Federal Register / Vol. 84, No. 211 / Thursday, October 31, 2019 / Notices 58383

Unauthorized Committees (PACs and and the other form to cover only 2020 must simultaneously file FEC Form 3L Party Committees) activity, labeled as the Pre-General if they receive two or more bundled Political committees not filing Report. Both forms must be filed by contributions from lobbyists/registrants monthly in 2019 or 2020 are subject to January 15, 2020. or lobbyist/registrant PACs that special election reporting if they make Committees filing monthly that make aggregate in excess of the lobbyist previously undisclosed contributions or contributions or expenditures in bundling disclosure threshold during expenditures in connection with the connection with the Wisconsin Special the special election reporting periods. Wisconsin Special Primary or Special Primary or Special General Elections (See charts below for closing date of General Elections by the close of books will continue to file according to the each period.) 11 CFR 104.22(a)(5)(v), (b), for the applicable report(s). (See charts monthly reporting schedule. 110.17(e)(2), (f). below for the closing date for each Additional disclosure information in The lobbyist bundling disclosure report.) connection with the Wisconsin Special threshold for calendar year 2019 is Since disclosing financial activity Elections may be found on the FEC $18,700. This threshold amount may from two different calendar years on one website at https://www.fec.gov/help- change in 2020 based upon the annual report would conflict with the calendar candidates-and-committees/dates-and- cost of living adjustment (COLA). As year aggregation requirements stated in deadlines/. soon as the adjusted threshold amount the Commission’s disclosure rules, is available, the Commission will Disclosure of Lobbyist Bundling unauthorized committees that trigger publish it in the Federal Register and Activity the filing of the consolidated Pre- post it on its website. 11 CFR 104.22(g) General & Year-End Report will be Principal campaign committees, party and 110.17(e)(2). For more information required to file this report on two committees and leadership PACs that on these requirements, see Federal separate forms: One form to cover 2019 are otherwise required to file reports in Register Notice 2009–03, 74 FR 7285 activity, labeled as the Year-End Report; connection with the special elections (February 17, 2009).

CALENDAR OF REPORTING DATES FOR WISCONSIN SPECIAL ELECTIONS

Reg./cert. & Report Close of overnight Filing books 1 mailing deadline deadline

Committees Involved in Only the Special Primary (12/30/19) Must File

Pre-Primary ...... 12/10/19 2 12/15/19 12/18/19 Year-End ...... 12/31/19 01/31/20 01/31/20

Committees Involved in Both the Special Primary (12/30/19) and Special General (01/27/20) Must File

Pre-Primary ...... 12/10/19 2 12/15/19 12/18/19 Pre-General & Year-End 3 ...... 01/07/20 2 01/12/20 01/15/20 Post-General ...... 02/16/20 02/26/20 02/26/20 April Quarterly ...... 03/31/20 04/15/20 04/15/20

Committees Involved in Only the Special General (01/27/20) Must File

Pre-General & Year-End 3 ...... 01/07/20 2 01/12/20 01/15/20 Post-General ...... 02/16/20 02/26/20 02/26/20 April Quarterly ...... 03/31/20 04/15/20 04/15/20 1 The reporting period always begins the day after the closing date of the last report filed. If the committee is new and has not previously filed a report, the first report must cover all activity that occurred before the committee registered as a political committee up through the close of books for the first report due. 2 Notice that the registered/certified & overnight mailing deadline falls on a weekend. The report should be postmarked on or before that date. 3 Committees should file a consolidated Pre-General & Year-End Report by the filing deadline of the Pre-General Report.

Dated: October 25, 2019. BOARD OF GOVERNORS OF THE SUMMARY: The Board of Governors of the On behalf of the Commission. SYSTEM Federal Reserve System (FRB) and the Ellen L. Weintraub, Federal Deposit Insurance Corporation FEDERAL DEPOSIT INSURANCE (FDIC) and (collectively, the agencies) Chair, Federal Election Commission. CORPORATION [FR Doc. 2019–23764 Filed 10–30–19; 8:45 am] are seeking information and comments [Docket No. OP–1681] from interested parties regarding the BILLING CODE 6715–01–P consistency of ratings assigned by the RIN 3064–ZA08 agencies under the Uniform Financial Request for Information on Application Institutions Rating System (UFIRS). The of the Uniform Financial Institutions assigned ratings are commonly known Rating System as CAMELS ratings. The agencies also are interested in receiving feedback AGENCY: Federal Deposit Insurance concerning the current use of CAMELS Corporation and Board of Governors of ratings by the agencies in their bank the Federal Reserve System application and enforcement action ACTION: Notice and request for comment. processes.

