[Federal Register: December 6, 2006 (Volume 71, Number 234)]
[Notices]
[Page 70804-70810]
[DOCID:fr06de06-107]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-54839; File No. SR-Amex-2006-82]

Self-Regulatory Organizations; American Stock Exchange LLC; Order
Granting Accelerated Approval to a Proposed Rule Change and Amendment
No. 1 Thereto and Notice of Filing and Order Granting Accelerated
Approval to Amendment No. 2 Thereto Relating to MACRO Tradeable Shares

November 29, 2006.

I. Introduction

    On August 23, 2006, the American Stock Exchange LLC (``Amex'' or
``Exchange'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change pursuant to Section 19(b)(1)
of the Securities Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4
thereunder.\2\ On October 20, 2006, Amex filed Amendment No. 1 to the
proposed rule change.\3\ The proposed rule change, as amended by
Amendment No. 1, was published for comment in the Federal Register on
November 2, 2006 for a 15-day comment period.\4\ The Commission
received no comments on the proposal, as amended. On November 22, 2006,
the Exchange filed Amendment No. 2 to the proposed rule change.\5\ This
order approves the proposed rule change on an accelerated basis, grants
accelerated approval to Amendment No. 2 to the proposed rule change,
and solicits comments from interested persons on Amendment No. 2.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Amendment No. 1 supersedes and replaces the original filing
in its entirety.
    \4\ See Securities Exchange Act Release No. 54658 (October 26,
2006), 71 FR 64573 (November 2, 2006) (``MACRO Notice'').
    \5\ In Amendment No. 2, the Exchange revised details included in
the description of its proposal to reflect changes made to the
issuer's Form S-1 Registration Statement since the publication of
notice of the proposed rule change. The Exchange also makes
clarifying changes to the rule text and description of the proposed
rule change.
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II. Description of the Proposal

    The Exchange proposes to adopt rules that would provide for the
listing and trading of Paired Trust Shares. As defined in proposed Amex
Rule 1400, Paired Trust Shares consist of ``Holding Shares'' issued by
a ``Holding Trust,'' and ``Tradeable Shares'' issued by a ``Tradeable
Trust,'' whose values track changes in a designated ``Reference
Price.'' \6\ Under proposed Amex Rule

1401, a Reference Price is an index or other numerical variable that
may measure assets, prices or other economic interests. Proposed Amex
Rule 1402 establishes listing and trading criteria for Paired Trust
Shares. Pursuant to Commentary .01 to proposed Amex Rule 1402, the
Exchange will submit a filing pursuant to Section 19(b) of the Act \7\
subject to Commission review and approval for each new series of Paired
Trust Shares.
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    \6\ Paired Trust Shares track changes in the Reference Price
through a structure whereby the paired Holding Trusts enter into one
or more reciprocal settlement contracts and earnings distribution
agreements.
    \7\ 15 U.S.C. 78s(b).
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    Pursuant to these new rules, the Exchange proposes to list and
trade: (1) Claymore MACROshares Oil Up Tradeable Shares (the ``Up-MACRO
Tradeable Shares''), and (2) Claymore MACROshares Oil Down Tradeable
Shares (the ``Down-MACRO Tradeable Shares''). The Up-MACRO Tradeable
Shares and the Down-MACRO Tradeable Shares (collectively, the ``MACRO
Tradeable Shares'') are issued by and represent an undivided beneficial
interest in (1) the Claymore MACROshares Oil Up Tradeable Trust (the
``Up-MACRO Tradeable Trust'') and (2) the Claymore MACROshares Oil Down
Tradeable Trust (the ``Down-MACRO Tradeable Trust''), respectively. The
assets of these trusts (collectively, the ``MACRO Tradeable Trusts'')
each will consist exclusively of a majority of the Claymore MACROshares
Oil Up Holding Shares (``Up-MACRO Holding Shares'') issued by the
Claymore MACROshares Oil Up Holding Trust (``Up-MACRO Holding Trust'')
and the Claymore MACROshares Oil Down Holding Shares (``Down-MACRO
Holding Shares'') issued by the Claymore MACROshares Oil Down Holding
Trust (``Down-MACRO Holding Trust'').\8\
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    \8\ The Up-MACRO Holding Shares and Down-MACRO Holding Shares
(collectively, MACRO Holding Shares'') will not be listed or traded
on the Exchange.
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    In its proposal, the Exchange provided detailed description
regarding the structure and operation of the MACRO Holding Trusts and
MACRO Tradeable Trusts, as well as the listing and trading of MACRO
Tradeable Shares. In particular, the Exchange addressed (i) the
designation and calculation of the applicable Reference Price, (ii) the
calculation of underlying value, (iii) the application of initial and
continued listing criteria in proposed Amex Rule 1402, (iv) the
creation and redemption process, (v) the dissemination of pricing
information, including intraday indicative value, share price, changes
in the applicable Reference Price, (vi) events triggering trading halts
and/or delisting, (vii) applicable Exchange trading rules, (viii) the
distribution of an information circular to Exchange members, and (ix)
surveillance procedures. Key features of the proposal are noted below.

Product Description

    Pursuant to proposed Amex Rules 1400 and 1401, the value of the
MACRO Paired Trust Shares is based on a Reference Price, which is the
settlement price as established by the NYMEX ``Settlement Price
Committee'' \9\ of the light sweet crude oil futures contract of
``Designated Maturity'',\10\ traded on the NYMEX Division of the New
York Mercantile Exchange, Inc. (``NYMEX'') as established and reported
by NYMEX on a per barrel basis in U.S. dollars at the end of each
``Price Determination Day'' \11\ (the ``Applicable Reference Price'').
Both MACRO Holding Trusts will be holding bills, bonds and notes issued
and guaranteed by the United States Treasury, and repurchase agreements
fully collateralized by U.S. Treasury securities.\12\
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    \9\ In the event that no settlement price is determined for the
light sweet crude oil contract on the NYMEX on a given Price
Determination Day and no substitute oil price provider can be
utilized, then the settlement price on the prior Price Determination
Day will be utilized as that day's settlement price on which to base
the Applicable Reference Price of Crude Oil.
    \10\ A light sweet futures contract of Designated Maturity means
the contract that matures (i) during the next succeeding calendar
month if the date of determination is the first day of the current
calendar month through and including the tenth business day of the
current calendar month, and (ii) during the second succeeding
calendar month if the date of determination is the eleventh business
day through the last day of the current calendar month.
    \11\ A ``Price Determination Day'' for this purpose is each day
on which trading of the light sweet crude oil futures contract of
the Designated Maturity occurs by open outcry on the trading floor
of the NYMEX (located in New York City, New York), rather than
through electronic or other means. If a substitute reference oil
price is being used, the ``Price Determination Day'' will be each
day on which this price is determined by, or in accordance with the
rules of, the substitute oil price provider. If a benchmark other
than the light sweet crude oil futures contract traded on the NYMEX
is used to determine the Applicable Reference Price of Crude Oil,
the Exchange will file with the Commission a proposed rule change
pursuant to Rule 19b-4, seeking approval to continue trading the
MACRO Tradeable Shares, which must be approved by the Commission for
continued trading of the shares.
    \12\ The repurchase agreements will be entered into with
counterparties that are (i) banks with at least one billion U.S.
dollars in assets or (ii) registered securities dealers that are
deemed creditworthy by the administrative agent. Such repurchase
agreements must terminate overnight, and the obligation of a
counterparty to repurchase U.S. Treasury securities from a MACRO
Holding Trust will be fully collateralized, as defined in Rule 5b-3
under the 1940 Act. None of the counterparties may be ``affiliated
persons'' (as defined in the 1940 Act) with respect to the trustee,
the administrative agent, the depositor, any of the MACRO Holding
Trusts or MACRO Tradeable Trusts or any affiliated persons with
respect to any of the foregoing entities.
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    The Up-MACRO Holding Trust will enter into an income distribution
agreement and multiple settlement contracts with the Down-MACRO Holding
Trust.\13\ If the Applicable Reference Price rises above its starting
level, the Up-MACRO Holding Trust's underlying value will increase
proportionately to include all of its assets plus an obligation of the
Down-MACRO Holding Trust to transfer a portion of its assets. The Down-
MACRO Holding Trust's underlying value will decrease proportionately
because an obligation to transfer a portion of the Down-MACRO Holding
Trust's assets will be included in the calculation of the underlying
value of the Up-MACRO Holding Trust. Conversely, if the level of the
Applicable Reference Price of Crude Oil falls below its starting level,
the Up-MACRO Holding Trust's underlying value will decrease
proportionately because an obligation to transfer a portion of the Up-
MACRO Holding Trust's assets will be included in the calculation of the
underlying value of the Down-MACRO Holding Trust. The Down-MACRO
Holding Trust's underlying value will increase to include all of its
assets plus an obligation of the Up-MACRO Holding Trust to transfer a
portion of its assets.
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    \13\ The assets in each of the MACRO Holding Trusts will serve
the function, among others, of securing the contractual obligations
between the two trusts.
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Creation and Redemption of MACRO Tradeable Shares

