80_FR_56720 80 FR 56539 - Proposed Agency Information Collection Activities; Comment Request

80 FR 56539 - Proposed Agency Information Collection Activities; Comment Request

DEPARTMENT OF THE TREASURY
Office of the Comptroller of the Currency
FEDERAL RESERVE SYSTEM
FEDERAL DEPOSIT INSURANCE CORPORATION

Federal Register Volume 80, Issue 181 (September 18, 2015)

Page Range56539-56549
FR Document2015-23402

In accordance with the requirements of the Paperwork Reduction Act (PRA) of 1995 (44 U.S.C. chapter 35), the OCC, the Board, and the FDIC (the ``agencies'') 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 Federal Financial Institutions Examination Council (FFIEC), of which the agencies are members, has approved the agencies' publication for public comment of a proposal to extend, with revision, the Consolidated Reports of Condition and Income (Call Report), which are currently approved collections of information. The deletions of certain existing data items, the revisions of certain reporting thresholds and certain existing data items, the addition of certain new data items, and certain instructional revisions generally are proposed to take effect as of the December 31, 2015, or the March 31, 2016, report date, depending on the nature of the proposed reporting change. At the end of the comment period, the comments and recommendations received will be analyzed to determine the extent to which the FFIEC and the agencies should modify the proposed revisions prior to giving final approval. The agencies will then submit the revisions to OMB for review and approval.

Federal Register, Volume 80 Issue 181 (Friday, September 18, 2015)
[Federal Register Volume 80, Number 181 (Friday, September 18, 2015)]
[Notices]
[Pages 56539-56549]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-23402]


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DEPARTMENT OF THE TREASURY

Office of the Comptroller of the Currency

FEDERAL RESERVE SYSTEM

FEDERAL DEPOSIT INSURANCE CORPORATION


Proposed Agency Information Collection Activities; Comment 
Request

AGENCY: Office of the Comptroller of the Currency (OCC), Treasury; 
Board of Governors of the Federal Reserve System (Board); Federal 
Deposit Insurance Corporation (FDIC).

ACTION: Joint 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 OCC, the Board, and the 
FDIC (the ``agencies'') 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 Federal Financial Institutions Examination Council 
(FFIEC), of which the agencies are members, has approved the agencies' 
publication for public comment of a proposal to extend, with revision, 
the Consolidated Reports of Condition and Income (Call Report), which 
are currently approved collections of information. The deletions of 
certain existing data items, the revisions of certain reporting 
thresholds and certain existing data items, the addition of certain new 
data items, and certain instructional revisions generally are proposed 
to take effect as of the December 31, 2015, or the March 31, 2016, 
report date, depending on the nature of the proposed reporting change. 
At the end of the comment period, the comments and recommendations 
received will be analyzed to determine the extent to which the FFIEC 
and the agencies should modify the proposed revisions prior to giving 
final approval. The agencies will then submit the revisions to OMB for 
review and approval.

DATES: Comments must be submitted on or before November 17, 2015.

ADDRESSES: Interested parties are invited to submit written comments to 
any or all of the agencies. All comments, which should refer to the OMB 
control number(s), will be shared among the agencies.
    OCC: 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 ``1557-0081, FFIEC 031 and 041,'' 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 
prainfo@occ.treas.gov.
    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. 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.
    Board: You may submit comments, which should refer to ``FFIEC 031 
and FFIEC 041,'' by any of the following methods:
     Agency Web site: http://www.federalreserve.gov. Follow the 
instructions for submitting comments at: http://www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: regs.comments@federalreserve.gov. Include the 
reporting form numbers in the subject line of the message.
     Fax: (202) 452-3819 or (202) 452-3102.
     Mail: Robert DeV. Frierson, Secretary, Board of Governors 
of the Federal Reserve System, 20th Street and Constitution Avenue NW., 
Washington, DC 20551.
    All public comments are available from the Board's Web site at 
www.federalreserve.gov/generalinfo/foia/ProposedRegs.cfm as submitted, 
unless modified for technical reasons. Accordingly, your comments will 
not be edited to remove any identifying or contact information. Public 
comments may also be viewed electronically or in paper in Room MP-500 
of the Board's Martin Building (20th and C Streets, NW.) between 9:00 
a.m. and 5:00 p.m. on weekdays.
    FDIC: You may submit comments, which should refer to ``FFIEC 031 
and FFIEC 041,'' by any of the following methods:
     Agency Web site: http://www.fdic.gov/regulations/laws/federal/ . Follow the instructions for submitting comments on the 
FDIC's Web site.
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Email: comments@FDIC.gov. Include ``FFIEC 031 and FFIEC 
041'' in the subject line of the message.
     Mail: Gary A. Kuiper, Counsel, Attn: Comments, Room MB-
3074, 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 550 17th Street Building (located on F 
Street) on business days between 7:00 a.m. and 5:00 p.m.
    Public Inspection: All comments received will be posted without 
change to http://www.fdic.gov/regulations/laws/federal/ including any 
personal information provided. Paper copies of public comments may be 
requested from the FDIC Public Information Center by

[[Page 56540]]

telephone at (877) 275-3342 or (703) 562-2200.
    Additionally, commenters may send a copy of their comments to the 
OMB desk officer for the agencies by mail to the Office of Information 
and Regulatory Affairs, U.S. Office of Management and Budget, New 
Executive Office Building, Room 10235, 725 17th Street NW., Washington, 
DC 20503; by fax to (202) 395-6974; or by email to 
oira_submission@omb.eop.gov.

FOR FURTHER INFORMATION CONTACT: For further information about the 
proposed revisions to the Call Report discussed in this notice, please 
contact any of the agency staff whose names appear below. In addition, 
copies of the Call Report forms can be obtained at the FFIEC's Web site 
(http://www.ffiec.gov/ffiec_report_forms.htm).
    OCC: Kevin Korzeniewski, Senior Attorney, (202) 649-5490, 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., Washington, DC 20219.
    Board: Mark Tokarski, Acting Federal Reserve Board Clearance 
Officer, (202) 452-3829, Office of the Chief Data Officer, Board of 
Governors of the Federal Reserve System, 20th and C Streets NW., 
Washington, DC 20551. Telecommunications Device for the Deaf (TDD) 
users may call (202) 263-4869.
    FDIC: Gary A. Kuiper, Counsel, (202) 898-3877, and John Popeo, 
Counsel, (202) 898-6923, Legal Division, Federal Deposit Insurance 
Corporation, 550 17th Street NW., Washington, DC 20429.

SUPPLEMENTARY INFORMATION: The agencies are proposing to revise and 
extend for three years the Call Report, which is currently an approved 
collection of information for each agency.
    Report Title: Consolidated Reports of Condition and Income (Call 
Report).
    Form Number: Call Report: FFIEC 031 (for banks and savings 
associations with domestic and foreign offices) and FFIEC 041 (for 
banks and savings associations with domestic offices only).
    Frequency of Response: Quarterly.
    Affected Public: Business or other for-profit.

OCC

    OMB Number: 1557-0081.
    Estimated Number of Respondents: 1,503 national banks and federal 
savings associations.
    Estimated Time per Response: 59.41 burden hours per quarter to 
file.
    Estimated Total Annual Burden: 357,173 burden hours to file.

Board

    OMB Number: 7100-0036.
    Estimated Number of Respondents: 850 state member banks.
    Estimated Time per Response: 59.90 burden hours per quarter to 
file.
    Estimated Total Annual Burden: 203,660 burden hours to file.

FDIC

    OMB Number: 3064-0052.
    Estimated Number of Respondents: 4,036 insured state nonmember 
banks and state savings associations.
    Estimated Time per Response: 44.56 burden hours per quarter to 
file.
    Estimated Total Annual Burden: 719,377 burden hours to file.
    The estimated time per response for the quarterly filings of the 
Call Report is an average that varies by agency because of differences 
in the composition of the institutions under each agency's supervision 
(e.g., size distribution of institutions, types of activities in which 
they are engaged, and existence of foreign offices). The average 
reporting burden for the filing of the Call Report as it is proposed to 
be revised is estimated to range from 20 to 775 hours per quarter, 
depending on an individual institution's circumstances.
    Type of Review: Revision and extension of currently approved 
collections.

General Description of Reports

    These information collections are mandatory: 12 U.S.C. 161 (for 
national banks), 12 U.S.C. 324 (for state member banks), 12 U.S.C. 1817 
(for insured state nonmember commercial and savings banks), and 12 
U.S.C. 1464 (for federal and state savings associations). At present, 
except for selected data items, these information collections are not 
given confidential treatment.

Abstract

    Institutions submit Call Report data to the agencies each quarter 
for the agencies' use in monitoring the condition, performance, and 
risk profile of individual institutions and the industry as a whole. 
Call Report data serve a regulatory or public policy purpose by 
assisting the agencies in fulfilling their missions of ensuring the 
safety and soundness of financial institutions and the financial system 
and the protection of consumer financial rights, as well as agency-
specific missions affecting national and state-chartered institutions, 
e.g., monetary policy, financial stability, and deposit insurance. Call 
Reports are the source of the most current statistical data available 
for identifying areas of focus for on-site and off-site examinations. 
The agencies use Call Report data in evaluating institutions' corporate 
applications, including, in particular, interstate merger and 
acquisition applications for which, as required by law, the agencies 
must determine whether the resulting institution would control more 
than ten percent of the total amount of deposits of insured depository 
institutions in the United States. Call Report data also are used to 
calculate institutions' deposit insurance and Financing Corporation 
assessments and national banks' and federal savings associations' 
semiannual assessment fees.

Current Actions

I. Introduction

    The FFIEC launched a formal initiative in December 2014 to identify 
potential opportunities to reduce burden associated with Call Report 
requirements for community banks. In embarking on this effort, the 
FFIEC was responding to industry concerns about the cost and burden 
associated with the Call Report. The FFIEC's formal initiative 
comprises actions in five areas, which are discussed below. In 
addition, as a foundation for the actions it is undertaking, the FFIEC 
has developed a set of guiding principles for use in evaluating 
potential additions and deletions of Call Report data items and other 
revisions to the Call Report. In general, any Call Report changes must 
meet three guiding principles: (1) The data items serve a long-term 
regulatory or public policy purpose by assisting the FFIEC's member 
entities in fulfilling their missions of ensuring the safety and 
soundness of financial institutions and the financial system and the 
protection of consumer financial rights, as well as entity-specific 
missions affecting national and state-chartered institutions; (2) The 
data items to be collected maximize practical utility and minimize, to 
the extent practicable and appropriate, burden on financial 
institutions; and (3) Equivalent data items are not readily available 
through other means.
    As a first action under the FFIEC's Call Report burden-reduction 
initiative, the agencies are publishing this Federal Register notice 
and requesting comment on a number of proposed burden-reducing changes 
and certain other proposed Call Report revisions identified during 
their most recent statutorily mandated review of the information 
collected in the Call Report.\1\ Implementation of the

[[Page 56541]]

revisions identified during that review had been deferred while the 
agencies adopted changes to the reporting of regulatory capital 
information in the Call Report to implement the revised regulatory 
capital rules issued in July 2013 that took effect as of January 1, 
2014, and January 1, 2015.\2\
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    \1\ This review is mandated by section 604 of the Financial 
Services Regulatory Relief Act of 2006 (12 U.S.C. 1817(a)(11)).
    \2\ See 78 FR 48932 (August 12, 2013); 79 FR 2527 (January 14, 
2014); 79 FR 35634 (June 23, 2014); and 80 FR 5618 (February 2, 
2015).
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    The FFIEC and the agencies also identified and incorporated into 
this proposal certain other burden-reducing changes to the Call Report 
in addition to those identified in the most recent statutorily mandated 
review of the Call Report. The burden-reducing changes included as part 
of this first action are not intended to be the only group of Call 
Report revisions designed to lessen reporting burden for reporting 
institutions and, in particular, for community banks. Additional 
burden-reducing changes to the Call Report are expected to result from 
the other actions being taken by the agencies under the FFIEC's Call 
Report burden-reduction initiative.
    As the second action, the agencies have accelerated the start of 
the next statutorily mandated review of the existing Call Report data 
items, which otherwise would have commenced in 2017. Users of Call 
Report data items at the FFIEC's member entities are participating in a 
series of surveys being conducted over an 18-month period that began in 
mid-July 2015. As an integral part of these surveys, users are being 
asked to fully explain the need for each Call Report data item, how it 
is used, the frequency with which it is needed, and the population of 
institutions from which it is needed. Call Report schedules have been 
placed into groups and prioritized for review, generally based on 
perceived burden as cited by banking industry representatives. Based on 
the results of the surveys, the agencies will identify data items that 
will be considered for elimination, less frequent collection, or new or 
upwardly revised reporting thresholds. Burden-reducing reporting 
changes will be proposed for implementation on a flow basis as they are 
identified during the sequential reviews of groups of Call Report 
schedules rather than waiting until the completion of the entire 
review.
    As a third action, the agencies are considering the feasibility and 
merits of creating a less burdensome version of the quarterly Call 
Report for institutions that meet certain criteria, which may include 
an asset-size reporting threshold or activity limitations. For example, 
a report for eligible institutions could exclude the Call Report 
schedules and items not applicable to institutions below the specified 
asset-size threshold. The agencies plan to complete their analysis 
regarding the concept of such a Call Report by year-end 2015. Any plan 
for a new version of the Call Report would need to be approved by the 
FFIEC and implemented by the agencies in compliance with the applicable 
requirements under the PRA.
    A fourth action for the agencies is to better understand, through 
industry dialogue, the aspects of reporting institutions' Call Report 
preparation process that are significant sources of reporting burden, 
including where manual intervention by an institution's staff is 
necessary to report particular information. As an initial step toward 
gaining this understanding, representatives from the FFIEC's member 
entities plan to visit a limited number of institutions that have 
expressed their willingness to host a visit during the third quarter of 
2015. Institution staff would be asked to show how they prepare their 
Call Reports and explain which schedules or data items take a 
significant amount of time or manual processes to complete and the 
reasons for this. Findings from on-site visits would help the agencies 
determine the nature and form of further banker outreach. The 
information obtained from these activities would assist the agencies in 
evaluating whether and how it may be possible to reduce reporting 
burden by revising or redefining Call Report data items.
    As the fifth action, the agencies plan to offer periodic training 
to bankers via teleconferences and webinars that would explain upcoming 
reporting changes and could also provide guidance on areas of the Call 
Report bankers find challenging to complete. These events should 
benefit institutions by reducing Call Report preparation training 
costs. The first training session was a banker teleconference on 
February 25, 2015, that included a presentation on the revised Call 
Report Schedule RC-R regulatory capital reporting requirements that 
took effect on March 31, 2015, followed by a question-and-answer 
session. The slide presentation used during the teleconference, an 
audio recording of this presentation, and a transcript of the entire 
teleconference have been posted on the FFIEC's Web site.

II. Overview

    The agencies are proposing to implement a number of revisions to 
the Call Report requirements in December 2015 or March 2016, depending 
on the nature of the proposed revision. The proposed changes, which are 
discussed in detail in Sections III.A through III.E below and would 
take effect in December 2015 unless otherwise indicated, include:
     Deletions of certain existing data items pertaining to 
other-than-temporary impairments from Schedule RI, Income Statement; 
troubled debt restructurings from Schedule RC-C, Part I, Loans and 
Leases, and Schedule RC-N, Past Due and Nonaccrual Loans, Leases, and 
Other Assets; loans covered by FDIC loss-sharing agreements from 
Schedule RC-M, Memoranda, and Schedule RC-N; and unused commitments to 
asset-backed commercial paper conduits with an original maturity of one 
year or less in Schedule RC-R, Part II, Risk-Weighted Assets;
     Increases in existing reporting thresholds for certain 
data items in five Call Report schedules \3\ and the establishment of a 
reporting threshold for certain data items in Schedule RC-S, Servicing, 
Securitization, and Asset Sale Activities;
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    \3\ The data items for which components in excess of specified 
reporting thresholds are required to be itemized and described are 
included in Schedule RI-E, Explanations; Schedule RC-D, Trading 
Assets and Liabilities; Schedule RC-F, Other Assets; Schedule RC-G, 
Other Liabilities; and Schedule RC-Q, Assets and Liabilities 
Measured at Fair Value on a Recurring Basis.
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     Instructional revisions addressing the reporting of home 
equity lines of credit that convert from revolving to non-revolving 
status in Schedule RC-C, Part I; securities for which a fair value 
option is elected in Schedule RC, Balance Sheet; and net gains (losses) 
and other-than-temporary impairments on equity securities that do not 
have readily determinable fair values in Schedule RI;
     New and revised data items and information of general 
applicability, including:
    [cir] Increasing the time deposit size threshold used to report 
certain deposit information from $100,000 to $250,000 in Schedule RC-E, 
Deposit Liabilities; Schedule RI; and Schedule RC-K, Quarterly 
Averages; \4\
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    \4\ Effective in March 2016 for the data items for the interest 
expense on and quarterly averages of time deposits in Schedules RI 
and RC-K, respectively.
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    [cir] Revising the statements used to describe the level of 
external auditing work performed for the reporting institution during 
the preceding year in Schedule RC (effective in March 2016);
    [cir] Adding contact information for the reporting institution's 
Chief Executive Officer;

[[Page 56542]]

    [cir] Reporting the Legal Entity Identifier for the reporting 
institution if it already has one (on the Call Report cover page);
    [cir] Creating additional preprinted captions for itemizing and 
describing components of certain items that exceed reporting thresholds 
in Schedules RC-F and RI-E; and
    [cir] Eliminating the concept of extraordinary items and revising 
affected data items in Schedule RI (effective in March 2016); and
     New and revised data items of limited applicability, 
including:
    [cir] Revising the reporting of certain securities measured under a 
fair value option in Schedule RC-Q and moving the existing Memorandum 
items for the fair value and unpaid principal balance of loans (not 
held for trading) measured under a fair value option from Schedule RC-
C, Part I, to Schedule RC-Q;
    [cir] Revising the information reported in Schedule RI Memorandum 
items by institutions with total assets of $100 billion or more on the 
impact on trading revenues of changes in credit and debit valuation 
adjustments (effective in March 2016);
    [cir] Adding a new item on ``dually payable'' deposits in foreign 
branches of U.S. banks to Schedule RC-E, Part II, Deposits in Foreign 
Offices, on the FFIEC 031 report; and
    [cir] Revising the information reported about the supplementary 
leverage ratio by advanced approaches institutions in Schedule RC-R, 
Part I, Regulatory Capital Components and Ratios (effective in March 
2016).
    For the Call Report revisions proposed to take effect in December 
2015, the agencies invite comment on any difficulties that institutions 
would encounter in implementing any of these revisions in their year-
end 2015 Call Reports.
    For the December 31, 2015, and March 31, 2016, report dates, as 
applicable, institutions may provide reasonable estimates for any new 
or revised Call Report data item initially required to be reported as 
of that date for which the requested information is not readily 
available. The specific wording of the captions for the new or revised 
Call Report data items discussed in this proposal and the numbering of 
these data items should be regarded as preliminary.

