Proposed Collection; Comment Request, 36931-36935 [2018-16350]

Download as PDF daltland on DSKBBV9HB2PROD with NOTICES Federal Register / Vol. 83, No. 147 / Tuesday, July 31, 2018 / Notices Title: Accelerating Wireline Broadband Deployment by Removing Barriers to Infrastructure Investment, GN Docket No. 17–84. Form Number(s): N/A. Type of Review: Revision of a currently approved collection. Respondents: Business or other forprofit entities. Number of Respondents and Responses: 5,357 respondents; 573,928 responses. Estimated Time per Response: 0.5–4.5 hours. Frequency of Response: On occasion reporting requirements; recordkeeping and third-party disclosure requirements. Obligation to Respond: Required to obtain or retain benefits. Statutory authority for this information collection is contained in 47 U.S.C. 222 and 251. Total Annual Burden: 575,448 hours. Total Annual Cost: No cost. Privacy Act Impact Assessment: No impact(s). Nature and Extent of Confidentiality: The Commission is not requesting that the respondents submit confidential information to the FCC. Respondents may, however, request confidential treatment for information they believe to be confidential under 47 CFR 0.459 of the Commission’s rules. Needs and Uses: Section 251 of the Communications Act of 1934, as amended, 47 U.S.C. 251, is designed to accelerate private sector development and deployment of telecommunications technologies and services by spurring competition. Section 222(e) is also designed to spur competition by prescribing requirements for the sharing of subscriber list information. These information collection requirements are designed to help implement certain provisions of sections 222(e) and 251, and to eliminate operational barriers to competition in the telecommunications services market. Specifically, these information collection requirements will be used to implement (1) local exchange carriers’ (‘‘LECs’’) obligations to provide their competitors with dialing parity and non-discriminatory access to certain services and functionalities; (2) incumbent local exchange carriers’ (‘‘ILECs’’) duty to make network information disclosures; and (3) numbering administration. The revisions to this collection relate to changes in one of many components of the currently approved collection— specifically, certain reporting, recordkeeping and/or third-party disclosure requirements under section 251(c)(5). In November 2017, the Commission adopted new rules concerning certain information collection requirements implemented VerDate Sep<11>2014 18:30 Jul 30, 2018 Jkt 244001 under section 251(c)(5) of the Act, pertaining to network change disclosures. Most of the changes to those rules applied specifically to a certain subset of network change disclosures, namely notices of planned copper retirements. In addition, the changes removed a rule that prohibits incumbent LECs from engaging in useful advanced coordination with entities affected by network changes. In June 2018, the Commission revised its network change disclosure rules to (1) revise the types of network changes that trigger an incumbent LEC’s public notice obligation, and (2) extend the force majeure provisions applicable to copper retirements to all types of network changes. The changes are aimed at removing unnecessary regulatory barriers to the deployment of high-speed broadband networks. The Commission estimates that these revisions do not result in any change to the total annual burden hours or any additional outlays of funds for hiring outside contractors or procuring equipment as the changes eliminate notices that are subsumed by notice obligations that remain in force or simply codify procedures available to a small number of incumbent LECs by waiver orders. Federal Communications Commission. Marlene Dortch, Secretary, Office of the Secretary. [FR Doc. 2018–16300 Filed 7–30–18; 8:45 am] BILLING CODE 6712–01–P FEDERAL HOUSING FINANCE AGENCY [No. 2018–N–08] Proposed Collection; Comment Request Federal Housing Finance Agency. ACTION: 30-Day notice of submission of information collection for approval from Office of Management and Budget. AGENCY: In accordance with the requirements of the Paperwork Reduction Act of 1995 (PRA), the Federal Housing Finance Agency (FHFA or the Agency) is seeking public comments concerning an information collection known as ‘‘Minimum Requirements for Appraisal Management Companies,’’ which has been assigned control number 2590– 0013 by the Office of Management and Budget (OMB). FHFA intends to submit the information collection to OMB for review and approval of a three-year SUMMARY: PO 00000 Frm 00060 Fmt 4703 Sfmt 4703 36931 extension of the control number, which is due to expire on July 31, 2018. DATES: Interested persons may submit comments on or before August 30, 2018. ADDRESSES: Submit comments to the Office of Information and Regulatory Affairs of the Office of Management and Budget, Attention: Desk Officer for the Federal Housing Finance Agency, Washington, DC 20503, Fax: (202) 395– 3047, Email: OIRA_submission@ omb.eop.gov. Please also submit comments to FHFA, identified by ‘‘Proposed Collection; Comment Request: ‘Minimum Requirements for Appraisal Management Companies, (No. 2018–N–08)’’’ by any of the following methods: • Agency Website: www.fhfa.gov/ open-for-comment-or-input. • Federal eRulemaking Portal: http:// www.regulations.gov. Follow the instructions for submitting comments. If you submit your comment to the Federal eRulemaking Portal, please also send it by email to FHFA at RegComments@fhfa.gov to ensure timely receipt by the Agency. • Mail/Hand Delivery: Federal Housing Finance Agency, Eighth Floor, 400 Seventh Street SW, Washington, DC 20219, ATTENTION: Proposed Collection; Comment Request: ‘‘Minimum Requirements for Appraisal Management Companies, (No. 2018–N– 08).’’ We will post all public comments we receive without change, including any personal information you provide, such as your name and address, email address, and telephone number, on the FHFA website at http://www.fhfa.gov. In addition, copies of all comments received will be available for examination by the public through the electronic comment docket for this PRA Notice also located on the FHFA website. FOR FURTHER INFORMATION CONTACT: Robert Witt. Senior Policy Analyst, Office of Housing and Regulatory Policy, by email at Robert.Witt@fhfa.gov or by telephone at (202) 649–3128; or Eric Raudenbush, Associate General Counsel, Eric.Raudenbush@fhfa.gov, (202) 649–3084 (these are not toll-free numbers); Federal Housing Finance Agency, 400 Seventh Street SW, Washington, DC 20219. The Telecommunications Device for the Hearing Impaired is (800) 877–8339. SUPPLEMENTARY INFORMATION: FHFA is seeking comments on its upcoming request to OMB to renew the PRA clearance for the following collection of information: Title: Minimum requirements for appraisal management companies. E:\FR\FM\31JYN1.SGM 31JYN1 36932 Federal Register / Vol. 83, No. 147 / Tuesday, July 31, 2018 / Notices OMB Number: 2590–0013. Affected Public: Participating States and State-registered Appraisal Management Companies. daltland on DSKBBV9HB2PROD with NOTICES A. Need for and Use of the Information Collection In 2015, the Federal Deposit Insurance Corporation (FDIC), the Office of the Comptroller of the Currency (OCC), the Board of Governors of the Federal Reserve System (Board), the Bureau of Consumer Financial Protection (Bureau), and FHFA (collectively, the Agencies) jointly issued regulations 1 to implement provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) relating to the eligibility of appraisal management companies (AMCs) to provide appraisal management services for real estate related financial transactions that are engaged in, contracted for, or regulated by a ‘‘federal financial institutions regulatory agency’’ or the Resolution Trust Corporation (‘‘Federally related transactions’’).2 Generally, these statutory provisions provide that an AMC either be registered with a state’s appraiser certifying and licensing agency or be subject to oversight by a federal financial institutions regulatory agency in order to participate in a Federally related transaction.3 As required by the Dodd-Frank Act provisions, the Agencies’ joint AMC regulations establish minimum requirements for the registration and supervision of AMCs to be applied by states that have elected to establish an appraiser certifying and licensing agency with authority to register and supervise AMCs (participating states).4 1 See 80 FR 32658 (June 9, 2015). By agreement, the responsibility for clearance under the PRA of information collections contained in the joint regulations is shared only by the FDIC, OCC, Board, and FHFA. 2 See 12 U.S.C. 3350(4), (5). ‘‘Federal financial institutions regulatory agency’’ includes the FDIC, OCC, Board, and National Credit Union Administration. See 12 U.S.C. 3350(6). 