80 FR 28818 - International Services Surveys: BE-I80, Benchmark Survey of Financial Services Transactions Between U.S. Financial Services Providers and Foreign Persons
DEPARTMENT OF COMMERCE
Bureau of Economic Analysis Federal Register Volume 80, Issue 97 (May 20, 2015)
Bureau of Economic Analysis
Federal Register Volume 80, Issue 97 (May 20, 2015)
| Page Range | 28818-28821 | |
| FR Document | 2015-11996 |
[Federal Register Volume 80, Number 97 (Wednesday, May 20, 2015)] [Rules and Regulations] [Pages 28818-28821] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2015-11996] ======================================================================= ----------------------------------------------------------------------- DEPARTMENT OF COMMERCE Bureau of Economic Analysis 15 CFR Part 801 [Docket No. 150108021-5409-01] RIN 0691-AA84 International Services Surveys: BE-I80, Benchmark Survey of Financial Services Transactions Between U.S. Financial Services Providers and Foreign Persons AGENCY: Bureau of Economic Analysis, Department of Commerce. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: This final rule amends regulations of the Bureau of Economic Analysis (BEA), Department of Commerce, to reinstate reporting requirements for the BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons. Benchmark surveys are conducted every five years; the prior survey covered 2009. For the 2014 benchmark survey, BEA is making one change in the survey data items to collect data on equity- and debt- related underwriting transactions separately. This mandatory survey is conducted under the authority of the International Investment and Trade in Services Survey Act (the Act). Unlike most other BEA surveys conducted pursuant to the Act, a response is required from persons subject to the reporting requirements of the BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons, whether or not they are contacted by BEA, to ensure Complete coverage of financial services transactions between U.S. financial services providers and foreign persons. DATES: This final rule is effective June 19, 2015. FOR FURTHER INFORMATION CONTACT: Christopher Stein, Chief, Services Surveys Branch (BE-50), Balance of Payments Division, Bureau of Economic Analysis, U.S. Department of Commerce, Washington, DC 20230; phone (202) 606-9850. SUPPLEMENTARY INFORMATION: On January 27, 2015, BEA published a notice of proposed rulemaking that set forth revised reporting criteria for the BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons (80 FR 4228- 4231). BEA received four comments on the proposed rule. One comment was written on behalf of hedge fund managers who are subject to BE-180 reporting requirements. The letter stated that the BE-180 survey is not well suited to hedge funds and that, for these respondents, the burden of reporting is significant. The commenter made two recommendations: (1) Entities that are not contacted by BEA should have no reporting responsibilities (similar to other BEA surveys); and (2) BEA should not extend reporting by U.S. investment managers to other BEA surveys. BEA is very concerned about respondent burden and has employed several approaches to reduce the burden where possible. However, BEA does not adopt the above two recommendations because of the statistical needs that govern how the data are collected and tabulated. If BEA does not require responses from all persons subject to the reporting requirements of the BE-180, we could not ensure that a complete and accurate sample frame is maintained in the non-benchmark years. Thus, lack of this information in a benchmark year would result in incomplete data in our tabulated information in non- [[Page 28819]] benchmark years. To aid in communicating filing requirements, BEA will consider what additional guidance it can offer to hedge fund filers, possibly by providing expanded form instructions and Frequently Asked Questions (FAQs). Another comment was written on behalf of the international banking community in the United States. The letter requested that BEA adopt an accommodating approach to allow impacted companies adequate time to complete the BE-180 survey. As the BE-180 applies to a broader audience and has reporting requirements that differ from the related BE-185 Quarterly Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons, the commenter stated that additional time to comply was necessary to help alleviate the filing burden. To provide ample time for respondents to complete and file the BE-180 survey, BEA will accept filing extension requests through the October 1, 2015 due date. Respondents can request extensions of 30 days or less over the phone or in writing; requests of greater than 30 days must be provided in writing. Additionally, any respondent that chooses to file electronically through BEA's eFile system will automatically receive a 30 day extension. The third comment was written on behalf of the commercial energy industry and was concerned with the BE-180 definition of financial services provider. The commenter requested that BEA provide clarification with regard to what information should be reported by principals to