2023-14358
[Federal Register Volume 88, Number 133 (Thursday, July 13, 2023)]
[Notices]
[Pages 44781-44782]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-14358]
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COMMODITY FUTURES TRADING COMMISSION
Agency Information Collection Activities: Proposed Collection,
Comment Request: Governance Requirements for Derivatives Clearing
Organizations
AGENCY: Commodity Futures Trading Commission.
ACTION: Notice.
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SUMMARY: The Commodity Futures Trading Commission (``CFTC'' or
``Commission'') is announcing an opportunity for public comment on the
proposed collection of certain information by the agency. Under the
Paperwork Reduction Act (``PRA''), Federal agencies are required to
publish notice in the Federal Register concerning each proposed
collection of information, including proposed extension of an existing
collection of information, and to allow 60 days for public comment.
This notice is being published concurrently with the publication and
adoption of the final rule titled ``Governance Requirements for
Derivatives Clearing Organizations'' (``Final Rule'').
DATES: Comments must be submitted on or before September 11, 2023.
ADDRESSES: You may submit comments, identified by ``Requirements for
Derivatives Clearing Organizations OMB Control No. 3038-0076'' by any
of the following methods:
CFTC Website: https://comments.cftc.gov/. Follow the
instructions for submitting comments through the website.
Mail: Christopher Kirkpatrick, Secretary of the
Commission, Commodity Futures Trading Commission, Three Lafayette
Centre, 1155 21st Street NW, Washington, DC 20581.
Hand Delivery/Courier: Same as Mail, above.
Please submit your comments using only one method.
FOR FURTHER INFORMATION CONTACT: Joseph Opron, Special Counsel,
Division of Clearing and Risk, Commodity Futures Trading Commission,
(312) 596-0653; email: [email protected].
SUPPLEMENTARY INFORMATION: Under the PRA, 44 U.S.C. 3501 et seq.,
Federal agencies must obtain approval from the Office of Management and
Budget (``OMB'') for each collection of information they conduct or
sponsor. ``Collection of Information'' is defined in 44 U.S.C. 3502(3)
and 5 CFR 1320.3 and includes agency requests or requirements that
members of the public submit reports, keep records, or provide
information to a third party. Section 3506(c)(2)(A) of the PRA, 44
U.S.C. 3506(c)(2)(A), requires Federal agencies to provide a 60-day
notice in the Federal Register concerning each proposed collection of
information, including each proposed extension of an existing
collection of information, before submitting the collection to OMB for
approval. To comply with this requirement, the CFTC is publishing
notice of the proposed collection of information listed below. 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.
Title: Requirements for Derivatives Clearing Organizations, OMB
Control No. 3038-0076. This is a request for a revision of a currently
approved information collection.
Abstract: Concurrently with this notice, the Commission published
the Final Rule adopting amendments that included new information
collection requirements. The revised rules require a DCO to create and
maintain minutes of each Risk Management Committee Meeting and to
maintain written policies and procedures to make certain that its RMC
includes at least two clearing member representatives and, if
applicable, at least two representatives of customers of clearing
members. The revised rules also require a DCO to adopt written policies
and procedures related to the formation and role of each RWG, and to
include in those policies and procedures requirements for the DCO to
document and provide to the RMC, at a minimum, a summary of the topics
discussed and the main points raised during each meeting of the RWG.
With respect to each new collection of information, the CFTC
invites comments on:
Whether the proposed collection of information is
necessary for the proper performance of the functions of the
Commission, including whether the information will have a practical
use;
The accuracy of the Commission's estimate of the burden of
the proposed collection of information, including the validity of the
methodology and assumptions used;
Ways to enhance the quality, usefulness, and clarity of
the information to be collected; and
Ways to minimize the burden of collection of information
on those who are to respond, including through the use of appropriate
automated electronic, mechanical, or other technological collection
techniques or other forms of
[[Page 44782]]
information technology; e.g., permitting electronic submission of
responses.
All comments must be submitted in English, or if not, accompanied
by an English translation. Comments will be posted as received to
https://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\
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\1\ 17 CFR 145.9.
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The 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 https://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.
Burden Statement: The Commission is revising its burden estimate
for OMB control number 3038-0076 to account for the amendments
described above. Specifically, the Commission believes that the burden
under this clearance will increase because the 15 DCOs subject to these
requirements will be required under Sec. 39.24(b)(11) to create and
maintain minutes of each RMC meeting, and under Sec. 39.24(b)(12) to
document and provide to the RMC, at a minimum, a summary of the topics
discussed and the main points raised during each meeting of the RWG.
The Commission estimates a DCO will spend an average of four hours
creating minutes of each RMC meeting and four hours documenting a
summary of the topics discussed and the main points raised during each
meeting of the RWG, which includes attending the meeting, taking notes,
and putting the notes into the required format following the meeting.
The Commission estimates that a DCO's RMC and RWG will each need to
hold an average of six meetings per year to satisfy the Sec.
39.24(b)(11) and (12) requirements that a DCO's RMC and RWG address all
matters that could materially affect the risk profile of the DCO. Based
upon the above, the estimated hour burden for this collection is
calculated as follows:
Estimated number of respondents: 15.\2\
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\2\ The Commission notes that while new Sec. 39.24(d) provides
that a DCO may satisfy the requirements of paragraphs (b)(11),
(b)(12), (c)(1)(iv), and (c)(3) by having rules that permit it to
clear only fully collateralized positions, such DCOs are included in
the total estimated number of respondents because these DCOs would
still be required to develop and disclose governance arrangements
required by the other provisions of Sec. 39.24. The Commission's
estimate is therefore conservative to the extent that these DCOs are
not required to prepare and maintain minutes of each RMC meeting,
and document and provide to the RMC, at a minimum, a summary of the
topics discussed and the main points raised during each meeting of
the RWG.
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Estimated number of reports per respondent: 18.
Average number of hours per report: 4.
Estimated gross annual reporting burden: 1,080.
There are no capital costs or operating and maintenance costs
associated with this collection.
(Authority: 44 U.S.C. 3501 et seq.)
Dated: July 3, 2023.
Christopher Kirkpatrick,
Secretary of the Commission.
[FR Doc. 2023-14358 Filed 7-12-23; 8:45 am]
BILLING CODE 6351-01-P