3 Section 1117 of the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA), 12 U.S.C. 3346, permits states to establish an appraiser certifying and licensing agency ‘‘to assure the availability of State certified and licensed appraisers for the performance in a State of appraisals in federally related transactions and to assure effective supervision of the activities of certified and licensed appraisers.’’ The DoddFrank Act amended section 1117 to provide that the duties of a state appraiser certifying and licensing agency may also include the registration and supervision of AMCs. Although states are not required by federal law to register and supervise AMCs, or even to establish an appraiser certifying and licensing agency, an AMC that is not registered with such a state agency (except for those regulated by a federal financial institutions regulatory agency) may not participate in a federally-related transaction in that state. See 12 U.S.C. 3353(f)(1). 4 See 12 CFR 1222.23. VerDate Sep<11>2014 18:30 Jul 30, 2018 Jkt 244001 The joint regulations also implement the statutory requirement that states report to the Appraisal Subcommittee (ASC) of the Federal Financial Institutions Examination Council (FFIEC) the information required by the ASC to administer a national registry of AMCs (AMC National Registry or Registry).5 When fully established, the AMC National Registry will include AMCs that are either: (1) Subsidiaries owned and controlled by an insured depository institution (as defined in 12 U.S.C. 1813) and regulated by either the FDIC, OCC, or Board (federally regulated AMCs) ;6 or (2) registered with, and subject to supervision of, a state appraiser certifying and licensing agency. FHFA’s AMC regulation, located at Subpart B of 12 CFR part 1222, is substantively identical to the AMC regulations of the FDIC, OCC, and Board and contains the recordkeeping and reporting requirements described below.7 1. State Reporting Requirements (IC #1) The regulation requires that each state electing to register AMCs for purposes of permitting AMCs to provide appraisal management services relating to covered transactions in the state submit to the ASC the information regarding such AMCs required to be submitted by ASC regulations or guidance concerning AMCs that operate in the state.8 2. State Recordkeeping Requirements (IC #2) States seeking to register AMCs must have an AMC registration and supervision program. The regulation requires each participating state to establish and maintain within its appraiser certifying and licensing agency a registration and supervision program with the legal authority and mechanisms to: (i) Review and approve or deny an application for initial registration; (ii) periodically review and renew, or deny renewal of, an AMC’s registration; (iii) examine an AMC’s books and records and require the submission of reports, information, and documents; (iv) verify an AMC’s panel members’ certifications or licenses; (v) investigate and assess potential violations of laws, regulations, or orders; (vi) discipline, suspend, terminate, or deny registration renewals of AMCs that violate laws, regulations, or orders; and (vii) report violations of 12 U.S.C. 3353(e). 12 CFR 1222.21(k) (defining ‘‘Federally regulated AMC’’). 7 See 12 CFR 1222.20 through 1222.26. For clarity, the regulatory citations in this notice are to FHFA’s version of the joint regulations only. 8 See 12 CFR 1222.26. PO 00000 laws, regulations, or orders, and disciplinary and enforcement actions to the ASC.9 The regulation requires each participating state to impose requirements on AMCs that are not federally regulated (non-federally regulated AMCs) to: (i) Register with and be subject to supervision by a state appraiser certifying and licensing agency in each state in which the AMC operates; (ii) use only state-certified or state-licensed appraisers for federally regulated transactions in conformity with any federally regulated transaction regulations; (iii) establish and comply with processes and controls reasonably designed to ensure that the AMC, in engaging an appraiser, selects an appraiser who is independent of the transaction and who has the requisite education, expertise, and experience necessary to competently complete the appraisal assignment for the particular market and property type; (iv) direct the appraiser to perform the assignment in accordance with the Uniform Standards of Professional Appraisal Practice; and (v) establish and comply with processes and controls reasonably designed to ensure that the AMC conducts its appraisal management services in accordance with sections 129E(a) through (i) of the Truth-in-Lending Act.10 3. AMC Reporting Requirements (IC #3) The regulation provides that an AMC may not be registered by a state or included on the AMC National Registry if the company is owned, directly or indirectly, by any person who has had an appraiser license or certificate refused, denied, cancelled, surrendered in lieu of revocation, or revoked in any state for a substantive cause.11 The regulation also provides that an AMC may not be registered by a state if any person that owns 10 percent or more of the AMC fails to submit to a background investigation carried out by the state appraiser certifying and licensing agency.12 Thus, each AMC registering with a state must provide information to the state on compliance with those ownership restrictions. Further, the regulation requires that a federally regulated AMC report to the state or states in which it operates the information required to be submitted by the state pursuant to the ASC’s policies, including policies regarding the determination of the AMC National 5 See 6 See Frm 00061 Fmt 4703 Sfmt 4703 9 See 12 CFR 1222.23(a). 12 CFR 1222.23(b). Sections 129E(a) through (i) of the Truth-in-Lending Act are located at 15 U.S.C. 1639e(a) through (i). 11 See 12 CFR 1222.24(a) and 1222.25(b). 12 See 12 CFR 1222.24(b). 10 See E:\FR\FM\31JYN1.SGM 31JYN1 Federal Register / Vol. 83, No. 147 / Tuesday, July 31, 2018 / Notices Registry fee, and information regarding compliance with the ownership restrictions described above.13 daltland on DSKBBV9HB2PROD with NOTICES 4. AMC Recordkeeping Requirements (IC #4) An entity meets the definition of an AMC that is subject to the requirements of the AMC regulation if, among other things, it oversees an appraiser panel of more than 15 state-certified or statelicensed appraisers in a state, or 25 or more state-certified or state-licensed appraisers in two or more states, within a given 12-month period.14 For purposes of determining whether a company qualifies as an AMC under that definition, the regulation provides that an appraiser in an AMC’s network or panel is deemed to remain on the network or panel until: (i) The AMC sends a written notice to the appraiser removing the appraiser with an explanation; or (ii) receives a written notice from the appraiser asking to be removed or a notice of the death or incapacity of the appraiser.15 The AMC would retain these notices in its files. B. Burden Estimate FHFA’s burden estimates for the information collections described above appear below. The estimates below remain the same as those set forth in the 60-day notice, despite one commenter’s assertion that some of the assumptions underlying those burden estimates are incorrect. Those assertions and FHFA’s responses are addressed below in section C of the notice. There is no change in the existing methodology or substance of this information collection. For the information collections described above, the general methodology is to compute the industry wide burden hours for participating states and AMCs and then assign a share of the burden hours to each of the Agencies for each information collection. As noted above, each of the Agencies’ AMC regulations contains reporting and recordkeeping requirements applying to participating states and to both federally regulated and non-federally regulated AMCs. The Agencies have estimated that approximately 200 entities meet the regulatory definition of an ‘‘appraisal management company’’ 16 and that, of those 200 AMCs, approximately 120 are federally regulated and approximately 80 are non-federally regulated.17 Unlike 13 See 12 CFR 1222.25(c). 14 See 12 CFR 1222.21(c)(iii). 15 See 12 CFR 1222.22(b). 16 In FHFA’s regulations, this definition is set forth at 12 CFR 1222.21(c). 