commodity contracts. The commenter recommended that if BEA is unable to provide this clarification, the obligation to file the BE-180 should be limited only to those entities that are contacted by BEA. We will consider what additional guidance it can offer to clarify how commodity-related activities are to be reported, including expanded form instructions and FAQs. The final comment was written on behalf of asset management firms that are subject to BE-180 reporting requirements. The letter stated that the impact of the BE-I80 survey and the reporting burden for entities in this industry are significant. The commenter made three recommendations: (1) Entities that are not contacted by BEA should have no reporting responsibilities (similar to other BEA surveys); (2) BEA should raise the $3 million monetary threshold for mandatory reporting on the BE-180 of financial services transactions; and (3) BEA should provide additional guidance to asset managers in order to collect meaningful Survey data. BEA does not adopt the first recommendation because of the statistical needs that govern data collection and tabulation. As previously stated, BEA could not ensure that a complete and accurate sample frame is maintained in the non-benchmark years if we did not require responses from all persons subject to the reporting requirements of the BE-180, which is a benchmark survey. BEA does not adopt the second recommendation because the $3 million threshold for mandatory reporting on the BE-180 survey is necessary to ensure an accurate sample frame for the quarterly BE-I85 survey. Therefore, this threshold is unchanged from the previous benchmark survey. Regarding the third recommendation, BEA will consider what additional guidance it can offer to asset managers, possibly in the form of expanded instructions and FAQs, to aid in communicating the filing requirements. The change in data items collected (described in the Description of Changes section below) will be reflected in the final version of the BE-180 survey form. This final rule adds 15 CFR part 801.9 to set forth the reporting requirements for the BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons. BEA conducts the BE-180 under the authority provided by the International Investment and Trade in Services Survey Act (22 U.S.C. 3101-3108) and by Section 5408 of the Omnibus Trade and Competitiveness Act of 1988. By rule issued in 2012 (77 FR 24373), BEA established guidelines for collecting data on international trade in services and direct investment through notices, rather than through rulemaking. This final rule amends the regulations to require a response from persons subject to the reporting requirements of the BE-180, whether or not they are contacted by BEA, to ensure complete coverage of financial services transactions between U.S. financial services providers and foreign persons. The BE-180 survey covers financial services transactions with foreign persons. In non-benchmark years, the universe estimates covering these transactions are derived from the sample data reported on BEA's BE-185, Quarterly Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons. The data are used by BEA to estimate the financial services component of the U.S. International Transactions Accounts and other economic accounts compiled by BEA. The data are needed to monitor U.S. exports and imports of financial services; analyze their impact on the U.S. and foreign economies; support U.S. international trade policy on financial services; and assess and promote U.S. competitiveness in international trade in services. In addition, these data will improve the ability of U.S. businesses to identify and evaluate market opportunities. The services covered by the BE-180 include the following transactions: (1) Brokerage services related to equity transactions; (2) other brokerage services; (3) underwriting and private placement services; (4) financial management services; (5) credit-related services, except credit card services; (6) credit card services; (7) financial advisory and custody services; (8) securities lending services; (9) electronic funds transfer services; and (10) other financial services. Description of Changes From the 2009 BE-180 Survey The changes amend the regulations and the survey form for the BE- 180 Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons. These amendments include changes in the data items collected and questionnaire design. Under this final rule and unlike many other BEA surveys conducted pursuant to the Act, persons subject to the reporting requirements of the BE-180 are required to respond whether or not they are contacted by BEA. Also, we are adding one item to the 2014 BE-180 survey form to collect data on equity- and debt-related underwriting transactions separately. The 2009 BE-180 survey collected these transactions as a combined amount. Separate reporting of these transactions is needed to accurately remove equity- and debt-related underwriting fees from purchases and sales of equity and debt security transactions, which are reported inclusive of underwriting and brokerage fees. A number of reporters include