Agency Information Collection Activities; Announcement of Board Approval Under Delegated Authority and Submission to OMB, 12395-12397 [2018-05666]
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Federal Register / Vol. 83, No. 55 / Wednesday, March 21, 2018 / Notices
the accuracy of the estimates of the
burden of the information collections,
including the validity of the
methodology and assumptions used; (c)
ways to enhance the quality, utility, and
clarity of the information to be
collected; and (d) ways to minimize the
burden of the collections of information
on respondents, including through the
use of automated collection techniques
or other forms of information
technology. All comments will become
a matter of public record.
Dated at Washington, DC, on March 16,
2018.
Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2018–05711 Filed 3–20–18; 8:45 am]
BILLING CODE 6714–01–P
FEDERAL RESERVE SYSTEM
Agency Information Collection
Activities; Announcement of Board
Approval Under Delegated Authority
and Submission to OMB
Board of Governors of the
Federal Reserve System.
SUMMARY: The Board of Governors of the
Federal Reserve System (Board) is
adopting a proposal to extend for three
years, with revision, the mandatory
Financial Statements for Holding
Companies (FR Y–9) (OMB No. 7100–
0128).
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 or by fax to (202) 395–6974.
SUPPLEMENTARY INFORMATION: On June
15, 1984, the Office of Management and
Budget (OMB) delegated to the Board
authority under the Paperwork
Reduction Act (PRA) to approve of and
assign OMB control numbers to
collection of information requests and
requirements conducted or sponsored
by the Board. Board-approved
collections of information are
incorporated into the official OMB
inventory of currently approved
collections of information. Copies of the
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AGENCY:
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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.
Final Approval Under OMB Delegated
Authority of the Extension for Three
Years, With Revision, of the Following
Report
Report title: Consolidated Financial
Statements for Holding Companies,
Parent Company Only Financial
Statements for Large Holding
Companies, Parent Company Only
Financial Statements for Small Holding
Companies, Financial Statement for
Employee Stock Ownership Plan
Holding Companies, and the
Supplement to the Consolidated
Financial Statements for Holding
Companies.
Agency form number: FR Y–9C, FR Y–
9LP, FR Y–9SP, FR Y–9ES, and FR Y–
9CS.
OMB control number: 7100–0128.
Frequency: Quarterly and
semiannually.
Reporters: Bank holding companies
(BHCs), savings and loan holding
companies, securities holding
companies, and U.S. Intermediate
Holding Companies (IHCs) (collectively,
holding companies (HCs)).
Estimated annual reporting hours: FR
Y–9C (non-advanced approaches
holding companies): 119,094 hours; FR
Y–9C (advanced approached holding
companies): 3,482 hours; FR Y–9LP:
16,442 hours; FR Y–9SP: 42,001; FR Y–
9ES: 40 hours; FR Y–9CS: 472 hours.
Estimated average hours per response:
FR Y–9C (non-advanced approaches
holding companies): 47.11 hours; FR Y–
9C (advanced approached holding
companies HCs): 48.36 hours; FR Y–
9LP: 5.27 hours; FR Y–9SP: 5.40 hours;
FR Y–9ES: 0.50 hours; FR Y–9CS: 0.50
hours.
Number of respondents: FR Y–9C
(non-advanced approaches holding
companies): 632; FR Y–9C (advanced
approached holding companies): 18; FR
Y–9LP: 780; FR Y–9SP: 3,889; FR Y–
9ES: 80; FR Y–9CS: 236.
General description of report:
Pursuant to the Bank Holding Company
Act of 1956 (BHC Act), as amended, and
the Home Owners’ Loan Act (HOLA),
the Federal Reserve requires HCs to
provide standardized financial
statements to fulfill the Federal
Reserve’s statutory obligation to
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12395
supervise these organizations. HCs file
the FRY–9C and FR Y–9LP quarterly,
and the FR Y–9SP semiannually, the FR
Y–9ES annually, and the FR Y–9CS on
a schedule that is determined when this
supplement is used.
