83 FR 12395 - Agency Information Collection Activities; Announcement of Board Approval Under Delegated Authority and Submission to OMB

FEDERAL RESERVE SYSTEM

Federal Register Volume 83, Issue 55 (March 21, 2018)

Page Range		12395-12397
FR Document		2018-05666

The Board of Governors of the Federal Reserve System (Board) is adopting a proposal to extend for three years, with revision, the mandatory Financial Statements for Holding Companies (FR Y-9) (OMB No. 7100-0128).

Federal Register, Volume 83 Issue 55 (Wednesday, March 21, 2018)

[Federal Register Volume 83, Number 55 (Wednesday, March 21, 2018)]
[Notices]
[Pages 12395-12397]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-05666]


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FEDERAL RESERVE SYSTEM


Agency Information Collection Activities; Announcement of Board 
Approval Under Delegated Authority and Submission to OMB

AGENCY: Board of Governors of the Federal Reserve System.

SUMMARY: The Board of Governors of the Federal Reserve System (Board) 
is adopting a proposal to extend for three years, with revision, the 
mandatory Financial Statements for Holding Companies (FR Y-9) (OMB No. 
7100-0128).

FOR FURTHER INFORMATION CONTACT: Federal Reserve Board Clearance 
Officer--Nuha Elmaghrabi--Office of the Chief Data Officer, Board of 
Governors of the Federal Reserve System, Washington, DC 20551, (202) 
452-3829. Telecommunications Device for the Deaf (TDD) users may 
contact (202) 263-4869, Board of Governors of the Federal Reserve 
System, Washington, DC 20551. OMB Desk Officer--Shagufta Ahmed--Office 
of Information and Regulatory Affairs, Office of Management and Budget, 
New Executive Office Building, Room 10235, 725 17th Street NW, 
Washington, DC 20503 or by fax to (202) 395-6974.

SUPPLEMENTARY INFORMATION: On June 15, 1984, the Office of Management 
and Budget (OMB) delegated to the Board authority under the Paperwork 
Reduction Act (PRA) to approve of and assign OMB control numbers to 
collection of information requests and requirements conducted or 
sponsored by the Board. Board-approved collections of information are 
incorporated into the official OMB inventory of currently approved 
collections of information. Copies of the Paperwork Reduction Act 
Submission, supporting statements and approved collection of 
information instrument(s) are placed into OMB's public docket files. 
The Federal Reserve may not conduct or sponsor, and the respondent is 
not required to respond to, an information collection that has been 
extended, revised, or implemented on or after October 1, 1995, unless 
it displays a currently valid OMB control number.

Final Approval Under OMB Delegated Authority of the Extension for Three 
Years, With Revision, of the Following Report

