Agency Information Collection Activities: Submission for OMB Review; Joint Comment Request, 55260-55263 [2016-19721]
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Federal Register / Vol. 81, No. 160 / Thursday, August 18, 2016 / Notices
DEPARTMENT OF THE TREASURY
Office of the Comptroller of the
Currency
FEDERAL RESERVE SYSTEM
FEDERAL DEPOSIT INSURANCE
CORPORATION
Agency Information Collection
Activities: Submission for OMB
Review; Joint Comment Request
Office of the Comptroller of the
Currency (OCC), Treasury; Board of
Governors of the Federal Reserve
System (Board); and Federal Deposit
Insurance Corporation (FDIC).
ACTION: Notice of information
collections to be submitted to Office of
Management and Budget (OMB) for
review and approval under the
Paperwork Reduction Act of 1995
(PRA).
AGENCY:
In accordance with the
requirements of the PRA (44 U.S.C.
chapter 35), the OCC, the Board, and the
FDIC (the agencies) may not conduct or
sponsor, and the respondent is not
required to respond to, an information
collection unless it displays a currently
valid OMB control number.
On April 18, 2016, the agencies,
under the auspices of the Federal
Financial Institutions Examination
Council (FFIEC), published a notice in
the Federal Register (81 FR 22702) to
request public comment on a proposal
to extend, with revision, the Regulatory
Capital Reporting for Institutions
Subject to the Advanced Capital
Adequacy Framework (FFIEC 101),
which is a currently approved
information collection. On April 27,
2016, the agencies published a
correction of the April 18 notice in the
Federal Register (81 FR 24940). The
agencies proposed to collect
supplementary leverage ratio (SLR) data
in new SLR Tables 1 and 2 of FFIEC 101
Schedule A from all banking
organizations subject to the advanced
approaches risk-based capital rule
(generally, banking organizations with
$250 billion or more in total
consolidated assets or $10 billion or
more in on-balance sheet foreign
exposures) (advanced approaches
banking organizations), unless the
advanced approaches banking
organization is (i) a consolidated
subsidiary of a bank holding company
(BHC), savings and loan holding
company (SLHC), or depository
institution that is subject to the
disclosure requirements in Table 13 of
section 173 of the advanced approaches
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SUMMARY:
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risk-based capital rule (advanced
approaches rule), or (ii) a subsidiary of
a non-U.S. banking organization that is
subject to comparable public disclosure
requirements in its home jurisdiction.
Advanced approaches banking
organizations would begin reporting the
proposed SLR data items in FFIEC 101
Schedule A, SLR Tables 1 and 2,
effective with the September 30, 2016,
reporting date.
Separately, the proposed collection of
SLR data in SLR Tables 1 and 2 of
FFIEC 101 Schedule A would apply to
any U.S. intermediate holding
companies (IHCs) formed or designated
for purposes of compliance with the
Board’s Regulation YY (12 CFR 252.153)
that are advanced approaches banking
organizations, effective with the March
31, 2018, reporting date (advanced
approaches IHC). Any subsidiary BHC
controlled by a foreign banking
organization (FBO) that was subject to
the SLR requirements prior to the
formation of an IHC would complete
FFIEC 101 Schedule A, SLR Tables 1
and 2, through the December 31, 2017,
reporting date.
In addition, the agencies proposed
that an advanced approaches banking
organization should provide its Legal
Entity Identifier (LEI) on the cover page
of the report beginning September 30,
2016, only if the organization already
has an LEI.
The comment period for this proposal
expired on June 27, 2016. The agencies
did not receive any comments
addressing the proposed changes and
are now submitting requests to OMB for
review and approval of the extension,
with revision, of the FFIEC 101. As had
been proposed, these reporting changes
would take effect as of the September
30, 2016, or the March 31, 2018, report
date, as applicable.
DATES: Comments must be submitted on
or before September 19, 2016.
ADDRESSES: Interested parties are
invited to submit written comments to
any or all of the agencies. All comments,
which should refer to the OMB control
numbers, will be shared among the
agencies.
OCC: Because paper mail in the
Washington, DC area and at the OCC is
subject to delay, commenters are
encouraged to submit comments by
email, if possible, to prainfo@
occ.treas.gov. Alternatively, comments
may be sent to: Legislative and
Regulatory Activities Division, Office of
the Comptroller of the Currency,
Attention ‘‘1557–0239, FFIEC 101,’’ 400
7th Street SW., Suite 3E–218, Mail Stop
9W–11, Washington, DC 20219. In
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addition, comments may be sent by fax
to (571) 465–4326.
You may personally inspect and
photocopy comments at the OCC, 400
7th Street SW., Washington, DC 20219.
For security reasons, the OCC requires
that visitors make an appointment to
inspect comments. You may do so by
calling (202) 649–6700 or, for persons
who are deaf or hard of hearing, TTY,
(202) 649–5597. Upon arrival, visitors
will be required to present valid
government-issued photo identification
and submit to security screening in
order to inspect and photocopy
comments.
All comments received, including
attachments and other supporting
materials, are part of the public record
and subject to public disclosure. Do not
include any information in your
comment or supporting materials that
you consider confidential or
inappropriate for public disclosure.
Board: You may submit comments,
which should refer to ‘‘FFIEC 101,’’ by
any of the following methods:
• Agency Web site: http://
www.federalreserve.gov. Follow the
instructions for submitting comments at:
http://www.federalreserve.gov/
generalinfo/foia/ProposedRegs.cfm.
• Federal eRulemaking Portal: http://
www.regulations.gov. Follow the
instructions for submitting comments.
• Email: regs.comments@
federalreserve.gov. Include reporting
form number in the subject line of the
message.
• FAX: (202) 452–3819 or (202) 452–
3102.
• Mail: Robert DeV. Frierson,
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 Web site at
www.federalreserve.gov/generalinfo/
foia/ProposedRegs.cfm as submitted,
unless modified for technical reasons.