language in their financial statements that suggests equity- and debt-related underwriting transactions are readily obtainable from their accounting records. In addition, BEA is redesigning the format and wording of the survey form. The new design incorporates cognitive design improvements made to other BEA surveys that improve the flow of the survey form and eliminate redundancies in the survey questions. Survey instructions and data item descriptions are being changed to improve clarity and to make the benchmark survey form more consistent with those of other BEA surveys. [[Page 28820]] Executive Order 12866 This final rule has been determined to be not significant for purposes of E.O. 12866. Executive Order 13132 This final rule does not contain policies with Federalism implications sufficient to warrant preparation of a Federalism assessment under E.O. 13132. Paperwork Reduction Act The collection of information in this final rule has been submitted to the Office of Management and Budget (OMB) under the Paperwork Reduction Act (PRA). OMB has pre-approved the information collection under OMB control number 0608-0062. Notwithstanding any other provisions of law, no person is required to respond to, nor shall any person be subject to a penalty for failure to comply with, a collection of information subject to the requirements of the PRA unless that collection displays a currently valid OMB control number. The BE-180 survey is expected to result in the filing of reports from approximately 8,750 respondents. Approximately 1,250 respondents would report mandatory or voluntary data on the survey and approximately 7,500 would file exemption claims. The respondent burden for this collection of information will vary from one respondent to another, but is estimated to average ten hours for the respondents that file mandatory or voluntary data-including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information and two hours for other responses. Thus the total respondent burden for this survey is estimated at 27,500 hours, compared to 24,000 hours for the 2009 BE-180 survey. The increase in burden hours is due to an increase in the size of the respondent universe. Written comments regarding the burden-hour estimates or other aspects of the collection-of-Information requirements contained in the final rule should be sent to both BEA via email at [email protected], and to OMB, via email at [email protected] or by FAX at (202) 395-7245. Regulatory Flexibility Act The Chief Counsel for Regulation, Department of Commerce, certified at the proposed rule stage to the Chief Counsel for Advocacy, Small Business Administration, under the provisions of the Regulatory Flexibility Act, 5 U.S.C. 605(b), that this final rule will not have a significant economic impact on a substantial number of small entities. The factual basis for the certification was published in the proposed rule and is not repeated here. BEA received one comment on the impact on small entities. The commenter, writing on behalf of asset management firms, stated that the broad scope of the financial services collected on the BE-180 survey, and the fact that the $3 million mandatory reporting level applies separately to sales or purchases, will impact a larger number of small businesses than indicated by BEA. BEA is very concerned about respondent burden and only collects data from the broader group of filers on benchmark surveys that are conducted once every five years. BEA acknowledges that a larger number of asset managers may be required to complete the BE-180 survey as a result of the $3 million threshold. However, even with a larger number of entities being required to report, preparing and submitting the required data will not have a significant economic impact on any entity, large or small. While the resources required to respond to the survey will vary from one respondent to another, BEA estimates that it will take, on average, ten hours for the respondents that file mandatory or voluntary data, and two hours for other responses. These estimates include time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing, reviewing, and submitting the appropriate form. This rule has no other impact or regulatory burden beyond the one-time reporting of the required information. Therefore, even businesses required to provide mandatory data on the survey will only expend a minimal number of hours of staff time to comply, which does not constitute a significant economic impact. Because this rule will not have a significant economic impact on a substantial number of small entities, no FRFA is required and none has been prepared. List of Subjects in 15 CFR Part 801 International transactions, Economic statistics, Foreign trade, Penalties, Reporting and record keeping requirements, International Services. Dated May 12, 2015. Brian C. Moyer, Director, Bureau of Economic Analysis. For reasons set forth in the preamble, BEA amends 15 CFR part 801 as follows: PART 801--SURVEY OF INTERNATIONAL TRADE IN SERVICES BETWEEN U.S. AND FOREIGN PERSONS AND SURVEYS OF DIRECT INVESTMENT 0 1. The authority citation for 15 CFR part 801 continues to read as follows: Authority: 5 U.S.C. 301; 15 U.S.C. 4908; 22 U.S.C. 3101-3108; E.O. 11961 (3 CFR, 1977 Comp., p. 86), as amended by E.O. 12318 (3 CFR, 1981 Comp. p. 173); and E.O. 12518 (3 CFR, 1985 Comp. p. 348). 