[Federal Register: April 7, 2004 (Volume 69, Number 67)]
[Notices]
[Page 18383-18384]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr07ap04-55]
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FEDERAL RESERVE SYSTEM
Agency Information Collection Activities: Announcement of Board
Approval Under Delegated Authority and Submission to OMB
SUMMARY: Notice is hereby given of the final approval of proposed
information collections by the Board of Governors of the Federal
Reserve System (Board) under OMB delegated authority, as per 5 CFR
1320.16 (OMB Regulations on Controlling Paperwork Burdens on the
Public). Board-approved collections of information are incorporated
into the official OMB inventory of currently approved collections of
information. Copies of the OMB 83-I's and supporting statements and
approved collection of information instrument(s) are placed into OMB's
public docket files. The Federal Reserve may not conduct or sponsor,
and the respondent is not required to respond to, an information
collection that has been extended, revised, or implemented on or after
October 1, 1995, unless it displays a currently valid OMB control
number.
FOR FURTHER INFORMATION CONTACT: Acting Federal Reserve Clearance
Officer-Michelle Long-Division of Research and Statistics, Board of
Governors of the Federal Reserve System, Washington, DC 20551 (202-452-
3829).
OMB Desk Officer-Joseph Lackey-Office of Information and Regulatory
Affairs, Office of Management and Budget, New Executive Office
Building, Room 10235, Washington, DC 20503.
Final Approval Under OMB Delegated Authority of the Extension for Three
Years, With Revision, of the Following Reports
1. Report title: Annual Report of Bank Holding Companies.
Agency form number: FR Y-6.
OMB Control number: 7100-0124.
Frequency: Annual.
Reporters: top-tier domestic Bank Holding Companies (BHCs).
Annual reporting hours: 21,913 hours.
Estimated average hours per response: 4.25 hours.
Number of respondents: 5,156.
General description of report: This information collection is
mandatory: Section 5(c)(1)(A) of the Bank Holding Company Act (12
U.S.C. Sec. 1844(c)(1)(A)); Section 8(a) of the International Banking
Act (12 U.S.C. Sec. 3106(a)); Sections 11(a)(1), 25 and 25A of the
Federal Reserve Act (12 U.S.C. Sec. Sec. 248(a)(1), 602, and 611a);
Section 211.13(c) of Regulation K (12 CFR 211.13(c)); and Section
225.5(b) of Regulation Y (12 CFR 225.5(b)). Individual respondent data
are not considered as confidential. However, a company may request
confidential treatment pursuant to sections (b)(4) and (b)(6) of the
Freedom of Information Act (5 U.S.C. Sec. Sec. 522(b)(4) and (b)(6)).
Abstract: The FR Y-6 is an annual report filed by top-tier BHCs,
and collects financial data, an organization chart, and information
about shareholders. The Federal Reserve uses the data to monitor
holding company operations and determine holding company compliance
with the provisions of the BHC Act and Regulation Y.
Current actions: On December 5, 2003, the Federal Reserve issued
for public comment proposed revisions to the Annual Report of Bank
Holding Companies (68 FR 68083). The comment period expired on February
3, 2004. The proposed revisions included requiring that only top-tier
BHCs file the FR Y-6 report, eliminating Report Item 1(a) that requires
a BHC to submit a copy of its Securities and Exchange Commission form
10-K, adding three minor items to the cover page, and clarifying
several areas in the instructions.
The Federal Reserve did not receive any comment letters directly
related to the proposed changes; however, one small BHC suggested the
Federal Reserve allow a reporting exemption for BHCs with consolidated
assets less than $500 million. The Federal Reserve relies heavily on
off-site reports for smaller BHCs in order to limit the frequency of
on-site inspections. Additionally, certain information collected on the
FR Y-6 is not available from other sources for nonpublic companies,
which is most of the population of BHCs with less than $500 million in
consolidated assets. Accordingly, the Federal Reserve has decided to
retain the FR Y-6 reporting requirement for BHCs with consolidated
assets less than $500 million.
The Federal Reserve approved revisions to the FR Y-6 as proposed,
effective with fiscal years beginning after December 31, 2003.
2. Report titles: Report of Changes in Organizational Structure and
Report of Changes in FBO Organizational Structure
Agency form numbers: FR Y-10 and FR Y-10F.
OMB control number: 7100-0297.
Frequency: Event generated.