Accordingly, your comments will not be
edited to remove any identifying or
contact information. Public comments
may also be viewed electronically or in
paper in Room MP–500 of the Board’s
Martin Building (20th and C Streets
NW.) between 9:00 a.m. and 5:00 p.m.
on weekdays.
FDIC: You may submit comments,
which should refer to ‘‘FFIEC 101,’’ by
any of the following methods:
• Agency Web site: https://
www.fdic.gov/regulations/laws/federal/.
Follow the instructions for submitting
comments on the FDIC Web site.
• Federal eRulemaking Portal: http://
www.regulations.gov. Follow the
instructions for submitting comments.
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Federal Register / Vol. 81, No. 160 / Thursday, August 18, 2016 / Notices
• Email: comments@FDIC.gov.
Include ‘‘FFIEC 101’’ in the subject line
of the message.
• Mail: Manuel E. Cabeza, Counsel,
Attn: Comments, Room MB–3105,
Federal Deposit Insurance Corporation,
550 17th Street NW., Washington, DC
20429.
• Hand Delivery: Comments may be
hand delivered to the guard station at
the rear of the 550 17th Street Building
(located on F Street) on business days
between 7:00 a.m. and 5:00 p.m.
Public Inspection: All comments
received will be posted without change
to https://www.fdic.gov/regulations/
laws/federal/ including any personal
information provided. Paper copies of
public comments may be requested from
the FDIC Public Information Center by
telephone at (877) 275–3342 or (703)
562–2200.
Additionally, commenters may send a
copy of their comments to the OMB
desk officer for the agencies by mail to
the Office of Information and Regulatory
Affairs, U.S. Office of Management and
Budget, New Executive Office Building,
Room 10235, 725 17th Street NW.,
Washington, DC 20503; by fax to (202)
395–6974; or by email to oira_
submission@omb.eop.gov.
FOR FURTHER INFORMATION CONTACT: For
further information about the proposed
revisions to the FFIEC 101 discussed in
this notice, please contact any of the
agency staff whose names appear below.
In addition, copies of the FFIEC 101
form and instructions can be obtained at
the FFIEC’s Web site (http://
www.ffiec.gov/ffiec_report_forms.htm).
OCC: Shaquita Merritt, OCC Clearance
Officer, (202) 649–5490, or for persons
who are deaf or hard of hearing, TTY,
(202) 649–5597, Legislative and
Regulatory Activities Division, Office of
the Comptroller of the Currency, 400 7th
Street SW., Washington, DC 20219.
Board: Nuha Elmaghrabi, Federal
Reserve Board Clearance Officer, (202)
452–3829, Office of the Chief Data
Officer, Board of Governors of the
Federal Reserve System, Washington,
DC 20551. Telecommunications Device
for the Deaf (TDD) users may contact
(202) 263–4869.
FDIC: Manuel E. Cabeza, Counsel,
(202) 898–3767, Legal Division, Federal
Deposit Insurance Corporation, 550 17th
Street NW., Washington, DC 20429.
SUPPLEMENTARY INFORMATION: The
agencies are proposing to extend for
three years, with revision, the FFIEC
101, which is currently an approved
collection of information for each
agency.
Report Title: Regulatory Capital
Reporting for Institutions Subject to the
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Advanced Capital Adequacy
Framework.
Form Number: FFIEC 101.
Frequency of Response: Quarterly.
Affected Public: Business or other forprofit.
OCC
OMB Control No.: 1557–0239.
Estimated Number of Respondents: 20
national banks and federal savings
associations.
Estimated Burden per Response: 674
burden hours per quarter to file.
Estimated Total Annual Burden:
53,920 burden hours to file.
Board
OMB Control No.: 7100–0319.
Estimated Number of Respondents: 6
state member banks; 16 bank holding
companies and savings and loan
holding companies; and 6 intermediate
holding companies.
Estimated Burden per Response: 674
burden hours per quarter for state
member banks to file, 677 burden hours
per quarter for bank holding companies
and savings and loan holding
companies to file; 3 burden hours per
quarter for intermediate holding
companies to file; and 300 burden hours
for intermediate holding companies’
one-time implementation.
Estimated Total Annual Burden:
16,176 burden hours for state member
banks to file; 43,328 burden hours for
bank holding companies and savings
and loan holding companies to file; 72
burden hours for intermediate holding
companies to file; 1,800 burden hours
for intermediate holding companies’
one-time implementation.
FDIC
OMB Control No.: 3064–0159.
Estimated Number of Respondents: 2
insured state nonmember banks and
state savings associations.
Estimated Burden per Response: 674
burden hours per quarter to file.
Estimated Total Annual Burden:
5,392 burden hours to file.
Type of Review: Revision and
extension of currently approved
collections.
General Description of Reports
Each advanced approaches banking
organization is required to file quarterly
regulatory capital data on the FFIEC’s
Regulatory Capital Reporting for
Institutions Subject to the Advanced
Capital Adequacy Framework (FFIEC
101). The FFIEC 101 information
collection is mandatory for institutions
subject to the advanced approaches riskbased capital rule: 12 U.S.C. 161
(national banks), 12 U.S.C. 324 (state
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member banks), 12 U.S.C. 1844(c) (bank
holding companies), 12 U.S.C. 1467a(b)
(savings and loan holding companies),
12 U.S.C. 1817 (insured state
nonmember commercial and savings
banks), 12 U.S.C. 1464 (savings
associations), and 12 U.S.C. 1844(c),
3106, and 3108 (intermediate holding
companies).
Abstract
The agencies use the FFIEC 101 data
submitted by advanced approaches
banking organizations to assess and
monitor the levels and components of
each reporting entity’s capital
requirements and the adequacy of the
entity’s capital under the Advanced
Capital Adequacy Framework; to
evaluate the impact and competitive
implications of the Advanced Capital
Adequacy Framework on individual
reporting entities and on an industrywide basis; and to supplement on-site
examination processes. The reporting
schedules also assist advanced
approaches banking organizations in
understanding expectations around the
system development necessary for
implementation and validation of the
Advanced Capital Adequacy
Framework. Submitted data that are
released publicly will also provide other
interested parties with information
about advanced approaches banking
organizations’ regulatory capital.
