                            RESPONSIVENESS SUMMARY

Notice of Intent to Partially Delete Macalloy Corporation Site from National Priority List
              North Charleston, Charleston County, South Carolina

                            EPA-HQ-SFUND-2000-0006
                             FRL-10011-89-Region 4

                                August 31, 2020

On July 27, 2020, the Region 4 Office of the United States Environmental Protection Agency (EPA) published in the Federal Register a Notice of Intent to Partially Delete (NOIPD) the Macalloy Corporation Site from the National Priorities List (NPL).  This publication initiated a 30-day public comment on the proposed action to delete 134-acres of the 140-acre site located at 1800 Pittsburgh Avenue, North Charleston, South Carolina 29405.  The State of South Carolina, through the South Carolina Department of Health and Environmental Control (SCDHEC) concurs with this proposed action.  The remaining 6-acres with groundwater concentrations above the 100 ug/L Maximum Contaminant Level (MCL) for total chromium will remain on the NPL. Periodic groundwater monitoring will be conducted in the future on the 6-acre parcel to measure progress towards meeting the total chromium MCL.

The 30-day public comment period closed on August 26, 2020.  One comment was received from the public during this time frame.  The comment is provided below followed by EPA's response.

Anonymous Comment Posted August 4, 2020:  Pursuant to CERCLA section 121(c) and the NCP, EPA conducts five-year reviews to ensure the continued protectiveness of remedial actions where hazardous substances, pollutants, or contaminants remain at a site above levels that allow unlimited use and unrestricted exposure.  In case during one of these reviews the EPA finds pollutants in this site, there should be joint and several liability on any party found responsible for creating this pollution retroactively to when the parties began to be involved in the site.  Furthermore, include in the five year inspection period groundwater monitoring as well.

EPA Response:   In July 1998, Potentially Responsible Party (PRP) Macalloy, the EPA, and SCDHEC decided that CERCLA would be an appropriate mechanism to address contamination at the site. Subsequently, the site was proposed for inclusion on the National Priorities List (NPL) on October 22, 1999; and on March 29, 2000, Macalloy entered into an agreement with the EPA to perform a CERCLA Remedial Investigation/Feasibility Study (RI/FS) at the Site with EPA oversight.  After the Record of Decision (ROD) was issued in August 2002, the Macalloy PRP Group entered into a Consent Decree in June 2004 to implement the alternatives selected in the EPA ROD.
The first Five-Year Review (FYR) for the Macalloy Site was finalized in September 2010, and the second FYR was finalized in August 2015.  The third FYR was approved on August 20, 2020.  All three FYR's have been included in the Federal Deletion Docket.  All recommendations in the FYRs have been addressed and there are no levels of pollutants at the Site that would prohibit future commercial/industrial land-use.  All three FYRs have included the most recent and up to date groundwater monitoring results.

No further Superfund response is needed to protect human health and the environment under a future commercial/industrial land-use scenario.  EPA believes the activities completed at the site satisfy the deletion criteria in the National Oil and Hazardous Substances and Pollution Contingency Plan, and it is appropriate to delete 134-acres of the 140-acre site from the NPL.


[Federal Register Volume 79, Number 171 (Thursday, September 4, 2014)]
[Rules and Regulations]
[Pages 52545-52549]
[FR Doc No: 2014-21037]

=======================================================================
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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2013-0464; Directorate Identifier 2012-NM-010-AD;
Amendment 39-17947; AD 2014-16-23]
RIN 2120-AA64

Airworthiness Directives; Dassault Aviation Airplanes

AGENCY: Federal Aviation Administration (FAA), Department of
Transportation (DOT).

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: We are superseding Airworthiness Directive (AD) 2011-16-01 for
all Dassault Aviation Model FALCON 7X airplanes. AD 2011-16-01 required
adding an automatic reversion logic and a means for the pilot to
override pitch trim control normal modes, and installing placards in
the cockpit; replacing the frame of the emergency switch box; replacing
certain horizontal stabilizer electronic control units (HSECU);
revising the Limitations section of the airplane flight manual (AFM);
and revising the maintenance program to incorporate a certain task.
This new AD requires modifying the fly-by-wire (FBW) standard; and
operational testing of the electric motors reversion relays and trim
emergency command of the horizontal stabilizer trim system (HSTS), and
repairs if necessary. This AD was prompted by an uncontrolled pitch
trim runaway during descent. We are issuing this AD to prevent an
uncontrolled pitch trim runaway, which could result in loss of control
of the airplane.

DATES: This AD becomes effective October 9, 2014.
    The Director of the Federal Register approved the incorporation by
reference of certain publications listed in this AD as of October 9,
2014.
    The Director of the Federal Register approved the incorporation by
reference of certain other publications listed in this AD as of August
22, 2011 (76 FR 47424, August 5, 2011).

ADDRESSES: You may examine the AD docket on the Internet at http://www.regulations.gov/#!docketDetail;D=FAA-2013-0464; or in person at the
U.S. Department of Transportation, Docket Operations, M-30, West
Building Ground Floor, Room W12-140, 1200 New Jersey Avenue SE.,
Washington, DC.
    For service information identified in this AD, contact Dassault
Falcon Jet, P.O. Box 2000, South Hackensack, NJ 07606; telephone 201-
440-6700; Internet http://www.dassaultfalcon.com. You may view this
referenced service information at the FAA, Transport Airplane
Directorate, 1601 Lind Avenue SW., Renton, WA. For information on the
availability of this material at the FAA, call<PHONE_NUMBER>.

FOR FURTHER INFORMATION CONTACT: Tom Rodriguez, Aerospace Engineer,
International Branch, ANM-116, Transport Airplane Directorate, FAA,
1601 Lind Avenue SW., Renton, WA 98057-3356; telephone<PHONE_NUMBER>;
fax<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Discussion

    We issued a notice of proposed rulemaking (NPRM) to amend 14 CFR
part 39 to supersede AD 2011-16-01, Amendment 39-16759 (76 FR 47424,
August 5, 2011). AD 2011-16-01 applied to all Dassault Aviation Model
FALCON 7X airplanes. The NPRM published in the Federal Register on July
3, 2013 (78 FR 40065). The NPRM proposed to continue to require adding
an automatic reversion logic and a means for the pilot to override
pitch trim control normal modes, and installing placards in the
cockpit; replacing the frame of the emergency switch box; replacing
certain HSECU; revising the Limitations section of the AFM; and
revising the maintenance program to incorporate a certain task. The
NPRM also proposed to require modifying the FBW standard; operating the
airplane according to the limitations and procedures in an approved
AFM; and operational testing of the electric motors reversion relays
and trim emergency command of the HSTS, and repairs if necessary.
    The European Aviation Safety Agency (EASA), which is the Technical
Agent for the Member States of the European Community, has issued EASA
Airworthiness Directive 2011-0241, dated December 19, 2011 (referred to
after this as ``the MCAI''), to correct an unsafe condition for all
Dassault Aviation Model FALCON 7X airplanes. The MCAI states:

    In May 2011, a Dassault Aviation Falcon 7X aeroplane experienced
an uncontrolled pitch trim runaway during descent. The crew
succeeded in recovering a stable situation and performed an
uneventful landing.
    The results of the investigations showed that there was a
production defect in the Horizontal Stabilizer Electronic Control
Unit (HSECU) which could have contributed to the cause of the event.
    This condition, if not corrected, could lead to a loss of
control of the aeroplane.
    To address this unsafe condition, EASA issued emergency AD 2011-
0102-E [http://ad.easa.europa.eu/blob/
easaad20110102ESupersede
d.pdf/EAD2011-0102-E1] which prohibited further
flights. Following further technical investigations accomplished by
Dassault Aviation, EASA issued AD 2011-0114, currently at revision
2, [http://ad.easa.europa.eu/blob/
easaad20110114R2.pdf/AD2011-
0114R21] which superseded EASA AD 2011-0102-E. Following
accomplishment of all the actions as required by EASA AD 2011-
0114R2, all aeroplanes could resume flying with operational
limitations.
    Since EASA AD 2011-0114R2 was issued, Dassault Aviation have
developed a modification (M1245 to be embodied through
accomplishment of Dassault Aviation Service Bulletin F7X-214) of the
Fly-By-Wire (FBW) current standard which improves the monitoring and
reversion logic of the Horizontal Stabilizer Trim System (HSTS).
This modification results in earlier failure detection and quicker
reversion.
    Dassault Aviation have issued as well Revision 13 of the
Aircraft Flight Manual (AFM) which incorporates the changes
introduced in EASA AD 2011-0114R2 (CP55 and 56) as well as the new
changes resulting from Dassault Aviation M1245 (CP58).
    Dassault Aviation have introduced as well operational tests of
the HSTS electric motors reversion relays and of the HSTS trim
emergency command into the Chapter 5.40 of F7X Aircraft Maintenance
Manual (CP010).
    For the reasons described above, EASA issued [an AD] . . . to
require:
    1. Accomplishing Dassault Aviation modification M1245,
    2. amending the AFM, and
    3. implementing the operational tests of the HSTS electric
motors reversion relays and of the HSTS trim emergency command.
    Accomplishment of all the above actions restored the full
original certified flight envelope of the aeroplane.
    Since EASA AD 2011-0169 was issued, further analyses have
demonstrated that, once Dassault Aviation modification M1245 is
embodied, it is allowed to restore the originally certified Minimum
Equipment List (MEL) items which were removed in accordance with the
requirement of paragraph (4) of EASA AD 2011-0114R2.
    For the reasons described above, this [EASA] AD, which
supersedes EASA AD 2011-0169, retaining its requirements, in
addition, extends the applicability of the AD to all S/Ns and, for
aeroplanes fitted with FBW standard <IP_ADDRESS>, allows the MEL

limitations imposed by EASA AD 2011-0114R2 to be removed.

