2024-16174. Agency Information Collection Activities; Proposed Collection; Submission for OMB Review; Beneficial Ownership Information Collection Request

Table 1—Annual Hourly Burden Associated With Requirements

Action	Type of entity	Number of entities	Hours per entity	Total annual hourly burden
A. Develop and implement administrative and physical safeguards	Financial institutions	15,716	240 in Year 1; 0 in Years 2+	3,771,840 in Year 1; 0 in Years 2+.
B. Enter into an agreement with FinCEN and establish standards and procedures	State, local, and Tribal agencies and SROs	218	300 in Year 1; 0 in Years 2+	65,400 in Year 1; 0 in Years 2+.
C. Develop and implement technical safeguards	Financial institutions	15,716	0 in Year 1; 0 in Years 2+	0 in Year 1; 0 in Years 2+.
D. Establish a secure system to store BOI	State, local, and Tribal agencies and SROs	218	300 in Year 1; 4 in Years 2+	65,400 in Year 1; 872 in Years 2+.
E. Establish and maintain an auditable system of standardized records for requests	State, local, and Tribal agencies and SROs	218	200 in Year 1; 20 in Years 2+	43,600 in Year 1; 4,360 in Years 2+.
F. Obtain and document customer consent	Financial institutions	15,716	70 in Year 1; 20 in Years 2+	1,100,120 in Year 1; 314,320 in Years 2+.
G. Submit certification for each request that it meets certain requirements 1	Financial institutions	15,716	94 in Year 1; 94 in Years 2+	1,474,161 in Year 1; 1,474,161 in Years 2+.
G. Submit written certification for each request that it meets certain requirements, including court authorization	State, local, and Tribal law enforcement	158	12,975 in Year 1; 10,443 in Years 2+	2,050,003 in Year 1; 1,649,994 in Years 2+.
G. Submit written certification for each request that it meets certain requirements	State regulatory agencies and SROs	60	125 in Year 1; 125 in Years 2+	7,500 in Year 1; 7,500 in Years 2+.
H. Undergo training 2	Financial institutions	15,716	8 in Year 1; 8 in Years 2+	128,871 in Year 1; 128,871 in Years 2+.
H. Restrict access to appropriate persons within the entity, which specifies that appropriate persons will undergo training 3	State, local, and Tribal agencies and SROs	218	9 in Year 1, 9 in Years 2+	2,006 in Year 1; 2,006 in Years 2+.
I. Conduct an annual audit and cooperate with FinCEN's annual audit	State, local, and Tribal agencies and SROs	218	160 in Year 1; 160 in Years 2+	34,880 in Year 1; 34,880 in Years 2+.
J. Obtain certification of standards and procedures initially and then semi-annually, by the head of the entity	State, local, and Tribal agencies and SROs	218	Included in I.	Included in I.
K. Provide initial and then an annual report on procedures	State, local, and Tribal agencies and SROs	218	Included in I.	Included in I.
L. Comply with certain geographic restrictions	Financial institutions	15,716	0 in Year 1; 0 in Years 2+	0 in Year 1; 0 in Years 2+.
M. Notify FinCEN of information demand from foreign government	Financial institutions	15,716	0 in Year 1; 0 in Years 2+	0 in Year 1; 0 in Years 2+.
Total Annual Hourly Burden				8,743,781 in Year 1; 3,616,964 in Years 2+ (Average of 5,325,903 hours across first 3 years).
1  For all types of entities, the hours per entity for Action G is the per entity share of the aggregate burden estimated in the RIA.
2  For financial institutions, the hours per entity for Action H equals the weighted average of the large and small financial institutions' maximum burden estimated in the RIA.
3  For State, local, and Tribal agencies and SROs, the hours per entity for Action H equals the per entity share of the aggregate burden.