Proposed revisions: The Board is
implementing a number of revisions to
the FR Y–9C requirements, most of
which are consistent with the recent
changes to the Federal Financial
Institutions Examination Council
(FFIEC) Consolidated Reports of
Condition and Income (Call Reports)
(FFIEC 031, FFIEC 041, and FFIEC 051;
OMB No. 7100–0036). The revisions to
the FR Y–9C include deletions,
consolidations of existing data items
into new data items, reductions in
reporting frequency, and new and
revised reporting thresholds for certain
data items. The Board is also making
changes to the reporting forms and
instructions for the FR Y–9C, FR Y–9LP,
and FR Y–9SP to implement accounting
changes pertaining to equity securities
under Accounting Standards update
(ASU No. 2016–01, ‘‘Recognition and
Measurement of Financial Assets and
Financial Liabilities.’’). The accounting
changes pertaining to equity securities
would be effective beginning with the
reports reflecting the March 31, 2018,
report date and June 30, 2018 for all
other changes. The changes include:
• Deleting and combining of certain
data items pertaining to (1) Goodwill
and Other intangible assets from
Schedule HC, Balance Sheet; (2) U.S.
Government agency obligations and
structured financial products from
Schedule HC–B, Securities; (3)
Structured financial products and
certain loans and the unpaid principal
balance of such loans on Schedule HC–
D, Trading Assets; (4) Certain over-the
counter derivatives on Schedule HC–L,
Derivatives and Off-Balance sheet items,
and (5) Purchased credit card
relationships and nonmortgage servicing
assets from Schedule HC–M,
Memoranda;
• Deleting two preprinted captions
for other noninterest income on
Schedule HI, Income Statement and
certain data items on Schedule HC–D,
Trading Assets and Liabilities;
• Deleting Column B (Domestic
Office) from Schedule HC–D, Trading
Assets and Liabilities;
• Reducing the reporting frequency
from quarterly to semiannual and from
quarterly to annual for certain data
items on the FR Y–9C report;
• Increasing and adding reporting
thresholds for certain data items in four
FR Y–9C schedules;
• Revising the reporting forms and
instructions to implement the reporting
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of equity securities under ASU–2016–
0;1 and
• Moving the reporting of ‘‘Goodwill’’
from Schedule HC to Schedule HC–M,
Memoranda.
Effective Date: March 31, 2018, for
accounting changes pertaining to equity
securities; June 30, 2018, for all other
changes.
Legal authorization and
confidentiality: The FR Y–9 family of
reports is authorized by section 5(c) of
the BHC Act (12 U.S.C. 1844(c)), section
10 of HOLA (12 U.S.C. 1467a(b)),
sections 165 and 618 of the Dodd-Frank
Wall Street Reform and Consumer
Protection Act (12 U.S.C. 1850a(c)(1)
and 5365), and section 252.153(b)(2) of
Regulation YY (12 CFR 252.153(b)(2)).
These reports are mandatory. In general,
the Board does not consider the
financial data in these reports to be
confidential. However, a respondent
may request confidential treatment
pursuant to sections (b)(4), (b)(6), and
(b)(8) of the Freedom of Information Act
(5 U.S.C. 552(b)(4), (b)(6), and (b)(8)).
The applicability of these exemptions
will be reviewed on a case-by-case basis.
Effective Date: March 31, 2018 and
June 30, 2018.
Current Actions: On January 2, 2018,
the Board published a notice in the
Federal Register (83 FR 123) requesting
public comment for 60 days on the
proposal to extend with revision the FR
Y–9 family of reports. The comment
period expired on March 5, 2018. The
Board received one comment from a
banking association. A detailed
discussion of the responses to comment
is provided below. The Board has
approved, pursuant to authority
delegated by the OMB, the collections of
information as proposed and amended
(as discussed below). The Final
proposal is unchanged from the version
that went out for public comment,
except for the addition of the
instructional clarification discussed
below.
Detailed Discussion of Public
Comment: While supporting the Federal
Reserve’s efforts to align the FR Y–9
series with the Call Report, a banking
association recommended that revisions
to the FR Y–9 reports occur only once
a year, that those revisions become
effective on March 31, and that the
finalization of revisions occur prior to
September 30 of the previous year in
order to allow HCs sufficient time to
implement the revisions.