    Similar to other exchange-traded fund products, the MACRO Paired
Trust Shares will be issued and redeemed on a continuous basis on any
Price Determination Day at a price equal to their respective underlying
values. Only certain qualified entities (``Authorized Participants'')
may create or redeem MACRO Paired Trust Shares. The process by which
Authorized Participants create and redeem MACRO Paired Trust Shares is
detailed in Amex's proposal. Notably, MACRO Tradeable Shares may only
be created and redeemed in paired aggregations of 50,000 Up-MACRO
Tradeable Shares and 50,000 Down-MACRO Tradeable Shares.
    To create MACRO Paired Trust Shares, the Authorized Participant
deposits cash in an amount equal to the combined per share value of the
shares to be created. The proceeds will be used to purchase the
holdings of the MACRO Holding Trusts, which will be Treasuries maturing
prior to the next

quarterly distribution date (e.g., three-month U.S. Treasury
securities).
    Depending upon whether the Authorized Participant(s) who placed the
creation order requested holding shares,\14\ the trustee for the MACRO
Holding Trusts will then deliver all or a portion of the issued MACRO
Holding Shares to the MACRO Tradeable Trusts any remainder of MACRO
Holding Shares to the creating Authorized Participant(s). The trustee
for the Up-MACRO Tradeable Trust will cause such trust to issue
additional Up-MACRO Tradeable Shares and deliver such shares to the
creating Authorized Participant(s).
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    \14\ Concurrently with any Paired Issuance, an Authorized
Participant will be deemed to have directed the deposit of the MACRO
Holding Shares into the respective MACRO Tradeable Trusts and the
issuance by each MACRO Tradeable Trust of MACRO Tradeable Shares in
exchange for the deposited MACRO Holding Shares. If an Authorized
Participant wishes instead to receive MACRO Holding Shares, it must
specify this preference in its creation order.
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    A similar process governs redemption of MACRO Paired Trust Shares.
In summary, the Authorized Participant must properly place a redemption
order and deliver MACRO Holding Shares or MACRO Tradeable Shares that
in the aggregate constitute the requisite number of MACRO Units being
redeemed, plus the applicable ``redemption cash component'' \15\ and
applicable transaction fee. The trustee will effect the redemption by
delivering cash and/or U.S. Treasury securities to the redeeming
Authorized Participant.\16\
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    \15\ The ``redemption cash component'' is the cash that must be
delivered to a MACRO Holding Trust in connection with a paired
optional redemption by the redeeming Authorized Participant to
compensate the trust for the excess value that will be delivered to
such redeeming Authorized Participant in the form of U.S. Treasury
securities delivered to it as a Redemption Distribution.
    \16\ The amount of cash and/or U.S. Treasury securities
delivered on the redemption date in a paired optional redemption by
Authorized Participants will always be equal to the aggregate per
share underlying values of the MACRO Holding Shares being redeemed,
calculated as of the redemption order date.
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Distributions

    As described more fully in the publication of notice of the
proposed rule change,\17\ the MACRO Holding Trusts will make periodic
income distributions. Generally, each MACRO Holding Trust will make
Quarterly Income Distributions on its MACRO Holding Shares using the
income realized on the Treasuries held by the paired MACRO Holding
Trusts that remains available after payment of applicable fees and
expenses, and payment or receipt of income pursuant to the applicable
income distribution agreement.\18\ The MACRO Holding Trusts would also
make Redemption Distributions in response to Authorized Participant
orders (as described above), and a Final Distribution upon termination.
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    \17\ See MACRO Notice, 71 FR at 64580.
    \18\ If a MACRO Holding Trust fails to make either (i) a payment
under the income distribution agreement or (ii) a Quarterly Income
Distribution to its shareholders on any Quarterly Income
Distribution date because it does not have any funds available for
distribution, it will not be required to make up that payment or
Quarterly Income Distribution on subsequent Quarterly Income
Distribution dates, even if it has funds available to do so.
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    The Up-MACRO Tradeable Trust will then pass through to the holders
of its Up-MACRO Tradeable Shares all Quarterly Income Distributions
(and Redemption Distributions and Final Distributions) that it receives
on the Up-MACRO Holding Shares that it holds, and the Down-MACRO
Tradeable Trust will do likewise to holders of its Down-MACRO Tradeable
Shares with respect to all distributions that it receives on the Down-
MACRO Holding Shares that it holds.