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DATES: Comments must be received by Arlington, VA 22226 by telephone at adopted the UFIRS in 1979 to provide December 30, 2019 (877) 275–3342 or (703) 562–2200. supervisors with a methodology for ADDRESSES: Board: You may submit FOR FURTHER INFORMATION CONTACT: evaluating the soundness of depository comments, identified by Docket No. Board: Alex Kobulsky, Senior institutions on a uniform basis. In OP–1681, by any of the following Financial Institution Policy Analyst II, addition, the UFIRS promotes uniform methods: (202) 452–2031, and Catherine Piche´, supervisory practices, and provides a • Agency Website: http:// Deputy Associate Director, (202) 452– consistent mechanism for identifying www.federalreserve.gov. Follow the 3793, Division of Supervision and problem institutions.4 In December instructions for submitting comments at Regulation; or Patricia Yeh, Senior 1996, the UFIRS was revised after http://www.federalreserve.gov/ Counsel, (202) 452–3089, Legal public notice and comment.5 The generalinfo/foia/ProposedRegs.cfm. Division, Board of Governors of the updated UFIRS added a component for • Email: regs.comments@ Federal Reserve System, 20th and C rating sensitivity to market risk. The federalreserve.gov. Include docket Streets NW, Washington, DC 20551. For rating system was revised to clarify that number in the subject line of the the hearing impaired only, the component rating assessments message. Telecommunication Device for the Deaf should consider an institution’s size, the • FAX: (202) 452–3819 or (202) 452– (TDD), (202) 263–4869. nature and complexity of its business 3102. FDIC: Rae-Ann Miller, Associate activities, and its risk profile; increase • Mail: Ann E. Misback, Secretary, Director, Risk Management Policy; emphasis on risk management; and Board of Governors of the Federal Samuel B. Lutz, Counsel Supervision address additional complexities Reserve System, 20th Street and and Legislation Branch, Legal Division, associated with on- and off-balance Constitution Avenue NW, Washington, Federal Deposit Insurance Corporation, sheet investments of financial DC 20551. All public comments are 550 17th Street NW, Washington, DC institutions. available from the Board’s website at 20429. CAMELS Rating System http://www.federalreserve.gov/ SUPPLEMENTARY INFORMATION : The UFIRS describes each rating generalinfo/foia/ProposedRegs.cfm as component, and includes a list of factors submitted, unless modified for technical Background Information that examiners evaluate when assigning reasons or to remove personally Section 10(d) of the Federal Deposit a rating to the institution. Examiners identifiable information at the Insurance Act (FDI Act) generally assign CAMELS components and commenter’s request. Accordingly, requires the appropriate federal banking composite ratings on a scale of ‘‘1’’ to comments will not be edited to remove agency for an insured depository ‘‘5.’’ A rating of ‘‘1’’ indicates the any identifying or contact information. institution to conduct a full-scope, on- highest rating, strongest performance Public comments may also be viewed site examination at least once every 12 and risk management practices, and the electronically or in paper in Room 146, months, but permits a longer cycle—at least degree of supervisory concern, 1709 New York Avenue NW, least once every 18 months—for insured whereas a ‘‘5’’ indicates the lowest Washington, DC 20006, between 9:00 depository institutions that meet certain rating, weakest performance, inadequate a.m. and 5:00 p.m. on weekdays. criteria, including the requirement that the insured depository institution must risk management