Disclosure and Retention of Certain Information Relating to Cleared Swaps Customer Collateral

Forms and Documents

Document Name	Status
2023 30-Day FRN 3038-0091 (88 FR 77563).pdf Supplementary Document	2023-11-13
2023 60-Day FRN 3038-0091 (88 FR 59510).pdf Supplementary Document	2023-11-06
2023 Supporting Statement 3038-0091.docx Supporting Statement A	2023-11-06

IC Document Collections

IC ID	Document Title	Status
198102	Disclosure and Retention of Certain Information Relating to Cleared Swaps Customer Collateral	Modified

ICR Details

OMB Control No: 3038-0091	ICR Reference No: 202308-3038-001
Status: Received in OIRA	Previous ICR Reference No: 202009-3038-007
Agency/Subagency: CFTC	Agency Tracking No:
Title: Disclosure and Retention of Certain Information Relating to Cleared Swaps Customer Collateral
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 11/13/2023

	Requested	Previously Approved
Expiration Date	36 Months From Approved	01/31/2024
Responses	112,425	141,258
Time Burden (Hours)	25,050	25,890
Cost Burden (Dollars)	0	2,585,021

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Abstract: 7 USC 6d(f) imposes requirements on futures commission merchants (“FCMs”) and derivatives clearing organizations (“DCOs”) regarding the safeguarding and use of collateral provided my customers to serve as margin for cleared swaps transactions. 17 CFR Part 22 contains implementing regulations. Sections 22.2(g), 22.5(a), 22.11, 22.12, and 22.16 impose recordkeeping and third-party disclosure requirements necessary for the effective operation of the statutory and regulatory scheme. Section 22.16 requires that each FCM who has cleared swaps customers disclose to each customer once each year the governing provisions, as established by DCO rules or agreements between collecting and depositing FCMs, relating to use of customer collateral, transfer, neutralization of the risks, or liquidation of cleared swaps in the event of a default by the FCM. The purpose of this reporting requirement is to ensure that cleared swaps customers are informed of the procedures to which accounts containing their swaps collateral may be subject in the event of a default by their FCM.

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Authorizing Statute(s): US Code: 7 USC 6d(f) Name of Law: CEA
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	88 FR 59510	08/29/2023
30-day Notice:	Federal Register Citation:	Citation Date:
	88 FR 77563	11/13/2023
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
Disclosure and Retention of Certain Information Relating to Cleared Swaps Customer Collateral

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ICR Summary of Burden

	Total Request	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	112,425	141,258	0	0	-28,833	0
Annual Time Burden (Hours)	25,050	25,890	0	0	-840	0
Annual Cost Burden (Dollars)	0	2,585,021	0	0	-2,585,021	0

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: There are no program changes. In connection with this renewal, the Commission has updated its estimates to reflect the current number of affected respondents. Specifically, the Commission’s estimate of the total number of covered respondents has been reduced from 78 to 75 (60 FCMs and 15 DCOs). As a result of this change, the overall burden estimate under this clearance has been reduced from 25,890 to 25,050 annual burden hours. In addition, during the prior renewal cycle, the labor costs associated with reported burden hours were entered into ROCIS as a separate cost burden ($). Per the instructions on page 40 of the ROCIS User Guide, which provides that agencies "do not report as a dollar cost any burden reported in hours" on the ICR Summary of Burden worksheet, the entry for these labor costs associated with the reported burden hours have been removed. The labor costs associated with the reported burden hours are provided in Attachment A of the Supporting Statement. There are no additional capital costs or operating and maintenance costs associated with this collection.

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Annual Cost to Federal Government: $0

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

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     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? No

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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: 11/13/2023

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