    Report title: Consolidated Financial Statements for Holding 
Companies, Parent Company Only Financial Statements for Large Holding 
Companies, Parent Company Only Financial Statements for Small Holding 
Companies, Financial Statement for Employee Stock Ownership Plan 
Holding Companies, and the Supplement to the Consolidated Financial 
Statements for Holding Companies.
    Agency form number: FR Y-9C, FR Y-9LP, FR Y-9SP, FR Y-9ES, and FR 
Y-9CS.
    OMB control number: 7100-0128.
    Frequency: Quarterly and semiannually.
    Reporters: Bank holding companies (BHCs), savings and loan holding 
companies, securities holding companies, and U.S. Intermediate Holding 
Companies (IHCs) (collectively, holding companies (HCs)).
    Estimated annual reporting hours: FR Y-9C (non-advanced approaches 
holding companies): 119,094 hours; FR Y-9C (advanced approached holding 
companies): 3,482 hours; FR Y-9LP: 16,442 hours; FR Y-9SP: 42,001; FR 
Y-9ES: 40 hours; FR Y-9CS: 472 hours.
    Estimated average hours per response: FR Y-9C (non-advanced 
approaches holding companies): 47.11 hours; FR Y-9C (advanced 
approached holding companies HCs): 48.36 hours; FR Y-9LP: 5.27 hours; 
FR Y-9SP: 5.40 hours; FR Y-9ES: 0.50 hours; FR Y-9CS: 0.50 hours.
    Number of respondents: FR Y-9C (non-advanced approaches holding 
companies): 632; FR Y-9C (advanced approached holding companies): 18; 
FR Y-9LP: 780; FR Y-9SP: 3,889; FR Y-9ES: 80; FR Y-9CS: 236.
    General description of report: Pursuant to the Bank Holding Company 
Act of 1956 (BHC Act), as amended, and the Home Owners' Loan Act 
(HOLA), the Federal Reserve requires HCs to provide standardized 
financial statements to fulfill the Federal Reserve's statutory 
obligation to supervise these organizations. HCs file the FRY-9C and FR 
Y-9LP quarterly, and the FR Y-9SP semiannually, the FR Y-9ES annually, 
and the FR Y-9CS on a schedule that is determined when this supplement 
is used.
    Proposed revisions: The Board is implementing a number of revisions 
to the FR Y-9C requirements, most of which are consistent with the 
recent changes to the Federal Financial Institutions Examination 
Council (FFIEC) Consolidated Reports of Condition and Income (Call 
Reports) (FFIEC 031, FFIEC 041, and FFIEC 051; OMB No. 7100-0036). The 
revisions to the FR Y-9C include deletions, consolidations of existing 
data items into new data items, reductions in reporting frequency, and 
new and revised reporting thresholds for certain data items. The Board 
is also making changes to the reporting forms and instructions for the 
FR Y-9C, FR Y-9LP, and FR Y-9SP to implement accounting changes 
pertaining to equity securities under Accounting Standards update (ASU 
No. 2016-01, ``Recognition and Measurement of Financial Assets and 
Financial Liabilities.''). The accounting changes pertaining to equity 
securities would be effective beginning with the reports reflecting the 
March 31, 2018, report date and June 30, 2018 for all other changes. 
The changes include:
     Deleting and combining of certain data items pertaining to 
(1) Goodwill and Other intangible assets from Schedule HC, Balance 
Sheet; (2) U.S. Government agency obligations and structured financial 
products from Schedule HC-B, Securities; (3) Structured financial 
products and certain loans and the unpaid principal balance of such 
loans on Schedule HC-D, Trading Assets; (4) Certain over-the counter 
derivatives on Schedule HC-L, Derivatives and Off-Balance sheet items, 
and (5) Purchased credit card relationships and nonmortgage servicing 
assets from Schedule HC-M, Memoranda;
     Deleting two preprinted captions for other noninterest 
income on Schedule HI, Income Statement and certain data items on 
Schedule HC-D, Trading Assets and Liabilities;
     Deleting Column B (Domestic Office) from Schedule HC-D, 
Trading Assets and Liabilities;
     Reducing the reporting frequency from quarterly to 
semiannual and from quarterly to annual for certain data items on the 
FR Y-9C report;
     Increasing and adding reporting thresholds for certain 
data items in four FR Y-9C schedules;
     Revising the reporting forms and instructions to implement 
the reporting

[[Page 12396]]

