The Federal Deposit Insurance Act (FDI
Act) and the International Lending Supervision Act of 1983 (ILSA)
require the OCC to have risk-based capital requirements and to
ensure that banks maintain adequate capital. The OCC uses these
data to assess and monitor the levels and components of each
reporting entity’s risk-based capital requirements and the adequacy
of the entity’s capital under the framework. These data also allow
the OCC to evaluate the quantitative impact and competitive
implications of the framework on individual respondents and on the
financial industry. The reporting schedules also assist banks in
understanding expectations surrounding the system development
necessary for implementation and validation of the framework. The
submitted data that is released publicly also provide other
interested parties with information about banks’ risk-based
capital. Finally, the submitted data supplement on-site examination
processes.
The Office of the
Comptroller of the Currency (OCC), in coordination with the Board
of Governors of the Federal Reserve System (Board), and the Federal
Deposit Insurance Corporation (FDIC), (collectively, the
"agencies"), each of which is submitting a separate request, hereby
requests approval April 2, 2020, for revisions to the following
currently approved collection of information pursuant to the Office
of Management and Budget's (OMB) Paperwork Reduction Act (PRA)
emergency processing procedures at 5 CFR § 1320.13: Consolidated
Reports of Condition and Income (Call Report) - FFIEC 031, FFIEC
041, and FFIEC 051 [OMB Nos. 7100-0036 (Board), 3064-0052 (FDIC),
and 1557-0081 (OCC)] Regulatory Capital Reporting for Institutions
Subject to the Advanced Capital Adequacy Framework – FFIEC 101 [OMB
Nos. 7100-0319 (Board), 3064-0159 (FDIC), and 1557-0239 (OCC)]. The
OCC has determined that (1) the collection of information within
the scope of this request is needed prior to the expiration of time
periods established under 5 C.F.R. § 1320.12; (2) this collection
of information is essential to the mission of the OCC; and (3) the
OCC cannot reasonably comply with the normal clearance procedures
because an unanticipated event has occurred and the use of normal
clearance procedures is reasonably likely to prevent or disrupt the
collection of information. Summary of Revisions In response to the
recent market disruptions due to COVID-19, the agencies have issued
three interim final rules to encourage banks to continue lending to
households and businesses. These rules all affect the calculation
of risk-based capital for banking organizations effective for the
first quarter of 2020, for the Call Report quarter ending March 31,
2020, and for advanced approaches and Category III banking
organizations filing the FFIEC 101. While the Call Report would
typically be due by April 30, 2020, the agencies are permitting
institutions an additional 30-day grace period to file due to the
ongoing disruptions from COVID-19. A summary of the three rules and
the related reporting changes are provided in the attached
memorandum. All three rules affect instructions for data items on
the Call Report, while one rule also affects instructions for data
items on the FFIEC 101. In addition, on March 27, 2020, the
Coronavirus Aid, Relief, and Economic Security Act (CARES Act)
became law. Section 4013 of the CARES Act permits banking
organizations flexibility in modifying loans related to COVID-19.
The statute also permits the agencies to collect information about
the volume of loans modified under this section. Since the agencies
anticipate a significant amount of activity related to these
modifications will occur in the second quarter, the agencies are
requesting emergency clearance to add a new reporting item for
these loans. A new data item would be added to the Call Report
forms starting in the second quarter of 2020. The revisions to this
information collection through interim final rules prevent the OCC
from clearing the collection under 5 C.F.R. § 1320.11, which covers
only collections of information contained in proposed rules. As
noted in 5 C.F.R. § 1320.5(c)(1), the OCC must clear the collection
under 5 C.F.R. § 1320.10, which relates to information collections
not contained in proposed rules or current rules. There is
insufficient time to obtain clearance under 5 C.F.R. § 1320.10
prior to the rules’ effective dates in March 2020. Therefore, the
OCC is requesting emergency clearance for these revisions. The
agencies plan to request comment on the revisions after the
emergency clearance through the standard PRA process, including
both 60-day and 30-day notices with requests for comment.
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.
Form FFIEC 101 Advanced Capital Adequacy Framework Regulatory Reporting Requirements
1557-0239 FFIEC 101 Supporting Statement Emergency Clearance April 2020.docx
Advanced Capital Adequacy Framework Regulatory Reporting Requirements