The Dodd-Frank Wall Street Reform and
Consumer Protection Act (the Dodd-Frank Act) was enacted on July
21, 2010. Section 619 of the Dodd-Frank Act, also known as the
Volcker Rule, adds a new section 13 to the Bank Holding Company Act
of 1956 (BHC Act) that generally prohibits any banking entity from
engaging in proprietary trading or from investing in, sponsoring,
or having certain relationships with a hedge fund or private equity
fund (together, a covered fund). Section 13 of the BHC Act also
provides that nonbank financial companies designated by the
Financial Stability Oversight Council (the “Council”) that engage
in proprietary trading activities or make investments in covered
funds may be made subject by the appropriate Agency or Agencies to
additional capital requirements or quantitative limits. In December
2013, the Federal Reserve, OCC, FDIC, SEC and CFTC (the “Agencies”)
approved final regulations implementing the provisions of section
13 of the BHC Act (the “final rule”). The restrictions and
prohibitions of section 13 of the BHC Act became effective on July
21, 2012, however, the statute provided banking entities a grace
period until July 21, 2014, to conform their activities and
investments to the requirements of the statute and any rule issued
by the Agencies. The statute also granted exclusively to the
Federal Reserve authority to provide banking entities additional
time to conform or divest their investments and activities covered
by section 13. The statute provides that the Federal Reserve may,
by rule or order, extend the conformance period “for not more than
one year at a time,” up to three times, if in the judgment of the
Federal Reserve, an extension is consistent with the purposes of
section 13 and would not be detrimental to the public interest.
This would allow extensions of the conformance period until July
21, 2017. Section 13 also permits the Federal Reserve, upon
application by a banking entity, to provide up to an additional
five-year transition period to conform certain illiquid funds. In
February 2011, the Federal Reserve adopted a final rule to
implement the conformance period provisions of section 13
(“Conformance Rule”) during which banking entities and nonbank
financial companies supervised by the Federal Reserve must bring
their activities and investments into compliance with the Volcker
Rule and implementing regulations. The information collections
associated with the Conformance Rule are located in sections
225.181(c) and 225.182(c) of Regulation Y. Sections 225.181(c) and
225.182(c) permit a banking entity and nonbank financial company,
respectively, to request an extension of time to conform their
activities to the Volcker Rule. The Conformance Rule became
effective April 1, 2011.
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.
Reg Y-1_201510_83c.pdf
Reporting Requirements Associated with Regulation Y (Extension of Time to Conform to the Volcker Rule)