Rule 17h-1T (17 CFR 240.17h-1T); Risk assessment record-keeping requirements for associated persons of brokers and dealers Rule 17h-2T (17 CFR 240.17h-2T); Risk assessment reporting requirement

Forms and Documents

Document Name	Status
Form 2332 Rule 17h-1T (17 CFR 240.17h-1T); Risk assessment record-keeping requirements for associated persons of brokers and dealers Rule 17h-2T (17 CFR 240.17h-2T); Risk assessment reporting requirement Form and Instruction	Modified
TM Emergency Request Memo 17H-1Tdlb.pdf Supplementary Document	2022-04-03
2021 17h-1T and 2T Supporting Statement.docx Supporting Statement A	2022-04-03
3235-0410.pdf Supplementary Document	2022-04-03
30 day notice for Rule 17h-1t.pdf Supplementary Document	2018-12-20
60 day for Rule 17h-1t.pdf Supplementary Document	2018-12-20

IC Document Collections

IC ID	Document Title	Status
43011	Rule 17h-1T (17 CFR 240.17h-1T); Risk assessment record-keeping requirements for associated persons of brokers and dealers Rule 17h-2T (17 CFR 240.17h-2T); Risk assessment reporting requirement Form and Instruction	Modified

ICR Details

OMB Control No: 3235-0410	ICR Reference No: 202111-3235-014
Status: Received in OIRA	Previous ICR Reference No: 201810-3235-017
Agency/Subagency: SEC	Agency Tracking No: TM-270-359
Title: Rule 17h-1T (17 CFR 240.17h-1T); Risk assessment record-keeping requirements for associated persons of brokers and dealers Rule 17h-2T (17 CFR 240.17h-2T); Risk assessment reporting requirement
Type of Information Collection: Reinstatement with change of a previously approved collection	Common Form ICR:  No
Type of Review Request: Emergency	Approval Requested By: 04/04/2022
Date Submitted to OIRA: 04/03/2022

	Requested	Previously Approved
Expiration Date	6 Months From Approved
Responses	235	0
Time Burden (Hours)	5,640	0
Cost Burden (Dollars)	0	0

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Abstract: Rule 17h-1T requires a broker-dealer to maintain and preserve records regarding the financial and securities activities, and other information concerning the holding company, affiliates and subsidiaries of the broker-dealer that are reasonably likely to have a material impact on the financial or operational condition of the broker-dealer. Rule 17h-2T requires a broker-dealer to file with the Commission quarterly reports and a cumulative year-end report concerning the information required to be maintained and preserved under Rule 17h-1T.

Emergency Justfication: Rules 17h-1T and 17h-2T enable the Commission to monitor the activities of broker-dealer affiliates through its access to affiliate information and receipt of reports on a quarterly basis. However, Commission staff inadvertently and mistakenly did not complete the recent extension for this control number and it expired on February 28, 2022. Emergency reinstatement would prevent the disruption of normal collection efforts pursuant to Rules 17h-1T and 2T, which are still in force. The information collected pursuant to Rules 17h-1T and 2T is necessary to further the regulatory directive to monitor the activities of broker-dealer affiliates. Without this information, the Commission would be unable to assess the potentially damaging impact of an affiliate’s activities on the broker-dealer. Emergency reinstatement would allow the Commission to continue to monitor the activities of a covered broker-dealer’s affiliate whose business activities are reasonably likely to have a material impact on the financial and operational condition of the broker-dealer.

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Authorizing Statute(s): US Code: 15 USC 78w Name of Law: Securities Exchange Act of 1934
   US Code: 15 USC 78q Name of Law: Securities Exchange Act of 1934
  

Citations for New Statutory Requirements: None

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

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	86 FR 68714	12/03/2021
Did the Agency receive public comments on this ICR? No

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

IC Title	Form No.	Form Name
Rule 17h-1T (17 CFR 240.17h-1T); Risk assessment record-keeping requirements for associated persons of brokers and dealers Rule 17h-2T (17 CFR 240.17h-2T); Risk assessment reporting requirement	2332	17-H

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ICR Summary of Burden

	Total Request	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	235	0	0	0	-50	285
Annual Time Burden (Hours)	5,640	0	0	0	-1,200	6,840
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 change in burden is a result of a decrease in the number of respondents from 285 to 235 and because the staff believes that there will not be a net increase in the number of respondents to begin complying with Rules 17h-1T and 17h-2T for the foreseeable future.

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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.     Yes

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.     Yes

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: 04/03/2022

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