17 FHFA anticipates that definitive information on the total number of AMCs and on the relative VerDate Sep<11>2014 18:30 Jul 30, 2018 Jkt 244001 the insured depository institutions regulated by the OCC, FDIC, and Board, none of FHFA’s regulated entities owns or controls an AMC or, by law, could ever own or control an AMC. Accordingly, the Agencies have agreed that responsibility for the burdens arising from reporting and recordkeeping requirements imposed upon federally regulated AMCs are to be split evenly among the OCC, FDIC, and Board (i.e., the equivalent of 40 federally regulated AMCs for each agency) and that FHFA will not include those burdens in its totals. The four Agencies have agreed to split the total burdens imposed upon participating states and upon non-federally regulated AMCs evenly between them (i.e., by taking responsibility for 25 percent of the burden per agency or, in the case of non-federally regulated AMCs, the equivalent of 20 such AMCs for each agency). Thus, for ICs #1 and #2, which relate to reporting and recordkeeping requirements imposed upon participating states, each agency is responsible for 25 percent of the total estimated burden. For ICs #3 and #4, which relate to reporting and recordkeeping requirements imposed upon both federally regulated AMCs and non-federally regulated AMCs, the OCC, FDIC, and Board are each responsible for the burden imposed upon a total of 60 AMCs (40 federally regulated plus 20 non-federally regulated), or 30 percent of the total burden, while FHFA is responsible only for the burden imposed upon 20 nonfederally regulated AMCs, or 10 percent of the total burden. The Agencies estimate the total annualized hour burden placed on respondents by the information collection in the joint AMC regulations to be 1,445 hours. FHFA estimates its share of the hour burden to be 183 hours. The calculations on which those estimates are based are described below. 1. State Reporting Requirements (IC #1) The total estimated burden hours for states reporting to the ASC are calculated by multiplying the number of states by the hour burden per state. The burden hours are then divided equally among the FDIC, OCC, Board, and FHFA, with each agency responsible for 25 percent of the total. For purposes of this calculation, the number of states is set at 55 which, in conformity with the regulatory definition of ‘‘state,’’ includes number of federally regulated and non-federally regulated AMCs will become available after the AMC National Registry becomes fully operational in 2020. PO 00000 Frm 00062 Fmt 4703 Sfmt 4703 36933 all 50 U.S. states as well as the Commonwealth of the Northern Mariana Islands, the District of Columbia, Guam, Puerto Rico, and the U.S. Virgin Islands.18 The burden estimate of 1 hour per report is unchanged from the estimate provided for the currentlyapproved ICR. Therefore, the estimated total state reporting burden attributable to all of the Agencies is: 55 states × 1 hour/state = 55 hours. The estimated burden hours attributable to FHFA are 55 hours × 25 percent = 14 hours (rounded to the nearest whole number). 2. State Recordkeeping Requirements (IC #2) The estimated burden hours on participating states for developing and maintaining an AMC licensing program is calculated by multiplying the number of states without a registration and licensing program by the hour burden to develop the system. The total burden hours are then equally divided among the FDIC, OCC, Board, and FHFA. According to the Appraisal Institute, as of July 26, 2017, there were 5 states that had not developed a system to register and oversee AMCs.19 The burden estimate of 40 hours per state without a registration system is unchanged from the estimate provided for the currentlyapproved ICR. Therefore, the total estimated burden attributable to all of the Agencies is: 5 states × 40 hours/state = 200 hours. The estimated burden hours attributable to FHFA are 200 hours × 25 percent = 50 hours. 3. AMC Reporting Requirements (IC #3) The burden for AMC reporting requirements for information needed to determine the AMC National Registry fee and information regarding compliance with the AMC ownership restrictions is calculated by multiplying the number of AMCs by the frequency of response and then by the burden per response. As described above, 30 percent of the burden hours are then assigned to each of the FDIC, OCC, and Board, while 10 percent are assigned to FHFA. The frequency of response is estimated as the number of states that do not have an AMC registration program in which the average AMC operates.20 As discussed above, 5 states do not have AMC registration or 18 See 12 CFR 1222.21(o). Institute ‘‘Enacted State AMC Laws,’’ https://www.appraisalinstitute.org/advocacy/ enacted-state-amc-laws1/. 20 The number of states includes all U.S. states, territories, and districts to include: The Commonwealth of the Northern Mariana Islands; the District of Columbia; Guam; Puerto Rico; and the U.S. Virgin Islands. 19 Appraisal E:\FR\FM\31JYN1.SGM 31JYN1 36934 Federal Register / Vol. 83, No. 147 / Tuesday, July 31, 2018 / Notices oversight programs. According to the Consumer Financial Protection Bureau (CFPB), the average AMC operates in 19.56 states.21 Therefore, the average AMC operates in approximately 2 states that do not have AMC registration systems: (5 states/55 states) × 19.56 states = 1.778 states, rounded to 2 states. The burden estimate of one hour per response is unchanged from the estimate provided for the currentlyapproved ICR. Therefore, the total estimated hour burden is: 200 AMCs × 2 states × 1 hour = 400 hours. The estimated burden hours attributable to FHFA are 400 hours × 10 percent = 40 hours. 4. AMC Recordkeeping Requirements (IC #4) The burden for recordkeeping by AMCs of written notices of appraiser removal from a network or panel is estimated to be equal to the number of appraisers who leave the profession per year multiplied by the estimated percentage of appraisers who work for AMCs, then multiplied by burden hours per notice. As described above, 30 percent of the burden hours are then assigned to each of the FDIC, OCC, and Board, while 10 percent are assigned to FHFA. The number of appraisers who leave an AMC annually, either by resigning, being laid off, or having their licenses revoked or surrendered, is estimated to be 9,881. The burden estimate of 0.08 hours per notice is unchanged from the estimate provided for the currentlyapproved ICR. Therefore, the estimated total hour burden is: 9,881 notices × 0.08 hours = 790 hours (rounded to the nearest whole number). The estimated burden hours attributable to FHFA are 790 hours × 10 percent = 79 hours. daltland on DSKBBV9HB2PROD with NOTICES C. Response to Comments Received In accordance with the requirements of 5 CFR 1320.8(d), FHFA published an initial notice and request for comments regarding the renewal of the PRA clearance for this information collection in the Federal Register on May 16, 2018 (‘‘60-day notice’’).22 The 60-day comment period closed on July 16, 2018. FHFA received two comments. One comment letter, from an individual, asserted that this collection of information is not necessary for the proper performance of FHFA functions because ‘‘there is currently too much oversight which cost excessive amounts of money’’ and that those costs are ‘‘passed down to the consumers through the AMCs to cover costs to maintain regulatory compliance.’’ Because these comments relate to regulatory burden generally and not to the collection of information under the joint AMC regulation, FHFA has not addressed them in this notice. The second comment letter, from a trade association representing AMCs, addressed a number of issues relating to the collection of information under the joint AMC regulation. First, the commenter stated that the collection of information is ‘‘necessary’’ and has ‘‘practical utility,’’ but ‘‘only to the extent that the information collected serves the proper purpose to promote appraiser independence while ensuring a healthy real estate valuation market.’’ FHFA disagrees with the commenter’s implication that the ‘‘proper purpose’’ of the collection of information under the joint AMC regulations is limited to the promotion of appraiser independence. In fact, as required by statute, the AMC regulations address all issues on which the Agencies were required to promulgate regulations— including minimum requirements for registration of AMCs in participating states,23 registration limitations for AMCs,24 and the reporting of information by AMCs to the ASC 25— and not merely the promotion of appraiser independence. The collection of information is necessary for implementation of those requirements. To the extent that the commenter disagrees with the scope and requirements of the joint AMC regulations, FHFA notes that those regulations may not be rescinded or revised through the PRA renewal process. The second comment letter also questioned the accuracy of FHFA’s estimates of the burdens of the collection of information. Asserting that the Agencies’ estimate that there are 200 AMCs currently operating in the U.S. is too low, the commenter stated, without providing any further information or support, that ‘‘industry estimates’’ as to the number of AMCs ‘‘are closer to 400.’’ As stated in the 60-day notice, because the actual number of AMCs is not currently known and will not be known until the AMC National Registry is fully operational in 2020, the Agencies made a best guess that 200 entities currently qualify as an AMC, as that term is defined under the joint 21 The CFPB conducted a survey of 9 AMCs in 2013 regarding the provisions in the regulation and the related PRA burden. 22 See 83 FR 22681 (May 16, 2018). VerDate Sep<11>2014 18:30 Jul 30, 2018 Jkt 244001 PO 00000 23 See 12 U.S.C. 3353(a). 12 U.S.C. 3353(d). 25 See 12 U.S.C. 3353(e). 