Current Actions
On April 18, 2016, the agencies
requested comment on proposed
revisions to the FFIEC 101 reporting
requirements (April 2016 proposal).1 On
April 27, 2016, the agencies published
a correction of the April 18 notice.2
These proposed revisions included two
new tables that would be added to
FFIEC 101 Schedule A to collect
information related to the agencies’ SLR
disclosures required in Table 13 of
section 173 of the advanced approaches
rule. SLR Tables 1 and 2 would replace
existing items 91 through 98 of FFIEC
101 Schedule A, and generally would be
aligned with the international leverage
ratio common disclosure template that
was adopted by the Basel Committee on
Banking Supervision in January 2014
(international leverage ratio common
disclosure template).3 In addition, the
agencies proposed that an advanced
approaches banking organization should
provide its LEI on the cover page of the
1 81
FR 22702 (April 18, 2016).
FR 24940 (April 27, 2016).
3 See Basel Committee on Banking Supervision,
Basel III leverage ratio framework and disclosure
requirements; pages 11–12; available at http://
www.bis.org/publ/bcbs270.pdf.
2 81
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report only if the organization already
has an LEI.
The comment period for the proposal
ended on June 27, 2016. The agencies
did not receive any comments
addressing the proposed changes and
are now submitting requests to OMB for
review and approval of the extension,
with revision, of the FFIEC 101. The
proposed reporting of SLR Tables 1 and
2 of Schedule A would take effect as of
the September 30, 2016, report date for
top-tier advanced approaches BHCs,
SLHCs, and insured depository
institutions, or the March 31, 2018,
report date for advanced approaches
IHCs. Any subsidiary BHC controlled by
an FBO that was subject to the SLR
requirements prior to the formation of
an IHC would complete report SLR
Tables 1 and 2 of Schedule A, through
the December 31, 2017, report date.
Additionally, the proposed reporting of
the LEI would take effect as of the
September 30, 2016, report date.
I. Proposed SLR Changes
A. Introduction
In the April 2016 proposal, the
agencies proposed to add two new
tables to FFIEC 101 Schedule A to
collect information related to the SLR
disclosures required in Table 13 of
section 173 of the advanced approaches
rule.4 Proposed SLR Tables 1 and 2,
which would replace existing items 91
through 98 of FFIEC 101 Schedule A,5
would be aligned with the international
leverage ratio common disclosure
template, with some minor changes to
the titles of the line items and
clarifications in the instructions,
consistent with the revisions to the SLR
in the regulatory capital rule (SLR rule) 6
and the accounting terminology of U.S.
generally accepted accounting
principles. The proposal generally
would incorporate the complete
international leverage ratio common
disclosure template into Schedule A to
ensure transparency and comparability
of reporting of regulatory capital
elements across internationally active
banking organizations. The proposed
revised Schedule A also would include
an additional item applicable to certain
advanced approaches BHCs only, which
would collect data on an advanced
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4 See
12 CFR 3.173 (OCC); 12 CFR 217.173
(Board); and 12 CFR 324.173 (FDIC).
5 Although items 91 through 98 are included on
the FFIEC 101 report form, these items are currently
shaded out and not collected.
6 See 12 CFR 3.10(c)(4) (OCC) for national banks
and Federal savings associations; 12 CFR
217.10(c)(4) (Board) for BHCs, SLHCs, and state
member banks; 12 CFR 324.10(c)(4) (FDIC, for state
nonmember banks and state savings associations),
all as amended by 79 FR 57725 (Sept. 26, 2014).
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approaches BHC’s enhanced SLR buffer,
if applicable.
B. Scope, Timing, and Frequency of
Proposed Reporting Changes
The proposed revisions to the FFIEC
101 would apply only to an advanced
approaches banking organization as
described in section 173(a)(2) of the
advanced approaches rule effective with
the September 30, 2016, report date.7
Generally, the SLR disclosures apply to
an advanced approaches institution,
unless it is (1) a consolidated subsidiary
of a BHC, SLHC, or depository
institution that is subject to these
disclosure requirements; or (2) a
subsidiary of a non-U.S. banking
organization that is subject to
comparable public disclosure
requirements in its home jurisdiction.
Completing the proposed FFIEC 101
items for the SLR for a given period
would satisfy an advanced approaches
banking organization’s requirement to
disclose Table 13 for that period.
Separately, each advanced approaches
banking organization, regardless of its
parallel run status, is required to
disclose its SLR, and the numerator and
denominator of its SLR, under section
172(d) of the advanced approaches
rule.8 This is a separate disclosure
requirement, which the agencies have
proposed to implement for banks and
savings associations that are advanced
approaches banking organizations
through a revision to Schedule RC–R,
Part I, Regulatory Capital Components
and Ratios, of the Consolidated Reports
of Condition and Income (Call Report)
(FFIEC 031 and 041) 9 reporting forms
using the standard PRA notice and
comment process.10
An IHC formed or designated for
purposes of compliance with the
Board’s Regulation YY (12 CFR 252.153)
is required to meet all applicable capital
adequacy standards set forth in the
Board’s Regulation Q, except for subpart
E.11 An IHC that meets the definition of
an advanced approaches banking
organization under the Board’s
Regulation Q (12 CFR 217.100) would
begin reporting the proposed SLR data
7 A top-tier advanced approaches banking
organization would be required to complete SLR
Tables 1 and 2 of FFIEC 101 Schedule A, regardless
of parallel run status. Any advanced approaches
banking organization that is a consolidated
subsidiary of a top-tier advanced approaches BHC,
SLHC, or insured depository institution would not
complete SLR Tables 1 and 2.
8 See 12 CFR 3.172(d) (OCC); 12 CFR 217.172(d)
(Board); and 12 CFR 324.172(d) (FDIC).
