Supporting statement 3038-0076 cross-border proposal

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SUPPORTING STATEMENT FOR EXTENSION OF INFORMATION COLLECTION
OMB CONTROL NUMBER 3038-0076
REQUIREMENTS FOR DERIVATIVE CLEARING ORGANIZATIONS
Justification
1.	Explain the circumstances that make the collection of information necessary.  Identify any legal or administrative requirements that necessitate the collection.  Attach a copy of the appropriate section of each statute and regulation mandating or authorizing the collection of information.
Section 5b(a) of the Commodity Exchange Act (“CEA”) provides that a clearing organization may not perform the functions of a derivatives clearing organization (“DCO”) unless the clearing organization is registered with the Commission.  In order to register and maintain registration with the Commission, a DCO must comply with the DCO Core Principles and all applicable Commission regulations.  This information collection covers the burden associated with part 39 of the Commission’s regulations applicable to registered DCOs.
Commission Regulations 39.10, 39.11, 39.12, 39.13, 39.14, 39.15, 39.16, 39.17, 39.18, 39.19, 39.21, 39.24 and 39.27 establish reporting requirements for registered DCOs.  Regulation 39.3 requires any person seeking to register as a DCO to submit a completed Form DCO as provided in Appendix A to part 39, accompanied by all applicable exhibits.  Subpart C of part 39 includes additional requirements for systemically important DCOs and DCOs that elect to be subject to subpart C.  Subpart D of part 39 includes requirements for DCOs subject to alternative compliance.  The rules establish reporting and recordkeeping requirements that implement Section 5b of the CEA and are necessary for the Commission to assess compliance of DCOs and DCO applicants with requirements prescribed in the CEA and Commission regulations.  
2.	Indicate how, by whom, and for what purpose the data would be used.  Except for a new collection, indicate the actual use the agency has made of the information received from the current collection.
The information received is analyzed by Commission staff and forms a basis for on-going oversight of the DCOs’ compliance with the CEA and the Commission’s regulations thereunder.  The information collected is also used as the basis for determining whether a DCO applicant meets the necessary criteria to register as a DCO.
3.	Describe whether, and to what extent, the collection of information involves the use of automated, electronic, mechanical, or other technological collection techniques or other forms of information technology, e.g. permitting electronic submission of responses, and the basis for the decision for adopting this means of collection.  Also describe any consideration of using information technology to reduce burden.
The information required by this collection is required to be filed electronically.
4.	Describe efforts to identify duplication.  Show specifically why any similar information already available cannot be used or modified for use for the purposes described in Item 2 above.
To the maximum extent possible, the information collection was designed to avoid duplication.  In all cases where it was possible to leverage information collections contained in other Commission rules, the Commission elected not to impose collections that would increase burden.  The required information is not already collected by the Commission for any other purpose, collected by any other agency, or available for public disclosure through any other source.  Each information collection is necessary given the purposes for which the data will be used, as stated above in Questions 1 and 2.
5.	If the collection of information involves small business or other small entities, describe the methods used to minimize burden.
The required information does not involve any small businesses or other small entities.
6.	Describe the consequence to the Federal Program or policy 	activities if the collection were conducted less frequently as well as any technical or legal obstacles to reducing burden.
If the collections were conducted less frequently, the Commission would not have sufficient information to ascertain whether DCOs are in compliance with the statutory and regulatory requirements applicable to their operation as registered DCOs.
7.	Explain any special circumstances that require the collection to be conducted in a manner:
requiring respondents to report information to the agency more often than quarterly;
	Event-specific reporting may or may not be more often than quarterly.  
requiring respondents to prepare a written response to a collection of information in fewer than 30 days after receipt of it:
In order for the Commission to adequately assess a DCO’s compliance with these core principles and related regulations, a DCO may be required to prepare a written response to a collection of information in fewer than 30 days depending on the exigency of the situation.  At all times, the Commission’s goal is to protect the integrity, resilience, and vibrancy of the U.S. derivatives markets through sound regulation, including centralized clearing activities of DCOs. 
requiring respondents to submit more than an original and two copies of any document;
DCOs are required to submit documents electronically, only once.  No hard copies are required.
requiring respondents to retain records other than health, medical, government contract, grant-in-aid, or tax records, for more than three years;
Commission Regulation 1.31(b) expressly requires that books and records required to be kept by the CEA or Commission regulations be retained for certain specified periods.  Other than with respect to oral communications and records exclusively created and maintained on paper, the shortest of these periods is five years from the date of creation.  The collection currently includes recordkeeping requirements for registered DCOs.
in connection with a statistical survey, that is not designed to produce valid and reliable results that can be generalized to the universe of study;
No statistical surveys are involved in the amended regulations.
requiring the use of a statistical data classification that has not been reviewed and approved by OMB;
The requirements do not involve the use of statistical data classification.
that includes a pledge of confidentiality that is not supported by authority established in statute or regulation, that is not supported by disclosure and data security policies that are consistent with the pledge, or which unnecessarily impedes sharing of data with other agencies for compatible confidential use; or
The requirements do not involve any pledge of confidentiality that is not supported by authority established in law or regulation.
requiring respondents to submit proprietary trade secrets, or other confidential information unless the agency can demonstrate that it has instituted procedures to protect the information's confidentiality to the extent permitted by law.