24 See Frm 00063 Fmt 4703 Sfmt 4703 AMC regulations.26 Because the commenter has provided no support for its assertion regarding the current number of AMCs subject to the joint regulations, FHFA’s estimate as to that number remains unchanged. The commenter further asserted that, contrary to the Agencies’ estimates that 60 percent of existing AMCs (or 120 out of 200) are federally regulated, it knows of only one federally regulated AMC in existence. As with respect to the total number of AMCs, the Agencies made a best guess estimate as to the relative number of federally regulated and nonfederally-regulated AMCs in the absence of any available empirical data on this issue pending completion of the AMC National Registry. As explained above, that estimate has no bearing on the Agencies’ estimates as to the total amount of burden imposed by the collections of information under the joint AMC regulations, but relates only to the appropriate distribution among the rulemaking Agencies of responsibility (under the PRA) for a portion of the total estimated burden. Given this, and the lack of support provided by the commenter for its estimate as to the actual number of federally regulated AMCs, FHFA’s estimate as to the relative number remains unchanged from that reflected in the 60-day notice. Other issues addressed in the second comment letter, including recommendations that the ASC issue additional guidance to states and AMCs concerning the AMC minimum requirements, find opportunities to develop reporting efficiencies in the state licensing system, and be more aggressive in supporting modernization of the outdated National Appraiser Registry do not relate to the collection of information under the joint AMC regulation. The Agencies, however, will forward these suggestions to the ASC for consideration. D. Comments Request In accordance with the requirements of 5 CFR 1320.10(a), FHFA is publishing 26 The joint regulations define ‘‘appraisal management company’’ generally to mean an entity that: (1) Provides appraisal management services (for example, maintaining a panel of certified and licensed appraisers to perform appraisals, managing the process of having an appraisal performed, collecting fees, and paying appraisers) to creditors or to secondary mortgage market participants; (2) provides such services in connection with valuing a consumer’s primary dwelling as security for a consumer credit transaction or incorporating such transactions into securitizations; and (3) oversees an appraiser panel of more than 15 State-certified or State-licensed appraisers in a State or 25 or more State-certified or State-licensed appraisers in two or more States within a 12-month period. See 12 CFR 1222.21(c)(1). E:\FR\FM\31JYN1.SGM 31JYN1 Federal Register / Vol. 83, No. 147 / Tuesday, July 31, 2018 / Notices this second notice to request comments regarding the following: (1) Whether the collection of information is necessary for the proper performance of FHFA functions, including whether the information has practical utility; (2) the accuracy of FHFA’s estimates of the burdens of the collection of information; (3) ways to enhance the quality, utility, and clarity of the information collected; and (4) ways to minimize the burden of the collection of information on respondents, including through the use of automated collection techniques or other forms of information technology. Dated: July 26, 2018. Kevin Winkler, Chief Information Officer, Federal Housing Finance Agency. [FR Doc. 2018–16350 Filed 7–30–18; 8:45 am] BILLING CODE 8070–01–P FEDERAL MARITIME COMMISSION daltland on DSKBBV9HB2PROD with NOTICES Notice of Agreement Filed The Commission hereby gives notice of the filing of the following agreement under the Shipping Act of 1984. Interested parties may submit comments on the agreement to the Secretary by email at Secretary@fmc.gov, or by mail, Federal Maritime Commission, Washington, DC 20573, within twelve days of the date this notice appears in the Federal Register. Copies of the agreement are available through the Commission’s website (www.fmc.gov) or by contacting the Office of Agreements at (202)-523–5793 or tradeanalysis@ fmc.gov. Agreement No.: 201263. Agreement Name: Maersk/MSC/Zim Cooperative Working Agreement. Parties: Maersk Line A/S; Mediterranean Shipping Company S.A.; and Zim Integrated Shipping Services Ltd. Filing Party: Wayne Rohde, Cozen O’Connor. Synopsis: The Agreement authorizes the parties to share space and cooperate on the provision of service strings in the trade between Asia and the U.S. East Coast. Proposed Effective Date: 9/8/2018. Location: https://www2.fmc.gov/ FMC.Agreements.Web/Public/ AgreementHistory/14256. Dated: July 25, 2018. Rachel Dickon, Secretary. [FR Doc. 2018–16280 Filed 7–30–18; 8:45 am] BILLING CODE P VerDate Sep<11>2014 18:30 Jul 30, 2018 Jkt 244001 FEDERAL RESERVE SYSTEM Formations of, Acquisitions by, and Mergers of Bank Holding Companies The companies listed in this notice have applied to the Board for approval, pursuant to the Bank Holding Company Act of 1956 (12 U.S.C. 1841 et seq.) (BHC Act), Regulation Y (12 CFR part 225), and all other applicable statutes and regulations to become a bank holding company and/or to acquire the assets or the ownership of, control of, or the power to vote shares of a bank or bank holding company and all of the banks and nonbanking companies owned by the bank holding company, including the companies listed below. The applications listed below, as well as other related filings required by the Board, are available for immediate inspection at the Federal Reserve Bank indicated. The applications will also be available for inspection at the offices of the Board of Governors. Interested persons may express their views in writing on the standards enumerated in the BHC Act (12 U.S.C. 1842(c)). If the proposal also involves the acquisition of a nonbanking company, the review also includes whether the acquisition of the nonbanking company complies with the standards in section 4 of the BHC Act (12 U.S.C. 1843). Unless otherwise noted, nonbanking activities will be conducted throughout the United States. Unless otherwise noted, comments regarding each of these applications must be received at the Reserve Bank indicated or the offices of the Board of Governors not later than August 23, 2018. A. Federal Reserve Bank of Minneapolis (Mark A. Rauzi, Vice President), 90 Hennepin Avenue, Minneapolis, Minnesota 55480–0291: 1. Mackinac Financial Corporation, Manistique, Michigan; to acquire 100 percent of the voting shares of Lincoln Community Bank, Merrill, Wisconsin. Board of Governors of the Federal Reserve System, July 26, 2018. Yao-Chin Chao, Assistant Secretary of the Board. 36935 225), and all other applicable statutes and regulations to become a bank holding company and/or to acquire the assets or the ownership of, control of, or the power to vote shares of a bank or bank holding company and all of the banks and nonbanking companies owned by the bank holding company, including the companies listed below. The applications listed below, as well as other related filings required by the Board, are available for immediate inspection at the Federal Reserve Bank indicated. The applications will also be available for inspection at the offices of the Board of Governors. Interested persons may express their views in writing on the standards enumerated in the BHC Act (12 U.S.C. 1842(c)). If the proposal also involves the acquisition of a nonbanking company, the review also includes whether the acquisition of the nonbanking company complies with the standards in section 4 of the BHC Act (12 U.S.C. 1843). Unless otherwise noted, nonbanking activities will be conducted throughout the United States. Unless otherwise noted, comments regarding each of these applications must be received at the Reserve Bank indicated or the offices of the Board of Governors not later than August 24, 2018. A. Federal Reserve Bank of Minneapolis (Mark A. Rauzi, Vice President), 90 Hennepin Avenue, Minneapolis, Minnesota 55480–0291: 1. Citizens Community Bancorp, Inc., Eau Claire, Wisconsin; to acquire 100 percent of United Bank, Osseo, Wisconsin. B. Federal Reserve Bank of St. Louis (David L. Hubbard, Senior Manager), P.O. Box 442, St. Louis, Missouri 63166–2034. Comments can also be sent electronically to Comments.applications@stls.frb.org: 1. Old National Bancorp, Evansville, Indiana; to merge with Klein Financial, Inc., Chaska, Minnesota, and thereby indirectly acquire KleinBank, also of Chaska, Minnesota. [FR Doc. 2018–16337 Filed 7–30–18; 8:45 am] Board of Governors of the Federal Reserve System, July 25, 2018. Yao-Chin Chao, Assistant Secretary of the Board. BILLING CODE P [FR Doc. 2018–16377 Filed 7–30–18; 8:45 am] BILLING CODE 6210–01–P FEDERAL RESERVE SYSTEM Formations of, Acquisitions by, and Mergers of Bank Holding Companies The companies listed in this notice have applied to the Board for approval, pursuant to the Bank Holding Company Act of 1956 (12 U.S.C. 1841 et seq.) (BHC Act), Regulation Y (12 CFR part PO 00000 Frm 00064 Fmt 4703 Sfmt 4703 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. AGENCY: E:\FR\FM\31JYN1.SGM 31JYN1