    You may examine the MCAI in the AD docket on the Internet at http://www.regulations.gov/#!documentDetail;D=FAA-2013-0464-0002.

Comment

    We gave the public the opportunity to participate in developing
this AD. We have considered the comment received. The following
presents the comment received on the NPRM (78 FR 40065, July 3, 2013)
and the FAA's response to the comment.

Request To Revise Unsafe Condition Determination

    Rockwell Collins requested that we remove the statement from the
NPRM (78 FR 40065, July 3, 2013) that describes that the horizontal
stabilizer electronic control unit could have contributed to the event
which led to the determination of an unsafe condition. Rockwell Collins
submitted a test report to substantiate its request.
    We disagree with the commenter's request. As stated in the MCAI,
the results of the investigations showed that there was a production
defect in the HSECU, which could have contributed to the cause of the
event. An airplane lost pitch control, which resulted in the unsafe
condition determination that led to the issuance of the MCAI. We concur
with the unsafe condition stated in the MCAI. We have not changed this
final rule in this regard.

Revisions to Service Information

    Since we issued the NPRM (78 FR 40065, July 3, 2013), Dassault
Aviation issued Chapter 5-40-00, Airworthiness Limitations, DGT 107838,
Revision 3, dated July 16, 2012, of the Dassault Falcon 7X Maintenance
Manual (MM); and Dassault Falcon 7X Airplane Flight Manual (AFM),
DGT105608, Revision 18, dated November 15, 2013. These documents
contain no substantive changes to the requirements of this final rule
beyond the procedures specified in the revisions of the documents cited
in the NPRM. We have determined that these new procedures will not
impose an additional burden on any operator. This final rule has been
changed to refer to this revised MM and AFM as the appropriate sources
of information to address the identified unsafe condition.

``Contacting the Manufacturer'' Paragraph in This AD

    Since late 2006, we have included a standard paragraph titled
``Airworthy Product'' in all MCAI ADs in which the FAA develops an AD
based on a foreign authority's AD.
    We have become aware that some operators have misunderstood or
misinterpreted the Airworthy Product paragraph to allow the owner/
operator to use messages provided by the manufacturer as approval of
deviations during the accomplishment of an AD-mandated action. The
Airworthy Product paragraph does not approve messages or other
information provided by the manufacturer for deviations to the
requirements of the AD-mandated actions. The Airworthy Product
paragraph only addresses the requirement to contact the manufacturer
for corrective actions for the identified unsafe condition and does not
cover deviations from other AD requirements. However, deviations to AD-
required actions are addressed in 14 CFR 39.17, and anyone may request
the approval for an alternative method of compliance to the AD-required
actions using the procedures found in 14 CFR 39.19.
    To address this misunderstanding and misinterpretation of the
Airworthy Product paragraph, we have changed the paragraph and retitled
it ``Contacting the Manufacturer.'' This paragraph now clarifies that
for any requirement in this AD to obtain corrective actions from a
manufacturer, the actions must be accomplished using a method approved
by the FAA, the European Aviation Safety Agency (EASA), or Dassault
Aviation's EASA Design Organization Approval (DOA).
    The Contacting the Manufacturer paragraph also clarifies that, if
approved by the DOA, the approval must include the DOA-authorized
signature. The DOA signature indicates that the data and information
contained in the document are EASA-approved, which is also FAA-
approved. Messages and other information provided by the manufacturer
that do not contain the DOA-authorized signature approval are not EASA-
approved, unless EASA directly approves the manufacturer's message or
other information.
    This clarification does not remove flexibility previously afforded
by the Airworthy Product paragraph. Consistent with long-standing FAA
policy, such flexibility was never intended for required actions. This
is also consistent with the recommendation of the Airworthiness
Directive Implementation Aviation Rulemaking Committee to increase
flexibility in complying with ADs by identifying those actions in
manufacturers' service instructions that are ``Required for
Compliance'' with ADs. We continue to work with manufacturers to
implement this recommendation. But once we determine that an action is
required, any deviation from the requirement must be approved as an
alternative method of compliance.
    We also have decided not to include a generic reference to either
the ``delegated agent'' or ``design approval holder (DAH) with State of
Design Authority design organization approval,'' but instead we have
provided the specific delegation approval granted by the State of
Design Authority for the DAH throughout this AD.

Conclusion

    We reviewed the relevant data, considered the comment received, and
determined that air safety and the public interest require adopting
this AD with the changes described previously and minor editorial
changes. We have determined that these changes:
     Are consistent with the intent that was proposed in the
NPRM (78 FR 40065, July 3, 2013) for correcting the unsafe condition;
and
     Do not add any additional burden upon the public than was
already proposed in the NPRM (78 FR 40065, July 3, 2013).
    We also determined that these changes will not increase the
economic burden on any operator or increase the scope of this AD.

Costs of Compliance

    We estimate that this AD affects 30 airplanes of U.S. registry.
    The actions that were required by AD 2011-16-01, Amendment 39-16759
(76 FR 47424, August 5, 2011), that are retained in this AD take about
340 work-hours per product, at an average labor rate of $85 per work-
hour. Based on these figures, the estimated cost of the actions that
were required by AD 2011-16-01 is $28,900 per product.
    We also estimate that it will take about 11 work-hours per product
to comply with the new basic requirements of this AD. The average labor
rate is $85 per work-hour. Based on these figures, we estimate the cost
of this AD on U.S. operators to be $28,050, or $935 per product.
    According to the manufacturer, some of the costs of this AD may be
covered under warranty, thereby reducing the cost impact on affected
individuals. We do not control warranty coverage for affected
individuals. As a result, we have included all costs in our cost
estimate.

Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue

rules on aviation safety. 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.
    We are issuing this rulemaking under the authority described in
``Subtitle VII, Part A, Subpart III, Section 44701: General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

    We determined that this AD will not have federalism implications
under Executive Order 13132. This AD will not have a substantial direct
effect on the States, on the relationship between the national
government and the States, or on the distribution of power and
responsibilities among the various levels of government.
    For the reasons discussed above, I certify that this AD:
    1. Is not a ``significant regulatory action'' under Executive Order
12866;
    2. Is not a ``significant rule'' under the DOT Regulatory Policies
and Procedures (44 FR 11034, February 26, 1979);
    3. Will not affect intrastate aviation in Alaska; and
    4. Will not have a significant economic impact, positive or
negative, on a substantial number of small entities under the criteria
of the Regulatory Flexibility Act.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://www.regulations.gov/#!docketDetail;D=FAA-2013-0464; or in person at the
Docket Operations office between 9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays. The AD docket contains this AD, the
regulatory evaluation, any comments received, and other information.
The street address for the Docket Operations office (telephone (800)
647-5527) is in the ADDRESSES section.

List of Subjects in 14 CFR Part 39

    Air transportation, Aircraft, Aviation safety, Incorporation by
reference, Safety.

Adoption of the Amendment

    Accordingly, under the authority delegated to me by the
Administrator, the FAA amends 14 CFR part 39 as follows:

PART 39--AIRWORTHINESS DIRECTIVES

0
1. The authority citation for part 39 continues to read as follows:

    Authority:  49 U.S.C. 106(g), 40113, 44701.

Sec.  39.13  [Amended]

0
2. The FAA amends Sec.  39.13 by removing Airworthiness Directive (AD)
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011), and
adding the following new AD:

2014-16-23 Dassault Aviation: Amendment 39-17947. Docket No. FAA-
2013-0464; Directorate Identifier 2012-NM-010-AD.

(a) Effective Date

    This airworthiness directive (AD) becomes effective October 9,
2014.

(b) Affected ADs

    This AD replaces AD 2011-16-01, Amendment 39-16759 (76 FR 47424,
August 5, 2011).

(c) Applicability

    This AD applies to all Dassault Aviation Model FALCON 7X
airplanes, certificated in any category, all serial numbers.

(d) Subject

    Air Transport Association (ATA) of America Code 27, Flight
Controls.

(e) Reason

    This AD was prompted by an uncontrolled pitch trim runaway
during descent. We are issuing this AD to prevent an uncontrolled
pitch trim runaway, which could result in loss of control of the
airplane.

(f) Compliance

    Comply with this AD within the compliance times specified,
unless already done.

