Recordkeeping and Disclosure Requirements Associated with Loans Secured by Real Estate Located in Flood Hazard Areas Pursuant to Section 208.25 of Regulation H

Forms and Documents

Forms and supporting documents for this ICR

Document	Type	Status	Availability
FRH2_20220624_83c.pdf	Justification for No Material/Nonsubstantive Change	Uploaded 2022-06-24	Available

IC Document Collections

Information collection document groups

IC ID	Collection	Type	Status	Form
36316	Recordkeeping Sections 208.25(c)(3)(iii) and (iv) Private flood insurance		Modified
236555	Disclosure Section 208.25(e)(4) One-time notice for any designated loan outstanding on July 1 of the year SMB no longer qualifies for small lender exception		Modified
219054	Disclosure Section 208.25(g) Purchase of flood insurance on the borrower's behalf due to remapping		Modified
199397	Disclosure Section 208.25(g) Notice to borrowers of lapsed mandated flood insurance due to remapping		Modified
199396	Disclosure Section 208.25(g) Purchase of flood insurance on the borrower's behalf		Modified
199395	Disclosure Section 208.25(g) Notice to borrowers of lapsed mandated flood insurance		Modified
199391	Disclosure Section 208.25(j)(2) Notice to FEMA of change of servicer		Modified
184841	Disclosure Section 208.25(j)(1) Notice to FEMA of servicer		Modified
184840	Disclosure Sections 208.25(i) and (e) Notice of special flood hazards and availability of federal disaster relief assistance with escrow notice, as applicable		Modified
184839	Recordkeeping Section 208.25(f)(2) Retention of standard FEMA form		Modified

ICR Details

OMB Control No: 7100-0280	ICR Reference No: 202108-7100-001
Status: Active	Previous ICR Reference No: 201906-7100-004
Agency/Subagency: FRS	Agency Tracking No: FR H-2
Title: Recordkeeping and Disclosure Requirements Associated with Loans Secured by Real Estate Located in Flood Hazard Areas Pursuant to Section 208.25 of Regulation H
Type of Information Collection: No material or nonsubstantive change to a currently approved collection	Common Form ICR:  No
Type of Review Request: Delegated
OIRA Conclusion Action: Approved without change	Conclusion Date: 06/24/2022
	Date Received in OIRA: 06/24/2022
Terms of Clearance:

table that charts list comparision

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	06/30/2022	06/30/2022	06/30/2022
Responses	476,375	0	523,285
Time Burden (Hours)	30,755	0	34,551
Cost Burden (Dollars)	0	0	0

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Abstract: In general, the federal flood insurance statutes and Regulation H - Membership of State Banking Institutions in the Federal Reserve System (12 CFR 208) provide that a lender shall not make, increase, extend, or renew a loan secured by a building or mobile home located in a special flood hazard area unless the secured property is covered by flood insurance for the term of the loan. With respect to the recordkeeping and disclosure provisions, the regulation requires state member banks to: • retain a completed copy of the Standard Flood Hazard Determination Form developed by the Federal Emergency Management Agency (standard FEMA form). The form is used by lenders to document their determination of whether improved property securing a loan is in a special flood hazard area, • notify a borrower and servicer when loans secured by improved property are determined to be in a special flood hazard area and retain a record of receipt of the notice, • notify a borrower of a loan secured by residential improved property or a mobile home that the state member bank is required to escrow all premiums and fees for required flood insurance when the bank makes, increases, extends, or renews the loan. For loans secured by residential improved property or a mobile home that were outstanding on January 1, 2016, or July 1 of the first year in which the bank loses its exception from the escrow requirement, the state member bank must mail or deliver information on the option to escrow flood premiums and fees, • notify a borrower of the borrower’s obligation to obtain flood insurance if the lender determines at any time during the term of the loan that the improved property securing the loan is not covered by adequate flood insurance. If the borrower fails to obtain the flood insurance within 45 days of this notification, the state member bank or its servicer must purchase insurance and may charge the borrower for the cost of the premiums. If the state member bank receives confirmation of a borrower’s existing flood insurance coverage after it has force placed insurance on behalf of the borrower, the bank or its servicer shall notify the insurance provider to terminate any insurance purchased by the bank or its servicer, and • notify the Federal Emergency Management Agency (FEMA) of the identity of, and any change in, the servicer of a loan secured by improved property in a special flood hazard area. The information collection requirements under the flood hazard provisions of Regulation H are triggered by specific events in the lending process.

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Authorizing Statute(s): US Code: 42 USC 4012a Name of Law: Flood Disaster Protection Act of 1973
   US Code: 42 USC 4104a Name of Law: National Flood Insurance Act of 1968
   US Code: 12 USC 321 Name of Law: Federal Reserve Act
   US Code: 12 USC 248(i) Name of Law: Federal Reserve Act
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
7100-AE22	Final or interim final rulemaking	84 FR 4953	02/20/2019

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	81 FR 78063	11/07/2016
30-day Notice:	Federal Register Citation:	Citation Date:
	84 FR 4953	02/20/2019
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 10

table that charts list of burden

IC Title	Form No.	Form Name
Disclosure Section 208.25(e)(4) One-time notice for any designated loan outstanding on July 1 of the year SMB no longer qualifies for small lender exception
Disclosure Section 208.25(g) Notice to borrowers of lapsed mandated flood insurance
Disclosure Section 208.25(g) Notice to borrowers of lapsed mandated flood insurance due to remapping
Disclosure Section 208.25(g) Purchase of flood insurance on the borrower's behalf
Disclosure Section 208.25(g) Purchase of flood insurance on the borrower's behalf due to remapping
Disclosure Section 208.25(j)(1) Notice to FEMA of servicer
Disclosure Section 208.25(j)(2) Notice to FEMA of change of servicer
Disclosure Sections 208.25(i) and (e) Notice of special flood hazards and availability of federal disaster relief assistance with escrow notice, as applicable
Recordkeeping Section 208.25(f)(2) Retention of standard FEMA form
Recordkeeping Sections 208.25(c)(3)(iii) and (iv) Private flood insurance

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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	476,375	523,285	0	0	-46,910	0
Annual Time Burden (Hours)	30,755	34,551	0	0	-3,796	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: The decrease in total annual burden hours reflects an update to the respondent count.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     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? No

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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: 06/24/2022

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