III. Discussion of Proposed Call Report Revisions

A. Deletions of Existing Data Items

    Based on the agencies' review of the information that institutions 
are required to report in the Call Report, the agencies have determined 
that the continued collection of the following items is no longer 
necessary and are proposing to eliminate them effective December 31, 
2015:
    (1) Schedule RI, Memorandum items 14.a and 14.b, on other-than-
temporary impairments \5\
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    \5\ Institutions would continue to complete Schedule RI, 
Memorandum item 14.c, on net impairment losses recognized in 
earnings.
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    (2) Schedule RC-C, Memorandum items 1.f.(2), 1.f.(5), and 1.f.(6) 
(and 1.f.(7) on the FFIEC 031), on troubled debt restructurings in 
certain loan categories that are in compliance with their modified 
terms;
    (3) Schedule RC-N, Memorandum items 1.f.(2), 1.f.(5), and 1.f.(6) 
(and 1.f.(7) on the FFIEC 031), on troubled debt restructurings in 
certain loan categories that are 30 days or more past due or on 
nonaccrual;
    (4) Schedule RC-M, items 13.a.(5)(a) through (d) (and (e) on the 
FFIEC 031), on loans in certain loan categories that are covered by 
FDIC loss-sharing agreements; and
    (5) Schedule RC-N, items 11.e.(1) through (4) (and (5) on the FFIEC 
031), on loans in certain loan categories that are covered by FDIC 
loss-sharing agreements and are 30 days or more past due or on 
nonaccrual.
    In addition, when Schedule RC-R, Part II, is completed properly, 
item 18.b on unused commitments to asset-backed commercial paper 
conduits with an original maturity of one year or less is not needed 
because such commitments should already have been reported in item 10 
as off-balance sheet securitization exposures. The instructions for 
item 18.b explain that these unused commitments should be reported in 
item 10 and that amounts should not be reported in item 18.b. 
Accordingly, the agencies are proposing to delete existing item 18.b 
from Schedule RC-R, Part II. Existing item 18.c of Schedule RC-R, Part 
II, for unused commitments with an original maturity exceeding one year 
would then be renumbered as item 18.b.

B. New Reporting Threshold and Increases in Existing Reporting 
Thresholds

    In five Call Report schedules, institutions are currently required 
to itemize and describe each component of an existing item when the 
component exceeds both a specified percentage of the item and a 
specified dollar amount.\6\ Based on a preliminary evaluation of the 
existing reporting thresholds, the agencies have concluded that the 
dollar portion of the thresholds that currently apply to these items 
can be increased to provide a reduction in reporting burden without a 
loss of data that would be necessary for supervisory or other public 
policy purposes. The percentage portion of the existing thresholds 
would not be changed. Accordingly, the agencies are proposing to raise 
from $25,000 to $100,000 the dollar portion of the threshold for 
itemizing and describing components of:
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    \6\ See footnote 3.
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    (1) Schedule RI-E, item 1, ``Other noninterest income;''
    (2) Schedule RI-E, item 2, ``Other noninterest expense;''
    (3) Schedule RC-F, item 6, ``All other assets;''
    (4) Schedule RC-G, item 4, ``All other liabilities;''
    (5) Schedule RC-Q, Memorandum item 1, ``All other assets;'' and
    (6) Schedule RC-Q, Memorandum item 2, ``All other liabilities.''
    The agencies also are proposing to raise from $25,000 to $1,000,000 
the dollar portion of the threshold for itemizing and describing 
components of ``Other trading assets'' and ``Other trading 
liabilities'' in Schedule RC-D, Memorandum items 9 and 10.
    In addition, because institutions with less than $1 billion in 
total assets typically do not provide support for asset-backed 
commercial paper conduits, the agencies are proposing to exempt such 
institutions from completing Schedule RC-S, Memorandum items 3.a.(1), 
3.a.(2), 3.b.(1), and 3.b.(2), on credit enhancements and unused 
liquidity commitments provided to asset-backed commercial paper 
conduits.
    These proposed threshold changes would take effect December 31, 
2015.

C. Instructional Revisions

    The following proposed instructional revisions would take effect 
December 31, 2015.
1. Reporting Home Equity Lines of Credit that Convert From Revolving to 
Non-Revolving Status
    Institutions report the amount outstanding under revolving, open-
end lines of credit secured by 1-4 family residential properties 
(commonly known as home equity lines of credit or HELOCs) in item 
1.c.(1) of Schedule RC-C, Part I, Loans and Leases. Closed-end loans 
secured by 1-4 family residential properties are reported in Schedule 
RC-C, Part I, item 1.c.(2)(a) or (b), depending on whether the loan is 
a first or a junior lien.\7\
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    \7\ Information also is separately reported for open-end and 
closed-end loans secured by 1-4 family residential properties in 
Schedule RI-B, Part I, Charge-offs and Recoveries on Loans and 
Leases; Memorandum items in Schedule RC-C, Part I; Schedule RC-D; 
Schedule RC-M; and Schedule RC-N.

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[[Page 56543]]

    A HELOC is a line of credit secured by a lien on a 1-4 family 
residential property that generally provides a draw period followed by 
a repayment period. During the draw period, a borrower has revolving 
access to unused amounts under a specified line of credit. During the 
repayment period, the borrower can no longer draw on the line of 
credit, and the outstanding principal is either due immediately in a 
balloon payment or is repaid over the remaining loan term through 
monthly payments. The Call Report instructions do not address the 
reporting treatment for a home equity line of credit when it reaches 
its end-of-draw period and converts from revolving to nonrevolving 
status. Such a loan no longer has the characteristics of a revolving, 
open-end line of credit and, instead, becomes a closed-end loan. In the 
absence of instructional guidance that specifically addresses this 
situation, the agencies have found diversity in how these credits are 
reported in Schedule RC-C, Part I. Some institutions continue to report 
home equity lines of credit that have converted to non-revolving 
closed-end status in item 1.c.(1) of Schedule RC-C, Part I, as if they 
were still revolving open-end lines of credit, while other institutions 
recategorize such loans and report them as closed-end loans in item 
1.c.(2)(a) or (b), as appropriate.
    Therefore, to address this absence of instructional guidance and 
promote consistency in reporting, the agencies are proposing to clarify 
the instructions for reporting loans secured by 1-4 family residential 
properties to specify that after a revolving open-end line of credit 
has converted to non-revolving closed-end status, the loan should be 
reported in Schedule RC-C, Part I, item 1.c.(2)(a) or (b), as 
appropriate. In proposing this clarification, the agencies request 
comment on whether an instructional requirement to recategorize HELOCs 
as closed-end loans for Call Report purposes would create difficulties 
for institutions' loan recordkeeping systems. If so, commenters are 
encouraged to describe the difficulties this recategorization would 
create.
2. Reporting Treatment for Securities for Which a Fair Value Option Is 
Elected
    The Call Report Glossary entry for ``Trading Account'' currently 
states that ``all securities within the scope of the Financial 
Accounting Standards Board's (FASB) Accounting Standards Codification 
(ASC) Topic 320, Investments-Debt and Equity Securities (formerly FASB 
Statement No. 115, ``Accounting for Certain Investments in Debt and 
Equity Securities''), that a bank has elected to report at fair value 
under a fair value option with changes in fair value reported in 
current earnings should be classified as trading securities.'' This 
reporting treatment was based on language contained in former FASB 
Statement No. 159, ``The Fair Value Option for Financial Assets and 
Financial Liabilities,'' but that language was not codified when 
Statement No. 159 was superseded by current ASC Topic 825, Financial 
Instruments. Thus, under U.S. GAAP as currently in effect, the 
classification of all securities within the scope of ASC Topic 320 that 
are accounted for under a fair value option as trading securities is no 
longer required. Accordingly, to bring the ``Trading Account'' Glossary 
entry into conformity with current U.S. GAAP, the agencies are 
proposing to revise the statement from the Glossary entry quoted above 
by replacing ``should be classified'' with ``may be classified.''
    This revision to the ``Trading Account'' Glossary entry means that 
an institution that elects the fair value option for securities within 
the scope of ASC Topic 320 would be able to classify such securities as 
held-to-maturity or available-for-sale in accordance with this topic 
based on the institution's intent and ability with respect to the 
securities. In addition, an institution could choose to classify 
securities for which a fair value option is elected as trading 
securities.
    Institutions that have been required to classify all securities 
within the scope of ASC Topic 320 that are accounted for under a fair 
value option as trading securities also should consider the related 
proposed changes to Schedule RC-Q, Assets and Liabilities Measured at 
Fair Value on a Recurring Basis, which are discussed in Section III.E.1 
below.
3. Net Gains (Losses) on Sales of, and Other-Than-Temporary Impairments 
on, Equity Securities That Do Not Have Readily Determinable Fair Values
    Institutions report investments in equity securities that do not 
have readily determinable fair values and are not held for trading (and 
to which the equity method of accounting does not apply) in Schedule 
RC-F, item 4, and on the Call Report balance sheet in Schedule RC, item 
11, ``Other assets.'' If such equity securities are held for trading, 
they are reported in Schedule RC, item 5, and in Schedule RC-D, item 9 
and Memorandum item 7.b, if applicable. In contrast, investments in 
equity securities with readily determinable fair values that are not 
held for trading are reported as available-for-sale securities in 
Schedule RC, item 2.b, and in Schedule RC-B, item 7, whereas those held 
for trading are reported in Schedule RC, item 5, and in Schedule RC-D, 
item 9 and Memorandum item 7.a, if applicable.
    In general, investments in equity securities that do not have 
readily determinable fair values are accounted for in accordance with 
ASC Subtopic 325-20, Investments--Other--Cost Method Investments 
(formerly Accounting Principles Board Opinion No. 18, ``The Equity 
Method of Accounting for Investments in Common Stock''), but are 
subject to the impairment guidance in ASC Topic 320, Investments--Debt 
and Equity Securities (formerly FASB Staff Position No. FAS 115-2 and 
FAS 124-2, ``Recognition and Presentation of Other-Than-Temporary 
Impairments'').
    The Call Report instructions for Schedule RI, Income Statement, 
address the reporting of realized gains (losses), including other-than-
temporary impairments, on held to-maturity and available-for-sale 
securities as well as the reporting of realized and unrealized gains 
(losses) on trading securities and other assets held for trading. 
However, the Schedule RI instructions do not specifically explain where 
to report realized gains (losses) on sales or other disposals of, and 
other-than-temporary impairments on, equity securities that do not have 
readily determinable fair values and are not held for trading (and to 
which the equity method of accounting does not apply).
    The instructions for Schedule RI, item 5.k, ``Net gains (losses) on 
sales of other assets (excluding securities),'' direct institutions to 
``[r]eport the amount of net gains (losses) on sales and other 
disposals of assets not required to be reported elsewhere in the income 
statement (Schedule RI).'' The instructions for item 5.k further advise 
institutions to exclude net gains (losses) on sales and other disposals 
of securities and trading assets. The intent of this wording was to 
cover securities designated as held-to-maturity, available-for-sale, 
and trading securities because there are separate specific items 
elsewhere in Schedule RI for the reporting of realized gains (losses) 
on such securities (items 6.a, 6.b, and 5.c, respectively). Thus, the 
agencies are proposing to revise the instructions for Schedule RI, item 
5.k, by clarifying that the exclusions from this item of net gains 
(losses) on securities and trading

[[Page 56544]]

assets apply to held-to-maturity, available-for-sale, and trading 
securities and other assets held for trading. At the same time, the 
agencies are proposing to add language to the instructions for Schedule 
RI, item 5.k, that explains that net gains (losses) on sales and other 
disposals of equity securities that do not have readily determinable 
fair values and are not held for trading (and to which the equity 
method of accounting does not apply), as well as other-than-temporary 
impairments on such securities, should be reported in item 5.k. The 
agencies also are proposing to remove the parenthetic ``(excluding 
securities)'' from the caption for item 5.k and add in its place a 
footnote to this item advising institutions to exclude net gains 
(losses) on sales of trading assets and held-to-maturity and available-
for-sale securities.

D. New and Revised Data Items and Information of General Applicability

1. Increase in the Time Deposit Size Threshold
    Section 335 of the Dodd-Frank Wall Street Reform and Consumer 
Protection Act (Pub. L. 111-203) permanently increased the standard 
maximum deposit insurance amount (SMDIA) from $100,000 to $250,000 
effective July 21, 2010. The SMDIA had been increased temporarily from 
$100,000 to $250,000 by Section 136 of the Emergency Economic 
Stabilization Act of 2008 (Pub. L. 110-343). In response to the 
increase in the limit of deposit insurance coverage, the reporting of 
the amount of ``Total time deposits of $100,000 or more'' in Memorandum 
item 2.c of Schedule RC-E, Deposit Liabilities, was revised as of the 
March 31, 2010, report date. As of that date, institutions began to 
separately report their ``Total time deposits of $100,000 through 
$250,000'' (Memorandum item 2.c) and their ``Total time deposits of 
more than $250,000'' (Memorandum item 2.d).
    However, the reporting of the quarterly averages, interest expense, 
and maturity and repricing data for time deposits of $100,000 or more 
in Schedules RC-K, RI, and RC-E, respectively, have not been updated to 
reflect the permanent $250,000 deposit insurance limit. In this regard, 
in its comment letter to the agencies in response to their first 
request for comments under the Economic Growth and Regulatory Paperwork 
Reduction Act of 1996,\8\ the American Bankers Association recommended 
revising the Schedule RC-E deposit reporting items to reflect the new 
FDIC insurance limit of $250,000. Accordingly, the agencies are 
proposing to revise the time deposit size threshold that applies to the 
reporting of this information to bring it into alignment with the 
SMDIA. These proposed changes are illustrated in the following table:
---------------------------------------------------------------------------

    \8\ 79 FR 32172, June 4, 2014.

------------------------------------------------------------------------
                                                      Proposed revised
    Call report schedule          Current item              item
------------------------------------------------------------------------
Schedule RC-K, Quarterly      Item 11.b, ``Time     Item 11.b, ``Time
 Averages.                     deposits of           deposits of
                               $100,000 or more''.   $250,000 or less''.
                              Item 11.c, ``Time     Item 11.c, ``Time
                               deposits of less      deposits of more
                               than $100,000''.      than $250,000''.
Schedule RI, Income           Item 2.a.(2)(b),      Item 2.a.(2)(b),
 Statement \9\.                Interest expense on   Interest expense on
                               ``Time deposits of    ``Time deposits of
                               $100,000 or more''.   $250,000 or less''.
                              Item 2.a.(2)(c),      Item 2.a.(2)(c),
                               Interest expense on   Interest expense on
                               ``Time deposits of    ``Time deposits of
                               less than             more than
                               $100,000''.           $250,000''.
Schedule RC-E, Deposit        Memorandum item 3.a,  Memorandum item 3.a,
 Liabilities.                  ``Time deposits of    ``Time deposits of
                               less than $100,000    $250,000 or less
                               with a remaining      with a remaining
                               maturity or next      maturity or next
                               repricing date of''.  repricing date
                                                     of''.
                              Memorandum item 3.b,  Memorandum item 3.b,
                               ``Time deposits of    ``Time deposits of
                               less than $100,000    $250,000 or less
                               with a remaining      with a remaining
                               maturity of one       maturity of one
                               year or less''.       year or less''.
                              Memorandum item 4.a,  Memorandum item 4.a,
                               ``Time deposits of    ``Time deposits of
                               $100,000 or more      more than $250,000
                               with a remaining      with a remaining
                               maturity or next      maturity or next
                               repricing date of''.  repricing date
                                                     of''.
                              Memorandum item 4.b,  Memorandum item 4.b,
                               ``Time deposits of    ``Time deposits of
                               $100,000 through      more than $250,000
                               $250,000 with a       with a remaining
                               remaining maturity    maturity of one
                               of one year or        year or less''.
                               less''.
                              Memorandum item 4.c,
                               ``Time deposits of
                               more than $250,000
                               with a remaining
                               maturity of one
                               year or less''
------------------------------------------------------------------------

    The proposed changes to Schedules RC-K and RI would take effect 
March 31, 2016. The agencies are proposing to implement the changes to 
Schedule RC-E as of December 31, 2015, but comment is specifically 
requested on whether institutions' deposit recordkeeping systems will 
be able to support the proposed change in the reporting of maturity and 
repricing data in Memorandum items 3 and 4 as of that date.
---------------------------------------------------------------------------

    \9\ The item numbers shown for Schedule RI are from the FFIEC 
041 report form for institutions with domestic offices only. On the 
FFIEC 031 report form for institutions with domestic and foreign 
offices, the item numbers are items 2.a.(1)(b)(2) and 2.a.(1)(b)(3).
---------------------------------------------------------------------------

2. Level of External Auditing Work Performed for the Reporting 
Institution During the Preceding Year
    Each year in the March Call Report, each institution indicates in 
Schedule RC, Memorandum item 1, the most comprehensive level of 
auditing work performed by independent external auditors during the 
preceding calendar year for the institution or its parent holding 
company. In completing Memorandum item 1, each institution selects from 
nine statements describing a range of levels of auditing work the one 
statement that best describes the level of auditing work performed for 
it. Certain statements from which an institution must choose do not 
reflect current auditing practices performed in accordance with 
applicable standards and procedures promulgated by the U.S. auditing 
standard setters, namely the Public Company Accounting Oversight Board 
(PCAOB) and the Auditing Standards Board (ASB) of the American

[[Page 56545]]