Underlying Value

    The underlying value of each MACRO Holding Trust is the aggregate
amount of the assets in the paired MACRO Holding Trusts to which that
MACRO Holding Trust would be entitled if the settlement contracts
between the MACRO Holding Trusts were settled on that day.\19\
Information about the calculation of the underlying value of the MACRO
Paired Trust Shares was included in the Exchange's proposal.\20\
Importantly, if the Applicable Reference Price doubles from its
starting level, any further upside gains for holders of Up-MACRO
Tradeable Shares and Up-MACRO Holding Shares would be capped, and Down-
MACRO Tradeable Shares and Down-MACRO Holding Shares would be
valueless. Similarly, if the Applicable Reference Price decreases 100
percent from its starting level, further downside gains for holders of
Down-MACRO Tradeable Shares and Down-MACRO Holding Shares would be
capped, and the Up-MACRO Tradeable Shares and Up-MACRO Holding Shares
would be valueless.\21\
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    \19\ Conceptually, the ``underlying value'' per share of MACRO
Holding Shares and MACRO Tradeable Shares is similar to the ``net
asset value'' that is calculated for many other securities. For
MACRO securities, however, net asset value is not meaningful because
the respective per share values are not determined by the total
value of the assets held by each MACRO Holding Trust at any point in
time. This is because assets are not transferred daily between the
MACRO Holding Trusts to settle the contractual transfer obligations
between them.
    \20\ See MACRO Notice, 71 FR at 64583.
    \21\ Among other termination triggers, if the Applicable
Reference Price rises or falls to a level at which the underlying
value of either MACRO Holding Trust is equal to 15% or less of the
assets it holds on deposit for three consecutive Price Determination
Days, the Trust shall be terminated at the end of the quarter during
which this occurs. See Amendment No. 2 supra at footnote 5.
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Arbitrage

    In its proposal, the Exchange stated that market fluctuations in
the price of a MACRO Tradeable Share are expected to mirror
fluctuations in its per share underlying value (i.e., changes in the
Applicable Reference Price), similar to the manner in which an exchange
traded fund (``ETF'') share mirrors its net asset value,\22\ because,
as is the case with ETF shares, arbitrage opportunities would arise if
these values were to move out of line.
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    \22\ See id.
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Periodic Dissemination of Intraday Per Share Values for MACRO Tradeable
Shares

    During each trading day, the Amex, acting as the calculation agent,
will publish to the Consolidated Tape System (``CTS''), at least every
15 seconds during the entire time that the MACRO Tradeable Shares trade
on the Amex (normally 9:30 a.m. to 4:15 p.m. each Price Determination
Day), an indicative value, referred to as an Indicative Intraday Value
(``IIV''), representing the estimated underlying value per share of
both the Up-MACRO Tradeable Shares and the Down-MACRO Tradeable Shares.
The Amex will also publish these values on its Web site. To enable this
calculation, the Amex will receive real time price data from the NYMEX
for the light sweet crude oil futures contract that trades on the NYMEX
from two major market data vendors, from the opening of trading of the
light sweet crude oil futures contract on NYMEX at 10 a.m. to the close
of trading of the MACRO Tradeable Shares on the Amex at 4:15 p.m. (New
York City time).
    Because the NYMEX market for the light sweet crude oil futures
contract will be closed for portions of the Amex trading day, the IIV
calculated values will become fixed at such time as the NYMEX contract
stops trading in the regular trading session.\23\ During such time
periods, however, if trading in the NYMEX light sweet crude oil futures
contract is occurring on the NYMEX electronic aftermarket system, then
those trades will be used to update IIV values.
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    \23\ The IIV calculated value between the opening of trading of
the MACRO Tradeable Shares on the Amex at 9:30 a.m. and the opening
of trading of the light sweet crude oil futures contract on NYMEX at
10 a.m. (New York City time) will be based on the final price from
the prior trading day.

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Dissemination of Other Information on Price Determination Days

    Pursuant to a separate calculation agency agreement with MACRO
Securities Depositor, LLC, MacroMarkets and the trusts, the calculation
agent (Amex) will perform a number of duties for the Up-MACRO Tradeable
Trust, the Up-MACRO Holding Trust, the Down-MACRO Tradeable Trust and
the Down-MACRO Holding Trust. On each Price Determination Day, the
calculation agent will periodically (at least every 15 seconds \24\)
calculate and disseminate an IIV for the Up-MACRO Tradeable Shares and
Down-MACRO Tradeable Shares and will also post this information on its
Web site at http://www.amex.com. As with all other Amex-listed

securities, the closing price of the Up-MACRO Tradeable Shares and the
Down-MACRO Tradeable Shares on the Amex will be available on the Amex
Web site.
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    \24\ Telephone conference among Bill Love, Associate General
Counsel, Amex, Brian Trackman, Special Counsel, Division of Market
Regulation (``Division''), Commission, and Michou Nguyen, Special
Counsel, Division, Commission on November 27, 2006 (clarifying
timing of dissemination).
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    The administrative agent, Claymore Securities, will maintain a Web
site (http://www.ClaymoreMacroShares.com) that is publicly accessible

at no charge and will contain the following information posted by the
trustee on each Price Determination Day:\25\
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    \25\ The Exchange states that the issuer has represented that
all market participants will have access to this data at the same
time and, therefore, no market participant will have a time
advantage in using such data.
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     The daily Price Level Percentage Change of the Applicable
Reference Price of Crude Oil;
     The daily underlying value \26\ of the Up-MACRO Holding
Trust and the per share underlying value of the Up-MACRO Holding Shares
and the Up-MACRO Tradeable Shares; and
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    \26\ See supra note 19.
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     The daily underlying value of the Down-MACRO Holding Trust
and the per share underlying value of the Down-MACRO Holding Shares and
the Down-MACRO Tradeable Shares.
    Pricing and other information for NYMEX light sweet crude oil
futures contracts, including those designated to be the Applicable
Reference Price, is available through major market data vendors such as
Reuters and Bloomberg.

Criteria for Initial and Continued Listing

    The MACRO Tradeable Shares will be subject to the criteria in
proposed Amex Rule 1402 for initial and continued listing of Paired
Trust Shares. Notably, the Exchange states that it will receive a
representation on behalf of the MACRO Holding Trusts and MACRO
Tradeable Trusts that the underlying value per share of each MACRO
Holding Share and each MACRO Tradeable Share will be calculated daily
and will be made available to all market participants at the same time.
Such value will be available daily on the administrative agent's
publicly accessible Web site. The proposed continued listing criteria
provides for the delisting of the Up-MACRO Tradeable Shares or Down-
MACRO Tradeable Shares under any of the following circumstances:
     Following the initial twelve month period from the date of
commencement of trading of the Up-MACRO Tradeable Shares or Down-MACRO
Tradeable Shares: (i) if the corresponding MACRO Tradeable Trust has
more than 60 days remaining until termination and there are fewer than
50 record and/or beneficial holders of the Up-MACRO Tradeable Shares or
Down-MACRO Tradeable Shares for 30 or more consecutive trading days;
(ii) if the corresponding MACRO Tradeable Trust has fewer than 50,000
Up-MACRO Tradeable Shares or Down-MACRO Tradeable Shares issued and
outstanding; or (iii) if the combined market value of all Up-MACRO
Tradeable Shares and Down-MACRO Tradeable Shares together is less than
$1,000,000;
     If the intraday level of the Applicable Reference Price is
no longer calculated or available on at least a 15-second delayed basis
from a major market data vendor such as Reuters or Bloomberg during the
time the MACRO Tradeable Shares trade on the Amex from a source
unaffiliated with the depositor, the custodian, MacroMarkets, a MACRO
Holding Trust, a MACRO Tradeable Trust, or the Exchange that is a major
market data vendor (e.g., Reuters or Bloomberg);
     If the IIV of each Up-MACRO Tradeable Share or Down-MACRO
Tradeable Share, as the case may be, is no longer made available on at
least a 15-second delayed basis by a major market vendor during the
time the MACRO Tradeable Shares trade on the Amex;
     If a benchmark other than the light sweet crude oil
futures contract traded on the NYMEX is selected for the determination
of the Applicable Reference Price, unless the Exchange files with the
Commission a related proposed rule change pursuant to Rule 19b-4
seeking approval to continue trading the MACRO Tradeable Shares, and
such rule change is approved by the Commission; or
     If such other event shall occur or condition exists which
in the opinion of the Exchange makes further dealings on the Exchange
inadvisable.
    A minimum of 150,000 Up-MACRO Tradeable Shares and 150,000 Down-
MACRO Tradeable Shares will be required to be outstanding at the start
of trading. The initial price of an Up-MACRO Tradeable Share and a
Down-MACRO Tradeable Share will each be approximately $60 per share, or
the price of a barrel of light sweet crude oil on the last Price
Determination Day prior to the closing date. The Exchange believes that
the anticipated minimum number of MACRO Tradeable Shares outstanding at
the start of trading is sufficient to provide adequate market liquidity
and to further the objective of providing a simple and cost effective
means of making an investment that is similar to an investment in light
sweet crude oil.
    The Exchange represents that it prohibits the initial and/or
continued listing of any security that is not in compliance with Rule
10A-3 under the Act.\27\
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    \27\ See Rule 10A-3(c)(7).
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Trading Rules