(g) Retained Modification

    This paragraph restates the requirements of paragraph (g) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011). Before
further flight, do the applicable actions specified in paragraphs
(g)(1), (g)(2), and (g)(3) of this AD.
    (1) For airplanes on which Dassault Mandatory Service Bulletin
7X-211, Revision 1, dated June 14, 2011, has not been done as of
August 22, 2011 (the effective date of AD 2011-16-01, Amendment 39-
16759 (76 FR 47424, August 5, 2011)): Modify the airplane by adding
an automatic reversion logic and a means for the pilot to override
pitch trim control normal modes, and install placards in the cockpit
in full view of the pilots, in accordance with paragraph 2.,
``Accomplishment Instructions for Aircraft which have not Already
Implemented the Revision 1 of the Service Bulletin,'' of Dassault
Mandatory Service Bulletin 7X-211, Revision 2, dated June 22, 2011,
including New Standard Installation Checklist and Appendix A, and
including FCS Data Loading Procedure, Issue D, dated May 28, 2010.
    (2) For airplanes on which Dassault Mandatory Service Bulletin
7X-211, Revision 1, dated June 14, 2011, has been done as of August
22, 2011 (the effective date of AD 2011-16-01, Amendment 39-16759
(76 FR 47424, August 5, 2011)): Replace the frame of the emergency
switch box, in accordance with paragraph 3., ``Accomplishment
Instructions for Aircraft which have Already Implemented Revision 1
of this Service Bulletin,'' of Dassault Mandatory Service Bulletin
7X-211, Revision 2, dated June 22, 2011, including New Standard
Installation Checklist and Appendix A, and including FCS Data
Loading Procedure, Issue D, dated May 28, 2010.
    (3) For airplanes equipped with any horizontal stabilizer
electronic control unit (HSECU) part number (P/N) 051244-04, replace
the HSECU with any HSECU identified in paragraph (g)(3)(i),
(g)(3)(ii), or (g)(3)(iii) of this AD, in accordance with the
Accomplishment Instructions of Dassault Mandatory Service Bulletin
7X-212, Revision 2, dated July 7, 2011.
    (i) HSECU P/N 051244-02.
    (ii) Verified HSECU P/N 051244-04 having a stamped ``V.''
    (iii) HSECU P/N 051244-05.

(h) Retained Credit for Previous Actions

    This paragraph restates the provisions specified in paragraph
(h) of AD 2011-16-01, Amendment 39-16759 (76 FR 47424, August 5,
2011). This paragraph provides credit for the HSECU replacement
required by paragraph (g)(3)(i) or (g)(3)(ii) of this AD, if those
replacements were performed before August 22, 2011 (the effective
date of AD 2011-16-01), using Dassault Mandatory Service Bulletin
7X-212, Revision 1, dated June 23, 2011, which is not incorporated
by reference in this AD.

(i) Retained Revision of Airplane Flight Manual (AFM)

    This paragraph restates the requirements of paragraph (i) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011). As of
August 22, 2011 (the effective date AD 2011-16-01), operate the
airplane according to the limitations and procedures in the Dassault
Falcon 7X AFM, Revision 12, dated June 16, 2011, until the actions
required by paragraph (p) of this AD are accomplished. Revision 12
introduces revised operational speed limitations and revised
procedures accounting for the new TRIM EMERG button.

(j) Retained Electronic Checklist Database Installation

    This paragraph restates the requirements of paragraph (j) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011). Before
further flight, install the electronic checklist V0007 database, in
accordance with the Accomplishment Instructions of Dassault Service
Bulletin 7X-213, dated June 22, 2011. Accomplishing the actions
required by

paragraph (o) of this AD terminates the actions required by
paragraph (j) of this AD.

(k) Retained Operating Restrictions

    This paragraph restates the requirements of paragraph (k) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011). Before
further flight, revise the Limitations section of the Dassault
Falcon 7X AFM to include the information provided in figure 1 to
paragraph (k) of this AD. This may be accomplished by inserting a
copy of figure 1 to paragraph (k) of this AD into the AFM.
Accomplishment of the actions required in paragraph (p) of this AD
terminates the actions required by paragraph (k) of this AD.

Figure 1 to Paragraph (k) of this AD--Retained AFM Revision
[GRAPHIC] [TIFF OMITTED] TR04SE14.017

(l) Retained Maintenance Program Revision

    This paragraph restates the requirements of paragraph (l) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011).
    (1) Within 30 days after August 22, 2011 (the effective date of
AD 2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011)):
Revise the maintenance program to incorporate Maintenance Planning
Document (MPD) Task 27-40-00-710-801, as specified in Dassault
Aviation, Falcon 7X Maintenance Manual (MM), Falcon 7X--Chapter 5-
40-00 after Rev 01, dated June 10, 2011 (commonly referred to as
Dassault Change Proposal (CP) CP009 to Chapter 5-40-00 of Dassault
Falcon 7X MM). The initial compliance time for doing the operational
test of the HSTS electric motors reversion relays is 1,850 flight
hours after accomplishment of the applicable actions required by
paragraph (g) of this AD. Accomplishment of the actions required in
paragraph (q) of this AD terminates the actions required by
paragraph (l) of this AD.
    (2) The MM revision required by paragraph (l) of this AD may be
done by inserting a copy of Maintenance Planning Document (MPD) Task
27-40-00-710-801, as specified in Dassault Aviation, Falcon 7X
Maintenance Manual (MM), Falcon 7X--Chapter 5-40-00 after Rev 01,
dated June 10, 2011 (commonly referred to as Dassault Change
Proposal (CP) CP009 to Chapter 5-40-00 of Dassault Falcon 7X MM),
into the MM. When Dassault CP CP009 has been included in general
revisions of the MM, the general revisions may be inserted into the
MM, provided the relevant information in the general revision is
identical to that in Dassault CP CP009, and Dassault CP CP009 may be
removed.

(m) Retained Limitations for Alternative Procedures or Intervals

    This paragraph restates the requirements of paragraph (m) of AD
2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011). After
the maintenance program has been revised as required by paragraph
(l) of this AD, no alternative procedure or interval for the
operational test may be used unless the procedure and/or interval is
approved as an alternative method of compliance (AMOC) in accordance
with the procedures specified in paragraph (s) of this AD.

(n) Retained FAA AD Differences

    This paragraph restates the AD differences identified in Note 3
of AD 2011-16-01, Amendment 39-16759 (76 FR 47424, August 5, 2011).
This AD differs from the mandatory continuing airworthiness
information (MCAI) and/or service information as follows:
    (1) European Aviation Safety Agency (EASA) AD 2011-0114R2, dated
July 7, 2011, requires repetitive operational tests of the HSTS
electric motors reversion relays, and specifies that the aircraft
maintenance program may be revised in lieu of those repetitive
tests. This FAA AD mandates revising the maintenance program.
    (2) EASA AD 2011-0114R2, dated July 7, 2011, does not include
any requirement to revise the electronic checklist. Paragraph (j) of
this FAA AD requires this action.
    (3) EASA AD 2011-0114R2, dated July 7, 2011, mandates amending
the minimum equipment list (MEL) by removing certain items. This FAA
AD instead requires revising the AFM to prohibit dispatch with those
items inoperative. The operational effect, however, is the same.

(o) New Fly-By-Wire System Modification

    Within 12 months after accomplishing the actions required by
paragraph (g) of this AD, or within 9 months after the effective
date of this AD, whichever is later: Modify the fly-by-wire system
installed in the airplane to the <IP_ADDRESS> standard, in accordance
with the Accomplishment Instructions of Dassault Service Bulletin
7X-214, dated August 30, 2011, as revised by Dassault Service
Bulletin 7X-214, Erratum, dated January 26, 2012. Accomplishment of
the actions required in paragraph (o) of this AD terminates the
actions required by paragraph (j) of this AD.

(p) New AFM Revision

    After accomplishing the actions required by paragraph (o) of
this AD: Operate the airplane thereafter according to the
limitations and procedures specified in Dassault Falcon 7X AFM,
DGT105608, Revision 18, dated November 15, 2013. Accomplishment of
the actions required by this paragraph terminates the requirements
of paragraphs (i) and (k) of this AD; after those actions have been
done, the AFM limitation required by paragraph (k) of this AD may be
removed from the AFM.

(q) New Maintenance Program Revision

    Within 30 days after the effective date of this AD: Revise the
maintenance program to incorporate Chapter 5-40-00, Airworthiness
Limitations, DGT 107838, Revision 3, dated July 16, 2012, of the
Dassault Falcon 7X Maintenance Manual (MM), into the MM.
    (1) The initial compliance time for the operational test of the
HSTS trim emergency command is within 650 flight hours after the
modification required by paragraph (o) of this AD.

    (2) The initial compliance time for the operational test of the
HSTS electric motors reversion relays is within 5,050 flight hours
after the modification required by paragraph (o) of this AD.
    (3) Accomplishment of the actions required in paragraph (q) of
this AD terminates the actions required by paragraph (l) of this AD.