Institute of Certified Public Accountants. The PCAOB establishes 
auditing and related professional practice standards to be used in the 
performance and reporting of audits of the financial statements of 
public companies. The ASB establishes auditing, attestation, and 
quality control standards applicable to the performance and issuance of 
audit and attestation reports for entities that are not public 
companies, e.g. private companies.
    The PCAOB's Auditing Standard No. 5 (AS 5), An Audit of Internal 
Control Over Financial Reporting That Is Integrated with An Audit of 
Financial Statements, became effective for fiscal years ending on or 
after November 15, 2007, and provides guidance regarding the 
integration of audits of internal control over financial reporting with 
audits of financial statements. To further emphasize the integration of 
these two audits, the PCAOB revised AS 5 in December 2010 by adding a 
statement that ``the auditor cannot audit internal control over 
financial reporting without also auditing the financial statements.'' 
Those public companies not required to undergo an audit of internal 
control over financial reporting must have an audit of their financial 
statements.
    The ASB has separately provided similar guidance in Attestation 
Section 501 (AT 501), An Examination of an Entity's Internal Control 
over Financial Reporting That Is Integrated with an Audit of Its 
Financial Statements, which became effective for integrated audits for 
periods ending on or after December 15, 2008. Consistent with the 
PCAOB, the ASB states in AT 501 that ``[t]he examination of internal 
control should be integrated with an audit of financial statements'' 
and ``[a]n auditor should not accept an engagement to review an 
entity's internal control or a written assertion thereon.'' Under the 
ASB's previous attestation standards, an entity could engage an 
external auditor to examine and attest to the effectiveness of its 
internal control over financial reporting without auditing the entity's 
financial statements. Thus, at present, unless a private company is 
required to or elects to have an integrated internal control 
examination and financial statement audit, the private company may be 
required to or can choose to have an external auditor perform an audit 
of its financial statements, but it may not engage an external auditor 
to perform a standalone internal control examination.
    The existing wording of statements 1, 2, and 3 of Schedule RC, 
Memorandum item 1, reads as follows:
    1 = Independent audit of the bank conducted in accordance with 
generally accepted auditing standards by a certified public accounting 
firm which submits a report on the bank.
    2 = Independent audit of the bank's parent holding company 
conducted in accordance with generally accepted auditing standards by a 
certified public accounting firm which submits a report on the 
consolidated holding company (but not on the bank separately).
    3 = Attestation on bank management's assertion on the effectiveness 
of the bank's internal control over financial reporting by a certified 
public accounting firm.
    Because these three statements no longer fully and properly 
describe the types of external auditing services performed for 
institutions or their parent holding companies under current 
professional standards and to enhance the information institutions 
provide the agencies annually about the level of auditing external work 
performed for them, the agencies are proposing to replace existing 
statements 1 and 2 with new statements 1a, 1b, 2a, and 2b and to 
eliminate existing statement 3 effective March 31, 2016. The revised 
statements would read as follows:
    1a = An integrated audit of the reporting institution's financial 
statements and internal control over financial reporting conducted in 
accordance with the standards of the American Institute of Certified 
Public Accountants (AICPA) or the Public Company Accounting Oversight 
Board (PCAOB) by an independent public accountant that submits a report 
on the institution.
    1b = An audit of the reporting institution's financial statements 
conducted in accordance with auditing standards of the AICPA or the 
PCAOB by an independent public accountant that submits a report on the 
institution.
    2a = An integrated audit of the reporting institution's parent 
holding company's consolidated financial statements and internal 
control over financial reporting conducted in accordance with the 
standards of the AICPA or the PCAOB by an independent public accountant 
that submits a report on the consolidated holding company (but not on 
the institution separately).\10\
---------------------------------------------------------------------------

    \10\ The instructions for statement 2a would indicate this 
statement also applies to a reporting institution with $5 billion or 
more in total assets and a rating lower than 2 under the Uniform 
Financial Institutions Rating System that is required by Section 
36(i)(1) of the Federal Deposit Insurance Act (12 U.S.C. 
1831m(i)(1)) to have its internal control over financial reporting 
audited at the institution level, but undergoes a financial 
statement audit at the consolidated holding company level.
---------------------------------------------------------------------------

    2b = An audit of the reporting institution's parent holding 
company's consolidated financial statements conducted in accordance 
with the auditing standards of the AICPA or the PCAOB by an independent 
public accountant that submits a report on the consolidated holding 
company (but not on the institution separately).
3. Chief Executive Officer Contact Information
    All reporting institutions have been requested to provide 
``Emergency Contact Information'' as part of their Call Report 
submissions since September 2002. This information request was added to 
the Call Report so that the agencies could distribute critical, time-
sensitive information to emergency contacts at institutions should such 
a need arise. The primary contact should be a senior official of the 
institution who has decision-making authority. The primary contact may 
or may not be the institution's Chief Executive Officer (CEO). 
Information for a secondary contact also should be provided if such a 
person is available at an institution. The emergency contact 
information is for the confidential use of the agencies and is not 
released to the public.
    The agencies periodically need to communicate with the CEOs of 
reporting institutions via email, but they currently do not have a 
complete list of CEO email addresses that would enable an agency to 
communicate directly to institutions' CEOs. The CEO communications are 
initiated or approved by persons at the agencies' senior management 
levels and would involve topics including new initiatives, policy 
notifications, and assessment information. For example, the FDIC 
initiates distributions of deposit insurance assessment notifications 
addressed to the CEOs of insured depository institutions, which are 
posted to each institution's FDICconnect account. However, in the 
absence of an up-to-date database of CEO email addresses that can be 
used for sending assessment notifications, the FDIC currently sends an 
email to each institution's FDICconnect user or users and requests that 
they download the notification and any attachments, and provide them to 
their CEO.
    To streamline the agencies' CEO communication process, the agencies 
are proposing to request CEO contact information, including email 
addresses, in the Call Report separately from, but in a manner similar 
to, the currently

[[Page 56546]]

requested ``Emergency Contact Information'' beginning as of December 
31, 2015. As with the ``Emergency Contact Information,'' the proposed 
CEO contact information would be for the confidential use of the 
agencies and would not be released to the public. The agencies intend 
for CEO email addresses to be used judiciously and only for significant 
matters requiring CEO-level attention. Having a comprehensive database 
of CEO contact information, including email addresses, would allow the 
agencies to communicate important and time-sensitive information 
directly to CEOs.
4. Reporting the Legal Entity Identifier
    The Legal Entity Identifier (LEI) is a 20-digit alpha-numeric code 
that uniquely identifies entities that engage in financial 
transactions. The recent financial crisis spurred the development of a 
Global LEI System (GLEIS). Internationally, regulators and market 
participants have recognized the importance of the LEI as a key 
improvement in financial data systems. The Group of Twenty (G-20) 
nations directed the Financial Stability Board (FSB) to lead the 
coordination of international regulatory work and deliver concrete 
recommendations on the GLEIS by mid-2012, which in turn were endorsed 
by the G-20 later that same year. In January 2013, the LEI Regulatory 
Oversight Committee (ROC), including participation by regulators from 
around the world, was established to oversee the GLEIS on an interim 
basis. With the establishment of the full Global LEI Foundation in 
2014, the ROC continues to review and develop broad policy standards 
for LEIs. The OCC, the Board, and the FDIC are all members of the ROC.
    The LEI system is designed to facilitate several financial 
stability objectives, including the provision of higher quality and 
more accurate financial data. In the United States, the Financial 
Stability Oversight Council (FSOC) has recommended that regulators and 
market participants continue to work together to improve the quality 
and comprehensiveness of financial data both nationally and globally. 
In this regard, the FSOC also has recommended that its member agencies 
promote the use of the LEI in reporting requirements and rulemakings, 
where appropriate.\11\
---------------------------------------------------------------------------

    \11\ Financial Stability Oversight Council 2015 Annual Report, 
page 14 at (http://www.treasury.gov/initiatives/fsoc/studies-reports/Documents/2015%20FSOC%20Annual%20Report.pdf).
---------------------------------------------------------------------------

    Effective beginning October 31, 2014, the Board started requiring 
holding companies to provide their LEI on the cover pages of the FR Y-
6, FR Y-7, and FR Y-10 reports \12\ only if a holding company already 
has an LEI. Thus, if a reporting holding company does not have an LEI, 
it is not required to obtain one for purposes of these Board reports. 
Additionally, on July 2, 2015, the Board published in the Federal 
Register notice of final approval of a proposal to expand the 
collection of the LEI to all holding company subsidiary banking and 
nonbanking legal entities reportable on certain schedules of the FR Y-
10 and in one section of the FR Y-6 and FR Y-7 if an LEI has already 
been issued for the reportable entity.\13\ With respect to the Call 
Report, the agencies are proposing to have institutions provide their 
LEI on the cover page of the report beginning December 31, 2015, only 
if an institution already has an LEI. As with the Board reports, an 
institution that does not have an LEI would not be required to obtain 
one for purposes of reporting it on the Call Report.
---------------------------------------------------------------------------

    \12\ FR Y-6, Annual Report of Holding Companies; FR Y-7, Annual 
Report of Foreign Banking Organizations; and FR Y-10, Report of 
Changes in Organizational Structure (OMB No. 7100-0297).
    \13\ 80 FR 38202.
---------------------------------------------------------------------------

5. Additional Preprinted Captions for Itemizing and Describing 
Components of Certain Items That Exceed Reporting Thresholds
    As mentioned above in Section III.B, institutions are required to 
itemize and describe each component of certain items in five Call 
Report schedules when the component exceeds both a specified percentage 
of the item and a specified dollar amount. To simplify and streamline 
the reporting of these components and thereby reduce reporting burden, 
preprinted captions have been provided for those components of each of 
these items that, based on the agencies' review of the components 
previously reported for these items, institutions most frequently 
itemize and describe. When a preprinted caption is provided for a 
particular component of an item, an institution is not required to 
report the amount of that component when the amount falls below the 
applicable reporting thresholds.
    Based on the most recent review of the component descriptions 
manually entered by reporting institutions because preprinted captions 
were not available, the agencies plan to add one new preprinted caption 
to Schedule RI-E, item 1, ``Other noninterest income,'' two new 
preprinted captions to Schedule RI-E, item 2, ``Other noninterest 
expense,'' and three new preprinted captions to Schedule RC-F, item 6, 
``All other assets,'' effective December 31, 2015.\14\ The introduction 
of these new preprinted captions is intended to simplify institutions' 
compliance with the requirement to itemize and describe those 
components of these items that exceed the applicable reporting 
thresholds (which are being proposed to be revised in Section II.B). 
The new preprinted caption for ``Other noninterest income'' is ``Income 
and fees from wire transfers.'' The two new preprinted captions for 
``Other noninterest expense'' are ``Other real estate owned expenses'' 
and ``Insurance expenses (not included in employee benefits, premises 
and fixed assets expenses, and other real estate owned expenses).'' The 
three new preprinted captions for ``All other assets'' are ``Computer 
software,'' ``Accounts receivable,'' and ``Receivables from foreclosed 
government-guaranteed mortgage loans.''
---------------------------------------------------------------------------

    \14\ The addition of one of the new preprinted captions to 
Schedule RC-F, item 6, is based on the expected usage of a component 
resulting from the FASB's issuance of Accounting Standards Update 
(ASU) No. 2014-14, ``Classification of Certain Government-Guaranteed 
Mortgage Loans upon Foreclosure,'' that is in effect for certain 
institutions and will become effective for other institutions later 
in 2015 or in 2016 depending, in part, of their fiscal years.
---------------------------------------------------------------------------

6. Extraordinary Items
    In January 2015, the FASB issued ASU No. 2015-01, ``Simplifying 
Income Statement Presentation by Eliminating the Concept of 
Extraordinary Items.'' This ASU eliminates the concept of extraordinary 
items from U.S. GAAP. At present, ASC Subtopic 225-20, Income 
Statement--Extraordinary and Unusual Items (formerly Accounting 
Principles Board Opinion No. 30, ``Reporting the Results of 
Operations''), requires an entity to separately classify, present, and 
disclose extraordinary events and transactions. An event or transaction 
is presumed to be an ordinary and usual activity of the reporting 
entity unless evidence clearly supports its classification as an 
extraordinary item. For Call Report purposes, if an event or 
transaction currently meets the criteria for extraordinary 
classification, an institution must segregate the extraordinary item 
from the results of its ordinary operations and report the 
extraordinary item in its income statement in Schedule RI, item 11, 
``Extraordinary items and other adjustments, net of income taxes.''
    ASU 2015-01 is effective for fiscal years, and interim periods 
within those fiscal years, beginning after December 15, 2015. Thus, for 
example, institutions with a calendar year fiscal year must begin to 
apply the ASU in their Call

[[Page 56547]]

Reports for March 31, 2016.\15\ After an institution adopts ASU 2015-
01, any event or transaction that would have met the criteria for 
extraordinary classification before the adoption of the ASU should be 
reported in Schedule RI, item 5.l, ``Other noninterest income,'' or 
item 7.d, ``Other noninterest expense,'' as appropriate, unless the 
event or transaction would otherwise be reportable in another item of 
Schedule RI.
---------------------------------------------------------------------------

    \15\ Early adoption of ASU 2015-01 is permitted provided that 
the guidance is applied from the beginning of the fiscal year of 
adoption.
---------------------------------------------------------------------------

    Consistent with the elimination of the concept of extraordinary 
items in ASU 2015-01, the agencies plan to revise the instructions for 
Schedule RI, item 11, and remove the term ``extraordinary items'' from 
and revise the captions for Schedule RI, item 8, ``Income (loss) before 
income taxes and extraordinary items and other adjustments,'' item 10, 
``Income (loss) before extraordinary items and other adjustments,'' and 
item 11, effective March 31, 2016. After the concept of extraordinary 
items has been eliminated and such items would no longer be reportable 
in Schedule RI, item 11, only the results of discontinued operations 
would be reportable in item 11.\16\ Accordingly, effective March 31, 
2016, the revised captions for Schedule RI, items 8, 10, and 11, would 
become ``Income (loss) before income taxes and discontinued 
operations,'' ``Income (loss) before discontinued operations,'' and 
``Discontinued operations, net of applicable income taxes,'' 
respectively. Similarly, the caption for Schedule RI-E, item 3, would 
be changed from ``Extraordinary items and other adjustments and 
applicable income tax effect'' to ``Discontinued operations and 
applicable income tax effect.'' \17\
---------------------------------------------------------------------------

    \16\ The outdated reference to the reporting of the cumulative 
effect of certain changes in accounting principles in the 
instructions for item 11, which is inconsistent with the guidance in 
the Call Report Glossary entry for ``Accounting Changes,'' would be 
deleted from the instructions.
    \17\ Items 3.c.(1) and (2) also would be removed from Schedule 
RI-E.
---------------------------------------------------------------------------

E. New and Revised Data Items of Limited Applicability

1. Changes to Schedule RC-Q, Assets and Liabilities Measured at Fair 
Value on a Recurring Basis
    Schedule RC-Q is completed by institutions that had:
     Total assets of $500 million or more as of the beginning 
of their fiscal year; or
     Total assets of less than $500 million as of the beginning 
of their fiscal year and either:
    [cir] Have elected to report financial instruments or servicing 
assets and liabilities at fair value under a fair value option with 
changes in fair value recognized in earnings, or
    [cir] Are required to complete Schedule RC-D, Trading Assets and 
Liabilities.
    Institutions required to complete Schedule RC-Q are currently 
required to treat securities they have elected to report at fair value 
under a fair value option as part of their trading securities. As a 
consequence, institutions must include fair value information for their 
fair value option securities, if any, in Schedule RC-Q two times: 
First, as part of the fair value information they report for their 
``Other trading assets'' in item 5.b of the schedule, and then on a 
standalone basis in item 5.b.(1), ``Nontrading securities at fair value 
with changes in fair value reported in current earnings.'' This 
reporting treatment flows from the existing provision of the Glossary 
entry for ``Trading Account'' that, as discussed above, requires an 
institution that has elected to report securities at fair value under a 
fair value option to classify the securities as trading securities. 
However, as further discussed above, the agencies are proposing to 
remove this requirement because it is not consistent with current U.S. 
GAAP. As a result, an institution's fair value option securities can be 
classified as held-to-maturity, available-for-sale, or trading 
securities in accordance with the guidance in Topic 320, Investments-
Debt and Equity Securities.
    In its current form, Schedule RC-Q contains an item for available-
for-sale securities along with the items identified above for ``Other 
trading assets,'' which includes securities designated as trading 
securities, and ``Nontrading securities at fair value with changes in 
fair value reported in current earnings.'' However, Schedule RC-Q does 
not include an item for held-to-maturity securities because, given the 
existing instructional requirements for fair value option securities, 
the held-to-maturity category includes only securities reported at 
amortized cost. By removing the requirement to report all fair value 
option securities within the scope of ASC Topic 320 as trading 
securities, as proposed earlier in this notice, the agencies are 
further proposing to replace item 5.b.(1) of Schedule RC-Q for 
nontrading securities accounted for under a fair value option with a 
new item for any ``Held-to-maturity securities'' to which a fair value 
option is applied. In this regard, existing item 1 for ``Available-for-
sale securities'' would be renumbered as item 1.b and fair value 
information for any fair value option securities designated as ``Held-
to-maturity securities'' would be reported in a new item 1.a of 
Schedule RC-Q. These changes to Schedule RC-Q would take effect 
December 31, 2015.
    In addition, at present, institutions that have elected to measure 
loans (not held for trading) at fair value under a fair value option 
are required to report the fair value and unpaid principal balance of 
such loans in Memorandum items 10 and 11 of Schedule RC-C, Part I, 
Loans and Leases. Because Schedule RC-C, Part I, must be completed by 
all institutions, Memorandum items 10 and 11 also must be completed by 
all institutions although only a nominal number of institutions with 
less than $500 million in assets have disclosed reportable amounts for 
any of the categories of fair value option loans reported in the 
subitems of these two Memorandum items. Accordingly, the agencies are 
proposing to move Memorandum items 10 and 11 on the fair value and 
unpaid principal balance of fair value option loans from Schedule RC-C, 
Part I, to Schedule RC-Q effective December 31, 2015, and to designate 
them as Memorandum items 3 and 4. With only a limited number of 
institutions with less than $500 million in assets meeting the criteria 
for completing Schedule RC-Q, moving Memorandum items 10 and 11 from 
Schedule RC-C, Part I, to Schedule RC-Q should simplify Schedule RC-C, 
Part I, and thereby mitigate some of the reporting burden associated 
with Schedule RC-C, Part I.
2. Revisions to the Reporting of the Impact on Trading Revenues of 
Changes in Credit and Debit Valuation Adjustments by Institutions With 
Total Assets of $100 Billion or More
    Institutions that reported average trading assets of $2 million or 
more for any quarter of the preceding calendar year must report a 
breakdown of their trading revenue (as reported in Schedule RI, item 
5.c) by underlying risk exposure in Schedule RI, Memorandum items 8.a 
though 8.e. The five types of risk exposure are interest rate, foreign 
exchange, equity security and index, credit, and commodity and other. 
Institutions required to provide this five-way breakdown of their 
trading revenue that have $100 billion or more in total assets must 
also report the ``Impact on trading revenue of changes in the 
creditworthiness of the bank's derivative counterparties on the bank's 
derivative assets'' and the ``Impact on trading revenue of changes in 
the creditworthiness of the bank on the bank's derivative liabilities'' 
in

[[Page 56548]]