    The Exchange represents that MACRO Tradeable Shares will be deemed
to be equity securities and will be subject to various Amex Rules
governing the trading of equity securities. MACRO Tradeable Shares will
trade on the Amex from 9:30 a.m. until 4:15 p.m. (New York City time)
each business day and will trade in a minimum price variation of $0.01
pursuant to Amex Rule 127.\28\ Importantly, specialist trading of MACRO
Paired Trust Shares will be subject to proposed Amex Rules 1403 and
1404 regarding conflicts of interest, and the maintenance and
production of books and records, respectively. Unless exemptive or no-
action relief is available, MACRO Tradeable Shares will be subject to
the short sale rules, and other rules, under the Act. If exemptive or
no-action relief is provided, the Exchange will issue a notice
detailing the terms of the exemption or relief.
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    \28\ See MACRO Notice, 71 FR at 64588.
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Trading Halts

    Prior to the commencement of trading, the Exchange will issue an
Information Circular (described below) to members informing them of,
among other things, Exchange policies regarding trading halts in MACRO
Tradeable Shares. First, the Information

Circular will advise that trading will be halted in the event the
market volatility trading halt parameters set forth in Amex Rule 117
have been reached. Second, with respect to a halt in trading that is
not specified above, the Exchange may also consider other relevant
factors and the existence of unusual conditions or circumstances that
may be detrimental to the maintenance of a fair and orderly market.
    In the event that: (a) The underlying value of each MACRO Holding
Trust or the per share underlying values of each of the Up-MACRO
Holding Shares, the Up-MACRO Tradeable Shares, the Down-MACRO Holding
Shares or the Down-MACRO Tradeable Shares are not disseminated daily to
all market participants at the same time; (b) the IIV, updated at least
every fifteen (15) seconds on the CTS, for the underlying value per
share of both the Up-MACRO Tradeable Shares and the Down-MACRO
Tradeable Shares is no longer calculated or available from a major
market data vendor (e.g., Reuters or Bloomberg) during the time the
MACRO Tradeable Shares trade on the Amex; or (c) the price of the NYMEX
light sweet crude oil futures contract is no longer available at least
every fifteen (15) seconds from a major market data vendor on the Amex
Web site during the time the MACRO Tradeable Shares trade on the
Amex,\29\ then the Exchange will halt trading. However, in the case of
(b) or (c) involving interruption to the required dissemination of IIVs
or futures contract prices, the Exchange may consider relevant factors
and exercise its discretion regarding the halt or suspension of trading
during the day in which the interruption to the dissemination of the
IIVs or the futures contract prices occurs. If the interruption to the
dissemination of the IIVs or the futures contract prices persists past
the trading day in which it occurred, the Exchange will halt trading no
later than the beginning of the trading day following the interruption.
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    \29\ Trading in the MACRO Tradeable Shares will not be halted on
the Amex, however, simply because price data from the NYMEX based on
current trading is not available outside the normal open outcry
trading hours of light sweet crude oil futures contracts on the
NYMEX from 10 a.m. to 2:30 p.m. (New York City time).
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Information Circular

    The Amex will distribute an Information Circular to its members in
connection with the trading of MACRO Tradeable Shares. The Information
Circular will discuss the special characteristics and risks of trading
this type of security. Specifically, the Information Circular, among
other things, will discuss what the MACRO Tradeable Shares are, how
they are created and exchanged for MACRO Holding Shares by Authorized
Participants, the requirement that members and member firms deliver a
prospectus to investors purchasing newly issued MACRO Holding Shares
and MACRO Tradeable Shares prior to or concurrently with the
confirmation of a transaction, applicable Amex rules, dissemination of
information regarding the underlying value of each paired MACRO Holding
Trust and the share of that underlying value allocable to one Up-MACRO
Holding Share, one Up-MACRO Tradeable Share, one Down-MACRO Holding
Share and one Down-MACRO Tradeable Share, trading information, and
applicable suitability rules. The Information Circular will also
explain that the MACRO Holding Trusts and the MACRO Tradeable Trusts
are subject to various fees and expenses described in the Registration
Statement. The Information Circular will also reference the fact that
the Commission has no jurisdiction over the trading of the NYMEX light
sweet crude oil futures contract.
    The Information Circular will also notify members and member
organizations about the procedures for purchases and paired optional
redemptions of the MACRO Holding Shares held in the MACRO Tradeable
Trusts, which may only be effected in MACRO Units by Authorized
Participants. The Information Circular will advise members that the
upside gains to investors are capped if the Applicable Reference Price
increases or decreases greater than 100 percent. Members should take
this feature of MACRO Paired Trust Shares into consideration in
discharging their suitability obligations. Additionally, the
Information Circular will discuss any relief, if granted, by the
Commission or the staff from any rules under the Act.

Surveillance

    The Exchange represents that its surveillance procedures are
adequate to properly monitor the trading of the MACRO Tradeable Shares
listed pursuant to the proposed new listing standards. Exchange
surveillance procedures applicable to trading in the proposed MACRO
Tradeable Shares will be similar to those applicable to trust issued
receipts, Portfolio Depository Receipts and Index Fund Shares currently
trading on the Exchange. The Amex surveillance systems use data
published over CTS (e.g., the IIVs) in its normal course of business.
In the event the Exchange needs additional information to audit
transactions in MACRO Tradeable Shares, the NYMEX and Amex have
executed a comprehensive information sharing agreement (``CSSA'') to
support the surveillance responsibilities of the two exchanges.