The Commission has procedures to protect the confidentiality of an applicant’s or registrant’s data.  These are set forth in the Commission’s regulations at parts 145 and 147 of title 17 of the Code of Federal Regulations.
8.	If applicable, provide a copy and identify the date and page number of publication in the Federal Register of the agency's notice required by 5 C.F.R. 1320.8(d), soliciting comments on the information collection prior to submission to OMB.  Summarize public comments received in response to that notice and describe actions taken by the agency in response to these comments.  Specifically address comments received on cost and hour burden.
Describe efforts to consult with persons outside the agency to obtain their views on the availability of data, frequency of collection, the clarity of instructions and recordkeeping disclosure, or reporting format (if any), and on the data elements to be recorded, disclosed, or reported.
Consultation with representatives of those from whom information is to be obtained or those who must compile records should occur at least once every three years—even if the collection of information activity is the same as in prior periods.  There may be circumstances that may preclude consultation in a specific situation.  These circumstances should be explained.
On August 6, 2026, the Commission published a request for comment on its proposal to revise Collection No. 3038-0076 to account for the burden associated with these new information collections (“60-Day FRN”).  91 FR 50816 (Aug. 6, 2026).  The Commission received two relevant comments in response to the 60-Day FRN.  The first comment stated that the 60-Day FRN’s aggregate estimate of the average burden hours for all respondents to the collection obscures that applicants for DCO registration face a proportionally higher burden in preparing applications compared to registered entity’s comparatively lower ongoing compliance burdens.1 The Commission, however, provides granular burden estimates in Attachment A of this supporting statement, which include estimates for applicants under Subpart A of Part 39, as well as Subparts B, C, and D, which apply to registered DCOs.
The second comment did not address the Commission’s burden estimates, but recommended new substantive recordkeeping and risk-analysis requirements relating to tokenized collateral.2  The commenter’s recommendations were based primarily on CFTC Staff Letter No. 25-39, Tokenized Collateral Guidance (Dec. 8, 2025).  That guidance, however, reflects only the views of the Commission staff divisions that issued the letter and does not create additional rights or requirements.  Accordingly, the guidance does not provide a basis for modifying this information collection to require any additional recordkeeping requirements recommended by the commenter.
9.	Explain any decision to provide any payment or gift to respondents, other than remuneration of contractors or grantees.
This question does not apply.  The information collection does not involve any payment or gift to a respondent.
10.	Describe any assurance of confidentiality provided to respondents and the basis for the assurance in statute, regulations, or agency policy.
The Commission does not provide respondents with an assurance of confidentiality beyond that provided by applicable law.  The Commission fully complies with section 8(a)(1) of the Commodity Exchange Act, which strictly prohibits the Commission, unless specifically authorized by the Commodity Exchange Act, from making public “data and information that would separately disclose the business transactions or market positions of any person and trade secrets or names of customers.”  The Commission has procedures to protect the confidentiality of an applicant’s or registrant’s data.  These are set forth in the Commission’s regulations at parts 145 and 147 of title 17 of the Code of Federal Regulations.
11.	Provide additional justification for any questions of a sensitive nature, such as sexual behavior and attitudes, religious beliefs, and other matters that are commonly considered private.  This justification should include the reasons why the agency considers the questions necessary, the specific uses to be made of the information, the explanation to be given to persons from whom the information is requested, and any steps to be taken to obtain their consent.
This question does not apply.  None of the required information is sensitive, as that term is used in Question 11.
12.	Provide estimates of the hour burden of the collection of information.  The Statement should:
Indicate the number of respondents, frequency of response, annual hour burden and an explanation of how the burden was estimated.  Unless directed to do so, agencies should not conduct special surveys to obtain information on which to base hour burden estimates.  Consultation with a sample (fewer than ten) of potential respondents is desirable.  If the hour burden on respondents is expected to vary widely because of differences in activity, size or complexity, show the range of estimated hour burden, and explain the reasons for the variance.  Generally, estimates should not include burden hours for customary and usual business practices.
If the request for approval covers more than one form, provide separate hour burden estimates for each form and aggregate the hour burdens.
Provide estimates of annualized cost to respondents for the hours burdens for collections of information, identifying and using appropriate wage rate categories.  The cost of contracting out or paying outside parties for information collection activities should not be included here.  Instead, this cost should be included in Item 13.
The Commission’s estimate of the annual number of respondents is based on actual registration and application numbers as of July 2026.  The Commission estimates an increase from one application for full DCO registration (in 2023) to 10 applications for full DCO registration under subpart A of part 39 of the Commission’s Regulations.  Similarly, the Commission estimates an increase in subpart B reporting and recordkeeping, due to the change from 13 registered DCOs (in 2023) to 24 registered DCOs as of July 2026.  
Attachment A consists of burden estimates under subpart A, B, C, and D for information reporting and subpart A, B, and C for recordkeeping.  The burden estimate in subpart A applies solely to the 10 applicants for full DCO registration, whereas the burden estimates in subpart B and C apply to currently registered DCOs, with figures adjusted from 2023 to the current renewal.
13.	Provide an estimate of the total annual cost burden to respondents or record keepers resulting from the collection of information.  (Do not include the cost of any hour burden shown in Items 12 and 14).
