Agency Information Collection Activities: Announcement of Board Approval Under Delegated Authority and Submission to OMB, 17426-17427 [2017-07247]

Agencies

• FEDERAL RESERVE SYSTEM

[Federal Register Volume 82, Number 68 (Tuesday, April 11, 2017)]
[Notices]
[Pages 17426-17427]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-07247]


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FEDERAL RESERVE SYSTEM


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

AGENCY: Board of Governors of the Federal Reserve System.

SUMMARY: Notice is hereby given of the final approval of a proposed 
information collection by the Board of Governors of the Federal Reserve 
System (Board) under OMB delegated authority. Board-approved 
collections of information are incorporated into the official OMB 
inventory of currently approved collections of information. Copies of 
the Paperwork Reduction Act Submission, supporting statements and 
approved collection of information instrument(s) are placed into OMB's 
public docket files. The Federal Reserve may not conduct or sponsor, 
and the respondent is not required to respond to, an information 
collection that has been extended, revised, or implemented on or after 
October 1, 1995, unless it displays a currently valid OMB control 
number.

FOR FURTHER INFORMATION CONTACT: Federal Reserve Board Clearance 
Officer --Nuha Elmaghrabi--Office of the Chief Data Officer, Board of 
Governors of the Federal Reserve System, Washington, DC 20551, (202) 
452-3829. Telecommunications Device for the Deaf (TDD) users may 
contact (202) 263-4869, Board of Governors of the Federal Reserve 
System, Washington, DC 20551. OMB Desk Officer--Shagufta Ahmed --Office 
of Information and Regulatory Affairs, Office of Management and Budget, 
New Executive Office Building, Room 10235, 725 17th Street 
NW.,Washington, DC 20503.

SUPPLEMENTARY INFORMATION: Final approval under OMB delegated authority 
of the extension for three years, without revision, of the following 
report:
    Report title: Registration of Mortgage Loan Originators.
    Agency form number: CFPB Reg G.
    OMB control number: 7100-0328.
    Frequency: Annually.
    Respondents: Employees of state member banks, certain subsidiaries 
of state member banks, branches and agencies of foreign banks that are 
regulated by the Federal Reserve, and commercial lending companies of 
foreign banks who act as residential mortgage loan originators (MLOs).
    Estimated number of respondents: MLOs (new): Initial set up and 
disclosure, 173 respondents; MLOs (existing): Maintenance and 
disclosure, 21,656 respondents; MLOs (existing): Updates for changes, 
10,828 respondents; and Depository Institutions, and subsidiaries, 741 
respondents.
    Estimated average hours per response: MLOs (new): Initial set up 
and disclosure, 3.5 hours; MLOs (existing): Maintenance and disclosure, 
0.85 hours; MLOs (existing): Updates for changes, 0.25 hours; and 
Depository Institutions, and subsidiaries, 118 hours.
    Estimated annual burden hours: MLOs (new): Initial set up and 
disclosure, 606 hours; MLOs (existing): Maintenance and disclosure, 
18,408 hours; MLOs (existing): Updates for changes, 2,707 hours; and 
Depository Institutions, and subsidiaries, 87,438 hours.
    General Description of Report: In accordance with the Secure and 
Fair Enforcement for Mortgage Licensing Act (S.A.F.E. Act), the 
Consumer Financial Protection Bureau's (CFPB) Regulation G requires 
residential mortgage loan originators (MLOs) to register with the 
Nationwide Mortgage Licensing System and Registry (the Registry), 
obtain a unique identifier, maintain this registration, and disclose to 
consumers upon request and through the Registry their unique identifier 
and the MLO's employment history and publicly adjudicated disciplinary 
and enforcement actions. The CFPB's regulation also requires the 
institutions employing these MLOs to adopt and follow written policies 
and procedures to ensure their employees comply with these requirements 
and to conduct annual independent compliance tests to assure 
compliance. The CFPB's rule applies to a broad range of financial 
institutions and their employees, including Board-supervised 
institutions/employees, such as state member banks and their non-
functionally-regulated subsidiaries, state uninsured branches and 
agencies of

[[Page 17427]]

foreign banks, and commercial lending companies owned or controlled by 
foreign banks.
    Legal authorization and confidentiality: The Board's Legal Division 
has determined that Section 1507 of the S.A.F.E. Act, 12 U.S.C. 5106, 
requires that the CFPB develop and maintain a system for registering 
individual MLOs of covered financial institutions regulated by a 
federal banking agency with the Nationwide Mortgage Licensing System 
and Registry. Section 1504 of the S.A.F.E. Act, (12 U.S.C. 5103), 
requires that an individual desiring to engage in the business of a 
loan originator maintain an annual federal registration (or be licensed 
by an equivalent state regulatory scheme) and appear on the Registry 
with a unique identifier. Section 1007.103 of the CFPB's Regulation G 
implements this registration scheme; Section 1007.104 requires the 
adoption of appropriate policies and procedures by covered financial 
institutions; and Section 1007.105 requires that covered financial 
institutions provide the unique identifiers of MLOs to consumers. (12 
CFR 1007.103-.105). Under Section 1061 of the Dodd-Frank Act, (12 
U.S.C. 5581(copyright)), ``a transferor agency [such as the Board] that 
is a prudential regulator shall have . . . ``authority to require 
reports from . . . conduct examinations for . . . and enforce 
compliance with Federal consumer financial laws'' with respect to the 
Board-supervised entities enumerated above. Therefore, the Board is 
authorized to collect this information with respect to the institutions 
we supervise for this purpose. This information collection is 
mandatory.
    As noted above, the unique identifier of MLOs must be made public 
and is not considered confidential. In addition, most of the 
information that MLOs submit in order to register with the Nationwide 
Mortgage Licensing System and Registry will be publicly available. 
However, certain identifying data about individuals who act as MLOs are 
entitled to confidential treatment under (b)(6) of the Freedom of 
Information Act (FOIA), which protects from disclosure information that 
``would constitute a clearly unwarranted invasion of personal 
privacy.'' (5 U.S.C. 552(b)(6)).
    With respect to the information collection requirements imposed on 
depository institutions, because the requirements require that 
depository institutions retain their own records and make certain 
disclosures to customers, the FOIA would only be implicated if the 
Board's examiners obtained a copy of these records as part of the 
examination or supervision process of a financial institution. However, 
records obtained in this manner are exempt from disclosure under FOIA 
exemption (b)(8), regarding examination-related materials. (5 U.S.C. 
552(b)(8)).
    Current Actions: On January 10, 2017 the Federal Reserve published 
a notice in the Federal Register (82 FR 2995) requesting public comment 
for 60 days on the extension, without revision, of the Registration of 
Mortgage Loan Originators. The comment period for this notice expired 
on March 13, 2017. The Federal Reserve did not receive any comments.

    Board of Governors of the Federal Reserve System, April 6, 2017.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2017-07247 Filed 4-10-17; 8:45 am]
 BILLING CODE 6210-01-P