practices, and FDIC have total assets below a specified size therefore, the highest degree of You may submit comments, identified limit.1 At the conclusion of an supervisory concern. Each component by RIN 3064–ZA08, by any of the examination, examination staff develop rating contains risk management following methods: findings and conclusions, which serve considerations that emphasize the • Agency Website: http:// as the primary basis for assessing the ability of management to respond to www.fdic.gov/regulations/laws/federal/. condition of an insured depository changing circumstances and to address Follow the instructions for submitting institution under the UFIRS.2 The the risks that may arise from changing comments on the Agency website. UFIRS is commonly called the CAMELS business conditions or the initiation of • Email: [email protected]. Include rating system, which is an acronym of new activities or products and are an the RIN 3064–ZA08 in the subject line the six evaluation components: Capital, important factor in evaluating a of the message. Asset Quality, Management, Earnings, financial institution’s overall risk profile and the level of supervisory attention • Mail: Robert E. Feldman, Executive Liquidity, and Sensitivity to Market warranted. Institutions are rated Secretary, Attention: Comments, Federal Risk. In addition, the CAMELS rating individually based on their primary Deposit Insurance Corporation, 550 17th system contains an overall composite Federal or state regulator’s assessment Street NW, Washington, DC 20429. rating. of how each institution’s risk profile fits • Hand Delivery: Comments may be The Federal Financial Institutions the CAMELS definitions. hand-delivered to the guard station at Examination Council (FFIEC) 3 first The agencies also conduct reviews the rear of the 550 17th Street Building and examinations of institutions’ (located on F Street) on business days 1 See Section 10(b) and 10(d) of the Federal between 7:00 a.m. and 5:00 p.m. Deposit Insurance Act. 12 U.S.C. 1820(d). See also • 83 FR 67033 (December 28, 2018). National Credit Union Administration, the Public Inspection: All comments 2 Additional details on the conduct and rationale Comptroller of the Currency, and a representative received must include the agency name of FDIC bank examinations can be found in the Risk state regulator are voting members of the FFIEC. and RIN for this rulemaking. All Management Manual of Examination Policies and The functions of the FFIEC Council include comments received will be posted FRB examinations can be found in the Commercial establishing principals and standards, making Bank Examination Manual, which is available at: recommendations regarding supervisory matters without change to http://www.fdic.gov/ https://www.federalreserve.gov/publications/files/ and adequacy of supervisory tools, and developing regulations/laws/federal/—including cbem.pdf. a uniform reporting system. any personal information provided—for 3 Federal Financial Institutions Examination 4 See https://www.gao.gov/assets/100/98389.pdf. public inspection. Paper copies of Council Act of 1978 (Pub. L. 95–630) (Nov. 10, 5 See 61 FR 37472 (July, 18, 1996) and 61 FR 1978). Currently, the Director of the Consumer 67021 (Dec. 19, 1996). See also SR letter 96–38, public comments may be ordered from Financial Protection Bureau, the Chair of the Board ‘‘Uniform Financial Institutions Rating System,’’ the FDIC Public Information Center, of the FDIC, a governor of the Board of Governors available at: https://www.federalreserve.gov/ 3501 North Fairfax Drive, Room E–1002, of the Federal Reserve System, the Chairman of the boarddocs/srletters/1996/sr9638.htm.