In the past, the Board typically has
followed a schedule of making revisions
only once per year, generally starting in
the March 31 report. However, the
proposal is part of a three-phase process
occurring over the course of the last year
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to align the FR Y–9 series with the
three-phase process for the Call Reports.
As a result, certain revisions to the FR
Y–9 reports made through the current
process have or will become effective
with reports reflecting dates other than
March 31. The Board will strive to
return to an annual schedule for future
revisions, with revisions becoming
effective for the March 31 report, unless
the revisions must be implemented at a
different time due to changes in law,
regulation, or accounting standards.
With respect to the time HCs are given
to implement revisions to the FR Y–9C
reports, the Board notes, however, that
it is important to have such changes
become on the same timeline as changes
to the Call Reports, to prevent
inconsistencies between the FR Y–9C
reports and the Call Reports. In the
future, the Board will strive to provide
more lead time for firms to implement
revisions to the FR Y–9 reports while
also ensuring alignment with the Call
Report.
Additionally, the commenter urged
the Board to conduct a comprehensive
review of all reports that it requires
banks and their affiliates to file,
including the identification and removal
of obsolete, overlapping, or unnecessary
line items and a review of the threshold
indicators (such as size and complexity)
that institutions must meet before they
are required to provide data on various
products and activities.
In lieu of conducting a comprehensive
review of all reports simultaneously, the
Board performs a thorough review of
each regulatory report at least every
three years as part of the Paperwork
Reduction Act (PRA) review process.
The PRA review process led to burdenreducing changes recently, for example,
when the Board terminated the FR
2052b, and the Board recently proposed
burden-reducing changes, for example,
for the FR Y–8.1 Also, in 2015, the
Board raised the asset threshold of its
Small Bank Holding Company Policy
Statement, which allows qualifying
holding companies to operate with
higher levels of debt than would
normally be permitted, from $500
million to $1 billion. The Board also
raised the threshold for reporting the FR
Y–9C from $500 million to $1 billion. In
March 2017, the Board, together with
the Federal Deposit Insurance
Corporation and the Office of the
Comptroller of the Currency (together,
the ‘‘Agencies’’), issued a report
pursuant to the Economic Growth and
1 The Liquidity Monitoring Report (FR 2052b)
(OMB No. 7100–0361) and the Bank Holding
Company Report of Insured Depository Institutions’
Section 23A Transactions with Affiliates (FR Y–8)
(OMB No. 7100–0126).
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Regulatory Paperwork Reduction Act of
1996 (‘‘EGRPRA’’), which also included
several initiatives to reduce burden.
Because the Board’s current process
frequently leads to the types of changes
that the commenter suggested could
result from a comprehensive review, the
Board will not be adopting the approach
advocated by the commenter.
The commenter recommended that
the Board establish an industry task
force or advisory committee to help
identify outdated or overlapping data
items in Federal Reserve reports and
identify burdens associated with these
reports. In response to this comment,
the Board plans to continue to offer
outreach in connection with significant
revisions to the FR Y–9C reports.
Additionally, the Board frequently
responds to questions from individual
institutions regarding the requirements
of the FR Y–9C reports and often
addresses issues that could affect
multiple institutions through quarterly
correspondence to affected institutions.
As required under the PRA, the Federal
Reserve also offers an opportunity for
the public to comment on proposed
changes to the FR Y–9C report or to
make any additional suggestions for
improving, streamlining, or clarifying
the FR Y–9C report. As a result, the
Board will not establish an industry task
force or advisory committee as
advocated by the commenter.
The commenter further noted that two
recent or pending amendments to U.S.
Generally Accepted Accounting
Practices (GAAP) would create
inconsistencies between the
requirements of the FR Y–9C family of
reports and GAAP. These proposals
concern accounting for leases (ASU
2016–02) and pensions (ASU 2017–07).2
The Board will consult with the Federal
Deposit Insurance Corporation (‘‘FDIC’’)
and the Office of the Comptroller of the
2 The commenter noted that in the 12/31/2017 FR
Y–9C Supplemental Instructions, institutions were
instructed to report the (right-to-use) ROU asset
under the new lease accounting standard in
Schedule HC, item 6, Premises and fixed assets, and
the related lease liability in Schedule HC–M, item
14, Other borrowed money. The commenter stated
that this reporting is inconsistent with GAAP and
that the new accounting standard, operating lease
ROU assets and operating lease liabilities should
generally not be reported in the same line as finance
lease assets and liabilities because this creates a
seemingly unnecessary conflict between regulatory
reporting and U.S. GAAP reporting. Additionally,
the commenter noted that guidance pertaining to
the accounting for pension expenses (ASU 2017–07)
that became effective January 1, 2018 were not
included in the FR Y–9C December 31, 2017
Supplemental instructions and that the current
instructions on the FR Y–9C and the Call Report
need to be updated to incorporate the new
accounting changes.
