This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents. Prices of

new books are listed in the first FEDERAL

REGISTER issue of each week.

Rules and Regulations Federal Register

65563 

Vol. 75, No. 206 

Tuesday, October 26, 2010 

1Consistent with Board practice, the low reserve 

tranche and reserve requirement exemption 

amounts have been rounded to the nearest $0.1 

million. 

FEDERAL RESERVE SYSTEM 

12 CFR Part 204 

[Regulation D; Docket No. R–1395] 

RIN AD71–0057 

Reserve Requirements of Depository 

Institutions 

AGENCY: Board of Governors of the 

Federal Reserve System. 

ACTION: Final rule. 

SUMMARY: The Board is amending 

Regulation D, Reserve Requirements of 

Depository Institutions, to reflect the 

annual indexing of the reserve 

requirement exemption amount and the 

low reserve tranche for 2011. The 

Regulation D amendments set the 

amount of total reservable liabilities of 

each depository institution that is 

subject to a zero percent reserve 

requirement in 2011 at $10.7 million, 

unchanged from its level in 2010. This 

amount is known as the reserve 

requirement exemption amount. The 

Regulation D amendments also set the 

amount of net transaction accounts at 

each depository institution that is 

subject to a three percent reserve 

requirement in 2011 at $58.8 million, up 

from $55.2 million in 2010. This 

amount is known as the low reserve 

tranche. The adjustments to both of 

these amounts are derived using 

statutory formulas specified in the 

Federal Reserve Act. 

The Board is also announcing changes 

in two other amounts, the nonexempt 

deposit cutoff level and the reduced 

reporting limit, that are used to 

determine the frequency at which 

depository institutions must submit 

deposit reports. 

DATES: Effective Date: November 26, 

2010. 

Compliance Dates: For depository 

institutions that report deposit data 

weekly, the new low reserve tranche 

and reserve requirement exemption 

amount will apply to the fourteen-day 

reserve computation period that begins 

Tuesday, November 30, 2010, and the 

corresponding fourteen-day reserve 

maintenance period that begins 

Thursday, December 30, 2010. For 

depository institutions that report 

deposit data quarterly, the new low 

reserve tranche and reserve requirement 

exemption amount will apply to the 

seven-day reserve computation period 

that begins Tuesday, December 21, 

2010, and the corresponding seven-day 

reserve maintenance period that begins 

Thursday, January 20, 2011. For all 

depository institutions, these new 

values of the nonexempt deposit cutoff 

level, the reserve requirement 

exemption amount, and the reduced 

reporting limit will be used to 

determine the frequency at which a 

depository institution submits deposit 

reports effective in either June or 

September 2011. 

FOR FURTHER INFORMATION CONTACT: 

Sophia Allison, Senior Counsel (202/ 

452–3565), Legal Division, or MaryFrances Styczynski, Financial Analyst 

(202/452–33033), Division of Monetary 

Affairs; for users of 

Telecommunications Device for the Deaf 

(TDD) only, contact (202/263–4869); 

Board of Governors of the Federal 

Reserve System, 20th and C Streets, 

NW., Washington, DC 20551. 

SUPPLEMENTARY INFORMATION: Section 

19(b)(2) of the Federal Reserve Act 

(12 U.S.C. 461(b)(2)) requires each 

depository institution to maintain 

reserves against its transaction accounts 

and nonpersonal time deposits, as 

prescribed by Board regulations, for the 

purpose of implementing monetary 

policy. Section 11(a)(2) of the Federal 

Reserve Act (12 U.S.C. 248(a)(2)) 

authorizes the Board to require reports 

of liabilities and assets from depository 

institutions to enable the Board to 

conduct monetary policy. The Board’s 

actions with respect to each of these 

provisions are discussed in turn below. 

1. Reserve Requirements 

Pursuant to section 19(b) of the 

Federal Reserve Act (Act), transaction 

account balances maintained at each 

depository institution are subject to 

reserve requirement ratios of zero, three, 

or ten percent. Section 19(b)(11)(A) of 

the Act (12 U.S.C. 461(b)(11)(A)) 

provides that a zero percent reserve 

requirement shall apply at each 

depository institution to total reservable 

liabilities that do not exceed a certain 

amount, known as the reserve 

requirement exemption amount. Section 

19(b)(11)(B) provides that, before 

December 31 of each year, the Board 

shall issue a regulation adjusting the 

reserve requirement exemption amount 

for the next calendar year if total 

reservable liabilities held at all 

depository institutions increase from 

one year to the next. No adjustment is 

made to the reserve requirement 

exemption amount if total reservable 

liabilities held at all depository 

institutions should decrease during the 

applicable time period. The Act requires 

the percentage increase in the reserve 

requirement exemption amount to be 80 

percent of the increase in total 

reservable liabilities of all depository 

institutions over the one-year period 

that ends on the June 30 prior to the 

adjustment. 