9 OMB Numbers: OCC, 1557–0081; Board, 7100–
0036; and FDIC, 3064–0052.
10 See 80 FR 56539 (September 18, 2015) and 81
FR 45357 (July 13, 2016).
11 See 12 CFR 252.153(e)(2)(i)(A).
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items in the FFIEC 101 effective with
the March 31, 2018, report date, and
would begin calculating these proposed
items starting January 1, 2018. This
reporting requirement is consistent with
Regulation YY, which subjects
advanced approaches IHCs to the SLR
beginning on January 1, 2018.12 Such an
IHC would not be required to complete
the rest of the FFIEC 101 because
Regulation YY requires an IHC to
calculate its risk-based capital
requirements using only the
standardized approach, and not the
advanced approaches rule, even if it
meets the advanced approaches
applicability threshold.13 Further, any
subsidiary BHC that is controlled by an
FBO that was subject to the SLR
disclosures prior to the formation of an
IHC would complete FFIEC 101
Schedule A, SLR Tables 1 and 2,
through the December 31, 2017, report
date.
Depository institutions that are
exempt from filing the FFIEC 101, but
remain subject to the SLR, would not
need to begin filing the FFIEC 101.
Instead, these institutions would report
their SLR, and the numerator and
denominator of their SLR, under the
proposed Call Report revisions
discussed above.
The agencies proposed to collect the
SLR information in SLR Tables 1 and 2
of FFIEC 101 Schedule A quarterly.
Each reporting entity would continue to
submit the applicable quarterly reports
on the same due dates as are currently
in effect for the reporting entity for as
long as it remains subject to the
requirements of section 173(a)(2) of the
advanced approaches rule.
C. Confidentiality
To ensure transparency of regulatory
capital data reported by internationally
active banking organizations, the
agencies proposed to make public the
SLR information collected in proposed
SLR Tables 1 and 2 of FFIEC 101
Schedule A, regardless of an advanced
approaches banking organization’s
parallel run status.
D. Initial Reporting
For the September 30, 2016, and
March 31, 2018, initial report dates, as
12 See
Id.
IHC that chooses to comply with subpart E
of 12 CFR part 217 would be required to report the
entirety of the FFIEC 101. See 12 CFR
252.153(e)(2)(i)(B). In contrast, a BHC that is a
subsidiary of a FBO that is subject to subpart E of
12 CFR part 217, but that has received prior written
approval from the Board to not comply with subpart
E of 12 CFR part 217, would not be required to
report the entire FFIEC 101, but generally would be
expected to complete Schedule A. See 12 CFR
252.153(e)(2)(i)(C).
13 An
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applicable, banking organizations may
provide reasonable estimates for any
new or revised items in SLR Tables 1
and 2 of FFIEC 101 Schedule A initially
required to be reported as of that date
for which the requested information is
not readily available.
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E. Summary of the Proposed FFIEC 101
SLR Data Changes
The proposed SLR items in FFIEC 101
Schedule A are divided into two tables:
(1) Summary comparison of accounting
assets and total leverage exposure (SLR
Table 1) and (2) Supplementary leverage
ratio (SLR Table 2). Proposed SLR Table
1, items 1.1 through 1.8, would collect
summary information on an institution’s
accounting assets for purposes of
reconciling balance sheet assets
reported in published financial
statements and total leverage exposure.
Proposed SLR Table 2, items 2.1
through 2.23, would collect detailed
information for the calculation of an
institution’s total leverage exposure and
the SLR, consistent with the
international leverage ratio common
disclosure template. Items 2.1 through
2.3 would collect information about an
institution’s on-balance sheet exposures.
Items 2.4 through 2.11 would collect
information about an institution’s
derivative exposures. Items 2.12 through
2.16 would collect information about an
institution’s repo-style transactions.
Items 2.17 through 2.19 would collect
information about an institution’s offbalance sheet exposures. Items 2.20
through 2.22 would collect information
about an institution’s capital, total
leverage exposure, and the SLR. Item
2.23, the enhanced SLR buffer, is an
additional line item that is not included
on the international leverage ratio
common disclosure template. This item
would apply only to an advanced
approaches BHC that is subject to the
enhanced SLR standard and would help
determine whether the BHC is subject to
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limitations on capital distributions and
discretionary bonus payments.14
In the revised draft instructions for
proposed SLR Tables 1 and 2 of FFIEC
101 Schedule A, the agencies are
clarifying the reporting treatment of
variation margin disputes in relation to
derivative transactions. In particular, if
a dispute over the correct amount of
variation margin arises between a
banking organization and a
counterparty, the banking organization
may recognize the amount of variation
margin that has been transferred as long
as the parties are acting in accordance
with agreed-upon practices to settle a
disputed trade and all other conditions
for qualifying cash variation margin are
met.
II. Reporting the Legal Entity Identifier
The LEI is a 20-digit alphanumeric
code that uniquely identifies entities
that engage in financial transactions.
The LEI system is designed to facilitate
several financial stability objectives,
including the provision of higher
quality and more accurate financial
data.
The agencies proposed to have an
advanced approaches banking
organization provide its LEI on the
cover page of the FFIEC 101 beginning
September 30, 2016, only if the
organization already has an LEI. The LEI
must be a currently issued, maintained,
and valid LEI, not an LEI that has
lapsed. An advanced approaches
banking organization that does not have
an LEI would not be required to obtain
one for purposes of reporting it on the
FFIEC 101.
III. Request for Comment
Public comment is requested on all
aspects of this joint notice. Comments
are invited on:
55263
(a) Whether the collections of
information that are the subject of this
notice are necessary for the proper
performance of the agencies’ functions,
including whether the information has
practical utility;
(b) The accuracy of the agencies’
estimates of the burden of the
information collections as they are
proposed to be revised, 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 collections on respondents,
including through the use of automated
collection techniques or other forms of
information technology; and
(e) Estimates of capital or start-up
costs and costs of operation,
maintenance, and purchase of services
to provide information.
Comments submitted in response to
this joint notice will be shared among
the agencies. All comments will become
a matter of public record.
