[Federal Register Volume 87, Number 81 (Wednesday, April 27, 2022)]
[Pages 24972-24973]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-09020]



Agency Information Collection Activities Under OMB Review

AGENCY: Commodity Futures Trading Commission.

ACTION: Notice.


SUMMARY: In compliance with the Paperwork Reduction Act of 1995 
(``PRA''), this notice announces that the information collection 
request abstracted below has been forwarded to the Office of 
Information and Regulatory Affairs (``OIRA''), of the Office of 
Management and Budget (``OMB''), for review and comment. The 
information collection request describes the nature of the information 
collection and its expected costs and burden.

DATES: Comments must be submitted on or before May 27, 2022.

ADDRESSES: Written comments and recommendations for the proposed 
information collection should be submitted within 30 days of this 
notice's publication to OIRA, at https://www.reginfo.gov/public/do/PRAMain. Please find this particular information collection by 
selecting ``Currently under 30-day Review--Open for Public Comments'' 
or by using the website's search function. Comments can be entered 
electronically by clicking on the ``comment'' button next to the 
information collection on the ``OIRA Information Collections Under 
Review'' page, or the ``View ICR--Agency Submission'' page. A copy of 
the supporting statement for the collection of information discussed 
herein may be obtained by visiting https://www.reginfo.gov/public/do/PRAMain.
    In addition to the submission of comments to https://www.reginfo.gov as indicated above, a copy of all comments submitted to 
OIRA may also be submitted to the Commodity Futures Trading Commission 
(the ``Commission'' or ``CFTC'') by clicking on the ``Submit Comment'' 
box next to the descriptive entry for these collections, at https://comments.cftc.gov/FederalRegister/PublicInfo.aspx.
    Or by either of the following methods:
     Mail: Christopher Kirkpatrick, Secretary of the 
Commission, Commodity Futures Trading Commission, Three Lafayette 
Centre, 1155 21st Street NW, Washington, DC 20581.
     Hand Delivery/Courier: Same as Mail above.
    All comments must be submitted in English, or if not, accompanied 
by an English translation. Comments submitted to the Commission should 
include only information that you wish to make available publicly. If 
you wish the Commission to consider information that you believe 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 established in Sec.  145.9 of the 
Commission's regulations.\1\ The Commission reserves the right, but 
shall have no obligation, to review, pre-screen, filter, redact, refuse 
or remove any or all of your submission from https://www.cftc.gov that 
it may deem to be inappropriate for publication, such as obscene 
language. All submissions that have been redacted or removed that 
contain comments on the merits of the ICR will be retained in the 
public comment file and will be considered as required under the 
Administrative Procedure Act and other applicable laws, and may be 
accessible under the Freedom of Information Act.

    \1\ 17 CFR 145.9.

FOR FURTHER INFORMATION CONTACT: Jacob Chachkin, Associate Chief 
Counsel, Market Participants Division, Commodity Futures Trading 
Commission, (202) 418-5496; email: [email protected]

    Title: Confirmation, Portfolio Reconciliation, Portfolio 
Compression, and Swap Trading Relationship Documentation Requirements 
for Swap Dealers and Major Swap Participants (OMB Control Nos. 3038-
0068, 3038-0083, 3038-0088). This is a request for an extension of 
currently approved information collections.\2\

    \2\ An agency may not conduct or sponsor, and a person is not 
required to respond to, a collection of information unless it 
displays a currently valid OMB conrol number. See 46 FR 63035 (Dec. 
30, 1981).

    Abstract: On September 11, 2012 the Commission adopted Commission 
Regulations 23.500-23.505 (Confirmation, Portfolio Reconciliation, 
Portfolio Compression, and Swap Trading Relationship Documentation 
Requirements for Swap Dealers and Major Swap Participants) \3\ under 
sections 4s(f), (g) and (i) \4\ of the Commodity Exchange Act 
(``CEA''). Commission regulations 23.500-23.505 require, among other 
things, that swap dealers (``SDs'') \5\ and major swap participants 
(``MSPs'') \6\ develop and

[[Page 24973]]

retain written swap trading relationship documentation. The regulations 
also establish requirements for SDs and MSPs regarding swap 
confirmation, portfolio reconciliation, and portfolio compression. 
Under the regulations, SDs and MSPs are obligated to maintain records 
of the policies and procedures required by the rules.\7\

    \3\ 17 CFR 23.500-23.505.
    \4\ 7 U.S.C. 6s(f), (g) & (i).
    \5\ For the definition of SD, see Section 1a(49) of the CEA and 
Commission regulation 1.3; 7 U.S.C. 1a(49) and 17 CFR 1.3.
    \6\ For the definitions of MSP, see Section 1a(33) of the CEA 
and Commission regulation 1.3; 7 U.S.C. 1a(33) and 17 CFR 1.3.
    \7\ SDs and MSPs are required to maintain all records of 
policies and procedures in accordance with Commission regulations 
23.203 and, by extension, 1.31, including policies, procedures, and 
models used for eligible master netting agreements and custody 
agreements that prohibit custodian of margin from re-hypothecating, 
repledging, reusing, or otherwise transferring the funds held by the 
custodian. See 17 CFR 1.31 and 23.203.

    Confirmation, portfolio reconciliation, and portfolio compression 
are important post-trade processing mechanisms for reducing risk and 
improving operational efficiency. The information collection 
obligations imposed by the regulations are necessary to ensure that 
each SD and MSP maintains the required records of their business 
activities and an audit trail sufficient to conduct comprehensive and 
accurate trade reconstruction. The information collections contained in 
the regulations are also essential to ensuring that SDs and MSPs 
document their swaps, reconcile their swap portfolios to resolve 
discrepancies and disputes, and wholly or partially terminate some or 
all of their outstanding swaps through regular portfolio compression 
exercises. The collections of information are mandatory.
    On February 23, 2022, the Commission published in the Federal 
Register notice of the proposed extension of these information 
collections and provided 60 days for public comment on the proposed 
extension, 87 FR 10175 (``60-Day Notice'') The Commission did not 
receive any relevant comments on the 60-Day Notice.
    Burden Statement: The Commission is revising its estimate of the 
burdens for the collections to reflect the current number of 
respondents and estimated burden hours. The respondent burdens for the 
collections are estimated to be as follows:

 OMB Control No. 3038-0068 (Confirmation, Portfolio 
Reconciliation, and Portfolio Compression Requirements for Swap Dealers 
and Major Swap Participants)

    Number of Registrants: 107.
    Estimated Average Burden Hours per Registrant: 1,274.5.
    Estimated Aggregate Burden Hours: 136,371.5.
    Frequency of Recordkeeping: As applicable.

 OMB Control No. 3038-0083 (Orderly Liquidation Termination 
Provision in Swap Trading Relationship Documentation for Swap Dealers 
and Major Swap Participants)

    Number of Registrants: 107.
    Estimated Average Burden Hours per Registrant: 270.
    Estimated Aggregate Burden Hours: 28,890.
    Frequency of Recordkeeping: As applicable.

 OMB Control No. 3038-0088 (Swap Trading Relationship 
Documentation Requirements for Swap Dealers and Major Swap 

    Number of Registrants: 107.
    Estimated Average Burden Hours per Registrant: 6,284.
    Estimated Aggregate Burden Hours: 672,388.
    Frequency of Recordkeeping: As applicable.
    There are no capital costs or operating and maintenance costs 
associated with this collection.

(Authority: 44 U.S.C. 3501 et seq.)

    Dated: April 22, 2022.
Robert Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2022-09020 Filed 4-26-22; 8:45 am]