of equity securities under ASU-2016-0;1 and
     Moving the reporting of ``Goodwill'' from Schedule HC to 
Schedule HC-M, Memoranda.
    Effective Date: March 31, 2018, for accounting changes pertaining 
to equity securities; June 30, 2018, for all other changes.
    Legal authorization and confidentiality: The FR Y-9 family of 
reports is authorized by section 5(c) of the BHC Act (12 U.S.C. 
1844(c)), section 10 of HOLA (12 U.S.C. 1467a(b)), sections 165 and 618 
of the Dodd-Frank Wall Street Reform and Consumer Protection Act (12 
U.S.C. 1850a(c)(1) and 5365), and section 252.153(b)(2) of Regulation 
YY (12 CFR 252.153(b)(2)). These reports are mandatory. In general, the 
Board does not consider the financial data in these reports to be 
confidential. However, a respondent may request confidential treatment 
pursuant to sections (b)(4), (b)(6), and (b)(8) of the Freedom of 
Information Act (5 U.S.C. 552(b)(4), (b)(6), and (b)(8)). The 
applicability of these exemptions will be reviewed on a case-by-case 
basis.
    Effective Date: March 31, 2018 and June 30, 2018.
    Current Actions: On January 2, 2018, the Board published a notice 
in the Federal Register (83 FR 123) requesting public comment for 60 
days on the proposal to extend with revision the FR Y-9 family of 
reports. The comment period expired on March 5, 2018. The Board 
received one comment from a banking association. A detailed discussion 
of the responses to comment is provided below. The Board has approved, 
pursuant to authority delegated by the OMB, the collections of 
information as proposed and amended (as discussed below). The Final 
proposal is unchanged from the version that went out for public 
comment, except for the addition of the instructional clarification 
discussed below.
    Detailed Discussion of Public Comment: While supporting the Federal 
Reserve's efforts to align the FR Y-9 series with the Call Report, a 
banking association recommended that revisions to the FR Y-9 reports 
occur only once a year, that those revisions become effective on March 
31, and that the finalization of revisions occur prior to September 30 
of the previous year in order to allow HCs sufficient time to implement 
the revisions.
    In the past, the Board typically has followed a schedule of making 
revisions only once per year, generally starting in the March 31 
report. However, the proposal is part of a three-phase process 
occurring over the course of the last year to align the FR Y-9 series 
with the three-phase process for the Call Reports. As a result, certain 
revisions to the FR Y-9 reports made through the current process have 
or will become effective with reports reflecting dates other than March 
31. The Board will strive to return to an annual schedule for future 
revisions, with revisions becoming effective for the March 31 report, 
unless the revisions must be implemented at a different time due to 
changes in law, regulation, or accounting standards. With respect to 
the time HCs are given to implement revisions to the FR Y-9C reports, 
the Board notes, however, that it is important to have such changes 
become on the same timeline as changes to the Call Reports, to prevent 
inconsistencies between the FR Y-9C reports and the Call Reports. In 
the future, the Board will strive to provide more lead time for firms 
to implement revisions to the FR Y-9 reports while also ensuring 
alignment with the Call Report.
    Additionally, the commenter urged the Board to conduct a 
comprehensive review of all reports that it requires banks and their 
affiliates to file, including the identification and removal of 
obsolete, overlapping, or unnecessary line items and a review of the 
threshold indicators (such as size and complexity) that institutions 
must meet before they are required to provide data on various products 
and activities.
    In lieu of conducting a comprehensive review of all reports 
simultaneously, the Board performs a thorough review of each regulatory 
report at least every three years as part of the Paperwork Reduction 
Act (PRA) review process. The PRA review process led to burden-reducing 
changes recently, for example, when the Board terminated the FR 2052b, 
and the Board recently proposed burden-reducing changes, for example, 
for the FR Y-8.\1\ Also, in 2015, the Board raised the asset threshold 
of its Small Bank Holding Company Policy Statement, which allows 
qualifying holding companies to operate with higher levels of debt than 
would normally be permitted, from $500 million to $1 billion. The Board 
also raised the threshold for reporting the FR Y-9C from $500 million 
to $1 billion. In March 2017, the Board, together with the Federal 
Deposit Insurance Corporation and the Office of the Comptroller of the 
Currency (together, the ``Agencies''), issued a report pursuant to the 
Economic Growth and Regulatory Paperwork Reduction Act of 1996 
(``EGRPRA''), which also included several initiatives to reduce burden. 
Because the Board's current process frequently leads to the types of 
changes that the commenter suggested could result from a comprehensive 
review, the Board will not be adopting the approach advocated by the 
commenter.
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    \1\ The Liquidity Monitoring Report (FR 2052b) (OMB No. 7100-
0361) and the Bank Holding Company Report of Insured Depository 
Institutions' Section 23A Transactions with Affiliates (FR Y-8) (OMB 
No. 7100-0126).
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    The commenter recommended that the Board establish an industry task 
force or advisory committee to help identify outdated or overlapping 
data items in Federal Reserve reports and identify burdens associated 
with these reports. In response to this comment, the Board plans to 
continue to offer outreach in connection with significant revisions to 
the FR Y-9C reports. Additionally, the Board frequently responds to 
questions from individual institutions regarding the requirements of 
the FR Y-9C reports and often addresses issues that could affect 
multiple institutions through quarterly correspondence to affected 
institutions. As required under the PRA, the Federal Reserve also 
offers an opportunity for the public to comment on proposed changes to 
the FR Y-9C report or to make any additional suggestions for improving, 
streamlining, or clarifying the FR Y-9C report. As a result, the Board 
will not establish an industry task force or advisory committee as 
advocated by the commenter.
    The commenter further noted that two recent or pending amendments 
to U.S. Generally Accepted Accounting Practices (GAAP) would create 
inconsistencies between the requirements of the FR Y-9C family of 
reports and GAAP. These proposals concern accounting for leases (ASU 
2016-02) and pensions (ASU 2017-07).\2\ The Board will consult with the 
Federal Deposit Insurance Corporation (``FDIC'') and the Office of the 
Comptroller of the

