Federal Register / Vol. 86, No. 167 / Wednesday, September 1, 2021 / Notices 49033 

1 12 CFR 223.42(f)(6). 

2 12 CFR 223.42(g)(3)(iii). 

depository institution of securities from 

a securities affiliate if, among other 

requirements, the depository institution 

maintains, for a period of two years, 

records and supporting information that 

are sufficient to enable the appropriate 

Federal banking agency to ensure the 

depository institution’s compliance 

with the terms of the exemption.1

Separately, section 12 CFR 223.42(g)(3) 

exempts purchases by a depository 

institution of municipal securities from 

a securities affiliate if, among other 

requirements, the price of the security is 

quoted routinely on an unaffiliated 

electronic service that provides 

indicative data from real-time financial 

networks and the price paid for the 

security can be verified by reference to 

the written summary provided by the 

syndicate manager to syndicate 

members that discloses the aggregate par 

values and prices of all bonds sold from 

the syndicate account, so long as the 

depository institution obtains a copy of 

the summary from its securities affiliate 

and retains the summary for three 

years.2

Legal authorization and 

confidentiality: Sections 23A and 23B of 

the FRA authorize the Board to issue 

these requirements. Compliance with 

the FR W requirements is required to 

obtain a benefit. 

Information provided on the Loan 

Participation Renewal notice (Section 

223.15(b)(4)) may be considered 

confidential under exemption 4 of the 

Freedom of Information Act (‘‘FOIA’’) as 

confidential commercial or financial 

information that is both customarily and 

actually treated as private. Information 

provided on the Acquisition notice 

(Section 223.31(d)(4)), the Internal 

Corporate Reorganization Transaction 

notice (Section 223.41(d)(2)), and the 

Section 23A Additional Information 

request (Section 223.43(b)) generally is 

not considered confidential, but 

respondents may request confidential 

treatment under exemption 4 of the 

FOIA if the information is confidential 

commercial or financial information 

that is both customarily and actually 

treated as private. Information collected 

under the FR W may also be considered 

confidential under FOIA exemption 8 if 

it is obtained as part of an examination 

or supervision of a financial institution. 

Board of Governors of the Federal Reserve 

System, August 26, 2021. 

Michele Taylor Fennell, 

Deputy Associate Secretary of the Board. 

[FR Doc. 2021–18832 Filed 8–31–21; 8:45 am] 

BILLING CODE 6210–01–P 

FEDERAL RESERVE SYSTEM 

Proposed Agency Information 

Collection Activities; Comment 

Request 

AGENCY: Board of Governors of the 

Federal Reserve System. 

ACTION: Notice, request for comment. 

SUMMARY: The Board of Governors of the 

Federal Reserve System (Board) invites 

comment on a proposal to extend for 

three years, without revision, the 

Recordkeeping Provisions Associated 

with the Guidance on Sound Incentive 

Compensation Policies (FR 4027; OMB 

No. 7100–0327). 

DATES: Comments must be submitted on 

or before November 1, 2021. 

ADDRESSES: You may submit comments, 

identified by FR 4027, by any of the 

following methods: 

• Agency Website: https://

www.federalreserve.gov/. Follow the 

instructions for submitting comments at 

https://www.federalreserve.gov/apps/ 

foia/proposedregs.aspx. 

• Email: regs.comments@

federalreserve.gov. Include the OMB 

number in the subject line of the 

message. 

• Fax: (202) 452–3819 or (202) 452– 

3102. 

• Mail: Ann E. Misback, Secretary, 

Board of Governors of the Federal 

Reserve System, 20th Street and 

Constitution Avenue NW, Washington, 

DC 20551. 

All public comments are available 

from the Board’s website at https://

www.federalreserve.gov/apps/foia/ 

proposedregs.aspx as submitted, unless 

modified for technical reasons or to 

remove personally identifiable 

information at the commenter’s request. 

Accordingly, comments will not be 

edited to remove any identifying or 

contact information. Public comments 

may also be viewed electronically or in 

paper in Room 146, 1709 New York 

Avenue NW, Washington, DC 20006, 

between 9:00 a.m. and 5:00 p.m. on 

weekdays. For security reasons, the 

Board requires that visitors make an 

appointment to inspect comments. You 

may do so by calling (202) 452–3684. 

Upon arrival, visitors will be required to 

present valid government-issued photo 

identification and to submit to security 

screening in order to inspect and 

photocopy comments. 

