[Federal Register Volume 81, Number 39 (Monday, February 29, 2016)]
[Notices]
[Pages 10364-10366]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-04255]
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DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
Agency Information Collection Activities; Information Collection
Renewal; Comment Request; Funding and Liquidity Risk Management
AGENCY: Office of the Comptroller of the Currency (OCC), Treasury.
ACTION: Notice and request for comment.
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SUMMARY: The OCC, as part of its continuing effort to reduce paperwork
and respondent burden, invites the general public and other Federal
agencies to take this opportunity to comment on a continuing
information collection, as required by the Paperwork Reduction Act of
1995 (PRA).
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In accordance with the requirements of the PRA, the OCC 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 OCC is soliciting comment concerning renewal of its information
collection titled, ``Funding and Liquidity Risk Management.''
DATES: Comments must be received by April 29, 2016.
ADDRESSES: Because paper mail in the Washington, DC area and at the OCC
is subject to delay, commenters are encouraged to submit comments by
email, if possible. Comments may be sent to: Legislative and Regulatory
Activities Division, Office of the Comptroller of the Currency,
Attention: 1557-0244, 400 7th Street SW., Suite 3E-218, Mail Stop 9W-
11, Washington, DC 20219. In addition, comments may be sent by fax to
(571) 465-4326 or by electronic mail to [email protected]. You may
personally inspect and photocopy comments at the OCC, 400 7th Street
SW., Washington, DC 20219. For security reasons, the OCC requires that
visitors make an appointment to inspect comments. You may do so by
calling (202) 649-6700 or, for persons who are deaf or hard of hearing,
TTY, (202) 649-5597. Upon arrival, visitors will be required to present
valid government-issued photo identification and submit to security
screening in order to inspect and photocopy comments.
All comments received, including attachments and other supporting
materials, are part of the public record and subject to public
disclosure. Do not include any information in your comment or
supporting materials that you consider confidential or inappropriate
for public disclosure.
FOR FURTHER INFORMATION CONTACT: Shaquita Merritt, OCC Clearance
Officer, (202) 649-5490 or, for persons who are deaf or hard of
hearing, TTY, (202) 649-5597, Legislative and Regulatory Activities
Division, Office of the Comptroller of the Currency, 400 7th Street
SW., Suite 3E-218, Mailstop 9W-11, Washington, DC 20219.
SUPPLEMENTARY INFORMATION: Under the PRA (44 U.S.C. 3501-3520), Federal
agencies must obtain approval from 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(c) to include 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 OCC is publishing notice of the collection of information set forth
in this document.
The OCC is proposing to extend OMB approval of the following
information collection:
Title: Funding and Liquidity Risk Management.
OMB Control No.: 1557-0244.
Type of Review: Extension, without revision, of a currently
approved collection.
Description: The Interagency Policy Statement on Funding and
Liquidity Risk Management \1\ (Policy Statement) summarizes the
principles of sound liquidity risk management that the agencies have
issued in the past \2\ and, where appropriate, harmonizes these
principles with the international statement issued by the Basel
Committee on Banking Supervision titled ``Principles for Sound
Liquidity Risk Management and Supervision.'' \3\ The Policy Statement
emphasizes supervisory expectations for all depository institutions
including banks, savings associations, and credit unions.
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\1\ 75 FR 13656 (Mar. 22, 2010).
\2\ For national banks and Federal savings associations, see the
Comptroller's Handbook on Liquidity. For state member banks and bank
holding companies, see the Federal Reserve's Commercial Bank
Examination Manual (section 4020), Bank Holding Company Supervision
Manual (section 4010), and Trading and Capital Markets Activities
Manual (section 2030). For state non-member banks, see the FDIC's
Revised Examination Guidance for Liquidity and Funds Management
(Trans. No. 2002-01) (Nov. 19, 2001), and Financial Institution
Letter 84-2008, Liquidity Risk Management (August 2008). For
Federally insured credit unions, see Letter to Credit Unions No. 02-
CU-05, Examination Program Liquidity Questionnaire (March 2002).
Also see Basel Committee on Banking Supervision, ``Principles for
Sound Liquidity Risk Management and Supervision'' (September 2008).
\3\ Basel Committee on Banking Supervision, ``Principles for
Sound Liquidity Risk Management and Supervision,'' September 2008.
See www.bis.org/publ/bcbs144.htm. Federally insured credit unions
are not directly referenced in the principles issued by the Basel
Committee.
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Section 14 of the Policy Statement provides that financial
institutions should consider liquidity costs, benefits, and risks in
strategic planning and budgeting processes. Significant business
activities should be evaluated for liquidity risk exposure as well as
profitability. More complex and sophisticated financial institutions
should incorporate liquidity costs, benefits, and risks in the internal
product pricing, performance measurement, and new product approval
process for all material business lines, products, and activities.
Incorporating the cost of liquidity into these functions should align
the risk-taking incentives of individual business lines with the
liquidity risk exposure their activities create for the institution as
a whole. The quantification and attribution of liquidity risks should
be explicit and transparent at the line management level, and should
include consideration of how liquidity would be affected under stressed
conditions.
Section 20 of the Policy Statement states that liquidity risk
reports should provide aggregate information with sufficient supporting
detail to enable management to assess the sensitivity of the
institution to changes in market conditions, its own financial
performance, and other important risk factors. Institutions also should
report on the use of and availability of government support, such as
lending and guarantee programs, and implications on liquidity
positions, particularly since these programs are generally temporary or
reserved as a source for contingent funding.
Affected Public: Businesses or other for-profit.
Frequency: On occasion.
Estimated Burden
The OCC estimates the burden of this collection of information on
national banks and Federal savings associations as follows:
Estimated Number of Respondents: 1,469 total, 15 large (over $100
billion in assets), 46 mid-size ($10--$100 billion), 1,408 small (less
than $10 billion).
Estimated Burden under Section 14: 360 hours per large respondent,
120 hours per mid-size respondent, and 40 hours per small respondent.
Estimated Burden under Section 20: 2 hours per month.
Total Estimated Burden Hours: 102,496 hours.
Comments: Comments submitted in response to this notice will be
summarized and included in the request for OMB approval. All comments
will become a matter of public record. Comments are invited on:
(a) Whether the information collections are necessary for the
proper performance of the functions of the OCC, including whether the
information has practical utility;
(b) The accuracy of the OCC's estimate of the information
collection burden;
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(c) Ways to enhance the quality, utility, and clarity of the
information to be collected;
(d) Ways to minimize the burden of information collections on
respondents, including through the use of automated collection
techniques or other forms of information technology; and
(e) Estimates of capital or start-up costs and costs of operation,
maintenance, and purchase of the services necessary to provide the
required information.
Dated: February 23, 2016.
Mary Hoyle Gottlieb,
Regulatory Specialist, Legislative and Regulatory Activities Division.
[FR Doc. 2016-04255 Filed 2-26-16; 8:45 am]
BILLING CODE 4810-33-P