Schedule RI, Memorandum items 8.f and 8.g, respectively. Memorandum 
items 8.f and 8.g were intended to capture the amounts included in 
trading revenue that resulted from calendar year-to-date changes in the 
reporting institution's credit valuation adjustments (CVA) and debit 
valuation adjustments (DVA).
    The agencies have found inconsistent reporting of CVAs and DVAs by 
the institutions completing Memorandum items 8.f and 8.g of Schedule 
RI, which affects the analysis of reported trading revenues. Some 
institutions report CVAs and DVAs in these two items on a gross basis 
while other institutions report these adjustments on a net (of hedging) 
basis. Furthermore, at present, institutions may report a net CVA and 
DVA of hedges under only one of the five types of underlying risk 
exposures (e.g., the overall net CVA and DVA amount is reported 
entirely with trading revenue from credit exposures) when the net CVA 
and net DVA should be properly allocated to each of the five different 
underlying types of risk exposures.
    Consistent reporting of the impact on trading revenue from year-to-
date changes in CVAs and DVAs is necessary to ensure the accuracy of 
the data available to examiners for planning and conducting safety and 
soundness examinations of institutions' trading activities and to the 
agencies for their analyses of derivatives and trading activities, and 
changes therein, at the industry and institution level. Furthermore, 
proper allocations of CVAs and DVAs (net of hedging) to the appropriate 
type of underlying risk exposure are necessary to avoid overstating the 
trading revenue from some types of underlying risk exposure and 
understating the trading revenue from other types, which may result in 
examiners and agency analysts reaching improper conclusions about the 
effectiveness of institutions' trading activities and their management 
of CVA and DVA risks.
    To enhance the quality of the trading revenue information reported 
by the largest institutions in the U.S., promote consistency across 
institutions in the reporting of CVAs and DVAs, enable examiners to 
make more informed judgments about institutions' effectiveness in 
managing CVA and DVA risks, and provide a more complete picture of 
reported trading revenue, the agencies are proposing to replace 
existing Memorandum items 8.f and 8.g of Schedule RI with a tabular set 
of data items effective March 31, 2016. In this proposed table, those 
institutions that meet the criteria for completing these two Memorandum 
items (i.e., institutions that reported average trading assets of $2 
million or more for any quarter of the preceding calendar year and have 
$100 billion or more in total assets) would separately present their 
gross CVAs and DVAs (Memorandum items 8.f.(1) and 8.g.(1)) and any 
related CVA and DVA hedging results (Memorandum items 8.f.(2) and 
8.g.(2)) by type of underlying risk exposure. The institutions also 
would report its gross trading revenue (Memorandum item 8.h) by type of 
underlying risk exposure before including positive or negative net CVAs 
and net DVAs (columns A through E). The sum of the amounts reported in 
Memorandum item 8.h, ``Gross trading revenue,'' plus the net CVA of 
hedges (the sum of columns A through E of Memorandum item 8.f.(1) minus 
the sum of columns A through E of Memorandum item 8.f.(2)), and plus 
the net DVA of hedges (the sum of the columns A through E of Memorandum 
item 8.g.(1) minus the sum of columns A through E of Memorandum item 
8.g.(2)) must equal Schedule RI, item 5.c, ``Trading revenue.'' For 
purposes of this proposed tabular set of data items, the agencies are 
further proposing to require CVA and DVA amounts, as well as their 
hedges, to be allocated to the type of underlying risk exposure (e.g., 
interest rates, foreign exchange, and equity) that gives rise to the 
CVA and the DVA.
    In proposing that the institutions with assets of $100 billion or 
more report expanded information on the impact on trading revenues of 
changes in CVAs and DVAs, related hedging results, and gross trading 
revenues, the agencies request comment on the availability of these 
data by type of underlying risk exposure at those institutions that 
would be subject to this reporting requirement.
3. Dually Payable Deposits in Foreign Branches of U.S. Banks
    Under the Federal Deposit Insurance Act (FDI Act), deposit 
obligations carried on the books and records of foreign branches of 
U.S. banks are not considered deposits, unless the funds are payable 
both in the foreign branch and at an office of the bank in the United 
States (that is, they are dually payable). In September 2013, the FDIC 
issued a final rule amending its deposit insurance regulations to 
clarify that deposits carried on the books and records of a foreign 
branch of a U.S. bank are not insured deposits even if they are made 
payable both at that branch and at an office of the bank in any state 
of the United States.\18\ In addition, the final rule provides an 
exception for Overseas Military Banking Facilities operated under 
Department of Defense regulations.
---------------------------------------------------------------------------

    \18\ See 78 FR 56583 (September 13, 2013).
---------------------------------------------------------------------------

    The final rule does not affect the ability of a U.S. bank to make a 
foreign deposit dually payable. Should a bank do so, its foreign branch 
deposits would be treated as deposit liabilities under the FDI Act's 
depositor preference regime in the same way as, and on an equal footing 
with, domestic uninsured deposits. In general, ``depositor preference'' 
refers to a resolution distribution regime in which the claims of 
depositors have priority over (that is, are satisfied before) the 
claims of general unsecured creditors. Thus, if deposits held in 
foreign branches of U.S. banks located outside the United States are 
made dually payable, that is, made payable at both the foreign office 
and a branch of the bank located in the United States, the holders of 
such deposits would receive depositor preference in the event of the 
U.S. bank's failure.
    To enable the FDIC to monitor the volume and trend of dually 
payable deposits in the foreign branches of U.S. banks, the agencies 
are proposing to add a new Memorandum item 2 to Schedule RC-E, Part II, 
on the FFIEC 031 Call Report effective December 31, 2015. The FFIEC 031 
is applicable only to banks with foreign offices. The proposed new 
information on the amount of dually payable deposits at foreign 
branches of U.S. banks would enable the FDIC to determine, as required 
by statute, the least costly method of resolving a particular bank if 
it fails and the potential loss to the Deposit Insurance Fund. This 
requires the FDIC to plan for the distribution of the proceeds from the 
liquidation of the failed bank's assets, including consideration not 
only of insured deposits, but also other deposit liabilities for 
purposes of depositor preference, such as domestic uninsured deposits 
and dually payable deposits in foreign branches of the particular U.S. 
bank, which take priority over general unsecured liabilities.
4. Revisions To Implement the Supplementary Leverage Ratio for Advanced 
Approaches Institutions
    Schedule RC-R, Part I, item 45, applies to the reporting of the 
supplementary leverage ratio (SLR) by advanced approaches 
institutions.\19\ In

[[Page 56549]]

the sample Call Report forms and the Call Report instruction book for 
report dates before March 31, 2015, the caption for item 45 and the 
instructions for this item both indicated that, effective for report 
dates on or after January 1, 2015, advanced approaches institutions 
should begin to report their SLR in the Call Report as calculated for 
purposes of Schedule A, item 98, of the FFIEC 101, Regulatory Capital 
Reporting for Institutions Subject to the Advanced Capital Adequacy 
Framework.\20\ However, the agencies temporarily suspended the 
collection of Schedule RC-R, Part I, item 45, before it took effect 
March 31, 2015, due to amendments to the SLR rule\21\ and the need for 
updates to the associated SLR data collection in the FFIEC 101.
---------------------------------------------------------------------------

    \19\ In general, an advanced approaches institution (i) has 
consolidated total assets (excluding assets held by an insurance 
underwriting subsidiary) on its most recent year-end regulatory 
report equal to $250 billion or more; (ii) has consolidated total 
on-balance sheet foreign exposure on its most recent year-end 
regulatory report equal to $10 billion or more (excluding exposures 
held by an insurance underwriting subsidiary); (iii) is a subsidiary 
of a depository institution that uses the advanced approaches to 
calculate its total risk-weighted assets; (iv) is a subsidiary of a 
bank holding company or savings and loan holding company that uses 
the advanced approaches to calculate its total risk-weighted assets; 
or (v) elects to use the advanced approaches to calculate its total 
risk-weighted assets.
    \20\ OMB numbers: For the OCC, 1557-0239; for the Board, 7100-
0319; and for the FDIC, 3064-0159.
    \21\ See 79 FR 57725 (September 26, 2014). The amendments to the 
SLR rule took effect January 1, 2015.
---------------------------------------------------------------------------

    The agencies have finalized the most recent revisions to the SLR 
rule, which requires all advanced approaches institutions to disclose 
three items: the numerator of the SLR (Tier 1 capital, which is already 
reported in Call Report Schedule RC-R), the denominator of the SLR 
(total leverage exposure), and the ratio itself.\22\ As part of the 
revisions to the FFIEC 101, the SLR section of the FFIEC 101 will apply 
only to top-tier advanced approaches institutions (generally, bank and 
savings and loan holding companies), and not to their subsidiary 
depository institutions. Therefore, lower tier advanced approaches 
depository institutions generally will not report SLR data in the FFIEC 
101, and will need to do so in the Call Report, which would satisfy the 
SLR disclosure requirement in the revised SLR rule.\23\
---------------------------------------------------------------------------

    \22\ See 80 FR 41409 (July 15, 2015). The disclosure requirement 
is set forth in the agencies' regulatory capital rules (12 CFR 3.172 
(OCC); 12 CFR 217.172 (Board), and 12 CFR 324.172 (FDIC)).
    \23\ Because certain depository institutions are exempt from 
filing the FFIEC 101, but must still report their SLR components and 
ratio, the agencies are proposing the depository institution-level 
collection of SLR data in the Call Report rather than in the FFIEC 
101.
---------------------------------------------------------------------------

    Thus, the agencies are proposing to add a new item 45.a to Schedule 
RC-R, Part I, in which an advanced approaches depository institution 
(regardless of parallel run status) would report total leverage 
exposure as calculated under the agencies' SLR rule.
    The agencies also are proposing to renumber current item 45 of 
Schedule RC-R, Part I, as item 45.b, to collect an institution's SLR. 
The ratio to be reported in item 45.b would equal Tier 1 capital 
reported on Schedule RC-R, Part I, item 26, divided by total leverage 
exposure reported in proposed item 45.a. Renumbered item 45.b would no 
longer reference the FFIEC 101 because lower tier depository 
institutions would no longer be calculating or reporting their SLRs on 
the FFIEC 101.
    The reporting of the proposed SLR information would take effect 
March 31, 2016.

IV. Request for Comment

    Public comment is requested on all aspects of this joint notice. 
Comments are invited on:
    (a) Whether the proposed revisions to the collections of 
information that are the subject of this notice are necessary for the 
proper performance of the agencies' functions, including whether the 
information has practical utility;
    (b) The accuracy of the agencies' estimates of the burden of the 
information collections as they are proposed to be revised, including 
the validity of the methodology and assumptions used;
    (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 services to provide information.
    Comments submitted in response to this joint notice will be shared 
among the agencies. All comments will become a matter of public record.

    Dated: September 8, 2015.
Stuart Feldstein,
Director, Legislative and Regulatory Activities Division, Office of the 
Comptroller of the Currency.
    Dated: September 11, 2015.
Michael Lewandowski,
Associate Secretary of the Board, Board of Governors of the Federal 
Reserve System.
    Dated at Washington, DC, this 9th day of September, 2015.
Robert E. Feldman,
Executive Secretary, Federal Deposit Insurance Corporation.
[FR Doc. 2015-23402 Filed 9-17-15; 8:45 am]
BILLING CODE 4810-33P; 6210-01-P; 6714-01-P



                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                         56539

                                              or businesses in the U.S. that use U.S.-                (OMB) control number. The Federal                     you consider confidential or
                                              flag vessels. If MARAD determines, in                   Financial Institutions Examination                    inappropriate for public disclosure.
                                              accordance with 46 U.S.C. 12121 and                     Council (FFIEC), of which the agencies                   Board: You may submit comments,
                                              MARAD’s regulations at 46 CFR part                      are members, has approved the                         which should refer to ‘‘FFIEC 031 and
                                              388, that the issuance of the waiver will               agencies’ publication for public                      FFIEC 041,’’ by any of the following
                                              have an unduly adverse effect on a U.S.-                comment of a proposal to extend, with                 methods:
                                              vessel builder or a business that uses                  revision, the Consolidated Reports of                    • Agency Web site: http://
                                              U.S.-flag vessels in that business, a                   Condition and Income (Call Report),                   www.federalreserve.gov. Follow the
                                              waiver will not be granted. Comments                    which are currently approved                          instructions for submitting comments at:
                                              should refer to the docket number of                    collections of information. The                       http://www.federalreserve.gov/
                                              this notice and the vessel name in order                deletions of certain existing data items,             generalinfo/foia/ProposedRegs.cfm.
                                              for MARAD to properly consider the                      the revisions of certain reporting                       • Federal eRulemaking Portal: http://
                                              comments. Comments should also state                    thresholds and certain existing data                  www.regulations.gov. Follow the
                                              the commenter’s interest in the waiver                  items, the addition of certain new data               instructions for submitting comments.
                                              application, and address the waiver                     items, and certain instructional                         • Email: regs.comments@
                                              criteria given in § 388.4 of MARAD’s                    revisions generally are proposed to take              federalreserve.gov. Include the reporting
                                              regulations at 46 CFR part 388.                         effect as of the December 31, 2015, or                form numbers in the subject line of the
                                                                                                      the March 31, 2016, report date,                      message.
                                              Privacy Act                                                                                                      • Fax: (202) 452–3819 or (202) 452–
                                                                                                      depending on the nature of the
                                                Anyone is able to search the                          proposed reporting change. At the end                 3102.
                                              electronic form of all comments                         of the comment period, the comments                      • Mail: Robert DeV. Frierson,
                                              received into any of our dockets by the                 and recommendations received will be                  Secretary, Board of Governors of the
                                              name of the individual submitting the                   analyzed to determine the extent to                   Federal Reserve System, 20th Street and
                                              comment (or signing the comment, if                     which the FFIEC and the agencies                      Constitution Avenue NW., Washington,
                                              submitted on behalf of an association,                  should modify the proposed revisions                  DC 20551.
                                              business, labor union, etc.). You may                   prior to giving final approval. The                      All public comments are available
                                              review DOT’s complete Privacy Act                       agencies will then submit the revisions               from the Board’s Web site at
                                              Statement in the Federal Register                       to OMB for review and approval.                       www.federalreserve.gov/generalinfo/
                                              published on April 11, 2000 (Volume                                                                           foia/ProposedRegs.cfm as submitted,
                                                                                                      DATES: Comments must be submitted on
                                              65, Number 70; Pages 19477–78).                                                                               unless modified for technical reasons.
                                                                                                      or before November 17, 2015.                          Accordingly, your comments will not be
                                                By Order of the Maritime Administrator                ADDRESSES: Interested parties are
                                                Dated: September 14, 2015.
                                                                                                                                                            edited to remove any identifying or
                                                                                                      invited to submit written comments to                 contact information. Public comments
                                              T. Mitchell Hudson, Jr.,                                any or all of the agencies. All comments,             may also be viewed electronically or in
                                              Secretary, Maritime Administration.                     which should refer to the OMB control                 paper in Room MP–500 of the Board’s
                                              [FR Doc. 2015–23501 Filed 9–17–15; 8:45 am]             number(s), will be shared among the                   Martin Building (20th and C Streets,
                                              BILLING CODE 4910–81–P                                  agencies.                                             NW.) between 9:00 a.m. and 5:00 p.m.
                                                                                                         OCC: Because paper mail in the                     on weekdays.
                                                                                                      Washington, DC area and at the OCC is                    FDIC: You may submit comments,
                                              DEPARTMENT OF THE TREASURY                              subject to delay, commenters are                      which should refer to ‘‘FFIEC 031 and
                                                                                                      encouraged to submit comments by                      FFIEC 041,’’ by any of the following
                                              Office of the Comptroller of the                        email, if possible. Comments may be                   methods:
                                              Currency                                                sent to: Legislative and Regulatory                      • Agency Web site: http://
                                                                                                      Activities Division, Office of the                    www.fdic.gov/regulations/laws/federal/
                                              FEDERAL RESERVE SYSTEM                                  Comptroller of the Currency, Attention                . Follow the instructions for submitting
                                                                                                      ‘‘1557–0081, FFIEC 031 and 041,’’ 400                 comments on the FDIC’s Web site.
                                              FEDERAL DEPOSIT INSURANCE                               7th Street SW., Suite 3E–218, Mail Stop                  • Federal eRulemaking Portal: http://
                                              CORPORATION                                             9W–11, Washington, DC 20219. In                       www.regulations.gov. Follow the
                                                                                                      addition, comments may be sent by fax                 instructions for submitting comments.
                                              Proposed Agency Information                             to (571) 465–4326 or by electronic mail                  • Email: comments@FDIC.gov.
                                              Collection Activities; Comment                          to prainfo@occ.treas.gov.                             Include ‘‘FFIEC 031 and FFIEC 041’’ in
                                              Request                                                    You may personally inspect and                     the subject line of the message.
                                              AGENCY:  Office of the Comptroller of the               photocopy comments at the OCC, 400                       • Mail: Gary A. Kuiper, Counsel,
                                              Currency (OCC), Treasury; Board of                      7th Street SW., Washington, DC 20219.                 Attn: Comments, Room MB–3074,
                                              Governors of the Federal Reserve                        For security reasons, the OCC requires                Federal Deposit Insurance Corporation,
                                              System (Board); Federal Deposit                         that visitors make an appointment to                  550 17th Street NW., Washington, DC
                                              Insurance Corporation (FDIC).                           inspect comments. You may do so by                    20429.
                                              ACTION: Joint notice and request for                    calling (202) 649–6700. Upon arrival,                    • Hand Delivery: Comments may be
                                              comment.                                                visitors will be required to present valid            hand delivered to the guard station at
                                                                                                      government-issued photo identification                the rear of the 550 17th Street Building
                                              SUMMARY:   In accordance with the                       and submit to security screening in                   (located on F Street) on business days
                                              requirements of the Paperwork                           order to inspect and photocopy                        between 7:00 a.m. and 5:00 p.m.
tkelley on DSK3SPTVN1PROD with NOTICES




                                              Reduction Act (PRA) of 1995 (44 U.S.C.                  comments.                                                Public Inspection: All comments
                                              chapter 35), the OCC, the Board, and the                   All comments received, including                   received will be posted without change
                                              FDIC (the ‘‘agencies’’) may not conduct                 attachments and other supporting                      to http://www.fdic.gov/regulations/laws/
                                              or sponsor, and the respondent is not                   materials, are part of the public record              federal/ including any personal
                                              required to respond to, an information                  and subject to public disclosure. Do not              information provided. Paper copies of
                                              collection unless it displays a currently               include any information in your                       public comments may be requested from
                                              valid Office of Management and Budget                   comment or supporting materials that                  the FDIC Public Information Center by