Additionally, commenters may send a 

copy of their comments to the Office of 

Management and Budget (OMB) Desk 

Officer for the Federal Reserve Board, 

Office of Information and Regulatory 

Affairs, Office of Management and 

Budget, New Executive Office Building, 

Room 10235, 725 17th Street NW, 

Washington, DC 20503, or by fax to 

(202) 395–6974. 

FOR FURTHER INFORMATION CONTACT: 

Federal Reserve Board Clearance 

Officer—Nuha Elmaghrabi—Office of 

the Chief Data Officer, Board of 

Governors of the Federal Reserve 

System, Washington, DC 20551, (202) 

452–3829. 

SUPPLEMENTARY INFORMATION: On June 

15, 1984, OMB delegated to the Board 

authority under the Paperwork 

Reduction Act (PRA) to approve and 

assign OMB control numbers to 

collections of information conducted or 

sponsored by the Board. In exercising 

this delegated authority, the Board is 

directed to take every reasonable step to 

solicit comment. In determining 

whether to approve a collection of 

information, the Board will consider all 

comments received from the public and 

other agencies. 

During the comment period for this 

proposal, a copy of the proposed PRA 

OMB submission, including the draft 

reporting form and instructions, 

supporting statement, and other 

documentation, will be made available 

on the Board’s public website at https:// 

www.federalreserve.gov/apps/ 

reportforms/review.aspx or may be 

requested from the agency clearance 

officer, whose name appears above. 

Final versions of these documents will 

be made available at https://

www.reginfo.gov/public/do/PRAMain, if 

approved. 

Request for Comment on Information 

Collection Proposal 

The Board invites public comment on 

the following information collection, 

which is being reviewed under 

authority delegated by the OMB under 

the PRA. Comments are invited on the 

following: 

a. Whether the proposed collection of 

information is necessary for the proper 

performance of the Board’s functions, 

including whether the information has 

practical utility; 

b. The accuracy of the Board’s 

estimate of the burden of the proposed 

information collection, including the 

validity of the methodology and 

assumptions used; 

c. Ways to enhance the quality, 

utility, and clarity of the information to 

be collected; 

d. Ways to minimize the burden of 

information collection on respondents, 

including through the use of automated 

collection techniques or other forms of 

information technology; and 

e. Estimates of capital or startup costs 

and costs of operation, maintenance, 


khammond on DSKJM1Z7X2PROD with NOTICES
49034 Federal Register / Vol. 86, No. 167 / Wednesday, September 1, 2021 / Notices 

and purchase of services to provide 

information. 

At the end of the comment period, the 

comments and recommendations 

received will be analyzed to determine 

the extent to which the Board should 

modify the proposal. 

Proposal Under OMB Delegated 

Authority To Extend for Three Years, 

Without Revision, the Following 

Information Collection 

Report title: Recordkeeping Provisions 

Associated with the Guidance on Sound 

Incentive Compensation Policies. 

Agency form number: FR 4027. 

OMB control number: 7100–0327. 

Frequency: As needed. 

Respondents: U.S. bank holding 

companies, savings and loan holding 

companies, state member banks, Edge 

Act and agreement corporations, and the 

U.S. operations of foreign banks with a 

branch, agency, or commercial lending 

company subsidiary in the United States 

(collectively, banking organizations). 

Estimated number of respondents: 

One-time implementation, large 

institutions: 1; one-time 

implementation, small institutions: 1; 

ongoing maintenance: 5,259. 

Estimated average hours per response: 

One-time implementation, large 

institutions: 480; one-time 

implementation, small institutions: 80; 

ongoing maintenance: 40. 

Estimated annual burden hours: Onetime implementation, large institutions: 

480; one-time implementation, small 

institutions: 80; ongoing maintenance: 

210,360. 

General description of report: The 

Guidance on Sound Incentive 

Compensation Policies (the Guidance) is 

an interagency publication promulgated 

by the Board, the Office of the 

Comptroller of the Currency (OCC), and 

the Federal Deposit Insurance 

Corporation (FDIC) that is intended to 

assist banking organizations in 

designing and implementing incentive 

compensation arrangements that do not 

encourage imprudent risk-taking and 

that are consistent with the safety and 

soundness of the organization. The 

Guidance contains voluntary 

recordkeeping activities. 