The cost estimate should be split into two components; (a) a total capital and start-up cost component (annualized over its expected useful life) and (b) a total operation and maintenance and purchase of services component.  The estimates should take into account costs associated with generating, maintaining, and disclosing or providing the information.  Include descriptions of methods used to estimate major costs factors including system and technology acquisition, expected useful life of capital equipment, the discount rate(s), and the time period over which costs will be incurred.  Capital and start-up costs include, among other items, preparations for collecting information such as purchasing computers and software, monitoring, sampling, drilling and testing equipment, and record storage facilities.
If cost estimates are expected to vary widely, agencies should present ranges of cost burdens and explain the reasons for the variance.  The cost of purchasing or contracting out information collection services should be a part of this cost burden estimate, agencies may consult with a sample of respondents (fewer than ten), utilize the 60-day pre-OMB submission public comment process and use existing economic or regulatory impact analysis associated with the rulemaking containing the information collection, as appropriate.
Generally, estimates should not include purchases of equipment or services, or portions thereof, made: (1) prior to October 1, 1995, (2) to achieve regulatory compliance with requirements not associated with the information collection, (3) for reasons other than to provide information or keep records for the government or (4) as part of customary and usual business or private practices.
The Commission estimates that respondents may incur start-up costs estimated to be approximately $82,147 per DCO applicant, including costs for coding, as well as testing, quality assurance, and compliance review.  The estimate of total start-up costs consists of the following: $16,120 for the delta ladder, gamma ladder, vega ladder, and the zero rate curves, based on 20 hours of systems analyst time, 40 hours of programmer time, and 40 hours of tester time; $8,632 for adding interest rate, forward rates, and end of day position fields, based on 8 hours of systems analyst time, 4 hours of programmer time, and 40 hours of tester time; $16,000 for the manifest file, based on 40 hours of systems analyst time, 40 hours of programmer time, and 20 hours of tester time; and $25,520 for adding the backtesting fields, based on 40 hours of systems analyst time, 80 hours of programmer time, and 40 hours of tester time.  The estimate of total start-up costs also includes $15,875 for compliance attorney review.  This yields total aggregate start-up costs of $821,470 for covered respondents (10 respondents × $82,147 = $821,470).3 
14.	Provide estimates of the annualized costs to the Federal Government.  Also provide a description of the method used to estimate cost, which should include quantification of hours, operational expenses (such as equipment, overhead, printing and support staff), and any other expense that would not have been incurred without this collection of information.  Agencies may also aggregate cost estimates from Items 12, 13, and 14 in a single table.
The primary cost to the federal government is the salaries for staff to process applications received.  Based on estimated staff time spent on application review, it is anticipated that on average, approximately 800 hours of staff time will be spent on application review each year per DCO application at an estimated average salary of $106 per hour.4  The total annual cost to the government to review 10 DCO applications is approximately $848,000.  
The estimate of the annual cost to the government per respondent for daily, annual, and event-specific reporting is about $10,260 per year.  This reflects the cost of staff needed to analyze the information received, as follows: a full-time equivalent reviewing for 7 hours per trading day, and an additional 70 hours per year reviewing other required reports at an average salary of $905 per hour.  The total number of hours of review time per respondent each year is 134 hours, and the total annual cost for all 24 registered DCOs is $289,440.  
In addition, the annual cost for staff to process applications for registration with alternative compliance received pursuant to Regulation 39.3(a)(3), and to periodically review reports, disclosures, and records for compliance with the conditions of registration, would translate into one Commission employee at the CT-14 level, who will spend approximately 12.5% of their time performing these tasks.  At an estimated salary cost of $106 per hour, the costs to the government will be approximately $27,560.6  
This yields a total estimated annual cost to the government of approximately $1,165,000 ($848,000 + $289,440 +$27,560).
15.	Explain the reasons for any program changes or adjustments.
There are no program changes. The Commission is revising its burden estimate for this collection to reflect current market conditions and to reflect updated costs.7  The Commission believes that the burden under this clearance will increase because of an increase in the total number of respondents and a rise in mean hourly wage rates based on updated Bureau of Labor Statistics wage data.  The Commission estimates an increase from one application for full DCO registration (in 2023) to 10 applications for full DCO registration under subpart A of part 39 of the Commission’s Regulations.  For subpart B reporting and recordkeeping, the total burden increased due to the change from 13 DCOs (in 2023) to the 24 DCOs as of July 2026.  Increases in mean hourly wage rates have also increased the annual burden cost.  As shown in Attachment A, these increases in applications and registrations result in an incremental increase of 34,679 burden hours annually.  In addition, the Commission is updating its estimate of associated annual cost burdens to reflect estimated capital start-up and operations and maintenance costs (see response to Question 13).
16.	For collection of information whose results are planned to be published for statistical use, outline plans for tabulation, statistical analysis, and publication.  Provide the time schedule for the entire project, including beginning and ending dates of the collection of information, completion of report, publication dates, and other actions.
This question does not apply.
17.	If seeking approval to not display the expiration date for OMB approval of the information collection, explain the reasons that display would be inappropriate.
This question does not apply.
18.	Explain each exception to the certification statement identified the “Certification for Paperwork Reduction Act Submissions.”
This question does not apply.
Attachment A
Requirements for Derivatives Clearing Organizations
OMB Collection File 3038-0076
The burden associated with rules implementing requirements for DCOs is estimated as follows:


 
1 
Estimated # of Respon-
dents
2 
Est. Annual Reports per Respondent 
3 
Est. Total Annual Responses (1x2) 
4 
Est. Avg. No. of Hours Per Response 
5 
Est. Annual No. of Burden Hours Per Respondent
(2x4) 
6 
Est. Avg. Burden Hour Cost 
7 
Est. Avg. Burden Cost Per Respondent
(5x6) 
8 
Est. Total Annual Burden Hours (3x4) 
9 
Total Est. Annual Burden Cost of All Responses (1x7)  
Reporting









 
Subpart A0 Reporting
 
 
 
 
 
 
 
 
 
Form DCO and Exhibits 
10
1
10
421
421
$250
$105,250
4,210
$1,052,500
 
Alternative DCO Application – 39.3(a)(3) 
1
0.25
0.25
100
25
$250
$6,250
25
$6,250
Agreement in writing to extend application review period-39.3(a)(7)
2
1
2
1
1
$250 
$250
2
$500
Request to Vacate DCO Registration-39.3(f)(1)
1
0.33
0.33
1
0.33
$250 
$82.50
0.33
$82.50
Total of Subpart A Reporting0
12

2.58

12.58

523

447.33



$111,832.50

4,237
(rounded)

$1,059,332.50










Subpart B Reporting
 
 
 
 
 
 
 
 
 
 
CCO Annual Report-39.10
24
1
24
73
73
$1320 
$9,636
949
$231,264
Quarterly reporting-39.11(f)(1) and (39.19(c)(2)
24
4
96
7
28
$710 
$1,988
672
$47,712
Annual audited financial statements- 39.19(c)(3) and 39.11(f)(2)
24
1
24
2626
2626
$2760 
$724,776
63,024
$17,394,624
Daily reporting-39.19(c)(1) 
24
250
6000
0.5
125
$630 
$7,875
3000
$189,000
Event-specific reporting-39.19(c)(4)


