2022-14086
[Federal Register Volume 87, Number 126 (Friday, July 1, 2022)]
[Notices]
[Pages 39505-39506]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-14086]
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COMMODITY FUTURES TRADING COMMISSION
Agency Information Collection Activities Under OMB Review
AGENCY: Commodity Futures Trading Commission.
ACTION: Notice.
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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
Information and Regulatory Affairs (``OIRA''), of 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 August 1, 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://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 OMB Control No. 3038-0024, 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,
[[Page 39506]]
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.
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\1\ 17 CFR 145.9.
FOR FURTHER INFORMATION CONTACT: Jennifer Bauer, Special Counsel,
Market Participants Division, Commodity Futures Trading Commission,
Three Lafayette Centre, 1155 21st Street NW, Washington, DC 20581;
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(202) 418-5472; email: [email protected].
SUPPLEMENTARY INFORMATION:
Title: Regulations and Forms Pertaining to the Financial Integrity
of the Marketplace (OMB Control No. 3038-0024). This is a request for
an extension of a currently approved information collection.
Abstract: The Commission is the independent federal regulatory
agency charged with providing various forms of customer protection so
that users of the commodity markets can be assured of the financial
integrity of the markets and the intermediaries that they employ in
their trading activities. Part 1 of the Commission's regulations
requires, among other things, that commodity brokers--known as futures
commission merchants (``FCMs''), or Introducing Brokers (``IBs''),
comply with certain minimum financial requirements. In order to monitor
compliance with these financial standards, the Commission has required
FCMs and IBs to file financial reports with the Commission and with the
designated self-regulatory organization of which they are members as
well as to report to the Commission should certain financial
requirements drop below prescribed minimums.
In 2008, the U.S. Congress passed the Food, Conservation, and
Energy Act of 2008, Public Law 110-246, 122 Stat. 1651, 2189-2204
(2008), also known as the Farm Bill. The Farm Bill provided the
Commission with new authority with regard to the regulation of off-
exchange retail forex transactions. Among other things, it directed the
Commission to draft rules effectuating registration provisions for a
new category of registrant--the retail foreign exchange dealer
(``RFED''). Under the terms of the legislation, RFEDs are subject to
the same capital requirements as FCMs that are engaged in retail forex
transactions, and, therefore, subject to the same reporting
requirements. Accordingly, this collection was amended to reflect the
financial reporting requirements of the new category of registrant,
RFEDs.
In 2010, the U.S. Congress passed the Wall Street Reform and
Consumer Protection Act (the ``Dodd-Frank Act''), Public Law 111-203,
124 Stat. 1376 (2010), giving the Commission the authority to regulate
certain swap markets and participants in those markets. Section 731 of
the Dodd-Frank Act, amended the Commodity Exchange Act (``CEA''), 7
U.S.C. 1 et seq., to add, as section 4s(e) thereof, provisions
concerning the setting of capital and initial and variation margin
requirements for swap dealers (``SDs'') and major swap participants
(``MSPs''). In 2016 and 2020 respectively, the Commission finalized the
Margin Requirements for Uncleared Swaps for Swap Dealers and Major Swap
Participants rule and the Capital Requirements for Swap Dealers and
Major Swap Participants rule to implement those requirements.
Specifically, such rules include financial reporting and recordkeeping,
as well as application processes for model approval for both capital
and margin models for SDs and MSPs that do not have a prudential
regulator (``Covered Swap Entities'' or ``CSEs'').
Separately, in 2013, the Commission finalized rules in an effort to
prevent unauthorized usage of customer funds by FCMs and RFEDs. The
final rules included modifications to the reporting requirements
required by the Commission which resulted in changes to the financial
statements filed by FCMs and RFEDs, and made some of the recordkeeping
requirements already contained in this OMB Collection Number 3038-0024
into reporting requirements. These rules added additional recordkeeping
requirements by FCMs to assure the segregation of customer funds. This
collection, OMB Control No. 3038-0024, is needed for the Commission to
continue its financial monitoring of its registrants.
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 control number. On April 29, 2022, the Commission
published in the Federal Register notice of the proposed extension of
this information collection and provided 60 days for public comment on
the proposed extension, 87 FR 25468 (``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
burden for this collection to reflect the current number of respondents
and estimated burden hours. The Commission is revising its estimate of
the burden for this collection for approximately 61 FCMs and RFEDs, 53
CSEs and 1,019 IBs. The respondent burden for this collection is
estimated to be as follows:
Estimated Number of Respondents: 1,133.
Estimated Average Burden Hours per Respondent: 251 hours.\2\
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\2\ Rounded off from 250.7714033.
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Estimated Total Annual Burden Hours: 284,124 hours.\3\
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\3\ This figure is derived from 250.7714033 (burden hours per
respondent) x 1,133 respondents = 284,124.
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Frequency of Collection: At various intervals.\4\
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\4\ For example, FCMs have both daily and monthly financial
reporting obligations, annual certified financial and compliance
report obligations, and periodic notice requirements.
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There are no capital costs or operating and maintenance costs
associated with this collection.
(Authority: 44 U.S.C. 3501 et seq.)
Dated: June 27, 2022.
Robert Sidman,
Deputy Secretary of the Commission.
[FR Doc. 2022-14086 Filed 6-30-22; 8:45 am]
BILLING CODE 6351-01-P