The Guidance is based on three key 

principles. These principles provide 

that incentive compensation 

arrangements at a banking organization 

should: 

1. Provide employees incentives that 

appropriately balance risk and reward; 

2. Be compatible with effective 

controls and risk-management; and 

3. Be supported by strong corporate 

governance, including active and 

effective oversight by the organization’s 

board of directors. 

The recordkeeping provisions of the 

Guidance are contained within 

principles 2 and 3. 

Principle 2—Compatibility With 

Effective Controls and Risk Management 

Pursuant to Principle 2 of the 

Guidance, a banking organization’s riskmanagement processes and internal 

controls should reinforce and support 

the development and maintenance of 

balanced incentive compensation 

arrangements. Principle 2 states that 

banking organizations should create and 

maintain sufficient documentation to 

permit an audit of the organization’s 

processes for establishing, modifying, 

and monitoring incentive compensation 

arrangements. 

Additionally, global systemically 

important bank holding companies and 

banking organizations subject to 

Category II–IV enhanced prudential 

standards under Regulation YY and 

foreign banking organizations required 

to form an intermediate holding 

company under Regulation YY should 

maintain policies and procedures that 

(1) identify and describe the role(s) of 

the personnel, business units, and 

control units authorized to be involved 

in the design, implementation, and 

monitoring of incentive compensation 

arrangements, (2) identify the source of 

significant risk-related inputs into these 

processes and establish appropriate 

controls governing the development and 

approval of these inputs to help ensure 

their integrity, and (3) identify the 

individual(s) and control unit(s) whose 

approval is necessary for the 

establishment of new incentive 

compensation arrangements or 

modification of existing arrangements. 

Principle 3—Strong Corporate 

Governance 

Pursuant to Principle 3 of the 

Guidance, banking organizations should 

have strong and effective corporate 

governance to help ensure sound 

compensation practices. Principle 3 

states that a banking organization’s 

board of directors should approve and 

document any material exceptions or 

adjustments to the organization’s 

incentive compensation arrangements 

established for senior executives. 

Legal authorization and 

confidentiality: The recordkeeping 

provisions of the Guidance are 

authorized pursuant to the Board’s 

examination and reporting authorities, 

located in sections 9, 11(a), 25, and 25A 

of the Federal Reserve Act, section 5 of 

the Bank Holding Company Act, section 

10(b) of the Home Owners’ Loan Act, 

and section 7(c) of the International 

Banking Act, and by section 39 of the 

Federal Deposit Insurance Act, which 

authorizes the Board to prescribe 

compensation standards. 

Because the recordkeeping provisions 

are contained within guidance, which is 

nonbinding, they are voluntary. There 

are no reporting forms associated with 

this information collection. 

Because the incentive compensation 

records would be maintained at each 

banking organization, the Freedom of 

Information Act (FOIA) would only be 

implicated if the Board obtained such 

records as part of the examination or 

supervision of a banking organization. 

In the event the records are obtained by 

the Board as part of an examination or 

supervision of a banking organization, 

this information may be considered 

confidential pursuant to exemption 8 of 

the FOIA, which protects information 

contained in ‘‘examination, operating, 

or condition reports’’ obtained in the 

bank supervisory process. In addition, 

the information may also constitute 

nonpublic commercial or financial 

information, which is both customarily 

and actually treated as private by the 

respondent, and thus may be kept 

confidential by the Board pursuant to 

exemption 4 of the FOIA. 

Consultation outside the agency: The 

Board has consulted with the FDIC and 

OCC and confirmed that there will be no 

revisions to the guidance. 

Board of Governors of the Federal Reserve 

System, August 26, 2021. 

Michele Taylor Fennell, 

Deputy Associate Secretary of the Board. 

[FR Doc. 2021–18834 Filed 8–31–21; 8:45 am] 

BILLING CODE 6210–01–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Administration for Children and 

Families 

Submission for OMB Review; Head 

Start REACH: Strengthening Outreach, 

Recruitment, and Engagement 

Approaches With Families (New 

Collection) 

AGENCY: Office of Planning, Research, 

and Evaluation, Administration for 

Children and Families, HHS. 

ACTION: Request for public comment. 

SUMMARY: The Administration for 

Children and Families (ACF) within the 

U.S. Department of Health and Human 

Services (HHS) is proposing to collect 

data on different approaches that Head 

Start programs use for the recruitment, 

selection, enrollment, and retention 

(RSER) of families facing adversities and 

the community organizations with 


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