III. Discussion and Commission's Findings

    After careful consideration, the Commission finds that the proposed
rule change, as amended, is consistent with the requirements of the Act
and the rules and regulations thereunder applicable to a national
securities exchange.\30\ In particular, the Commission finds that the
proposed rule change, as amended, is consistent with the requirements
of Section 6(b)(5) of the Act,\31\ which requires, among other things,
that the Exchange's rules be designed to promote just and equitable
principles of trade, to remove impediments to and perfect the mechanism
of a free and open market and a national market system and, in general,
to protect investors and the public interest.
---------------------------------------------------------------------------

    \30\ In approving this proposed rule change, the Commission
notes that it has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
    \31\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

A. Surveillance

    The Commission notes that the Exchange has represented that its
surveillance procedures are adequate to monitor the trading of MACRO
Paired Trust Shares. The Exchange's CSSA with the NYMEX for the purpose
of providing information in connection with trading in or related to
futures contracts traded on the NYMEX that will serve as the Reference
Price creates the basis for the Amex to monitor for fraudulent and
manipulative practices in the trading of the Paired Trust Shares.
    Moreover, adoption of proposed Amex Rule 1404 should facilitate
surveillance because it will require Exchange specialists, upon Amex's
request, to provide the Exchange with information that the specialist
uses in connection with pricing and trading the Paired Trust Shares,
including proprietary or other information relating to trading in the
asset, commodity or other economic interest underlying the Reference
Price, related options, related futures or options on futures, or any
other related derivatives by the specialist or an affiliated
entity.\32\
---------------------------------------------------------------------------

    \32\ Proposed Amex Rule 1404 requires that the specialist
handling the Paired Trust Shares provide the Exchange with
information relating to its trading in the shares and the accounts
of the member organization acting as specialist, member
organization, or approved person of such member organization in the
futures underlying the Applicable Reference Price, related futures
or related options on futures, or any other related derivatives.

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

B. Dissemination of Information

    The Commission believes that sufficient venues exist for obtaining
reliable information so that investors in the MACRO Paired Trust Shares
can monitor the Applicable Reference Price relative to the IIV of their
MACRO Tradeable Shares.
    Real-time information about the trading of futures contracts on
NYMEX, including futures on light sweet crude oil, is available through
major market data vendors by subscription. Delayed information is often
publicly available from futures exchanges. The Exchange stated that
daily settlement prices for the oil futures contract designated as the
Applicable Reference Price for the MACRO Paired Trust Shares is
publicly available on NYMEX's Internet Web site.
    Additionally, the Exchange has represented that it will calculate
and publish to the CTS and its Web site the IIV for both the Up-MACRO
Tradeable Shares and Down-MACRO Tradeable Shares, at least every 15
seconds during the time that the MACRO Tradeable Shares trade on the
Amex, representing their estimated underlying value on a per share
basis. The Commission believes that publication of such information
should promote price transparency with regard to the MACRO Tradeable
Shares.
    The Commission notes that the Exchange will receive a
representation on behalf of the MACRO Holding Trusts and MACRO
Tradeable Trusts that the underlying value per share of each MACRO
Holding Share and each MACRO Tradeable Share will be calculated daily
and will be made available to all market participants at the same time.
Furthermore, if the IIV or Applicable Reference Price is not
disseminated as described in its proposal, the Exchange may halt
trading during the day in which the interruption to the dissemination
of the IIVs or the futures contract prices occurs. If the interruption
to the dissemination of the IIVs or the futures contract prices
persists past the trading day in which it occurred, the Exchange will
halt trading no later than the beginning of the trading day following
the interruption. The Commission believes that these trading halt
rules, together with the NAV dissemination requirements and Exchange's
proposed delisting criteria, will help ensure that an appropriate level
of transparency exists with respect to the MACRO Tradeable Shares to
allow for the maintenance of fair and orderly markets.

C. Listing and Trading

    The Commission finds that the Exchange's proposed rules and
procedures for the listing and trading of the Paired Trust Shares are
consistent with the Act. The Paired Trust Shares will trade as equity
securities subject to Amex rules including, among others, rules
governing priority, parity and precedence of orders, specialist
responsibilities, account opening and customer suitability
requirements. The Commission finds that proposed Amex Rule 1403
relating to certain specialist prohibitions is reasonably designed to
address potential conflicts of interest in connection with acting as a
specialist in Paired Trust Shares.\33\
---------------------------------------------------------------------------

    \33\ Proposed Amex Rule 1403 provides that the prohibitions in
Amex Rule 175(c) apply to a specialist in Paired Trust Shares so
that the specialist or affiliated person may not act or function as
a market maker in an asset, commodity or other economic interest
underlying the Reference Price, related options, related futures or
options on futures, or any other related derivatives.
---------------------------------------------------------------------------

    The Commission believes that the listing and delisting criteria for
the Paired Trust Shares should help to maintain a minimum level of
liquidity and therefore minimize the potential for manipulation of the
Paired Trust Shares. Additionally, the Commission finds that proposed
Amex Rule 1404 is reasonably designed to help ensure that specialists
handling the Paired Trust Shares provide the Exchange with all the
necessary information relating to their trading in the asset, commodity
or other economic interest underlying the Reference Price, related
options, related futures or options on futures, or any other related
derivatives.
    Finally, the Commission notes that the Information Circular the
Exchange will distribute will inform members and member organizations
about the terms, characteristics and risks in trading the Paired Trust
Shares, including their prospectus delivery obligations.

D. Accelerated Approval

    The Commission finds good cause to approve the proposed rule change
and Amendment No. 1 thereto prior to the thirtieth day after
publication for comment in the Federal Register pursuant to Section
19(b)(2) of the Act.\34\ Accelerating approval of this proposed rule
change should benefit investors who desire to participate, through the
MACRO Paired Trust Shares, in an investment based on the value light
sweet crude oil as reflected in designated NYMEX futures contracts.
---------------------------------------------------------------------------

    \34\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------

    The Commission also finds good cause to approve Amendment No. 2 to
the proposed rule change prior to the 30th day after the amendment is
published for comment in the Federal Register. Amendment No. 2 makes
certain changes to the filing to reflect minor changes made to the
issuer's Form S-1 Registration Statement since the filing of this
proposed rule change. Amendment No. 2 also makes certain clarifying
changes to the rule text and description of the proposed rule change.
The Commission believes that, as a whole, these proposed changes
strengthen the proposed rule change and do not raise any new regulatory
issues.

IV. Solicitation of Comments

    Interested persons are invited to submit written data, views, and
arguments concerning Amendment No. 2, including whether Amendment No. 2
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 No. SR-Amex-2006-82 on the subject line.

Paper Comments

     Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, Station Place, 100 F
Street, NE., Washington, DC 20549-1090.
    All submissions should refer to File Number SR-Amex-2006-82. 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 inspection
and copying in the Commission's Public Reference Room. Copies of such
filing also will be available for inspection and copying at the
principal office of the Amex. 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-Amex-2006-82 and should be
submitted on or before December 27, 2006.

V. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the Act,
that the proposed rule change (SR-Amex-2006-82), as amended by
Amendments No. 1 and 2, be, and it hereby is, approved on an
accelerated basis.

