[Federal Register Volume 80, Number 25 (Friday, February 6, 2015)]
[Notices]
[Pages 6780-6788]
[FR Doc No: 2015-02318]

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SECURITIES AND EXCHANGE COMMISSION

[Investment Company Act Release No. 31441; 812-14338]

Capital Group ETF Trust, et al.; Notice of Application

February 2, 2015.
AGENCY: Securities and Exchange Commission (``Commission'').

ACTION: Notice of an application for an order under section 6(c) of the
Investment Company Act of 1940 (``Act'') for an exemption from sections
2(a)(32), 5(a)(1), 22(d) and 22(e) of the Act and rule 22c-1 under the
Act, under section 12(d)(1)(J) of the Act for an exemption from
sections 12(d)(1)(A) and (B) of the Act, and under sections 6(c) and
17(b) of the Act for an exemption from sections 17(a)(1) and (a)(2) of
the Act.

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Applicants:  Capital Group ETF Trust (the ``Trust''); Capital Research
and Management Company (the ``Initial Adviser''); and American Funds
Distributors, Inc. (the ``Distributor'').

Summary of Application:  Applicants request an order that permits: (a)
Actively-managed series of certain open-end management investment
companies to issue shares (``Shares'') redeemable in large aggregations
only (``Creation Units''); (b) secondary market transactions in Shares
to occur at negotiated market prices; (c) certain series to pay
redemption proceeds, under certain circumstances, more than seven days
from the tender of Shares for redemption; (d) certain affiliated
persons of the series to deposit securities into, and receive
securities from, the series in connection with the purchase and
redemption of Creation Units; (e) certain registered management
investment companies and unit investment trusts outside of the same
group of investment companies as the series to acquire Shares; and (f)
certain series to perform creations and redemptions of Creation Units
in-kind in a master-feeder structure.

Filing Dates:  The application was filed on July 28, 2014, and amended
on October 17, 2014 and January 26, 2015.

Hearing or Notification of Hearing: An order granting the requested
relief will be issued unless the Commission orders a hearing.
Interested persons may request a hearing by writing to the Commission's
Secretary and serving applicants with a copy of the request, personally
or by mail. Hearing requests should be received by the Commission by
5:30 p.m. on February 27, 2015, and should be accompanied by proof of
service on applicants, in the form of an affidavit or, for lawyers, a
certificate of service. Pursuant to rule 0-5 under the Act, hearing
requests should state the nature of the writer's interest, any facts
bearing upon the desirability of a hearing on the matter, the reason
for the request, and the issues contested. Persons who wish to be
notified of a hearing may request notification by writing to the
Commission's Secretary.

ADDRESSES:  Secretary, U.S. Securities and Exchange Commission, 100 F
Street NE., Washington, DC 20549. Applicants: 333 South Hope Street,
Los Angeles, California 90071.

FOR FURTHER INFORMATION CONTACT: Mark N. Zaruba, Senior Counsel, at
(202) 551-6878 or Mary Kay Frech, Branch Chief, at<PHONE_NUMBER>
(Division of Investment Management, Chief Counsel's Office).

SUPPLEMENTARY INFORMATION: The following is a summary of the
application. The complete application may be obtained via the
Commission's Web site by searching for the file number, or for an
applicant using the Company name box, at http://www.sec.gov/search/search.htm or by calling<PHONE_NUMBER>.

Applicants' Representations

    1. The Trust, which is organized as a Delaware statutory trust,
will be registered under the Act as an open-end management investment
company. The Trust will consist of multiple series. The Trust will
initially offer one series (the ``Initial Fund'') that will rely on the
order. The Initial Fund's investment objective will be to seek to
provide long-term growth of capital, with income as a secondary
objective.
    2. The Initial Adviser is, and any other Adviser (as defined
below), will be registered as an investment adviser under the
Investment Advisers Act of

1940 (``Advisers Act''). An Adviser will serve as investment adviser to
each of the Funds (as defined below). The Adviser may enter into sub-
advisory agreements with one or more affiliated or unaffiliated
investment advisers, each of which will serve as sub-adviser to a Fund
(each, a ``Sub-Adviser''). Any Sub-Adviser will be registered under the
Advisers Act or will not be subject to registration. The Distributor is
a registered broker-dealer (``Broker'') under the Securities Exchange
Act of 1934 (``Exchange Act'') and will act as the distributor and
principal underwriter of the Funds.\1\
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    \1\ Applicants request that the order apply to any future
distributor of the Funds, which would be a registered broker-dealer
under the Exchange Act and would comply with the terms and
conditions of the application (``Future Distributor''). Applicants
state that the Distributor or Future Distributor of any Fund may be
an affiliated person or a second-tier affiliate of that Fund's
Adviser and/or Sub-Advisers.
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    3. Applicants request that the order apply to the Initial Fund as
well as to future series of the Trust and any future open-end
management investment companies or series thereof that would operate as
actively-managed exchange-traded funds (``Future Funds''). Any Future
Fund will (a) be advised by the Initial Adviser or an entity
controlling, controlled by, or under common control with the Initial
Adviser (the Initial Adviser and each such other entity and any
successor thereto included in the term ``Adviser'') and (b) comply with
the terms and conditions of the application.\2\ The Initial Fund and
Future Funds together are the ``Funds.'' Each Fund will operate as an
actively managed exchange-traded fund (``ETF''), and a Fund may operate
as a feeder fund in a master-feeder structure (``Feeder Fund'').
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    \2\ All entities that currently intend to rely on the order are
named as applicants. Any other entity that relies on the order in
the future will comply with the terms and conditions of the
application.
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    4. Applicants state that the Funds, or their respective Master
Funds (as defined below), may invest in equity securities or fixed
income securities (``Fixed Income Funds'') traded in the U.S. or non-
U.S. markets. Fixed Income Funds may also include Funds that invest in
a combination of equity and fixed-income securities. Funds, or their
respective Master Funds, that invest in foreign equity and/or fixed
income securities, are ``Foreign Funds.'' Foreign Funds may also
include Funds that invest in a combination of foreign and domestic
equity and/or fixed income securities. Applicants state that the Funds
may also invest in a broad variety of other instruments \3\ and that a
Foreign Fund, either directly or through a Master Fund, may invest a
significant portion of its assets in depositary receipts representing
foreign securities in which they seek to invest (``Depositary
Receipts'').\4\ Applicants further state that, in order to implement
each Fund's investment strategy, the Adviser and/or Sub-Advisers of a
Fund may review and change the securities, other assets and other
positions held by the Fund or its respective Master Fund (``Portfolio
Instruments'') daily.
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    \3\ If a Fund (or its respective Master Fund) invests in
derivatives, then (a) the board of trustees (``Board'') of the Fund
will periodically review and approve the Fund's (or, in the case of
a Feeder Fund, its Master Fund's) use of derivatives and how the
Adviser assesses and manages risk with respect to the Fund's (or, in
the case of a Feeder Fund, its Master Fund's) use of derivatives and
(b) the Fund's disclosure of its (or, in the case of a Feeder Fund,
its Master Fund's) use of derivatives in its offering documents and
periodic reports will be consistent with relevant Commission and
staff guidance.
    \4\ Depositary Receipts are typically issued by a financial
institution, a ``depositary,'' and evidence ownership in a security
or pool of securities that have been deposited with the depositary.
A Fund (or its respective Master Fund) will not invest in any
Depositary Receipts that the Adviser or Sub-Adviser deems to be
illiquid or for which pricing information is not readily available.
No affiliated persons of applicants or any Sub-Adviser will serve as
the depositary bank for any Depositary Receipts held by a Fund.
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    5. With respect to section 12(d)(1), applicants are requesting
relief (``Fund of Funds Relief'') to permit management investment
companies and unit investment trusts (``UITs'') registered under the
Act that are not part of the same ``group of investment companies,''
within the meaning of section 12(d)(1)(G)(ii) of the Act, as the Funds
(such registered management investment companies are referred to as
``Investing Management Companies,'' such UITs are referred to as
``Investing Trusts,'' and Investing Management Companies and Investing
Trusts are collectively referred to as ``Funds of Funds''), to acquire
Shares beyond the limitations in section 12(d)(1)(A) and to permit the
Funds, and any principal underwriter for the Funds, and any Broker, to
sell Shares beyond the limitations in section 12(d)(l)(B) to Funds of
Funds. Applicants request that any exemption under section 12(d)(1)(J)
from sections 12(d)(1)(A) and (B) apply to: (1) Each Fund that is
currently or subsequently part of the same ``group of investment
companies'' as the Initial Fund within the meaning of section
12(d)(1)(G)(ii) of the Act, as well as any principal underwriter for
the Funds and any Brokers selling Shares of a Fund to Funds of Funds;
and (2) each Fund of Funds that enters into a participation agreement
(``FOF Participation Agreement'') with a Fund. ``Funds of Funds'' do
not include the Funds. Each Investing Management Company's investment
adviser within the meaning of section 2(a)(20)(A) of the Act is the
``Fund of Funds Adviser.'' Similarly, each Investing Trust's sponsor is
the ``Sponsor.'' Applicants represent that each Fund of Funds Adviser
will be registered as an investment adviser under the Advisers Act and
that no Fund of Funds Adviser or Sponsor will control, be controlled
by, or be under common control with the Adviser.\5\
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    \5\ A Fund of Funds may rely on the order only to invest in
Funds and not in any other registered investment company.
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    6. Applicants further request that the order permit a Fund to
operate as a Feeder Fund (``Master-Feeder Relief''). Under the order, a
Feeder Fund would be permitted to acquire shares of another registered
investment company in the same group of investment companies having
substantially the same investment objectives as the Feeder Fund
(``Master Fund'') beyond the limitations in section 12(d)(1)(A) of the
Act,\6\ and the Master Fund, and any principal underwriter for the
Master Fund, would be permitted to sell shares of the Master Fund to
the Feeder Fund beyond the limitations in section 12(d)(1)(B) of the
Act. Applicants request that the Master-Feeder Relief apply to any
Feeder Fund, any Master Fund and any principal underwriter for the
Master Funds selling shares of a Master Fund to a Feeder Fund.
Applicants state that creating an exchange-traded feeder fund may be
preferable to creating entirely new series for several reasons,
including avoiding additional overhead costs and economies of scale for
the Feeder Funds.\7\ Applicants assert that, while certain costs may be
higher in a master-feeder structure and there may possibly be lower tax
efficiencies for the Feeder Funds, the Feeder Funds' Board will
consider any such potential disadvantages against the benefits of
economies of scale and other benefits of operating within a master-
feeder structure.
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    \6\ A Feeder Fund managed in a master-feeder structure will not
make direct investments in any security or other instrument other
than the securities issued by its respective Master Fund.
    \7\ In a master-feeder structure, the Master Fund, rather than
the Feeder Fund, would invest its portfolio in compliance with the
order. There would be no ability by Fund shareholders to exchange
shares of Feeder Funds for shares of another feeder series of the
Master Fund.
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    7. With the exception of Shares issued in connection with a
dividend

