Federal Register, Volume 80 Issue 152 (Friday, August 7, 2015)
[Federal Register Volume 80, Number 152 (Friday, August 7, 2015)]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-19448]
COMMODITY FUTURES TRADING COMMISSION
Agency Information Collection Activities Under OMB Review
AGENCY: Commodity Futures Trading Commission.
SUMMARY: In compliance with the Paperwork Reduction Act of 1995
(``PRA''), this notice announces that the Information Collection
Request (``ICR'') abstracted below has been forwarded to the Office of
Management and Budget (``OMB'') for review and comment. The ICR
describes the nature of the information collection and its expected
costs and burden.
DATES: Comments must be submitted on or before September 8, 2015.
ADDRESSES: Comments regarding the burden estimated or any other aspect
of the information collection, including suggestions for reducing the
burden, may be submitted directly to the Office of Information and
Regulatory Affairs (``OIRA'') in OMB, within 30 days of the notice's
publication, by email at [email protected] Please identify
the comments by OMB Control No. 3038-0092. Please provide the
Commission with a copy of all submitted comments at the address listed
below. Please refer to OMB Reference No. 3038-0092, found on http://reginfo.gov. Comments may also be mailed to the Office of Information
and Regulatory Affairs, Office of Management and Budget, Attention:
Desk Officer for the Commodity Futures Trading Commission, 725 17th
Street NW., Washington, DC 20503, or through the Agency's Web site at
http://comments.cftc.gov. Follow the instructions for submitting
comments through the Web site.
Comments may also be mailed to: Christopher Kirkpatrick, Secretary
of the Commission, Commodity Futures Trading Commission, Three
Lafayette Centre, 1155 21st Street NW., Washington, DC 20581 or by Hand
Deliver/Courier at the same address.
A copy of the supporting statements for the collection of
information discussed above may be obtained by visiting RegInfo.gov.
All comments must be submitted in English, or if not, accompanied by an
English translation. Comments will be posted as received to
www.cftc.gov. You should submit only information that you wish to make
available publicly. If you wish the Commission to consider information
that is exempt from disclosure under the Freedom of Information Act, a
petition for confidential treatment of the exempt information may be
submitted according to the procedures set forth in section 145.9 of the
FOR FURTHER INFORMATION CONTACT: Christopher Hower, Special Counsel,
Division of Clearing and Risk, Commodity Futures Trading Commission,
(202) 418-6703; email: [email protected], and refer to OMB Control No.
Title: Customer Clearing Documentation and Timing of Acceptance for
Clearing (OMB Control No. 3038-0092). This is a request for extension
of a currently approved information collection.
Abstract: Section 4d(c) of the Commodity Exchange Act (``CEA'' or
``Act''), as amended by the Dodd-Frank Act, directs the Commission to
require futures commission merchants (``FCMs'') to implement conflict
of interest procedures that address such issues the Commission
determines to be appropriate. Similarly, section 4s(j)(5), as added by
the Dodd-Frank Act, requires swap dealers (``SDs'') and major swap
participants (``MSPs'') to implement conflict of interest procedures
that address such issues the Commission determines to be appropriate.
Section 4s(j)(5) also requires SDs and MSPs to ensure that any persons
providing clearing activities or making determinations as to accepting
clearing customers are separated by appropriate informational
partitions from persons whose involvement in pricing, trading, or
clearing activities might bias their judgment or contravene the core
principle of open access. Section 4s(j)(6) of the CEA prohibits a swap
dealer and major swap participant from adopting any process or taking
any action that results in any unreasonable restraint on trade or
imposes any material anticompetitive burden on trading or clearing,
unless necessary or appropriate to achieve the purposes of the Act.
Section 2(h)(1)(B)(ii) of the CEA requires that derivatives clearing
organization (``DCO'') rules provide for the non-discriminatory
clearing of swaps executed bilaterally or through an unaffiliated
designated contract market or swap execution facility.
Pursuant to these provisions, the Commission adopted Sec.
1.71(d)(1) relating to FCMs and Sec. 23.605(d)(1) relating to swap
dealers and major swap participants. These regulations prohibit swap
dealers and major swap participants from interfering or attempting to
influence the decisions of affiliated FCMs with regard to the provision
of clearing services and activities and prohibit FCMs from permitting
them to do so. The Commission also adopted Sec. 23.607 to prohibit
swap dealers and major swap participants from adopting any process or
taking any action that results in any unreasonable restraint on trade
or imposes any material anticompetitive burden on trading or clearing,
unless necessary or appropriate to achieve the purposes of the Act. The
Commission adopted Sec. 39.12(b)(2) requiring that derivatives
clearing organization rules provide for the non-discriminatory clearing
of swaps executed bilaterally or through an unaffiliated designated
contract market or swap execution facility.
As discussed further below, the additional information collection
burden arising from the proposed regulations primarily is restricted to
the costs associated with the affected registrants' obligation to
maintain records related to clearing documentation between the customer
and the customer's clearing member.
The information collection obligations imposed by the regulations
are necessary to implement certain provisions of the CEA, including
ensuring that registrants exercise effective risk management and for
efficient operation of trading venues among SDs, MSPs, FCMs, and DCOs.
Burden Statement: The respondent burden for this collection is
estimated to average 16 hours for FCMs and SDs and MSPs, and 40 hours
for DCOs per response. This estimate includes the total time, effort,
or financial resources expended by persons to generate, maintain,
retain, disclose, or provide information to or for a Federal agency.
The total annual cost burden per respondent is estimated to be $736 for
FCMs, SDs, and MSPs and $1,840 for DCOs. The Commission based its
calculation on an hourly wage rate of $46 for a financial manager to
maintain the data.
Respondents/Affected Entities: Swap dealers, Major Swap
Participants, Futures Commission Merchants, and Derivatives Clearing
Estimated Number of Respondents: 239 Swap Dealers, Major Swap
Participants and Futures Commission Merchants, and 14 Derivatives
Estimated Total Annual Burden on Respondents: 3,824 for FCMs, SDs,
and MSPs, and 560 hours for DCOs.
Frequency of Collection: As needed.
Authority: 44 U.S.C. 3501 et seq.
Dated: August 4, 2015.
Robert N. Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2015-19448 Filed 8-6-15; 8:45 am]
BILLING CODE 6351-01-P