[Federal Register Volume 85, Number 95 (Friday, May 15, 2020)]
[Notices]
[Pages 29447-29449]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-10467]
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FEDERAL RESERVE SYSTEM
Agency Information Collection Activities: Announcement of
Temporary Approval by the Board Under Delegated Authority and
Submission to OMB
AGENCY: Board of Governors of the Federal Reserve System.
[[Page 29448]]
ACTION: Temporary approval of information collection, request for
comment.
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SUMMARY: The Board of Governors of the Federal Reserve System (Board)
has temporarily revised the Reporting Requirements Associated with
Emergency Lending Under Section 13(3) (FR A; OMB No. 7100-0373),
pursuant to the authority delegated to the Board by the Office of
Management and Budget (OMB).
DATES: Comments must be submitted on or before July 14, 2020.
ADDRESSES: You may submit comments, identified by FR A, by any of the
following methods:
Agency Website: https://www.federalreserve.gov/. Follow
the instructions for submitting comments at https://www.federalreserve.gov/apps/foia/proposedregs.aspx.
Email: [email protected]. Include the OMB
number in the subject line of the message.
Fax: (202) 452-3819 or (202) 452-3102.
Mail: Ann E. Misback, Secretary, Board of Governors of the
Federal Reserve System, 20th Street and Constitution Avenue NW,
Washington, DC 20551.
All public comments are available from the Board's website at
https://www.federalreserve.gov/apps/foia/proposedregs.aspx as
submitted, unless modified for technical reasons or to remove
personally identifiable information at the commenter's request.
Accordingly, comments will not be edited to remove any identifying or
contact information. Public comments may also be viewed electronically
or in paper in Room 146, 1709 New York Avenue NW, Washington, DC 20006,
between 9:00 a.m. and 5:00 p.m. on weekdays. For security reasons, the
Board requires that visitors make an appointment to inspect comments.
You may do so by calling (202) 452-3684. Upon arrival, visitors will be
required to present valid government-issued photo identification and to
submit to security screening in order to inspect and photocopy
comments.
Additionally, commenters may send a copy of their comments to the
Office of Management and Budget (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.
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. 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.
A copy of the Paperwork Reduction Act (PRA) OMB submission,
including the reporting form and instructions, supporting statement,
and other documentation will be placed into OMB's public docket files.
These documents also are available on the Federal Reserve Board's
public website at https://www.federalreserve.gov/apps/reportforms/review.aspx or may be requested from the agency clearance officer,
whose name appears above.
SUPPLEMENTARY INFORMATION: On June 15, 1984, OMB delegated to the Board
authority under the PRA to approve and assign OMB control numbers to
collections of information conducted or sponsored by the Board. In
exercising this delegated authority, the Board is directed to take
every reasonable step to solicit comment. In determining whether to
approve a collection of information, the Board will consider all
comments received from the public and other agencies. Pursuant to its
delegated authority, the Board may temporarily approve a revision to a
collection of information, without providing opportunity for public
comment, if the Board determines that a change in an existing
collection must be instituted quickly and that public participation in
the approval process would defeat the purpose of the collection or
substantially interfere with the Board's ability to perform its
statutory obligation.
As discussed below, the Board has made certain temporary revisions
to the FR A information collection. The Board's delegated authority
requires that the Board, after temporarily approving a collection,
publish a notice soliciting public comment. Therefore, the Board is
also inviting comment on a proposal to extend the FR A information
collection for three years, with these revisions. The Federal Register
notice related to the FR A that was published March 2, 2020, is
superseded by this notice.
Request for Comment on Information Collection Proposal
The Board invites public comment on the following information
collection, which is being reviewed under authority delegated by the
OMB under the PRA. Comments are invited on the following:
a. Whether the proposed collection of information is necessary for
the proper performance of the Board's functions, including whether the
information has practical utility;
b. The accuracy of the Board's estimate of the burden of the
proposed information collection, including the validity of the
methodology and assumptions used;
c. Ways to enhance the quality, utility, and clarity of the
information to be collected;
d. Ways to minimize the burden of information collection on
respondents, including through the use of automated collection
techniques or other forms of information technology; and
e. Estimates of capital or startup costs and costs of operation,
maintenance, and purchase of services to provide information.
At the end of the comment period, the comments and recommendations
received will be analyzed to determine the extent to which the Board
should modify the proposal.
Approval Under OMB Delegated Authority of the Temporary Revision of
the Following Information Collection:
Report title: Reporting Requirements Associated with Emergency
Lending Under Section 13(3).
Agency form number: FR A.
OMB control number: 7100-0373.
Frequency: Event-generated.
Respondents: Entities or persons borrowing under an emergency
lending program or facility established pursuant to section 13(3) of
the Federal Reserve Act.
