[Federal Register Volume 77, Number 213 (Friday, November 2, 2012)]
[Notices]
[Pages 66196-66197]
[FR Doc No: 2012-26856]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-68113; File No. SR-OCC-2012-15]

Self-Regulatory Organizations; Options Clearing Corporation;
Order Approving Proposed Rule Change Relating to Financial Reporting by
Canadian Clearing Members

October 26, 2012.

I. Introduction

    On September 5, 2012, the Options Clearing Corporation (``OCC'')
filed with the Securities and Exchange Commission (``SEC'' or
``Commission'') the proposed rule change SR-OCC-2012-15 pursuant to
Section 19(b)(1) of the Securities Exchange Act of 1934 (``Act'') \1\
and Rule 19b-4 thereunder.\2\ The proposed rule change was published
for comment in the Federal Register on September 19, 2012.\3\ The
Commission received no comment letters. This order approves the
proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Securities Exchange Act Release No. 67851 (September 13,
2012), 77 FR 58194 (September 19, 2012).
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II. Description

    The proposed rule change would make technical ``housekeeping''
changes to OCC's By-Laws and Rules relating to financial reporting by
Canadian clearing members to reflect the Investment Industry Regulatory
Organization of Canada's (``IIROC'') adoption of the International
Financial Reporting Standards.
    OCC Rule 310, through cross-references to interpretive provisions
of OCC Rule 306--Financial Reports and

OCC Rule 308-Audits, allows Canadian clearing members to elect to file
their Joint Regulatory Financial Questionnaire and Reports (``JRFQR'')
with OCC, instead of filing SEC Form X-17A-5, to discharge their
financial reporting requirements to OCC. In addition, other provisions
of OCC's rules (Rules 301, 302, 303, 304, 306 and 308) reference
information Canadian clearing members report on their JRFQR. IIROC, the
primary regulator of Canada's securities industry, replaced the JRFQR
with ``Form 1'' of the International Financial Reporting Standards. OCC
proposes to replace references to the JRFQR within its By-Laws and
Rules with references to ``Form 1.'' \4\ OCC also proposes to add an
Interpretation and Policy to Rule 304 in response to a change in how
IIROC requires regulated entities to report capital withdrawals.
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    \4\ OCC does not propose to amend Rule 310 since it does not
specifically use the term, ``Joint Regulatory Financial
Questionnaire and Reports.''
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    OCC, as part of its financial surveillance program, requires
Canadian clearing members to submit their JRFQR, a financial report
similar to SEC Form X-17A-5, to OCC at the end of each month. OCC also
monitors the financial health of such clearing members using the
capital levels reported on their JRFQRs. In 2011, IIROC replaced the
JRFQR with Form 1. Among other things, Form 1 aligns the reporting of
certain financial liabilities to U.S. Generally Accepted Accounting
Principles (``GAAP''). Canadian clearing members that use Form 1 report
the same, and in some cases more conservative, amounts of regulatory
capital to OCC as they had using the JRFQR. Moreover, OCC believes that
the change does not impair OCC's ability to conduct diligent financial
surveillance of Canadian clearing members. Accordingly, OCC proposes to
replace references to the ``JRFQR'' within its By-Laws and Rules with
references to ``Form 1.''
    The IIROC also altered how its regulated entities report capital
withdrawals. IIROC previously required capital withdrawals to be
reported on monthly financial reports; however, IIROC amended its
standards and now requires firms to obtain approval for withdrawals of
capital following notice thereof. OCC had, when applicable, adjusted
Canadian clearing member's reported capital levels in light of
withdrawals reflected in financial reports in order to determine if the
firm's capital falls within OCC's standards. With the change
implemented by IIROC, that information is no longer be available to OCC
via monthly financial reports submitted by Canadian clearing members.
To ensure it is aware of such capital withdrawals, OCC proposes to add
an Interpretation and Policy to Rule 304, which would require Canadian
clearing members to submit capital withdrawal notifications to OCC when
such requests are submitted to IIROC.

III. Discussion

    Section 17A(b)(3) (F) of the Act \5\ requires that, among other
things, a clearing agency be organized and its rules designed to
safeguard securities and funds in its custody or control or for which
it is responsible. The proposed rule change will allow OCC to
efficiently monitor the financial health of its clearing members and is
intended to facilitate Canadian clearing members' compliance with OCC's
By-Laws and Rules by aligning OCC's financial reporting requirements,
as they pertain to Canadian clearing members, with those of the IIROC.
It is also intended to ensure OCC has appropriate information about
Canadian clearing members' capital withdrawals, which will no longer be
reported to OCC on a monthly basis. As such, it will help OCC to
safeguard the securities and funds in its custody or control or for
which it is responsible.
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    \5\ 15 U.S.C. 78q-1(b)(3)(F)
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IV. Conclusion

    On the basis of the foregoing, the Commission finds that the
proposal is consistent with the requirements of the Act and in
particular with the requirements of Section 17A of the Act \6\ and the
rules and regulations thereunder.
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    \6\ 15 U.S.C. 78q-1.
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    It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\7\ that the proposed rule change (File No. SR-OCC-2012-15) be, and
hereby is, approved.\8\
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    \7\ 15 U.S.C. 78s(b)(2).
    \8\ In approving this proposed rule change the Commission has
considered the proposed rule's impact of efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).

