Rule 17g-5 Conflicts of Interest

Forms and Documents

Forms and supporting documents for this ICR

Document	Type	Status	Availability
Rule 17g-5 Supporting Statement (Final).docx	Supporting Statement A	Uploaded 2014-09-16	Available

IC Document Collections

Information collection document groups

IC ID	Collection	Type	Status	Form
213119	NRSRO exemption request		New
213118	NRSRO conflict policies update		New
213116	Arranger form upload		New
213115	NRSRO template redrafting		New
213114	Arranger ongoing disclosure		New
202290	Annual Certification		Modified
202289	Arranger transaction disclosures		Modified
202288	Arranger disclosure systems		Modified
188139	NRSRO structured finance ratings disclosure		Modified

ICR Details

OMB Control No: 3235-0649	ICR Reference No: 201409-3235-019
Status: Historical Active	Previous ICR Reference No: 201205-3235-001
Agency/Subagency: SEC	Agency Tracking No: TM-270-581
Title: Rule 17g-5 Conflicts of Interest
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Emergency	Approval Requested By: 11/10/2014
OIRA Conclusion Action: Approved without change	Conclusion Date: 11/19/2014
	Date Received in OIRA: 09/17/2014
Terms of Clearance:

table that charts list comparision

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	05/31/2015	6 Months From Approved	11/30/2015
Responses	3,620	0	15,290
Time Burden (Hours)	278,052	0	168,900
Cost Burden (Dollars)	67,000	0	0

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Abstract: Rule 17g-5 implements certain statutory provisions of the Credit Rating Agency Reform Act of 2006 ("Rating Agency Act") by prohibiting, or requiring the managemnt and disclosure of, any potential conflict of interest relating to the issuance of credit ratings by a nationally recognized statistical rating organization or "NRSRO". This collection of information is necessary by addressing potential practices that could impair the objectivity and the quality of a credit rating.

Emergency Justfication: When the amendments to Rule 17g-5 rule were first proposed in 2011, the accompanying Federal Register release indicated that the proposed amendments “do not contain a collection of information requirement within the meaning of the PRA.” Since that time, the Commission has carefully re-considered the operation of these rules and has determined that these amendments would in fact supplement and modify the existing collection of information contained in Rule 17g-5. Accordingly, the Commission included PRA estimates in the Federal Register release in which it adopted the final amendments to the rule. Because of this revised approach, the attached supporting statement includes PRA burdens that have not previously been reviewed by OMB. Because a PRA submission has not previously been made in connection with these amendments, the Commission is requesting approval of the revised collection of information for a six-month period under the emergency review process. Approval of this request would be consistent with the effective date of the amended rules while providing sufficient time for the Commission to request approval of an extension of this collection of information for a full three-year period using the standard review process, including publication in the Federal Register of all applicable requests for public comment.

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Authorizing Statute(s): US Code: 15 USC 780-7 Name of Law: Credit Rating Agency Reform Act of 2006
  

Citations for New Statutory Requirements: US Code: 15 USC 780-7 Name of Law: Credit rating Agency Reform Act

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
3235-AL15	Final or interim final rulemaking	79 FR 55077	09/15/2014

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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: 9

table that charts list of burden

IC Title	Form No.	Form Name
NRSRO structured finance ratings disclosure
Arranger disclosure systems
Arranger transaction disclosures
NRSRO template redrafting
Arranger form upload
NRSRO conflict policies update
Arranger ongoing disclosure
NRSRO exemption request
Annual Certification

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ICR Summary of Burden

table that charts list of burden

	Total Approved	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	3,620	15,290	0	498	-12,168	0
Annual Time Burden (Hours)	278,052	168,900	0	235,272	-126,120	0
Annual Cost Burden (Dollars)	67,000	0	0	67,000	0	0

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: Yes

Burden Reduction Due to: Changing Regulations

Short Statement: As detailed in the supporting statement, the Commission has added provisions to Rule 17g-5 that contain information collection requirements under the Paperwork Reduction Act. The Commission has also revised previously approved one-time burdens that have been incurred.

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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: 09/17/2014

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