7 U.S.C. § 24a — Swap data repositories

(a) Registration requirement (1) Requirement; authority of derivatives clearing organization (A) In general. No one may act as a swap data repository — using the mail or any part of interstate commerce, directly or indirectly — unless registered with the Commission. (B) Registration of derivatives clearing organizations. A derivatives clearing organization is allowed to register as a swap data repository. (2) Inspection and examination. Any Commission representative can inspect and examine a registered swap data repository. (3) Compliance with core principles. (A) In general. To register, and to stay registered, a swap data repository must follow the requirements and core principles in this section, plus any rule the Commission adds under section 12a(5) of this title. (B) Reasonable discretion of swap data repository. Unless the Commission decides otherwise by rule or regulation, the repository has reasonable freedom to decide how it meets these core principles. (b) Standard setting (1) Data identification. (A) In general. The Commission must set standards for which data elements each registered repository must collect and keep for every swap. (B) Requirement. Those standards must be consistent across registered entities and reporting counterparties. (2) Data collection and maintenance. The Commission must set standards for how repositories collect and keep that data. (3) Comparability. These standards must be comparable to the data standards the Commission applies to derivatives clearing organizations for the swaps they clear. (c) Duties. A swap data repository must: (1) accept the data the Commission requires for each swap under subsection (b); (2) confirm with both parties to the swap that the submitted data is accurate; (3) keep that data in whatever form, manner, and length of time the Commission requires; (4) (A) give the Commission (or its designee, including another registered entity) direct electronic access; and (B) give that data to the Commission in the form and as often as the Commission requires to satisfy the public-reporting rules in section 2(a)(13) of this title; (5) if the Commission directs, set up automated systems to monitor, screen, and analyze swap data, including checking how often individuals and affiliated entities claim the end-user clearing exemption; (6) keep private any swap transaction information it gets from a swap dealer, counterparty, or other registered entity; and (7) confidentially, under section 12 of this title, and only after telling the Commission it received the request, share swap data it has obtained — including individual counterparty trade and position data — with: (A) each appropriate prudential regulator; (B) the Financial Stability Oversight Council; (C) the Securities and Exchange Commission; (D) the Department of Justice; and (E) anyone else the Commission decides is appropriate, including (i) foreign financial supervisors (including foreign futures authorities), (ii) foreign central banks, (iii) foreign ministries, and (iv) other foreign authorities; and (8) set up emergency procedures, backup facilities, and a disaster-recovery plan that allows it to promptly recover and resume operations and keep meeting its responsibilities and obligations. (d) Confidentiality agreement. Before sharing information with any entity described in subsection (c)(7), the repository must first receive a written agreement from that entity stating it will follow the confidentiality requirements in section 12 of this title relating to the swap-transaction information provided. (e) Designation of chief compliance officer (1) In general. Each swap data repository must designate an individual to serve as chief compliance officer. (2) Duties. That officer must: (A) report directly to the board or the repository's senior officer; (B) review the repository's compliance with the requirements and core principles in this section; (C) work with the board (or an equivalent body) or senior officer to resolve conflicts of interest that arise; (D) be responsible for administering every policy and procedure this section requires; (E) make sure the repository follows this chapter and its regulations for agreements, contracts, or transactions, including every rule the Commission prescribes under this section; (F) set up procedures to remediate noncompliance issues found through a compliance-office review, look-back, internal or external audit finding, self-reported error, or validated complaint; and (G) set up and follow appropriate procedures for handling, managing, remediating, retesting, and closing out noncompliance issues. (3) Annual reports. (A) In general. Following Commission rules, the chief compliance officer must annually prepare and sign a report describing the repository's compliance with this chapter (including regulations), and describing each of the repository's policies and procedures — including its code of ethics and conflict-of-interest policies. (B) Requirements. That report must (i) accompany each appropriate financial report the repository is required to send the Commission under this section, and (ii) include a certification that, under penalty of law, the report is accurate and complete. (f) Core principles applicable to swap data repositories (1) Antitrust considerations. Unless necessary or appropriate to achieve this chapter's purposes, a repository must not (A) adopt any rule or take any action that results in an unreasonable restraint of trade, or (B) impose any material anticompetitive burden on trading, clearing, or reporting of transactions. (2) Governance arrangements. Each repository must establish governance arrangements that are transparent, both (A) to fulfill public interest requirements, and (B) to support the objectives of the federal government, owners, and participants. (3) Conflicts of interest. Each repository must (A) establish and enforce rules to minimize conflicts of interest in its decision-making, and (B) establish a process for resolving those conflicts. (4) Additional duties developed by Commission. (A) In general. The Commission may develop one or more additional duties for swap data repositories. (B) Consideration of evolving standards. In doing so, the Commission may consider evolving U.S. or international standards. (C) Additional duties for Commission designees. The Commission must establish additional duties for any registrant described in section 1a(48) of this title, to minimize conflicts of interest, protect data, ensure compliance, and guarantee the repository's safety and security. (g) Required registration for swap data repositories. Anyone required to register as a swap data repository under this section must register with the Commission, whether or not that person is also licensed as a bank or already registered with the Securities and Exchange Commission as a swap data repository. (h) Rules. The Commission must adopt rules governing people registered under this section.