reinvestment plan,\8\ each Fund will issue, on a continuous offering
basis, its Shares in one or more groups of a fixed number of Shares
(e.g., at least 50,000 Shares). Applicants believe that a conventional
trading range will be between $20-$50 per Share. All orders to purchase
Creation Units must be placed with the Distributor by or through a
party that has entered into a participant agreement with the
Distributor of the Fund (``Authorized Participant'') with respect to
the creation and redemption of Creation Units. An Authorized
Participant is either: (a) A Broker or other participant in the
Continuous Net Settlement System of the National Securities Clearing
Corporation (``NSCC''), a clearing agency registered with the
Commission, or (b) a participant in the DTC (such participant, ``DTC
Participant'').
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    \8\ The dividend reinvestment plan that a Fund may use is
described in greater detail in the application.
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    8. In order to keep costs low and permit each Fund to be as fully
invested as possible, Shares (other than Shares issued in connection
with a dividend reinvestment plan) will be purchased and redeemed in
Creation Units and generally on an in-kind basis.\9\ Except where the
purchase or redemption will include cash under the limited
circumstances specified below, purchasers will be required to purchase
Creation Units by making an in-kind deposit of specified instruments
(``Deposit Instruments''), and shareholders redeeming their Shares will
receive an in-kind transfer of specified instruments (``Redemption
Instruments'').\10\ On any given Business Day \11\ the names and
quantities of the instruments that constitute the Deposit Instruments
and the names and quantities of the instruments that constitute the
Redemption Instruments will be identical, and these instruments may be
referred to, in the case of either a purchase or redemption, as the
``Creation Basket.'' In addition, the Creation Basket will correspond
pro rata to the positions in a Fund's portfolio (including cash
positions),\12\ except: (a) In the case of bonds, for minor differences
when it is impossible to break up bonds beyond certain minimum sizes
needed for transfer and settlement; (b) for minor differences when
rounding is necessary to eliminate fractional shares or lots that are
not tradeable round lots; \13\ or (c) TBA Transactions,\14\ short
positions and other positions that cannot be transferred in kind \15\
will be excluded from the Creation Basket.\16\ If there is a difference
between NAV attributable to a Creation Unit and the aggregate market
value of the Creation Basket exchanged for the Creation Unit, the party
conveying instruments with the lower value will also pay to the other
an amount in cash equal to that difference (the ``Balancing Amount'').
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    \9\ Feeder Funds will redeem shares from the appropriate Master
Fund and then deliver to the redeeming shareholder the applicable
redemption payment.
    \10\ The Funds must comply with the federal securities laws in
accepting Deposit Instruments and satisfying redemptions with
Redemption Instruments, including that the Deposit Instruments and
Redemption Instruments are sold in transactions that would be exempt
from registration under the Securities Act of 1933 (the ``Securities
Act''). In accepting Deposit Instruments and satisfying redemptions
with Redemption Instruments that are restricted securities eligible
for resale pursuant to Rule 144A under the Securities Act, the Funds
will comply with the conditions of Rule 144A.
    \11\ Each Fund will sell and redeem Creation Units on any day
the Trust is open, including as required by section 22(e) of the Act
(each, a ``Business Day'').
    \12\ The portfolio used for this purpose will be the same
portfolio used to calculate the Fund's net asset value (``NAV'') for
that Business Day.
    \13\ A tradeable round lot for a security will be the standard
unit of trading in that particular type of security in its primary
market.
    \14\ A TBA Transaction is a method of trading mortgage-backed
securities. In a TBA Transaction, the buyer and seller agree on
general trade parameters such as agency, settlement date, par amount
and price.
    \15\ This includes instruments that can be transferred in kind
only with the consent of the original counterparty to the extent the
Fund does not intend to seek such consents.
    \16\ Because these instruments will be excluded from the
Creation Basket, their value will be reflected in the determination
of the Balancing Amount (defined below).
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    9. Purchases and redemptions of Creation Units may be made in whole
or in part on a cash basis, rather than in kind, solely under the
following circumstances: (a) To the extent there is a Balancing Amount,
as described above; (b) if, on a given Business Day, a Fund announces
before the open of trading that all purchases, all redemptions or all
purchases and redemptions on that day will be made entirely in cash;
(c) if, upon receiving a purchase or redemption order from an
Authorized Participant, a Fund determines to require the purchase or
redemption, as applicable, to be made entirely in cash; (d) if, on a
given Business Day, a Fund requires all Authorized Participants
purchasing or redeeming Shares on that day to deposit or receive (as
applicable) cash in lieu of some or all of the Deposit Instruments or
Redemption Instruments, respectively, solely because: (i) Such
instruments are not eligible for transfer through either the NSCC or
DTC; or (ii) in the case of Foreign Funds, such instruments are not
eligible for trading due to local trading restrictions, local
restrictions on securities transfers or other similar circumstances; or
(e) if a Fund permits an Authorized Participant to deposit or receive
(as applicable) cash in lieu of some or all of the Deposit Instruments
or Redemption Instruments, respectively, solely because: (i) Such
instruments are, in the case of the purchase of a Creation Unit, not
available in sufficient quantity; (ii) such instruments are not
eligible for trading by an Authorized Participant or the investor on
whose behalf the Authorized Participant is acting; or (iii) a holder of
Shares of a Foreign Fund would be subject to unfavorable income tax
treatment if the holder receives redemption proceeds in kind.\17\
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    \17\ A ``custom order'' is any purchase or redemption of Shares
made in whole or in part on a cash basis in reliance on clause
(e)(i) or (e)(ii).
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    10. Each Business Day, before the open of trading on a national
securities exchange, as defined in section 2(a)(26) of the Act
(``Exchange''), on which Shares are listed, each Fund will cause to be
published through the NSCC the names and quantities of the instruments
comprising the Creation Basket, as well as the estimated Balancing
Amount (if any), for that day. The published Creation Basket will apply
until a new Creation Basket is announced on the following Business Day,
and there will be no intra-day changes to the Creation Basket except to
correct errors in the published Creation Basket. The Exchange will
disseminate every 15 seconds throughout the trading day an amount
representing, on a per Share basis, the sum of the current value of the
Portfolio Instruments that were publicly disclosed prior to the
commencement of trading in Shares on the Exchange.
    11. Transaction expenses, including operational processing and
brokerage costs, may be incurred by a Fund when investors purchase or
redeem Creation Units ``in-kind'' and such costs have the potential to
dilute the interests of the Fund's existing beneficial owners.
Accordingly, applicants state that each Fund may impose purchase or
redemption transaction fees (``Transaction Fees'') in connection with
effecting such purchases or redemptions.\18\ Applicants further state

that, because the Transaction Fees are intended to defray the
transaction expenses, as well as to prevent possible shareholder
dilution resulting from the purchase or redemption of Creation Units,
the Transaction Fees will be borne only by purchasers or redeemers of
Creation Units and will be limited to amounts that have been determined
appropriate by the Fund.\19\ The Distributor will be responsible for
delivering a Fund's current prospectus (``Prospectus'') or summary
prospectus, if applicable, to purchasers of Shares in Creation Units
and for maintaining records of both the orders placed with it and the
confirmations of acceptance furnished by it.
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    \18\ Applicants are not requesting relief from section 18 of the
Act. Accordingly, a Master Fund may require a Transaction Fee
payment to cover expenses related to purchases or redemptions of the
Master Fund's shares by a Feeder Fund only if it requires the same
payment for equivalent purchases or redemptions by any other feeder
fund. Thus, for example, a Master Fund may require payment of a
Transaction Fee by a Feeder Fund for transactions for 20,000 or more
shares so long as it requires payment of the same Transaction Fee by
all feeder funds for transactions involving 20,000 or more shares.
    \19\ In those instances in which a Fund permits an ``in-kind''
purchaser to substitute cash in lieu of depositing one or more of
the requisite Deposit Instruments or Redemption Instruments, the
purchaser or seller may be assessed a higher Transaction Fee on the
``cash in lieu'' portion of its investment to cover the cost of
purchasing the necessary securities, including operational
processing and brokerage costs, and part or all of the spread
between the expected bid and offer side of the market relating to
such Deposit Instruments or Redemption Instruments. In all cases,
such Transaction Fees will be limited in accordance with
requirements of the Commission applicable to management investment
companies offering redeemable securities.
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    12. Shares will be listed and traded at negotiated prices on an
Exchange and traded in the secondary market. When NYSE Arca, Inc. is
the principal secondary market on which the Shares are listed and
traded (the ``Primary Listing Exchange''), it is expected that one or
more Exchange member firms will be designated by the Exchange to act as
a market maker (a ``Market Maker'').\20\ The price of Shares trading on
the Exchange will be based on a current bid/offer in the secondary
market. Transactions involving the purchases and sales of Shares on the
Exchange will be subject to customary brokerage commissions and
charges.
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    \20\ If Shares are listed on The NASDAQ Stock Market LLC
(``Nasdaq'') or a similar electronic Exchange (including NYSE Arca),
one or more member firms of that Exchange will act as Market Maker
and maintain a market for Shares trading on that Exchange. On
Nasdaq, no particular Market Maker would be contractually obligated
to make a market in Shares. However, the listing requirements on
Nasdaq, for example, stipulate that at least two Market Makers must
be registered in Shares to maintain a listing. In addition, on
Nasdaq and NYSE Arca, registered Market Makers are required to make
a continuous two-sided market or subject themselves to regulatory
sanctions. No Market Maker will be an affiliated person, or a
second-tier affiliate, of the Funds, except within section
2(a)(3)(A) or (C) of the Act due solely to ownership of Shares as
discussed below.
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    13. Applicants expect that purchasers of Creation Units will
include institutional investors and arbitrageurs. Market Makers, acting
in their role to provide a fair and orderly secondary market for
Shares, also may purchase Creation Units for use in their own market
making activities. Applicants expect that secondary market purchasers
of Shares will include both institutional and retail investors.\21\
Applicants expect that arbitrage opportunities created by the ability
to continually purchase or redeem Creation Units should ensure that the
Shares will not trade at a material discount or premium in relation to
their NAV.
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    \21\ Shares will be registered in book-entry form only. DTC or
its nominee will be the record or registered owner of all
outstanding Shares. Beneficial ownership of Shares will be shown on
the records of DTC or DTC Participants.
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    14. Shares will not be individually redeemable, and only Shares
combined into Creation Units of a specified size will be redeemable.
Redemption requests must be placed by or through an Authorized
Participant.
    15. Neither the Trust nor any Fund will be marketed or otherwise
held out as a ``mutual fund.'' Instead, each Fund will be marketed as
an ``actively-managed exchange-traded fund.'' In any advertising
material where features of obtaining, buying or selling Shares traded
on the Exchange are described there will be an appropriate statement to
the effect that Shares are not individually redeemable.
    16. On each Business Day, before the commencement of trading in
Shares on the Fund's Primary Listing Exchange, the Fund will disclose
on the Trust's Web site (``Web site'') the identities and quantities of
the Portfolio Instruments and other assets held by the Fund (or its
respective Master Fund) \22\ that will form the basis of the Fund's
calculation of NAV at the end of the Business Day, the Fund's per Share
NAV and the market closing price or the midpoint of the bid/ask spread
at the time of the calculation of such NAV (``Bid/Ask Price''), and a
calculation of the premium or discount of the market closing price or
Bid/Ask Price against such NAV, all as of the prior Business Day.\23\
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    \22\ Feeder Funds will disclose information about the securities
and other assets held by the Master Fund.
    \23\ Under accounting procedures followed by the Funds, trades
made on the prior Business Day (``T'') will be booked and reflected
in NAV on the current Business Day (``T+1''). Accordingly, the Funds
will be able to disclose at the beginning of the Business Day the
portfolio that will form the basis for the NAV calculation at the
end of the Business Day.
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Applicants' Legal Analysis