Dated: August 11, 2016.
Stuart Feldstein,
Director, Legislative and Regulatory
Activities, Office of the Comptroller of the
Currency.
Board of Governors of the Federal Reserve
System, August 12, 2016.
Robert deV. Frierson,
Secretary of the Board.
Dated at Washington, DC, this 12th day of
August, 2016.
Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2016–19721 Filed 8–17–16; 8:45 am]
14 79
FR 24528 (May 1, 2014); 80 FR 49082
(August 14, 2015).
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Agencies
[Federal Register Volume 81, Number 160 (Thursday, August 18, 2016)]
[Notices]
[Pages 55260-55263]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-19721]
[[Page 55260]]
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
FEDERAL RESERVE SYSTEM
FEDERAL DEPOSIT INSURANCE CORPORATION
Agency Information Collection Activities: Submission for OMB
Review; Joint Comment Request
AGENCY: Office of the Comptroller of the Currency (OCC), Treasury;
Board of Governors of the Federal Reserve System (Board); and Federal
Deposit Insurance Corporation (FDIC).
ACTION: Notice of information collections to be submitted to Office of
Management and Budget (OMB) for review and approval under the Paperwork
Reduction Act of 1995 (PRA).
-----------------------------------------------------------------------
SUMMARY: In accordance with the requirements of the PRA (44 U.S.C.
chapter 35), the OCC, the Board, and the FDIC (the agencies) may not
conduct or sponsor, and the respondent is not required to respond to,
an information collection unless it displays a currently valid OMB
control number.
On April 18, 2016, the agencies, under the auspices of the Federal
Financial Institutions Examination Council (FFIEC), published a notice
in the Federal Register (81 FR 22702) to request public comment on a
proposal to extend, with revision, the Regulatory Capital Reporting for
Institutions Subject to the Advanced Capital Adequacy Framework (FFIEC
101), which is a currently approved information collection. On April
27, 2016, the agencies published a correction of the April 18 notice in
the Federal Register (81 FR 24940). The agencies proposed to collect
supplementary leverage ratio (SLR) data in new SLR Tables 1 and 2 of
FFIEC 101 Schedule A from all banking organizations subject to the
advanced approaches risk-based capital rule (generally, banking
organizations with $250 billion or more in total consolidated assets or
$10 billion or more in on-balance sheet foreign exposures) (advanced
approaches banking organizations), unless the advanced approaches
banking organization is (i) a consolidated subsidiary of a bank holding
company (BHC), savings and loan holding company (SLHC), or depository
institution that is subject to the disclosure requirements in Table 13
of section 173 of the advanced approaches risk-based capital rule
(advanced approaches rule), or (ii) a subsidiary of a non-U.S. banking
organization that is subject to comparable public disclosure
requirements in its home jurisdiction. Advanced approaches banking
organizations would begin reporting the proposed SLR data items in
FFIEC 101 Schedule A, SLR Tables 1 and 2, effective with the September
30, 2016, reporting date.
Separately, the proposed collection of SLR data in SLR Tables 1 and
2 of FFIEC 101 Schedule A would apply to any U.S. intermediate holding
companies (IHCs) formed or designated for purposes of compliance with
the Board's Regulation YY (12 CFR 252.153) that are advanced approaches
banking organizations, effective with the March 31, 2018, reporting
date (advanced approaches IHC). Any subsidiary BHC controlled by a
foreign banking organization (FBO) that was subject to the SLR
requirements prior to the formation of an IHC would complete FFIEC 101
Schedule A, SLR Tables 1 and 2, through the December 31, 2017,
reporting date.
In addition, the agencies proposed that an advanced approaches
banking organization should provide its Legal Entity Identifier (LEI)
on the cover page of the report beginning September 30, 2016, only if
the organization already has an LEI.
The comment period for this proposal expired on June 27, 2016. The
agencies did not receive any comments addressing the proposed changes
and are now submitting requests to OMB for review and approval of the
extension, with revision, of the FFIEC 101. As had been proposed, these
reporting changes would take effect as of the September 30, 2016, or
the March 31, 2018, report date, as applicable.
DATES: Comments must be submitted on or before September 19, 2016.
ADDRESSES: Interested parties are invited to submit written comments to
any or all of the agencies. All comments, which should refer to the OMB
control numbers, will be shared among the agencies.
OCC: Because paper mail in the Washington, DC area and at the OCC
is subject to delay, commenters are encouraged to submit comments by
email, if possible, to prainfo@occ.treas.gov. Alternatively, comments
may be sent to: Legislative and Regulatory Activities Division, Office
of the Comptroller of the Currency, Attention ``1557-0239, FFIEC 101,''
400 7th Street SW., Suite 3E-218, Mail Stop 9W-11, Washington, DC
20219. In addition, comments may be sent by fax to (571) 465-4326.
You may personally inspect and photocopy comments at the OCC, 400
7th Street SW., Washington, DC 20219. For security reasons, the OCC
requires that visitors make an appointment to inspect comments. You may
do so by calling (202) 649-6700 or, for persons who are deaf or hard of
hearing, TTY, (202) 649-5597. Upon arrival, visitors will be required
to present valid government-issued photo identification and submit to
security screening in order to inspect and photocopy comments.
All comments received, including attachments and other supporting
materials, are part of the public record and subject to public
disclosure. Do not include any information in your comment or
supporting materials that you consider confidential or inappropriate
for public disclosure.
Board: You may submit comments, which should refer to ``FFIEC
101,'' by any of the following methods:
Agency Web site: http://www.federalreserve.gov. Follow the
instructions for submitting comments at: http://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm.
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
Email: regs.comments@federalreserve.gov. Include reporting
form number in the subject line of the message.
FAX: (202) 452-3819 or (202) 452-3102.
Mail: Robert DeV. Frierson, 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 Web site at
www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm as submitted,
unless modified for technical reasons. Accordingly, your comments will
not be edited to remove any identifying or contact information. Public
comments may also be viewed electronically or in paper in Room MP-500
of the Board's Martin Building (20th and C Streets NW.) between 9:00
a.m. and 5:00 p.m. on weekdays.
