2017-16019

Federal Register, Volume 82 Issue 146 (Tuesday, August 1, 2017)

[Federal Register Volume 82, Number 146 (Tuesday, August 1, 2017)]

[Notices]

[Pages 35764-35767]

From the Federal Register Online via the Government Publishing Office [www.gpo.gov]

[FR Doc No: 2017-16019]

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COMMODITY FUTURES TRADING COMMISSION

Agency Information Collection Activities Under OMB Review

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice.

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SUMMARY: In compliance with the Paperwork Reduction Act of 1995 (PRA),

this notice announces that the Information Collection Request (ICR)

abstracted below has been forwarded to the Office of Management and

Budget (OMB) for review and comment. The ICR describes the nature of

the information collection and its expected costs and burden.

DATES: Comments must be submitted on or before August 31, 2017.

ADDRESSES: Comments regarding the burden estimate or any other aspect

of the information collection, including suggestions for reducing the

burden, may be submitted directly to the Office of Information and

Regulatory Affairs (OIRA) in OMB within 30 days of this notice's

publication by either of the following methods. Please identify the

comments by ``OMB Control No. 3038-0081''.

By email addressed to: [email protected] or

By mail addressed to: the Office of Information and

Regulatory Affairs, Office of Management and Budget, Attention Desk

Officer for the Commodity Futures Trading Commission, 725 17th Street

NW., Washington, DC 20503.

A copy of all comments submitted to OIRA should be sent to the

Commodity Futures Trading Commission (the ``Commission'') by either of

the following methods. The copies should refer to ``OMB Control No.

3038-0081''.

By mail addressed to: Christopher Kirkpatrick, Secretary

of the Commission, Commodity Futures Trading Commission, Three

Lafayette Centre, 1155 21st Street NW., Washington, DC 20581;

By Hand Delivery/Courier to the same address; or

Through the Commission's Web site at http://comments.cftc.gov. Please follow the instructions for submitting

comments through the Web site.

A copy of the supporting statement for the collection of

information discussed herein may be obtained by visiting http://RegInfo.gov.

All comments must be submitted in English, or if not, accompanied

by an English translation. Comments will be posted as received to

http://www.cftc.gov. You should submit only information that you wish

to make available publicly. If you wish the Commission to consider

information that you believe is exempt from disclosure under the

Freedom of Information Act, a petition for confidential treatment of

the exempt information may be submitted according to the procedures

established in Sec. 145.9 of the Commission's regulations.\1\ The

[[Page 35765]]

Commission reserves the right, but shall have no obligation, to review,

pre-screen, filter, redact, refuse or remove any or all of your

submission from http://www.cftc.gov that it may deem to be

inappropriate for publication, such as obscene language. All

submissions that have been redacted or removed that contain comments on

the merits of the ICR will be retained in the public comment file and

will be considered as required under the Administrative Procedure Act

and other applicable laws, and may be accessible under the Freedom of

Information Act.

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\1\ 17 CFR 145.9.

FOR FURTHER INFORMATION CONTACT: Robert Wasserman, Chief Counsel,

Division of Clearing and Risk, Commodity Futures Trading Commission,

(202) 418-5092; email: [email protected], and refer to OMB Control

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No. 3038-0081.

SUPPLEMENTARY INFORMATION:

Title: Derivatives Clearing Organizations, General Regulations and

International Standards; OMB Control No. 3038-0081. This is a request

for extension of a currently approved OMB Control No. containing two

information collections consolidated into OMB Control No. 3038-0081.

Derivatives Clearing Organization General Provisions and Core

Principles.\2\ Section 725(c) of the Dodd-Frank Act amended Section

5b(c)(2) of the CEA to allow the Commission to establish regulatory

standards for compliance with the DCO core principles. Accordingly, the

Commission adopted a final rule to set specific standards for

compliance with DCO Core Principles.\3\ The DCO Final Rule requires the

appointment of a CCO, the filing of an annual report and adherence to

certain recordkeeping requirements.\4\ The information collected

pursuant to those regulations is necessary for the Commission to

evaluate whether DCOs are complying with Commission regulations.

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\2\ The 60-day Federal Register notice, 82 FR 24688, May 30,

2017, identified this information collection as ``Annual report

provided for in Derivatives Clearing Organization General Provisions

and Core Principles.''