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Currency regarding these accounting
changes.
The commenter noted that the
proposal to add a reporting threshold of
$10 billion or more in total trading
assets on Schedule HC–D, memorandum
items 2 through 10, and the proposal to
add a reporting threshold of $10 million
or more in total trading assets in any of
the four preceding calendar quarters on
Schedule HC–K, line item 4, should be
updated to add language for meeting the
FDIC’s definition of a large or highly
complex institution,3 similar to a Call
Report change that is effective, June 30,
2018. In response, the Board will not
require institutions that meet the FDIC’s
definition of a large or highly complex
institution that is used for deposit
insurance assessment purposes to report
these items because these data are not
needed at the holding company level;
however, the Board will allow these
institutions to provide the data on a
voluntary basis if it is easier to be
consistent with their Call Report filings.
Additionally, the commenter asked for
clarification on whether the proposed
$10 billion threshold on Schedule HC–
D, memorandum items 2 through 10, is
based on the prior four quarters or a
point in time. In response, the report
form has been revised to indicate that
this reporting threshold is based on
trading assets as of the end of each
quarter.
The commenter noted several
inconsistences on the FR Y–9C
instructions when compared to the Call
Report pertaining to the implementation
of equity securities and various other
line item discrepancies. The Call Report
instructions were updated after the
publication of the FR Y–9 proposal. The
Board agrees with these changes and has
revised the FR Y–9C family of forms so
that they align all applicable line items
to the Call Report. Additional editorial
updates to the report form and
instructions have been made to address
the comments pertaining to the FR Y–
9LP report.
The revisions will be implemented, as
proposed, with the changes in response
to the comment noted above.
Modifications for all changes would be
effective for reports reflecting the June
30, 2018, report date, except that the
modifications for equity securities
would be effective for reports reflecting
the March 31, 2018, report date.
3 Schedule RC–O, Memoranda item 6 of the Call
Report instructions has detailed information on the
FDIC’s definition of a large or highly complex
institution.
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Board of Governors of the Federal Reserve
System, March 15, 2018.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2018–05666 Filed 3–20–18; 8:45 am]
BILLING CODE 6210–01–P
12397
‘‘Medicare Program; Public Meetings in
Calendar Year 2018 for All New Public
Requests for Revisions to the Healthcare
Common Procedure Coding System
(HCPCS) Coding and Payment
Determinations.’’
FOR FURTHER INFORMATION CONTACT:
FEDERAL RETIREMENT THRIFT
INVESTMENT BOARD
Judi
Wallace, (410) 786–3197 or
JudiWallace@cms.hhs.gov.
SUPPLEMENTARY INFORMATION:
Member Meeting Agenda
I. Background
77 K Street NE, 10th Floor,
Washington, DC 20002, March 26, 2018,
In Person, 8:30 a.m.
In FR Doc. 2018–04105 of February
28, 2018 (83 FR 8676), the notice
entitled ‘‘Medicare Program; Public
Meetings in Calendar Year 2018 for All
New Public Requests for Revisions to
the Healthcare Common Procedure
Coding System (HCPCS) Coding and
Payment Determinations’’ (hereinafter
referred to as the CY 2018 HCPCS
Public Meeting Notice), there were two
technical errors in the DATES section
that are identified and corrected in the
Correction of Errors section below.
Open Session
1. Approval of the minutes for the
February 26, 2018 Board Meeting
2. Monthly Reports
a) Participant Activity
b) Investment Performance
c) Legislative
3. Vendor Financials
4. Office of External Affairs Annual
Report
5. Office of Investments Annual Report
6. FEVS Update
7. IT Update
8. Blended Retirement Update
Closed Session
Information covered under 5 U.S.C.