FDIC: You may submit comments, which should refer to ``FFIEC 101,''
by any of the following methods:
Agency Web site: https://www.fdic.gov/regulations/laws/federal/. Follow the instructions for submitting comments on the FDIC
Web site.
Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments.
[[Page 55261]]
Email: comments@FDIC.gov. Include ``FFIEC 101'' in the
subject line of the message.
Mail: Manuel E. Cabeza, Counsel, Attn: Comments, Room MB-
3105, Federal Deposit Insurance Corporation, 550 17th Street NW.,
Washington, DC 20429.
Hand Delivery: Comments may be hand delivered to the guard
station at the rear of the 550 17th Street Building (located on F
Street) on business days between 7:00 a.m. and 5:00 p.m.
Public Inspection: All comments received will be posted without
change to https://www.fdic.gov/regulations/laws/federal/ including any
personal information provided. Paper copies of public comments may be
requested from the FDIC Public Information Center by telephone at (877)
275-3342 or (703) 562-2200.
Additionally, commenters may send a copy of their comments to the
OMB desk officer for the agencies by mail to the Office of Information
and Regulatory Affairs, U.S. Office of Management and Budget, New
Executive Office Building, Room 10235, 725 17th Street NW., Washington,
DC 20503; by fax to (202) 395-6974; or by email to
oira_submission@omb.eop.gov.
FOR FURTHER INFORMATION CONTACT: For further information about the
proposed revisions to the FFIEC 101 discussed in this notice, please
contact any of the agency staff whose names appear below. In addition,
copies of the FFIEC 101 form and instructions can be obtained at the
FFIEC's Web site (http://www.ffiec.gov/ffiec_report_forms.htm).
OCC: Shaquita Merritt, OCC Clearance Officer, (202) 649-5490, or
for persons who are deaf or hard of hearing, TTY, (202) 649-5597,
Legislative and Regulatory Activities Division, Office of the
Comptroller of the Currency, 400 7th Street SW., Washington, DC 20219.
Board: Nuha Elmaghrabi, Federal Reserve Board Clearance Officer,
(202) 452-3829, Office of the Chief Data Officer, Board of Governors of
the Federal Reserve System, Washington, DC 20551. Telecommunications
Device for the Deaf (TDD) users may contact (202) 263-4869.
FDIC: Manuel E. Cabeza, Counsel, (202) 898-3767, Legal Division,
Federal Deposit Insurance Corporation, 550 17th Street NW., Washington,
DC 20429.
SUPPLEMENTARY INFORMATION: The agencies are proposing to extend for
three years, with revision, the FFIEC 101, which is currently an
approved collection of information for each agency.
Report Title: Regulatory Capital Reporting for Institutions Subject
to the Advanced Capital Adequacy Framework.
Form Number: FFIEC 101.
Frequency of Response: Quarterly.
Affected Public: Business or other for-profit.
OCC
OMB Control No.: 1557-0239.
Estimated Number of Respondents: 20 national banks and federal
savings associations.
Estimated Burden per Response: 674 burden hours per quarter to
file.
Estimated Total Annual Burden: 53,920 burden hours to file.
Board
OMB Control No.: 7100-0319.
Estimated Number of Respondents: 6 state member banks; 16 bank
holding companies and savings and loan holding companies; and 6
intermediate holding companies.
Estimated Burden per Response: 674 burden hours per quarter for
state member banks to file, 677 burden hours per quarter for bank
holding companies and savings and loan holding companies to file; 3
burden hours per quarter for intermediate holding companies to file;
and 300 burden hours for intermediate holding companies' one-time
implementation.
Estimated Total Annual Burden: 16,176 burden hours for state member
banks to file; 43,328 burden hours for bank holding companies and
savings and loan holding companies to file; 72 burden hours for
intermediate holding companies to file; 1,800 burden hours for
intermediate holding companies' one-time implementation.
FDIC
OMB Control No.: 3064-0159.
Estimated Number of Respondents: 2 insured state nonmember banks
and state savings associations.
Estimated Burden per Response: 674 burden hours per quarter to
file.
Estimated Total Annual Burden: 5,392 burden hours to file.
Type of Review: Revision and extension of currently approved
collections.
General Description of Reports
Each advanced approaches banking organization is required to file
quarterly regulatory capital data on the FFIEC's Regulatory Capital
Reporting for Institutions Subject to the Advanced Capital Adequacy
Framework (FFIEC 101). The FFIEC 101 information collection is
mandatory for institutions subject to the advanced approaches risk-
based capital rule: 12 U.S.C. 161 (national banks), 12 U.S.C. 324
(state member banks), 12 U.S.C. 1844(c) (bank holding companies), 12
U.S.C. 1467a(b) (savings and loan holding companies), 12 U.S.C. 1817
(insured state nonmember commercial and savings banks), 12 U.S.C. 1464
(savings associations), and 12 U.S.C. 1844(c), 3106, and 3108
(intermediate holding companies).
Abstract
The agencies use the FFIEC 101 data submitted by advanced
approaches banking organizations to assess and monitor the levels and
components of each reporting entity's capital requirements and the
adequacy of the entity's capital under the Advanced Capital Adequacy
Framework; to evaluate the impact and competitive implications of the
Advanced Capital Adequacy Framework on individual reporting entities
and on an industry-wide basis; and to supplement on-site examination
processes. The reporting schedules also assist advanced approaches
banking organizations in understanding expectations around the system
development necessary for implementation and validation of the Advanced
Capital Adequacy Framework. Submitted data that are released publicly
will also provide other interested parties with information about
advanced approaches banking organizations' regulatory capital.