Estimated number of respondents: FR A-1: 11,281; FR A-2: 6,449; FR
A-3: 13,526.
Estimated average hours per response: FR A-1: 8 hours; FR A-2: 40
hours; FR A-3, Lender certifications: 151 hours; Borrower
certifications: 8 hours.
Estimated annual burden hours: 1,032,134.
General description of report: The Board's Regulation A (12 CFR
part 201) establishes policies and procedures with respect to emergency
lending under section 13(3) of the Federal Reserve Act, as required by
sections 1101 and 1103 of the Dodd-Frank Wall Street Reform and
Consumer Protection Act. These policies and procedures include (1) a
certification that a participant in a lending facility is not
insolvent;\1\ and (2) a certification that a participant in a lending
facility is unable to secure adequate credit accommodations from other
banking institutions.\2\ Currently,
[[Page 29449]]
the Board's information collection for Regulation A, the FR A, includes
only the former certification; the latter was unintentionally omitted.
In addition to the two certifications in Regulation A that apply to all
emergency lending authorized under section 13(3), the Board may
establish additional certification requirements for an individual
emergency lending facility. Depending on the requirements of a
particular lending facility, there may be a need to vary the
certifications, depending on the facts and circumstances.
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\1\ See 12 CFR 201.4(d)(5)(iv)(A).
\2\ See 12 CFR 201.4(d)(8)(ii).
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The FR A information collection is being revised to contain three
parts. The first part of the FR A, the FR A-1, pertains to reporting
requirements included in Regulation A, described above. The second part
of the FR A, the FR A-2, pertains to reporting requirements associated
with individual facilities that are related to requirements of the
Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The
third part of the FR A, the FR A-3, pertains to reporting requirements
specific to the Main Street Expanded Loan Facility, the Main Street New
Loan Facility, and the Main Street Priority Loan Facility
(collectively, the ``Main Street Lending Program'').
Legal authorization and confidentiality: The FR A is authorized
pursuant to section 13(3) of the Federal Reserve Act, which sets out
requirements for emergency lending. The obligation to respond is
required to obtain a benefit.
The information collected under FR A may be kept confidential under
exemption 4 of the Freedom of Information Act, which protects
commercial or financial information obtained from a person that is
privileged or confidential.
Current actions: The Board has revised the FR A to reflect
reporting requirements under facilities created under section 13(3).
The newly-created facilities include the Commercial Paper Funding
Facility (CPFF), Main Street Lending Program, Money Market Mutual Fund
Liquidity Facility (MMLF), Municipal Liquidity Facility (MLF), Paycheck
Protection Program Liquidity Facility (PPPLF), Primary Dealer Credit
Facility (PDCF), Primary Market Corporate Credit Facility (PMCCF),
Secondary Market Corporate Credit Facility (SMCCF), and Term Asset-
Backed Securities Loan Facility (TALF).
The FR A-1 is being revised to include a second certification,
which was inadvertently omitted previously and serves as evidence that
a person or entity is unable to secure adequate credit accommodations
from other banking institutions. The FR A-2 is a new reporting
requirement within the FR A collection established through the adoption
of the term sheets for the Main Street Lending Program, PMCCF, SMCCF,
and TALF. Participants in the facilities must certify that they are
eligible to engage in a transaction under the facility, including that
the entity is not a covered entity under section 4019 of the CARES Act.
The FR A-3 is a new reporting requirement within the FR A collection
established through the adoption of the term sheets for the Main Street
Lending Program. An eligible lender under MSELF must certify that the
methodology used for calculating the eligible borrower's adjusted 2019
earnings before interest, taxes, depreciation, and amortization
(EBITDA), in order to determine the maximum loan size, is the
methodology the eligible lender previously used for adjusting EBITDA
when originating or amending the eligible loan on or before April 24,
2020. An eligible lender under MSNLF or MSPLF must certify that the
methodology used for calculating the eligible borrower's adjusted 2019
EBITDA in order to determine maximum loan size is the methodology it
has previously used for adjusting EBITDA when extending credit to the
eligible borrower or similarly situated borrowers on or before April
24, 2020. An eligible borrower must certify that it has a reasonable
basis to believe that, as of the date of entering into the relevant
transaction and after entering into that transaction, it has the
ability to meet its financial obligations for at least the next 90 days
and does not expect to file for bankruptcy during that time period. All
eligible lenders in the Main Street Lending Program facilities must
collect certifications from borrowers.
Board of Governors of the Federal Reserve System, May 12, 2020.
Michele Taylor Fennell,
Assistant Secretary of the Board.
[FR Doc. 2020-10467 Filed 5-14-20; 8:45 am]
BILLING CODE 6210-01-P