(r) New Limitations for Alternative Actions or Intervals

    After accomplishing the revision required by paragraph (q) of
this AD, no alternative actions (e.g., inspections) or intervals may
be used unless the actions or intervals are approved as an AMOC in
accordance with the procedures specified in paragraph (s) of this
AD.

(s) Other FAA AD Provisions

    The following provisions also apply to this AD:
    (1) Alternative Methods of Compliance (AMOCs): The Manager,
International Branch, ANM-116, Transport Airplane Directorate, FAA,
has the authority to approve AMOCs for this AD, if requested using
the procedures found in 14 CFR 39.19. In accordance with 14 CFR
39.19, send your request to your principal inspector or local Flight
Standards District Office, as appropriate. If sending information
directly to the International Branch, send it to ATTN: Tom
Rodriguez, Aerospace Engineer, International Branch, ANM-116,
Transport Airplane Directorate, FAA, 1601 Lind Avenue SW., Renton,
WA 98057-3356; telephone<PHONE_NUMBER>; fax<PHONE_NUMBER>. Information
may be emailed to<EMAIL_ADDRESS>    (i) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office. The AMOC approval letter must specifically
reference this AD.
    (ii) AMOCs approved previously for AD 2011-16-01, Amendment 39-
16759 (76 FR 47424, August 5, 2011), are approved as AMOCs for the
corresponding provisions of this AD.
    (2) Contacting the Manufacturer: For any requirement in this AD
to obtain corrective actions from a manufacturer, the action must be
accomplished using a method approved by the Manager, International
Branch, ANM-116, Transport Airplane Directorate, FAA; or the
European Aviation Safety Agency (EASA); or Dassault Aviation's EASA
Design Organization Approval (DOA). If approved by the DOA, the
approval must include the DOA-authorized signature.

(t) Related Information

    (1) Refer to MCAI EASA Airworthiness Directive 2011-0241, dated
December 19, 2011. You may examine the MCAI in the AD docket on the
Internet at http://www.regulations.gov/#!documentDetail;D=FAA-2013-
0464-0002.
    (2) Service information identified in this AD that is not
incorporated by reference is available at the addresses specified in
paragraphs (u)(5) and (u)(6) of this AD.

(u) Material Incorporated by Reference

    (1) The Director of the Federal Register approved the
incorporation by reference (IBR) of the service information listed
in this paragraph under 5 U.S.C. 552(a) and 1 CFR part 51.
    (2) You must use this service information as applicable to do
the actions required by this AD, unless this AD specifies otherwise.
    (3) The following service information was approved for IBR on
October 9, 2014.
    (i) Chapter 5-40-00, Airworthiness Limitations, DGT 107838,
Revision 3, dated July 16, 2012, of the Dassault Falcon 7X
Maintenance Manual (MM).
    (ii) Dassault Falcon 7X Airplane Flight Manual, DGT105608,
Revision 18, dated November 15, 2013. The document revision level is
identified only on the title page and page 1 of the List of
Effective Sub-Sub-Sections. The document date can only be found on
the title page.
    (iii) Dassault Service Bulletin 7X-214, dated August 30, 2011.
    (iv) Dassault Service Bulletin 7X-214, Erratum, dated January
26, 2012. ``Erratum'' appears only in the list of effective/modified
pages of this document.
    (4) The following service information was approved for IBR on
August 22, 2011 (76 FR 47424, August 5, 2011).
    (i) Dassault Aviation, Falcon 7X Maintenance Manual, Falcon 7X--
Chapter 5-40-00 after Rev 01, dated June 10, 2011 (Commonly referred
to as Dassault Change Proposal (CP) CP009 to Chapter 5-40-00 of
Dassault Falcon 7X Maintenance Manual).
    (ii) Dassault Falcon 7X Airplane Flight Manual, Revision 12,
dated June 16, 2011. The document date can only be found in the List
of Revisions section of the Dassault Falcon 7X Airplane Flight
Manual.
    (iii) Dassault Mandatory Service Bulletin 7X-211, Revision 2,
dated June 22, 2011, including FCS Data Loading Procedure, Issue D,
dated May 28, 2010, and including New Standard Installation
Checklist and Appendix A,. New Standard Installation Checklist and
Appendix A are not dated or identified with a document number.
    (iv) Dassault Mandatory Service Bulletin 7X-212, Revision 2,
dated July 7, 2011.
    (v) Dassault Service Bulletin 7X-213, dated June 22, 2011.
    (5) For service information identified in this AD, contact
Dassault Falcon Jet, P.O. Box 2000, South Hackensack, NJ 07606;
telephone<PHONE_NUMBER>; Internet http://www.dassaultfalcon.com.
    (6) You may view this service information at the FAA, Transport
Airplane Directorate, 1601 Lind Avenue SW., Renton, WA. For
information on the availability of this material at the FAA, call
425-227-1221.
    (7) You may view this service information that is incorporated
by reference at the National Archives and Records Administration
(NARA). For information on the availability of this material at
NARA, call<PHONE_NUMBER>, or go to: http://www.archives.gov/federal-register/cfr/ibr-locations.html.

    Issued in Renton, Washington, on August 7, 2014.
Victor Wicklund,
Acting Manager, Transport Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2014-21037 Filed 9-3-14; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 84, Number 244 (Thursday, December 19, 2019)]
[Notices]
[Pages 69820-69821]
[FR Doc No: 2019-27372]

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DEPARTMENT OF TRANSPORTATION

Federal Motor Carrier Safety Administration

[Docket No. FMCSA-2019-0111]

Qualification of Drivers; Exemption Applications; Hearing

AGENCY: Federal Motor Carrier Safety Administration (FMCSA), DOT.

ACTION: Notice of applications for exemption; request for comments.

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SUMMARY: FMCSA announces receipt of applications from 17 individuals
for an exemption from the hearing requirement in the Federal Motor
Carrier Safety Regulations (FMCSRs) to operate a commercial motor
vehicle (CMV) in interstate commerce. If granted, the exemptions would
enable these hard of hearing and deaf individuals to operate CMVs in
interstate commerce.

DATES: Comments must be received on or before January 21, 2020.

ADDRESSES: You may submit comments identified by the Federal Docket
Management System (FDMS) Docket No. FMCSA-2019-0111 using any of the
following methods:
     Federal eRulemaking Portal: Go to http://www.regulations.gov/docket?D=FMCSA-2019-0011. Follow the online
instructions for submitting comments.
     Mail: Docket Operations; U.S. Department of
Transportation, 1200 New Jersey Avenue SE, West Building Ground Floor,
Room W12-140, Washington, DC 20590-0001.
     Hand Delivery: West Building Ground Floor, Room W12-140,
1200 New Jersey Avenue SE, Washington, DC, between 9 a.m. and 5 p.m.,
ET, Monday through Friday, except Federal Holidays.
     Fax:<PHONE_NUMBER>.
    To avoid duplication, please use only one of these four methods.
See the ``Public Participation'' portion of the SUPPLEMENTARY
INFORMATION section for instructions on submitting comments.

FOR FURTHER INFORMATION CONTACT: Ms. Christine A. Hydock, Chief,
Medical Programs Division,<PHONE_NUMBER><EMAIL_ADDRESS>FMCSA,
Department of Transportation, 1200 New Jersey Avenue SE, Room W64-224,
Washington, DC 20590-0001. Office hours are 8:30 a.m. to 5 p.m., ET,
Monday through Friday, except Federal holidays. If you have questions
regarding viewing or submitting material to the docket, contact Docket
Operations,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

I. Public Participation

A. Submitting Comments

    If you submit a comment, please include the docket number for this
notice (Docket No. FMCSA-2019-0111), indicate the specific section of
this document to which each comment applies, 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. FMCSA recommends that you include your name and a
mailing address, an email address, or a phone number in the body of
your document so that FMCSA can contact you if there

are questions regarding your submission.
    To submit your comment online, go to http://www.regulations.gov/docket?D=FMCSA-2019-0111. Click on the ``Comment Now!'' button and type
your comment into the text box on the following screen. Choose whether
you are submitting your comment as an individual or on behalf of a
third party and then submit.
    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 comments by mail and would
like to know that they reached the facility, please enclose a stamped,
self-addressed postcard or envelope.
    FMCSA will consider all comments and material received during the
comment period.

B. Viewing Documents and Comments

    To view comments, as well as any documents mentioned in this notice
as being available in the docket, go to http://www.regulations.gov/docket?D=FMCSA-2019-0111 and choose the document to review. If you do
not have access to the internet, you may view the docket online by
visiting the Docket Operations in Room W12-140 on the ground floor of
the DOT West Building, 1200 New Jersey Avenue SE, Washington, DC 20590,
between 9 a.m. and 5 p.m., ET, Monday through Friday, except Federal
holidays.

C. Privacy Act

    In accordance with 5 U.S.C. 553(c), DOT solicits comments from the
public to better inform its rulemaking process. DOT posts these
comments, without edit, including any personal information the
commenter provides, to www.regulations.gov, as described in the system
of records notice (DOT/ALL-14 FDMS), which can be reviewed at
www.dot.gov/privacy.

