This final rule implements Title III
of the Terrorism Risk Insurance Program Reauthorization Act of 2015
(‘‘TRIPRA’’), which exempts from the Agencies’ swap margin rules
non-cleared swaps and non-cleared security-based swaps in which a
counterparty qualifies for an exemption or exception from clearing
under the Dodd-Frank Act. This final rule is a companion rule to
the joint final rule adopted by the Agencies to implement section
731 and 764 of the Dodd-Frank Act. The final rule implements
statutory language that requires certain swaps and security-based
swaps of certain counterparties to qualify for a statutory
exemption or exception from clearing in order to not be subject to
the initial and variation margin requirements of the joint final
rule. The reporting requirements are found in § 349.1(d) pursuant
to cross-references to other statutory provisions that set forth
the conditions for an exemption from clearing. For example, TRIPRA
provides that the initial and variation margin requirements of the
joint final rule shall not apply to a non-cleared swap or
non-cleared security-based swap in which a counterparty qualifies
for an exception under section 2(h)(7)(A) of the Commodity Exchange
Act or section 3C(g)(1) of the Securities Exchange Act, which
includes certain reporting requirements established by the CFTC or
the SEC.39 Certain other counterparties that are exempt from
clearing pursuant to other provisions are also required to meet
these reporting requirements to notify the CFTC or the SEC.40 Thus,
in certain cases, the statutory exemption from clearing requires a
notification to the CFTC or SEC. These counterparties may be
required to meet the same notification requirements that are
required for an exception or exemption from clearing in order to
qualify for an exception or exemption pursuant to § 349.1(d) from
the initial and variation margin requirements established by the
Agencies under sections 731 and 764 of the Dodd-Frank Act. Since
this final rule serves to implement exemptions and exceptions by
reference to existing statutory provisions, § 349.1(d) imposes new
reporting requirements that are required under the relevant
statutory provisions.
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:
(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;
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.
[3064-0204] 30 Day Notice - 85 FR 895 8 Jan 2020.pdf
SPST-0204 Margin and Capital Requirements for Covered Swap Entities 2020 Renewal FINAL.docx
? 349.11(b)(1) Posting Initial Margin