    1. Applicants request an order under section 6(c) of the Act for an
exemption from sections 2(a)(32), 5(a)(1), 22(d) and 22(e) of the Act
and rule 22c-1 under the Act, under sections 6(c) and 17(b) of the Act
for an exemption from sections 17(a)(1) and 17(a)(2) of the Act, and
under section 12(d)(1)(J) of the Act for an exemption from sections
12(d)(1)(A) and (B) of the Act.
    2. Section 6(c) of the Act provides that the Commission may exempt
any person, security or transaction, or any class of persons,
securities or transactions, from any provisions of the Act, if and to
the extent that such exemption is necessary or appropriate in the
public interest and consistent with the protection of investors and the
purposes fairly intended by the policy and provisions of the Act.
Section 17(b) of the Act authorizes the Commission to exempt a proposed
transaction from section 17(a) of the Act if evidence establishes that
the terms of the transaction, including the consideration to be paid or
received, are reasonable and fair and do not involve overreaching on
the part of any person concerned, and the proposed transaction is
consistent with the policies of the registered investment company and
the general provisions of the Act. Section 12(d)(1)(J) of the Act
provides that the Commission may exempt any person, security, or
transaction, or any class or classes of persons, securities or
transactions, from any provision of section 12(d)(1) if the exemption
is consistent with the public interest and the protection of investors.

Sections 5(a)(1) and 2(a)(32) of the Act

    3. Section 5(a)(1) of the Act defines an ``open-end company'' as a
management investment company that is offering for sale or has
outstanding any redeemable security of which it is the issuer. Section
2(a)(32) of the Act defines a redeemable security as any security,
other than short-term paper, under the terms of which the holder, upon
its presentation to the issuer, is entitled to receive approximately a
proportionate share of the issuer's current net assets, or the cash
equivalent. Because Shares will not be individually redeemable,
applicants request an order that would to permit the Trust to register
as open-end management investment companies and issue Shares that are
redeemable in Creation Units only.\24\ Applicants state that investors
may purchase Shares in Creation Units from each Fund and redeem
Creation Units from each Fund. Applicants further state that, because
of the arbitrage possibilities created by the redeemability of Creation
Units, they

expect that the market price of individual Shares will not deviate
materially from NAV.
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    \24\ The Master Funds will not require relief from sections
2(a)(32) and 5(a)(1) because the Master Funds will issue
individually redeemable securities.
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Section 22(d) of the Act and Rule 22c-1 Under the Act

    4. Section 22(d) of the Act, among other things, prohibits a dealer
from selling a redeemable security that is currently being offered to
the public by or through a principal underwriter, except at a current
public offering price described in the prospectus. Rule 22c-1 under the
Act generally requires that a dealer selling, redeeming, or
repurchasing a redeemable security do so only at a price based on its
NAV. Applicants state that secondary market trading in Shares will take
place at negotiated prices, not at a current offering price described
in the Prospectus, and not at a price based on NAV. Thus, purchases and
sales of Shares in the secondary market will not comply with section
22(d) of the Act and rule 22c-1 under the Act. Applicants request an
exemption under section 6(c) from these provisions.\25\
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    \25\ The Master Funds will not require relief from section 22(d)
or rule 22c-1 because shares of the Master Funds will not trade at
negotiated prices in the secondary market.
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    5. Applicants state that, while there is little legislative history
regarding section 22(d), its provisions, as well as those of rule 22c-
1, appear to have been designed to (a) to prevent dilution caused by
certain riskless-trading schemes by principal underwriters and contract
dealers, (b) to prevent unjust discrimination or preferential treatment
among buyers and (c) to ensure an orderly distribution system of shares
by contract dealers by eliminating price competition from non-contract
dealers who could offer investors shares at less than the published
sales price and who could pay investors a little more than the
published redemption price.
    6. Applicants assert that the protections intended to be afforded
by section 22(d) and rule 22c-1 are adequately addressed by the
proposed methods for creating, redeeming and pricing Creation Units and
pricing and trading Shares. Applicants state that (a) secondary market
trading in Shares does not involve the Funds as parties and cannot
result in dilution of an investment in Shares and (b) to the extent
different prices exist during a given trading day, or from day to day,
such variances occur as a result of third-party market forces but do
not occur as a result of unjust or discriminatory manipulation.
Finally, applicants assert that competitive forces in the marketplace
should ensure that the margin between NAV and the price for the Shares
in the secondary market remains narrow.

Section 22(e) of the Act

    7. Section 22(e) of the Act generally prohibits a registered
investment company from suspending the right of redemption or
postponing the date of payment of redemption proceeds for more than
seven days after the tender of a security for redemption. Applicants
observe that settlement of redemptions for Foreign Funds is contingent
not only on the settlement cycle of the U.S. securities markets but
also on the delivery cycles present in foreign markets in which those
Funds invest. Applicants have been advised that the delivery cycles for
transferring Redemption Instruments to redeeming investors, coupled
with local market holiday schedules, will require a delivery process
longer than seven calendar days. Applicants therefore request relief
from the requirement imposed by section 22(e) to provide payment or
satisfaction of redemptions within seven (7) calendar days following
the tender of a Creation Unit of such Funds.\26\
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    \26\ Applicants acknowledge that no relief obtained from the
requirements of section 22(e) will affect any obligations that it
may otherwise have under rule 15c6-1 under the Exchange Act. Rule
15c6-1 requires that most securities transactions be settled within
three business days of the trade date.
---------------------------------------------------------------------------

    8. Applicants state that section 22(e) was designed to prevent
unreasonable, undisclosed and unforeseen delays in the actual payment
of redemption proceeds. Applicants assert that the protections intended
to be afforded by section 22(e) are adequately addressed by the
proposed method and securities delivery cycles for redeeming Creation
Units. Applicants state that allowing redemption payments for Creation
Units of a Fund to be made within a maximum of fifteen (15) calendar
days \27\ would not be inconsistent with the spirit and intent of
section 22(e).\28\ Applicants represent that each Fund's statement of
additional information will identify those instances in a given year
where, due to local holidays, more than seven calendar days, up to a
maximum of fifteen (15) calendar days, will be needed to deliver
redemption proceeds and will list such holidays. Applicants are not
seeking relief from section 22(e) with respect to Foreign Funds that do
not effect redemptions in-kind.
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    \27\ Certain countries in which a Fund may invest have
historically had settlement periods of up to 15 calendar days.
    \28\ Other feeder funds invested in any Master Fund are not
seeking, and will not rely on, the section 22(e) relief requested
herein.
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Section 12(d)(1) of the Act

    9. Section 12(d)(1)(A) of the Act prohibits a registered investment
company from acquiring shares of an investment company if the
securities represent more than 3% of the total outstanding voting stock
of the acquired company, more than 5% of the total assets of the
acquiring company, or, together with the securities of any other
investment companies, more than 10% of the total assets of the
acquiring company. Section 12(d)(1)(B) of the Act prohibits a
registered open-end investment company, its principal underwriter, or
any other broker or dealer from selling its shares to another
investment company if the sale will cause the acquiring company to own
more than 3% of the acquired company's voting stock, or if the sale
will cause more than 10% of the acquired company's voting stock to be
owned by investment companies generally.
    10. Applicants request relief to permit Funds of Funds to acquire
Shares in excess of the limits in section 12(d)(1)(A) of the Act and to
permit the Funds, their principal underwriters and any Broker to sell
Shares to Funds of Funds in excess of the limits in section 12(d)(l)(B)
of the Act. Applicants submit that the proposed conditions to the
requested relief address the concerns underlying the limits in section
12(d)(1), which include concerns about undue influence, excessive
layering of fees and overly complex structures.
    11. Applicants submit that certain of their proposed conditions
address concerns about potential for undue influence. To limit the
control that a Fund of Funds may have over a Fund, applicants propose a
condition prohibiting the Fund of Funds Adviser, Sponsor, any person
controlling, controlled by, or under common control with the Fund of
Funds Adviser or Sponsor, and any investment company or issuer that
would be an investment company but for sections 3(c)(1) or 3(c)(7) of
the Act that is advised or sponsored by the Fund of Funds Adviser, the
Sponsor, or any person controlling, controlled by, or under common
control with the Fund of Funds Adviser or Sponsor (``Fund of Funds
Advisory Group'') from controlling (individually or in the aggregate) a
Fund within the meaning of section 2(a)(9) of the Act. The same
prohibition would apply to any sub-adviser to an Investing Management
Company (``Fund of Funds Sub-Adviser''), any person controlling,
controlled by or under common control with the Fund of Funds Sub-
Adviser,