[[Page 12397]]

Currency regarding these accounting changes.
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    \2\ The commenter noted that in the 12/31/2017 FR Y-9C 
Supplemental Instructions, institutions were instructed to report 
the (right-to-use) ROU asset under the new lease accounting standard 
in Schedule HC, item 6, Premises and fixed assets, and the related 
lease liability in Schedule HC-M, item 14, Other borrowed money. The 
commenter stated that this reporting is inconsistent with GAAP and 
that the new accounting standard, operating lease ROU assets and 
operating lease liabilities should generally not be reported in the 
same line as finance lease assets and liabilities because this 
creates a seemingly unnecessary conflict between regulatory 
reporting and U.S. GAAP reporting. Additionally, the commenter noted 
that guidance pertaining to the accounting for pension expenses (ASU 
2017-07) that became effective January 1, 2018 were not included in 
the FR Y-9C December 31, 2017 Supplemental instructions and that the 
current instructions on the FR Y-9C and the Call Report need to be 
updated to incorporate the new accounting changes.
---------------------------------------------------------------------------

    The commenter noted that the proposal to add a reporting threshold 
of $10 billion or more in total trading assets on Schedule HC-D, 
memorandum items 2 through 10, and the proposal to add a reporting 
threshold of $10 million or more in total trading assets in any of the 
four preceding calendar quarters on Schedule HC-K, line item 4, should 
be updated to add language for meeting the FDIC's definition of a large 
or highly complex institution,\3\ similar to a Call Report change that 
is effective, June 30, 2018. In response, the Board will not require 
institutions that meet the FDIC's definition of a large or highly 
complex institution that is used for deposit insurance assessment 
purposes to report these items because these data are not needed at the 
holding company level; however, the Board will allow these institutions 
to provide the data on a voluntary basis if it is easier to be 
consistent with their Call Report filings. Additionally, the commenter 
asked for clarification on whether the proposed $10 billion threshold 
on Schedule HC-D, memorandum items 2 through 10, is based on the prior 
four quarters or a point in time. In response, the report form has been 
revised to indicate that this reporting threshold is based on trading 
assets as of the end of each quarter.
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    \3\ Schedule RC-O, Memoranda item 6 of the Call Report 
instructions has detailed information on the FDIC's definition of a 
large or highly complex institution.
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    The commenter noted several inconsistences on the FR Y-9C 
instructions when compared to the Call Report pertaining to the 
implementation of equity securities and various other line item 
discrepancies. The Call Report instructions were updated after the 
publication of the FR Y-9 proposal. The Board agrees with these changes 
and has revised the FR Y-9C family of forms so that they align all 
applicable line items to the Call Report. Additional editorial updates 
to the report form and instructions have been made to address the 
comments pertaining to the FR Y-9LP report.
    The revisions will be implemented, as proposed, with the changes in 
response to the comment noted above. Modifications for all changes 
would be effective for reports reflecting the June 30, 2018, report 
date, except that the modifications for equity securities would be 
effective for reports reflecting the March 31, 2018, report date.

