(b)(1) Except as specified in paragraph (d) of this section, importers must certify each fuel, fuel additive, or regulated blendstock while it is onboard the vessel used to transport it to the United States, and certification sampling must be performed after the vessel's arrival at the port where the fuel, fuel additive, or regulated blendstock will be offloaded.
      (2) Importers must sample each compartment of the vessel and treat each compartment as a separate batch unless the importer collects and combines samples from separate compartments into a single, volume-weight composite sample using ASTM D4057 (incorporated by reference in §1090.95) and demonstrates that the fuel, fuel additive, or regulated blendstock is homogeneous across the compartments under §1090.1337.
      (3) Importers must ensure that all applicable per-gallon standards are met before offloading the fuel, fuel additive, or regulated blendstock.
      (4) Importers must not rely on testing conducted by a foreign supplier.
      (c) Once the fuel, fuel additive, or regulated blendstock on a vessel has been certified under paragraph (b) of this section, it may be transferred to shore tanks using smaller vessels or barges (lightered) as a certified fuel, fuel additive, or regulated blendstock. These lightering transfers may be to terminals located in any harbor and are not restricted to terminals located in the harbor where the vessel is anchored. For example, certified gasoline could be transferred from an import vessel anchored in New York harbor to a lightering vessel and transported to Albany, New York or Providence, Rhode Island without separately certifying the gasoline upon arrival in Albany or Providence. In this lightering scenario, transfers of certified gasoline to a lightering vessel must be accompanied by PTDs that meet the PTD requirements of subpart K of this part.
      (d) As an alternative to paragraphs (b) and (c) of this section, importers may offload fuel, fuel additive, or regulated blendstock into shore tanks containing the same fuel, fuel additive, or regulated blendstock if the importer meets the following requirements:
      (1) For gasoline, importers must offload gasoline into one or more empty shore tanks or tanks containing PCG that the importer owns.
      (i) If importers offload gasoline into one or more empty shore tanks, they must sample and test the sulfur and benzene content, and for summer gasoline, RVP, of each shore tank into which the gasoline was offloaded.
      (ii) If importers offload gasoline into one or more shore tanks containing PCG, they must sample the PCG already in the shore tank prior to offloading gasoline from the marine vessel, test the sulfur and benzene content, and report this PCG as a batch with a negative volume. After offloading the gasoline into the shore tanks, the importer must sample and test the sulfur and benzene content, and RVP for summer gasoline, of each shore tank into which the gasoline was offloaded and report the volume and sulfur and benzene content as a positive batch.
      (2) For all other fuel, fuel additive, or regulated blendstock, importers must sample and test the fuel, fuel additive, or regulated blendstock in each shore tank into which it was offloaded. Importers must ensure that all applicable per-gallon standards are met before the fuel, fuel additive, or regulated blendstock is shipped from the shore tank.
§1090.1610 Importation by rail or truck.
      Importers that import fuel, fuel additive, or regulated blendstock by rail or truck may meet the sampling and testing requirements of subpart M of this part based on test results from the supplier if they meet all the following requirements:
      (a) The importer must get documentation of test results from the supplier for each batch of fuel, fuel additive, or regulated blendstock in accordance with the following requirements:
      (1) The testing must include measurements for all the fuel parameters specified in §1090.1310 using the measurement procedures specified in §1090.1350.
      (2) Testing for a given batch must occur after the most recent delivery into the supplier's storage tank and before transferring the fuel, fuel additive, or regulated blendstock to the railcar or truck.
      (b) The importer must conduct testing to verify test results from each supplier as follows:
      (1) Collect a sample at least once every 30 days or every 50 rail or truckloads from a given supplier, whichever is more frequent. Test such samples as specified in paragraphs (a)(1) and (2) of this section.
      (2) Treat importation of each fuel, fuel additive, or regulated blendstock separately, but treat railcars and truckloads together if the fuel, fuel additive, or regulated blendstock is imported from a given supplier by rail and truck.