and any investment company or issuer that would be an investment
company but for sections 3(c)(1) or 3(c)(7) of the Act (or portion of
such investment company or issuer) advised or sponsored by the Fund of
Funds Sub-Adviser or any person controlling, controlled by or under
common control with the Fund of Funds Sub-Adviser (``Fund of Funds Sub-
Advisory Group'').
    12. Applicants propose a condition to ensure that no Fund of Funds
or Fund of Funds Affiliate \29\ (except to the extent it is acting in
its capacity as an investment adviser to a Fund) will cause a Fund to
purchase a security in an offering of securities during the existence
of an underwriting or selling syndicate of which a principal
underwriter is an Underwriting Affiliate (``Affiliated
Underwriting'').\30\
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    \29\ A ``Fund of Funds Affiliate'' is any Fund of Funds Adviser,
Fund of Funds Sub-Adviser, Sponsor, promoter or principal
underwriter of a Fund of Funds, and any person controlling,
controlled by or under common control with any of these entities. A
``Fund Affiliate'' is the Adviser, Sub-Adviser, promoter, or
principal underwriter of a Fund or any person controlling,
controlled by or under common control with any of these entities.
    \30\ An ``Underwriting Affiliate'' is a principal underwriter in
any underwriting or selling syndicate that is an officer, director,
member of an advisory board, Fund of Funds Adviser, Fund of Funds
Sub-Adviser, employee or Sponsor of the Fund of Funds, or a person
of which any such officer, director, member of an advisory board,
Fund of Funds Adviser, Fund of Funds Sub-Adviser, employee or
Sponsor is an affiliated person (except any person whose
relationship to the Fund is covered by section 10(f) of the Act is
not an Underwriting Affiliate).
---------------------------------------------------------------------------

    13. Applicants propose several conditions to address the potential
for layering of fees. Applicants note that the board of directors or
trustees of any Investing Management Company, including a majority of
the directors or trustees who are not ``interested persons'' within the
meaning of section 2(a)(19) of the Act (``independent Board members''),
will be required to find that the advisory fees charged under the
contract are based on services provided that will be in addition to,
rather than duplicative of, services provided under the advisory
contract of any Fund in which the Investing Management Company may
invest. Applicants also state that any sales charges and/or service
fees charged with respect to shares of a Fund of Funds will not exceed
the limits applicable to a fund of funds as set forth in NASD Conduct
Rule 2830.\31\
---------------------------------------------------------------------------

    \31\ Any reference to NASD Conduct Rule 2830 includes any
successor or replacement rule that may be adopted by the Financial
Industry Regulatory Authority.
---------------------------------------------------------------------------

    14. In order to address concerns about complexity, applicants
propose condition B.12, which will prohibit Funds from acquiring
securities of any investment company or company relying on section
3(c)(1) or 3(c)(7) of the Act in excess of the limits contained in
section 12(d)(1)(A) of the Act, except to the extent permitted by
exemptive relief from the Commission permitting a Fund to purchase
shares of other investment companies for short-term cash management
purposes.
    15. Finally, each Fund of Funds must enter into an FOF
Participation Agreement with the respective Funds, which will include
an acknowledgement from the Fund of Funds that it may rely on the order
only to invest in a Fund and not in any other investment company.
    16. Applicants also are seeking relief from sections 12(d)(1)(A)
and 12(d)(1)(B) to the extent necessary to permit the Feeder Funds to
perform creations and redemptions of Shares in-kind in a master-feeder
structure. Applicants assert that this structure is substantially
identical to traditional master-feeder structures permitted pursuant to
the exception provided in section 12(d)(1)(E) of the Act. Section
12(d)(1)(E) provides that the percentage limitations of sections
12(d)(1)(A) and (B) will not apply to a security issued by an
investment company (in this case, the shares of the applicable Master
Fund) if, among other things, that security is the only investment
security held in the investing fund's portfolio (in this case, the
Feeder Fund's portfolio). Applicants believe the proposed master-feeder
structure complies with section 12(d)(1)(E) because each Feeder Fund
will hold only investment securities issued by its corresponding Master
Fund; however, the Feeder Funds may receive securities other than
securities of its corresponding Master Fund if a Feeder Fund accepts an
in-kind creation. To the extent that a Feeder Fund may be deemed to be
holding both shares of the Master Fund and other securities, applicants
request relief from sections 12(d)(1)(A) and (B). The Feeder Funds
would operate in compliance with all other provisions of section
12(d)(1)(E).

Sections 17(a)(1) and (2) of the Act

    17. Section 17(a) of the Act generally prohibits an affiliated
person of a registered investment company, or an affiliated person of
such a person (``second tier affiliate''), from selling any security to
or purchasing any security from the company. Section 2(a)(3) of the Act
defines ``affiliated person'' to include any person directly or
indirectly owning, controlling, or holding with power to vote, 5% or
more of the outstanding voting securities of the other person and any
person directly or indirectly controlling, controlled by, or under
common control with, the other person. Section 2(a)(9) of the Act
defines ``control'' as the power to exercise a controlling influence
over the management or policies of a company and provides that a
control relationship will be presumed where one person owns more than
25% of another person's voting securities. Each Fund may be deemed to
be controlled by the Adviser and hence affiliated persons of each
other. In addition, the Funds may be deemed to be under common control
with any other registered investment company (or series thereof)
advised by the Adviser (an ``Affiliated Fund'').
    18. Applicants request an exemption under sections 6(c) and 17(b)
of the Act from sections 17(a)(1) and 17(a)(2) of the Act to permit in-
kind purchases and redemptions of Creation Units by persons that are
affiliated persons or second tier affiliates of the Funds solely by
virtue of one or more of the following: (a) Holding 5% or more, or in
excess of 25% of the outstanding Shares of one or more Funds; (b)
having an affiliation with a person with an ownership interest
described in (a); or (c) holding 5% or more, or more than 25% of the
Shares of one or more Affiliated Funds.\32\ Applicants also request an
exemption in order to permit a Fund to sell its Shares to and redeem
its Shares from, and engage in the in-kind transactions that would
accompany such sales and redemptions with, certain Funds of Funds of
which the Funds are affiliated persons or second-tier affiliates.\33\
---------------------------------------------------------------------------

    \32\ Applicants are not seeking relief from section 17(a) for,
and the requested relief will not apply to, transactions where a
Fund could be deemed an affiliated person, or an affiliated person
of an affiliated person, of a Fund of Funds because the Adviser, or
an entity controlling, controlled by or under common control with
the Adviser is also an investment adviser to the Fund of Funds.
    \33\ To the extent that purchases and sales of Shares occur in
the secondary market (and not through principal transactions
directly between a Fund of Funds and a Fund), relief from section
17(a) would not be necessary. The requested relief is intended to
cover, however, transactions directly between Funds and Funds of
Funds.
---------------------------------------------------------------------------

    19. Applicants assert that no useful purpose would be served by
prohibiting such affiliated persons from making in-kind purchases or
in-kind redemptions of Shares of a Fund in Creation Units. The deposit
procedures for in-kind purchases of Creation Units and the redemption
procedures for in-kind redemptions will be the same for all purchases
and redemptions. Deposit Instruments and Redemption Instruments will be
valued in the same manner as those Portfolio Instruments

currently held by the relevant Funds, and the valuation of the Deposit
Instruments and Redemption Instruments will be made in the same manner
and on the same terms for all, regardless of the identity of the
purchaser or redeemer. Applicants do not believe that in-kind purchases
and redemptions will result in abusive self-dealing or overreaching of
the Fund.
    20. Applicants also submit that the sale of Shares to and
redemption of Shares from a Fund of Funds meets the standards for
relief under sections 17(b) and 6(c) of the Act. Applicants note that
any consideration paid for the purchase or redemption of Shares
directly from a Fund will be based on the NAV of the Fund in accordance
with policies and procedures set forth in the Fund's registration
statement.\34\ The FOF Participation Agreement will require any Fund of
Funds that purchases Creation Units directly from a Fund to represent
that the purchase of Creation Units from a Fund by a Fund of Funds will
be accomplished in compliance with the investment restrictions of the
Fund of Funds and will be consistent with the investment policies set
forth in the Fund of Fund's registration statement.
---------------------------------------------------------------------------

    \34\ Applicants acknowledge that the receipt of compensation by
(a) an affiliated person of a Fund of Funds, or an affiliated person
of such person, for the purchase by the Fund of Funds of Shares of
the Fund or (b) an affiliated person of a Fund, or an affiliated
person of such person, for the sale by the Fund of its Shares to a
Fund of Funds, may be prohibited by section 17(e)(1) of the Act. The
FOF Participation Agreement also will include this acknowledgment.
---------------------------------------------------------------------------

    21. In addition, to the extent that a Fund operates in a master-
feeder structure, applicants also request relief permitting the Feeder
Funds to engage in in-kind creations and redemptions with the
applicable Master Fund. Applicants state that the request for relief
described above would not be sufficient to permit such transactions
because the Feeder Funds and the applicable Master Fund could also be
affiliated by virtue of having the same investment adviser. However,
applicants believe that in-kind creations and redemptions between a
Feeder Fund and a Master Fund advised by the same investment adviser do
not involve ``overreaching'' by an affiliated person. Applicants
represent that such transactions will occur only at the Feeder Fund's
proportionate share of the Master Fund's net assets, and the
distributed securities will be valued in the same manner as they are
valued for the purposes of calculating the applicable Master Fund's
NAV. Further, all such transactions will be effected with respect to
pre-determined securities and on the same terms with respect to all
investors. Finally, such transaction would only occur as a result of,
and to effectuate, a creation or redemption transaction between the
Feeder Fund and a third-party investor. Applicants state that, in
effect, the Feeder Fund will serve as a conduit through which creation
and redemption orders by Authorized Participants will be effected.
    22. Applicants believe that: (a) With respect to the relief
requested pursuant to section 17(b), the proposed transactions are fair
and reasonable, and do not involve overreaching on the part of any
person concerned, the proposed transactions are consistent with the
policy of each Fund, and the proposed transactions are consistent with
the general purposes of the Act; and (b) with respect to the relief
requested pursuant to section 6(c), the requested exemption for the
proposed transactions is appropriate in the public interest and
consistent with the protection of investors and the purposes fairly
intended by the policy and provisions of the Act.

