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

[Federal Register Volume 64, Number 182 (Tuesday, September 21, 1999)]
[Notices]
[Pages 51123-51124]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-24544]


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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
    Background: Notice is hereby given of the final approval of 
proposed information collections by the Board of Governors of the 
Federal Reserve System (Board) under OMB delegated authority, as per 5 
CFR 1320.16 (OMB Regulations on Controlling Paperwork Burdens on the 
Public). Board-approved collections of information are incorporated 
into the official OMB inventory of currently approved collections of 
information. Copies of the OMB 83-Is and supporting statements and 
approved collection of information instrument(s) are placed into OMB's 
public docket files. The Federal Reserve may not conduct or sponsor, 
and the respondent is not required to respond to, an information 
collection that has been extended, revised, or implemented on or after 
October 1, 1995, unless it displays a currently valid OMB control 
number.
FOR FURTHER INFORMATION CONTACT:
Chief, Financial Reports Section--Mary M. West--Division of Research 
and Statistics,Board of Governors of the Federal Reserve System, 
Washington, DC 20551 (202-452-3829); OMB Desk Officer--Alexander T. 
Hunt--Office of Information and Regulatory Affairs, Office of 
Management and Budget, New Executive Office Building, Room 3208, 
Washington, DC 20503 (202-395-7860).
    Final approval under OMB delegated authority of the extension for 
three years, with revisions, of the following reports:
    1. Report title: Applications for Subscription to, Adjustment in 
Holding of, and Cancellation of Federal Reserve Bank Stock.
    Agency form numbers: FR 2030, 2030a, 2056, 2086, 2086a, 2086b, and 
2087.
    OMB control number: 7100-0042.
    Effective date: September 30, 1999.
    Frequency: On occasion.
    Reporters: National, State Member, and Nonmember Banks.
    Annual reporting hours: 952 (FR 2030: 47; FR 2030a: 13; FR 2056: 
860; FR 2086: 1; FR 2086a: 30; FR 2087: 1).
    Estimated average hours per response: 0.5 (for each form).
    Number of respondents: 1,901 (FR 2030: 93; FR 2030a: 26; FR 2056: 
1,719; FR 2086: 2; FR 2086a: 60; FR 2087: 1).

[[Page 51124]]

