The information collection is necessary to enable the Federal Home Loan Banks (Banks) and, where appropriate, the Federal Housing Finance Agency (FHFA) to determine if a respondent satisfies the statutory and regulatory requirements to be certified initially and maintain its status as a member eligible to obtain Bank advances. Respondents include financial institutions that are or are eligible to become Bank members.
US Code:
12 USC 1424
Name of Law: Federal Home Loan Bank Act, as amended
FHFA has increased the estimated total annual burden hours to 2,351 from the 2,262 that were shown in the Supporting Statement submitted in connection with the 2013 renewal of this information collection. Despite the estimated number of membership applications per year dropping slightly from 157 to 151, the overall burden estimate for the Membership Applications IC increased from 1,837 hours to 2,265 hours due to a higher estimated processing time per application. FHFA adopted a higher per-application estimate because a greater number of institutions applying for Bank membership are insurance companies, the applications for which take a longer time to prepare than those for depository institutions due to slightly different eligibility and application requirements. In addition, the burden estimate for the Requests for Transfer of Membership to Another Bank District IC increased from 1.5 hours to 70 hours due to a greater estimated number of membership transfers (which, in part, are due to a higher number of existing Bank members merging with members of other Banks or with non-members).
Counterbalancing these increases was a decrease from 413 hours to 6 hours in the overall burden estimate for the Notices of Intent to Withdraw from Membership IC. This was due to a dramatic decrease in the estimated number of members requesting to withdraw from Bank membershipâfrom 276 to 4. FHFA made this adjustment after a more in-depth review of the data indicated that, of those Bank members whose membership has been terminated in recent years, the vast majority were merged out of existenceâa process that does not involve the preparation of a notice of intent to withdraw.
The estimated burden on FHFA under Item #14 decreased from 481 hours to 142 hours. This decrease is due primarily to the fact that the updating of FHFAâs electronic membership database system has enabled staff to track membership application approvals and other Bank membership activity much more efficiently.
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.
81 FR 95593 12-28-16 2016-31383.pdf
Membership Applications