    Board of Governors of the Federal Reserve System, March 15, 
2018.
Ann E. Misback,
Secretary of the Board.
[FR Doc. 2018-05666 Filed 3-20-18; 8:45 am]
 BILLING CODE 6210-01-P

Federal Register / Vol. 83, No. 55 / Wednesday, March 21, 2018 / Notices 12395

the accuracy of the estimates of the Paperwork Reduction Act Submission, supervise these organizations. HCs file
burden of the information collections, supporting statements and approved the FRY–9C and FR Y–9LP quarterly,
including the validity of the collection of information instrument(s) and the FR Y–9SP semiannually, the FR
methodology and assumptions used; (c) are placed into OMB’s public docket Y–9ES annually, and the FR Y–9CS on
ways to enhance the quality, utility, and files. The Federal Reserve may not a schedule that is determined when this
clarity of the information to be conduct or sponsor, and the respondent supplement is used.
collected; and (d) ways to minimize the is not required to respond to, an Proposed revisions: The Board is
burden of the collections of information information collection that has been implementing a number of revisions to
on respondents, including through the extended, revised, or implemented on or the FR Y–9C requirements, most of
use of automated collection techniques after October 1, 1995, unless it displays which are consistent with the recent
or other forms of information a currently valid OMB control number. changes to the Federal Financial
technology. All comments will become Institutions Examination Council
a matter of public record. Final Approval Under OMB Delegated (FFIEC) Consolidated Reports of
Authority of the Extension for Three Condition and Income (Call Reports)
Dated at Washington, DC, on March 16, Years, With Revision, of the Following
2018. (FFIEC 031, FFIEC 041, and FFIEC 051;
Report OMB No. 7100–0036). The revisions to
Federal Deposit Insurance Corporation.
Robert E. Feldman, Report title: Consolidated Financial the FR Y–9C include deletions,
Statements for Holding Companies, consolidations of existing data items
Executive Secretary.
Parent Company Only Financial into new data items, reductions in
[FR Doc. 2018–05711 Filed 3–20–18; 8:45 am]
Statements for Large Holding reporting frequency, and new and
BILLING CODE 6714–01–P revised reporting thresholds for certain
Companies, Parent Company Only
Financial Statements for Small Holding data items. The Board is also making
Companies, Financial Statement for changes to the reporting forms and
FEDERAL RESERVE SYSTEM Employee Stock Ownership Plan instructions for the FR Y–9C, FR Y–9LP,
Holding Companies, and the and FR Y–9SP to implement accounting
Agency Information Collection changes pertaining to equity securities
Supplement to the Consolidated
Activities; Announcement of Board under Accounting Standards update
Financial Statements for Holding
Approval Under Delegated Authority (ASU No. 2016–01, ‘‘Recognition and
Companies.
and Submission to OMB Measurement of Financial Assets and
Agency form number: FR Y–9C, FR Y–
AGENCY: Board of Governors of the 9LP, FR Y–9SP, FR Y–9ES, and FR Y– Financial Liabilities.’’). The accounting