    For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\35\
Nancy M. Morris,
Secretary.
---------------------------------------------------------------------------

    \35\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

[FR Doc. E6-20657 Filed 12-5-06; 8:45 am]

BILLING CODE 8011-01-P


[Federal Register: September 28, 2009 (Volume 74, Number 186)]
[Notices]
[Page 49435]
[DOCID:fr28se09-120]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

Fifty-Fourth Meeting, RTCA Special Committee 135: Environmental
Conditions and Test Procedures for Airborne Equipment

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of RTCA Special Committee 135: Environmental Conditions
and Test Procedures for Airborne Equipment meeting.

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

SUMMARY: The FAA is issuing this notice to advise the public of a
meeting of RTCA Special Committee 135: Environmental Conditions and
Test Procedures for Airborne Equipment.

DATES: The meeting will be held October 28-30, 2009, starting at 9 a.m.

ADDRESSES: The meeting will be held at RTCA, 1828 L Street, NW., Suite
805, RTCA Conference Rooms, Washington, DC 20036.

FOR FURTHER INFORMATION CONTACT: (1) RTCA Secretariat, 1828 L Street,
NW., Suite 805, Washington, DC 20036; telephone<PHONE_NUMBER>; fax
(202) 833-9434; Web site http://www.rtca.org.

SUPPLEMENTARY INFORMATION: Pursuant to section 10(a) (2) of the Federal
Advisory Committee Act (Pub. L. 92-463, 5 U.S.C., Appendix 2), notice
is hereby given for a Special Committee 135: Environmental Conditions
and Test Procedures for Airborne Equipment meeting. The agenda will
include:

October 28-30

     Opening Session (Welcome, Chairman's Opening Remarks,
Introductions) .
     Approval of Summary from the Fifty-Third Meeting. RTCA
Paper No. 178-09/SC135-672.
     Status and Review of Revision of AC.
     Review Errata for DO-160F.
     Report from Section 16, 20, 21, & 26 Working Groups.
     Review Change Proposals for DO-160G/ED-14G.
     Status of User Guide Material.
     Review Schedule for DO-160G.
     Establish Date for Next SC-135 Meeting.
     Closing Plenary Session (New/Unfinished Business, Date and
Place of Next Meeting).
    Attendance is open to the interested public but limited to space
availability. With the approval of the chairmen, members of the public
may present oral statements at the meeting. Persons wishing to present
statements or obtain information should contact the person listed in
the FOR FURTHER INFORMATION CONTACT section. Members of the public may
present a written statement to the committee at any time.

    Issued in Washington, DC, on September 22, 2009.
Francisco Estrada C.,
RTCA Advisory Committee.
[FR Doc. E9-23333 Filed 9-25-09; 8:45 am]

BILLING CODE 4910-13-P


[Federal Register: January 23, 2008 (Volume 73, Number 15)]
[Proposed Rules]
[Page 3900-3901]
[DOCID:fr23ja08-19]

=======================================================================
-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 62

[EPA-R09-OAR-2007-1150; FRL-8518-9]

Disapproval of Plan of Nevada; Clean Air Mercury Rule; Extension
of Comment Period

AGENCY: Environmental Protection Agency (EPA).

ACTION: Proposed rule; extension of comment period.

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

SUMMARY: EPA is extending the comment period for action proposed on
December 13, 2007 (72 FR 70812) concerning disapproval of the Nevada
State Plan to address the requirements of EPA's Clean Air Mercury Rule
(CAMR).

DATES: Any comments on this proposal must arrive by March 13, 2008.

ADDRESSES: Submit comments, identified by docket number EPA-R09-OAR-
2007-1150, by one of the following methods:
    1. Federal eRulemaking Portal: http://www.regulations.gov. Follow

the on-line instructions.
    2. E-mail<EMAIL_ADDRESS>    3. Mail or deliver: Andrew Steckel (Air-4), U.S. Environmental
Protection Agency Region IX, 75 Hawthorne Street, San Francisco, CA
94105-3901.
    Instructions: All comments will be included in the public docket
without change and may be made available online at http://www.regulations.gov,

including any personal information provided, unless the comment
includes Confidential Business Information (CBI) or other information
whose disclosure is restricted by statute. Information that you
consider CBI or otherwise protected should be clearly identified as
such and should not be submitted through http://www.regulations.gov or e-mail.

http://www.regulations.gov is an ``anonymous access'' system, and EPA will not

know your identity or contact information unless you provide it in the
body of your comment. If you send e-mail directly to EPA, your e-mail
address will be automatically captured and included as part of the
public comment. If EPA cannot read your comment due to technical
difficulties and cannot contact you for clarification, EPA may not be
able to consider your comment.

    Docket: The index to the docket for this action is available
electronically at http://www.regulations.gov and in hard copy at EPA Region

IX, 75 Hawthorne Street, San Francisco, California. While all documents
in the docket are listed in the index, some information may be publicly
available only at the hard copy location (e.g., copyrighted material),
and some may not be publicly available in either location (e.g., CBI).
To inspect the hard copy materials, please schedule an appointment
during normal business hours with the contact listed in the FOR FURTHER
INFORMATION CONTACT section.

FOR FURTHER INFORMATION CONTACT: Lily Wong, EPA Region IX, (415) 947-
4114<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: On December 13, 2007, EPA proposed to
disapprove the State Plan submitted by Nevada on November 15, 2006. The
State Plan is intended to address the requirements of EPA's Clean Air
Mercury Rule, promulgated on May 18, 2005, and subsequently revised on
June 9, 2006. EPA proposed to determine that the submitted Nevada State
Plan does not meet certain Clean Air Mercury Rule requirements.
    The proposed action provided a 45-day public comment period. In
response to a request from Leo M. Drozdoff, Administrator of the Nevada
Division of Environmental Protection, submitted by letter on January 3,
2008, EPA is extending the comment period for an additional 45 days.

    Dated: January 9, 2008.
Wayne Nastri,
Regional Administrator, Region IX.
[FR Doc. E8-1117 Filed 1-22-08; 8:45 am]

BILLING CODE 6560-50-P


[Federal Register Volume 82, Number 244 (Thursday, December 21, 2017)]
[Rules and Regulations]
[Pages 60517-60520]
[FR Doc No: 2017-27458]

=======================================================================
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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R06-OAR-2017-0699; FRL-9971-86-Region 6]

Approval and Promulgation of Implementation Plans; Arkansas;
Revisions to the Definitions for Arkansas Plan of Implementation for
Air Pollution Control: Volatile Organic Compounds

AGENCY: Environmental Protection Agency (EPA).

ACTION: Direct final rule.

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

SUMMARY: The Environmental Protection Agency (EPA) is approving a
portion of the revision to the Arkansas State Implementation Plan (SIP)
submitted by Arkansas Department of Environmental Quality (ADEQ) on
March 24, 2017. The revision updates the definition of ``volatile
organic compounds'' (VOC). Specifically, the submitted revision will
incorporate the EPA's latest definition of VOC on the basis that these
compounds make negligible contribution to tropospheric ozone formation.
This action is being taken pursuant to the Clean Air Act (CAA or Act).

DATES: This direct final rule is effective March 21, 2018, unless EPA
receives relevant adverse comments by January

22, 2018. If EPA receives relevant adverse comments, EPA will publish a
timely withdrawal of the rule in the Federal Register and inform the
public that the rule will not take effect.