    For the Commission by the Division of Trading and Markets,
pursuant to delegated authority.\9\
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    \9\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-26856 Filed 11-1-12; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register: February 20, 2008 (Volume 73, Number 34)]
[Notices]
[Page 9316-9317]
[DOCID:fr20fe08-55]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Project No. 10855-118]

Upper Peninsula Power Company; Notice of Intent To Prepare an
Environmental Document and Soliciting Comments, Motions To Intervene,
and Protests

February 12, 2008.
    Take notice that the following hydroelectric application has been
filed with the Commission and is available for public inspection:
    a. Application Type: Intent to rebuild reservoir.
    b. Project No: 10855-118.
    c. Date Filed: January 23, 2008.
    d. Applicant: Upper Peninsula Power Company.
    e. Name of Project: Dead River Hydroelectric Project.
    f. Location: The project is located on the Dead River in Marquette
County, Michigan.
    g. Filed Pursuant to: Federal Power Act, 16 U.S.C. 791a-825r.
    h. Applicant Contact: Shawn Puzen, Integrys Business Support LLC,
700 N. Adams Street, P.O. Box 19001, Green Bay, WI 54307-9001, Tel:
(920) 433-1094.
    i. FERC Contact: Peter Yarrington, Telephone<PHONE_NUMBER>, and e-
mail<EMAIL_ADDRESS>    j. Deadline for filing comments, motions to intervene, and protest:
March 13, 2008.
    All documents (original and eight copies) should be filed with:
Secretary, Federal Energy Regulatory Commission, 888 First Street, NE.,
Washington, DC 20426.
    The Commission's Rules of Practice and Procedure require all
interveners filing documents with the Commission to serve a copy of
that document on each person whose name appears on the official service
list for the project. Further, if an intervener files comments or
documents with the Commission relating to the merits of an issue that
may affect the responsibilities of a particular resource agency, they
must

also serve a copy of the document on that resource agency. A copy of
any motion to intervene must also be served upon each representative of
the Applicant specified in the particular application.
    k. Description of Request: Upper Peninsula Power Company has filed
an Environmental Report addressing its intent to rebuild the Silver
Lake Reservoir, part of the Dead River Hydroelectric Project (FERC No.
10855). The project consists of three separate developments: Silver
Lake, Dead River (Hoist), and McClure. Silver Lake serves as a storage
reservoir for downstream power generation. In May 2003, an emergency
fuse plug on the Silver Lake Reservoir activated, resulting in the
release of a large quantity of water, rock and sediment downstream. A
river recovery project has been implemented, however, the elevation of
the reservoir is significantly reduced. The licensee is proposing to
rebuild Silver Lake Reservoir, which requires constructing a new dam
2 to replace the prior emergency fuse plug, raising the height
of the main dam and a series of smaller dikes and dams that contain the
reservoir, adding a new spillway, and raising the level of the current
service spillway to the height of the main dam, ending its function as
a spillway.
    The Commission intends to prepare an environmental document under
the National Environmental Policy Act (NEPA) for the Silver Lake
Reservoir rebuilding project. The NEPA document will be used by the
Commission to identify environmental impacts and to identify measures
that would help mitigate the impacts caused by rebuild activities.
    l. Locations of the Application: A copy of the application is
available for inspection and reproduction at the Commission's Public
Reference Room, located at 888 First Street, NE., Room 2A, Washington,
DC 20426, or by calling<PHONE_NUMBER>. This filing may also be viewed
on the Commission's Web site at http://www.ferc.gov using the

``eLibrary'' link. Enter the docket number excluding the last three
digits in the docket number field to access the document. You may also
register online at http://www.ferc.gov/docs-filing/esubscription.asp to

be notified via e-mail of new filings and issuances related to this or
other pending projects. For assistance, call 1-866-208-3676 or e-mail
<EMAIL_ADDRESS>for TTY, call<PHONE_NUMBER>.

    m. Individuals desiring to be included on the Commission's mailing
list should so indicate by writing to the Secretary of the Commission.
    n. Comments, Protests, or Motions to Intervene: Anyone may submit
comments, a protest, or a motion to intervene in accordance with the
requirements of Rules of Practice and Procedure, 18 CFR 385.210, .211,
.214. In determining the appropriate action to take, the Commission
will consider all protests or other comments filed, but only those who
file a motion to intervene in accordance with the Commission's Rules
may become a party to the proceeding. Any comments, protests, or
motions to intervene must be received on or before the specified
comment date for the particular application.
    o. Any filings must bear in all capital letters the title
``COMMENTS'', ``PROTEST'', or ``MOTION TO INTERVENE'', as applicable,
and the Project Number (P-10855-118) of the particular application to
which the filing refers.
    p. Agency Comments: Federal, state, and local agencies are invited
to file comments on the described application. A copy of the
application may be obtained by agencies directly from the Applicant. If
an agency does not file comments within the time specified for filing
comments, it will be presumed to have no comments. One copy of an
agency's comments must also be sent to the Applicant's representatives.
    q. Comments, protests and interventions may be filed electronically
via the Internet in lieu of paper. See, 18 CFR 385.2001(a)(1)(iii) and
the instructions on the Commission's Web site at http://www.ferc.gov

under the ``e-Filing'' link.

Kimberly D. Bose,
Secretary.
 [FR Doc. E8-3046 Filed 2-19-08; 8:45 am]

BILLING CODE 6717-01-P