II. Background

    Under 49 U.S.C. 31136(e) and 31315(b), FMCSA may grant an exemption
from the FMCSRs for no longer than a 5-year period if it finds such
exemption would likely achieve a level of safety that is equivalent to,
or greater than, the level that would be achieved absent such
exemption. The statute also allows the Agency to renew exemptions at
the end of the 5-year period. FMCSA grants medical exemptions from the
FMCSRs for a 2-year period to align with the maximum duration of a
driver's medical certification.
    The 17 individuals listed in this notice have requested an
exemption from the hearing requirement in 49 CFR 391.41(b)(11).
Accordingly, the Agency will evaluate the qualifications of each
applicant to determine whether granting the exemption will achieve the
required level of safety mandated by statute.
    The physical qualification standard for drivers regarding hearing
found in Sec.  391.41(b)(11) states that a person is physically
qualified to drive a CMV if that person first perceives a forced
whispered voice in the better ear at not less than 5 feet with or
without the use of a hearing aid or, if tested by use of an audiometric
device, does not have an average hearing loss in the better ear greater
than 40 decibels at 500 Hz, 1,000 Hz, and 2,000 Hz with or without a
hearing aid when the audiometric device is calibrated to American
National Standard (formerly ASA Standard) Z24.5--1951.
    This standard was adopted in 1970 and was revised in 1971 to allow
drivers to be qualified under this standard while wearing a hearing
aid, 35 FR 6458, 6463 (April 22, 1970) and 36 FR 12857 (July 3, 1971).
    On February 1, 2013, FMCSA announced in a Notice of Final
Disposition titled, ``Qualification of Drivers; Application for
Exemptions; National Association of the Deaf,'' (78 FR 7479), its
decision to grant requests from 40 individuals for exemptions from the
Agency's physical qualification standard concerning hearing for
interstate CMV drivers. Since that time the Agency has published
additional notices granting requests from hard of hearing and deaf
individuals for exemptions from the Agency's physical qualification
standard concerning hearing for interstate CMV drivers.

III. Qualifications of Applicants

Bart Beasom

    Mr. Beasom, 55, holds a class A CDL in Pennsylvania.

David Billingsley

    Mr. Billingsley, 82, holds a class A CDL in Indiana.

Stephen Daniels

    Mr. Daniels, 59, holds a class DL-C CDL in Kansas.

Paul Ditimi

    Mr. Ditimi, 66, holds a class D CDL in Connecticut.

Herman Fleck

    Mr. Fleck, 62, holds a class A CDL in Pennsylvania.

John Freeman

    Mr. Freeman, 61, holds a class D CDL in Massachusetts.

Nicholas Green

    Mr. Green, 35, holds a class E CDL in Florida.

Richard Hall

    Mr. Hall, 49, holds a class DA CDL in Kentucky.

John Malm

    Mr. Malm, 45, holds a class B CDL in Illinois.

Mark Merrow

    Mr. Merrow, 61, holds a class CA CDL in Michigan.

Joyann Nipper

    Ms. Nipper, 51, holds a class D CDL in Iowa.

Jeffry Patterson

    Mr. Patterson, 60, holds a class A CDL in Ohio.

William Ranson

    Mr. Ranson, 54, holds a class D CDL in Arkansas.

Michael Steffen

    Mr. Steffen, 53, holds operator's license in Indiana.

Justin Stephen

    Mr. Stephen, 31, holds a class D CDL in South Carolina.

Michelle Trott

    Ms. Trott, 50, holds a class D CDL in Tennessee.

Sherrie Willey

    Ms. Willey, 43, holds a class R CDL in Washington.

IV. Request for Comments

    In accordance with 49 U.S.C. 31136(e) and 31315(b), FMCSA requests
public comment from all interested persons on the exemption petitions
described in this notice. We will consider all comments received before
the close of business on the closing date indicated under the DATES
section of the notice.

    Issued on: December 12, 2019.
Larry W. Minor,
Associate Administrator for Policy.
[FR Doc. 2019-27372 Filed 12-18-19; 8:45 am]
BILLING CODE 4910-EX-P


[Federal Register: December 6, 2007 (Volume 72, Number 234)]
[Notices]
[Page 68907-68909]
[DOCID:fr06de07-92]

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SECURITIES AND EXCHANGE COMMISSION

[Investment Company Act Release No. 28071; 812-13450]

Unified Series Trust and Envestnet Asset Management, Inc.; Notice
of Application

November 30, 2007.
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 section
15(a) of the Act and rule 18f-2 under the Act, as well as from certain
disclosure requirements.

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Summary of the Application: Applicants request an order permitting them
to enter into and materially amend subadvisory agreements without
shareholder approval and granting relief from certain disclosure
requirements.

Applicants: Unified Series Trust (``Trust'') and Envestnet Asset
Management, Inc. (``Adviser'').

Filing Dates: The application was filed on November 14, 2007.
Applicants have agreed to file an amendment during the notice period,
the substance of which is reflected in this notice.

Hearing or Notification of Hearing: An order granting the application
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 December
26, 2007 and should be accompanied by proof of service on applicants,
in the form of an affidavit or, for lawyers, a certificate of service.
Hearing requests should state the nature of the writer's interest, the
reason for the request, and the issues contested. Persons who wish to
be notified of a hearing may request by writing to the Commission's
Secretary.

ADDRESSES: Secretary, U.S. Securities and Exchange Commission, 100 F
Street, NE., Washington, DC 20549-1090. Applicants, c/o Dee Anne
Sjogren, Thompson Coburn LLP, One U.S. Bank Plaza, St. Louis, MO 63101.

FOR FURTHER INFORMATION CONTACT: Jaea F. Hahn, Senior Counsel, at (202)
551-6870, or Nadya B. Roytblat, Assistant Director, at<PHONE_NUMBER>
(Office of Investment Company Regulation, Division of Investment
Management).

SUPPLEMENTARY INFORMATION: The following is a summary of the
application. The complete application may be obtained for a fee at the
Commission's Public Reference Branch, 100 F Street, NE., Washington, DC
20549-0102 (telephone<PHONE_NUMBER>).

Applicants' Representations

    1. The Trust is organized as Ohio business trust and is registered
under the Act as an open-end management investment company. The
Adviser, a Delaware corporation, is registered as an investment adviser
under the Investment Advisers Act of 1940 (``Advisers Act'').
    2. The Trust currently offers a number of series, each with its own
investment objective(s), policies and restrictions. The Adviser will
serve as the investment adviser to two of the series of the Trust
(each, a ``Fund,'' and collectively, the ``Funds''). The Adviser will
enter into an investment advisory agreement with the Trust for each
Fund (each, an ``Advisory Agreement,'' and collectively, the ``Advisory
Agreements'') approved by the board of trustees of the Trust (the
``Board''), including a majority of the trustees who are not
``interested persons,'' as defined in section 2(a)(19) of the Act (the
``Independent Trustees''), and the shareholders of each Fund.\1\
---------------------------------------------------------------------------

    \1\ Applicants also request relief with respect to any future
series of the Trust and any other existing or future registered
open-end management investment company or series thereof that: (a)
Is advised by the Adviser or any person controlling, controlled by,
or under common control with the Adviser; (b) uses the management
structure described in the application; and (c) complies with the
terms and conditions contained in the application (included in the
term ``Funds''). The Trust is the only existing investment company
that currently intends to rely on the requested order. If the name
of any Fund contains the name of a Subadviser (as defined below),
the name of the Adviser or the name of the entity controlling,
controlled by, or under common control with the Adviser that serves
as the primary adviser to such Fund, or a trademark or trade name
owned by them, will precede the name of the Subadviser.
---------------------------------------------------------------------------

    3. The Advisory Agreement permits the Adviser to enter into
separate advisory agreements (``Subadvisory Agreements'') with
subadvisers (``Subadvisers''). Each Subadviser will be registered under
the Advisers Act. The specific investment decisions for each Fund using
a Subadviser will be made by that Subadviser, who will be granted
discretionary authority to invest the assets, or a portion of the
assets, of a particular Fund, subject to the general supervision by the
Adviser and the Board. The Adviser will select Subadvisers based on an
evaluation of their skills and proven abilities in managing assets
pursuant to a specific investment style and will recommend their hiring
to the Board. Subadvisers must be approved by the Board, including a
majority of the Independent Trustees. The Adviser will monitor and
evaluate the performance of Subadvisers and recommend to the Board
their hiring, termination and replacement. The Adviser will compensate
a Subadviser out of the management fee paid to the Adviser by the Fund
under the Advisory Agreement.
    4. Applicants request an order to permit the Adviser, subject to
Board approval, to enter into and materially amend Subadvisory
Agreements without obtaining shareholder approval. The requested relief
will not extend to any Subadviser that is an ``affiliated person,'' as
defined in section 2(a)(3) of the Act, of a Fund or the Adviser, other
than by reason of serving as a Subadviser to one or more of the Funds
(``Affiliated Subadviser'').
    5. Applicants also request an exemption from the various disclosure
provisions described below that may require each Fund to disclose fees
paid by the Adviser to the Subadvisers. An

exemption is requested to permit each Fund to disclose (both as a
dollar amount and as a percentage of the Fund's net assets) the: (a)
aggregate fees paid to the Adviser and any Affiliated Subadvisers; and
(b) aggregate fees paid to Subadvisers other than Affiliated
Subadvisers (collectively, ``Aggregate Fee Disclosure''). If a Fund
employs an Affiliated Subadviser, the Fund will provide separate
disclosure of any fees paid to the Affiliated Subadviser.