0 2. Revise Sec. 801.3 to read as follows: Sec. 801.3 Reporting requirements. Except for surveys subject to rulemaking in Sec. Sec. 801.7, 801.8 and 801.9, reporting requirements for all other surveys conducted by the Bureau of Economic Analysis shall be as follows: (a) Notice of specific reporting requirements, including who is required to report, the information to be reported, the manner of reporting, and the time and place of filing reports, will be published by the Director of the Bureau of Economic Analysis in the Federal Register prior to the implementation of a survey; (b) In accordance with section 3104(6)(2) of title 22 of the United States Code, persons notified of these surveys and subject to the jurisdiction of the United States shall furnish, under oath, any report containing information which is determined to be necessary to carry out the surveys and studies provided for by the Act; and (c) Persons not notified in writing of their filing obligation by the Bureau of Economic Analysis are not required to complete the survey. 0 3. Add Sec. 801.9 to read as follows: Sec. 801.9 Rules and regulations for the BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons--2014. A BE-180, Benchmark Survey of Financial Services Transactions between U.S. Financial Services Providers and Foreign Persons will be conducted covering 2014. All legal authorities, provisions, definitions, and requirements contained in Sec. Sec. 801.1 through 801.2 and 801.4 through 801.6 are applicable to this survey. Specific additional rules and regulations for the BE-180 survey are given in paragraphs (a) through (e) of this section. More detailed instructions are given on the report forms and in instructions accompanying the report forms. (a) Response required. A response is required from persons subject to the reporting requirements of the BE-180, Benchmark Survey of Financial Services [[Page 28821]] Transactions between U.S. Financial Services Providers and Foreign Persons--2014, contained herein, whether or not they are contacted by BEA to ensure complete coverage of financial services transactions between U.S. financial services providers and foreign persons. Also, a person, or its agent, that is contacted by BEA about reporting in this survey, either by sending a report form or by written inquiry, must respond in writing pursuant to this section. This may be accomplished by: (1) Completing and returning the BE-180 survey by the due date; or, (2) If exempt, by completing pages one through five of the BE-180 survey and returning them to BEA. (b) Who must report. (1) A BE-180 report is required of each U.S. person that is a financial services provider or intermediary, or whose consolidated U.S. enterprise includes a separately organized subsidiary, or part, that is a financial services provider or intermediary, and that had transactions (either sales or purchases) directly with foreign persons in all financial services combined in excess of $3,000,000 during its fiscal year covered by the survey on an accrual basis. The $3,000,000 threshold should be applied to financial services transactions with foreign persons by all parts of the consolidated U.S. enterprise combined that are financial services providers or intermediaries. Because the $3,000,000 threshold applies separately to sales and purchases, the mandatory reporting requirement may apply only to sales, only to purchases, or to both. (i) The determination of whether a U.S. financial services provider or intermediary is subject to this mandatory reporting requirement may be based on the judgment of knowledgeable persons in a company who can identify reportable transactions on a recall basis, with a reasonable degree of certainty, without conducting a detailed manual records search. (ii) Reporters that file pursuant to this mandatory reporting requirement must provide data on total sales and/or purchases of each of the covered types of financial services transactions and must disaggregate the totals by country and by relationship to the foreign transactor (foreign affiliate, foreign parent group, or unaffiliated). (2) Voluntary reporting. If, during the fiscal year covered, sales or purchases of financial services by a firm that is a financial services provider or intermediary, or by a firm's subsidiaries, or parts, combined that are financial services providers or intermediaries, are $3,000,000 or less, the U.S. person is requested to provide an estimate of the total for each type of service. Provision of this information is voluntary. The estimates may be judgmental, that is, based on recall, without conducting a detailed records search. Because the $3,000,000 threshold applies separately to sales and purchases, this voluntary reporting option may apply only to sales, only to purchases, or to both. (3) Exemption claims. Any U.S. person that receives the BE-180 survey form from BEA, but is not subject to the mandatory reporting