Agencies

[Federal Register Volume 83, Number 147 (Tuesday, July 31, 2018)]
[Notices]
[Pages 36931-36935]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-16350]


=======================================================================
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FEDERAL HOUSING FINANCE AGENCY

[No. 2018-N-08]


Proposed Collection; Comment Request

AGENCY: Federal Housing Finance Agency.

ACTION: 30-Day notice of submission of information collection for 
approval from Office of Management and Budget.

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SUMMARY: In accordance with the requirements of the Paperwork Reduction 
Act of 1995 (PRA), the Federal Housing Finance Agency (FHFA or the 
Agency) is seeking public comments concerning an information collection 
known as ``Minimum Requirements for Appraisal Management Companies,'' 
which has been assigned control number 2590-0013 by the Office of 
Management and Budget (OMB). FHFA intends to submit the information 
collection to OMB for review and approval of a three-year extension of 
the control number, which is due to expire on July 31, 2018.

DATES: Interested persons may submit comments on or before August 30, 
2018.

ADDRESSES: Submit comments to the Office of Information and Regulatory 
Affairs of the Office of Management and Budget, Attention: Desk Officer 
for the Federal Housing Finance Agency, Washington, DC 20503, Fax: 
(202) 395-3047, Email: [email protected]. Please also submit 
comments to FHFA, identified by ``Proposed Collection; Comment Request: 
`Minimum Requirements for Appraisal Management Companies, (No. 2018-N-
08)''' by any of the following methods:
     Agency Website: www.fhfa.gov/open-for-comment-or-input.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments. If you submit your 
comment to the Federal eRulemaking Portal, please also send it by email 
to FHFA at [email protected] to ensure timely receipt by the Agency.
     Mail/Hand Delivery: Federal Housing Finance Agency, Eighth 
Floor, 400 Seventh Street SW, Washington, DC 20219, ATTENTION: Proposed 
Collection; Comment Request: ``Minimum Requirements for Appraisal 
Management Companies, (No. 2018-N-08).''
    We will post all public comments we receive without change, 
including any personal information you provide, such as your name and 
address, email address, and telephone number, on the FHFA website at 
http://www.fhfa.gov. In addition, copies of all comments received will 
be available for examination by the public through the electronic 
comment docket for this PRA Notice also located on the FHFA website.

FOR FURTHER INFORMATION CONTACT: Robert Witt. Senior Policy Analyst, 
Office of Housing and Regulatory Policy, by email at 
[email protected] or by telephone at (202) 649-3128; or Eric 
Raudenbush, Associate General Counsel, [email protected], (202) 
649-3084 (these are not toll-free numbers); Federal Housing Finance 
Agency, 400 Seventh Street SW, Washington, DC 20219. The 
Telecommunications Device for the Hearing Impaired is (800) 877-8339.

SUPPLEMENTARY INFORMATION: FHFA is seeking comments on its upcoming 
request to OMB to renew the PRA clearance for the following collection 
of information:
    Title: Minimum requirements for appraisal management companies.

[[Page 36932]]

    OMB Number: 2590-0013.
    Affected Public: Participating States and State-registered 
Appraisal Management Companies.