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                                              56540                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              telephone at (877) 275–3342 or (703)                    Board                                                 examinations. The agencies use Call
                                              562–2200.                                                 OMB Number: 7100–0036.                              Report data in evaluating institutions’
                                                 Additionally, commenters may send a                    Estimated Number of Respondents:                    corporate applications, including, in
                                              copy of their comments to the OMB                       850 state member banks.                               particular, interstate merger and
                                              desk officer for the agencies by mail to                  Estimated Time per Response: 59.90                  acquisition applications for which, as
                                              the Office of Information and Regulatory                burden hours per quarter to file.                     required by law, the agencies must
                                              Affairs, U.S. Office of Management and                    Estimated Total Annual Burden:                      determine whether the resulting
                                              Budget, New Executive Office Building,                  203,660 burden hours to file.                         institution would control more than ten
                                              Room 10235, 725 17th Street NW.,                                                                              percent of the total amount of deposits
                                                                                                      FDIC                                                  of insured depository institutions in the
                                              Washington, DC 20503; by fax to (202)
                                              395–6974; or by email to oira_                             OMB Number: 3064–0052.                             United States. Call Report data also are
                                              submission@omb.eop.gov.                                    Estimated Number of Respondents:                   used to calculate institutions’ deposit
                                                                                                      4,036 insured state nonmember banks                   insurance and Financing Corporation
                                              FOR FURTHER INFORMATION CONTACT: For
                                                                                                      and state savings associations.                       assessments and national banks’ and
                                              further information about the proposed                     Estimated Time per Response: 44.56                 federal savings associations’ semiannual
                                              revisions to the Call Report discussed in               burden hours per quarter to file.                     assessment fees.
                                              this notice, please contact any of the                     Estimated Total Annual Burden:
                                              agency staff whose names appear below.                  719,377 burden hours to file.                         Current Actions
                                              In addition, copies of the Call Report                     The estimated time per response for                I. Introduction
                                              forms can be obtained at the FFIEC’s                    the quarterly filings of the Call Report
                                              Web site (http://www.ffiec.gov/ffiec_                                                                            The FFIEC launched a formal
                                                                                                      is an average that varies by agency                   initiative in December 2014 to identify
                                              report_forms.htm).                                      because of differences in the
                                                 OCC: Kevin Korzeniewski, Senior                                                                            potential opportunities to reduce
                                                                                                      composition of the institutions under                 burden associated with Call Report
                                              Attorney, (202) 649–5490, for persons                   each agency’s supervision (e.g., size
                                              who are deaf or hard of hearing, TTY,                                                                         requirements for community banks. In
                                                                                                      distribution of institutions, types of                embarking on this effort, the FFIEC was
                                              (202) 649–5597, Legislative and                         activities in which they are engaged,
                                              Regulatory Activities Division, Office of                                                                     responding to industry concerns about
                                                                                                      and existence of foreign offices). The                the cost and burden associated with the
                                              the Comptroller of the Currency, 400 7th                average reporting burden for the filing of            Call Report. The FFIEC’s formal
                                              Street SW., Washington, DC 20219.                       the Call Report as it is proposed to be               initiative comprises actions in five
                                                 Board: Mark Tokarski, Acting Federal                 revised is estimated to range from 20 to              areas, which are discussed below. In
                                              Reserve Board Clearance Officer, (202)                  775 hours per quarter, depending on an                addition, as a foundation for the actions
                                              452–3829, Office of the Chief Data                      individual institution’s circumstances.               it is undertaking, the FFIEC has
                                              Officer, Board of Governors of the                         Type of Review: Revision and                       developed a set of guiding principles for
                                              Federal Reserve System, 20th and C                      extension of currently approved                       use in evaluating potential additions
                                              Streets NW., Washington, DC 20551.                      collections.                                          and deletions of Call Report data items
                                              Telecommunications Device for the Deaf                                                                        and other revisions to the Call Report.
                                              (TDD) users may call (202) 263–4869.                    General Description of Reports
                                                                                                                                                            In general, any Call Report changes
                                                 FDIC: Gary A. Kuiper, Counsel, (202)                   These information collections are
                                                                                                                                                            must meet three guiding principles: (1)
                                              898–3877, and John Popeo, Counsel,                      mandatory: 12 U.S.C. 161 (for national
                                                                                                                                                            The data items serve a long-term
                                              (202) 898–6923, Legal Division, Federal                 banks), 12 U.S.C. 324 (for state member
                                                                                                                                                            regulatory or public policy purpose by
                                              Deposit Insurance Corporation, 550 17th                 banks), 12 U.S.C. 1817 (for insured state             assisting the FFIEC’s member entities in
                                              Street NW., Washington, DC 20429.                       nonmember commercial and savings                      fulfilling their missions of ensuring the
                                                                                                      banks), and 12 U.S.C. 1464 (for federal               safety and soundness of financial
                                              SUPPLEMENTARY INFORMATION: The
                                                                                                      and state savings associations). At                   institutions and the financial system
                                              agencies are proposing to revise and
                                                                                                      present, except for selected data items,              and the protection of consumer
                                              extend for three years the Call Report,
                                                                                                      these information collections are not                 financial rights, as well as entity-
                                              which is currently an approved
                                                                                                      given confidential treatment.                         specific missions affecting national and
                                              collection of information for each
                                              agency.                                                 Abstract                                              state-chartered institutions; (2) The data
                                                 Report Title: Consolidated Reports of                                                                      items to be collected maximize practical
                                                                                                         Institutions submit Call Report data to
                                              Condition and Income (Call Report).                                                                           utility and minimize, to the extent
                                                                                                      the agencies each quarter for the
                                                 Form Number: Call Report: FFIEC 031                                                                        practicable and appropriate, burden on
                                                                                                      agencies’ use in monitoring the
                                              (for banks and savings associations with                                                                      financial institutions; and (3) Equivalent
                                                                                                      condition, performance, and risk profile
                                              domestic and foreign offices) and FFIEC                                                                       data items are not readily available
                                                                                                      of individual institutions and the
                                              041 (for banks and savings associations                                                                       through other means.
                                                                                                      industry as a whole. Call Report data                    As a first action under the FFIEC’s
                                              with domestic offices only).                            serve a regulatory or public policy
                                                 Frequency of Response: Quarterly.                                                                          Call Report burden-reduction initiative,
                                                                                                      purpose by assisting the agencies in                  the agencies are publishing this Federal
                                                 Affected Public: Business or other for-              fulfilling their missions of ensuring the
                                              profit.                                                                                                       Register notice and requesting comment
                                                                                                      safety and soundness of financial                     on a number of proposed burden-
                                              OCC                                                     institutions and the financial system                 reducing changes and certain other
                                                                                                      and the protection of consumer                        proposed Call Report revisions
                                                OMB Number: 1557–0081.                                financial rights, as well as agency-                  identified during their most recent
tkelley on DSK3SPTVN1PROD with NOTICES




                                                Estimated Number of Respondents:                      specific missions affecting national and
                                              1,503 national banks and federal savings                                                                      statutorily mandated review of the
                                                                                                      state-chartered institutions, e.g.,                   information collected in the Call
                                              associations.                                           monetary policy, financial stability, and             Report.1 Implementation of the
                                                Estimated Time per Response: 59.41                    deposit insurance. Call Reports are the
                                              burden hours per quarter to file.                       source of the most current statistical                  1 This review is mandated by section 604 of the
                                                Estimated Total Annual Burden:                        data available for identifying areas of               Financial Services Regulatory Relief Act of 2006 (12
                                              357,173 burden hours to file.                           focus for on-site and off-site                        U.S.C. 1817(a)(11)).



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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                                  56541

                                              revisions identified during that review                 report for eligible institutions could                nature of the proposed revision. The
                                              had been deferred while the agencies                    exclude the Call Report schedules and                 proposed changes, which are discussed
                                              adopted changes to the reporting of                     items not applicable to institutions                  in detail in Sections III.A through III.E
                                              regulatory capital information in the                   below the specified asset-size threshold.             below and would take effect in
                                              Call Report to implement the revised                    The agencies plan to complete their                   December 2015 unless otherwise
                                              regulatory capital rules issued in July                 analysis regarding the concept of such a              indicated, include:
                                              2013 that took effect as of January 1,                  Call Report by year-end 2015. Any plan                   • Deletions of certain existing data
                                              2014, and January 1, 2015.2                             for a new version of the Call Report                  items pertaining to other-than-
                                                 The FFIEC and the agencies also                      would need to be approved by the                      temporary impairments from Schedule
                                              identified and incorporated into this                   FFIEC and implemented by the agencies                 RI, Income Statement; troubled debt
                                              proposal certain other burden-reducing                  in compliance with the applicable                     restructurings from Schedule RC–C, Part
                                              changes to the Call Report in addition                  requirements under the PRA.                           I, Loans and Leases, and Schedule RC–
                                              to those identified in the most recent                     A fourth action for the agencies is to             N, Past Due and Nonaccrual Loans,
                                              statutorily mandated review of the Call                 better understand, through industry                   Leases, and Other Assets; loans covered
                                              Report. The burden-reducing changes                     dialogue, the aspects of reporting                    by FDIC loss-sharing agreements from
                                              included as part of this first action are               institutions’ Call Report preparation                 Schedule RC–M, Memoranda, and
                                              not intended to be the only group of Call               process that are significant sources of               Schedule RC–N; and unused
                                              Report revisions designed to lessen                     reporting burden, including where                     commitments to asset-backed
                                              reporting burden for reporting                          manual intervention by an institution’s               commercial paper conduits with an
                                              institutions and, in particular, for                    staff is necessary to report particular               original maturity of one year or less in
                                              community banks. Additional burden-                     information. As an initial step toward                Schedule RC–R, Part II, Risk-Weighted
                                              reducing changes to the Call Report are                 gaining this understanding,                           Assets;
                                              expected to result from the other actions               representatives from the FFIEC’s                         • Increases in existing reporting
                                              being taken by the agencies under the                   member entities plan to visit a limited               thresholds for certain data items in five
                                              FFIEC’s Call Report burden-reduction                    number of institutions that have                      Call Report schedules 3 and the
                                              initiative.                                             expressed their willingness to host a                 establishment of a reporting threshold
                                                 As the second action, the agencies                   visit during the third quarter of 2015.               for certain data items in Schedule RC–
                                              have accelerated the start of the next                  Institution staff would be asked to show              S, Servicing, Securitization, and Asset
                                              statutorily mandated review of the                      how they prepare their Call Reports and               Sale Activities;
                                              existing Call Report data items, which                  explain which schedules or data items
                                                                                                                                                               • Instructional revisions addressing
                                              otherwise would have commenced in                       take a significant amount of time or
                                                                                                                                                            the reporting of home equity lines of
                                              2017. Users of Call Report data items at                manual processes to complete and the
                                                                                                                                                            credit that convert from revolving to
                                              the FFIEC’s member entities are                         reasons for this. Findings from on-site
                                                                                                                                                            non-revolving status in Schedule RC–C,
                                              participating in a series of surveys being              visits would help the agencies
                                                                                                                                                            Part I; securities for which a fair value
                                              conducted over an 18-month period that                  determine the nature and form of further
                                                                                                                                                            option is elected in Schedule RC,
                                              began in mid-July 2015. As an integral                  banker outreach. The information
                                                                                                                                                            Balance Sheet; and net gains (losses)
                                              part of these surveys, users are being                  obtained from these activities would
                                                                                                                                                            and other-than-temporary impairments
                                              asked to fully explain the need for each                assist the agencies in evaluating
                                                                                                                                                            on equity securities that do not have
                                              Call Report data item, how it is used,                  whether and how it may be possible to
                                                                                                      reduce reporting burden by revising or                readily determinable fair values in
                                              the frequency with which it is needed,                                                                        Schedule RI;
                                              and the population of institutions from                 redefining Call Report data items.
                                                                                                         As the fifth action, the agencies plan                • New and revised data items and
                                              which it is needed. Call Report                                                                               information of general applicability,
                                              schedules have been placed into groups                  to offer periodic training to bankers via
                                                                                                      teleconferences and webinars that                     including:
                                              and prioritized for review, generally                                                                            Æ Increasing the time deposit size
                                              based on perceived burden as cited by                   would explain upcoming reporting
                                                                                                      changes and could also provide                        threshold used to report certain deposit
                                              banking industry representatives. Based                                                                       information from $100,000 to $250,000
                                              on the results of the surveys, the                      guidance on areas of the Call Report
                                                                                                      bankers find challenging to complete.                 in Schedule RC–E, Deposit Liabilities;
                                              agencies will identify data items that                                                                        Schedule RI; and Schedule RC–K,
                                              will be considered for elimination, less                These events should benefit institutions
                                                                                                      by reducing Call Report preparation                   Quarterly Averages; 4
                                              frequent collection, or new or upwardly
                                                                                                      training costs. The first training session               Æ Revising the statements used to
                                              revised reporting thresholds. Burden-
                                                                                                      was a banker teleconference on                        describe the level of external auditing
                                              reducing reporting changes will be
                                                                                                      February 25, 2015, that included a                    work performed for the reporting
                                              proposed for implementation on a flow
                                                                                                      presentation on the revised Call Report               institution during the preceding year in
                                              basis as they are identified during the
                                                                                                      Schedule RC–R regulatory capital                      Schedule RC (effective in March 2016);
                                              sequential reviews of groups of Call
                                                                                                      reporting requirements that took effect                  Æ Adding contact information for the
                                              Report schedules rather than waiting
                                                                                                      on March 31, 2015, followed by a                      reporting institution’s Chief Executive
                                              until the completion of the entire
                                                                                                      question-and-answer session. The slide                Officer;
                                              review.
                                                 As a third action, the agencies are                  presentation used during the
                                              considering the feasibility and merits of               teleconference, an audio recording of                    3 The data items for which components in excess

                                                                                                      this presentation, and a transcript of the            of specified reporting thresholds are required to be
                                              creating a less burdensome version of                                                                         itemized and described are included in Schedule
                                              the quarterly Call Report for institutions              entire teleconference have been posted                RI–E, Explanations; Schedule RC–D, Trading Assets
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                                              that meet certain criteria, which may                   on the FFIEC’s Web site.                              and Liabilities; Schedule RC–F, Other Assets;
                                                                                                                                                            Schedule RC–G, Other Liabilities; and Schedule
                                              include an asset-size reporting threshold               II. Overview                                          RC–Q, Assets and Liabilities Measured at Fair Value
                                              or activity limitations. For example, a                                                                       on a Recurring Basis.
                                                                                                         The agencies are proposing to                         4 Effective in March 2016 for the data items for
                                                 2 See 78 FR 48932 (August 12, 2013); 79 FR 2527      implement a number of revisions to the                the interest expense on and quarterly averages of
                                              (January 14, 2014); 79 FR 35634 (June 23, 2014);        Call Report requirements in December                  time deposits in Schedules RI and RC–K,
                                              and 80 FR 5618 (February 2, 2015).                      2015 or March 2016, depending on the                  respectively.



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                                              56542                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                                 Æ Reporting the Legal Entity Identifier              continued collection of the following                 apply to these items can be increased to
                                              for the reporting institution if it already             items is no longer necessary and are                  provide a reduction in reporting burden
                                              has one (on the Call Report cover page);                proposing to eliminate them effective                 without a loss of data that would be
                                                 Æ Creating additional preprinted                     December 31, 2015:                                    necessary for supervisory or other
                                              captions for itemizing and describing                      (1) Schedule RI, Memorandum items                  public policy purposes. The percentage
                                              components of certain items that exceed                 14.a and 14.b, on other-than-temporary                portion of the existing thresholds would
                                              reporting thresholds in Schedules RC–F                  impairments 5                                         not be changed. Accordingly, the
                                              and RI–E; and                                              (2) Schedule RC–C, Memorandum                      agencies are proposing to raise from
                                                 Æ Eliminating the concept of                         items 1.f.(2), 1.f.(5), and 1.f.(6) (and              $25,000 to $100,000 the dollar portion
                                              extraordinary items and revising                        1.f.(7) on the FFIEC 031), on troubled                of the threshold for itemizing and
                                              affected data items in Schedule RI                      debt restructurings in certain loan                   describing components of:
                                              (effective in March 2016); and                          categories that are in compliance with                   (1) Schedule RI–E, item 1, ‘‘Other
                                                 • New and revised data items of                      their modified terms;                                 noninterest income;’’
                                              limited applicability, including:                          (3) Schedule RC–N, Memorandum                         (2) Schedule RI–E, item 2, ‘‘Other
                                                 Æ Revising the reporting of certain                  items 1.f.(2), 1.f.(5), and 1.f.(6) (and              noninterest expense;’’
                                              securities measured under a fair value                  1.f.(7) on the FFIEC 031), on troubled                   (3) Schedule RC–F, item 6, ‘‘All other
                                              option in Schedule RC–Q and moving                      debt restructurings in certain loan                   assets;’’
                                              the existing Memorandum items for the                   categories that are 30 days or more past                 (4) Schedule RC–G, item 4, ‘‘All other
                                              fair value and unpaid principal balance                 due or on nonaccrual;                                 liabilities;’’
                                              of loans (not held for trading) measured                   (4) Schedule RC–M, items 13.a.(5)(a)                  (5) Schedule RC–Q, Memorandum
                                              under a fair value option from Schedule                 through (d) (and (e) on the FFIEC 031),               item 1, ‘‘All other assets;’’ and
                                              RC–C, Part I, to Schedule RC–Q;                         on loans in certain loan categories that                 (6) Schedule RC–Q, Memorandum
                                                 Æ Revising the information reported                  are covered by FDIC loss-sharing                      item 2, ‘‘All other liabilities.’’
                                              in Schedule RI Memorandum items by                      agreements; and                                          The agencies also are proposing to
                                              institutions with total assets of $100                     (5) Schedule RC–N, items 11.e.(1)                  raise from $25,000 to $1,000,000 the
                                              billion or more on the impact on trading                through (4) (and (5) on the FFIEC 031),               dollar portion of the threshold for
                                              revenues of changes in credit and debit                 on loans in certain loan categories that              itemizing and describing components of
                                              valuation adjustments (effective in                     are covered by FDIC loss-sharing                      ‘‘Other trading assets’’ and ‘‘Other
                                              March 2016);                                            agreements and are 30 days or more past               trading liabilities’’ in Schedule RC–D,
                                                 Æ Adding a new item on ‘‘dually                      due or on nonaccrual.                                 Memorandum items 9 and 10.
                                              payable’’ deposits in foreign branches of                  In addition, when Schedule RC–R,                      In addition, because institutions with
                                              U.S. banks to Schedule RC–E, Part II,                   Part II, is completed properly, item 18.b             less than $1 billion in total assets
                                              Deposits in Foreign Offices, on the                     on unused commitments to asset-backed                 typically do not provide support for
                                              FFIEC 031 report; and                                   commercial paper conduits with an                     asset-backed commercial paper
                                                 Æ Revising the information reported                  original maturity of one year or less is              conduits, the agencies are proposing to
                                              about the supplementary leverage ratio                  not needed because such commitments                   exempt such institutions from
                                              by advanced approaches institutions in                  should already have been reported in                  completing Schedule RC–S,
                                              Schedule RC–R, Part I, Regulatory                       item 10 as off-balance sheet                          Memorandum items 3.a.(1), 3.a.(2),
                                              Capital Components and Ratios                           securitization exposures. The                         3.b.(1), and 3.b.(2), on credit
                                              (effective in March 2016).                              instructions for item 18.b explain that               enhancements and unused liquidity
                                                 For the Call Report revisions                        these unused commitments should be                    commitments provided to asset-backed
                                              proposed to take effect in December                     reported in item 10 and that amounts                  commercial paper conduits.
                                              2015, the agencies invite comment on                    should not be reported in item 18.b.                     These proposed threshold changes
                                              any difficulties that institutions would                Accordingly, the agencies are proposing               would take effect December 31, 2015.
                                              encounter in implementing any of these                  to delete existing item 18.b from
                                              revisions in their year-end 2015 Call                                                                         C. Instructional Revisions
                                                                                                      Schedule RC–R, Part II. Existing item
                                              Reports.                                                18.c of Schedule RC–R, Part II, for                     The following proposed instructional
                                                 For the December 31, 2015, and                       unused commitments with an original                   revisions would take effect December
                                              March 31, 2016, report dates, as                        maturity exceeding one year would then                31, 2015.
                                              applicable, institutions may provide                    be renumbered as item 18.b.                           1. Reporting Home Equity Lines of
                                              reasonable estimates for any new or
                                                                                                      B. New Reporting Threshold and                        Credit that Convert From Revolving to
                                              revised Call Report data item initially
                                                                                                      Increases in Existing Reporting                       Non-Revolving Status
                                              required to be reported as of that date
                                              for which the requested information is                  Thresholds                                               Institutions report the amount
                                              not readily available. The specific                        In five Call Report schedules,                     outstanding under revolving, open-end
                                              wording of the captions for the new or                  institutions are currently required to                lines of credit secured by 1–4 family
                                              revised Call Report data items discussed                itemize and describe each component of                residential properties (commonly
                                              in this proposal and the numbering of                   an existing item when the component                   known as home equity lines of credit or
                                              these data items should be regarded as                  exceeds both a specified percentage of                HELOCs) in item 1.c.(1) of Schedule
                                              preliminary.                                            the item and a specified dollar amount.6              RC–C, Part I, Loans and Leases. Closed-
                                                                                                      Based on a preliminary evaluation of the              end loans secured by 1–4 family
                                              III. Discussion of Proposed Call Report                 existing reporting thresholds, the                    residential properties are reported in
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                                              Revisions                                               agencies have concluded that the dollar               Schedule RC–C, Part I, item 1.c.(2)(a) or
                                              A. Deletions of Existing Data Items                     portion of the thresholds that currently              (b), depending on whether the loan is a
                                                                                                                                                            first or a junior lien.7
                                                Based on the agencies’ review of the                    5 Institutions would continue to complete
                                              information that institutions are                       Schedule RI, Memorandum item 14.c, on net               7 Information also is separately reported for open-
                                              required to report in the Call Report, the              impairment losses recognized in earnings.             end and closed-end loans secured by 1–4 family
                                              agencies have determined that the                         6 See footnote 3.                                   residential properties in Schedule RI–B, Part I,