552b (c)(4) and (c)(9)(B).
CONTACT PERSON FOR MORE INFORMATION:
Kimberly Weaver, Director, Office of
External Affairs, (202) 942–1640.
Dated: March 15, 2018.
Dharmesh Vashee,
Deputy General Counsel, Federal Retirement
Thrift Investment Board.
[FR Doc. 2018–05632 Filed 3–20–18; 8:45 am]
BILLING CODE P
DEPARTMENT OF HEALTH AND
HUMAN SERVICES
Centers for Medicare & Medicaid
Services
[CMS–1683–CN]
Medicare Program; Public Meetings in
Calendar Year 2018 for All New Public
Requests for Revisions to the
Healthcare Common Procedure Coding
System (HCPCS) Coding and Payment
Determinations; Correction
Centers for Medicare &
Medicaid Services (CMS), HHS.
ACTION: Notice; correction.
AGENCY:
This document corrects
technical errors in the DATES section of
the notice that appeared in the Federal
Register on February 28, 2018 entitled
SUMMARY:
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II. Summary of Errors
In the DATES section of the CY 2018
HCPCS Public Meeting Notice, we
inadvertently used the incorrect dates
for the June meetings listed under
‘‘Meeting dates’’.
III. Correction of Errors
In FR Doc. 2018–04105 of February
28, 2018 (83 FR 8676), make the
following corrections:
1. On page 8676, in the third column;
in the DATES section, under ‘‘Meeting
Dates’’, items 5 and 6, the sentences, ‘‘5.
Tuesday, June 1, 2018, 9 a.m. to 5 p.m.,
e.d.t. (Durable Medical Equipment
(DME), and Accessories, Orthotics and
Prosthetics (O&P), Supplies and Other).
6. Wednesday, June 2, 2018, 9 a.m. to
5 p.m., (e.d.t.) (Durable Medical
Equipment (DME), and Accessories,
Orthotics and Prosthetics (O&P),
Supplies and Other).’’ are corrected to
read as follows:
‘‘5. Tuesday, June 5, 2018, 9 a.m. to
5 p.m., e.d.t. (Durable Medical
Equipment (DME), and Accessories,
Orthotics and Prosthetics (O&P),
Supplies and Other).
6. Wednesday, June 6, 2018, 9 a.m. to
5 p.m., (e.d.t.) (Durable Medical
Equipment (DME), and Accessories,
Orthotics and Prosthetics (O&P),
Supplies and Other).’’
Dated: March 15, 2018.
Ann C. Agnew,
Executive Secretary to the Department,
Department of Health and Human Services.
[FR Doc. 2018–05751 Filed 3–20–18; 8:45 am]
BILLING CODE 4120–01–P
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Agencies
[Federal Register Volume 83, Number 55 (Wednesday, March 21, 2018)]
[Notices]
[Pages 12395-12397]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-05666]
=======================================================================
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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: The Board of Governors of the Federal Reserve System (Board)
is adopting a proposal to extend for three years, with revision, the
mandatory Financial Statements for Holding Companies (FR Y-9) (OMB No.
7100-0128).
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 or by fax to (202) 395-6974.
SUPPLEMENTARY INFORMATION: On June 15, 1984, the Office of Management
and Budget (OMB) delegated to the Board authority under the Paperwork
Reduction Act (PRA) to approve of and assign OMB control numbers to
collection of information requests and requirements conducted or
sponsored by the Board. 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.
Final Approval Under OMB Delegated Authority of the Extension for Three
Years, With Revision, of the Following Report
Report title: Consolidated Financial Statements for Holding
Companies, Parent Company Only Financial Statements for Large Holding
Companies, Parent Company Only Financial Statements for Small Holding
Companies, Financial Statement for Employee Stock Ownership Plan
Holding Companies, and the Supplement to the Consolidated Financial
Statements for Holding Companies.
Agency form number: FR Y-9C, FR Y-9LP, FR Y-9SP, FR Y-9ES, and FR
Y-9CS.
OMB control number: 7100-0128.
Frequency: Quarterly and semiannually.