Small businesses are affected.
    General description of report: This information collection is 
mandatory [12 U.S.C. Secs.  222, 248, 282, 287, 288, and 321 and 12 
C.F.R. Secs.  209.1, 209.3, 209.5(b), 209.7, and 209.8]. Upon request 
from an applicant, certain information may be given confidential 
treatment pursuant to the Freedom of Information Act [5 U.S.C. Secs.  
552(b)(4) and (6)].
    Abstract: These applications must be submitted to Federal Reserve 
Banks by organizing and existing member commercial banks requesting the 
issuance, adjustment, or cancellation of Federal Reserve Bank stock. 
National banks, chartered by the Comptroller of the Currency, are 
required to become members of the Federal Reserve System. State-
chartered commercial banks may elect to become members if they meet the 
requirements established by the Board of Governors of the Federal 
Reserve System. When a bank receives approval for membership in the 
Federal Reserve System, the bank agrees to certain conditions of 
membership which are contained in an approval letter sent to the bank 
by the Federal Reserve Bank in the District where the bank is located. 
In addition to the conditions of membership, the bank also is advised 
by the Reserve Bank that it must subscribe to the capital stock of the 
Federal Reserve Bank of its District in an amount equal to 6 percent of 
the bank's paid-up capital and surplus, including reserve for dividends 
payable in common stock, pursuant to Section 5 of the Federal Reserve 
Act and Regulation I. However, the bank is required to make payment for 
only 50 percent of the subscription, which is recorded as paid-in 
capital on the Reserve Bank's balance sheet. The remaining 50 percent 
is subject to call by the Board of Governors of the Federal Reserve 
System. On December 31, 1998, there were 3,401 Federal Reserve member 
banks, and their consolidated paid-in capital at the twelve Federal 
Reserve Banks was $5.6 billion.
    These applications are necessary in order to obtain account data on 
the bank's capital and surplus and to document its request to increase 
or decrease its holdings of Federal Reserve Bank stock. Another purpose 
of the applications is to verify that a request has been duly 
authorized and to prevent unauthorized requests for issuance or 
cancellation of Federal Reserve Bank stock.
    Current Actions The most significant changes are (1) revising the 
items included in the capital stock and surplus section on the FR 2056, 
(2) combining the FR 2086a and FR 2086b, and (3) adding an optional 
field to each of the applications for the institution's ABA number. On 
the FR 2056, the capital and surplus will be reported as shown on the 
institution's most recent Report of Condition (instead of on the date 
of the application). Also, the capital stock section will include 
common stock, preferred stock (including sinking fund preferred stock), 
and paid-in surplus less the aggregate of retained earnings, 
gains(losses) on securities available-for-sale, and foreign currency 
translation gains or losses, if such aggregate is a deficit. Finally, 
information on ``reserve for dividends payable in common stock'' will 
be deleted.
    The FR 2086a will be used for all member banks converting or 
merging into nonmember banks. This application will now include 
national banks converting into nonmember banks and therefore the FR 
2086b application will be eliminated.
    The Certificate of Issuance of Federal Reserve Bank Stock will be 
eliminated from the FR 2030, FR 2030a, and FR 2056 applications and the 
Certificate of Cancellation of Federal Reserve Bank stock will be 
eliminated from the FR 2056, FR 2086, FR 2086a, and FR 2087 
applications. Also, minor clarifications will be made to all of the 
applications to improve consistency and make filing of the applications 
more expeditious and user-friendly.
    2. Report title: Applications for Membership in the Federal Reserve 
System.
    Agency form numbers: FR 2083, 2083A-2083E.
    OMB control number: 7100-0046.
    Effective date: September 30, 1999.
    Frequency: On occasion.
    Reporters: Commercial banks and certain mutual savings banks.
    Annual reporting hours: 2,805 burden hours.
    Estimated average hours per response: 35.5 hours.
    Number of respondents: 79.
Small businesses are affected.
    General description of report: This information collection is 
required [12 U.S.C. Secs.  321, 322 and 333]. The information in the 
application is not confidential; however, parts may be given 
confidential treatment at the applicant's request [5 U.S.C. Sec.  
552(b)(4)].
    Abstract: The application for membership is a required one-time 
submission, pursuant to Section 9 of the Federal Reserve Act, that 
collects the information necessary for the Federal Reserve Board to 
evaluate the statutory criteria for admission of a new or existing bank 
to membership in the Federal Reserve System. This application provides 
managerial, financial, and structural data.
    Current Actions: The Federal Reserve will be (1) revising the 
application to conform with changes to Regulation H, (2) combining the 
FR 2083B, C, and D, which are filed by mutual savings banks, into one 
application and (3) replacing Section IV of the application with a 
reference to the Interagency Biographical and Financial Report (FR 
2081c; OMB No. 7100-0134).
    With respect to the Regulation H changes, the instructions will be 
revised as follows: the ``Preparation of Application'' section will be 
updated regarding examination and Reserve Bank consultation and would 
define those institutions that qualify for expedited treatment and the 
``Public Notification'' section will be eliminated. On the FR 2083E, 
which will be renamed the FR 2083C, references to capital stock will be 
revised to capital stock and surplus. Capital stock and surplus 
includes Tier 1 and Tier 2 capital, as calculated under the risk-based 
capital guidelines, plus any allowance for loan and lease losses not 
already included in Tier 2 capital.
    The FR 2083B, C, and D will be combined in an effort to streamline 
the applications and Section IV will be replaced with FR 2081c for 
consistency purposes. Also, the Federal Reserve will incorporate 
several formatting changes to all of the applications to improve 
consistency and clarify the information to be reported.

    Board of Governors of the Federal Reserve System, September 15, 
1999.
Jennifer J. Johnson,
Secretary of the Board.
[FR Doc. 99-24544 Filed 9-20-99; 8:45 am]
BILLING CODE 6210-01-F