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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                           56543

                                                 A HELOC is a line of credit secured                  Codification (ASC) Topic 320,                         9 and Memorandum item 7.b, if
                                              by a lien on a 1–4 family residential                   Investments-Debt and Equity Securities                applicable. In contrast, investments in
                                              property that generally provides a draw                 (formerly FASB Statement No. 115,                     equity securities with readily
                                              period followed by a repayment period.                  ‘‘Accounting for Certain Investments in               determinable fair values that are not
                                              During the draw period, a borrower has                  Debt and Equity Securities’’), that a                 held for trading are reported as
                                              revolving access to unused amounts                      bank has elected to report at fair value              available-for-sale securities in Schedule
                                              under a specified line of credit. During                under a fair value option with changes                RC, item 2.b, and in Schedule RC–B,
                                              the repayment period, the borrower can                  in fair value reported in current                     item 7, whereas those held for trading
                                              no longer draw on the line of credit, and               earnings should be classified as trading              are reported in Schedule RC, item 5, and
                                              the outstanding principal is either due                 securities.’’ This reporting treatment                in Schedule RC–D, item 9 and
                                              immediately in a balloon payment or is                  was based on language contained in                    Memorandum item 7.a, if applicable.
                                              repaid over the remaining loan term                     former FASB Statement No. 159, ‘‘The                     In general, investments in equity
                                              through monthly payments. The Call                      Fair Value Option for Financial Assets                securities that do not have readily
                                              Report instructions do not address the                  and Financial Liabilities,’’ but that                 determinable fair values are accounted
                                              reporting treatment for a home equity                   language was not codified when                        for in accordance with ASC Subtopic
                                              line of credit when it reaches its end-of-              Statement No. 159 was superseded by                   325–20, Investments—Other—Cost
                                              draw period and converts from                           current ASC Topic 825, Financial                      Method Investments (formerly
                                              revolving to nonrevolving status. Such a                Instruments. Thus, under U.S. GAAP as                 Accounting Principles Board Opinion
                                              loan no longer has the characteristics of               currently in effect, the classification of            No. 18, ‘‘The Equity Method of
                                              a revolving, open-end line of credit and,               all securities within the scope of ASC                Accounting for Investments in Common
                                              instead, becomes a closed-end loan. In                  Topic 320 that are accounted for under                Stock’’), but are subject to the
                                              the absence of instructional guidance                   a fair value option as trading securities             impairment guidance in ASC Topic 320,
                                              that specifically addresses this situation,             is no longer required. Accordingly, to                Investments—Debt and Equity
                                              the agencies have found diversity in                    bring the ‘‘Trading Account’’ Glossary                Securities (formerly FASB Staff Position
                                              how these credits are reported in                       entry into conformity with current U.S.               No. FAS 115–2 and FAS 124–2,
                                              Schedule RC–C, Part I. Some                             GAAP, the agencies are proposing to                   ‘‘Recognition and Presentation of Other-
                                              institutions continue to report home                    revise the statement from the Glossary                Than-Temporary Impairments’’).
                                              equity lines of credit that have                        entry quoted above by replacing                          The Call Report instructions for
                                              converted to non-revolving closed-end                   ‘‘should be classified’’ with ‘‘may be                Schedule RI, Income Statement, address
                                              status in item 1.c.(1) of Schedule RC–C,                classified.’’                                         the reporting of realized gains (losses),
                                              Part I, as if they were still revolving                    This revision to the ‘‘Trading                     including other-than-temporary
                                                                                                      Account’’ Glossary entry means that an                impairments, on held to-maturity and
                                              open-end lines of credit, while other
                                                                                                      institution that elects the fair value                available-for-sale securities as well as
                                              institutions recategorize such loans and
                                                                                                      option for securities within the scope of             the reporting of realized and unrealized
                                              report them as closed-end loans in item
                                                                                                      ASC Topic 320 would be able to classify               gains (losses) on trading securities and
                                              1.c.(2)(a) or (b), as appropriate.
                                                                                                      such securities as held-to-maturity or                other assets held for trading. However,
                                                 Therefore, to address this absence of
                                                                                                      available-for-sale in accordance with                 the Schedule RI instructions do not
                                              instructional guidance and promote
                                                                                                      this topic based on the institution’s                 specifically explain where to report
                                              consistency in reporting, the agencies
                                                                                                      intent and ability with respect to the                realized gains (losses) on sales or other
                                              are proposing to clarify the instructions
                                                                                                      securities. In addition, an institution               disposals of, and other-than-temporary
                                              for reporting loans secured by 1–4
                                                                                                      could choose to classify securities for               impairments on, equity securities that
                                              family residential properties to specify                                                                      do not have readily determinable fair
                                                                                                      which a fair value option is elected as
                                              that after a revolving open-end line of                                                                       values and are not held for trading (and
                                                                                                      trading securities.
                                              credit has converted to non-revolving                      Institutions that have been required to            to which the equity method of
                                              closed-end status, the loan should be                   classify all securities within the scope of           accounting does not apply).
                                              reported in Schedule RC–C, Part I, item                 ASC Topic 320 that are accounted for                     The instructions for Schedule RI, item
                                              1.c.(2)(a) or (b), as appropriate. In                   under a fair value option as trading                  5.k, ‘‘Net gains (losses) on sales of other
                                              proposing this clarification, the agencies              securities also should consider the                   assets (excluding securities),’’ direct
                                              request comment on whether an                           related proposed changes to Schedule                  institutions to ‘‘[r]eport the amount of
                                              instructional requirement to                            RC–Q, Assets and Liabilities Measured                 net gains (losses) on sales and other
                                              recategorize HELOCs as closed-end                       at Fair Value on a Recurring Basis,                   disposals of assets not required to be
                                              loans for Call Report purposes would                    which are discussed in Section III.E.1                reported elsewhere in the income
                                              create difficulties for institutions’ loan              below.                                                statement (Schedule RI).’’ The
                                              recordkeeping systems. If so,                                                                                 instructions for item 5.k further advise
                                              commenters are encouraged to describe                   3. Net Gains (Losses) on Sales of, and                institutions to exclude net gains (losses)
                                              the difficulties this recategorization                  Other-Than-Temporary Impairments on,                  on sales and other disposals of
                                              would create.                                           Equity Securities That Do Not Have                    securities and trading assets. The intent
                                                                                                      Readily Determinable Fair Values                      of this wording was to cover securities
                                              2. Reporting Treatment for Securities for
                                              Which a Fair Value Option Is Elected                       Institutions report investments in                 designated as held-to-maturity,
                                                                                                      equity securities that do not have                    available-for-sale, and trading securities
                                                 The Call Report Glossary entry for                   readily determinable fair values and are              because there are separate specific items
                                              ‘‘Trading Account’’ currently states that               not held for trading (and to which the                elsewhere in Schedule RI for the
                                              ‘‘all securities within the scope of the
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                                                                                                      equity method of accounting does not                  reporting of realized gains (losses) on
                                              Financial Accounting Standards Board’s                  apply) in Schedule RC–F, item 4, and on               such securities (items 6.a, 6.b, and 5.c,
                                              (FASB) Accounting Standards                             the Call Report balance sheet in                      respectively). Thus, the agencies are
                                                                                                      Schedule RC, item 11, ‘‘Other assets.’’ If            proposing to revise the instructions for
                                              Charge-offs and Recoveries on Loans and Leases;
                                              Memorandum items in Schedule RC–C, Part I;
                                                                                                      such equity securities are held for                   Schedule RI, item 5.k, by clarifying that
                                              Schedule RC–D; Schedule RC–M; and Schedule              trading, they are reported in Schedule                the exclusions from this item of net
                                              RC–N.                                                   RC, item 5, and in Schedule RC–D, item                gains (losses) on securities and trading


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                                              56544                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              assets apply to held-to-maturity,                        D. New and Revised Data Items and                     2.c) and their ‘‘Total time deposits of
                                              available-for-sale, and trading securities               Information of General Applicability                  more than $250,000’’ (Memorandum
                                              and other assets held for trading. At the                                                                      item 2.d).
                                                                                                       1. Increase in the Time Deposit Size
                                              same time, the agencies are proposing to                                                                          However, the reporting of the
                                                                                                       Threshold
                                              add language to the instructions for                                                                           quarterly averages, interest expense, and
                                              Schedule RI, item 5.k, that explains that                   Section 335 of the Dodd-Frank Wall                 maturity and repricing data for time
                                              net gains (losses) on sales and other                    Street Reform and Consumer Protection                 deposits of $100,000 or more in
                                              disposals of equity securities that do not               Act (Pub. L. 111–203) permanently                     Schedules RC–K, RI, and RC–E,
                                              have readily determinable fair values                    increased the standard maximum                        respectively, have not been updated to
                                              and are not held for trading (and to                     deposit insurance amount (SMDIA)                      reflect the permanent $250,000 deposit
                                              which the equity method of accounting                    from $100,000 to $250,000 effective July              insurance limit. In this regard, in its
                                              does not apply), as well as other-than-                  21, 2010. The SMDIA had been                          comment letter to the agencies in
                                                                                                       increased temporarily from $100,000 to                response to their first request for
                                              temporary impairments on such
                                                                                                       $250,000 by Section 136 of the                        comments under the Economic Growth
                                              securities, should be reported in item
                                                                                                       Emergency Economic Stabilization Act                  and Regulatory Paperwork Reduction
                                              5.k. The agencies also are proposing to                  of 2008 (Pub. L. 110–343). In response                Act of 1996,8 the American Bankers
                                              remove the parenthetic ‘‘(excluding                      to the increase in the limit of deposit               Association recommended revising the
                                              securities)’’ from the caption for item                  insurance coverage, the reporting of the              Schedule RC–E deposit reporting items
                                              5.k and add in its place a footnote to                   amount of ‘‘Total time deposits of                    to reflect the new FDIC insurance limit
                                              this item advising institutions to                       $100,000 or more’’ in Memorandum                      of $250,000. Accordingly, the agencies
                                              exclude net gains (losses) on sales of                   item 2.c of Schedule RC–E, Deposit                    are proposing to revise the time deposit
                                              trading assets and held-to-maturity and                  Liabilities, was revised as of the March              size threshold that applies to the
                                              available-for-sale securities.                           31, 2010, report date. As of that date,               reporting of this information to bring it
                                                                                                       institutions began to separately report               into alignment with the SMDIA. These
                                                                                                       their ‘‘Total time deposits of $100,000               proposed changes are illustrated in the
                                                                                                       through $250,000’’ (Memorandum item                   following table:

                                                        Call report                                          Current item                                             Proposed revised item
                                                        schedule

                                              Schedule RC–K, Quarterly              Item 11.b, ‘‘Time deposits of $100,000 or more’’ ...........    Item 11.b, ‘‘Time deposits of $250,000 or less’’.
                                                Averages.
                                                                                    Item 11.c, ‘‘Time deposits of less than $100,000’’ .........    Item 11.c, ‘‘Time deposits of more than $250,000’’.
                                              Schedule RI, Income State-            Item 2.a.(2)(b), Interest expense on ‘‘Time deposits of         Item 2.a.(2)(b), Interest expense on ‘‘Time deposits of
                                                ment 9.                                $100,000 or more’’.                                             $250,000 or less’’.
                                                                                    Item 2.a.(2)(c), Interest expense on ‘‘Time deposits of         Item 2.a.(2)(c), Interest expense on ‘‘Time deposits of
                                                                                       less than $100,000’’.                                           more than $250,000’’.
                                              Schedule RC–E, Deposit Li-            Memorandum item 3.a, ‘‘Time deposits of less than               Memorandum item 3.a, ‘‘Time deposits of $250,000 or
                                                abilities.                             $100,000 with a remaining maturity or next repricing            less with a remaining maturity or next repricing date
                                                                                       date of’’.                                                      of’’.
                                                                                    Memorandum item 3.b, ‘‘Time deposits of less than               Memorandum item 3.b, ‘‘Time deposits of $250,000 or
                                                                                       $100,000 with a remaining maturity of one year or               less with a remaining maturity of one year or less’’.
                                                                                       less’’.
                                                                                    Memorandum item 4.a, ‘‘Time deposits of $100,000 or             Memorandum item 4.a, ‘‘Time deposits of more than
                                                                                       more with a remaining maturity or next repricing date         $250,000 with a remaining maturity or next repricing
                                                                                       of’’.                                                         date of’’.
                                                                                    Memorandum item 4.b, ‘‘Time deposits of $100,000                Memorandum item 4.b, ‘‘Time deposits of more than
                                                                                       through $250,000 with a remaining maturity of one             $250,000 with a remaining maturity of one year or
                                                                                       year or less’’.                                               less’’.
                                                                                    Memorandum item 4.c, ‘‘Time deposits of more than
                                                                                       $250,000 with a remaining maturity of one year or
                                                                                       less’’



                                                 The proposed changes to Schedules                     2. Level of External Auditing Work                    selects from nine statements describing
                                              RC–K and RI would take effect March                      Performed for the Reporting Institution               a range of levels of auditing work the
                                              31, 2016. The agencies are proposing to                  During the Preceding Year                             one statement that best describes the
                                              implement the changes to Schedule RC–                                                                          level of auditing work performed for it.
                                              E as of December 31, 2015, but comment                     Each year in the March Call Report,                 Certain statements from which an
                                              is specifically requested on whether                     each institution indicates in Schedule                institution must choose do not reflect
                                              institutions’ deposit recordkeeping                      RC, Memorandum item 1, the most                       current auditing practices performed in
                                              systems will be able to support the                      comprehensive level of auditing work                  accordance with applicable standards
                                              proposed change in the reporting of                      performed by independent external                     and procedures promulgated by the U.S.
                                              maturity and repricing data in                           auditors during the preceding calendar                auditing standard setters, namely the
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                                              Memorandum items 3 and 4 as of that                      year for the institution or its parent                Public Company Accounting Oversight
                                                                                                       holding company. In completing                        Board (PCAOB) and the Auditing
                                              date.
                                                                                                       Memorandum item 1, each institution                   Standards Board (ASB) of the American
                                                8 79FR 32172, June 4, 2014.                            domestic offices only. On the FFIEC 031 report form   the item numbers are items 2.a.(1)(b)(2) and
                                                9 The item numbers shown for Schedule RI are           for institutions with domestic and foreign offices,   2.a.(1)(b)(3).
                                              from the FFIEC 041 report form for institutions with



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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                                    56545