Reporters: Bank holding companies (BHCs), savings and loan holding
companies, securities holding companies, and U.S. Intermediate Holding
Companies (IHCs) (collectively, holding companies (HCs)).
Estimated annual reporting hours: FR Y-9C (non-advanced approaches
holding companies): 119,094 hours; FR Y-9C (advanced approached holding
companies): 3,482 hours; FR Y-9LP: 16,442 hours; FR Y-9SP: 42,001; FR
Y-9ES: 40 hours; FR Y-9CS: 472 hours.
Estimated average hours per response: FR Y-9C (non-advanced
approaches holding companies): 47.11 hours; FR Y-9C (advanced
approached holding companies HCs): 48.36 hours; FR Y-9LP: 5.27 hours;
FR Y-9SP: 5.40 hours; FR Y-9ES: 0.50 hours; FR Y-9CS: 0.50 hours.
Number of respondents: FR Y-9C (non-advanced approaches holding
companies): 632; FR Y-9C (advanced approached holding companies): 18;
FR Y-9LP: 780; FR Y-9SP: 3,889; FR Y-9ES: 80; FR Y-9CS: 236.
General description of report: Pursuant to the Bank Holding Company
Act of 1956 (BHC Act), as amended, and the Home Owners' Loan Act
(HOLA), the Federal Reserve requires HCs to provide standardized
financial statements to fulfill the Federal Reserve's statutory
obligation to supervise these organizations. HCs file the FRY-9C and FR
Y-9LP quarterly, and the FR Y-9SP semiannually, the FR Y-9ES annually,
and the FR Y-9CS on a schedule that is determined when this supplement
is used.
Proposed revisions: The Board is implementing a number of revisions
to the FR Y-9C requirements, most of which are consistent with the
recent changes to the Federal Financial Institutions Examination
Council (FFIEC) Consolidated Reports of Condition and Income (Call
Reports) (FFIEC 031, FFIEC 041, and FFIEC 051; OMB No. 7100-0036). The
revisions to the FR Y-9C include deletions, consolidations of existing
data items into new data items, reductions in reporting frequency, and
new and revised reporting thresholds for certain data items. The Board
is also making changes to the reporting forms and instructions for the
FR Y-9C, FR Y-9LP, and FR Y-9SP to implement accounting changes
pertaining to equity securities under Accounting Standards update (ASU
No. 2016-01, ``Recognition and Measurement of Financial Assets and
Financial Liabilities.''). The accounting changes pertaining to equity
securities would be effective beginning with the reports reflecting the
March 31, 2018, report date and June 30, 2018 for all other changes.
The changes include:
Deleting and combining of certain data items pertaining to
(1) Goodwill and Other intangible assets from Schedule HC, Balance
Sheet; (2) U.S. Government agency obligations and structured financial
products from Schedule HC-B, Securities; (3) Structured financial
products and certain loans and the unpaid principal balance of such
loans on Schedule HC-D, Trading Assets; (4) Certain over-the counter
derivatives on Schedule HC-L, Derivatives and Off-Balance sheet items,
and (5) Purchased credit card relationships and nonmortgage servicing
assets from Schedule HC-M, Memoranda;
Deleting two preprinted captions for other noninterest
income on Schedule HI, Income Statement and certain data items on
Schedule HC-D, Trading Assets and Liabilities;
Deleting Column B (Domestic Office) from Schedule HC-D,
Trading Assets and Liabilities;
Reducing the reporting frequency from quarterly to
semiannual and from quarterly to annual for certain data items on the
FR Y-9C report;
Increasing and adding reporting thresholds for certain
data items in four FR Y-9C schedules;
Revising the reporting forms and instructions to implement
the reporting
[[Page 12396]]
of equity securities under ASU-2016-0;1 and
Moving the reporting of ``Goodwill'' from Schedule HC to
Schedule HC-M, Memoranda.
Effective Date: March 31, 2018, for accounting changes pertaining
to equity securities; June 30, 2018, for all other changes.
Legal authorization and confidentiality: The FR Y-9 family of
reports is authorized by section 5(c) of the BHC Act (12 U.S.C.
