Recordkeeping Provisions Associated with Guidance on Leveraged Lending

Forms and Documents

Document Name	Status
FR4203_20160613_omb.pdf Supporting Statement A	2016-06-13

IC Document Collections

IC ID	Document Title	Status
201728	Maintain guidance provisions Other-Interagency Guidance on Leveraged Lending	Modified

ICR Details

OMB Control No: 7100-0354	ICR Reference No: 201606-7100-008
Status: Historical Active	Previous ICR Reference No: 201511-7100-001
Agency/Subagency: FRS	Agency Tracking No: FR 4203
Title: Recordkeeping Provisions Associated with Guidance on Leveraged Lending
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Delegated
OIRA Conclusion Action: Approved without change	Conclusion Date: 06/13/2016
	Date Received in OIRA: 06/13/2016
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	06/30/2019	36 Months From Approved	06/30/2016
Responses	39	0	39
Time Burden (Hours)	29,422	0	29,422
Cost Burden (Dollars)	0	0	0

---

Abstract: The interagency guidance outlines high-level principles related to safe and sound leveraged lending activities, including underwriting considerations, assessing and documenting enterprise value, risk management expectations for credits awaiting distribution, stress testing expectations and portfolio management, and risk management expectations. This guidance applies to all financial institutions substantively engaged in leveraged lending activities supervised by the Board, the Federal Deposit Insurance Corporation (FDIC), and the Office of the Comptroller of the Currency (OCC) (the agencies). The agencies identified certain aspects of the proposed guidance that constitute a collection of information. In particular, these aspects are the provisions that state a banking organization should (1) have underwriting policies for leveraged lending, including stress testing procedures for leveraged credits, (2) have risk management policies, including stress testing procedures for pipeline exposures, and (3) have policies and procedures for incorporating the results of leveraged credit and pipeline stress tests into the firm’s overall stress testing framework.

---

Authorizing Statute(s): US Code: 12 USC 1844(c) Name of Law: Bank Holding Company Act
   US Code: 12 USC 3105(c)(2) Name of Law: International Banking Act
   US Code: 12 USC 602 and 611a Name of Law: Federal Reserve Act
   US Code: 12 USC 1467a(b)(3) Name of Law: Home Owners’ Loan Act
   US Code: 12 USC 248(a)(2) Name of Law: Federal Reserve Act
  

Citations for New Statutory Requirements: None

---

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

---

Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	81 FR 13791	03/15/2016
30-day Notice:	Federal Register Citation:	Citation Date:
	81 FR 33672	05/27/2016
Did the Agency receive public comments on this ICR? No

---

Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Maintain guidance provisions

---

ICR Summary 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	39	39	0	0	0	0
Annual Time Burden (Hours)	29,422	29,422	0	0	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	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:

---

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

---

Common Form ICR:  No

---

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: 06/13/2016

---