requirements and chooses not to report voluntarily, must file an exemption claim by completing pages one through five of the BE-180 survey and returning it to BEA. This requirement is necessary to ensure compliance with reporting requirements and efficient administration of the Act by eliminating unnecessary follow-up contact. (c) BE-180 definition of financial services provider. The definition of financial services provider used for this survey is identical to the definition of the term as used in the North American Industry Classification System, United States, 2012, Sector 52--Finance and Insurance, and holding companies that own or influence, and are principally engaged in making management decisions for these firms (part of Sector 55--Management of Companies and Enterprises). For example, companies and/or subsidiaries and other separable parts of companies in the following industries are defined as financial services providers: Depository credit intermediation and related activities (including commercial banking, savings institutions, credit unions, and other depository credit intermediation); non-depository credit intermediation (including credit card issuing, sales financing, and other non-depository credit intermediation); activities related to credit intermediation (including mortgage and nonmortgage loan brokers, financial transactions processing, reserve, and clearinghouse activities, and other activities related to credit intermediation); securities and commodity contracts intermediation and brokerage (including investment banking and securities dealing, securities brokerage, commodity contracts and dealing, and commodity contracts brokerage); securities and commodity exchanges; other financial investment activities (including miscellaneous intermediation, portfolio management, investment advice, and all other financial investment activities); insurance carriers; insurance agencies, brokerages, and other insurance related activities; insurance and employee benefit funds (including pension funds, health and welfare funds, and other insurance funds); other investment pools and finds (including open-end investment funds, trusts, estates, and agency accounts, real estate investment trusts, and other financial vehicles); and holding companies that own, or influence the management decisions of, firms principally engaged in the aforementioned activities. (d) Covered types of services. The BE-180 survey covers the following types of financial services transactions (sales or purchases) between U.S. financial services companies and foreign persons: brokerage services related to equity transactions; other brokerage services; underwriting and private placement services; financial management service (including fees for mutual funds, pension funds, exchange-traded funds, private equity funds, corporate portfolio, individual portfolio, hedge funds, trusts, and other); credit related services, except credit card services; credit card services; financial advisory and custody services; securities lending services; electronic funds transfer services; and other financial services. (e) Due date. A fully completed and certified BE-180 report, or qualifying exemption claim with pages one through five completed, is due to be filed with BEA not later than October 1, 2015. [FR Doc. 2015-11996 Filed 5-19-15; 8:45 am] BILLING CODE 3510-06-M
![28818 Federal Register / Vol. 80, No. 97 / Wednesday, May 20, 2015 / Rules and Regulations
(ii) If the Project directly supports when competing for underlying program 2009. For the 2014 benchmark survey,
implementation of 2 of the Plan’s funding will not include the score BEA is making one change in the survey
objectives, 5 points will be awarded. assigned to the application under data items to collect data on equity- and
(iii) If the Project directly supports § 1980.1020(b). debt-related underwriting transactions
implementation of less than 2 of the (c) In years when funding is not made separately. This mandatory survey is
Plan’s objectives, no points will be available under this subpart, Projects are conducted under the authority of the
awarded. eligible to compete for funding for the International Investment and Trade in
(2) Characteristics of a Plan. The applicable underlying program. The Services Survey Act (the Act). Unlike
Agency will score the Plan associated scores for such Projects when competing most other BEA surveys conducted
with a project based upon the for underlying program funding will pursuant to the Act, a response is
characteristics of the Plan, which are include the score assigned the required from persons subject to the
identified in paragraphs (b)(2)(i) through application § 1980.1020(b) as described reporting requirements of the BE–180,
(v) of this section. Applicants must in a notice published in the Federal Benchmark Survey of Financial Services
supply sufficient documentation that Register. Transactions between U.S. Financial
demonstrates to the Agency the criteria Services Providers and Foreign Persons,
§ 1980.1026 Evaluation of Project whether or not they are contacted by
identified in paragraphs (b)(2)(i) through
information.