24


14


182


0.5


7


$1040 


$728


91


$17,472
39.21 - Public information
24
4
96
2
8
$63 
$504
188
$12,096
Governance disclosure of board decisions - 39.24(a)(3) and disclosure of governance arrangements - 39.24(b)
24
18
432
4
72
$104
$7,488
1,728
$179,712
Legal risk considerations–§ 39.27  
1
0.33
0.33
20
6.6
$250 
$1,650
6.6
$1,650 
Subpart B–third-party reporting:









DCO rules re: clearing member reporting of customer information on futures-39.13(g)(8)(i)(B)
72
250
18,000
0.2
50
$63
$3,150
3,600
$226,800
Total of Subpart B Reporting 
96
 

542.33

24,854.33

2,733.2

2,995.6
 

$757,795 

73,259
(rounded) 
$18,300,330
 










Subpart C Reporting









39.31 Subpart C Election Form
1
1
1
180
180
$250 
$45,000
180
$45,000
39.31 Withdrawal Notices
1
1
1
2
2
$250 
$500
2
$500
39.31 Rescission Notices
1
16
16
3
48
$250 
$12,000
48
$12,000
39.31 PFMI disclosures
1
1
1
200
200
$250 
$50,000
200
$50,000
39.31 Quantitative disclosures
1
1
1
80
80
$250 
$20,000
80
$20,000
39.33 Financial and Liquidity Resource Documentation
8
1
8
120
120
$104
$12,480
960
$99,840
39.36 Stress Test Results
8
16
128
14
224
$104
$23,296
1,792
$186,368
39.37 Disclosure Framework Requirements 
8
1
8
81
81
$104
$8,424
648
$67,392
39.37 Quantitative Information Disclosures
8
4
32
9
36
$104
$3,744
288
$29,952
39.37 Transaction, Segregation, Portability Disclosures
8
1
8
35
35
$104
$3,640
280
$29,120
39.38 Efficiency and Effectiveness Review
8
1
8
3
3
$104
$312
24
$2,496
39.39 Recovery and Wind-Down Plan
8
1
8
480
480
$104
$49,920
3,840
$399,360
Total of Subpart C Reporting0
8
45
220
1207
1489

$229,316
8342
$942,028










 
Subpart D-Reporting by DCOs Subject to Alternative Compliance 
 
 
 
 
 
 
 
 
 
Daily reporting-39.51(c)(2)(i)
1
62.5
62.5
0.1
6.25
$63
$393.75
6.25
$393.75
Quarterly reporting-39.51(c)(2)(ii)
1
1
1
1
1
$71
$71
1
$71
Event-specific reporting-39.51(b)(3)(iii) and 39.51(c)(2)(iii)-(vii) 
1
0.25
0.25
0.5
0.125
$104  
$13
0.125
$13
39.51(a)(6) - rep. of good standing
1
0.25
0.25
1
0.25
$250
$62.50
0.25
$62.50
Total of Subpart D Reporting
10
64
64
2.6
7.625

$540.25
8 
(rounded)
$540.25










Total Part 39 Reporting
1090






85,846
(rounded)
$20,302,231 (rounded)












Recordkeeping









Subparts A and B
24
1
24
150
150
$1240
$18,600
3,600
$446,400
Request to Vacate DCO Registration
1
0.33
0.33
1
0.33
$124
$41
0.33
$41
Total Recordkeeping Subparts A and B
24
1.33
24.33
151
150.33

$18,641 
3,600.33
$446,441










Recordkeeping-Subpart C









Generally 
8
110
880
10
1,100
$124
$136,400
8,800
$1,091,200
Financial and Liquidity Resources, Liquidity Resource Due Diligence and Testing
8
8
64
10
80
$124
$9,920
640
$79,360
Total Recordkeeping- Subpart C
8
118
944
20
1180

$146,320
9,440
$1,170,560










Total Part 39 Recordkeeping 
240






13,040
(rounded)
$1,617,001










Total Estimated Burden for Clearance #3038-0076
1090






98,886
(rounded)
$21,919,232 (rounded)

Total Estimated Burden for Information Collection 3038-0076
Estimated number of respondents:  109
Estimated total annual number of responses:  26,119
Estimated total annual burden hours:  98,886
Estimated total annual burden cost:  $21,919,232

Attachment B
Requirements for Derivatives Clearing Organizations
OMB Collection File 3038-0076
Question 13.  Annual Capital Start-up and Operations and Maintenance Costs

Capital Start-up and Operations and Maintenance Costs
Capital Start-up Costs:
$821,470 (10 DCO applicants × $82,147 per DCO Applicant)0