1844(c)), section 10 of HOLA (12 U.S.C. 1467a(b)), sections 165 and 618
of the Dodd-Frank Wall Street Reform and Consumer Protection Act (12
U.S.C. 1850a(c)(1) and 5365), and section 252.153(b)(2) of Regulation
YY (12 CFR 252.153(b)(2)). These reports are mandatory. In general, the
Board does not consider the financial data in these reports to be
confidential. However, a respondent may request confidential treatment
pursuant to sections (b)(4), (b)(6), and (b)(8) of the Freedom of
Information Act (5 U.S.C. 552(b)(4), (b)(6), and (b)(8)). The
applicability of these exemptions will be reviewed on a case-by-case
basis.
Effective Date: March 31, 2018 and June 30, 2018.
Current Actions: On January 2, 2018, the Board published a notice
in the Federal Register (83 FR 123) requesting public comment for 60
days on the proposal to extend with revision the FR Y-9 family of
reports. The comment period expired on March 5, 2018. The Board
received one comment from a banking association. A detailed discussion
of the responses to comment is provided below. The Board has approved,
pursuant to authority delegated by the OMB, the collections of
information as proposed and amended (as discussed below). The Final
proposal is unchanged from the version that went out for public
comment, except for the addition of the instructional clarification
discussed below.
Detailed Discussion of Public Comment: While supporting the Federal
Reserve's efforts to align the FR Y-9 series with the Call Report, a
banking association recommended that revisions to the FR Y-9 reports
occur only once a year, that those revisions become effective on March
31, and that the finalization of revisions occur prior to September 30
of the previous year in order to allow HCs sufficient time to implement
the revisions.
In the past, the Board typically has followed a schedule of making
revisions only once per year, generally starting in the March 31
report. However, the proposal is part of a three-phase process
occurring over the course of the last year to align the FR Y-9 series
with the three-phase process for the Call Reports. As a result, certain
revisions to the FR Y-9 reports made through the current process have
or will become effective with reports reflecting dates other than March
31. The Board will strive to return to an annual schedule for future
revisions, with revisions becoming effective for the March 31 report,
unless the revisions must be implemented at a different time due to
changes in law, regulation, or accounting standards. With respect to
the time HCs are given to implement revisions to the FR Y-9C reports,
the Board notes, however, that it is important to have such changes
become on the same timeline as changes to the Call Reports, to prevent
inconsistencies between the FR Y-9C reports and the Call Reports. In
the future, the Board will strive to provide more lead time for firms
to implement revisions to the FR Y-9 reports while also ensuring
alignment with the Call Report.
Additionally, the commenter urged the Board to conduct a
comprehensive review of all reports that it requires banks and their
affiliates to file, including the identification and removal of
obsolete, overlapping, or unnecessary line items and a review of the
threshold indicators (such as size and complexity) that institutions
must meet before they are required to provide data on various products
and activities.
In lieu of conducting a comprehensive review of all reports
simultaneously, the Board performs a thorough review of each regulatory
report at least every three years as part of the Paperwork Reduction
Act (PRA) review process. The PRA review process led to burden-reducing
changes recently, for example, when the Board terminated the FR 2052b,
and the Board recently proposed burden-reducing changes, for example,
for the FR Y-8.\1\ Also, in 2015, the Board raised the asset threshold
of its Small Bank Holding Company Policy Statement, which allows
qualifying holding companies to operate with higher levels of debt than
would normally be permitted, from $500 million to $1 billion. The Board
also raised the threshold for reporting the FR Y-9C from $500 million
to $1 billion. In March 2017, the Board, together with the Federal
Deposit Insurance Corporation and the Office of the Comptroller of the
Currency (together, the ``Agencies''), issued a report pursuant to the
Economic Growth and Regulatory Paperwork Reduction Act of 1996
(``EGRPRA''), which also included several initiatives to reduce burden.
Because the Board's current process frequently leads to the types of
changes that the commenter suggested could result from a comprehensive
review, the Board will not be adopting the approach advocated by the
commenter.
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\1\ The Liquidity Monitoring Report (FR 2052b) (OMB No. 7100-
0361) and the Bank Holding Company Report of Insured Depository
Institutions' Section 23A Transactions with Affiliates (FR Y-8) (OMB
No. 7100-0126).