Reporters: FR Y-10: Top-tier domestic BHCs, including financial
holding companies (FHCs), and unaffiliated state member banks; FR Y-
10F: foreign banking organizations (FBOs), including FHCs.
Annual reporting hours: FR Y-10: 9,792 hours; FR Y-10F: 1,635
hours.
Estimated average hours per response: FR Y-10: 1 hour; FR Y-10F: 1
hour.
Number of respondents: FR Y-10: 2,448; FR Y-10F: 327.
General description of reports: These information collections are
mandatory: Sections 4(k) and 5(c)(1)(A) of the Bank Holding Company Act
(12 U.S.C. Sec. Sec. 1843(k), 1844(c)(1)(A)); Section 8(a) of the
International Banking Act (12 U.S.C. Sec. 3106(a)); Sections 11(a)(1),
25(7) and 25A of the Federal Reserve Act (12 U.S.C. Sec. Sec.
248(a)(1), 602, and 611a); Section 211.13(c) of Regulation K (12 CFR
211.13(c)); and Sections 225.5(b) and 225.87 of Regulation Y (12 CFR
225.5(b) and 225.87). Individual respondent data are not considered as
confidential. However, a company may request confidential treatment
pursuant to sections (b)(4) and (b)(6) of the Freedom of Information
Act (5 U.S.C. Sec. Sec. 522(b)(4) and (b)(6)).
Abstract: The FR Y-10 is filed by top-tier domestic BHCs, including
FHCs, and state member banks unaffiliated with a BHC or FHC, to capture
changes in their regulated investments and activities. The Federal
Reserve uses the data to monitor structure information on subsidiaries
and regulated investments of these entities engaged in both banking and
nonbanking activities.
The FR Y-10F is filed by FBOs, including FHCs, to capture changes
in their regulated investments and activities. The Federal Reserve uses
the data to ensure compliance with U.S. banking laws and regulations
and to determine the risk profile of the FBO structure.
[[Page 18384]]
Current actions: On December 5, 2003, the Federal Reserve issued
for public comment proposed revisions to the Report of Changes in
Organizational Structure and Report of Changes in FBO Organizational
Structure (68 FR 68083). The comment period expired on February 3,
2004. The proposed revisions to the reporting forms consist primarily
of reorganizing line items into separate schedules for banking and
nonbanking investments. In addition, the Federal Reserve proposed to
replace the Federal Reserve System activity codes with the North
American Industrial Classification System codes and to reorganize and
clarify the instructions. The Federal Reserve received comment letters
from two large BHCs. The comments received are addressed below.
One commenter advocated an exemption from FR Y-10 filing
requirements for direct and indirect investments in all companies
formed to hold certain affordable housing projects. The Federal Reserve
considers the magnitude of some such investments a matter of
supervisory interest and will continue to collect and review
information about this type of investment. The Federal Reserve is
investigating whether an exemption from FR Y-10 reporting for some
limited subset of these investments might be practical or warranted.
Any change to FR Y-10 reporting requirements would be subject to the
report approval process (including a formal notice and comment period).
Another commenter recommended several clarifications to the FR Y-10
report instructions, including the addition of definitions for certain
terms. In response, definitions of ``voting securities'', ``nonvoting
shares'', and ``class of voting shares'' have been added to the
Glossary appended to the instructions for the FR Y-10 and FR Y-10F, and
other minor clarifications have been made to the instructions. This
commenter also sought inclusion in the instructions of a definition of
equity, and recommended modifying the control standard found in the
instructions. Given the diversity of equity capital instruments issued
by companies, however, it is very difficult to formulate a precise
definition of equity applicable to all companies. Hence the reference
to reporters that control 25 percent or more of the total equity of the
Nonbanking Company has been removed from the control standard. For
purposes of the FR Y-10 and the FR Y-10F, control is the reportability
threshold for investments in Nonbanking Companies. In addition, this
commenter objected to reporting requirements for the 4k schedule in
connection with certain types of 4k investments. The Federal Reserve
believes that this exception advocated by the commenter would increase
complexity by creating different reporting requirements depending upon
the type of 4k investment made.
The Federal Reserve approved revisions to the FR Y-10 and FR Y-10F
forms and instructions, with implementation as of May 31, 2004.
Board of Governors of the Federal Reserve System, April 1, 2004.
Jennifer J. Johnson
Secretary of the Board.
[FR Doc. E4-769 Filed 4-6-04; 8:45 am]
BILLING CODE 6210-01-S