Estimated Total Annual Reporting and Recordkeeping Cost: As described in Table 3 of the BOI Access Rule RIA, FinCEN calculated the fully loaded hourly wage for each type of affected entity type.^[9] Using these estimated wages, the total cost of the annual burden in year 1 is $868,200,270. In year 2 and onward, FinCEN estimates that the total cost of the annual burden is $339,309,502, owing to Actions A and B only imposing burdens in year 1, Actions D and E having lower annual per entity burdens, and Action G having lower burden per request for State, local, and Tribal law enforcement agencies. The annual estimated cost for State, local, and Tribal agencies and SROs is $181,851,118 in the first year and $136,070,190 in year 2 and onward. The annual estimated cost for financial institutions is $686,349,152 in the first year and $203,239,312 in year 2 and onward. The 5-year average annual cost estimate is $445,087,656.^[10]

This notice seeks comment on the estimated total annual reporting and recordkeeping cost for the information collection associated with BOI requests, specifically the requirement to “submit written certification for each request that it meets certain requirements” (Action G in Table 2 below). FinCEN previously provided notice and an opportunity for public comment on all actions that constitute the reporting and recordkeeping cost associated with the BOI Access Rule, including the certification requirement, as well as the estimated total annual reporting and recordkeeping cost, through the BOI Access Rule rulemaking. As FinCEN is issuing this notice with regard to the information collection associated with BOI requests, this notice seeks comment only on the certification requirement.

Table 2—Annual Cost Associated With Requirements

Action	Type of entity	Hourly wage	Total annual hourly burden	Total annual cost
A. Develop and implement administrative and physical safeguards	Financial institutions	$106	3,771,840 in Year 1; 0 in Years 2+	$399,815,040 in Year 1; $0 in Years 2+.
B. Enter into an agreement with FinCEN and establish standards and procedures	State, local, and Tribal agencies	80	65,400 in Year 1; 0 in Years 2+	$5,232,000 in Year 1; $0 in Years 2+.
C. Develop and implement technical safeguards	Financial institutions	106	0 in Year 1; 0 in Years 2+	$0 in Year 1; $0 in Years 2+.
D. Establish a secure system to store BOI	State, local, and Tribal agencies	80	65,400 in Year 1; 872 in Years 2+	$5,232,000 in Year 1; $69,760 in Years 2+.
E. Establish and maintain an auditable system of standardized records for requests	State, local, and Tribal agencies	80	43,600 in Year 1; 4,360 in Years 2+	$3,488,000 in Year 1; $348,800 in Years 2+.
F. Obtain and document customer consent	Financial institutions	106	1,100,120 in Year 1; 314,320 in Years 2+	$116,612,720 in Year 1; $33,317,920 in Years 2+.
G. Submit certification for each request that it meets certain requirements	Financial institutions	106	1,474,161 in Year 1; 1,474,161 in Years 2+	$156,261,066 in Year 1; $156,261,066 in Years 2+.
G. Submit written certification for each request that it meets certain requirements, including court authorization	State, local, and Tribal law enforcement	80	2,050,003 in Year 1; 1,649,994 in Years 2+	$164,000,240 in Year 1; $131,999,520 in Years 2+.
G. Submit written certification for each request that it meets certain requirements	State regulatory agencies	80	7,500 in Year 1; 7,500 in Years 2+	$600,000 in Year 1; $600,000 in Years 2+.
H. Undergo training	Financial institutions	106	128,871 in Year 1; 128,871 in Years 2+	$13,660,326 in Year 1; $13,660,326 in Years 2+.
H. Restrict access to appropriate persons within the agency, which specifies that appropriate persons will undergo training	State, local, and Tribal agencies	80	2,006 in Year 1; 2,006 in Years 2+	$160,480 in Year 1; $160,480 in Years 2+.
I. Conduct an annual audit and cooperate with FinCEN's annual audit	State, local, and Tribal agencies	80	34,880 in Year 1; 34,880 in Years 2+	$2,790,400 in Year 1; $2,790,400 in Years 2+.
J. Obtain certification of standards and procedures initially and then semi-annually, by the head of the entity	State, local, and Tribal agencies	80	Included in I	Included in I.
K. Provide initial and then an annual report on procedures	State, local, and Tribal agencies	80	Included in I	Included in I.
L. Comply with certain geographic restrictions	Financial institutions	106	0 in Year 1; 0 in Years 2+	$0 in Year 1; $0 in Years 2+.
M. Notify FinCEN of information demand from foreign government	Financial institutions	106	0 in Year 1; 0 in Years 2+	$0 in Year 1; $0 in Years 2+.
Actions B, D, E, G, H, I-K	SRO	106	3,283 in Year 1; 955 in Years 2+	$347,998 in Year 1; $101,230 in Years 2+.
Total Annual Cost				$868,200,270 in Year 1; $339,309,502 in Years 2+ (Average of $515,606,425 across first 3 years).