Applicants' Legal Analysis

    1. Section 15(a) of the Act provides, in relevant part, that it is
unlawful for any person to act as an investment adviser to a registered
investment company except under a written contract that has been
approved by a vote of a majority of the company's outstanding voting
securities. Rule 18f-2 under the Act provides that each series or class
of stock in a series company affected by a matter must approve the
matter if the Act requires shareholder approval.
    2. Form N-1A is the registration statement used by open-end
investment companies. Item 14(a)(3) of Form N-1A requires disclosure of
the method and amount of the investment adviser's compensation.
    3. Rule 20a-1 under the Act requires proxies solicited with respect
to an investment company to comply with Schedule 14A under the
Securities Exchange Act of 1934 (``Exchange Act''). Items 22(c)(1)(ii),
22(c)(1)(iii), 22(c)(8) and 22(c)(9) of Schedule 14A, taken together,
require a proxy statement for a shareholder meeting at which the
advisory contract will be voted upon to include the ``rate of
compensation of the investment adviser,'' the ``aggregate amount of the
investment adviser's fees,'' a description of the ``terms of the
contract to be acted upon,'' and, if a change in the advisory fee is
proposed, the existing and proposed fees and the difference between the
two fees.
    4. Form N-SAR is the semi-annual report filed with the Commission
by registered investment companies. Item 48 of Form N-SAR requires
investment companies to disclose the rate schedule for fees paid to
their investment advisers, including the Subadvisers.
    5. Regulation S-X sets forth the requirements for financial
statements required to be included as part of investment company
registration statements and shareholders reports filed with the
Commission. Sections 6-07(2)(a), (b) and (c) of Regulation S-X require
that investment companies include in their financial statements
information about investment advisory fees.
    6. Section 6(c) 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 provisions of the Act, or
from any rule thereunder, 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
policies and provisions of the Act. Applicants state that the requested
relief meets this standard for the reasons discussed below.
    7. Applicants assert that the Funds' shareholders rely on the
Adviser to select and monitor the Subadvisers best suited to achieve a
Fund's investment objectives. Applicants contend that, from the
perspective of the investor, the role of the Subadvisers is comparable
to that of individual portfolio managers employed by traditional
investment advisory firms. Applicants state that requiring shareholder
approval of each Subadvisory Agreement would impose unnecessary costs
and delays on the Funds and may preclude the Adviser from acting
promptly in a manner considered advisable by the Board. Applicants note
that the Advisory Agreement will remain subject to section 15(a) of the
Act and rule 18f-2 under the Act.
    8. Applicants assert that many Subadvisers use a ``posted'' rate
schedule to set their fees. Applicants state that, while Subadvisers
are willing to negotiate fees lower than those posted in the schedule,
they are reluctant to do so when the fees are disclosed to other
prospective and existing customers. Applicants submit that the
requested relief will encourage potential Subadvisers to negotiate
lower subadvisory fees with the Adviser.

Applicants' Conditions

    Applicants agree that any order granting the requested relief will
be subject to the following conditions:
    1. Before a Fund may rely on the requested order, the operation of
the Fund in the manner described in the application will be approved by
a majority of the Fund's outstanding voting securities, as defined in
the Act, or, in the case of a Fund whose public shareholders purchase
shares on the basis of a prospectus containing the disclosure
contemplated by condition 2 below, by the initial shareholder(s) before
such Fund's shares are offered to the public.
    2. The prospectus for each Fund will disclose the existence,
substance and effect of any order granted pursuant to the application.
Each Fund will hold itself out to the public as employing the
management structure described in the application. The prospectus will
prominently disclose that the Adviser has ultimate responsibility,
subject to oversight by the Board, to oversee the Subadvisers and
recommend their hiring, termination, and replacement.
    3. Within 90 days of the hiring of any new Subadviser, the affected
Fund's shareholders will be furnished all information about the new
Subadviser that would be included in a proxy statement, except as
modified to permit Aggregate Fee Disclosure. This information will
include Aggregate Fee Disclosure and any change in such disclosure
caused by the addition of a new Subadviser. To meet this obligation,
the Fund will provide shareholders within 90 days of the hiring of a
new Subadviser with an information statement meeting the requirements
of Regulation 14C, Schedule 14C and Item 22 of Schedule 14A under the
Exchange Act, except as modified by the order to permit Aggregate Fee
Disclosure.
    4. The Adviser will not enter into a Subadvisory Agreement with any
Affiliated Subadviser, without such agreement, including the
compensation to be paid thereunder, being approved by the shareholders
of the applicable Fund.
    5. At all times, at least a majority of the Board will be
Independent Trustees, and the nomination of new or additional
Independent Trustees will be placed within the discretion of the then-
existing Independent Trustees.
    6. When a Subadviser change is proposed for a Fund with an
Affiliated Subadviser, the Board, including a majority of the
Independent Trustees, will make a separate finding, reflected in the
applicable Board minutes, that such change is in the best interests of
the Fund and its shareholders and does not involve a conflict of
interest from which the Adviser or the Affiliated Subadviser derives an
inappropriate advantage.
    7. Independent legal counsel, as defined in rule 0-1(a)(6) under
the Act, has been and will continue to be engaged to represent the
Independent Trustees. The selection of such counsel will be within the
discretion of the then-existing Independent Trustees.
    8. The Adviser will provide the Board, no less frequently than
quarterly, with information about the Adviser's profitability on a per
Fund basis. This information will reflect the impact on profitability
of the hiring or termination of any Subadviser during the applicable
period.

    9. Whenever a Subadviser is hired or terminated, the Adviser will
provide the Board with information showing the expected impact on the
Adviser's profitability.
    10. The Adviser will provide general management services to each
Fund, including overall supervisory responsibility for the general
management and investment of the Fund's assets, and subject to review
and approval of the Board, will: (a) Set each Fund's overall investment
strategies; (b) evaluate, select and recommend Subadvisers to manage
all or a part of a Fund's assets; (c) where appropriate, allocate and
reallocate a Fund's assets among multiple Subadvisers; (d) monitor and
evaluate the performance of Subadvisers; and (e) implement procedures
reasonably designed to ensure that the Subadvisers comply with each
Fund's investment objective, policies, and restrictions.
    11. No trustee or officer of the Trust or a Fund or director or
officer of the Adviser will own any interest in a Subadviser, directly
or indirectly (other than through a pooled investment vehicle that is
not controlled by such person), except for: (a) Ownership of interests
in the Adviser or any entity that controls, is controlled by, or is
under common control with the Adviser; or (b) ownership of less than 1%
of the outstanding securities of any class of equity or debt of a
publicly traded company that is either a Subadviser or an entity that
controls, is controlled by, or is under common control with a
Subadviser.
    12. Each Fund will disclose in its registration statement the
Aggregate Fee Disclosure.
    13. The requested order will expire on the effective date of rule
15a-5 under the Act, if adopted.

    For the Commission, by the Division of Investment Management,
under delegated authority.
Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E7-23722 Filed 12-5-07; 8:45 am]

BILLING CODE 8011-01-P


[Federal Register: June 28, 2011 (Volume 76, Number 124)]
[Notices]
[Page 37868-37872]
[DOCID:fr28jn11-118]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-64722; File No. SR-CBOE-2011-055]

Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing of Proposed Rule Change to Trade Options
on the CBOE Silver ETF Volatility Index

 June 22, 2011.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on June 15, 2011, the Chicago Board Options Exchange, Incorporated
(``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (the ``Commission'') the proposed rule change as described
in Items I and II below, which Items have been prepared by the
Exchange. The Commission is publishing this notice to solicit comments
on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.

---------------------------------------------------------------------------

I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    Chicago Board Options Exchange, Incorporated (``CBOE'' or
``Exchange'') proposes to amend certain of its rules to provide for the
listing and trading of options that overlie the CBOE Silver ETF
Volatility Index (``VXSLV''), which will be cash-settled and will have
European-style exercise. The text of the rule proposal is available on
the Exchange's Web site (http://www.cboe.org/legal), at the Exchange's
Office of the Secretary and at the Commission.

II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of and basis for the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.