\3\ See Derivatives Clearing Organization General Provisions and

Core Principles, 76 FR 69334 (November 8, 2011) (DCO Final Rule).

\4\ These DCO recordkeeping requirements and associated costs

are captured in separate proposed rulemakings under separate OMB

Control Nos.; specifically, see Risk Management Requirements for

Derivatives Clearing Organizations; 76 FR 3698 (Jan. 20, 2011)(OMB

Control No. 3038-0076); Information Management Requirements for

Derivatives Clearing Organizations, 75 FR 78185 (Dec. 15, 2010))

(OMB Control No. 3038-0069); and Financial Resources requirements

for Derivatives Clearing Organizations, 75 FR 63113 (Oct. 14,

2010)(OMB Control No. 3038-0066).

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Derivatives Clearing Organizations and International Standards.\5\

In the SIDCO-Subpart C DCO Final Rule, the Commission adopted

amendments to its regulations to establish additional standards for

compliance with the DCO core principles set forth in Section 5b(c)(2)

of the CEA for systemically important DCOs (``SIDCOs'') and DCOs that

elect to opt-in to the SIDCO regulatory requirements (``Subpart C

DCOs'') which are consistent with certain international standards.\6\

Specifically, the additional requirements address any remaining gaps

between the Commission's existing regulations and the Principles for

Financial Market Infrastructures (``PFMI'') published by the Committee

on Payments and Market Infrastructures and the Board of the

International Organization of Securities Commissions.

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\5\ The 60-day Federal Register notice, 82 FR 24688, May 30,

2017, identified this information collection as Subpart C Election

Form and other reporting and recordkeeping requirements provided for

in subpart C, part 39 of the Commission Regulations.

\6\ See Derivatives Clearing Organizations and International

Standards, 78 FR 72476 (December 2, 2013) (SIDCO-Subpart C DCO Final

Rule).

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The SIDCO-Subpart C DCO Final Rule also established the process

whereby DCO and DCO applicants, respectively, may elect to become

Subpart C DCOs subject to the provisions of Subpart C. The election

involves filing the Subpart C Election Form contained in appendix B to

part 39 of the Commission's regulations, which involves completing

certifications, providing exhibits, and drafting and publishing

responses to the PFMI Disclosure Framework and PFMI Quantitative

Information Disclosure, as applicable. Additionally, the SIDCO-Subpart

C DCO Final Rule provides for Commission requests for supplemental

information from those requesting Subpart C DCO status; requires

amendments to the Subpart C Election Form in the event that a DCO or

DCO Applicant, respectively, discovers a material omission or error in,

or if there is a material change in, the information provided in the

Subpart C Election Form; to submit a notice of withdrawal to the

Commission in the event the DCO or DCO applicant determines not to seek

Subpart C DCO status prior to such status becoming effective; and

procedures by which a Subpart C DCO may rescind its Subpart C DCO

status after it has been permitted to take effect. Further, each of

these requirements implies recordkeeping that would be produced by a

DCO to the Commission on an occasional basis to demonstrate compliance

with the rules. The information that would be collected under the

SIDCO-Subpart C DCO Final Rule, part 39 of the Commission Regulations,

is necessary for the Commission to determine whether a DCO meets the

Subpart C DCO standards and is likely to be able to maintain compliance

with such standards; to evaluate whether SIDCOs and Subpart C DCOs are

complying with Commission regulations; and to perform risk analyses

with respect to SIDCOs and Subpart C DCOs.

An agency may not conduct or sponsor, and a person is not required

to respond to, a collection of information unless it displays a

currently valid OMB control number. On May 30, 2017, the Commission

published in the Federal Register notice of the proposed extension of

this information collection and provided 60 days for public comment on

the proposed extension, 82 FR 24688 (``60-Day Notice'').

Burden Statement: The Commission is not revising its estimate of

the burden for this collection. The respondent burden for this

collection is estimated to be as follows:

Estimated Number of Respondents: With respect to the DCO Final

Rule, the estimated number of respondents is 12. With respect to the

SIDCO-Subpart C DCO Rule, the estimated number of respondents is 7.

Estimated Average Burden Hours Per Respondent: With respect to the

DCO Final Rule, the estimated average burden hours is 80. With respect

to the SIDCO-Subpart C DCO Rule, the estimated average burden hours is

2,502.