      (c) If the importer fails to meet the requirements of paragraphs (a) and (b) of this section, they must perform testing as specified in §1090.1310 until EPA determines that the importer has adequately addressed the cause of the failure.
§1090.1615 Gasoline treated as a blendstock.
      (a) Importers may exclude GTAB from their compliance calculations if they meet all the following requirements:
      (1) The importer reports such GTAB to EPA under §1090.905(c)(7).
      (2) Such GTAB is treated as blendstock at a related gasoline manufacturing facility that produces gasoline using the GTAB.
      (3) The related gasoline manufacturing facility must report the gasoline produced using such GTAB and must include the gasoline produced using such GTAB in their compliance calculations.
      (b) After importation, the title of the GTAB may not be transferred to another party until the GTAB has been blended to produce gasoline and all applicable standards and requirements have been met for the gasoline produced.
      (c) The facility at which the GTAB is used to produce gasoline must be physically located at either the same terminal at which the GTAB first arrives in the United States, the import facility, or at a facility to which the GTAB is directly transported from the import facility.
      (d)(1) The importer must treat the GTAB as if were imported gasoline and complete all requirements for gasoline manufacturers under §1090.105(a) (except for the sampling, testing, and sample retention requirements in §1090.105(a)(5)) for the GTAB at the time it is imported.
      (2) Any GTAB that ultimately is not used to produce gasoline (e.g., a tank bottom of GTAB) must be treated as newly imported gasoline and must meet all applicable requirements for imported gasoline.
§1090.1650 General provisions for exporters.
      Except as specified in this section and in subpart G of this part, gasoline and diesel fuel produced, imported, distributed, or offered for sale in the United States is subject to the standards and requirements of this part.
      (a) Fuels designated for export by a fuel manufacturer are not subject to the standards in this part, provided they are ultimately exported to a foreign country. However, such fuels must be designated at the fuel manufacturing facility and must be accompanied by PTDs stating that the fuel is for "export only" under subpart K of this part. Fuel manufacturers must keep records to demonstrate that the fuel was exported. Fuel designated for export must be segregated from all fuel intended for use in the United States.
      (b) Fuel not designated for export may be exported without restriction. However, the fuel remains subject to the provisions of this part while in the United States. For example, fuel designated as ULSD must meet the applicable sulfur standards under this part even if it will later be exported.
      (c) Fuel that has been classified as American Goods Returned to the U.S. by the U.S. Customs Service is not considered to be imported for purposes of this part, provided all the following requirements are met:
      (1) Such fuel was produced at a fuel manufacturing facility located within the United States and has not been mixed with fuel produced at a fuel manufacturing facility located outside the United States.
      (2) Such fuel must be included in compliance calculations by the producing fuel manufacturer.
      (3) All the fuel that was exported must ultimately be classified as American Goods Returned to the U.S. and none may be used in a foreign country.
      (4) No fuel classified as American Goods Returned to the U.S. may be combined with any fuel produced at a foreign fuel manufacturing facility prior to importation into the United States.

Subpart Q -- Compliance and Enforcement Provisions
§1090.1700 Prohibited acts.
      (a) No person may violate any prohibited act in this part or fail to meet a requirement that applies to that person under this part.
      (b) No person may cause another person to commit an act in violation of this part.
§1090.1705 Evidence related to violations.
      (a)(1) EPA may use results from any testing required by this part to determine whether a given fuel, fuel additive, or regulated blendstock meets any applicable standard. However, EPA may also use any other evidence or information to make this determination if the evidence or information supports the conclusion that the fuel, fuel additive, or regulated blendstock would fail to meet one or more of the parameter specifications in this part if the appropriate sampling and testing methodology had been correctly performed. Examples of other relevant information include business records, commercial documents, and measurements with alternative procedures.
      (2) Testing to determine noncompliance with this part may occur at any location and be performed by any party.
