Office of the Comptroller of the Currency Seeks Public Comment on Renewal of Mandatory Contractual Stay Requirements for Qualified Financial Contracts Information Collection

The Office of the Comptroller of the Currency (OCC) published a formal notice in the Federal Register initiating a sixty-day public comment period regarding the renewal of an existing information collection. The collection, designated under Office of Management and Budget control number 1557-0339, governs mandatory contractual stay requirements for qualified financial contracts across certain large banking institutions. This regulatory procedure aligns with the statutory mandates of the Paperwork Reduction Act of 1995, which requires federal agencies to seek public input before submitting information collection requests to the Office of Management and Budget for extension.

Background and Scope of Covered Institutions

The information collection supports regulatory oversight established under 12 CFR part 47. Covered entities subject to these requirements include national banks and federal savings associations with total assets exceeding $700 billion. The rules also apply to subsidiaries of global systemically important bank holding companies designated under Federal Reserve Board Regulation YY as well as similar subsidiaries and branches of global systemically important foreign banking organizations. These institutions must ensure that their qualified financial contracts include contractual stay-and-transfer provisions comparable to statutory requirements found in Title II of the Dodd-Frank Wall Street Reform and Consumer Protection Act and the Federal Deposit Insurance Act.

Compliance Mechanisms and Information Collection

Institutions subject to the rule may comply by amending their contract provisions directly or by adhering to established industry standards such as the International Swaps and Derivatives Association 2015 Universal Resolution Stay Protocol. Alternatively, covered banks may petition the OCC to approve alternative forms or amendments featuring enhanced creditor protection conditions. To secure approval for such alternatives, institutions must submit comprehensive legal analyses and written legal opinions verifying validity and enforceability under relevant laws. The OCC estimates that the collection affects fifty-one respondents, with an estimated burden of 140 hours per respondent, resulting in a total annual burden of 7,140 hours.

Administrative Process and Next Steps

Public comments on the necessity of the collection, the accuracy of the burden estimates, and potential methods to minimize reporting burdens must be submitted by January 4, 2027. Submissions may be delivered via email, mail, hand delivery, or fax to the Chief Counsel Office of the OCC. Following the close of the initial sixty-day comment period, the agency will publish a subsequent notice providing an additional thirty-day window for public review and input before finalizing the renewal request for submission to the Office of Management and Budget.