Applicants' Conditions

    Applicants agree that any order of the Commission granting the
requested relief will be subject to the following conditions:

A. ETF Relief

    1. The requested relief to permit ETF operations will expire on the
effective date of any Commission rule under the Act that provides
relief permitting the operation of actively-managed ETFs, other than
the Master-Feeder Relief.
    2. As long as a Fund operates in reliance on the requested order,
the Shares of the Fund will be listed on an Exchange.
    3. Neither the Trust nor any Fund will be advertised or marketed as
open-end investment companies or mutual funds. Any advertising material
that describes the purchase or sale of Creation Units or refers to
redeemability will prominently disclose that the Shares are not
individually redeemable and that owners of the Shares may acquire
Shares from the Fund (other than through a dividend reinvestment
program) and tender Shares for redemption to the Fund in Creation Units
only.
    4. The Web site, which is and will be publicly accessible at no
charge, will contain, on a per Share basis for the Fund, the prior
Business Day's NAV and the market closing price or Bid/Ask Price of the
Shares, and a calculation of the premium or discount of the market
closing price or Bid/Ask Price against such NAV.
    5. No Adviser or Sub-Adviser, directly or indirectly, will cause
any Authorized Participant (or any investor on whose behalf an
Authorized Participant may transact with the Fund) to acquire any
Deposit Instrument for the Fund through a transaction in which the Fund
could not engage directly.
    6. On each Business Day, before the commencement of trading in
Shares on the Fund's Primary Listing Exchange, the Fund will disclose
on the Web site the identities and quantities of the Portfolio
Instruments and other assets held by the Fund (or its respective Master
Fund) that will form the basis of the Fund's calculation of NAV at the
end of the Business Day.

B. Section 12(d)(1) Relief

    1. The members of the Fund of Funds Advisory Group will not control
(individually or in the aggregate) a Fund (or its respective Master
Fund) within the meaning of section 2(a)(9) of the Act. The members of
the Fund of Funds Sub-Advisory Group will not control (individually or
in the aggregate) a Fund (or its respective Master Fund) within the
meaning of section 2(a)(9) of the Act. If, as a result of a decrease in
the outstanding voting securities of a Fund, the Fund of Funds Advisory
Group or the Fund of Funds Sub-Advisory Group, each in the aggregate,
becomes a holder of more than 25% of the outstanding voting securities
of a Fund, it will vote its Shares of the Fund in the same proportion
as the vote of all other holders of the Fund's Shares. This condition
does not apply to the Fund of Funds Sub-Advisory Group with respect to
a Fund (or its respective Master Fund) for which the Fund of Funds Sub-
Adviser or a person controlling, controlled by or under common control
with the Fund of Funds Sub-Adviser acts as the investment adviser
within the meaning of section 2(a)(20)(A) of the Act.
    2. No Fund of Funds or Fund of Funds Affiliate will cause any
existing or potential investment by the Fund of Funds in a Fund to
influence the terms of any services or transactions between the Fund of
Funds or a Fund of Funds Affiliate and the Fund (or its respective
Master Fund) or a Fund Affiliate.
    3. The board of directors or trustees of an Investing Management
Company, including a majority of the independent directors or trustees,
will adopt procedures reasonably designed to ensure that the Fund of
Funds Adviser and any Fund of Funds Sub-Adviser are conducting the
investment program of the Investing Management Company

without taking into account any consideration received by the Investing
Management Company or a Fund of Funds Affiliate from a Fund (or its
respective Master Fund) or a Fund Affiliate in connection with any
services or transactions.
    4. Once an investment by a Fund of Funds in the Shares of a Fund
exceeds the limit in section 12(d)(1)(A)(i) of the Act, the Board of
the Fund (or its respective Master Fund), including a majority of the
independent Board members, will determine that any consideration paid
by the Fund (or its respective Master Fund) to the Fund of Funds or a
Fund of Funds Affiliate in connection with any services or
transactions: (i) Is fair and reasonable in relation to the nature and
quality of the services and benefits received by the Fund (or its
respective Master Fund); (ii) is within the range of consideration that
the Fund (or its respective Master Fund) would be required to pay to
another unaffiliated entity in connection with the same services or
transactions; and (iii) does not involve overreaching on the part of
any person concerned. This condition does not apply with respect to any
services or transactions between a Fund (or its respective Master Fund)
and its investment adviser(s), or any person controlling, controlled by
or under common control with such investment adviser(s).
    5. The Fund of Funds Adviser, or trustee or Sponsor of an Investing
Trust, as applicable, will waive fees otherwise payable to it by the
Fund of Funds in an amount at least equal to any compensation
(including fees received pursuant to any plan adopted by a Fund (or its
respective Master Fund) pursuant to rule 12b-1 under the Act) received
from a Fund (or its respective Master Fund) by the Fund of Funds'
Adviser, or trustee or Sponsor of the Investing Trust, or an affiliated
person of the Fund of Funds' Adviser, or trustee or Sponsor of the
Investing Trust, other than any advisory fees paid to the Fund of
Funds' Adviser, or trustee, or Sponsor of an Investing Trust, or its
affiliated person by the Fund (or its respective Master Fund), in
connection with the investment by the Fund of Funds in the Fund. Any
Fund of Funds Sub-Adviser will waive fees otherwise payable to the Fund
of Funds Sub-Adviser, directly or indirectly, by the Investing
Management Company in an amount at least equal to any compensation
received from a Fund (or its respective Master Fund) by the Fund of
Funds Sub-Adviser, or an affiliated person of the Fund of Funds Sub-
Adviser, other than any advisory fees paid to the Fund of Funds Sub-
Adviser or its affiliated person by the Fund (or its respective Master
Fund), in connection with the investment by the Investing Management
Company in the Fund made at the direction of the Fund of Funds Sub-
Adviser. In the event that the Fund of Funds Sub-Adviser waives fees,
the benefit of the waiver will be passed through to the Investing
Management Company.
    6. No Fund of Funds or Fund of Funds Affiliate (except to the
extent it is acting in its capacity as an investment adviser to a Fund
(or its respective Master Fund)) will cause a Fund (or its respective
Master Fund) to purchase a security in an Affiliated Underwriting.
    7. The Board of the Fund (or its respective Master Fund), including
a majority of the independent Board members, will adopt procedures
reasonably designed to monitor any purchases of securities by the Fund
(or its respective Master Fund) in an Affiliated Underwriting, once an
investment by a Fund of Funds in the securities of the Fund exceeds the
limit of section 12(d)(1)(A)(i) of the Act, including any purchases
made directly from an Underwriting Affiliate. The Board will review
these purchases periodically, but no less frequently than annually, to
determine whether the purchases were influenced by the investment by
the Fund of Funds in the Fund. The Board will consider, among other
things: (i) Whether the purchases were consistent with the investment
objectives and policies of the Fund (or its respective Master Fund);
(ii) how the performance of securities purchased in an Affiliated
Underwriting compares to the performance of comparable securities
purchased during a comparable period of time in underwritings other
than Affiliated Underwritings or to a benchmark such as a comparable
market index; and (iii) whether the amount of securities purchased by
the Fund (or its respective Master Fund) in Affiliated Underwritings
and the amount purchased directly from an Underwriting Affiliate have
changed significantly from prior years. The Board will take any
appropriate actions based on its review, including, if appropriate, the
institution of procedures designed to ensure that purchases of
securities in Affiliated Underwritings are in the best interest of
beneficial owners of the Fund.
    8. Each Fund (or its respective Master Fund) will maintain and
preserve permanently in an easily accessible place a written copy of
the procedures described in the preceding condition, and any
modifications to such procedures, and will maintain and preserve for a
period of not less than six years from the end of the fiscal year in
which any purchase in an Affiliated Underwriting occurred, the first
two years in an easily accessible place, a written record of each
purchase of securities in Affiliated Underwritings once an investment
by a Fund of Funds in the securities of the Fund exceeds the limit of
section 12(d)(1)(A)(i) of the Act, setting forth from whom the
securities were acquired, the identity of the underwriting syndicate's
members, the terms of the purchase, and the information or materials
upon which the Board's determinations were made.
    9. Before investing in a Fund in excess of the limits in section
12(d)(1)(A), a Fund of Funds will execute a FOF Participation Agreement
with the Fund stating that their respective boards of directors or
trustees and their investment advisers, or trustee and Sponsor, as
applicable, understand the terms and conditions of the order, and agree
to fulfill their responsibilities under the order. At the time of its
investment in Shares of a Fund in excess of the limit in section
12(d)(1)(A)(i), a Fund of Funds will notify the Fund of the investment.
At such time, the Fund of Funds will also transmit to the Fund a list
of the names of each Fund of Funds Affiliate and Underwriting
Affiliate. The Fund of Funds will notify the Fund of any changes to the
list as soon as reasonably practicable after a change occurs. The Fund
and the Fund of Funds will maintain and preserve a copy of the order,
the FOF Participation Agreement, and the list with any updated
information for the duration of the investment and for a period of not
less than six years thereafter, the first two years in an easily
accessible place.
    10. Before approving any advisory contract under section 15 of the
Act, the board of directors or trustees of each Investing Management
Company, including a majority of the independent directors or trustees,
will find that the advisory fees charged under such contract are based
on services provided that will be in addition to, rather than
duplicative of, the services provided under the advisory contract(s) of
any Fund (or its respective Master Fund) in which the Investing
Management Company may invest. These findings and their basis will be
recorded fully in the minute books of the appropriate Investing
Management Company.
    11. Any sales charges and/or service fees charged with respect to
shares of a Fund of Funds will not exceed the limits applicable to a
fund of funds as set forth in NASD Conduct Rule 2830.
    12. No Fund (or its respective Master Fund) will acquire securities
of an

investment company or company relying on section 3(c)(1) or section
3(c)(7) of the Act in excess of the limits contained in section
12(d)(1)(A) of the Act, except to the extent that (i) the Fund (or its
respective Master Fund) acquires securities of another investment
company pursuant to exemptive relief from the Commission permitting the
Fund (or its respective Master Fund) to acquire securities of one or
more investment companies for short-term cash management purposes, or
(ii) the Fund acquires securities of the Master Fund pursuant to the
Master-Feeder Relief.