Total reservable liabilities of all 

depository institutions decreased about 

1.0 percent (from $4,961 billion to 

$4,914 billion) between June 30, 2009, 

and June 30, 2010. Accordingly, the 

Board is amending Regulation D to set 

the reserve requirement exemption 

amount for 2011 at $10.7 million, 

unchanged from its level in 2010.1

Pursuant to Section 19(b)(2) of the Act 

(12 U.S.C. 461(b)(2)), transaction 

account balances maintained at each 

depository institution over the reserve 

requirement exemption amount and up 

to a certain amount, known as the low 

reserve tranche, are subject to a three 

percent reserve requirement. 

Transaction account balances over the 

low reserve tranche are subject to a ten 

percent reserve requirement. Section 

19(b)(2) also provides that, before 

December 31 of each year, the Board 

shall issue a regulation adjusting the 

low reserve tranche for the next 

calendar year. The Act requires the 

adjustment in the low reserve tranche to 

be 80 percent of the percentage increase 

or decrease in total transaction accounts 

of all depository institutions over the 

one-year period that ends on the June 30 

prior to the adjustment. 

Net transaction accounts of all 

depository institutions increased 8.0 


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65564 Federal Register / Vol. 75, No. 206 / Tuesday, October 26, 2010 / Rules and Regulations 

2Consistent with Board practice, the nonexempt 

deposit cutoff level has been rounded to the nearest 

$0.1 million, and the reduced reporting limit has 

been rounded to the nearest $1 million. 

percent (from $870 billion to $941 

billion) between June 30, 2009 and June 

30, 2010. Accordingly, the Board is 

amending Regulation D to increase the 

low reserve tranche for net transaction 

accounts by $3.6 million, from $55.2 

million for 2010 to $58.8 million for 

2011. 

For depository institutions that file 

deposit reports weekly, the new low 

reserve tranche and reserve requirement 

exemption amount will be effective for 

the fourteen-day reserve computation 

period beginning Tuesday, November 

30, 2010, and for the corresponding 

fourteen-day reserve maintenance 

period beginning Thursday, December 

30, 2010. For depository institutions 

that report quarterly, the new low 

reserve tranche and reserve requirement 

exemption amount will be effective for 

the seven-day reserve computation 

period beginning Tuesday, December 

21, 2010, and for the corresponding 

seven-day reserve maintenance period 

beginning Thursday, January 20, 2011. 

2. Deposit Reports 

Section 11(b)(2) of the Federal 

Reserve Act authorizes the Board to 

require depository institutions to file 

reports of their liabilities and assets as 

the Board may determine to be 

necessary or desirable to enable it to 

discharge its responsibility to monitor 

and control the monetary and credit 

aggregates. The Board screens 

depository institutions each year and 

assigns them to one of four deposit 

reporting panels (weekly reporters, 

quarterly reporters, annual reporters, or 

nonreporters). The panel assignment for 

annual reporters is effective in June of 

the screening year; the panel assignment 

for weekly and quarterly reporters is 

effective in September of the screening 

year. 

In order to ease reporting burden, the 

Board permits smaller depository 

institutions to submit deposit reports 

less frequently than larger depository 

institutions. The Board permits 

depository institutions with net 

transaction accounts above the reserve 

requirement exemption amount but total 

transaction accounts, savings deposits, 

and small time deposits below a 

specified level (the ‘‘nonexempt deposit 

cutoff’’) to report deposit data quarterly. 

Depository institutions with net 

transaction accounts above the reserve 

requirement exemption amount but 

with total transaction accounts, savings 

deposits, and small time deposits above 

the nonexempt deposit cutoff are 

required to report deposit data weekly. 

The Board requires certain large 

depository institutions to report weekly 

regardless of the level of their net 

transaction accounts if the depository 

institution’s total transaction accounts, 

savings deposits, and small time 

deposits exceeds a specified level (the 

‘‘reduced reporting limit’’). The 

nonexempt deposit cutoff level and the 

reduced reporting limit are adjusted 

annually, by an amount equal to 80 

percent of the increase, if any, in total 

transaction accounts, savings deposits, 

and small time deposits of all 

depository institutions over the one-year 

period that ends on the June 30 prior to 

the adjustment. 