                                              Institute of Certified Public                              1 = Independent audit of the bank                      2b = An audit of the reporting
                                              Accountants. The PCAOB establishes                      conducted in accordance with generally                  institution’s parent holding company’s
                                              auditing and related professional                       accepted auditing standards by a                        consolidated financial statements
                                              practice standards to be used in the                    certified public accounting firm which                  conducted in accordance with the
                                              performance and reporting of audits of                  submits a report on the bank.                           auditing standards of the AICPA or the
                                              the financial statements of public                         2 = Independent audit of the bank’s                  PCAOB by an independent public
                                              companies. The ASB establishes                          parent holding company conducted in                     accountant that submits a report on the
                                              auditing, attestation, and quality control              accordance with generally accepted                      consolidated holding company (but not
                                              standards applicable to the performance                 auditing standards by a certified public                on the institution separately).
                                              and issuance of audit and attestation                   accounting firm which submits a report                  3. Chief Executive Officer Contact
                                              reports for entities that are not public                on the consolidated holding company                     Information
                                              companies, e.g. private companies.                      (but not on the bank separately).
                                                 The PCAOB’s Auditing Standard No.                       3 = Attestation on bank management’s                    All reporting institutions have been
                                              5 (AS 5), An Audit of Internal Control                  assertion on the effectiveness of the                   requested to provide ‘‘Emergency
                                              Over Financial Reporting That Is                        bank’s internal control over financial                  Contact Information’’ as part of their
                                              Integrated with An Audit of Financial                   reporting by a certified public                         Call Report submissions since
                                              Statements, became effective for fiscal                 accounting firm.                                        September 2002. This information
                                              years ending on or after November 15,                      Because these three statements no                    request was added to the Call Report so
                                              2007, and provides guidance regarding                   longer fully and properly describe the                  that the agencies could distribute
                                              the integration of audits of internal                   types of external auditing services                     critical, time-sensitive information to
                                              control over financial reporting with                   performed for institutions or their                     emergency contacts at institutions
                                              audits of financial statements. To                      parent holding companies under current                  should such a need arise. The primary
                                                                                                      professional standards and to enhance                   contact should be a senior official of the
                                              further emphasize the integration of
                                                                                                      the information institutions provide the                institution who has decision-making
                                              these two audits, the PCAOB revised AS
                                                                                                      agencies annually about the level of                    authority. The primary contact may or
                                              5 in December 2010 by adding a
                                                                                                      auditing external work performed for                    may not be the institution’s Chief
                                              statement that ‘‘the auditor cannot audit
                                                                                                      them, the agencies are proposing to                     Executive Officer (CEO). Information for
                                              internal control over financial reporting
                                                                                                      replace existing statements 1 and 2 with                a secondary contact also should be
                                              without also auditing the financial
                                                                                                      new statements 1a, 1b, 2a, and 2b and                   provided if such a person is available at
                                              statements.’’ Those public companies
                                                                                                      to eliminate existing statement 3                       an institution. The emergency contact
                                              not required to undergo an audit of
                                                                                                      effective March 31, 2016. The revised                   information is for the confidential use of
                                              internal control over financial reporting
                                                                                                      statements would read as follows:                       the agencies and is not released to the
                                              must have an audit of their financial
                                                                                                         1a = An integrated audit of the                      public.
                                              statements.
                                                                                                      reporting institution’s financial                          The agencies periodically need to
                                                 The ASB has separately provided                                                                              communicate with the CEOs of
                                              similar guidance in Attestation Section                 statements and internal control over
                                                                                                      financial reporting conducted in                        reporting institutions via email, but they
                                              501 (AT 501), An Examination of an                                                                              currently do not have a complete list of
                                              Entity’s Internal Control over Financial                accordance with the standards of the
                                                                                                      American Institute of Certified Public                  CEO email addresses that would enable
                                              Reporting That Is Integrated with an                                                                            an agency to communicate directly to
                                              Audit of Its Financial Statements, which                Accountants (AICPA) or the Public
                                                                                                      Company Accounting Oversight Board                      institutions’ CEOs. The CEO
                                              became effective for integrated audits                                                                          communications are initiated or
                                              for periods ending on or after December                 (PCAOB) by an independent public
                                                                                                      accountant that submits a report on the                 approved by persons at the agencies’
                                              15, 2008. Consistent with the PCAOB,                                                                            senior management levels and would
                                              the ASB states in AT 501 that ‘‘[t]he                   institution.
                                                                                                         1b = An audit of the reporting                       involve topics including new initiatives,
                                              examination of internal control should                                                                          policy notifications, and assessment
                                              be integrated with an audit of financial                institution’s financial statements
                                                                                                      conducted in accordance with auditing                   information. For example, the FDIC
                                              statements’’ and ‘‘[a]n auditor should                                                                          initiates distributions of deposit
                                              not accept an engagement to review an                   standards of the AICPA or the PCAOB
                                                                                                      by an independent public accountant                     insurance assessment notifications
                                              entity’s internal control or a written                                                                          addressed to the CEOs of insured
                                              assertion thereon.’’ Under the ASB’s                    that submits a report on the institution.
                                                                                                         2a = An integrated audit of the                      depository institutions, which are
                                              previous attestation standards, an entity                                                                       posted to each institution’s FDICconnect
                                              could engage an external auditor to                     reporting institution’s parent holding
                                                                                                      company’s consolidated financial                        account. However, in the absence of an
                                              examine and attest to the effectiveness                                                                         up-to-date database of CEO email
                                              of its internal control over financial                  statements and internal control over
                                                                                                      financial reporting conducted in                        addresses that can be used for sending
                                              reporting without auditing the entity’s                                                                         assessment notifications, the FDIC
                                              financial statements. Thus, at present,                 accordance with the standards of the
                                                                                                      AICPA or the PCAOB by an                                currently sends an email to each
                                              unless a private company is required to                                                                         institution’s FDICconnect user or users
                                              or elects to have an integrated internal                independent public accountant that
                                                                                                      submits a report on the consolidated                    and requests that they download the
                                              control examination and financial                                                                               notification and any attachments, and
                                              statement audit, the private company                    holding company (but not on the
                                                                                                      institution separately).10                              provide them to their CEO.
                                              may be required to or can choose to                                                                                To streamline the agencies’ CEO
                                              have an external auditor perform an                                                                             communication process, the agencies
                                                                                                        10 The instructions for statement 2a would
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                                              audit of its financial statements, but it                                                                       are proposing to request CEO contact
                                                                                                      indicate this statement also applies to a reporting
                                              may not engage an external auditor to                   institution with $5 billion or more in total assets     information, including email addresses,
                                              perform a standalone internal control                   and a rating lower than 2 under the Uniform             in the Call Report separately from, but
                                              examination.                                            Financial Institutions Rating System that is required
                                                                                                                                                              in a manner similar to, the currently
                                                                                                      by Section 36(i)(1) of the Federal Deposit Insurance
                                                 The existing wording of statements 1,                Act (12 U.S.C. 1831m(i)(1)) to have its internal
                                              2, and 3 of Schedule RC, Memorandum                     control over financial reporting audited at the         statement audit at the consolidated holding
                                              item 1, reads as follows:                               institution level, but undergoes a financial            company level.



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                                              56546                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              requested ‘‘Emergency Contact                           companies to provide their LEI on the                 item 6, ‘‘All other assets,’’ effective
                                              Information’’ beginning as of December                  cover pages of the FR Y–6, FR Y–7, and                December 31, 2015.14 The introduction
                                              31, 2015. As with the ‘‘Emergency                       FR Y–10 reports 12 only if a holding                  of these new preprinted captions is
                                              Contact Information,’’ the proposed CEO                 company already has an LEI. Thus, if a                intended to simplify institutions’
                                              contact information would be for the                    reporting holding company does not                    compliance with the requirement to
                                              confidential use of the agencies and                    have an LEI, it is not required to obtain             itemize and describe those components
                                              would not be released to the public. The                one for purposes of these Board reports.              of these items that exceed the applicable
                                              agencies intend for CEO email addresses                 Additionally, on July 2, 2015, the Board              reporting thresholds (which are being
                                              to be used judiciously and only for                     published in the Federal Register notice              proposed to be revised in Section II.B).
                                              significant matters requiring CEO-level                 of final approval of a proposal to expand             The new preprinted caption for ‘‘Other
                                              attention. Having a comprehensive                       the collection of the LEI to all holding              noninterest income’’ is ‘‘Income and
                                              database of CEO contact information,                    company subsidiary banking and                        fees from wire transfers.’’ The two new
                                              including email addresses, would allow                  nonbanking legal entities reportable on               preprinted captions for ‘‘Other
                                              the agencies to communicate important                   certain schedules of the FR Y–10 and in               noninterest expense’’ are ‘‘Other real
                                              and time-sensitive information directly                 one section of the FR Y–6 and FR Y–7                  estate owned expenses’’ and ‘‘Insurance
                                              to CEOs.                                                if an LEI has already been issued for the             expenses (not included in employee
                                                                                                      reportable entity.13 With respect to the              benefits, premises and fixed assets
                                              4. Reporting the Legal Entity Identifier
                                                                                                      Call Report, the agencies are proposing               expenses, and other real estate owned
                                                 The Legal Entity Identifier (LEI) is a               to have institutions provide their LEI on             expenses).’’ The three new preprinted
                                              20-digit alpha-numeric code that                        the cover page of the report beginning                captions for ‘‘All other assets’’ are
                                              uniquely identifies entities that engage                December 31, 2015, only if an                         ‘‘Computer software,’’ ‘‘Accounts
                                              in financial transactions. The recent                   institution already has an LEI. As with               receivable,’’ and ‘‘Receivables from
                                              financial crisis spurred the development                the Board reports, an institution that                foreclosed government-guaranteed
                                              of a Global LEI System (GLEIS).                         does not have an LEI would not be                     mortgage loans.’’
                                              Internationally, regulators and market                  required to obtain one for purposes of
                                              participants have recognized the                                                                              6. Extraordinary Items
                                                                                                      reporting it on the Call Report.
                                              importance of the LEI as a key                                                                                   In January 2015, the FASB issued
                                              improvement in financial data systems.                  5. Additional Preprinted Captions for                 ASU No. 2015–01, ‘‘Simplifying Income
                                              The Group of Twenty (G–20) nations                      Itemizing and Describing Components                   Statement Presentation by Eliminating
                                              directed the Financial Stability Board                  of Certain Items That Exceed Reporting                the Concept of Extraordinary Items.’’
                                              (FSB) to lead the coordination of                       Thresholds                                            This ASU eliminates the concept of
                                              international regulatory work and                          As mentioned above in Section III.B,               extraordinary items from U.S. GAAP. At
                                              deliver concrete recommendations on                     institutions are required to itemize and              present, ASC Subtopic 225–20, Income
                                              the GLEIS by mid-2012, which in turn                    describe each component of certain                    Statement—Extraordinary and Unusual
                                              were endorsed by the G–20 later that                    items in five Call Report schedules                   Items (formerly Accounting Principles
                                              same year. In January 2013, the LEI                     when the component exceeds both a                     Board Opinion No. 30, ‘‘Reporting the
                                              Regulatory Oversight Committee (ROC),                   specified percentage of the item and a                Results of Operations’’), requires an
                                              including participation by regulators                   specified dollar amount. To simplify                  entity to separately classify, present,
                                              from around the world, was established                  and streamline the reporting of these                 and disclose extraordinary events and
                                              to oversee the GLEIS on an interim                      components and thereby reduce                         transactions. An event or transaction is
                                              basis. With the establishment of the full               reporting burden, preprinted captions                 presumed to be an ordinary and usual
                                              Global LEI Foundation in 2014, the ROC                  have been provided for those                          activity of the reporting entity unless
                                              continues to review and develop broad                   components of each of these items that,               evidence clearly supports its
                                              policy standards for LEIs. The OCC, the                 based on the agencies’ review of the                  classification as an extraordinary item.
                                              Board, and the FDIC are all members of                  components previously reported for                    For Call Report purposes, if an event or
                                              the ROC.                                                these items, institutions most frequently             transaction currently meets the criteria
                                                 The LEI system is designed to                        itemize and describe. When a                          for extraordinary classification, an
                                              facilitate several financial stability                  preprinted caption is provided for a                  institution must segregate the
                                              objectives, including the provision of                  particular component of an item, an                   extraordinary item from the results of its
                                              higher quality and more accurate                        institution is not required to report the             ordinary operations and report the
                                              financial data. In the United States, the               amount of that component when the                     extraordinary item in its income
                                              Financial Stability Oversight Council                   amount falls below the applicable                     statement in Schedule RI, item 11,
                                              (FSOC) has recommended that                             reporting thresholds.                                 ‘‘Extraordinary items and other
                                              regulators and market participants                         Based on the most recent review of                 adjustments, net of income taxes.’’
                                              continue to work together to improve                    the component descriptions manually                      ASU 2015–01 is effective for fiscal
                                              the quality and comprehensiveness of                    entered by reporting institutions                     years, and interim periods within those
                                              financial data both nationally and                      because preprinted captions were not                  fiscal years, beginning after December
                                              globally. In this regard, the FSOC also                 available, the agencies plan to add one               15, 2015. Thus, for example, institutions
                                              has recommended that its member                         new preprinted caption to Schedule RI–                with a calendar year fiscal year must
                                              agencies promote the use of the LEI in                  E, item 1, ‘‘Other noninterest income,’’              begin to apply the ASU in their Call
                                              reporting requirements and                              two new preprinted captions to
                                              rulemakings, where appropriate.11                       Schedule RI–E, item 2, ‘‘Other                          14 The addition of one of the new preprinted
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                                                 Effective beginning October 31, 2014,                noninterest expense,’’ and three new                  captions to Schedule RC–F, item 6, is based on the
                                                                                                                                                            expected usage of a component resulting from the
                                              the Board started requiring holding                     preprinted captions to Schedule RC–F,                 FASB’s issuance of Accounting Standards Update
                                                                                                                                                            (ASU) No. 2014–14, ‘‘Classification of Certain
                                                11 Financial Stability Oversight Council 2015           12 FR Y–6, Annual Report of Holding Companies;
                                                                                                                                                            Government-Guaranteed Mortgage Loans upon
                                              Annual Report, page 14 at (http://                      FR Y–7, Annual Report of Foreign Banking              Foreclosure,’’ that is in effect for certain institutions
                                              www.treasury.gov/initiatives/fsoc/studies-reports/      Organizations; and FR Y–10, Report of Changes in      and will become effective for other institutions later
                                              Documents/                                              Organizational Structure (OMB No. 7100–0297).         in 2015 or in 2016 depending, in part, of their fiscal
                                              2015%20FSOC%20Annual%20Report.pdf).                       13 80 FR 38202.                                     years.



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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                         56547

                                              Reports for March 31, 2016.15 After an                     Æ Have elected to report financial                 information for any fair value option
                                              institution adopts ASU 2015–01, any                     instruments or servicing assets and                   securities designated as ‘‘Held-to-
                                              event or transaction that would have                    liabilities at fair value under a fair value          maturity securities’’ would be reported
                                              met the criteria for extraordinary                      option with changes in fair value                     in a new item 1.a of Schedule RC–Q.
                                              classification before the adoption of the               recognized in earnings, or                            These changes to Schedule RC–Q would
                                              ASU should be reported in Schedule RI,                     Æ Are required to complete Schedule                take effect December 31, 2015.
                                              item 5.l, ‘‘Other noninterest income,’’ or              RC–D, Trading Assets and Liabilities.                    In addition, at present, institutions
                                              item 7.d, ‘‘Other noninterest expense,’’                   Institutions required to complete                  that have elected to measure loans (not
                                              as appropriate, unless the event or                     Schedule RC–Q are currently required                  held for trading) at fair value under a
                                              transaction would otherwise be                          to treat securities they have elected to              fair value option are required to report
                                              reportable in another item of Schedule                  report at fair value under a fair value               the fair value and unpaid principal
                                              RI.                                                     option as part of their trading securities.           balance of such loans in Memorandum
                                                 Consistent with the elimination of the               As a consequence, institutions must                   items 10 and 11 of Schedule RC–C, Part
                                              concept of extraordinary items in ASU                   include fair value information for their              I, Loans and Leases. Because Schedule
                                              2015–01, the agencies plan to revise the                fair value option securities, if any, in              RC–C, Part I, must be completed by all
                                              instructions for Schedule RI, item 11,                  Schedule RC–Q two times: First, as part               institutions, Memorandum items 10 and
                                              and remove the term ‘‘extraordinary                     of the fair value information they report             11 also must be completed by all
                                              items’’ from and revise the captions for                for their ‘‘Other trading assets’’ in item            institutions although only a nominal
                                              Schedule RI, item 8, ‘‘Income (loss)                    5.b of the schedule, and then on a                    number of institutions with less than
                                                                                                      standalone basis in item 5.b.(1),                     $500 million in assets have disclosed
                                              before income taxes and extraordinary
                                                                                                      ‘‘Nontrading securities at fair value with            reportable amounts for any of the
                                              items and other adjustments,’’ item 10,
                                                                                                      changes in fair value reported in current             categories of fair value option loans
                                              ‘‘Income (loss) before extraordinary
                                                                                                      earnings.’’ This reporting treatment                  reported in the subitems of these two
                                              items and other adjustments,’’ and item
                                                                                                      flows from the existing provision of the              Memorandum items. Accordingly, the
                                              11, effective March 31, 2016. After the
                                                                                                      Glossary entry for ‘‘Trading Account’’                agencies are proposing to move
                                              concept of extraordinary items has been
                                                                                                      that, as discussed above, requires an                 Memorandum items 10 and 11 on the
                                              eliminated and such items would no
                                                                                                      institution that has elected to report                fair value and unpaid principal balance
                                              longer be reportable in Schedule RI,
                                                                                                      securities at fair value under a fair value           of fair value option loans from Schedule
                                              item 11, only the results of discontinued
                                                                                                      option to classify the securities as                  RC–C, Part I, to Schedule RC–Q effective
                                              operations would be reportable in item                  trading securities. However, as further               December 31, 2015, and to designate
                                              11.16 Accordingly, effective March 31,                  discussed above, the agencies are                     them as Memorandum items 3 and 4.
                                              2016, the revised captions for Schedule                 proposing to remove this requirement                  With only a limited number of
                                              RI, items 8, 10, and 11, would become                   because it is not consistent with current             institutions with less than $500 million
                                              ‘‘Income (loss) before income taxes and                 U.S. GAAP. As a result, an institution’s              in assets meeting the criteria for
                                              discontinued operations,’’ ‘‘Income                     fair value option securities can be                   completing Schedule RC–Q, moving
                                              (loss) before discontinued operations,’’                classified as held-to-maturity, available-            Memorandum items 10 and 11 from
                                              and ‘‘Discontinued operations, net of                   for-sale, or trading securities in                    Schedule RC–C, Part I, to Schedule RC–
                                              applicable income taxes,’’ respectively.                accordance with the guidance in Topic                 Q should simplify Schedule RC–C, Part
                                              Similarly, the caption for Schedule RI–                 320, Investments-Debt and Equity                      I, and thereby mitigate some of the
                                              E, item 3, would be changed from                        Securities.                                           reporting burden associated with
                                              ‘‘Extraordinary items and other                            In its current form, Schedule RC–Q                 Schedule RC–C, Part I.
                                              adjustments and applicable income tax                   contains an item for available-for-sale
                                              effect’’ to ‘‘Discontinued operations and               securities along with the items                       2. Revisions to the Reporting of the
                                              applicable income tax effect.’’ 17                      identified above for ‘‘Other trading                  Impact on Trading Revenues of Changes
                                                                                                      assets,’’ which includes securities                   in Credit and Debit Valuation
                                              E. New and Revised Data Items of                                                                              Adjustments by Institutions With Total
                                              Limited Applicability                                   designated as trading securities, and
                                                                                                      ‘‘Nontrading securities at fair value with            Assets of $100 Billion or More
                                              1. Changes to Schedule RC–Q, Assets                     changes in fair value reported in current                Institutions that reported average
                                              and Liabilities Measured at Fair Value                  earnings.’’ However, Schedule RC–Q                    trading assets of $2 million or more for
                                              on a Recurring Basis                                    does not include an item for held-to-                 any quarter of the preceding calendar
                                                 Schedule RC–Q is completed by                        maturity securities because, given the                year must report a breakdown of their
                                              institutions that had:                                  existing instructional requirements for               trading revenue (as reported in
                                                                                                      fair value option securities, the held-to-            Schedule RI, item 5.c) by underlying
                                                 • Total assets of $500 million or more                                                                     risk exposure in Schedule RI,
                                                                                                      maturity category includes only
                                              as of the beginning of their fiscal year;                                                                     Memorandum items 8.a though 8.e. The
                                                                                                      securities reported at amortized cost. By
                                              or                                                                                                            five types of risk exposure are interest
                                                                                                      removing the requirement to report all
                                                 • Total assets of less than $500                     fair value option securities within the               rate, foreign exchange, equity security
                                              million as of the beginning of their fiscal             scope of ASC Topic 320 as trading                     and index, credit, and commodity and
                                              year and either:                                        securities, as proposed earlier in this               other. Institutions required to provide
                                                                                                      notice, the agencies are further                      this five-way breakdown of their trading
                                                 15 Early adoption of ASU 2015–01 is permitted
                                                                                                      proposing to replace item 5.b.(1) of                  revenue that have $100 billion or more
                                              provided that the guidance is applied from the
                                              beginning of the fiscal year of adoption.
                                                                                                      Schedule RC–Q for nontrading                          in total assets must also report the
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                                                 16 The outdated reference to the reporting of the    securities accounted for under a fair                 ‘‘Impact on trading revenue of changes
                                              cumulative effect of certain changes in accounting      value option with a new item for any                  in the creditworthiness of the bank’s
                                              principles in the instructions for item 11, which is    ‘‘Held-to-maturity securities’’ to which a            derivative counterparties on the bank’s
                                              inconsistent with the guidance in the Call Report       fair value option is applied. In this                 derivative assets’’ and the ‘‘Impact on
                                              Glossary entry for ‘‘Accounting Changes,’’ would be
                                              deleted from the instructions.                          regard, existing item 1 for ‘‘Available-              trading revenue of changes in the
                                                 17 Items 3.c.(1) and (2) also would be removed       for-sale securities’’ would be                        creditworthiness of the bank on the
                                              from Schedule RI–E.                                     renumbered as item 1.b and fair value                 bank’s derivative liabilities’’ in