A. Need for and Use of the Information Collection

    In 2015, the Federal Deposit Insurance Corporation (FDIC), the 
Office of the Comptroller of the Currency (OCC), the Board of Governors 
of the Federal Reserve System (Board), the Bureau of Consumer Financial 
Protection (Bureau), and FHFA (collectively, the Agencies) jointly 
issued regulations \1\ to implement provisions of the Dodd-Frank Wall 
Street Reform and Consumer Protection Act (Dodd-Frank Act) relating to 
the eligibility of appraisal management companies (AMCs) to provide 
appraisal management services for real estate related financial 
transactions that are engaged in, contracted for, or regulated by a 
``federal financial institutions regulatory agency'' or the Resolution 
Trust Corporation (``Federally related transactions'').\2\ Generally, 
these statutory provisions provide that an AMC either be registered 
with a state's appraiser certifying and licensing agency or be subject 
to oversight by a federal financial institutions regulatory agency in 
order to participate in a Federally related transaction.\3\
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    \1\ See 80 FR 32658 (June 9, 2015). By agreement, the 
responsibility for clearance under the PRA of information 
collections contained in the joint regulations is shared only by the 
FDIC, OCC, Board, and FHFA.
    \2\ See 12 U.S.C. 3350(4), (5). ``Federal financial institutions 
regulatory agency'' includes the FDIC, OCC, Board, and National 
Credit Union Administration. See 12 U.S.C. 3350(6).
    \3\ Section 1117 of the Financial Institutions Reform, Recovery, 
and Enforcement Act of 1989 (FIRREA), 12 U.S.C. 3346, permits states 
to establish an appraiser certifying and licensing agency ``to 
assure the availability of State certified and licensed appraisers 
for the performance in a State of appraisals in federally related 
transactions and to assure effective supervision of the activities 
of certified and licensed appraisers.'' The Dodd-Frank Act amended 
section 1117 to provide that the duties of a state appraiser 
certifying and licensing agency may also include the registration 
and supervision of AMCs. Although states are not required by federal 
law to register and supervise AMCs, or even to establish an 
appraiser certifying and licensing agency, an AMC that is not 
registered with such a state agency (except for those regulated by a 
federal financial institutions regulatory agency) may not 
participate in a federally-related transaction in that state. See 12 
U.S.C. 3353(f)(1).
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    As required by the Dodd-Frank Act provisions, the Agencies' joint 
AMC regulations establish minimum requirements for the registration and 
supervision of AMCs to be applied by states that have elected to 
establish an appraiser certifying and licensing agency with authority 
to register and supervise AMCs (participating states).\4\ The joint 
regulations also implement the statutory requirement that states report 
to the Appraisal Subcommittee (ASC) of the Federal Financial 
Institutions Examination Council (FFIEC) the information required by 
the ASC to administer a national registry of AMCs (AMC National 
Registry or Registry).\5\ When fully established, the AMC National 
Registry will include AMCs that are either: (1) Subsidiaries owned and 
controlled by an insured depository institution (as defined in 12 
U.S.C. 1813) and regulated by either the FDIC, OCC, or Board (federally 
regulated AMCs) ;\6\ or (2) registered with, and subject to supervision 
of, a state appraiser certifying and licensing agency. FHFA's AMC 
regulation, located at Subpart B of 12 CFR part 1222, is substantively 
identical to the AMC regulations of the FDIC, OCC, and Board and 
contains the recordkeeping and reporting requirements described 
below.\7\
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    \4\ See 12 CFR 1222.23.
    \5\ See 12 U.S.C. 3353(e).
    \6\ See 12 CFR 1222.21(k) (defining ``Federally regulated 
AMC'').
    \7\ See 12 CFR 1222.20 through 1222.26. For clarity, the 
regulatory citations in this notice are to FHFA's version of the 
joint regulations only.
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1. State Reporting Requirements (IC #1)

    The regulation requires that each state electing to register AMCs 
for purposes of permitting AMCs to provide appraisal management 
services relating to covered transactions in the state submit to the 
ASC the information regarding such AMCs required to be submitted by ASC 
regulations or guidance concerning AMCs that operate in the state.\8\
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    \8\ See 12 CFR 1222.26.
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2. State Recordkeeping Requirements (IC #2)

    States seeking to register AMCs must have an AMC registration and 
supervision program. The regulation requires each participating state 
to establish and maintain within its appraiser certifying and licensing 
agency a registration and supervision program with the legal authority 
and mechanisms to: (i) Review and approve or deny an application for 
initial registration; (ii) periodically review and renew, or deny 
renewal of, an AMC's registration; (iii) examine an AMC's books and 
records and require the submission of reports, information, and 
documents; (iv) verify an AMC's panel members' certifications or 
licenses; (v) investigate and assess potential violations of laws, 
regulations, or orders; (vi) discipline, suspend, terminate, or deny 
registration renewals of AMCs that violate laws, regulations, or 
orders; and (vii) report violations of laws, regulations, or orders, 
and disciplinary and enforcement actions to the ASC.\9\
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    \9\ See 12 CFR 1222.23(a).
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    The regulation requires each participating state to impose 
requirements on AMCs that are not federally regulated (non-federally 
regulated AMCs) to: (i) Register with and be subject to supervision by 
a state appraiser certifying and licensing agency in each state in 
which the AMC operates; (ii) use only state-certified or state-licensed 
appraisers for federally regulated transactions in conformity with any 
federally regulated transaction regulations; (iii) establish and comply 
with processes and controls reasonably designed to ensure that the AMC, 
in engaging an appraiser, selects an appraiser who is independent of 
the transaction and who has the requisite education, expertise, and 
experience necessary to competently complete the appraisal assignment 
for the particular market and property type; (iv) direct the appraiser 
to perform the assignment in accordance with the Uniform Standards of 
Professional Appraisal Practice; and (v) establish and comply with 
processes and controls reasonably designed to ensure that the AMC 
conducts its appraisal management services in accordance with sections 
129E(a) through (i) of the Truth-in-Lending Act.\10\
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    \10\ See 12 CFR 1222.23(b). Sections 129E(a) through (i) of the 
Truth-in-Lending Act are located at 15 U.S.C. 1639e(a) through (i).
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3. AMC Reporting Requirements (IC #3)

    The regulation provides that an AMC may not be registered by a 
state or included on the AMC National Registry if the company is owned, 
directly or indirectly, by any person who has had an appraiser license 
or certificate refused, denied, cancelled, surrendered in lieu of 
revocation, or revoked in any state for a substantive cause.\11\ The 
regulation also provides that an AMC may not be registered by a state 
if any person that owns 10 percent or more of the AMC fails to submit 
to a background investigation carried out by the state appraiser 
certifying and licensing agency.\12\ Thus, each AMC registering with a 
state must provide information to the state on compliance with those 
ownership restrictions. Further, the regulation requires that a 
federally regulated AMC report to the state or states in which it 
operates the information required to be submitted by the state pursuant 
to the ASC's policies, including policies regarding the determination 
of the AMC National