(v) of this section. The maximum score BEA, to ensure Complete coverage of
under this paragraph is 10 points. To assist the Agency in evaluating the financial services transactions between
(i) Collaboration. If the Plan was effectiveness of this subpart, each U.S. financial services providers and
developed through the collaboration of applicant that receives funding under foreign persons.
multiple stakeholders in the service area this subpart must submit to the Agency
DATES: This final rule is effective June
of the Plan, including the participation all measures, metrics, and outcomes of
19, 2015.
of combinations of stakeholders, such as the Project that are reported to the
FOR FURTHER INFORMATION CONTACT:
State, local, and tribal governments, entity(ies) who are monitoring Plan
implementation. This information will Christopher Stein, Chief, Services
nonprofit institutions, institutions of Surveys Branch (BE–50), Balance of
higher education, and private entities, be submitted for as long as the Plan is
in effect. Payments Division, Bureau of Economic
two points will be awarded. Analysis, U.S. Department of
(ii) Resources. If the Plan §§ 1980.1027–1980.1100 [Reserved] Commerce, Washington, DC 20230;
demonstrates an understanding of the phone (202) 606–9850.
applicable regional assets that could Dated: May 12, 2015.
SUPPLEMENTARY INFORMATION: On
support the Plan, including natural Lisa Mensah,
January 27, 2015, BEA published a
resources, human resources, Under Secretary, Rural Development. notice of proposed rulemaking that set
infrastructure, and financial resources, Dated: May 15, 2015. forth revised reporting criteria for the
two points will be awarded. Michael Scuse, BE–180, Benchmark Survey of Financial
(iii) Other Federal Agency Under Secretary, Farm and Foreign Services Transactions between U.S.
Investments. If the Plan includes Agricultural Services. Financial Services Providers and
Investments from Federal agencies other [FR Doc. 2015–12163 Filed 5–19–15; 8:45 am] Foreign Persons (80 FR 4228–4231).
than the U.S. Department of Agriculture, BILLING CODE 3410–XY–P BEA received four comments on the
two points will be awarded. proposed rule.
(iv) Philanthropic organization One comment was written on behalf
Investments. If the Plan includes of hedge fund managers who are subject
Investments from Philanthropic DEPARTMENT OF COMMERCE
to BE–180 reporting requirements. The
organizations, two points will be Bureau of Economic Analysis letter stated that the BE–180 survey is
awarded. not well suited to hedge funds and that,
(v) Objectives and performance 15 CFR Part 801 for these respondents, the burden of
measures. If the Plan contains clear reporting is significant. The commenter
objectives and the ability to establish [Docket No. 150108021–5409–01]
made two recommendations: (1) Entities
measurable performance measures and RIN 0691–AA84 that are not contacted by BEA should
to track progress toward meeting the have no reporting responsibilities
objectives, two points will be awarded. International Services Surveys: BE– (similar to other BEA surveys); and (2)
(c) Total score. The Agency will sum I80, Benchmark Survey of Financial BEA should not extend reporting by
the scores each application receives Services Transactions Between U.S. U.S. investment managers to other BEA
under paragraphs (a) and (b) of this Financial Services Providers and surveys. BEA is very concerned about
section in order to rank applications. Foreign Persons respondent burden and has employed
§§ 1980.1021–1980.1024 [Reserved] AGENCY: Bureau of Economic Analysis, several approaches to reduce the burden
Department of Commerce. where possible. However, BEA does not
§ 1980.1025 Award process. adopt the above two recommendations
ACTION: Final rule.