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The commenter recommended that the Board establish an industry task
force or advisory committee to help identify outdated or overlapping
data items in Federal Reserve reports and identify burdens associated
with these reports. In response to this comment, the Board plans to
continue to offer outreach in connection with significant revisions to
the FR Y-9C reports. Additionally, the Board frequently responds to
questions from individual institutions regarding the requirements of
the FR Y-9C reports and often addresses issues that could affect
multiple institutions through quarterly correspondence to affected
institutions. As required under the PRA, the Federal Reserve also
offers an opportunity for the public to comment on proposed changes to
the FR Y-9C report or to make any additional suggestions for improving,
streamlining, or clarifying the FR Y-9C report. As a result, the Board
will not establish an industry task force or advisory committee as
advocated by the commenter.
The commenter further noted that two recent or pending amendments
to U.S. Generally Accepted Accounting Practices (GAAP) would create
inconsistencies between the requirements of the FR Y-9C family of
reports and GAAP. These proposals concern accounting for leases (ASU
2016-02) and pensions (ASU 2017-07).\2\ The Board will consult with the
Federal Deposit Insurance Corporation (``FDIC'') and the Office of the
Comptroller of the
[[Page 12397]]
Currency regarding these accounting changes.
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\2\ The commenter noted that in the 12/31/2017 FR Y-9C
Supplemental Instructions, institutions were instructed to report
the (right-to-use) ROU asset under the new lease accounting standard
in Schedule HC, item 6, Premises and fixed assets, and the related
lease liability in Schedule HC-M, item 14, Other borrowed money. The
commenter stated that this reporting is inconsistent with GAAP and
that the new accounting standard, operating lease ROU assets and
operating lease liabilities should generally not be reported in the
same line as finance lease assets and liabilities because this
creates a seemingly unnecessary conflict between regulatory
reporting and U.S. GAAP reporting. Additionally, the commenter noted
that guidance pertaining to the accounting for pension expenses (ASU
2017-07) that became effective January 1, 2018 were not included in
the FR Y-9C December 31, 2017 Supplemental instructions and that the
current instructions on the FR Y-9C and the Call Report need to be
updated to incorporate the new accounting changes.
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The commenter noted that the proposal to add a reporting threshold
of $10 billion or more in total trading assets on Schedule HC-D,
memorandum items 2 through 10, and the proposal to add a reporting
threshold of $10 million or more in total trading assets in any of the
four preceding calendar quarters on Schedule HC-K, line item 4, should
be updated to add language for meeting the FDIC's definition of a large
or highly complex institution,\3\ similar to a Call Report change that
is effective, June 30, 2018. In response, the Board will not require
institutions that meet the FDIC's definition of a large or highly
complex institution that is used for deposit insurance assessment
purposes to report these items because these data are not needed at the
holding company level; however, the Board will allow these institutions
to provide the data on a voluntary basis if it is easier to be
consistent with their Call Report filings. Additionally, the commenter
asked for clarification on whether the proposed $10 billion threshold
on Schedule HC-D, memorandum items 2 through 10, is based on the prior
four quarters or a point in time. In response, the report form has been
revised to indicate that this reporting threshold is based on trading
assets as of the end of each quarter.
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\3\ Schedule RC-O, Memoranda item 6 of the Call Report
instructions has detailed information on the FDIC's definition of a
large or highly complex institution.
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The commenter noted several inconsistences on the FR Y-9C
instructions when compared to the Call Report pertaining to the
implementation of equity securities and various other line item
discrepancies. The Call Report instructions were updated after the
publication of the FR Y-9 proposal. The Board agrees with these changes
and has revised the FR Y-9C family of forms so that they align all
applicable line items to the Call Report. Additional editorial updates
to the report form and instructions have been made to address the
comments pertaining to the FR Y-9LP report.
The revisions will be implemented, as proposed, with the changes in
response to the comment noted above. Modifications for all changes
would be effective for reports reflecting the June 30, 2018, report
date, except that the modifications for equity securities would be
effective for reports reflecting the March 31, 2018, report date.
Board of Governors of the Federal Reserve System, March 15,
2018.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2018-05666 Filed 3-20-18; 8:45 am]
BILLING CODE 6210-01-P