Current Actions
On April 18, 2016, the agencies requested comment on proposed
revisions to the FFIEC 101 reporting requirements (April 2016
proposal).\1\ On April 27, 2016, the agencies published a correction of
the April 18 notice.\2\ These proposed revisions included two new
tables that would be added to FFIEC 101 Schedule A to collect
information related to the agencies' SLR disclosures required in Table
13 of section 173 of the advanced approaches rule. SLR Tables 1 and 2
would replace existing items 91 through 98 of FFIEC 101 Schedule A, and
generally would be aligned with the international leverage ratio common
disclosure template that was adopted by the Basel Committee on Banking
Supervision in January 2014 (international leverage ratio common
disclosure template).\3\ In addition, the agencies proposed that an
advanced approaches banking organization should provide its LEI on the
cover page of the
[[Page 55262]]
report only if the organization already has an LEI.
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\1\ 81 FR 22702 (April 18, 2016).
\2\ 81 FR 24940 (April 27, 2016).
\3\ See Basel Committee on Banking Supervision, Basel III
leverage ratio framework and disclosure requirements; pages 11-12;
available at http://www.bis.org/publ/bcbs270.pdf.
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The comment period for the proposal ended on June 27, 2016. The
agencies did not receive any comments addressing the proposed changes
and are now submitting requests to OMB for review and approval of the
extension, with revision, of the FFIEC 101. The proposed reporting of
SLR Tables 1 and 2 of Schedule A would take effect as of the September
30, 2016, report date for top-tier advanced approaches BHCs, SLHCs, and
insured depository institutions, or the March 31, 2018, report date for
advanced approaches IHCs. Any subsidiary BHC controlled by an FBO that
was subject to the SLR requirements prior to the formation of an IHC
would complete report SLR Tables 1 and 2 of Schedule A, through the
December 31, 2017, report date. Additionally, the proposed reporting of
the LEI would take effect as of the September 30, 2016, report date.
I. Proposed SLR Changes
A. Introduction
In the April 2016 proposal, the agencies proposed to add two new
tables to FFIEC 101 Schedule A to collect information related to the
SLR disclosures required in Table 13 of section 173 of the advanced
approaches rule.\4\ Proposed SLR Tables 1 and 2, which would replace
existing items 91 through 98 of FFIEC 101 Schedule A,\5\ would be
aligned with the international leverage ratio common disclosure
template, with some minor changes to the titles of the line items and
clarifications in the instructions, consistent with the revisions to
the SLR in the regulatory capital rule (SLR rule) \6\ and the
accounting terminology of U.S. generally accepted accounting
principles. The proposal generally would incorporate the complete
international leverage ratio common disclosure template into Schedule A
to ensure transparency and comparability of reporting of regulatory
capital elements across internationally active banking organizations.
The proposed revised Schedule A also would include an additional item
applicable to certain advanced approaches BHCs only, which would
collect data on an advanced approaches BHC's enhanced SLR buffer, if
applicable.
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\4\ See 12 CFR 3.173 (OCC); 12 CFR 217.173 (Board); and 12 CFR
324.173 (FDIC).
\5\ Although items 91 through 98 are included on the FFIEC 101
report form, these items are currently shaded out and not collected.
\6\ See 12 CFR 3.10(c)(4) (OCC) for national banks and Federal
savings associations; 12 CFR 217.10(c)(4) (Board) for BHCs, SLHCs,
and state member banks; 12 CFR 324.10(c)(4) (FDIC, for state
nonmember banks and state savings associations), all as amended by
79 FR 57725 (Sept. 26, 2014).
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B. Scope, Timing, and Frequency of Proposed Reporting Changes
The proposed revisions to the FFIEC 101 would apply only to an
advanced approaches banking organization as described in section
173(a)(2) of the advanced approaches rule effective with the September
30, 2016, report date.\7\ Generally, the SLR disclosures apply to an
advanced approaches institution, unless it is (1) a consolidated
subsidiary of a BHC, SLHC, or depository institution that is subject to
these disclosure requirements; or (2) a subsidiary of a non-U.S.
banking organization that is subject to comparable public disclosure
requirements in its home jurisdiction. Completing the proposed FFIEC
101 items for the SLR for a given period would satisfy an advanced
approaches banking organization's requirement to disclose Table 13 for
that period.
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\7\ A top-tier advanced approaches banking organization would be
required to complete SLR Tables 1 and 2 of FFIEC 101 Schedule A,
regardless of parallel run status. Any advanced approaches banking
organization that is a consolidated subsidiary of a top-tier
advanced approaches BHC, SLHC, or insured depository institution
would not complete SLR Tables 1 and 2.
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Separately, each advanced approaches banking organization,
regardless of its parallel run status, is required to disclose its SLR,
and the numerator and denominator of its SLR, under section 172(d) of
the advanced approaches rule.\8\ This is a separate disclosure
requirement, which the agencies have proposed to implement for banks
and savings associations that are advanced approaches banking
organizations through a revision to Schedule RC-R, Part I, Regulatory
Capital Components and Ratios, of the Consolidated Reports of Condition
and Income (Call Report) (FFIEC 031 and 041) \9\ reporting forms using
the standard PRA notice and comment process.\10\
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\8\ See 12 CFR 3.172(d) (OCC); 12 CFR 217.172(d) (Board); and 12
CFR 324.172(d) (FDIC).
\9\ OMB Numbers: OCC, 1557-0081; Board, 7100-0036; and FDIC,
3064-0052.
\10\ See 80 FR 56539 (September 18, 2015) and 81 FR 45357 (July
13, 2016).
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An IHC formed or designated for purposes of compliance with the
Board's Regulation YY (12 CFR 252.153) is required to meet all
applicable capital adequacy standards set forth in the Board's
Regulation Q, except for subpart E.\11\ An IHC that meets the
definition of an advanced approaches banking organization under the
Board's Regulation Q (12 CFR 217.100) would begin reporting the
proposed SLR data items in the FFIEC 101 effective with the March 31,
2018, report date, and would begin calculating these proposed items
starting January 1, 2018. This reporting requirement is consistent with
Regulation YY, which subjects advanced approaches IHCs to the SLR
beginning on January 1, 2018.\12\ Such an IHC would not be required to
complete the rest of the FFIEC 101 because Regulation YY requires an
IHC to calculate its risk-based capital requirements using only the
standardized approach, and not the advanced approaches rule, even if it
meets the advanced approaches applicability threshold.\13\ Further, any
subsidiary BHC that is controlled by an FBO that was subject to the SLR
disclosures prior to the formation of an IHC would complete FFIEC 101
Schedule A, SLR Tables 1 and 2, through the December 31, 2017, report
date.