(a) Unless RD indicates otherwise in because of the statistical needs that
a notice, the award process for the SUMMARY: This final rule amends govern how the data are collected and
applicable underlying program will be regulations of the Bureau of Economic tabulated. If BEA does not require
used to determine which Projects Analysis (BEA), Department of responses from all persons subject to the
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receive funding under this subpart. Commerce, to reinstate reporting reporting requirements of the BE–180,
(b) In years when funding is made requirements for the BE–180, we could not ensure that a complete and
available under this subpart, Projects Benchmark Survey of Financial Services accurate sample frame is maintained in
not receiving funding under this subpart Transactions between U.S. Financial the non-benchmark years. Thus, lack of
are eligible to compete for funding Services Providers and Foreign Persons. this information in a benchmark year
under the applicable underlying Benchmark surveys are conducted every would result in incomplete data in our
program. The scores for such Projects five years; the prior survey covered tabulated information in non-
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Transactions between U.S. Financial requested to provide an estimate of the health and welfare funds, and other
Services Providers and Foreign total for each type of service. Provision insurance funds); other investment
Persons—2014, contained herein, of this information is voluntary. The pools and finds (including open-end
whether or not they are contacted by estimates may be judgmental, that is, investment funds, trusts, estates, and
BEA to ensure complete coverage of based on recall, without conducting a agency accounts, real estate investment
financial services transactions between detailed records search. Because the trusts, and other financial vehicles); and
U.S. financial services providers and $3,000,000 threshold applies separately holding companies that own, or
foreign persons. Also, a person, or its to sales and purchases, this voluntary influence the management decisions of,
agent, that is contacted by BEA about reporting option may apply only to firms principally engaged in the
reporting in this survey, either by sales, only to purchases, or to both. aforementioned activities.
sending a report form or by written (3) Exemption claims. Any U.S. (d) Covered types of services. The BE–
inquiry, must respond in writing person that receives the BE–180 survey 180 survey covers the following types of
pursuant to this section. This may be form from BEA, but is not subject to the financial services transactions (sales or
accomplished by: mandatory reporting requirements and purchases) between U.S. financial
(1) Completing and returning the BE– chooses not to report voluntarily, must services companies and foreign persons:
180 survey by the due date; or, file an exemption claim by completing brokerage services related to equity
(2) If exempt, by completing pages pages one through five of the BE–180 transactions; other brokerage services;
one through five of the BE–180 survey survey and returning it to BEA. This underwriting and private placement
and returning them to BEA. requirement is necessary to ensure services; financial management service
(b) Who must report. (1) A BE–180 compliance with reporting requirements (including fees for mutual funds,
report is required of each U.S. person and efficient administration of the Act pension funds, exchange-traded funds,
that is a financial services provider or by eliminating unnecessary follow-up private equity funds, corporate
intermediary, or whose consolidated contact. portfolio, individual portfolio, hedge
U.S. enterprise includes a separately (c) BE–180 definition of financial funds, trusts, and other); credit related
organized subsidiary, or part, that is a services provider. The definition of services, except credit card services;
financial services provider or financial services provider used for this credit card services; financial advisory
intermediary, and that had transactions survey is identical to the definition of and custody services; securities lending
(either sales or purchases) directly with the term as used in the North American services; electronic funds transfer
foreign persons in all financial services Industry Classification System, United services; and other financial services.
combined in excess of $3,000,000 States, 2012, Sector 52—Finance and (e) Due date. A fully completed and
during its fiscal year covered by the Insurance, and holding companies that certified BE–180 report, or qualifying
survey on an accrual basis. The own or influence, and are principally exemption claim with pages one
$3,000,000 threshold should be applied engaged in making management
through five completed, is due to be
to financial services transactions with decisions for these firms (part of Sector
filed with BEA not later than October 1,
foreign persons by all parts of the 55—Management of Companies and
consolidated U.S. enterprise combined 2015.