    For the Commission, by the Division of Investment Management,
under delegated authority.
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2015-02318 Filed 2-5-15; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 81, Number 227 (Friday, November 25, 2016)]
[Notices]
[Page 85216]
[FR Doc No: 2016-28329]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. CP16-492-000]

EcoEl[eacute]ctrica, L.P.; Notice of Schedule for Environmental
Review of the LNG Terminal Sendout Capacity Increase Project

    On August 11, 2016, EcoEl[eacute]ctrica, L.P. (EcoEl[eacute]ctrica)
filed an application in Docket No. CP16-492-000 requesting a limited
amendment under section 3 of the Natural Gas Act to operate certain
liquefied natural gas (LNG) facilities. The proposed project is known
as the LNG Terminal Sendout Capacity Increase Project (Project), and
would increase the vaporization send out capacity at
EcoEl[eacute]ctrica's existing LNG terminal in Pe[ntilde]uelas, Puerto
Rico to supply the Puerto Rico Electric Power Authority with an
additional 93 million cubic feet per day.
    On August 25, 2016, the Federal Energy Regulatory Commission
(Commission or FERC) issued its Notice of Application for the Project.
Among other things, that notice alerted agencies issuing federal
authorizations of the requirement to complete all necessary reviews and
to reach a final decision on a request for a federal authorization
within 90 days of the date of issuance of the Commission staff's
Environmental Assessment (EA) for the Project. This instant notice
identifies the FERC staff's planned schedule for the completion of the
EA for the Project.

Schedule for Environmental Review

    Issuance of EA, April 12, 2017.
    90-day Federal Authorization Decision Deadline, July 11, 2017.
    If a schedule change becomes necessary, additional notice will be
provided so that the relevant agencies are kept informed of the
Project's progress.

Project Description

    EcoEl[eacute]ctrica proposes to modify its current operations to
use a spare vaporizer at its existing LNG terminal in Pe[ntilde]uelas,
Puerto Rico. No changes would be made to the design of the existing LNG
vaporization system, the existing LNG storage tank, or in-tank LNG
sendout pumps as part of the Project. The Project would not include any
construction activities and no ground disturbance would be required for
construction or operation.

Background

    On November 1, 2016, the Commission issued a Notice of Intent to
Prepare an Environmental Assessment for the Proposed LNG Terminal
Sendout Capacity Increase Project and Request for Comments on
Environmental Issues (NOI). The NOI was sent to affected landowners;
federal, state, and local government agencies; elected officials;
environmental and public interest groups; other interested parties; and
local libraries and newspapers. The scoping period identified in the
NOI will end on December 1, 2016.

Additional Information

    In order to receive notification of the issuance of the EA and to
keep track of all formal issuances and submittals in specific dockets,
the Commission offers a free service called eSubscription. This can
reduce the amount of time you spend researching proceedings by
automatically providing you with notification of these filings,
document summaries, and direct links to the documents. Go to
www.ferc.gov/docs-filing/esubscription.asp.
    Additional information about the Project is available from the
Commission's Office of External Affairs at (866) 208-FERC or on the
FERC Web site (www.ferc.gov). Using the ``eLibrary'' link, select
``General Search'' from the eLibrary menu, enter the selected date
range and ``Docket Number'' excluding the last three digits (i.e.,
CP16-492), and follow the instructions. For assistance with access to
eLibrary, the helpline can be reached at<PHONE_NUMBER>, TTY (202) 502-
8659, or at<EMAIL_ADDRESS>The eLibrary link on the FERC
Web site also provides access to the texts of formal documents issued
by the Commission, such as orders, notices, and rule makings.

    Dated: November 18, 2016.
Kimberly D. Bose,
Secretary.
[FR Doc. 2016-28329 Filed 11-23-16; 8:45 am]
 BILLING CODE 6717-01-P


[Federal Register: November 19, 2008 (Volume 73, Number 224)]
[Notices]
[Page 69633-69634]
[DOCID:fr19no08-78]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OW-2008-0357; FRL-8742-2]

Agency Information Collection Activities; Submission to OMB for
Review and Approval; Comment Request; Reporting Requirements for BEACH
Act Grants (Renewal), EPA ICR Number 2048.03, OMB Control Number 2040-
0244

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: In compliance with the Paperwork Reduction Act (44 U.S.C. 3501
et seq.), this document announces that an Information Collection
Request (ICR) has been forwarded to the Office of Management and Budget
(OMB) for review and approval. This is a request to renew an existing
approved collection. The ICR, which is abstracted below, describes the
nature of the information collection and its estimated burden and cost.

DATES: Additional comments may be submitted on or before December 19,
2008.

ADDRESSES: Submit your comments, referencing Docket ID number EPA-HQ-
OW-2008-0357, to (1) EPA online using http://www.regulations.gov (our
preferred method), by e-mail to<EMAIL_ADDRESS>or by mail to: EPA
Docket Center, Environmental Protection Agency, Water Docket (28221T),
1200 Pennsylvania Ave., NW. Washington, DC 20460 and (2) OMB at: Office
of Information and Regulatory Affairs, Office of Management and Budget
(OMB), Attention: Desk Officer for EPA, 725 17th Street, NW.,
Washington, DC 20503.

FOR FURTHER INFORMATION CONTACT: Lars Wilcut, Standards and Health
Protection Division, Office of Science and Technology (4305T),
Environmental Protection Agency, 1200 Pennsylvania Ave., NW.,
Washington, DC 20460; telephone number:<PHONE_NUMBER>; fax number:
(202) 566-0409; e-mail address<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: EPA has submitted the following ICR to OMB
for review and approval according to the procedures prescribed in 5 CFR
1320.12. On July 8, 2008 (73 FR 39013), EPA sought comments on this ICR
pursuant to 5 CFR 1320.8(d). EPA received no comments. Any additional
comments on this ICR should be submitted to EPA and OMB within 30 days
of this notice.
    EPA has established a public docket for this ICR under Docket ID
No. EPA-HQ-OW-2008-0357, which is available for public viewing at
http://www.regulations.gov, or in-person viewing at the Water Docket in
the EPA Docket Center (EPA/DC), EPA West, Room 3334, 1301 Constitution
Ave., NW., Washington, DC. The EPA Docket Center Public Reading Room is
open from 8:30 a.m. to 4:30 p.m., Monday through Friday, excluding
legal holidays. The telephone number for the Reading Room is (202) 566-
1744, and the telephone number for the Water Docket is<PHONE_NUMBER>.
    Use EPA's electronic docket and comment system at http://
www.regulations.gov to submit or view public comments, access the index
listing of the contents of the public docket, and to access those
documents in the public docket that are available electronically. Once
in the system, then key in the docket ID number identified above.
Please note that EPA's policy is that public comments, whether
submitted electronically or in paper, will be made available for public
viewing at http://www.regulations.gov as EPA receives them and without
change, unless the comment contains copyrighted material, confidential
business information (CBI), or other information whose public
disclosure is restricted by statute. For further information about the
electronic docket, go to http://www.regulations.gov.
    Title: Reporting Requirements for BEACH Act Grants (Renewal).
    ICR Numbers: EPA ICR No. 2048.03, OMB Control No. 2040-0244.
    ICR Status: This ICR is scheduled to expire on November 30, 2008.
Under OMB regulations, the Agency may continue to conduct or sponsor
the collection of information while this submission is pending at OMB.
An Agency may not conduct of sponsor and a person is not required to
respond to, a collection of information, unless it displays a currently
valid OMB control number. The OMB control numbers for EPA's regulations
in title 40 of the CFR, after appearing in the Federal Register when
approved, are listed in 40 CFR part 9, are displayed in the Federal
Register or by other appropriate means, such as on the related
collection instrument or form, if applicable. The display of OMB
control numbers in certain EPA regulations is consolidated in 40 CFR
part 9.
    Abstract: Congress passed the Beaches Environmental Assessment and
Coastal Health (BEACH) Act in October 2000 to amend the Clean Water
Act, in part by adding section 406, ``Coastal Recreation Water
Monitoring and Notification.'' Section 406(b) authorizes EPA to make
grants to States and local governments to develop and implement
programs for monitoring and public notification for coastal recreation
waters adjacent to beaches or similar points of access that are used by
the public, if the State or local government satisfies the requirements
of the BEACH Act.
    Several of these requirements require a grant recipient to collect
and submit information to EPA as a condition for receiving the grant.
Section 406(b) requires a grant recipient to provide the factors that
the state or local government uses to prioritize funds and a list of
waters for which the grant funds will be used. Section 406(b) also
requires that a grant recipient's program be consistent with the
performance requirements set by EPA under section 406(a); EPA needs
information from the grant recipients to determine if the monitoring
and notification programs are consistent with these criteria. On July
19, 2002, EPA published the National Beach Guidance and Required
Performance Criteria for Grants (67 FR 47540). Section 406(b) also
requires that a grant

recipient submit a report to EPA that describes the data collected as
part of a monitoring and notification program and the actions taken to
notify the public when water quality standards are exceeded. Section
406(c) requires a grant recipient to identify lists of coastal
recreation waters, processes for States to delegate to local
governments the responsibility for implementing a monitoring and
notification program, and the content of the monitoring and
notification program.
    The information covered by this ICR is required of States and local
governments that seek to obtain BEACH Act funding. It allows EPA to
properly review State and local governments' monitoring and
notification programs to determine if they are eligible for BEACH Act
grant funding. This information also enables EPA to fulfill its
obligations to make this information available to the public as
required by sections 406(e) and (g).
    Burden Statement: The annual public reporting and recordkeeping
burden for this collection of information is estimated to average 2,374
hours per response. Burden means the total time, effort, or financial
resources expended by persons to generate, maintain, retain, or
disclose or provide information to or for a Federal agency. This
includes the time needed to review instructions; develop, acquire,
install, and utilize technology and systems for the purposes of
collecting, validating, and verifying information, processing and
maintaining information, and disclosing and providing information;
adjust the existing ways to comply with any previously applicable
instructions and requirements; train personnel to be able to respond to
a collection of information; search data sources; complete and review
the collection of information; and transmit or otherwise disclose the
information.
    Respondents/Affected Entities: Environmental and public health
agencies in coastal and Great Lakes states, territories and authorized
tribes.
    Estimated Number of Respondents: 40.
    Frequency of Response: Annual.
    Estimated Total Annual Hour Burden: 94,947.
    Estimated Total Annual Cost: $11,928,370, includes $3,938,760
annualized capital or O&M costs.
    Changes in the Estimates: The annual operation and maintenance
costs increased by $188,760. This is because the estimated number of
beaches monitored by grant recipients increased from 3,472 (estimated
from EPA's 2003 National List of Beaches) to 3,647 (estimated from the
2007 National Beaches Survey), a 5.0% increase.