      (b) Determinations of compliance with the requirements of this part other than the fuel, fuel additive, or regulated blendstock standards, and determinations of liability for any violation of this part, may be based on information from any source or location. Such information may include, but is not limited to, business records and commercial documents.
§1090.1710 Penalties.
      (a) Any person liable for a violation under this part is subject to civil penalties as specified in 42 U.S.C. 7524 and 7545 for every day of such violation and the amount of economic benefit or savings resulting from each violation.
      (b)(1) Any person liable for the violation of an average standard under this part is subject to a separate day of violation for each and every day in the compliance period.
      (2) Any person liable under this part for a failure to fulfill any requirement for credit generation, transfer, use, banking, or deficit correction is subject to a separate day of violation for each and every day in the compliance period in which invalid credits are generated or used.
      (c)(1) Any person liable under this part for a violation of a per-gallon standard, or of causing another party to violate a per-gallon standard, is subject to a separate day of violation for each and every day the non-complying fuel, fuel additive, or regulated blendstock remains any place in the distribution system.
      (2) For the purposes of paragraph (c)(1) of this section, the length of time the fuel, fuel additive, or regulated blendstock that violates a per-gallon standard remained in the distribution system is deemed to be 25 days, unless a person subject to liability or EPA demonstrates by reasonably specific showings, by direct or circumstantial evidence, that the non-complying fuel, fuel additive, or regulated blendstock remained in the distribution system for fewer than or more than 25 days.
      (d) Any person liable for failure to meet, or causing a failure to meet, any other provision of this part is liable for a separate day of violation for each and every day such provision remains unfulfilled.
      (e) For any person that fails to meet separate parameter requirements of this part, these count as separate violations.
      (f) Violation of any misfueling prohibition under this part counts as a separate violation for each and every day the noncompliant fuel, fuel additive, or regulated blendstock remains in any engine, vehicle, or equipment.
      (g) The presumed values of fuel parameters in paragraphs (g)(1) through (6) of this section apply for cases in which any person fails to perform required testing and must be reported, unless EPA, in its sole discretion, approves a different value in writing. EPA may consider any relevant information to determine whether a different value is appropriate.
      (1) For gasoline: 970 ppm sulfur, 5 volume percent benzene, and 11 psi RVP.
      (2) For diesel fuel: 1,000 ppm sulfur.
      (3) For ECA marine fuel: 5,000 ppm sulfur.
      (4) For the PCG portion for PCG by subtraction under §1090.1320(a)(1): 0 ppm sulfur and 0 volume percent benzene.
      (5) For fuel additives: 970 ppm sulfur.
      (6) For regulated blendstocks: 970 ppm sulfur and 5 volume percent benzene.
§1090.1715 Liability provisions.
      (a) Any person who violates any requirement in this part is liable for the violation.
      (b) Any person who causes someone to commit a prohibited act under this subpart is liable for violating that prohibition.
      (c) Any parent corporation is liable for any violation committed by any of its wholly-owned subsidiaries.
      (d) Each partner to a joint venture, or each owner of a facility owned by two or more owners, is jointly and severally liable for any violation of this subpart that occurs at the joint venture facility or facility owned by the joint owners, or is committed by the joint venture operation or any of the joint owners of the facility.
      (e)(1) Any person that produced, imported, sold, offered for sale, dispensed, supplied, offered for supply, stored, transported, caused the transportation or storage of, or introduced into commerce fuel, fuel additive, or regulated blendstock that is in the storage tank containing fuel, fuel additive, or regulated blendstock that is found to be in violation of a per-gallon standard is liable for the violation.
      (2) In order for a carrier to be liable under paragraph (e)(1) of this section, EPA must demonstrate by reasonably specific showing, by direct or circumstantial evidence, that the carrier caused the violation.
      (f) If a fuel manufacturer's corporate, trade, or brand name is displayed at a facility where a violation occurs, the fuel manufacturer is liable for the violation. This also applies where the displayed corporate, trade, or brand name is from the fuel manufacturer's marketing subsidiary.