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compliance with laws and regulations an institution’s CAMELS rating or report assigned under CAMELS are significant related to anti-money laundering and of examination in any manner without indicators of the need for heightened consumer protection. Examiners the primary federal regulator’s supervisory attention including consider the results and findings from permission, except in limited enforcement actions for more these and other types of examinations circumstances specified in the law (12 problematic issues.12 The UFIRS states and reviews, as appropriate, when U.S.C. 1817(a) and 1831m) and in the that with respect to an institution with assigning component and composite agencies’ regulations.9 a ‘‘4’’ composite rating, ‘‘close ratings under CAMELS. supervisory attention is required, which Implications of CAMELS Ratings The composite CAMELS rating bears means, in most cases, formal a close relationship to the assigned The CAMELS ratings have a number enforcement action is necessary to component ratings. However, examiners of supervisory implications for address the problems.’’ The agencies do not assign a composite rating by institutions. For instance, the agencies also utilize ratings in the computing an arithmetic average of the increase supervisory activities, which implementation of certain laws and component ratings. When assigning a may include targeted examinations regulations.13 composite rating, examiners may give between regularly scheduled Request for Comments From Interested some components more weight than examinations, if an institution’s Parties others depending on the situation and CAMELS ratings are less than risk of the institution. Assignment of a satisfactory. The agencies are issuing this RFI to composite rating may incorporate any The agencies take CAMELS ratings seek public input regarding how factor that bears significantly on the into account when evaluating CAMELS ratings are assigned to overall condition and soundness of the institutions’ filings, such as merging supervised institutions, and the institution. with or acquiring another institution, implications of such ratings in the The agencies also conduct opening new branches, or engaging in application and enforcement action examinations and reviews of certain new activities.10 The agencies generally processes. This effort to seek comments specialty areas, outside of the CAMELS expect an institution to be in and information is consistent with the ratings, such as information satisfactory condition, as reflected in its agencies’ commitment to increase technology,6 asset management/trust,7 CAMELS ratings, before effecting transparency, improve efficiency, and government securities dealers or expansion plans. The agencies expect an support innovation, and provide clearing agencies.8 For the institution in less-than-satisfactory opportunities for public feedback. This aforementioned specialty areas, agencies condition, or that has a less-than- request for information is not a proposal assign unique ratings to institutions. satisfactory record of consumer to modify the CAMELS rating These rating systems are excluded from compliance or performance under the definitions. Such definitions were this RFI. Community Reinvestment Act to issued through the FFIEC. In addition to the regularly scheduled concentrate their managerial and The agencies encourage comments examinations, the agencies conduct off- financial resources on remediating their from interested members of the public, site institution surveillance and deficiencies. An institution in less-than- including, but not limited to, insured monitoring that rely on relevant satisfactory condition may seek depository institutions, other financial financial regulatory reports (for approval for an expansionary proposal; institutions or companies, individual example, the ) and however the agencies would consider depositors and consumers, consumer supervisory information. The purpose of whether any proposed expansion would groups, trade associations, and other this monitoring is to identify compromise management’s efforts to members of the financial services institutions exhibiting increased risk address the current deficiencies of the industry. Given confidentiality 14 profiles or financial deterioration institution. requirements applicable to financial between examinations. The surveillance Supervisors issue formal enforcement institutions’ CAMELS ratings and other process promotes timely supervisory actions to institutions to address report of examination findings and practices that the supervisors believe to conclusions, the agencies realize there attention to these institutions and 11 directs examination resources to them. be unlawful, unsafe, or unsound. The are limitations on responses regarding initial determination of whether formal the consistency of how CAMELS ratings Communication and Confidentiality of action is required usually results from are assigned. The agencies, however, CAMELS Ratings examination findings. As such, welcome general comments that do not Agencies typically communicate the composite and component ratings breach these confidentiality CAMELS ratings to an institution requirements. through a formal, written report of 9 See 12 CFR part 261. Any unauthorized disclosure of the report may subject the person or Topics for Commenters examination or other official agency persons disclosing or receiving such information to correspondence. The CAMELS ratings the penalties of Section 641 of the U.S. Criminal CAMELS Rating System and the report of examination or other Code (18 U.S.C. 641). 1. To what extent does each agency official agency correspondence are 10 For the FRB see 12 CFR 208.3(b). See also SR assign composite and component ratings letter 14–2/CA letter 14–1, ‘‘Enhancing property of the agencies and are Transparency in the Federal Reserve’s Applications provided to the institution’s board of Process,’’ available at: https:// 12 Enforcement actions may be informal, such as directors and management for their www.federalreserve.gov/supervisionreg/srletters/ a Memorandum of Understanding, or formal, such confidential use. The report of sr1402.htm, and SR letter 13–7 CA letter 13–4, as an Order issued under Section 8(b) of the Federal ‘‘State Member Bank Branching Considerations,’’ Deposit Insurance Act (FDI Act). examination and official available at https://www.federalreserve.gov/ 13 See, for example, section 10(d) of the FDI Act, correspondence are strictly privileged supervisionreg/srletters/sr1307.htm. For the FDIC, 12 U.S.C. 1820(d); 12 CFR 337.12. and confidential under applicable law, see 12 CFR part 303 of the FDIC Rules and 14 For the FRB, see 12 CFR 261 subpart C— and the agencies prohibit disclosure of Regulations—Filing Procedures and the FDIC Confidential Information Made Available to Statement of Policy on Bank Merger Transactions. Supervised Financial Institutions and Financial 11 The Interagency Guidelines Establishing Institution Supervisory Agencies, Law Enforcement 6 64 FR 3109 (Jan. 20, 1999). Standards for Safety and Soundness are found in 12 Agencies, and Others in Certain Circumstances. For 7 63 FR 54704 (Oct. 13, 1998). CFR 208 appendix D–1 for the FRB and in 12 CFR the FDIC, see 12 CFR part 309—Disclosure of 8 17 CFR 450.3. part 364 of the FDIC Rules and Regulations. Information.