A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of this proposed rule change is to permit the Exchange
to list and trade cash-settled, European-style options on the CBOE
Silver ETF Volatility Index (``VXSLV'').
    The Exchange has previously received approval orders to trade
options on other volatility indexes that are calculated using certain
individual stock and exchange-traded fund (``ETF'') options listed on
CBOE.\3\ In the most recent approval order, the Exchange genericized
certain of its rules to collectively refer to these indexes as
``Individual Stock Based Volatility Indexes,'' ``ETF Based Volatility
Indexes,'' and ``Volatility Indexes,'' as applicable.\4\ The specific
Individual Stock Based Volatility Indexes and ETF Based Volatility
Indexes that have been approved for options trading are listed in Rule
24.1(bb). This filing layers VXSLV into CBOE's existing rule framework
for ``ETF Based Volatility Indexes'' and ``Volatility Indexes,'' since
VXSLV is comprised of ETF options.
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    \3\ See Securities Exchange Act Release Nos. 62139 (May 19,
2010) 75 FR 29597 (May 26, 2010) (order approving proposal to list
and trade CBOE Gold ETF Volatility Index (``GVZ'') options on CBOE)
and 64551 (May 26, 2011), 76 FR 32000 (June 2, 2011) (order
approving proposal to list and trade options on certain individual
stock based volatility indexes and ETF based volatility indexes).
    \4\ See Rules 12.3, 24.1(bb), 24.4C, 24.5.04, 24.6, 24.9, 24A.7,
24A.8, 24B.7 and 24B.8.
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Index Design and Calculation

    The calculation of VXSLV is based on the VIX methodology applied to
options on the iShares Silver Trust (``SLV''). The VXSLV index was
introduced by CBOE on March 16, 2011 and has been disseminated in real-
time on every trading day since that time.\5\
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    \5\ CBOE maintains a micro-site for VXSLV: http://www.cboe.com/
micro/VIXETF/VXSLV/.
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    VXSLV is an up-to-the-minute market estimate of the expected
volatility of SLV calculated by using real-time bid/ask quotes of CBOE
listed SLV options. VXSLV uses nearby and second nearby options with at
least 8 days left to expiration and then weights them to yield a
constant, 30-day measure of the expected (implied) volatility.
    For each contract month, CBOE will determine the at-the-money
strike price. The Exchange will then select the at-the-money and out-
of-the money series with non-zero bid prices and determine the midpoint
of the bid-ask quote for each of these series. The midpoint quote of
each series is then weighted so that the further away that series is
from the at-the-money strike, the less weight that is accorded to the
quote. Then, to compute the index level, CBOE will calculate a
volatility measure for the nearby options and then for the second
nearby options. This is done using the weighted mid-point of the
prevailing bid-ask quotes for all included option series with the same
expiration date. These volatility measures are then interpolated to
arrive at a single, constant 30-day measure of volatility.\6\
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    \6\ See proposed amendment to Interpretation and Policy .01 to
Rule 24.1 (designating CBOE as the reporting authority for VXSLV).
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    CBOE will compute values for VXSLV underlying option series on a
real-time basis throughout each trading day, from 8:30 a.m. until 3
p.m. (CT).\7\ VXSLV levels will be calculated by CBOE and disseminated
at 15-second intervals to major market data vendors.
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    \7\ Trading in SLV options (the index components of VXSLV) on
CBOE closes at 3 p.m. (Chicago time). See Rule 24.6.02. The Exchange
is proposing to make non-substantive changes to this rule.
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Options Trading

    VXSLV options will trade pursuant to the existing trading rules for
other Volatility Index options. VXSLV options will be quoted in index
points and fractions and one point will equal $100. The minimum tick
size for series trading below $3 will be 0.05 ($5.00) and above $3 will
be 0.10 ($10.00). Initially, the Exchange will list in-, at- and out-
of-the-money strike prices and the procedures for adding additional
series are provided in Rule 5.5.\8\ Dollar strikes (or greater) will be
permitted for VXSLV options where the strike price is $200 or less and
$5 or greater where the strike price is greater than $200. The Exchange
will not be permitted to list LEAPS on VXSLV options at strike price
intervals less than $1.\9\
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    \8\ See Rule 5.5(c). ``Additional series of options of the same
class may be opened for trading on the Exchange when the Exchange
deems it necessary to maintain an orderly market, to meet customer
demand or when the market price of the underlying * * * moves
substantially from the initial exercise price or prices.'' For
purposes of this rule, ``market price'' shall mean the implied
forward level based on any corresponding futures price or the
calculated forward value of VXSLV.
    \9\ See Rule 24.9.01(l). The Exchange is proposing to amend Rule
24.9.01(l) by expressly providing that ``[t]he Exchange shall not
list LEAPS on Volatility Index options at strike price intervals
less than $1.'' The Exchange notes that when GVZ options were
approved for trading, a substantially similar provision regarding
the strike price intervals for LEAPS was adopted. See Securities
Exchange Act Release No. 62139 (May 19, 2010) 75 FR 29597 (May 26,
2010). However, when the Exchange filed to list options on certain
individual stock based volatility indexes and ETF based volatility
indexes, the Exchange revised the strike setting parameters for
Volatility Index options to permit $1 strikes where the strike price
is $200 or less. The LEAPS strike setting provision was
inadvertently not carried forward at the time Rule 24.9.01(l) was
adopted, but should have been.
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    Transactions in VXSLV may be effected on the Exchange between the
hours of 8:30 a.m. Chicago time and 3 p.m. (Chicago time). The Exchange
is proposing to close trading at 3 p.m. (Chicago time) for VXSLV
options because trading in SLV options on CBOE closes at 3 p.m.
(Chicago time).\10\
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    \10\ See Rule 24.6.02.
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Exercise and Settlement

    The proposed options will typically expire on the Wednesday that is
30 days prior to the third Friday of the calendar month immediately
following the expiration month (the expiration date of the options used
in the calculation of the index). If the third Friday of the calendar
month immediately following the expiring month is a CBOE holiday, the
expiration date will be 30 days prior to the CBOE business day
immediately preceding that Friday.\11\ For example, November 2011 Vol
VXSLV options would expire on Wednesday, November 16, 2011, exactly 30
days prior to the third Friday of the calendar month immediately
following the expiring month.
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    \11\ See Rule 24.9(a)(5).
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    Trading in the expiring contract month will normally cease at 3
p.m.

(Chicago time) on the business day immediately preceding the expiration
date. Exercise will result in delivery of cash on the business day
following expiration. VXSLV options will be A.M.-settled.\12\ The
exercise settlement value will be determined by a Special Opening
Quotations (``SOQ'') of VXSLV calculated from the sequence of opening
prices of a single strip of options expiring 30 days after the
settlement date. The opening price for any series in which there is no
trade shall be the average of that options' bid price and ask price as
determined at the opening of trading.\13\
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    \12\ See proposed amendment to Rule 24.9(a)(4) (adding VXSLV to
the list of A.M.-settled index options approved for trading on the
Exchange).
    \13\ See Rule 24.9(a)(5).
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    The exercise-settlement amount will be equal to the difference
between the exercise-settlement value and the exercise price of the
option, multiplied by $100. When the last trading day is moved because
of a CBOE holiday, the last trading day for expiring options will be
the day immediately preceding the last regularly-scheduled trading day.