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\11\ See 12 CFR 252.153(e)(2)(i)(A).
\12\ See Id.
\13\ An IHC that chooses to comply with subpart E of 12 CFR part
217 would be required to report the entirety of the FFIEC 101. See
12 CFR 252.153(e)(2)(i)(B). In contrast, a BHC that is a subsidiary
of a FBO that is subject to subpart E of 12 CFR part 217, but that
has received prior written approval from the Board to not comply
with subpart E of 12 CFR part 217, would not be required to report
the entire FFIEC 101, but generally would be expected to complete
Schedule A. See 12 CFR 252.153(e)(2)(i)(C).
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Depository institutions that are exempt from filing the FFIEC 101,
but remain subject to the SLR, would not need to begin filing the FFIEC
101. Instead, these institutions would report their SLR, and the
numerator and denominator of their SLR, under the proposed Call Report
revisions discussed above.
The agencies proposed to collect the SLR information in SLR Tables
1 and 2 of FFIEC 101 Schedule A quarterly. Each reporting entity would
continue to submit the applicable quarterly reports on the same due
dates as are currently in effect for the reporting entity for as long
as it remains subject to the requirements of section 173(a)(2) of the
advanced approaches rule.
C. Confidentiality
To ensure transparency of regulatory capital data reported by
internationally active banking organizations, the agencies proposed to
make public the SLR information collected in proposed SLR Tables 1 and
2 of FFIEC 101 Schedule A, regardless of an advanced approaches banking
organization's parallel run status.
D. Initial Reporting
For the September 30, 2016, and March 31, 2018, initial report
dates, as
[[Page 55263]]
applicable, banking organizations may provide reasonable estimates for
any new or revised items in SLR Tables 1 and 2 of FFIEC 101 Schedule A
initially required to be reported as of that date for which the
requested information is not readily available.
E. Summary of the Proposed FFIEC 101 SLR Data Changes
The proposed SLR items in FFIEC 101 Schedule A are divided into two
tables: (1) Summary comparison of accounting assets and total leverage
exposure (SLR Table 1) and (2) Supplementary leverage ratio (SLR Table
2). Proposed SLR Table 1, items 1.1 through 1.8, would collect summary
information on an institution's accounting assets for purposes of
reconciling balance sheet assets reported in published financial
statements and total leverage exposure.
Proposed SLR Table 2, items 2.1 through 2.23, would collect
detailed information for the calculation of an institution's total
leverage exposure and the SLR, consistent with the international
leverage ratio common disclosure template. Items 2.1 through 2.3 would
collect information about an institution's on-balance sheet exposures.
Items 2.4 through 2.11 would collect information about an institution's
derivative exposures. Items 2.12 through 2.16 would collect information
about an institution's repo-style transactions. Items 2.17 through 2.19
would collect information about an institution's off-balance sheet
exposures. Items 2.20 through 2.22 would collect information about an
institution's capital, total leverage exposure, and the SLR. Item 2.23,
the enhanced SLR buffer, is an additional line item that is not
included on the international leverage ratio common disclosure
template. This item would apply only to an advanced approaches BHC that
is subject to the enhanced SLR standard and would help determine
whether the BHC is subject to limitations on capital distributions and
discretionary bonus payments.\14\
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\14\ 79 FR 24528 (May 1, 2014); 80 FR 49082 (August 14, 2015).
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In the revised draft instructions for proposed SLR Tables 1 and 2
of FFIEC 101 Schedule A, the agencies are clarifying the reporting
treatment of variation margin disputes in relation to derivative
transactions. In particular, if a dispute over the correct amount of
variation margin arises between a banking organization and a
counterparty, the banking organization may recognize the amount of
variation margin that has been transferred as long as the parties are
acting in accordance with agreed-upon practices to settle a disputed
trade and all other conditions for qualifying cash variation margin are
met.
II. Reporting the Legal Entity Identifier
The LEI is a 20-digit alphanumeric code that uniquely identifies
entities that engage in financial transactions. The LEI system is
designed to facilitate several financial stability objectives,
including the provision of higher quality and more accurate financial
data.
The agencies proposed to have an advanced approaches banking
organization provide its LEI on the cover page of the FFIEC 101
beginning September 30, 2016, only if the organization already has an
LEI. The LEI must be a currently issued, maintained, and valid LEI, not
an LEI that has lapsed. An advanced approaches banking organization
that does not have an LEI would not be required to obtain one for
purposes of reporting it on the FFIEC 101.
III. Request for Comment
Public comment is requested on all aspects of this joint notice.
Comments are invited on:
(a) Whether the collections of information that are the subject of
this notice are necessary for the proper performance of the agencies'
functions, including whether the information has practical utility;
(b) The accuracy of the agencies' estimates of the burden of the
information collections as they are proposed to be revised, 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 collections on
respondents, including through the use of automated collection
techniques or other forms of information technology; and
(e) Estimates of capital or start-up costs and costs of operation,
maintenance, and purchase of services to provide information.
Comments submitted in response to this joint notice will be shared
among the agencies. All comments will become a matter of public record.
Dated: August 11, 2016.
Stuart Feldstein,
Director, Legislative and Regulatory Activities, Office of the
Comptroller of the Currency.
Board of Governors of the Federal Reserve System, August 12,
2016.
Robert deV. Frierson,
Secretary of the Board.
Dated at Washington, DC, this 12th day of August, 2016.
Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2016-19721 Filed 8-17-16; 8:45 am]
BILLING CODE 4810-33-6210-01-6714-01-P