From June 30, 2009 to June 30, 2010, 

total transaction accounts, savings 

deposits, and small time deposits at all 

depository institutions increased 5 

percent (from $7,128 billion to $7,475 

billion). Accordingly, the Board is 

increasing the nonexempt deposit cutoff 

level by $9.5 million to $252.6 million 

for 2011 (up from $243.1 million in 

2010). The Board is also increasing the 

reduced reporting limit by $53 million 

to $1.415 billion in 2011 (up from 

$1.362 billion for 2010).2

Beginning in 2011, the boundaries of 

the four deposit reporting panels will be 

defined as follows. Those depository 

institutions with net transaction 

accounts over $10.7 million (the reserve 

requirement exemption amount) or with 

total transaction accounts, savings 

deposits, and small time deposits 

greater than or equal to $1.415 billion 

(the reduced reporting limit) are subject 

to detailed reporting, and must file a 

Report of Transaction Accounts, Other 

Deposits and Vault Cash (FR 2900 

report) either weekly or quarterly. Of 

this group, those with total transaction 

accounts, savings deposits, and small 

time deposits greater than or equal to 

$252.6 million (the nonexempt deposit 

cutoff level) are required to file the FR 

2900 report each week, while those with 

total transaction accounts, savings 

deposits, and small time deposits less 

than $252.6 million are required to file 

the FR 2900 report each quarter. Those 

depository institutions with net 

transaction accounts less than or equal 

to $10.7 million (the reserve 

requirement exemption amount) and 

with total transaction accounts, savings 

deposits, and small time deposits less 

than $1.415 billion (the reduced 

reporting limit) are eligible for reduced 

reporting, and must either file a deposit 

report annually or not at all. Of this 

group, those with total deposits greater 

than $10.7 million (but with total 

transaction accounts, savings deposits, 

and small time deposits less than $1.415 

billion) are required to file the Annual 

Report of Deposits and Reservable 

Liabilities (FR 2910a) report annually, 

while those with total deposits less than 

or equal to $10.7 million are not 

required to file a deposit report. A 

depository institution that adjusts 

reported values on its FR 2910a report 

in order to qualify for reduced reporting 

will be shifted to an FR 2900 reporting 

panel. 

Notice and Regulatory Flexibility Act. 

The provisions of 5 U.S.C. 553(b) 

relating to notice of proposed 

rulemaking have not been followed in 

connection with the adoption of these 

amendments. The amendments involve 

expected, ministerial adjustments 

prescribed by statute and by the Board’s 

policy concerning reporting practices. 

The adjustments in the reserve 

requirement exemption amount, the low 

reserve tranche, the nonexempt deposit 

cutoff level, and the reduced reporting 

limit serve to reduce regulatory burdens 

on depository institutions. Accordingly, 

the Board finds good cause for 

determining, and so determines, that 

notice in accordance with 5 U.S.C. 

553(b) is unnecessary. Consequently, 

the provisions of the Regulatory 

Flexibility Act, 5 U.S.C. 601, do not 

apply to these amendments. 

List of Subjects in 12 CFR Part 204 

Banks, banking, Reporting and 

recordkeeping requirements. 

■ For the reasons set forth in the 

preamble, the Board is amending 12 

CFR part 204 as follows: 

PART 204—RESERVE 

REQUIREMENTS OF DEPOSITORY 

INSTITUTIONS (REGULATION D) 

■ 1. The authority citation for part 204 

continues to read as follows: 

Authority: 12 U.S.C. 248(a), 248(c), 371a, 

461, 601, 611, and 3105. 

■ 2. Section 204.4(f) is revised to read as 

follows: 

§ 204.4 Computation of required reserves. 

* * * * * 

(f) For all depository institutions, 

Edge and Agreement corporations, and 

United States branches and agencies of 

foreign banks, required reserves are 

computed by applying the reserve 

requirement ratios below to net 

transaction accounts, nonpersonal time 

deposits, and Eurocurrency liabilities of 

the institution during the computation 

period. 


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Federal Register / Vol. 75, No. 206 / Tuesday, October 26, 2010 / Rules and Regulations 65565 

Reservable liability Reserve requirement 

NET TRANSACTION ACCOUNTS: 

$0 to reserve requirement exemption amount ($10.7 million) ..................................................................... 0 percent of amount. 

Over reserve requirement exemption amount ($10.7 million) and up to low reserve tranche ($58.8 million).3 percent of amount. 

Over low reserve tranche ($58.8 million) ..................................................................................................... $1,443,000 plus 10 percent of 

amount over $58.8 million. 

Nonpersonal time deposits ........................................................................................................................... 0 percent. 

Eurocurrency liabilities ................................................................................................................................. 0 percent. 

By order of the Board of Governors of the 

Federal Reserve System, acting through the 

Director of the Division of Monetary Affairs 

under delegated authority, October 21, 2010. 