Position and Exercise Limits

    The Exchange is proposing that the existing position limits for ETF
Based Volatility Index options apply to VXSLV options.\14\ For regular
options trading, the position limit for VXSLV options will be 50,000
contracts on either side of the market and no more than 30,000
contracts in the nearest expiration month. CBOE believes that a 50,000
contract position limit is appropriate due to the fact that SLV
options, which are the underlying components for VXSLV, are among the
most actively traded option classes currently listed. In determining
compliance with these proposed position limits, VXSLV options will not
be aggregated with the SLV options.\15\ Positions in Short Term Option
Series, Quarterly Options Series, and Delayed Start Option Series will
be aggregated with position in options contracts in the same VXSLV
class.\16\ Exercise limits will be equivalent to the proposed position
limits.\17\ VXSLV options will be subject to the same reporting
requirements triggered for other options dealt in on the Exchange.
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    \14\ See Rule 24.4C (Position Limits for Individual Stock or ETF
Based Volatility Index Options).
    \15\ See Rule 24.4C(b).
    \16\ See proposed new subparagraph (c) to Rule 24.4C. The
Exchange is proposing to add new subparagraph (c) regarding
aggregation to Rule 24.4C. The Exchange notes that when GVZ options
were approved for trading, the position limits for GVZ options were
layered into existing Rule 24.4 (Position Limits for Broad-Based
Index Options). Rule 24.4(e) sets forth an aggregation requirement
substantially similar to proposed new subparagraph (c) to Rule
24.4C. See Securities Exchange Act Release No. 62139 (May 19, 2010)
75 FR 29597 (May 26, 2010). When the Exchange filed to list options
on certain individual stock based volatility indexes and ETF based
volatility indexes, the Exchange removed GVZ from Rule 24.4 and
proposed a new rule setting forth positions limits for these
products. The aggregation requirement from Rule 24.4(e) was
inadvertently not carried forward at the time Rule 24.4C was
adopted, but should have been.
    \17\ See Rule 24.5.
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    The Exchange is proposing that the existing position limits for
FLEX ETF Based Volatility Index options apply to VXSLV options.
Specifically, the position limits for FLEX VXSLV Options will be equal
to the position limits for Non-FLEX VXSLV Options.\18\ Similarly, the
exercise limits for FLEX VXSLV Options will be equivalent to the
position limits set forth in Rule 24.4C. As provided for in Rules
24A.7(d) and 24B.7(d), as long as the options positions remain open,
positions in FLEX VXSLV Options that expire on the same day as Non-FLEX
VXSLV Index Options, as determined pursuant to Rule 24.9(a)(5), shall
be aggregated with positions in Non-FLEX VXSLV Options and shall be
subject to the position limits set forth in Rules 4.11, 24.4, 24.4A,
24.4B and 24.4C, and the exercise limits set forth in Rules 4.12 and
24.5.
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    \18\ See Rules 24A.7(a)(5) and 24B.7(a)(5).
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    The Exchange is proposing that the existing Hedge Exemption for ETF
Based Volatility Index options apply to VXSLV options, which would be
in addition to the standard limit and other exemptions available under
Exchange rules, interpretations and policies. The following procedures
and criteria must be satisfied to qualify for a ETF Based Volatility
Index hedge exemption:
     The account in which the exempt option positions are held
(``hedge exemption account'') has received prior Exchange approval for
the hedge exemption specifying the maximum number of contracts which
may be exempt. The hedge exemption account has provided all information
required on Exchange-approved forms and has kept such information
current. Exchange approval may be granted on the basis of verbal
representations, in which event the hedge exemption account shall
within two (2) business days or such other time period designated by
the Department of Market Regulation furnish the Department of Market
Regulation with appropriate forms and documentation substantiating the
basis for the exemption. The hedge exemption account may apply from
time to time for an increase in the maximum number of contracts exempt
from the position limits.
     A hedge exemption account that is not carried by a CBOE
member organization must be carried by a member of a self-regulatory
organization participating in the Intermarket Surveillance Group.
     The hedge exemption account maintains a qualified
portfolio, or will effect transactions necessary to obtain a qualified
portfolio concurrent with or at or about the same time as the execution
of the exempt options positions, of a net long or short position in ETF
Based Volatility Index futures contracts or in options on ETF Based
Volatility Index futures contracts, or long or short positions in ETF
Based Volatility Index options, for which the underlying ETF Based
Volatility Index is included in the same margin or cross-margin product
group cleared at the Clearing Corporation as the ETF Based Volatility
Index option class to which the hedge exemption applies. To remain
qualified, a portfolio must at all times meet these standards
notwithstanding trading activity.
     The exemption applies to positions in ETF Based Volatility
Index options dealt in on the Exchange and is applicable to the
unhedged value of the qualified portfolio. The unhedged value will be
determined as follows: (1) The values of the net long or short
positions of all qualifying products in the portfolio are totaled; (2)
for positions in excess of the standard limit, the underlying market
value (a) of any economically equivalent opposite side of the market
calls and puts in broad-based index options, and (b) of any opposite
side of the market positions in ETF Based Volatility Index futures,
options on ETF Based Volatility Index futures, and any economically
equivalent opposite side of the market positions, assuming no other
hedges for these contracts exist, is subtracted from the qualified
portfolio; and (3) the market value of the resulting unhedged portfolio
is equated to the appropriate number of exempt contracts as follows--
the unhedged qualified portfolio is divided by the correspondent
closing index value and the quotient is then divided by the index
multiplier or 100.
     Only the following qualified hedging transactions and
positions will be eligible for purposes of hedging a qualified
portfolio (i.e. futures and options) pursuant to Interpretation .01 to
Rule 24.4C:
    [cir] Long put(s) used to hedge the holdings of a qualified
portfolio;
    [cir] Long call(s) used to hedge a short position in a qualified
portfolio;
    [cir] Short call(s) used to hedge the holdings of a qualified
portfolio; and

    [cir] Short put(s) used to hedge a short position in a qualified
portfolio.
     The following strategies may be effected only in
conjunction with a qualified stock portfolio:
    [cir] A short call position accompanied by long put(s), where the
short call(s) expires with the long put(s), and the strike price of the
short call(s) equals or exceeds the strike price of the long put(s) (a
``collar''). Neither side of the collar transaction can be in-the-money
at the time the position is established. For purposes of determining
compliance with Rule 4.11 and Rule 24.4C, a collar position will be
treated as one (1) contract;
    [cir] A long put position coupled with a short put position
overlying the same ETF Based Volatility Index and having an equivalent
underlying aggregate index value, where the short put(s) expires with
the long put(s), and the strike price of the long put(s) exceeds the
strike price of the short put(s) (a ``debit put spread position''); and
    [cir] A short call position accompanied by a debit put spread
position, where the short call(s) expires with the puts and the strike
price of the short call(s) equals or exceeds the strike price of the
long put(s). Neither side of the short call, long put transaction can
be in-the-money at the time the position is established. For purposes
of determining compliance with Rule 4.11 and Rule 24.4C, the short call
and long put positions will be treated as one (1) contract.
     The hedge exemption account shall:
    [cir] Liquidate and establish options, their equivalent or other
qualified portfolio products in an orderly fashion; not initiate or
liquidate positions in a manner calculated to cause unreasonable price
fluctuations or unwarranted price changes.
    [cir] Liquidate any options prior to or contemporaneously with a
decrease in the hedged value of the qualified portfolio which options
would thereby be rendered excessive.
    [cir] Promptly notify the Exchange of any material change in the
qualified portfolio which materially affects the unhedged value of the
qualified portfolio.
     If an exemption is granted, it will be effective at the
time the decision is communicated. Retroactive exemptions will not be
granted.

Exchange Rules Applicable

    Except as modified herein, the rules in Chapters I through XIX,
XXIV, XXIVA, and XXIVB will equally apply to VXSLV options.
    The Exchange is proposing that the margin requirements for VXSLV
options be set at the same levels that apply to ETF Based Volatility
Index options under Exchange Rule 12.3. Margin of up to 100% of the
current market value of the option, plus 20% of the underlying
volatility index value must be deposited and maintained. Additional
margin may be required pursuant to Exchange Rule 12.10.
    As with other ETF Based Volatility Index options, the Exchange
hereby designates VXSLV options as eligible for trading as Flexible
Exchange Options as provided for in Chapters XXIVA (Flexible Exchange
Options) and XXIVB (FLEX Hybrid Trading System). The Exchange notes
that FLEX VXSLV Options will only expire on business days that non-FLEX
VXSLV options expire. This is because the term ``exercise settlement
value'' in Rules 24A.4(b)(3) and 24B.4(b)(3), Special Terms for FLEX
Index Options, has the same meaning set forth in Rule 24.9(a)(5). As is
described earlier, Rule 24.9(a)(5) provides that the exercise
settlement value of VXSLV options for all purposes under CBOE Rules
will be calculated as the Wednesday that is thirty days prior to the
third Friday of the calendar month immediately following the month in
which a VXSLV option expires.

Capacity

    CBOE has analyzed its capacity and represents that it believes the
Exchange and the Options Price Reporting Authority have the necessary
systems capacity to handle the additional traffic associated with the
listing of new series that would result from the introduction of VXSLV
options.

Surveillance

    The Exchange will use the same surveillance procedures currently
utilized for each of the Exchange's other Volatility Index and index
options to monitor trading in VXSLV options. The Exchange further
represents that these surveillance procedures shall be adequate to
monitor trading in VXSLV options. For surveillance purposes, the
Exchange will have complete access to information regarding trading
activity in the pertinent underlying securities.
2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with
Section 6(b) \19\ of the Securities Exchange Act of 1934 (the ``Act''),
in general, and furthers the objectives of Section 6(b)(5) \20\ in
particular in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in facilitating transactions in securities, and to
remove impediments to and perfect the mechanisms of a free and open
market in a manner consistent with the protection of investors and the
public interest. The Exchange believes that the introduction of VXSLV
options will attract order flow to the Exchange, increase the variety
of listed options to investors, and provide a valuable hedging tool to
investors.
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    \19\ 15 U.S.C. 78f(b).
    \20\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    CBOE does not believe that the proposed rule change will impose any
burden on competition not necessary or appropriate in furtherance of
the purposes of the Act.

C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received from Members, Participants or Others

    No written comments were solicited or received with respect to the
proposed rule change.

III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action

    Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) As the
Commission may designate if it finds such longer period to be
appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
    (A) By order approve or disapprove such proposed rule change, or
    (B) Institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the Act. Comments may be submitted by any of
the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to<EMAIL_ADDRESS>Please include
File Number SR-CBOE-2011-055 on the subject line.

Paper Comments

     Send paper comments in triplicate to Elizabeth M. Murphy,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-1090.

All submissions should refer to File Number SR-CBOE-2011-055. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/
sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street, NE.,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of the filing also will be available for
inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-CBOE-2011-055 and should be
submitted on or before July 19, 2011.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\21\
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    \21\ 17 CFR 200.30-3(a)(12).
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Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011-16075 Filed 6-27-11; 8:45 am]
BILLING CODE 8011-01-P