Federal Reserve System. 9CS. changes pertaining to equity securities
SUMMARY: The Board of Governors of the OMB control number: 7100–0128. would be effective beginning with the
Federal Reserve System (Board) is Frequency: Quarterly and reports reflecting the March 31, 2018,
adopting a proposal to extend for three semiannually. report date and June 30, 2018 for all
years, with revision, the mandatory Reporters: Bank holding companies other changes. The changes include:
Financial Statements for Holding (BHCs), savings and loan holding • Deleting and combining of certain
Companies (FR Y–9) (OMB No. 7100– companies, securities holding data items pertaining to (1) Goodwill
0128). companies, and U.S. Intermediate and Other intangible assets from
Holding Companies (IHCs) (collectively, Schedule HC, Balance Sheet; (2) U.S.
FOR FURTHER INFORMATION CONTACT: holding companies (HCs)). Government agency obligations and
Federal Reserve Board Clearance Estimated annual reporting hours: FR structured financial products from
Officer—Nuha Elmaghrabi—Office of Y–9C (non-advanced approaches Schedule HC–B, Securities; (3)
the Chief Data Officer, Board of holding companies): 119,094 hours; FR Structured financial products and
Governors of the Federal Reserve Y–9C (advanced approached holding certain loans and the unpaid principal
System, Washington, DC 20551, (202) companies): 3,482 hours; FR Y–9LP: balance of such loans on Schedule HC–
452–3829. Telecommunications Device 16,442 hours; FR Y–9SP: 42,001; FR Y– D, Trading Assets; (4) Certain over-the
for the Deaf (TDD) users may contact 9ES: 40 hours; FR Y–9CS: 472 hours. counter derivatives on Schedule HC–L,
(202) 263–4869, Board of Governors of Estimated average hours per response: Derivatives and Off-Balance sheet items,
the Federal Reserve System, FR Y–9C (non-advanced approaches and (5) Purchased credit card
Washington, DC 20551. OMB Desk holding companies): 47.11 hours; FR Y– relationships and nonmortgage servicing
Officer—Shagufta Ahmed—Office of 9C (advanced approached holding assets from Schedule HC–M,
Information and Regulatory Affairs, companies HCs): 48.36 hours; FR Y– Memoranda;
Office of Management and Budget, New 9LP: 5.27 hours; FR Y–9SP: 5.40 hours; • Deleting two preprinted captions
Executive Office Building, Room 10235, FR Y–9ES: 0.50 hours; FR Y–9CS: 0.50 for other noninterest income on
725 17th Street NW, Washington, DC hours. Schedule HI, Income Statement and
20503 or by fax to (202) 395–6974. Number of respondents: FR Y–9C certain data items on Schedule HC–D,
SUPPLEMENTARY INFORMATION: On June (non-advanced approaches holding Trading Assets and Liabilities;
15, 1984, the Office of Management and companies): 632; FR Y–9C (advanced • Deleting Column B (Domestic
Budget (OMB) delegated to the Board approached holding companies): 18; FR Office) from Schedule HC–D, Trading
authority under the Paperwork Y–9LP: 780; FR Y–9SP: 3,889; FR Y– Assets and Liabilities;
Reduction Act (PRA) to approve of and 9ES: 80; FR Y–9CS: 236. • Reducing the reporting frequency
assign OMB control numbers to General description of report:
sradovich on DSK3GMQ082PROD with NOTICES