Enterprises). For example, companies [FR Doc. 2015–11996 Filed 5–19–15; 8:45 am]
that are financial services providers or and/or subsidiaries and other separable
BILLING CODE 3510–06–M
intermediaries. Because the $3,000,000 parts of companies in the following
threshold applies separately to sales and industries are defined as financial
purchases, the mandatory reporting services providers: Depository credit
requirement may apply only to sales, intermediation and related activities SOCIAL SECURITY ADMINISTRATION
only to purchases, or to both. (including commercial banking, savings
(i) The determination of whether a institutions, credit unions, and other 20 CFR Part 404
U.S. financial services provider or depository credit intermediation); non-
[Docket No. SSA–2011–0098]
intermediary is subject to this depository credit intermediation
mandatory reporting requirement may (including credit card issuing, sales RIN 0960–AH43
be based on the judgment of financing, and other non-depository
knowledgeable persons in a company credit intermediation); activities related Revised Medical Criteria for Evaluating
who can identify reportable transactions to credit intermediation (including Cancer (Malignant Neoplastic
on a recall basis, with a reasonable mortgage and nonmortgage loan brokers, Diseases)
degree of certainty, without conducting financial transactions processing,
a detailed manual records search. reserve, and clearinghouse activities, AGENCY: Social Security Administration.
(ii) Reporters that file pursuant to this and other activities related to credit ACTION: Final rule.
mandatory reporting requirement must intermediation); securities and
provide data on total sales and/or commodity contracts intermediation SUMMARY: We are revising the criteria in
purchases of each of the covered types and brokerage (including investment parts A and B of the Listing of
of financial services transactions and banking and securities dealing, Impairments (listings) that we use to
must disaggregate the totals by country securities brokerage, commodity evaluate claims involving cancer
and by relationship to the foreign contracts and dealing, and commodity (malignant neoplastic diseases) under
transactor (foreign affiliate, foreign contracts brokerage); securities and titles II and XVI of the Social Security
parent group, or unaffiliated). commodity exchanges; other financial Act (Act). These revisions reflect our
(2) Voluntary reporting. If, during the investment activities (including adjudicative experience, advances in
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fiscal year covered, sales or purchases of miscellaneous intermediation, portfolio medical knowledge, recommendations
financial services by a firm that is a management, investment advice, and all from medical experts we consulted, and
financial services provider or other financial investment activities); public comments we received in
intermediary, or by a firm’s subsidiaries, insurance carriers; insurance agencies, response to a Notice of Proposed
or parts, combined that are financial brokerages, and other insurance related Rulemaking (NPRM).
services providers or intermediaries, are activities; insurance and employee DATES: This rule is effective July 20,
$3,000,000 or less, the U.S. person is benefit funds (including pension funds, 2015.
VerDate Sep<11>2014 17:09 May 19, 2015 Jkt 235001 PO 00000 Frm 00015 Fmt 4700 Sfmt 4700 E:\FR\FM\20MYR1.SGM 20MYR1](https://thefederalregister.org/doc/80_FR_28915/page/4.svg)
Document Created: 2018-02-21 10:29:17
Document Modified: 2018-02-21 10:29:17
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | This final rule is effective June 19, 2015. | |
| Contact | Christopher Stein, Chief, Services Surveys Branch (BE-50), Balance of Payments Division, Bureau of Economic Analysis, U.S. Department of Commerce, Washington, DC 20230; phone (202) 606-9850. | |
| FR Citation | 80 FR 28818 | |
| RIN Number | 0691-AA84 | |
| CFR Associated | International Transactions; Economic Statistics; Foreign Trade; Penalties; Reporting and Record Keeping Requirements and International Services |
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