§1090.1720 Affirmative defense provisions related to noncompliant fuel, fuel additive, or regulated blendstock.
      (a) Any person liable for a violation under §1090.1715(e) or (f) will not be deemed in violation if the person demonstrates all the following:
      (1) The violation was not caused by the person or the person's employee or agent.
      (2) In cases where PTD requirements of this part apply, the PTDs account for the fuel, fuel additive, or regulated blendstock found to be in violation and indicate that the violating fuel, fuel additive, or regulated blendstock was in compliance with the applicable requirements while in that person's control.
      (3) The person conducted a quality assurance program, as specified in paragraph (d) of this section.
      (i) A carrier may rely on the quality assurance program carried out by another party, including the party that owns the fuel in question, provided that the quality assurance program is carried out properly.
      (ii) Retailers and WPCs are not required to conduct sampling and testing of fuel as part of their quality assurance program.
      (b) For a violation found at a facility operating under the corporate, trade, or brand name of a fuel manufacturer, or a fuel manufacturer's marketing subsidiary, the fuel manufacturer must show, in addition to the defense elements required under paragraph (a) of this section, that the violation was caused by one of the following:
      (1) An act in violation of law (other than the Clean Air Act or this part), or an act of sabotage or vandalism.
      (2) The action of any retailer, distributor, reseller, oxygenate blender, carrier, retailer, or WPC in violation of a contractual agreement between the branded fuel manufacturer and the person designed to prevent such action, and despite periodic sampling and testing by the branded fuel manufacturer to ensure compliance with such contractual obligation.
      (3) The action of any carrier or other distributor not subject to a contract with the fuel manufacturer, but engaged for transportation of fuel, fuel additive, or regulated blendstock despite specifications or inspections of procedures and equipment that are reasonably calculated to prevent such action.
      (c) For any person to show under paragraph (a) of this section that a violation was not caused by that person, or to show under paragraph (b) of this section that a violation was caused by any of the specified actions, the person must demonstrate by reasonably specific showings, through direct or circumstantial evidence, that the violation was caused or must have been caused by another person and that the person asserting the defense did not contribute to that other person's causation.
      (d) To demonstrate an acceptable quality assurance program under paragraph (a)(3) of this section, a person must present evidence of all the following:
      (1)(i) A periodic sampling and testing program adequately designed to ensure the fuel, fuel additive, or regulated blendstock the person sold, dispensed, supplied, stored, or transported meets the applicable per-gallon standard. A person may meet this requirement by participating in a survey program under subpart N of this part that was in effect at the time of the violation.
      (ii) In addition to the requirements in paragraph (d)(1)(i) of this section, gasoline manufacturers must also participate in the national sampling oversight program specified in §1090.1440 at the time of the violation.
      (2) On each occasion when a fuel, fuel additive, or regulated blendstock is found to be in noncompliance with the applicable per-gallon standard, the person does all the following:
      (i) Immediately ceases selling, offering for sale, dispensing, supplying, offering for supply, storing, or transporting the non-complying fuel, fuel additive, or regulated blendstock.
      (ii) Promptly remedies the violation and the factors that caused the violation (e.g., by removing the non-complying fuel, fuel additive, or regulated blendstock from the distribution system until the applicable standard is achieved and taking steps to prevent future violations of a similar nature from occurring).
      (3) For any carrier that transports a fuel, fuel additive, or regulated blendstock in a tank truck, the quality assurance program required under paragraph (d)(1) of this section does not need to include periodic sampling and testing of gasoline in the tank truck. In lieu of such tank truck sampling and testing, the carrier must demonstrate evidence of an oversight program for monitoring compliance with the requirements of this part relating to the transport or storage of fuel, fuel additive, or regulated blendstock by tank truck, such as appropriate guidance to drivers regarding compliance with the applicable per-gallon standards and PTD requirements, and the periodic review of records received in the ordinary course of business concerning gasoline quality and delivery.
