Requirements for Insurance - Interest Rate Risk Policy, 12 C.F.R. Part 741.3(b)(5)

Forms and Documents

Document Name	Status
741 Justification Statement 2011 IRR.docx Supporting Statement A	2011-12-09

IC Document Collections

IC ID	Document Title	Status
199951	Requirements for Insurance - Interest Rate Risk Policy, 12 C.F.R. 741.3(b)(5)	New

ICR Details

OMB Control No: 3133-0184	ICR Reference No: 201110-3133-001
Status: Historical Inactive	Previous ICR Reference No:
Agency/Subagency: NCUA	Agency Tracking No:
Title: Requirements for Insurance - Interest Rate Risk Policy, 12 C.F.R. Part 741.3(b)(5)
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: 12/22/2011
	Date Received in OIRA: 10/28/2011
Terms of Clearance: OMB files this comment in accordance with 5 CFR 1320.11( c ). This OMB action is not an approval to conduct or sponsor an information collection under the Paperwork Reduction Act of 1995. This action has no effect on any current approvals. If OMB has assigned this ICR a new OMB Control Number, the OMB Control Number will not appear in the active inventory. For future submissions of this information collection, reference the OMB Control Number provided. Resubmit when proposed rule is finalized.

	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: Proposed 741.3(b)(5) requires credit unions greater than $50 million, and credit unions $10-50 million with total first mortgages and investments >5 years that are 100% net worth, to have a written interest rate risk policy and an effective interest rate risk management program as a condition for insurance. In the appendix, the rule also provides guidance on how to establish interest rate risk policy and an effective program.

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Authorizing Statute(s): US Code: 12 USC 44 Name of Law: Paperwork Reduction Act
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
3133-AD66	Proposed rulemaking	76 FR 16570	03/24/2011

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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: 1

IC Title	Form No.	Form Name
Requirements for Insurance - Interest Rate Risk Policy, 12 C.F.R. 741.3(b)(5)

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Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Changing Regulations

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

Burden Reduction Due to:

Short Statement: Part 741.3(b) of NCUA's regulations addresses financial condition and policies as requirements for insurance and as regulations that apply to both federal credit unions and federally insured credit unions that are not codified elsewhere in NCUA regulations. Part 741.3(b)(5) requires written interest rate risk policies and an effective interest rate risk management (IRR) as part of asset liability management in all credit unions greater than $50 million, and credit unions $10-50 Million with total first mortgages and investments > 5 years that are > 100% net worth. Appendix A of the part provides guidance on how to establish an interest rate risk management policy and effective program.

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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]? No

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: 10/28/2011

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