[[Page 36933]]

Registry fee, and information regarding compliance with the ownership 
restrictions described above.\13\
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    \11\ See 12 CFR 1222.24(a) and 1222.25(b).
    \12\ See 12 CFR 1222.24(b).
    \13\ See 12 CFR 1222.25(c).
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4. AMC Recordkeeping Requirements (IC #4)

    An entity meets the definition of an AMC that is subject to the 
requirements of the AMC regulation if, among other things, it oversees 
an appraiser panel of more than 15 state-certified or state-licensed 
appraisers in a state, or 25 or more state-certified or state-licensed 
appraisers in two or more states, within a given 12-month period.\14\ 
For purposes of determining whether a company qualifies as an AMC under 
that definition, the regulation provides that an appraiser in an AMC's 
network or panel is deemed to remain on the network or panel until: (i) 
The AMC sends a written notice to the appraiser removing the appraiser 
with an explanation; or (ii) receives a written notice from the 
appraiser asking to be removed or a notice of the death or incapacity 
of the appraiser.\15\ The AMC would retain these notices in its files.
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    \14\ See 12 CFR 1222.21(c)(iii).
    \15\ See 12 CFR 1222.22(b).
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B. Burden Estimate

    FHFA's burden estimates for the information collections described 
above appear below. The estimates below remain the same as those set 
forth in the 60-day notice, despite one commenter's assertion that some 
of the assumptions underlying those burden estimates are incorrect. 
Those assertions and FHFA's responses are addressed below in section C 
of the notice.
    There is no change in the existing methodology or substance of this 
information collection. For the information collections described 
above, the general methodology is to compute the industry wide burden 
hours for participating states and AMCs and then assign a share of the 
burden hours to each of the Agencies for each information collection.
    As noted above, each of the Agencies' AMC regulations contains 
reporting and recordkeeping requirements applying to participating 
states and to both federally regulated and non-federally regulated 
AMCs. The Agencies have estimated that approximately 200 entities meet 
the regulatory definition of an ``appraisal management company'' \16\ 
and that, of those 200 AMCs, approximately 120 are federally regulated 
and approximately 80 are non-federally regulated.\17\ Unlike the 
insured depository institutions regulated by the OCC, FDIC, and Board, 
none of FHFA's regulated entities owns or controls an AMC or, by law, 
could ever own or control an AMC. Accordingly, the Agencies have agreed 
that responsibility for the burdens arising from reporting and 
recordkeeping requirements imposed upon federally regulated AMCs are to 
be split evenly among the OCC, FDIC, and Board (i.e., the equivalent of 
40 federally regulated AMCs for each agency) and that FHFA will not 
include those burdens in its totals. The four Agencies have agreed to 
split the total burdens imposed upon participating states and upon non-
federally regulated AMCs evenly between them (i.e., by taking 
responsibility for 25 percent of the burden per agency or, in the case 
of non-federally regulated AMCs, the equivalent of 20 such AMCs for 
each agency).
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    \16\ In FHFA's regulations, this definition is set forth at 12 
CFR 1222.21(c).
    \17\ FHFA anticipates that definitive information on the total 
number of AMCs and on the relative number of federally regulated and 
non-federally regulated AMCs will become available after the AMC 
National Registry becomes fully operational in 2020.
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    Thus, for ICs #1 and #2, which relate to reporting and 
recordkeeping requirements imposed upon participating states, each 
agency is responsible for 25 percent of the total estimated burden. For 
ICs #3 and #4, which relate to reporting and recordkeeping requirements 
imposed upon both federally regulated AMCs and non-federally regulated 
AMCs, the OCC, FDIC, and Board are each responsible for the burden 
imposed upon a total of 60 AMCs (40 federally regulated plus 20 non-
federally regulated), or 30 percent of the total burden, while FHFA is 
responsible only for the burden imposed upon 20 non-federally regulated 
AMCs, or 10 percent of the total burden.
    The Agencies estimate the total annualized hour burden placed on 
respondents by the information collection in the joint AMC regulations 
to be 1,445 hours. FHFA estimates its share of the hour burden to be 
183 hours. The calculations on which those estimates are based are 
described below.

1. State Reporting Requirements (IC #1)

    The total estimated burden hours for states reporting to the ASC 
are calculated by multiplying the number of states by the hour burden 
per state. The burden hours are then divided equally among the FDIC, 
OCC, Board, and FHFA, with each agency responsible for 25 percent of 
the total. For purposes of this calculation, the number of states is 
set at 55 which, in conformity with the regulatory definition of 
``state,'' includes all 50 U.S. states as well as the Commonwealth of 
the Northern Mariana Islands, the District of Columbia, Guam, Puerto 
Rico, and the U.S. Virgin Islands.\18\ The burden estimate of 1 hour 
per report is unchanged from the estimate provided for the currently-
approved ICR. Therefore, the estimated total state reporting burden 
attributable to all of the Agencies is: 55 states x 1 hour/state = 55 
hours. The estimated burden hours attributable to FHFA are 55 hours x 
25 percent = 14 hours (rounded to the nearest whole number).
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    \18\ See 12 CFR 1222.21(o).
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2. State Recordkeeping Requirements (IC #2)

    The estimated burden hours on participating states for developing 
and maintaining an AMC licensing program is calculated by multiplying 
the number of states without a registration and licensing program by 
the hour burden to develop the system. The total burden hours are then 
equally divided among the FDIC, OCC, Board, and FHFA. According to the 
Appraisal Institute, as of July 26, 2017, there were 5 states that had 
not developed a system to register and oversee AMCs.\19\ The burden 
estimate of 40 hours per state without a registration system is 
unchanged from the estimate provided for the currently-approved ICR. 
Therefore, the total estimated burden attributable to all of the 
Agencies is: 5 states x 40 hours/state = 200 hours. The estimated 
burden hours attributable to FHFA are 200 hours x 25 percent = 50 
hours.
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    \19\ Appraisal Institute ``Enacted State AMC Laws,'' https://www.appraisalinstitute.org/advocacy/enacted-state-amc-laws1/.
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3. AMC Reporting Requirements (IC #3)

    The burden for AMC reporting requirements for information needed to 
determine the AMC National Registry fee and information regarding 
compliance with the AMC ownership restrictions is calculated by 
multiplying the number of AMCs by the frequency of response and then by 
the burden per response. As described above, 30 percent of the burden 
hours are then assigned to each of the FDIC, OCC, and Board, while 10 
percent are assigned to FHFA.
    The frequency of response is estimated as the number of states that 
do not have an AMC registration program in which the average AMC 
operates.\20\ As discussed above, 5 states do not have AMC registration 
or