ADDRESSES: Submit your comments, identified by Docket No. EPA-R06-OAR-
2017-0699, at http://www.regulations.gov or via email to
[email protected]. Follow the online instructions for submitting
comments. Once submitted, comments cannot be edited or removed from
Regulations.gov. The EPA may publish any comment received to its public
docket. Do not submit electronically any information you consider to be
Confidential Business Information (CBI) or other information whose
disclosure is restricted by statute. Multimedia submissions (audio,
video, etc.) must be accompanied by a written comment. The written
comment is considered the official comment and should include
discussion of all points you wish to make. The EPA will generally not
consider comments or comment contents located outside of the primary
submission (i.e. on the web, cloud, or other file sharing system). For
additional submission methods, please contact Ms. Nevine Salem, (214)
665-7222, [email protected]. For the full EPA public comment policy,
information about CBI or multimedia submissions, and general guidance
on making effective comments, please visit http://www2.epa.gov/dockets/commenting-epa-dockets.
    Docket: The index to the docket for this action is available
electronically at www.regulations.gov and in hard copy at the EPA
Region 6, 1445 Ross Avenue, Suite 700, Dallas, Texas. While all
documents in the docket are listed in the index, some information may
be publicly available only at the hard copy location (e.g., copyrighted
material), and some may not be publicly available at either location
(e.g., CBI).

FOR FURTHER INFORMATION CONTACT: Ms. Nevine Salem,<PHONE_NUMBER>,
[email protected]. To inspect the hard copy materials, please
schedule an appointment with Ms. Nevine Salem or Mr. Bill Deese at 214-
665-7253.

SUPPLEMENTARY INFORMATION: Throughout this document wherever ``we,''
``us,'' or ``our'' is used, we mean the EPA.

I. Background

    Tropospheric ozone, commonly known as smog, is formed when VOCs and
nitrogen oxides (NOX) react in the atmosphere in the
presence of sunlight. Because of the harmful health effects of ozone,
the EPA and state governments limit the amount of VOCs that can be
released into the atmosphere. VOCs are those organic compounds of
carbon (excluding carbon monoxide, carbon dioxide, carbonic acid,
metallic carbides or carbonates, and ammonium carbonate) that form
ozone through atmospheric photochemical reactions. Different VOCs have
different levels of reactivity. That is, they do not react to form
ozone at the same speed or do not form ozone to the same extent. Some
VOCs react slowly or form less ozone; therefore, changes in their
emissions have less and, in some cases, very limited effects on local
or regional ozone pollution episodes. It has been the EPA's policy that
organic compounds with a negligible level of reactivity should be
excluded from the regulatory VOC definition so as to focus VOC control
efforts on compounds that do significantly increase ozone
concentrations. The EPA also believes that exempting such compounds
creates an incentive for industry to use negligibly reactive compounds
in place of more highly reactive compounds that are regulated as VOCs.
    EPA periodically revises the list of negligibly reactive compounds
to add or delete VOCs from regulation on the basis that these compounds
make a negligible contribution to tropospheric ozone formation. Section
302(s) of the CAA specifies that the EPA has the authority to define
the meaning of ``VOC,'' and hence what compounds shall be treated as
VOCs for regulatory purposes. The policy of excluding negligibly
reactive compounds from the VOC definition was first set forth in the
``Recommended Policy on Control of Volatile Organic Compounds'' (42 FR
35314, July 8, 1977) and was supplemented most recently with the
``Interim Guidance on Control of Volatile Organic Compounds in Ozone
State Implementation Plans'' (Interim Guidance) (70 FR 54046, September
13, 2005). The EPA uses the reactivity of ethane as the threshold for
determining whether a compound has negligible reactivity. Compounds
that are less reactive than, or equally reactive to, ethane under
certain assumed conditions may be deemed negligibly reactive and
therefore suitable for exemption from the regulatory definition of VOC.
Compounds that are more reactive than ethane continue to be considered
VOCs for regulatory purposes and therefore are subject to control
requirements. The selection of ethane as the threshold compound was
based on a series of smog chamber experiments that underlay the 1977
policy.
    The EPA lists compounds that it has determined to be negligibly
reactive in its regulations as being excluded from the definition of
VOC. (40 CFR 51.100(s)). The Arkansas submittal will update its SIP to
be consistent with current EPA definitions to provide clarity and
consistency for owners and operators of sources subject to ADEQ rules
regarding VOC control.
    The specific organic compounds that will be excluded from ADEQ's
definition of VOC that is in the SIP with this revision include: trans-
1,3,3,3-tetrafluoropropene; 2,3,3,3-tertrafluropropene; \1\
HCF2OCF2H (HFE-134);
HCF2OCF2OCF2H (HFE-236cal2);
HCF2OCF2CF2OCF2H (HFE-
338pcc13);
HCF2OCF2OCF2CF2OCF2
OCF2H (H-Galden 1040x or H-Galden ZT 130 (or 150 or 180));
\2\ trans 1-chloro-3,3,3-trifluoroprop-1-ene; \3\ and 2-amino-2-methyl-
1-propanol.\4\
---------------------------------------------------------------------------

    \1\ See 78 FR 62451, October 22, 2013--Exclusion of trans-1&2,
3,3,3,-tetrafluoropropene.
    \2\ See 78 FR 9823, February 12, 2013--Exclusion of group of
four Hydrofluoropolyethers (HPEPs).
    \3\ See 78 FR 53029, August 28, 2013--Exclusion of trans 1-
Chloro-3,3,3 trifluoroprop-1-ene.
    \4\ See 79 FR 17037, March 27, 2014--Exclusion of 2-amino-2-
methyl-1-propanol.
---------------------------------------------------------------------------

II. The EPA's Evaluation

    On March 24, 2017, ADEQ submitted SIP revisions to EPA for review
and approval. A portion of the submitted revision update the definition
of VOC found at the Arkansas Pollution Control & Ecology Commission's
(Commission or APC&EC) Regulation No. 19, Regulations of the Arkansas
Plan of Implementation for Air Pollution Control. Specifically, the
revision adds trans-1,3,3,3-tetrafluoropropene; 2,3,3,3-
tertrafluropropene; HCF2OCF2H (HFE-134);
HCF2OCF2OCF2H (HFE-236cal2);
HCF2OCF2CF2OCF2H (HFE-
338pcc13);
HCF2OCF2OCF2CF2OCF2
OCF2H (H-Galden 1040x or H-Galden ZT 130 (or 150 or 180));
trans 1-chloro-3,3,3-trifluoroprop-1-ene; and 2-amino-2-methyl-1-
propanol to the list of compounds excluded from the VOC definition on
the basis that these compounds make a negligible contribution to the
tropospheric ozone formation. These changes are consistent with EPA's
definition of VOC at 40 CFR 51.100(s), section 110 of the CAA and meet
the regulatory requirements pertaining to the SIPs.\5\ Pursuant to CAA
section 110(I), the Administrator shall not approve a revision of a
plan if the revisions would interfere with any applicable requirement
concerning attainment and reasonable further

progress (as defined in CAA section 171), or any other applicable
requirement of the Act. The revision to Arkansas Regulation No. 19,
Chapter 2: Definitions, is approvable under section 110(l) because it
reflects changes to federal regulations based on findings that the
aforementioned compounds are negligibly reactive.\6\
---------------------------------------------------------------------------