Estimated Total Annual Burden Hours: With respect to the DCO Final

Rule, the total annual burden hours is estimated to be 960. With

respect to the SIDCO-Subpart C DCO Rule, the total annual burden hours

is estimated to be 17,512.

Frequency of Collection: With respect to the DCO Final Rule, the

estimated frequency of collection is annual. With respect to the SIDCO-

Subpart C DCO Rule, the frequency of collection is annual and

occasional.

The total annual time burden for all respondents is estimated to be

18,472 hours.

See Appendix A for an individual breakdown for burden for annual

reports provided for in Derivatives Clearing Organization General

Provisions and Core Principles.

See Appendix B for an individual breakdown for burden for

Derivatives Clearing Organizations and International Standards (Subpart

C Election Form and other reporting and recordkeeping requirements

provided

[[Page 35766]]

for in subpart C, part 39 of the Commission Regulations).

There are no capital costs or operating and maintenance costs

associated with this collection.

Authority: 44 U.S.C. 3501 et seq.

Dated: July, 25, 2017.

Robert N. Sidman,

Deputy Secretary of the Commission.

Note: The following appendices will not appear in the Code of

Federal Regulations.

Appendix A--Derivatives Clearing Organization General Provisions and

Core Principles OMB Collection 3038-0081.

The regulations under this final rulemaking require DCOs to

report information to the Commission on an annual basis but allow

the Commission to collect information at other times as necessary.

Annual Reporting Requirements For Derivatives Clearing Organizations

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Estimated

total number

Reports Estimated of hours of

Estimated number of respondents per year annually by Total annual average number annual burden

each responses of hours per in fiscal year

respondent response (maximum:

12x80)

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12.......................................... 1 12 40-80 480-960

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Appendix B--Subpart C Election Form and Other Reporting and

Recordkeeping Requirements Provided for in Subpart C, Part 39 of the

Commission Regulations OMB Collection 3038-0081

SIDCO/Subpart C DCO Regulations--Reporting Collection

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Estimated

Estimated Estimated total number

number of Reports Total annual average of hours of

respondents annually by responses number of annual burden

per year each hours per in fiscal

response year

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Certifications--Subpart C 5 1 5 25 125

Election Form..................

Exhibits A thru G--Subpart C 5 1 5 155 775

Election Form..................

Disclosure Framework Responses.. 5 1 5 200 1,000

Quantitative Information 5 1 5 80 400

Disclosures....................

Supplemental Information........ 5 5 25 45 1,125

Amendments to Subpart C Election 5 3 15 8 120

Form...........................

Withdrawal Notices.............. 1 1 1 2 2

Rescission Notices.............. 1 75 75 3 225

Written Governance Arrangements. 7 1 7 200 1,400

Governance Disclosures.......... 7 6 42 3 126

Financial and Liquidity Resource 7 1 7 120 840

Documentation..................

Stress Test Results............. 7 16 112 14 1,568

Disclosure Framework 2 1 2 200 400

Requirements (SIDCOs Only).....

Disclosure Framework 7 1 7 80 560

Requirements (Both)............

Quantitative Information 2 1 2 80 160

Disclosures (SIDCOs Only)......

Quantitative Information 7 1 7 35 245

Disclosures (Both).............

Transaction, Segregation, 7 2 14 35 490

Portability Disclosures........

Efficiency and Effectiveness 7 1 7 3 21

Review.........................

Recovery and Wind-Down Plan..... 7 1 7 480 3,360

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Totals...................... .............. 120 350 1,768 12,942

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SIDCO/Subpart C DCO Regulations--Recordkeeping Collection

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Estimated

Estimated Estimated total number

number of Records to be Total annual average of hours of

recordkeepers kept annually responses number of annual burden

per year by each hours per in fiscal

record year

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Generally....................... 5 82 410 1 2,050

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Liquidity Resource Due Diligence 7 4 28 10 280

and Testing....................

Financial and Liquidity 7 4 28 10 280

Resources, Excluding Due

Diligence......................

Generally....................... 7 28 196 10 1960

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Totals...................... .............. 118 662 31 4570

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[FR Doc. 2017-16019 Filed 7-31-17; 8:45 am]

BILLING CODE 6351-01-P

 

Last Updated: August 1, 2017