[[Page 36934]]

oversight programs. According to the Consumer Financial Protection 
Bureau (CFPB), the average AMC operates in 19.56 states.\21\ Therefore, 
the average AMC operates in approximately 2 states that do not have AMC 
registration systems: (5 states/55 states) x 19.56 states = 1.778 
states, rounded to 2 states. The burden estimate of one hour per 
response is unchanged from the estimate provided for the currently-
approved ICR. Therefore, the total estimated hour burden is: 200 AMCs x 
2 states x 1 hour = 400 hours. The estimated burden hours attributable 
to FHFA are 400 hours x 10 percent = 40 hours.
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    \20\ The number of states includes all U.S. states, territories, 
and districts to include: The Commonwealth of the Northern Mariana 
Islands; the District of Columbia; Guam; Puerto Rico; and the U.S. 
Virgin Islands.
    \21\ The CFPB conducted a survey of 9 AMCs in 2013 regarding the 
provisions in the regulation and the related PRA burden.
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4. AMC Recordkeeping Requirements (IC #4)

    The burden for recordkeeping by AMCs of written notices of 
appraiser removal from a network or panel is estimated to be equal to 
the number of appraisers who leave the profession per year multiplied 
by the estimated percentage of appraisers who work for AMCs, then 
multiplied by burden hours per notice. As described above, 30 percent 
of the burden hours are then assigned to each of the FDIC, OCC, and 
Board, while 10 percent are assigned to FHFA.
    The number of appraisers who leave an AMC annually, either by 
resigning, being laid off, or having their licenses revoked or 
surrendered, is estimated to be 9,881. The burden estimate of 0.08 
hours per notice is unchanged from the estimate provided for the 
currently-approved ICR. Therefore, the estimated total hour burden is: 
9,881 notices x 0.08 hours = 790 hours (rounded to the nearest whole 
number). The estimated burden hours attributable to FHFA are 790 hours 
x 10 percent = 79 hours.

C. Response to Comments Received

    In accordance with the requirements of 5 CFR 1320.8(d), FHFA 
published an initial notice and request for comments regarding the 
renewal of the PRA clearance for this information collection in the 
Federal Register on May 16, 2018 (``60-day notice'').\22\ The 60-day 
comment period closed on July 16, 2018. FHFA received two comments.
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    \22\ See 83 FR 22681 (May 16, 2018).
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    One comment letter, from an individual, asserted that this 
collection of information is not necessary for the proper performance 
of FHFA functions because ``there is currently too much oversight which 
cost excessive amounts of money'' and that those costs are ``passed 
down to the consumers through the AMCs to cover costs to maintain 
regulatory compliance.'' Because these comments relate to regulatory 
burden generally and not to the collection of information under the 
joint AMC regulation, FHFA has not addressed them in this notice.
    The second comment letter, from a trade association representing 
AMCs, addressed a number of issues relating to the collection of 
information under the joint AMC regulation. First, the commenter stated 
that the collection of information is ``necessary'' and has ``practical 
utility,'' but ``only to the extent that the information collected 
serves the proper purpose to promote appraiser independence while 
ensuring a healthy real estate valuation market.'' FHFA disagrees with 
the commenter's implication that the ``proper purpose'' of the 
collection of information under the joint AMC regulations is limited to 
the promotion of appraiser independence. In fact, as required by 
statute, the AMC regulations address all issues on which the Agencies 
were required to promulgate regulations--including minimum requirements 
for registration of AMCs in participating states,\23\ registration 
limitations for AMCs,\24\ and the reporting of information by AMCs to 
the ASC \25\--and not merely the promotion of appraiser independence. 
The collection of information is necessary for implementation of those 
requirements. To the extent that the commenter disagrees with the scope 
and requirements of the joint AMC regulations, FHFA notes that those 
regulations may not be rescinded or revised through the PRA renewal 
process.
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    \23\ See 12 U.S.C. 3353(a).
    \24\ See 12 U.S.C. 3353(d).
    \25\ See 12 U.S.C. 3353(e).
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    The second comment letter also questioned the accuracy of FHFA's 
estimates of the burdens of the collection of information. Asserting 
that the Agencies' estimate that there are 200 AMCs currently operating 
in the U.S. is too low, the commenter stated, without providing any 
further information or support, that ``industry estimates'' as to the 
number of AMCs ``are closer to 400.'' As stated in the 60-day notice, 
because the actual number of AMCs is not currently known and will not 
be known until the AMC National Registry is fully operational in 2020, 
the Agencies made a best guess that 200 entities currently qualify as 
an AMC, as that term is defined under the joint AMC regulations.\26\ 
Because the commenter has provided no support for its assertion 
regarding the current number of AMCs subject to the joint regulations, 
FHFA's estimate as to that number remains unchanged.
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    \26\ The joint regulations define ``appraisal management 
company'' generally to mean an entity that: (1) Provides appraisal 
management services (for example, maintaining a panel of certified 
and licensed appraisers to perform appraisals, managing the process 
of having an appraisal performed, collecting fees, and paying 
appraisers) to creditors or to secondary mortgage market 
participants; (2) provides such services in connection with valuing 
a consumer's primary dwelling as security for a consumer credit 
transaction or incorporating such transactions into securitizations; 
and (3) oversees an appraiser panel of more than 15 State-certified 
or State-licensed appraisers in a State or 25 or more State-
certified or State-licensed appraisers in two or more States within 
a 12-month period. See 12 CFR 1222.21(c)(1).
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    The commenter further asserted that, contrary to the Agencies' 
estimates that 60 percent of existing AMCs (or 120 out of 200) are 
federally regulated, it knows of only one federally regulated AMC in 
existence. As with respect to the total number of AMCs, the Agencies 
made a best guess estimate as to the relative number of federally 
regulated and non-federally-regulated AMCs in the absence of any 
available empirical data on this issue pending completion of the AMC 
National Registry. As explained above, that estimate has no bearing on 
the Agencies' estimates as to the total amount of burden imposed by the 
collections of information under the joint AMC regulations, but relates 
only to the appropriate distribution among the rulemaking Agencies of 
responsibility (under the PRA) for a portion of the total estimated 
burden. Given this, and the lack of support provided by the commenter 
for its estimate as to the actual number of federally regulated AMCs, 
FHFA's estimate as to the relative number remains unchanged from that 
reflected in the 60-day notice.
    Other issues addressed in the second comment letter, including 
recommendations that the ASC issue additional guidance to states and 
AMCs concerning the AMC minimum requirements, find opportunities to 
develop reporting efficiencies in the state licensing system, and be 
more aggressive in supporting modernization of the outdated National 
Appraiser Registry do not relate to the collection of information under 
the joint AMC regulation. The Agencies, however, will forward these 
suggestions to the ASC for consideration.

D. Comments Request

    In accordance with the requirements of 5 CFR 1320.10(a), FHFA is 
publishing

[[Page 36935]]

this second notice to request comments regarding the following: (1) 
Whether the collection of information is necessary for the proper 
performance of FHFA functions, including whether the information has 
practical utility; (2) the accuracy of FHFA's estimates of the burdens 
of the collection of information; (3) ways to enhance the quality, 
utility, and clarity of the information collected; and (4) ways to 
minimize the burden of the collection of information on respondents, 
including through the use of automated collection techniques or other 
forms of information technology.

    Dated: July 26, 2018.
Kevin Winkler,
Chief Information Officer, Federal Housing Finance Agency.
[FR Doc. 2018-16350 Filed 7-30-18; 8:45 am]
 BILLING CODE 8070-01-P