, supervisors could 
help to better align the interests of managers and other employees with 
organizations' long-term health and reduce concerns that making prudent 
modifications to incentive compensation arrangements might have adverse 
competitive consequences.
    Type of Review: Extension of a currently approved collection.
    Affected Public: Business or other for-profit.
    Estimated Number of Respondents: 757.
    Estimated Burden Hours per Response: 40 hours.
    Estimated Frequency of Response: On occasion.
    Estimated Total Burden: 30,280 hours.
    Clearance Officer: Ira L. Mills, (202) 906-6531, Office of Thrift 
Supervision, 1700 G Street, NW., Washington, DC 20552.

    Dated: December 1, 2010.
Ira L. Mills,
Paperwork Clearance Officer, Office of Chief Counsel, Office of Thrift 
Supervision.
[FR Doc. 2010-30680 Filed 12-6-10; 8:45 am]
BILLING CODE 6720-01-P