[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