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                                              56548                       Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices

                                              Schedule RI, Memorandum items 8.f                       two Memorandum items (i.e.,                           any state of the United States.18 In
                                              and 8.g, respectively. Memorandum                       institutions that reported average                    addition, the final rule provides an
                                              items 8.f and 8.g were intended to                      trading assets of $2 million or more for              exception for Overseas Military Banking
                                              capture the amounts included in trading                 any quarter of the preceding calendar                 Facilities operated under Department of
                                              revenue that resulted from calendar                     year and have $100 billion or more in                 Defense regulations.
                                              year-to-date changes in the reporting                   total assets) would separately present                   The final rule does not affect the
                                              institution’s credit valuation                          their gross CVAs and DVAs                             ability of a U.S. bank to make a foreign
                                              adjustments (CVA) and debit valuation                   (Memorandum items 8.f.(1) and 8.g.(1))                deposit dually payable. Should a bank
                                              adjustments (DVA).                                      and any related CVA and DVA hedging                   do so, its foreign branch deposits would
                                                 The agencies have found inconsistent                 results (Memorandum items 8.f.(2) and                 be treated as deposit liabilities under
                                              reporting of CVAs and DVAs by the                       8.g.(2)) by type of underlying risk                   the FDI Act’s depositor preference
                                              institutions completing Memorandum                      exposure. The institutions also would                 regime in the same way as, and on an
                                              items 8.f and 8.g of Schedule RI, which                 report its gross trading revenue                      equal footing with, domestic uninsured
                                              affects the analysis of reported trading                (Memorandum item 8.h) by type of                      deposits. In general, ‘‘depositor
                                              revenues. Some institutions report                      underlying risk exposure before                       preference’’ refers to a resolution
                                              CVAs and DVAs in these two items on                     including positive or negative net CVAs               distribution regime in which the claims
                                              a gross basis while other institutions                  and net DVAs (columns A through E).                   of depositors have priority over (that is,
                                              report these adjustments on a net (of                   The sum of the amounts reported in                    are satisfied before) the claims of
                                              hedging) basis. Furthermore, at present,                Memorandum item 8.h, ‘‘Gross trading                  general unsecured creditors. Thus, if
                                              institutions may report a net CVA and                   revenue,’’ plus the net CVA of hedges                 deposits held in foreign branches of U.S.
                                              DVA of hedges under only one of the                     (the sum of columns A through E of                    banks located outside the United States
                                              five types of underlying risk exposures                 Memorandum item 8.f.(1) minus the                     are made dually payable, that is, made
                                              (e.g., the overall net CVA and DVA                      sum of columns A through E of                         payable at both the foreign office and a
                                              amount is reported entirely with trading                Memorandum item 8.f.(2)), and plus the                branch of the bank located in the United
                                              revenue from credit exposures) when                     net DVA of hedges (the sum of the                     States, the holders of such deposits
                                              the net CVA and net DVA should be                       columns A through E of Memorandum                     would receive depositor preference in
                                              properly allocated to each of the five                  item 8.g.(1) minus the sum of columns                 the event of the U.S. bank’s failure.
                                              different underlying types of risk                      A through E of Memorandum item                           To enable the FDIC to monitor the
                                              exposures.                                              8.g.(2)) must equal Schedule RI, item                 volume and trend of dually payable
                                                 Consistent reporting of the impact on                5.c, ‘‘Trading revenue.’’ For purposes of             deposits in the foreign branches of U.S.
                                              trading revenue from year-to-date                       this proposed tabular set of data items,              banks, the agencies are proposing to add
                                              changes in CVAs and DVAs is necessary                   the agencies are further proposing to                 a new Memorandum item 2 to Schedule
                                              to ensure the accuracy of the data                                                                            RC–E, Part II, on the FFIEC 031 Call
                                                                                                      require CVA and DVA amounts, as well
                                              available to examiners for planning and                                                                       Report effective December 31, 2015. The
                                                                                                      as their hedges, to be allocated to the
                                              conducting safety and soundness                                                                               FFIEC 031 is applicable only to banks
                                                                                                      type of underlying risk exposure (e.g.,
                                              examinations of institutions’ trading                                                                         with foreign offices. The proposed new
                                                                                                      interest rates, foreign exchange, and
                                              activities and to the agencies for their                                                                      information on the amount of dually
                                                                                                      equity) that gives rise to the CVA and
                                              analyses of derivatives and trading                                                                           payable deposits at foreign branches of
                                                                                                      the DVA.
                                              activities, and changes therein, at the                                                                       U.S. banks would enable the FDIC to
                                              industry and institution level.                            In proposing that the institutions with
                                                                                                      assets of $100 billion or more report                 determine, as required by statute, the
                                              Furthermore, proper allocations of                                                                            least costly method of resolving a
                                              CVAs and DVAs (net of hedging) to the                   expanded information on the impact on
                                                                                                      trading revenues of changes in CVAs                   particular bank if it fails and the
                                              appropriate type of underlying risk                                                                           potential loss to the Deposit Insurance
                                              exposure are necessary to avoid                         and DVAs, related hedging results, and
                                                                                                      gross trading revenues, the agencies                  Fund. This requires the FDIC to plan for
                                              overstating the trading revenue from                                                                          the distribution of the proceeds from the
                                              some types of underlying risk exposure                  request comment on the availability of
                                                                                                      these data by type of underlying risk                 liquidation of the failed bank’s assets,
                                              and understating the trading revenue                                                                          including consideration not only of
                                              from other types, which may result in                   exposure at those institutions that
                                                                                                      would be subject to this reporting                    insured deposits, but also other deposit
                                              examiners and agency analysts reaching                                                                        liabilities for purposes of depositor
                                              improper conclusions about the                          requirement.
                                                                                                                                                            preference, such as domestic uninsured
                                              effectiveness of institutions’ trading                  3. Dually Payable Deposits in Foreign                 deposits and dually payable deposits in
                                              activities and their management of CVA                  Branches of U.S. Banks                                foreign branches of the particular U.S.
                                              and DVA risks.                                                                                                bank, which take priority over general
                                                 To enhance the quality of the trading                   Under the Federal Deposit Insurance
                                                                                                      Act (FDI Act), deposit obligations                    unsecured liabilities.
                                              revenue information reported by the
                                              largest institutions in the U.S., promote               carried on the books and records of                   4. Revisions To Implement the
                                              consistency across institutions in the                  foreign branches of U.S. banks are not                Supplementary Leverage Ratio for
                                              reporting of CVAs and DVAs, enable                      considered deposits, unless the funds                 Advanced Approaches Institutions
                                              examiners to make more informed                         are payable both in the foreign branch                   Schedule RC–R, Part I, item 45,
                                              judgments about institutions’                           and at an office of the bank in the                   applies to the reporting of the
                                              effectiveness in managing CVA and                       United States (that is, they are dually               supplementary leverage ratio (SLR) by
                                              DVA risks, and provide a more complete                  payable). In September 2013, the FDIC                 advanced approaches institutions.19 In
                                                                                                      issued a final rule amending its deposit
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                                              picture of reported trading revenue, the
                                              agencies are proposing to replace                       insurance regulations to clarify that                   18 See  78 FR 56583 (September 13, 2013).
                                              existing Memorandum items 8.f and 8.g                   deposits carried on the books and                       19 In general, an advanced approaches institution
                                              of Schedule RI with a tabular set of data               records of a foreign branch of a U.S.                 (i) has consolidated total assets (excluding assets
                                                                                                      bank are not insured deposits even if                 held by an insurance underwriting subsidiary) on
                                              items effective March 31, 2016. In this                                                                       its most recent year-end regulatory report equal to
                                              proposed table, those institutions that                 they are made payable both at that                    $250 billion or more; (ii) has consolidated total on-
                                              meet the criteria for completing these                  branch and at an office of the bank in                balance sheet foreign exposure on its most recent



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                                                                          Federal Register / Vol. 80, No. 181 / Friday, September 18, 2015 / Notices                                           56549

                                              the sample Call Report forms and the                    parallel run status) would report total               DEPARTMENT OF THE TREASURY
                                              Call Report instruction book for report                 leverage exposure as calculated under
                                              dates before March 31, 2015, the caption                the agencies’ SLR rule.                               Office of the Comptroller of the
                                              for item 45 and the instructions for this                 The agencies also are proposing to                  Currency
                                              item both indicated that, effective for                 renumber current item 45 of Schedule
                                              report dates on or after January 1, 2015,               RC–R, Part I, as item 45.b, to collect an             Agency Information Collection
                                              advanced approaches institutions                        institution’s SLR. The ratio to be                    Activities: Information Collection
                                              should begin to report their SLR in the                 reported in item 45.b would equal Tier                Renewal; Submission for OMB Review;
                                              Call Report as calculated for purposes of               1 capital reported on Schedule RC–R,                  Procedures To Enhance the Accuracy
                                              Schedule A, item 98, of the FFIEC 101,                  Part I, item 26, divided by total leverage            and Integrity of Information Furnished
                                              Regulatory Capital Reporting for                        exposure reported in proposed item                    to Consumer Reporting Agencies
                                              Institutions Subject to the Advanced                    45.a. Renumbered item 45.b would no                   Under the Fair and Accurate Credit
                                              Capital Adequacy Framework.20                           longer reference the FFIEC 101 because                Transactions Act
                                              However, the agencies temporarily                       lower tier depository institutions would              AGENCY: Office of the Comptroller of the
                                              suspended the collection of Schedule                    no longer be calculating or reporting                 Currency, Treasury.
                                              RC–R, Part I, item 45, before it took                   their SLRs on the FFIEC 101.                          ACTION: ACTION: Notice and request for
                                              effect March 31, 2015, due to                             The reporting of the proposed SLR
                                                                                                                                                            comment.
                                              amendments to the SLR rule21 and the                    information would take effect March 31,
                                              need for updates to the associated SLR                  2016.                                                 SUMMARY:    The OCC, as part of its
                                              data collection in the FFIEC 101.                       IV. Request for Comment                               continuing effort to reduce paperwork
                                                 The agencies have finalized the most                                                                       and respondent burden, invites the
                                              recent revisions to the SLR rule, which                   Public comment is requested on all                  general public and other Federal
                                              requires all advanced approaches                        aspects of this joint notice. Comments                agencies to take this opportunity to
                                              institutions to disclose three items: the               are invited on:                                       comment on a continuing information
                                              numerator of the SLR (Tier 1 capital,                     (a) Whether the proposed revisions to               collection, as required by the Paperwork
                                              which is already reported in Call Report                the collections of information that are               Reduction Act of 1995.
                                              Schedule RC–R), the denominator of the                  the subject of this notice are necessary                 An agency may not conduct or
                                              SLR (total leverage exposure), and the                  for the proper performance of the                     sponsor, and a respondent is not
                                              ratio itself.22 As part of the revisions to             agencies’ functions, including whether                required to respond to, an information
                                              the FFIEC 101, the SLR section of the                   the information has practical utility;                collection unless it displays a currently
                                              FFIEC 101 will apply only to top-tier                     (b) The accuracy of the agencies’                   valid OMB control number.
                                              advanced approaches institutions                        estimates of the burden of the                           The OCC is soliciting comment
                                              (generally, bank and savings and loan                   information collections as they are                   concerning the renewal of its
                                              holding companies), and not to their                    proposed to be revised, including the                 information collection titled,
                                              subsidiary depository institutions.                     validity of the methodology and                       ‘‘Procedures to Enhance the Accuracy
                                              Therefore, lower tier advanced                          assumptions used;                                     and Integrity of Information Furnished
                                              approaches depository institutions                        (c) Ways to enhance the quality,                    to Consumer Reporting Agencies under
                                              generally will not report SLR data in the               utility, and clarity of the information to            the Fair and Accurate Credit
                                              FFIEC 101, and will need to do so in the                be collected;                                         Transactions Act (FACT Act).’’ The OCC
                                              Call Report, which would satisfy the                      (d) Ways to minimize the burden of                  also is giving notice that it has sent the
                                              SLR disclosure requirement in the                       information collections on respondents,               collection to OMB for review.
                                              revised SLR rule.23                                     including through the use of automated
                                                                                                                                                            DATES: Comments must be received by
                                                 Thus, the agencies are proposing to                  collection techniques or other forms of
                                                                                                      information technology; and                           October 19, 2015.
                                              add a new item 45.a to Schedule RC–R,                                                                         ADDRESSES: Because paper mail in the
                                              Part I, in which an advanced approaches                   (e) Estimates of capital or start-up
                                                                                                      costs and costs of operation,                         Washington, DC area and at the OCC is
                                              depository institution (regardless of                                                                         subject to delay, commenters are
                                                                                                      maintenance, and purchase of services
                                                                                                      to provide information.                               encouraged to submit comments by
                                              year-end regulatory report equal to $10 billion or
                                              more (excluding exposures held by an insurance            Comments submitted in response to                   email, if possible. Comments may be
                                              underwriting subsidiary); (iii) is a subsidiary of a    this joint notice will be shared among                sent to: Legislative and Regulatory
                                              depository institution that uses the advanced           the agencies. All comments will become                Activities Division, Office of the
                                              approaches to calculate its total risk-weighted                                                               Comptroller of the Currency, Attention:
                                              assets; (iv) is a subsidiary of a bank holding
                                                                                                      a matter of public record.
                                              company or savings and loan holding company that
                                                                                                                                                            1557–0238, 400 7th Street SW., Suite
                                                                                                        Dated: September 8, 2015.
                                              uses the advanced approaches to calculate its total                                                           3E–218, Mail Stop 9W–11, Washington,
                                              risk-weighted assets; or (v) elects to use the
                                                                                                      Stuart Feldstein,                                     DC 20219. In addition, comments may
                                              advanced approaches to calculate its total risk-        Director, Legislative and Regulatory Activities       be sent by fax to (571) 465–4326 or by
                                              weighted assets.                                        Division, Office of the Comptroller of the            electronic mail to prainfo@occ.treas.gov.
                                                 20 OMB numbers: For the OCC, 1557–0239; for          Currency.
                                              the Board, 7100–0319; and for the FDIC, 3064–0159.                                                            You may personally inspect and
                                                                                                        Dated: September 11, 2015.                          photocopy comments at the OCC, 400
                                                 21 See 79 FR 57725 (September 26, 2014). The

                                              amendments to the SLR rule took effect January 1,       Michael Lewandowski,                                  7th Street SW., Washington, DC 20219.
                                              2015.                                                   Associate Secretary of the Board, Board of            For security reasons, the OCC requires
                                                 22 See 80 FR 41409 (July 15, 2015). The disclosure   Governors of the Federal Reserve System.              that visitors make an appointment to
                                              requirement is set forth in the agencies’ regulatory
tkelley on DSK3SPTVN1PROD with NOTICES




                                                                                                        Dated at Washington, DC, this 9th day of            inspect comments. You may do so by
                                              capital rules (12 CFR 3.172 (OCC); 12 CFR 217.172
                                              (Board), and 12 CFR 324.172 (FDIC)).
                                                                                                      September, 2015.                                      calling (202) 649–6700 or, for persons
                                                 23 Because certain depository institutions are       Robert E. Feldman,                                    who are deaf or hard of hearing, TTY,
                                              exempt from filing the FFIEC 101, but must still        Executive Secretary, Federal Deposit                  (202) 649–5597. Upon arrival, visitors
                                              report their SLR components and ratio, the agencies     Insurance Corporation.
                                              are proposing the depository institution-level
                                                                                                                                                            will be required to present valid
                                              collection of SLR data in the Call Report rather than   [FR Doc. 2015–23402 Filed 9–17–15; 8:45 am]           government-issued photo identification
                                              in the FFIEC 101.                                       BILLING CODE 4810–33P; 6210–01–P; 6714–01–P           and submit to security screening in


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Document Created: 2015-12-15 09:27:54
Document Modified: 2015-12-15 09:27:54
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionNotices
ActionJoint notice and request for comment.
DatesComments must be submitted on or before November 17, 2015.
ContactFor further information about the proposed revisions to the Call Report discussed in this notice, please contact any of the agency staff whose names appear below. In addition, copies of the Call Report forms can be obtained at the FFIEC's Web site (http://www.ffiec.gov/ffiec_report_forms.htm).
FR Citation80 FR 56539 

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