from quarterly to semiannual and from
collection of information requests and Pursuant to the Bank Holding Company quarterly to annual for certain data
requirements conducted or sponsored Act of 1956 (BHC Act), as amended, and items on the FR Y–9C report;
by the Board. Board-approved the Home Owners’ Loan Act (HOLA), • Increasing and adding reporting
collections of information are the Federal Reserve requires HCs to thresholds for certain data items in four
incorporated into the official OMB provide standardized financial FR Y–9C schedules;
inventory of currently approved statements to fulfill the Federal • Revising the reporting forms and
collections of information. Copies of the Reserve’s statutory obligation to instructions to implement the reporting

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12396 Federal Register / Vol. 83, No. 55 / Wednesday, March 21, 2018 / Notices

of equity securities under ASU–2016– to align the FR Y–9 series with the Regulatory Paperwork Reduction Act of
0;1 and three-phase process for the Call Reports. 1996 (‘‘EGRPRA’’), which also included
• Moving the reporting of ‘‘Goodwill’’ As a result, certain revisions to the FR several initiatives to reduce burden.
from Schedule HC to Schedule HC–M, Y–9 reports made through the current Because the Board’s current process
Memoranda. process have or will become effective frequently leads to the types of changes
Effective Date: March 31, 2018, for with reports reflecting dates other than that the commenter suggested could
accounting changes pertaining to equity March 31. The Board will strive to result from a comprehensive review, the
securities; June 30, 2018, for all other return to an annual schedule for future Board will not be adopting the approach
changes. revisions, with revisions becoming advocated by the commenter.
Legal authorization and effective for the March 31 report, unless
confidentiality: The FR Y–9 family of the revisions must be implemented at a The commenter recommended that
reports is authorized by section 5(c) of different time due to changes in law, the Board establish an industry task
the BHC Act (12 U.S.C. 1844(c)), section regulation, or accounting standards. force or advisory committee to help
10 of HOLA (12 U.S.C. 1467a(b)), With respect to the time HCs are given identify outdated or overlapping data
sections 165 and 618 of the Dodd-Frank to implement revisions to the FR Y–9C items in Federal Reserve reports and
Wall Street Reform and Consumer reports, the Board notes, however, that identify burdens associated with these
Protection Act (12 U.S.C. 1850a(c)(1) it is important to have such changes reports. In response to this comment,
and 5365), and section 252.153(b)(2) of become on the same timeline as changes the Board plans to continue to offer
Regulation YY (12 CFR 252.153(b)(2)). to the Call Reports, to prevent outreach in connection with significant
These reports are mandatory. In general, inconsistencies between the FR Y–9C revisions to the FR Y–9C reports.
the Board does not consider the reports and the Call Reports. In the Additionally, the Board frequently
financial data in these reports to be future, the Board will strive to provide responds to questions from individual
confidential. However, a respondent more lead time for firms to implement institutions regarding the requirements
may request confidential treatment revisions to the FR Y–9 reports while of the FR Y–9C reports and often
pursuant to sections (b)(4), (b)(6), and also ensuring alignment with the Call addresses issues that could affect
(b)(8) of the Freedom of Information Act Report. multiple institutions through quarterly
(5 U.S.C. 552(b)(4), (b)(6), and (b)(8)). Additionally, the commenter urged correspondence to affected institutions.
The applicability of these exemptions the Board to conduct a comprehensive As required under the PRA, the Federal
will be reviewed on a case-by-case basis. review of all reports that it requires Reserve also offers an opportunity for
Effective Date: March 31, 2018 and banks and their affiliates to file, the public to comment on proposed
June 30, 2018. including the identification and removal changes to the FR Y–9C report or to
Current Actions: On January 2, 2018, of obsolete, overlapping, or unnecessary make any additional suggestions for
the Board published a notice in the line items and a review of the threshold improving, streamlining, or clarifying
Federal Register (83 FR 123) requesting indicators (such as size and complexity) the FR Y–9C report. As a result, the
public comment for 60 days on the that institutions must meet before they Board will not establish an industry task
proposal to extend with revision the FR are required to provide data on various force or advisory committee as
Y–9 family of reports. The comment products and activities. advocated by the commenter.
period expired on March 5, 2018. The In lieu of conducting a comprehensive
Board received one comment from a review of all reports simultaneously, the The commenter further noted that two
banking association. A detailed Board performs a thorough review of recent or pending amendments to U.S.
discussion of the responses to comment each regulatory report at least every Generally Accepted Accounting
is provided below. The Board has three years as part of the Paperwork Practices (GAAP) would create
approved, pursuant to authority Reduction Act (PRA) review process. inconsistencies between the
delegated by the OMB, the collections of The PRA review process led to burden- requirements of the FR Y–9C family of
information as proposed and amended reducing changes recently, for example, reports and GAAP. These proposals
(as discussed below). The Final when the Board terminated the FR concern accounting for leases (ASU
proposal is unchanged from the version 2052b, and the Board recently proposed 2016–02) and pensions (ASU 2017–07).2
that went out for public comment, burden-reducing changes, for example, The Board will consult with the Federal
except for the addition of the for the FR Y–8.1 Also, in 2015, the Deposit Insurance Corporation (‘‘FDIC’’)
instructional clarification discussed Board raised the asset threshold of its and the Office of the Comptroller of the
below. Small Bank Holding Company Policy
Detailed Discussion of Public Statement, which allows qualifying 2 The commenter noted that in the 12/31/2017 FR