    \5\ See Interim Guidance on Control of Volatile Organic
Compounds in Ozone Implementation Plans. (70 FR 54046, September 13,
2005).
    \6\ Please see footnotes 1 through 4 in this rulemaking.
---------------------------------------------------------------------------

III. Final Action

    Pursuant to section 110 of the CAA, EPA is approving the revision
to the Arkansas SIP updating the VOC definition. EPA has evaluated
Arkansas' March 24, 2017, submittal and has determined that it meets
the applicable requirements of the CAA and EPA regulations and
consistent with EPA policy.
    The EPA is publishing this rule without prior proposal because we
view this as a non-controversial amendment and anticipate no adverse
comments. However, in the proposed rules section of this Federal
Register publication, we are publishing a separate document that will
serve as the proposal to approve the SIP revision if relevant adverse
comments are received. This rule will be effective on March 21, 2018
without further notice unless we receive relevant adverse comment by
January 22, 2018. If we receive relevant adverse comments, we will
publish a timely withdrawal in the Federal Register informing the
public that the rule will not take effect. We will address all public
comments in a subsequent final rule based on the proposed rule. We will
not institute a second comment period on this action. Any parties
interested in commenting must do so now. Please note that if we receive
relevant adverse comment on an amendment, paragraph, or section of this
rule and if that provision may be severed from the remainder of the
rule, we may adopt as final those provisions of the rule that are not
the subject of an adverse comment.

IV. Incorporation by Reference

    In this rule, the EPA is finalizing regulatory text that includes
incorporation by reference. In accordance with the requirements of 1
CFR 51.5, the EPA is finalizing the incorporation by reference of the
revisions to the Arkansas regulations as described in the Final Action
section above. The EPA has made, and will continue to make, these
materials generally available through www.regulations.gov and/or at the
EPA Region 6 Office (please contact Ms. Nevine Salem for more
information). Therefore, these materials have been approved by EPA for
inclusion in the SIP, have been incorporated by reference by EPA into
that plan, are fully federally enforceable under sections 110 and 113
of the CAA as of the effective date of the final rulemaking of EPA's
approval, and will be incorporated by reference by the Director of the
Federal Register in the next update to the SIP compilation (62 FR
27968, May 22, 1997).

V. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a
SIP submission that complies with the provisions of the Act and
applicable Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a).
Thus, in reviewing SIP submissions, EPA's role is to approve state
choices, provided that they meet the criteria of the Clean Air Act.
Accordingly, this action merely approves state law as meeting Federal
requirements and does not impose additional requirements beyond those
imposed by state law. For that reason, this action:
     Is not a ``significant regulatory action'' subject to
review by the Office of Management and Budget under Executive Orders
12866 (58 FR 51735, October 4, 1993) and 13563 (76 FR 3821, January 21,
2011);
     Is not an Executive Order 13771 (82 FR 9339, February 2,
2017) regulatory action because SIP approvals are exempted under
Executive Order 12866;
     Does not impose an information collection burden under the
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     Is certified as not having a significant economic impact
on a substantial number of small entities under the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.);
     Does not contain any unfunded mandate or significantly or
uniquely affect small governments, as described in the Unfunded
Mandates Reform Act of 1995 (Pub. L. 104-4);
     Does not have Federalism implications as specified in
Executive Order 13132 (64 FR 43255, August 10, 1999);
     Is not an economically significant regulatory action based
on health or safety risks subject to Executive Order 13045 (62 FR
19885, April 23, 1997);
     Is not a significant regulatory action subject to
Executive Order 13211 (66 FR 28355, May 22, 2001);
     Is not subject to requirements of Section 12(d) of the
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272
note) because application of those requirements would be inconsistent
with the CAA; and
     Does not provide EPA with the discretionary authority to
address, as appropriate, disproportionate human health or environmental
effects, using practicable and legally permissible methods, under
Executive Order 12898 (59 FR 7629, February 16, 1994).
    In addition, the SIP is not approved to apply on any Indian
reservation land or in any other area where EPA or an Indian tribe has
demonstrated that a tribe has jurisdiction. In those areas of Indian
country, the rule does not have tribal implications and will not impose
substantial direct costs on tribal governments or preempt tribal law as
specified by Executive Order 13175 (65 FR 67249, November 9, 2000).
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the
Small Business Regulatory Enforcement Fairness Act of 1996, generally
provides that before a rule may take effect, the agency promulgating
the rule must submit a rule report, which includes a copy of the rule,
to each House of the Congress and to the Comptroller General of the
United States. The EPA will submit a report containing this rule and
other required information to the U.S. Senate, the U.S. House of
Representatives, and the Comptroller General of the United States prior
to publication of the rule in the Federal Register. A major rule cannot
take effect until 60 days after it is published in the Federal
Register. This action is not a ``major rule'' as defined by 5 U.S.C.
804(2).
    Under section 307(b)(1) of the CAA, petitions for judicial review
of this action must be filed in the United States Court of Appeals for
the appropriate circuit by February 20, 2018. Filing a petition for
reconsideration by the Administrator of this final rule does not affect
the finality of this rule for the purposes of judicial review nor does
it extend the time within which a petition for judicial review may be
filed, and shall not postpone the effectiveness of such rule or action.
This action may not be challenged later in proceedings to enforce its
requirements. (See section 307(b)(2).)
    Samuel Coleman was designated the Acting Regional Administrator on
December 15, 2017 through the order of succession outlined in Regional
Order R6-1110.13, a copy of which is included in the docket for this
action.

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by
reference, Intergovernmental relations,

Reporting and recordkeeping requirements.

    Dated: December 15, 2017.
Samuel Coleman,
Acting Regional Administrator, Region 6.

    40 CFR part 52 is amended as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

    Authority: 42 U.S.C. 7401 et seq.

Subpart E--Arkansas

0
2. In Sec.  52.170, in paragraph (c), the table titled ``EPA-Approved
Regulations in the Arkansas SIP'' is amended by revising the entry for
Regulation No. 19, Chapter 2, to read as follows:

Sec.  52.170  Identification of plan.

* * * * *
    2. (c) * * *

                                  EPA-Approved Regulations in the Arkansas SIP
----------------------------------------------------------------------------------------------------------------
                                                          State
         State citation             Title/subject      submittal/       EPA approval date         Explanation
                                                     effective date
----------------------------------------------------------------------------------------------------------------
         Regulation No. 19: Regulations of the Arkansas Plan of Implementation for Air Pollution Control
----------------------------------------------------------------------------------------------------------------

                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------
                                             Chapter 2: Definitions
----------------------------------------------------------------------------------------------------------------
Chapter 2......................  Definitions.......       3/24/2017  12/21/2017, [Insert      ..................
                                                                      Federal Register
                                                                      citation].

                                                  * * * * * * *
----------------------------------------------------------------------------------------------------------------

[FR Doc. 2017-27458 Filed 12-20-17; 8:45 am]
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