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in a manner that is consistent with the Federal Deposit Insurance Corporation. Analysis to Aid Public Comment CAMELS rating system? Annmarie Boyd, describes the terms of the consent 2. To what extent do the agencies Assistant Executive Secretary. agreement and the allegations in the appropriately communicate and support [FR Doc. 2019–23739 Filed 10–30–19; 8:45 am] complaint. An electronic copy of the each rating after an on-site examination BILLING CODE P full text of the consent agreement or at the end of an examination cycle, package can be obtained from the FTC including communicating the effect of Home Page (for October 22, 2019), on each rating or finding on the composite FEDERAL TRADE COMMISSION the World Wide Web, at https:// rating? www.ftc.gov/news-events/commission- 3. Does the agencies’ use of the [File No. 172 3118] actions. CAMELS rating system vary from one You can file a comment online or on examination, or examination cycle, to Retina-X Studios, LLC; Analysis To Aid paper. For the Commission to consider the next? Please explain. Public Comment your comment, we must receive it on or before December 2, 2019. Write ‘‘Retina- 4. Are the agencies generally AGENCY: Federal Trade Commission. consistent in their approach to assigning X Studios, LLC; File No. 172 3118’’ on ACTION: Proposed consent agreement; CAMELS ratings to institutions when your comment. Your comment— request for comment. compared to each other and across other including your name and your state— will be placed on the public record of supervisory agencies? What practices, if SUMMARY: The consent agreement in this this proceeding, including, to the extent any, should the agencies consider matter settles alleged violations of practicable, on the https:// implementing to enhance the consistent federal law prohibiting unfair or www.regulations.gov website. assignment of CAMELS ratings? deceptive acts or practices. The attached 5. To what extent do the agencies Postal mail addressed to the Analysis to Aid Public Comment Commission is subject to delay due to apply the CAMELS rating system in a describes both the allegations in the manner that is sufficiently flexible to heightened security screening. As a complaint and the terms of the consent result, we encourage you to submit your reflect differences between financial order—embodied in the consent institutions such as size, business comments online through the https:// agreement—that would settle these www.regulations.gov website. models, risks, and internal and external allegations. operating environments, as well as If you prefer to file your comment on overall technological developments and DATES: Comments must be received on paper, write ‘‘Retina-X Studios, LLC; emerging risks? or before December 2, 2019. File No. 172 3118’’ on your comment 6. To what extent does the scope of ADDRESSES: Interested parties may file and on the envelope, and mail your comment to the following address: supervisory work performed during an comments online or on paper, by Federal Trade Commission, Office of the examination cycle align with the following the instructions in the Secretary, 600 Pennsylvania Avenue components of the CAMELS rating Request for Comment part of the NW, Suite CC–5610 (Annex D), system? Which areas, if any, should SUPPLEMENTARY INFORMATION section Washington, DC 20580; or deliver your receive more or less emphasis in order below. Write: ‘‘Retina-X Studios, LLC; comment to the following address: to assign a CAMELS rating File No. 172 3118’’ on your comment, Federal Trade Commission, Office of the appropriately? and file your comment online at https:// Secretary, Constitution Center, 400 7th 7. What steps, if any, should the www.regulations.gov by following the Street SW, 5th Floor, Suite 5610 (Annex agencies take to promote the consistent instructions on the web-based form. If D), Washington, DC 20024. If possible, application of the CAMELS framework you prefer to file your comment on submit your paper comment to the in the supervisory process? paper, mail your comment to the following address: Federal Trade Commission by courier or overnight Implications of CAMELS Ratings Commission, Office of the Secretary, service. Because your comment will be placed 8. To what extent does an institution’s 600 Pennsylvania Avenue NW, Suite on the publicly accessible website at CC–5610 (Annex D), Washington, DC condition, as reflected in its CAMELS https://www.regulations.gov, you are ratings, affect the agencies’ actions on 20580, or deliver your comment to the solely responsible for making sure that applications, particularly for new or following address: Federal Trade your comment does not include any expanded business activities? To what Commission, Office of the Secretary, sensitive or confidential information. In extent, if any, should the agencies Constitution Center, 400 7th Street SW, particular, your comment should not modify or clarify their approach? 5th Floor, Suite 5610 (Annex D), include any sensitive personal 9. To what extent do the CAMELS Washington, DC 20024. information, such as your or anyone ratings impact the issuance of FOR FURTHER INFORMATION CONTACT: else’s Social Security number; date of enforcement actions? To what extent Jacqueline Connor (202–326–2844), birth; driver’s license number or other does the issuance of enforcement Bureau of Consumer Protection, Federal state identification number, or foreign actions impact CAMELS ratings? To Trade Commission, 600 Pennsylvania country equivalent; passport number; what extent, if any, should the agencies Avenue NW, Washington, DC 20580. financial account number; or credit or modify or clarify their approach? SUPPLEMENTARY INFORMATION: Pursuant debit card number. You are also solely 10. What steps, if any, should the to Section 6(f) of the Federal Trade responsible for making sure that your agencies take to promote the consistent Commission Act, 15 U.S.C. 46(f), and comment does not include any sensitive use of CAMELS ratings in applications FTC Rule 2.34, 16 CFR 2.34, notice is health information, such as medical and enforcement matters? hereby given that the above-captioned records or other individually By order of the Board of Governors of the consent agreement containing a consent identifiable health information. In Federal Reserve System, October 17, 2019. order to cease and desist, having been addition, your comment should not Ann E. Misback, filed with and accepted, subject to final include any ‘‘trade secret or any Secretary of the Board. approval, by the Commission, has been commercial or financial information Dated at Washington, DC on October 17, placed on the public record for a period which . . . is privileged or 2019. of thirty (30) days. The following confidential’’—as provided by Section

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