Incentive-Based Compensation Arrangements

Forms and Documents

Document Name	Status
Incentive-based Compensation supporting statement - May 9 2011.pdf Supporting Statement A	2011-05-10
Statutory Provision.pdf Supplementary Document	2011-05-10

IC Document Collections

IC ID	Document Title	Status
197644	Policies and Procedures	New
197642	General Requirements	New
197641	Determination of Designated Persons	New

ICR Details

OMB Control No: 3235-0683	ICR Reference No: 201105-3235-001
Status: Historical Inactive	Previous ICR Reference No:
Agency/Subagency: SEC	Agency Tracking No: TM-270-240
Title: Incentive-Based Compensation Arrangements
Type of Information Collection: New collection (Request for a new OMB Control Number)	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Comment filed on proposed rule	Conclusion Date: 06/17/2011
	Date Received in OIRA: 05/11/2011
Terms of Clearance: Pursuant to 5 CFR 1320.11(c), OMB files this comment on this information collection request (ICR). In accordance with 5 CFR 1320, OMB is withholding approval at this time. The agency shall examine public comment in response to the NPRM and will include in the supporting statement of the next ICR--to be submitted to OMB at the final rule stage--a description of how the agency has responded to any public comments on the ICR, including comments on maximizing the practical utility of the collection and minimizing the burden. The agency shall also examine and confirm or change the burden hours with regards to a possible transposition error of the record keeping and reporting requirement estimates.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date		36 Months From Approved
Responses	0	0	0
Time Burden (Hours)	0	0	0
Cost Burden (Dollars)	0	0	0

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Abstract: The Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Dodd-Frank Act" or the "Act") (Pub. L. 111-203, section 956, 124 Stat. 1376, 2011-2018 (2010)), which was signed into law on July 21, 2010, requires the Securities and Exchange Commission ("SEC" or "Commission") to jointly prescribe regulations or guidelines with six other Federal financial agencies ("Agencies") with respect to incentive-based compensation practices at covered financial institutions. The proposed rule would require broker-dealers and investment advisers with assets of at least $1 billion ("covered BDs and IAs") to file an annual report with the Commission related to their incentive compensation arrangements, to establish and maintain policies and procedures related to incentive-based compensation, and maintain certain records related to the firm's incentive-based compensation program. In addition, the proposal would require covered BDs and IAs with assets of at least $50 billion to create and maintain records related to those persons designated by a firm's board of directors that individually have the ability to expose the firm to possible losses that are substantial in relation to the institution's size, capital, or overall risk tolerance. The information will be used by SEC staff to determine compliance with Section 956 of the Act.

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Authorizing Statute(s): US Code: 12 USC 5641 Name of Law: The Dodd-Frank Wall Street Reform and Consumer Protection Act
  

Citations for New Statutory Requirements: US Code: 12 USC 5641 Name of Law: he Dodd-Frank Wall Street Reform and Consumer Protection Act

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
2590-AA42	Proposed rulemaking	76 FR 21170	04/14/2011

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 3

IC Title	Form No.	Form Name
General Requirements
Policies and Procedures
Determination of Designated Persons

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Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: This relates to new rules being proposed, and accordingly the information collection requests are new. The annual time burden estimated is 42,590 hours.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Yes

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? No

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 05/11/2011

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