Comment: While supporting the Federal holding companies to operate with Y–9C Supplemental Instructions, institutions were
Reserve’s efforts to align the FR Y–9 higher levels of debt than would instructed to report the (right-to-use) ROU asset
under the new lease accounting standard in
series with the Call Report, a banking normally be permitted, from $500 Schedule HC, item 6, Premises and fixed assets, and
association recommended that revisions million to $1 billion. The Board also the related lease liability in Schedule HC–M, item
to the FR Y–9 reports occur only once raised the threshold for reporting the FR 14, Other borrowed money. The commenter stated
a year, that those revisions become Y–9C from $500 million to $1 billion. In that this reporting is inconsistent with GAAP and
that the new accounting standard, operating lease
effective on March 31, and that the March 2017, the Board, together with ROU assets and operating lease liabilities should
finalization of revisions occur prior to the Federal Deposit Insurance generally not be reported in the same line as finance
September 30 of the previous year in Corporation and the Office of the lease assets and liabilities because this creates a
seemingly unnecessary conflict between regulatory
sradovich on DSK3GMQ082PROD with NOTICES

order to allow HCs sufficient time to Comptroller of the Currency (together,
reporting and U.S. GAAP reporting. Additionally,
implement the revisions. the ‘‘Agencies’’), issued a report the commenter noted that guidance pertaining to
In the past, the Board typically has pursuant to the Economic Growth and the accounting for pension expenses (ASU 2017–07)
followed a schedule of making revisions that became effective January 1, 2018 were not
only once per year, generally starting in 1 The Liquidity Monitoring Report (FR 2052b) included in the FR Y–9C December 31, 2017
(OMB No. 7100–0361) and the Bank Holding Supplemental instructions and that the current
the March 31 report. However, the Company Report of Insured Depository Institutions’ instructions on the FR Y–9C and the Call Report
proposal is part of a three-phase process Section 23A Transactions with Affiliates (FR Y–8) need to be updated to incorporate the new
occurring over the course of the last year (OMB No. 7100–0126). accounting changes.

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Document Created: 2018-03-21 00:45:40
Document Modified: 2018-03-21 00:45:40

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
Action		On January 2, 2018, the Board published a notice in the Federal Register (83 FR 123) requesting public comment for 60 days on the proposal to extend with revision the FR Y-9 family of reports. The comment period expired on March 5, 2018. The Board received one comment from a banking association. A detailed discussion of the responses to comment is provided below. The Board has approved, pursuant to authority delegated by the OMB, the collections of information as proposed and amended (as discussed below). The Final proposal is unchanged from the version that went out for public comment, except for the addition of the instructional clarification discussed below.
Dates		March 31, 2018, for accounting changes pertaining to equity securities; June 30, 2018, for all other changes.
Contact		Federal Reserve Board Clearance Officer--Nuha Elmaghrabi--Office of the Chief Data Officer, Board of Governors of the Federal Reserve System, Washington, DC 20551, (202) 452-3829. Telecommunications Device for the Deaf (TDD) users may contact (202) 263-4869, Board of Governors of the Federal Reserve System, Washington, DC 20551. OMB Desk Officer--Shagufta Ahmed--Office of Information and Regulatory Affairs, Office of Management and Budget, New Executive Office Building, Room 10235, 725 17th Street NW, Washington, DC 20503 or by fax to (202) 395-6974.
FR Citation		83 FR 12395