Federal Reserve Bank Services: Imputed Income on Clearing Balances

FEDERAL RESERVE SYSTEM

[Docket R-0846]

Federal Reserve Bank Services: Imputed Income on Clearing

Balances

AGENCY: Board of Governors of the Federal Reserve System.

ACTION: Request for comment; extension of comment period.

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SUMMARY: On August 16, 1994, the Board requested comment on a proposal

to modify the methodology for imputing clearing balance income to more

closely parallel the practices of a private sector service provider.

The Secretary of the Board, acting under delegated authority, has

extended the comment period by 30 days to give the public additional

time to provide comments.

DATES: Comments must be received by October 21, 1994.

ADDRESSES: Comments should refer to Docket No. R-0846, and may be

mailed to William W. Wiles, Secretary, Board of Governors of the

Federal Reserve System, 20th Street and Constitution Avenue, N.W.,

Washington, D.C. 20551. Comments also may be delivered to Room B-2222

of the Eccles Building between 8:45 a.m. and 5:15 p.m. weekdays, or to

the guard station in the Eccles Building courtyard on 20th Street, N.W.

(between Constitution Avenue and C Street) at any time. Comments may be

inspected in Room MP-500 of the Martin Building between 9:00 a.m. and

5:00 p.m. weekdays, except as provided in 12 CFR 261.8 of the Board's

rules regarding availability of information.

FOR FURTHER INFORMATION CONTACT: Greg Evans, Manager (202/452-3945), or

Gwen Mitchell, Senior Accounting Analyst (202/452-3841), Division of

Reserve Bank Operations and Payment Systems, Board of Governors of the

Federal Reserve System. For the hearing impaired only:

Telecommunications Device for the Deaf, Dorothea Thompson (202/452-

3544).

SUPPLEMENTARY INFORMATION: On August 16, 1994, the Board requested

comment on a proposal to modify the methodology for imputing clearing

balance income to more closely parallel the practices of a private

sector service provider (see 59 FR 42832, August 19, 1994).

Specifically, the Board requested comment on a proposal to change the

rate used to impute clearing balance income from the 90-day Treasury

bill coupon equivalent yield to a longer term Treasury rate based on

the earning asset maturity structure of the largest bank holding

companies (BHCs). The intended effect of the proposal is to promote

competitive equity with private sector practices by matching the

maturity structure for investment of clearing balances to the structure

revealed in BHC data on investments.

The Board has received requests to extend the comment period. In

order to accommodate the public's need for additional time, the comment

period is extended until October 21, 1994.

By order of the Secretary of the Board, acting pursuant to

delegated authority for the Board of Governors of the Federal

Reserve System, September 12, 1994.

William W. Wiles,

Secretary of the Board.

[FR Doc. 94-22824 Filed 9-14-94; 8:45 am]

BILLING CODE 6210-01-P