Jennifer J. Johnson, 

Secretary of the Board. 

[FR Doc. 2010–27014 Filed 10–25–10; 8:45 am] 

BILLING CODE 6210–01–P 

DEPARTMENT OF HEALTH AND 

HUMAN SERVICES 

Food and Drug Administration 

21 CFR Parts 520, 556, and 558 

[Docket No. FDA–2010–N–0002] 

Animal Drugs, Feeds, and Related 

Products; Withdrawal of Approval of 

New Animal Drug Applications; 

Aklomide; Levamisole Hydrochloride; 

Nitromide and Sulfanitran 

AGENCY: Food and Drug Administration, 

HHS. 

ACTION: Final rule. 

SUMMARY: The Food and Drug 

Administration (FDA) is amending the 

animal drug regulations by removing 

those portions that reflect approval of 

eight new animal drug applications 

(NADAs). In a notice published 

elsewhere in this issue of the Federal 

Register, FDA is withdrawing approval 

of these NADAs. 

DATES: This rule is effective November 

5, 2010. 

FOR FURTHER INFORMATION CONTACT: John 

Bartkowiak, Center for Veterinary 

Medicine (HFV–212), Food and Drug 

Administration, 7519 Standish Pl., 

Rockville, MD 20855, 240–276–9079, 

e-mail: john.bartkowiak@fda.hhs.gov. 

SUPPLEMENTARY INFORMATION: Fort 

Dodge Animal Health, a Division of 

Wyeth Holdings, a Wholly Owned 

Subsidiary of Pfizer, Inc., 235 East 42d 

St., New York, NY 10017 has requested 

that FDA withdraw approval of the eight 

NADAs listed in Table 1 of this 

document because they are no longer 

manufactured or marketed. 

TABLE 1 

NADA No. Product Established name of drug(s) 

NADA 11–141 ............ UNISTAT–2 Type A medicated article ........................................................ nitromide and sulfanitran. 

NADA 14–250 ............ NOVASTAT Type A medicated article ........................................................ aklomide and sulfanitran. 

NADA 34–536 ............ ALKOMIX Type A medicated article ...........................................................

ALKOMIX–3 Type A medicated article .......................................................

aklomide. 

aklomide, sulfanitran, and roxarsone. 

NADA 34–537 ............ NOVASTAT–3 Type A medicated article .................................................... aklomide, sulfanitran, and roxarsone. 

NADA 35–388 ............ NOVASTAT–W Soluble Powder ................................................................. aklomide and sulfanitran. 

NADA 39–666 ............ UNISTAT–3 Type A medicated article ........................................................ nitromide, sulfanitran, and roxarsone. 

NADA 44–015 ............ TRAMISOL Type A medicated article ......................................................... levamisole. 

NADA 45–455 ............ TRAMISOL Type A medicated article ......................................................... levamisole. 

In a notice published elsewhere in 

this issue of the Federal Register, FDA 

gave notice that approval of NADA 11– 

141, 14–250, 34–536, 34–537, 35–388, 

39–666, 44–015, and 45–455, and all 

supplements and amendments thereto, 

is withdrawn, effective November 5, 

2010. As provided in the regulatory text 

of this document, the animal drug 

regulations are amended to reflect these 

withdrawals of approval. 

This rule does not meet the definition 

of ‘‘rule’’ in 5 U.S.C. 804(3)(A) because 

it is a rule of ‘‘particular applicability.’’ 

Therefore, it is not subject to the 

congressional review requirements in 5 

U.S.C. 801–808. 

List of Subjects 

21 CFR Part 520 

Animal drugs. 

21 CFR Part 556 

Animal drugs, Foods. 

21 CFR Part 558 

Animal drugs, Animal feeds. 

■ Therefore, under the Federal Food, 

Drug, and Cosmetic Act and under 

authority delegated to the Commissioner 

of Food and Drugs and redelegated to 

the Center for Veterinary Medicine, 21 

CFR parts 520, 556, and 558 are 

amended as follows: 

PART 520—ORAL DOSAGE FORM 

NEW ANIMAL DRUGS 

■ 1. The authority citation for 21 CFR 

part 520 continues to read as follows: 

Authority: 21 U.S.C. 360b. 

§ 520.2320 [Removed] 

■ 2. Remove § 520.2320. 

PART 556—TOLERANCES FOR 

RESIDUES OF NEW ANIMAL DRUGS 

IN FOOD 

■ 3. The authority citation for 21 CFR 

part 556 continues to read as follows: 

Authority: 21 U.S.C. 342, 360b, 371. 

§ 556.30 [Removed] 

■ 4. Remove § 556.30. 


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