    Dated: November 13, 2008.
John Moses,
Acting Director, Collection Strategies Division.
[FR Doc. E8-27471 Filed 11-18-08; 8:45 am]

BILLING CODE 6560-50-P


[Federal Register Volume 86, Number 211 (Thursday, November 4, 2021)]
[Rules and Regulations]
[Pages 60757-60759]
[FR Doc No: 2021-23980]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2021-0637; Airspace Docket No. 21-ANM-31]
RIN 2120-AA66

Establishment of Class E Airspace; Portland-Troutdale Airport, OR

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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SUMMARY: This action establishes Class E airspace, designated as an
extension to a Class D or Class E surface area, at Portland-Troutdale
Airport, Portland, OR. This action also implements numerous
administrative updates to the Class D and Class E2 text headers, and
airspace descriptions. This action ensures the safety and management of
instrument flight rule (IFR) operations at the airport.

DATES: Effective 0901 UTC, January 27, 2022. The Director of the
Federal Register approves this incorporation by reference action under
1 CFR part 51, subject to the annual revision of FAA Order JO 7400.11
and publication of conforming amendments.

ADDRESSES: FAA Order JO 7400.11F, Airspace Designations and Reporting
Points, and subsequent amendments can be viewed online at https://www.faa.gov//air_traffic/publications/. For further information, you
can contact the Airspace Policy Group, Federal Aviation Administration,
800 Independence Avenue SW, Washington, DC 20591; telephone: (202) 267-
8783. FAA Order JO 7400.11F is also available for inspection at the
National Archives and Records Administration (NARA). For information on
the availability of FAA Order JO 7400.11F at NARA, email
[email protected] or go to https://www.archives.gov/federal-register/cfr/ibr-locations.html.

FOR FURTHER INFORMATION CONTACT: Matthew Van Der Wal, Federal Aviation
Administration, Western Service Center, Operations Support Group, 2200
S 216th Street, Des Moines, WA 98198; telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    The FAA's authority to issue rules regarding aviation safety is
found in Title 49 of the United States Code. Subtitle I, Section 106
describes the authority of the FAA Administrator. Subtitle VII,
Aviation Programs, describes in more detail the scope of the agency's
authority. This rulemaking is promulgated under the authority described
in Subtitle VII, Part A, Subpart I, Section 40103. Under that section,
the FAA is charged with prescribing regulations to assign the use of
airspace necessary to ensure the safety of aircraft and the efficient
use of airspace. This regulation is within the scope of that authority
as it establishes Class E airspace at Portland-Troutdale Airport,
Portland, OR, to ensure the safety and management of IFR operations at
the airport.

History

    The FAA published a notice of proposed rulemaking in the Federal
Register (86 FR 44668; August 13, 2021) for Docket No. FAA-2021-0637 to
establish Class E airspace at Portland-Troutdale Airport, Portland, OR.
Interested parties were invited to participate in this rulemaking
effort by

submitting written comments on the proposal to the FAA. No comments
were received.
    After the publication of the NPRM, the FAA discovered a typo in the
longitudinal coordinates listed for Portland International Airport. The
final rule corrects the coordinates from ``lat. 45[deg]35'19'' N, long.
112[deg]35'49'' W'' to ``lat. 45[deg]35'19'' N, long. 122[deg]35'49''W
''.
    Class D, Class E2, and Class E4 airspace designations are published
in paragraphs 5000, 6002, and 6004, respectively, of FAA Order JO
7400.11F, dated August 10, 2021, and effective September 15, 2021,
which is incorporated by reference in 14 CFR 71.1. The Class E airspace
designation listed in this document will be published subsequently in
FAA Order JO 7400.11.

Availability and Summary of Documents for Incorporation by Reference

    This document amends FAA Order JO 7400.11F, Airspace Designations
and Reporting Points, dated August 10, 2021, and effective September
15, 2021. FAA Order JO 7400.11F is publicly available as listed in the
ADDRESSES section of this document. FAA Order JO 7400.11F lists Class
A, B, C, D, and E airspace areas, air traffic service routes, and
reporting points.

The Rule

    This amendment to 14 CFR part 71 establishes Class E airspace at
Portland-Troutdale Airport, Portland, OR. The additional airspace is
designed to properly contain IFR aircraft descending below 1,000 feet
above the surface on the RNAV (GPS)-A approach.
    This action also implements numerous administrative updates to the
Class D and Class E2 text headers and airspace descriptions. The first
line of the text headers is updated from ``ANM OR D Portland-Troutdale,
OR'' to ``ANM OR D Portland, OR'', Portland is the official city for
the airport. The second line of the text headers is updated from
``Portland-Troutdale Airport, Troutdale, OR'' to ``Portland-Troutdale
Airport, OR'', this line should only list the airport name and state. A
fourth and fifth line of text should be added to the headers. The lines
should read ``Portland International Airport, OR'' and ``(lat.
45[deg]35'19'' N, long. 122[deg]35'49'' W)', respectively. The
additional lines are necessary because the airspace descriptions
contain exclusionary language for Portland International Airport's
Class C airspace area. The term Airport/Facility Directory'' in the
last sentence of the Class D airspace description is outdated and
should be corrected to ``Chart Supplement.'' The Class E2 airspace area
is not in use continuously, to accurately describe the airspace, the
following sentences should be added to the description. ``This Class E
airspace area is effective during the specific dates and times
established in advance by a Notice to Airmen. The effective date and
time will thereafter be continuously published in the Chart
Supplement.''
    FAA Order JO 7400.11, Airspace Designations and Reporting Points,
is published yearly and effective on September 15.

Regulatory Notices and Analyses

    The FAA has determined that this regulation only involves an
established body of technical regulations for which frequent and
routine amendments are necessary to keep them operationally current, is
non-controversial, and unlikely to result in adverse or negative
comments. It, therefore: (1) Is not a ``significant regulatory action''
under Executive Order 12866; (2) is not a ``significant rule'' under
DOT Regulatory Policies and Procedures (44 FR 11034; February 26,
1979); and (3) does not warrant preparation of a regulatory evaluation
as the anticipated impact is so minimal. Since this is a routine matter
that will only affect air traffic procedures and air navigation, it is
certified that this rule, when promulgated, would not have a
significant economic impact on a substantial number of small entities
under the criteria of the Regulatory Flexibility Act.

Environmental Review

    The FAA has determined that this action qualifies for categorical
exclusion under the National Environmental Policy Act in accordance
with FAA Order 1050.1F, ``Environmental Impacts: Policies and
Procedures,'' paragraph 5-6.5a. This airspace action is not expected to
cause any potentially significant environmental impacts, and no
extraordinary circumstances exist that warrant the preparation of an
environmental assessment.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (air).

Adoption of the Amendment

    In consideration of the foregoing, the Federal Aviation
Administration amends 14 CFR part 71 as follows:

PART 71--DESIGNATION OF CLASS A, B, C, D, AND E AIRSPACE AREAS; AIR
TRAFFIC SERVICE ROUTES; AND REPORTING POINTS

0
1. The authority citation for 14 CFR part 71 continues to read as
follows:

    Authority:  49 U.S.C. 106(f), 106(g), 40103, 40113, 40120; E.O.
10854, 24 FR 9565, 3 CFR, 1959-1963 Comp., p. 389.

Sec.  71.1  [Amended]

0
2. The incorporation by reference in 14 CFR 71.1 of FAA Order JO
7400.11F, Airspace Designations and Reporting Points, dated August 10,
2021, and effective September 15, 2021, is amended as follows:

Paragraph 5000 Class D Airspace.

* * * * *

ANM OR D Portland, OR [Amended]

Portland-Troutdale Airport, OR
    (Lat. 45[deg]32'58'' N, long. 122[deg]24'05'' W)
Portland International Airport, OR
    (Lat. 45[deg]35'19'' N, long. 122[deg]35'49'' W)

    That airspace extending upward from the surface to and including
2,500 feet MSL within a 4-mile radius of the Portland-Troutdale
Airport, excluding the portion within Portland International
Airport's Class C airspace area. This Class D airspace area is
effective during the specific dates and times established in advance
by a Notice to Airmen. The effective date and time will thereafter
be continuously published in the Chart Supplement.

Paragraph 6002 Class E Airspace Areas Designated as a Surface Area.

* * * * *

ANM OR E2 Portland, OR [Amended]

Portland-Troutdale Airport, OR
    (Lat. 45[deg]32'58'' N, long. 122[deg]24'05'' W)
Portland International Airport, OR
    (Lat. 45[deg]35'19'' N, long. 122[deg]35'49'' W)

    That airspace extending upward from the surface to and including
2,500 feet MSL within a 4-mile radius of the Portland-Troutdale
Airport, excluding the portion within the Portland International
Airport's Class C airspace area. This Class E airspace area is
effective during the specific dates and times established in advance
by a Notice to Airmen. The effective date and time will thereafter
be continuously published in the Chart Supplement.

Paragraph 6004 Class E Airspace Areas Designated as an Extension to
a Class D or Class E Surface Area.

* * * * *

ANM OR E4 Portland, OR [New]

Portland-Troutdale Airport, OR
    (Lat. 45[deg]32'58'' N, long. 122[deg]24'05'' W)

    That airspace extending upward from the surface within 2.3 miles
each side of the 212[deg] bearing from the airport extending from a
4-mile radius of the airport to 10.4 miles to the southwest of the
airport.

    Issued in Des Moines, Washington, on October 28, 2021.
B.G. Chew,
Acting Group Manager, Operations Support Group, Western Service Center.
[FR Doc. 2021-23980 Filed 11-3-21; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 79, Number 9 (Tuesday, January 14, 2014)]
[Notices]
[Pages 2464-2466]
[FR Doc No: 2014-00506]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

[Docket No. USCG-2013-0966]

Distant Water Tuna Fleet Vessels--Manning Exemption Guidance

AGENCY: Coast Guard, DHS.

