[Federal Register Volume 78, Number 204 (Tuesday, October 22, 2013)]
[Notices]
[Pages 62632-62633]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-24533]


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FEDERAL DEPOSIT INSURANCE CORPORATION


Agency Information Collection Activities; Proposed Collection 
Renewal; Comment Request Re: Guidance on Sound Incentive Compensation 
Practices

AGENCY: Federal Deposit Insurance Corporation (FDIC).

ACTION: Notice and request for comment.

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SUMMARY: In accordance with the requirements of the Paperwork Reduction 
Act (PRA) of 1995 (44 U.S.C. chapter 35), the FDIC may not conduct or 
sponsor, and the respondent is not required to respond to, an 
information collection unless it displays a currently valid Office of 
Management and Budget (OMB) control number. The FDIC hereby gives 
notice that it is seeking comment on renewal of its information 
collection, entitled Guidance on Sound Incentive Compensation Practices 
(OMB No. 3064-0175). At the end of the comment period, any comments and 
recommendations received will be analyzed to determine the extent to 
which the collections should be modified prior to submission to OMB for 
review and approval.

DATES: Comments must be submitted on or before December 23, 2013.

ADDRESSES: Interested parties are invited to submit written comments to 
the FDIC by any of the following methods:
     http://www.FDIC.gov/regulations/laws/federal/notices.html.

[[Page 62633]]

     Email: [email protected] Include the name of the 
collection in the subject line of the message.
     Mail: Leneta G. Gregorie (202-898-3719), Counsel, Room 
NYA-5050, Federal Deposit Insurance Corporation, 550 17th Street NW., 
Washington, DC 20429.
     Hand Delivery: Comments may be hand-delivered to the guard 
station at the rear of the 17th Street Building (located on F Street), 
on business days between 7:00 a.m. and 5:00 p.m.
    All comments should refer to the relevant OMB control number. A 
copy of the comments may also be submitted to the OMB desk officer for 
the FDIC: Office of Information and Regulatory Affairs, Office of 
Management and Budget, New Executive Office Building, Washington, DC 
20503.

FOR FURTHER INFORMATION CONTACT: Leneta Gregorie, at the FDIC address 
above.

SUPPLEMENTARY INFORMATION: Proposal to renew the following currently 
approved collections of information:
    Title: Guidance on Sound Incentive Compensation Practices.
    OMB Number: 3064-0175.
    Frequency of Response: Implementation--once; maintenance--annual.
    Affected Public: Insured state nonmember banks.
    Estimated Number of Respondents: 4890 (20 large banks, 4870 small 
banks).
    Estimated Time per Response: Implementation--80 hours, small banks 
and; 480 hours, large banks; maintenance--40 hours, all banks.
    Total Annual Burden: 594,800 hours (one-time implementation--
399,200 hours; ongoing maintenance--195,600).
    General Description of Collection: The Guidance on Sound Incentive 
Compensation Practices helps ensure that incentive compensation 
policies at insured state non-member banks do not encourage excessive 
risk-taking and are consistent with the safety and soundness of the 
organization. Under the Guidance, banks are required to: (i) Have 
policies and procedures that identify and describe the role(s) of the 
personnel and units authorized to be involved in incentive compensation 
arrangements, identify the source of significant risk-related inputs, 
establish appropriate controls governing these inputs to help ensure 
their integrity, and identify the individual(s) and unit(s) whose 
approval is necessary for the establishment or modification of 
incentive compensation arrangements; (ii) create and maintain 
sufficient documentation to permit an audit of the organization's 
processes for incentive compensation arrangements; (iii) have any 
material exceptions or adjustments to the incentive compensation 
arrangements established for senior executives approved and documented 
by its board of directors; and (iv) have its board of directors receive 
and review, on an annual or more frequent basis operation of the 
organization's incentive compensation system in providing risk-taking 
incentives that are consistent with the organization's safety and 
soundness.

Request for Comment

    Comments are invited on: (a) Whether the collection of information 
is necessary for the proper performance of the FDIC's functions, 
including whether the information has practical utility; (b) the 
accuracy of the estimates of the burden of the information collection, 
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 information 
collection 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, this 10th day of October 2013.

Federal Deposit Insurance Corporation.
Robert E. Feldman,
Executive Secretary.
[FR Doc. 2013-24533 Filed 10-21-13; 8:45 am]
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