Federal Register/Vol. 84, No. 78/Tuesday, April 23, 2019
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Federal Register / Vol. 84, No. 78 / Tuesday, April 23, 2019 / Proposed Rules 16797 connection with such incentive or regulations that make a more holistic By the National Credit Union bonus and monitors compliance with evaluation of individual compensation Administration Board on April 18, 2019. such policies and controls at least plans and the incentives they provide? Gerard Poliquin, annually; and Is a bright line test even possible in this Secretary of the Board. (D) Receipt of compensation from a highly fact determinative area? If so, [FR Doc. 2019–08166 Filed 4–22–19; 8:45 am] person outside a federal credit union by where is that line? BILLING CODE 7535–01–P a volunteer official or non-senior- • management employee of the credit Are current credit union union, or an immediate family member compensation plans similar to, and competitive with, those provided at CONSUMER PRODUCT SAFETY of a volunteer official or employee of the COMMISSION credit union, for a service or activity other financial institutions? If not, how do they differ and what, if anything, in performed outside the credit union, 16 CFR Part 1610 provided that no referral has been made the NCUA’s regulations contributes to by the credit union or the official, those differences? [Docket No. CPSC–2019–0008] employee, or family member. • What limitations, if any, are In the past, credit unions have been Request for Information About necessary to prevent individuals from Possible Exemptions From Testing confused about how to interpret the being incentivized to take inappropriate term ‘‘overall financial performance’’ in and Other Changes to the Standard for risks that endanger their credit unions? the Flammability of Clothing Textiles § 701.21(c)(8)(iii)(B). As noted, What authorities do credit unions need § 701.21(c)(8) generally prohibits most to enable them to compete for talented AGENCY: U.S. Consumer Product Safety credit union employees and officials executives? Commission. from receiving compensation made ‘‘in • ACTION: Request for information. connection with any loan’’ a credit To what extent should the NCUA permit loan metrics, such as loan union makes, but provides exceptions, SUMMARY: The U.S. Consumer Product including one that permits incentive volume, to be a part of compensation Safety Commission (CPSC) requests compensation to employees based on plans? How would those metrics be information about possible changes to the credit union’s overall financial incorporated into the overall plan? the Commission’s Standard for the performance. Credit unions have • Should the NCUA provide Flammability of Clothing Textiles to expressed uncertainly about whether additional requirements for expand the list of fabrics that are the NCUA permits loan metrics such as compensation related to a line of exempt from testing under the standard. aggregate loan growth to be a factor in business that is new for the credit union CPSC is particularly interested in assessing overall financial performance. or one in which the credit union lacks receiving information about the They also have asserted that the substantial experience or expertise? possibility of adding spandex to the list regulation is subject to varying of fabrics that are exempt from the interpretations and levels of III. Legal Authority testing requirements. CPSC also would enforcement across the NCUA’s regions. The Board has issued this ANPR like information about the equipment Given the degree of confusion and pursuant to its authority under the and procedures specified in the uncertainty this regulation has caused, Federal Credit Union Act (FCU Act). standard and possible ways to update the Board seeks comment as to how the Under the FCU Act, the NCUA is the those provisions to reduce the burdens NCUA should modernize its regulations chartering and supervisory authority for associated with the testing generally governing the compensation of requirements. credit union officials and employees in federal credit unions and the federal DATES: CPSC will accept written connection with loans made by credit supervisory authority for federally 6 comments through June 24, 2019. unions and specifically with respect to insured credit unions (FICUs). The defining ‘‘overall financial FCU Act grants NCUA a broad mandate ADDRESSES: You may submit written performance.’’ In addition, the Board to issue regulations governing both comments, identified by Docket No. specifically requests feedback federal credit unions and all FICUs. CPSC–2019–20008, using the methods addressing the following: Section 120 of the FCU Act is a general described below. CPSC encourages you • Is there a single industry standard grant of regulatory authority and to submit comments electronically, or methodology for developing authorizes the Board to prescribe rules rather than in hard copy. executive compensation plans? Are and regulations for the administration of Electronic Submissions: Submit there multiple standards or the FCU Act.7 Section 207 of the FCU electronic comments to the Federal methodologies for credit unions of Act is a specific grant of authority over eRulemaking Portal at: different asset sizes? share insurance coverage, www.regulations.gov. Follow the • Are the terms and conditions of conservatorships, and liquidations.8 instructions for submitting comments executive compensation plans Section 209 of the FCU Act is a plenary provided on the website. To ensure developed by credit unions themselves grant of regulatory authority to issue timely processing of comments, please or are the plans crafted by third-party rules and regulations necessary or submit all electronic comments through vendors? appropriate to carry out its role as share www.regulations.gov, rather than by • What do these plans look like? Are insurer for all FICUs.9 Accordingly, the email to CPSC. there specific formulas employed to FCU Act grants the Board broad Written Submissions: Submit written determine terms and conditions? If so, rulemaking authority to ensure that the comments by mail, hand delivery, or what are the formulas? credit union industry and the NCUSIF courier to: Division of the Secretariat, • Is the current structure of remain safe and sound. U.S. Consumer Product Safety § 701.21(c)(8), namely a broad Commission, Room 820, 4330 East-West prohibition with specific exceptions, the 6 12 U.S.C. 1752–1775. Highway, Bethesda, MD 20814; best format for regulating this area? 7 12 U.S.C. 1766(a). telephone (301) 504–7923. • Do commenters prefer a bright line 8 12 U.S.C. 1787. Instructions: All submissions must test for permissible compensation to 9 12 U.S.C. 1789. include the agency name and docket VerDate Sep<11>2014 17:17 Apr 22, 2019 Jkt 247001 PO 00000 Frm 00002 Fmt 4702 Sfmt 4702 E:\FR\FM\23APP1.SGM 23APP1 jbell on DSK3GLQ082PROD with PROPOSALS 16798 Federal Register / Vol. 84, No. 78 / Tuesday, April 23, 2019 / Proposed Rules number for this notice. CPSC may post requirements, establish three classes of 1610.1(d)(2) weighing less than 2.6 all comments, without change, flammability, set out the criteria for ounces per square yard, and including any personal identifiers, classifying textiles, and prohibit the use (2) raised surface fabrics, regardless of contact information, or other personal of textiles that exhibit rapid and intense weight, that contain spandex with one information provided, to: http:// burning. The purpose of these or a combination of the exempted fibers www.regulations.gov. Do not submit regulations is to reduce the risk of injury listed in 16 CFR 1610.1(d)(2). confidential business information, trade or death by prohibiting the use of 2. Burden and Cost Associated With secret information, or other sensitive or dangerously flammable clothing textiles. Testing Spandex protected information that you do not 16 CFR 1610.1(a). want to be available to the public. If The regulations exempt certain fabrics Please provide information about the furnished at all, such information from the testing requirements because general test burden and costs associated should be submitted by mail, hand ‘‘experience gained from years of testing with testing fabric containing spandex delivery, or courier. in accordance with the Standard fibers. The following specific Docket: For access to the docket to demonstrates that certain fabrics information would be helpful: read background documents or consistently yield acceptable results • How much testing is required for comments, go to: www.regulations.gov, when tested in accordance with the fabrics containing spandex subject to 16 and insert the docket number, CPSC– Standard.’’ 16 CFR 1610.1(d). Currently, CFR part 1610? 2019–20008, into the ‘‘Search’’ box, and the following fabrics are exempt from • What are the costs associated with follow the prompts. the testing requirements: the required testing? • FOR FURTHER INFORMATION CONTACT: (1) Plain surface fabrics, regardless of What types of fabrics and garments Allyson Tenney, Director, Division of fiber content, weighing 2.6 ounces per require testing? Engineering, Directorate for Laboratory square yard or more, and B. Additional Possible Changes to the (2) All fabrics, both plain surface and Sciences, U.S. Consumer Product Safety Standard: Commission, 5 Research Place, raised-fiber surface textiles, regardless Rockville, MD 20850; telephone: (301) of weight, made entirely from any of the 1. Availability and Specifications of 987–2769; email: [email protected]. following fibers or entirely from Stop Thread SUPPLEMENTARY INFORMATION: combination of the following fibers: Section 1610.5 specifies the test Acrylic, modacrylic, nylon, olefin, apparatus and materials that must be I. Background polyester, wool. used for flammability testing. The On June 16, 2017, the Commission Id. flammability test apparatus must requested input from interested parties II. Request for Information include, among other things, a about ways to reduce the burdens and particular stop thread that is stretched CPSC is considering changes to the costs associated with existing from the spool through stop guides. The Standard for the Flammability of regulations, while still protecting stop thread must be ‘‘a spool of No.