ACTION: Notice of availability and request for comments.

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SUMMARY: Pursuant to section 421 of the Coast Guard and Marine
Transportation Act (CGMTA) of 2006, section 904 of the 2010 Coast Guard
Authorization Act, and section 701 of the CGMTA of 2012, the Coast
Guard announces the availability of CG-CVC Policy Letter 13-04, Distant
Water Tuna Fleet (DWTF) Vessels Manning Exemption Guidance. The Coast
Guard also requests public comments on the manning exemption criteria
and eligibility, and on the process for obtaining a manning exemption
approval letter.

DATES: Comments and related material must either be submitted to our
online docket via http://www.regulations.gov on or before February 13,
2014 or reach

the Docket Management Facility by that date.

ADDRESSES: You may submit comments identified by docket number USCG-
2013-0966 using any one of the following methods:
    (1) Federal eRulemaking Portal: http://www.regulations.gov.
    (2) Fax:<PHONE_NUMBER>.
    (3) Mail: Docket Management Facility (M-30), U.S. Department of
Transportation, West Building Ground Floor, Room W12-140, 1200 New
Jersey Avenue SE., Washington, DC 20590-0001.
    (4) Hand delivery: Same as mail address above, between 9 a.m. and 5
p.m., Monday through Friday, except Federal holidays. The telephone
number is<PHONE_NUMBER>.
    To avoid duplication, please use only one of these four methods.
See the ``Public Participation and Request for Comments'' portion of
the SUPPLEMENTARY INFORMATION section below for instructions on
submitting comments.

FOR FURTHER INFORMATION CONTACT: If you have questions on this notice,
call or email Jonathan G. Wendland, Fishing Vessel Safety Division (CG-
CVC-3), U.S. Coast Guard; telephone<PHONE_NUMBER>, email
<EMAIL_ADDRESS>If you have questions on viewing or
submitting material to the docket, call Barbara Hairston, Program
Manager, Docket Operations, telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: Public Participation and Request for
Comments: We encourage you to submit comments and related material on
the Distant Water Tuna Fleet (DWTF) Vessels Manning Exemption Guidance.
All comments received will be posted, without change, to http://www.regulations.gov and will include any personal information you have
provided.
    Submitting comments: If you submit a comment, please include the
docket number for this notice (USCG-2013-0966) and provide a reason for
each suggestion or recommendation. You may submit your comments and
material online, or by fax, mail or hand delivery, but please use only
one of these means. We recommend that you include your name and a
mailing address, an email address, or a telephone number in the body of
your document so that we can contact you if we have questions regarding
your submission.
    To submit your comment online, go to http://www.regulations.gov and
type ``USCG-2013-0966'' in the ``Keyword'' box. If you submit your
comments by mail or hand delivery, submit them in an unbound format, no
larger than 8\1/2\ by 11 inches, suitable for copying and electronic
filing. If you submit them by mail and would like to know that they
reached the Facility, please enclose a stamped, self-addressed postcard
or envelope. We will consider all comments and material received during
the comment period.
    Viewing the comments and related material: To view the comments,
the policy letter, or other documents or references mentioned in this
notice, go to http://www.regulations.gov and click on the ``read
comments'' box, which will then become highlighted in blue. In the
``Keyword'' box insert ``USCG-2013-0966'' and click ``Search.'' Click
the ``Open Docket Folder'' in the ``Actions'' column. If you do not
have access to the internet, you may view the docket online by visiting
the Docket Management Facility in Room W12-140 on the ground floor of
the Department of Transportation West Building, 1200 New Jersey Avenue
SE., Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays. We have an agreement with the
Department of Transportation to use the Docket Management Facility.
    Privacy Act: Anyone can search the electronic form of comments
received into any of our dockets by the name of the individual
submitting the comment (or signing the comment, if submitted on behalf
of an association, business, labor union, etc.). You may review a
Privacy Act, system of records notice regarding our public dockets in
the January 17, 2008, issue of the Federal Register (73 FR 3316).

Background and Purpose

    Section 421 of the Coast Guard and Maritime Transportation Act of
2006 (Pub. L. 109-241, 120 Stat. 547) authorized the distant water tuna
fleet (DWTF; certain United States-documented purse seine vessels
fishing exclusively for highly migratory species like tuna) to use
foreign citizens, except for the master, to meet manning requirements
if no United States citizens are readily available. This ``distant
water tuna fleet manning exemption'' was only applicable to vessels
operating in and out of American Samoa. That authorization was for a
48-month period and ended on July 11, 2010.
    Section 904 of the Coast Guard Authorization Act of 2010 (Pub. L.
111-281, 124 Stat. 3011), reauthorized the DWTF manning exemption until
the end of 2012. This reauthorized exemption also only applied to
vessels operating in and out of American Samoa. In addition, the 2010
legislation added a safety examination requirement such that a vessel's
owner/operator may not employ and embark a foreign citizen to meet a
manning requirement unless the vessel has successfully completed a
safety examination within the previous 12 months by a qualified
commercial fishing safety examiner. The reauthorization retained the
restriction that a foreign officer engaged to fill a required position
must hold a valid license or certificate issued in accordance with
International Convention on Standards of Training, Certification and
Watchkeeping for Seafarers (STCW) standards and by an authority
recognized by the Coast Guard.
    Section 701 of the Coast Guard and Maritime Transportation Act of
2012 (Pub. L. 112-213, 126 Stat. 1579) again re-authorized the DWTF
manning exemption, this time for as long as the U.S. remains party to
the South Pacific Tuna Treaty, under which DWTF vessels are licensed to
fish. The 2012 re-authorization extended the exemption to vessels
operating in and out of Guam, as well as those operating in and out of
American Samoa. Further, it provided that a foreign citizen making use
of the exemption may possess either STCW credentials or foreign
credentials that are equivalent to Coast Guard-issued credentials for
the position the foreign citizen holds.
    We have issued CG-CVC Policy Letter 13-04 to provide guidance to
Coast Guard field personnel and the DWTF on the changes to the DWTF
manning exemption eligibility requirements pursuant to the 2012 CGMTA.
This Policy Letter reiterates the purpose of the guidance, the
background of and changes to the manning exemption authorizations, the
requirements for vessel safety examinations, and the general guidance
for requesting and issuing a manning exemption approval letter. CG-CVC
Policy Letter 13-04 expands on CG-543 Policy Letter 11-05 (May 18,
2011) by adding definitions, a short discussion about the recent
history and operations of the DWTF, a discussion on compliance and
enforcement of the manning exemption, how the 14th Coast Guard District
will manage the approval letters, what is required of a foreign mariner
and administration for credential equivalency, and procedures and
requirements for annual safety examinations.
    We request your comments for consideration as the Coast Guard
implements the guidance in CG-CVC Policy Letter 13-04 which is intended
to clarify the requirements enabling a

DWTF vessel to request and be approved to exercise the manning
exemption afforded by law.

Authority

    This notice is issued under authority of 5 U.S.C. 552(a).

    Dated: January 7, 2014.
J.C. Burton,
Captain, U.S. Coast Guard, Director of Inspections and Compliance.
[FR Doc. 2014-00506 Filed 1-13-14; 8:45 am]
BILLING CODE 9110-04-P


[Federal Register Volume 84, Number 120 (Friday, June 21, 2019)]
[Rules and Regulations]
[Page 29067]
[FR Doc No: 2019-13274]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 165

[Docket No. USCG-2019-0458]

Safety Zone; Seafair Air Show Performance, 2019, Seattle, WA

AGENCY: Coast Guard, DHS.

ACTION: Notice of enforcement of regulation.

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SUMMARY: The Coast Guard will enforce the annual Seafair Air Show
Performance safety zone on Lake Washington, Seattle, WA daily, from 8
a.m. until 4 p.m., from August 1, 2019, through August 4, 2019. This
action is necessary to ensure the safety of the public from inherent
dangers associated with these annual aerial displays. During the
enforcement period, no person or vessel may enter or transit this
safety zone unless authorized by the Captain of the Port or her
designated representative.

DATES: The regulations in 33 CFR 165.1319 will be enforced daily, from
8 a.m. until 4 p.m., from August 1, 2019, through August 4, 2019.

FOR FURTHER INFORMATION CONTACT: If you have questions about this
notice of enforcement, call or email Lieutenant Ellie Wu, Sector Puget
Sound Waterways Management Division, Coast Guard; telephone (206) 217-
6051, email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: The Coast Guard will enforce the Seafair Air
Show Performance safety zone in 33 CFR 165.1319 daily, from 8 a.m.
until 4 p.m., from August 1, 2019, through August 4, 2019, unless
canceled sooner by the Captain of the Port.
    Under the provisions of 33 CFR 165.1319, the following area is
designated as a safety zone: All waters of Lake Washington south of the
Interstate 90 Floating West Bound Bridge and north of the points
between Bailey Peninsula at 47[deg]33'14.4'' N, 122[deg]14'47.3'' and
Mercer Island at 47[deg]33'24.5'' N, 122[deg]13'52.5'' W. The specific
boundaries of the safety zone are listed in 33 CFR 165.1319(b).
    In accordance with the general regulations in 33 CFR part 165,
subpart C, no person or vessel may enter or remain in the zone except
for support vessels and support personnel, vessels registered with the
event organizer, or other vessels authorized by the Captain of the Port
or Designated Representatives. Vessels and persons granted
authorization to enter the safety zone must obey all lawful orders or
directions made by the Captain of the Port or her designated
representative.
    The Captain of the Port may be assisted by other federal, state and
local law enforcement agencies in enforcing this regulation.
    In addition to this notice of enforcement in the Federal Register,
the Coast Guard will provide the maritime community with advanced
notification of the safety zone via the Local Notice to Mariners and
marine information broadcasts on the day of the event. If the COTP
determines that the safety zone need not be enforced for the full
duration stated in this notice of enforcement, she may use a Broadcast
Notice to Mariners to grant general permission to enter the regulated
area.

    Dated: June 18, 2019.
L.A. Sturgis,
Captain, U.S. Coast Guard, Captain of the Port Puget Sound.
[FR Doc. 2019-13274 Filed 6-20-19; 8:45 am]
BILLING CODE 9110-04-P