    (e) In addition to the defenses provided in paragraphs (a) through (d) of this section, in any case in which an ethanol blender, distributor, reseller, carrier, retailer, or WPC would be in violation under §1090.1715 as a result of gasoline that contains between 9 and 15 percent ethanol (by volume) but exceeds the applicable standard by more than 1.0 psi, the ethanol blender, distributor, reseller, carrier, retailer or wholesale purchaser-consumer will not be deemed in violation if such person can demonstrate, by showing receipt of a certification from the facility from which the gasoline was received or other evidence acceptable to EPA, all the following:
    (1) The gasoline portion of the blend complies with the applicable RVP standard in §1090.215.
    (2) The ethanol portion of the blend does not exceed 15 percent (by volume).
    (3) No additional alcohol or other additive has been added to increase the RVP of the ethanol portion of the blend.
    (4) In the case of a violation alleged against an ethanol blender, distributor, reseller, or carrier, if the demonstration required by paragraphs (e)(1) through (3) of this section is made by a certification, it must be supported by evidence that the criteria in paragraphs (e)(1) through (3) of this section have been met, such as an oversight program conducted by or on behalf of the ethanol blender, distributor, reseller, or carrier alleged to be in violation, which includes periodic sampling and testing of the gasoline or monitoring the volatility and ethanol content of the gasoline. Such certification will be deemed sufficient evidence of compliance provided it is not contradicted by specific evidence, such as testing results, and provided that the party has no other reasonable basis to believe that the facts stated in the certification are inaccurate. In the case of a violation alleged against a retail outlet or WPC facility, such certification will be deemed an adequate defense for the retailer or WPC, provided that the retailer or WPC is able to show certificates for all the gasoline contained in the storage tank found in violation, and, provided that the retailer or WPC has no reasonable basis to believe that the facts stated in the certifications are inaccurate.

Subpart R -- Attestation Engagements
§1090.1800 General provisions.
      (a) The following parties must arrange for attestation engagement using agreed-upon procedures as specified in this subpart:
      (1) Gasoline manufacturers that produce or import gasoline subject to the requirements of subpart C of this part.
      (2) Gasoline manufacturers that perform testing as specified in subpart M of this part, and gasoline manufacturers that rely on testing from independent laboratories.
      (b) Auditors performing attestation engagements must meet the following requirements:
      (1) Auditors must meet one of the following professional qualifications:
      (i) The auditor may be an internal auditor that is employed by the fuel manufacturer and certified by the Institute of Internal Auditors. Internal auditors must perform the attestation engagement in accordance with the International Standards for the Professional Practice of Internal Auditing (Standards) (incorporated by reference in §1090.95).
      (ii) The auditor may be a certified public accountant, or firm of such accountants, that is independent of the gasoline manufacturer. Such auditors must comply with the AICPA Code of Professional Conduct, including its independence requirements, the AICPA Statements on Quality Control Standards (both incorporated by reference in §1090.95), and applicable rules of state boards of public accountancy. Such auditors must also perform the attestation engagement in accordance with the AICPA Statements on Standards for Attestation Engagements (SSAE) No. 18, Attestation Standards: Clarification and Recodification, especially as noted in sections AT-C 105, 215, and 315 (incorporated by reference in §1090.95).
      (2) The auditor must meet the independence requirements in §1090.55.
      (3) The auditor must be registered with EPA under subpart I of this part.
      (4) Any auditor suspended or debarred under 2 CFR part 1532 or 48 CFR part 9, subpart 9.4, is not qualified to perform attestation engagements under this subpart.
      (c) Auditors must perform attestation engagements separately for each gasoline manufacturing facility for which the gasoline manufacturer submitted reports to EPA under subpart J of this part for the compliance period.
      (d) The following provisions apply to each attestation engagement performed under this subpart:
      (1) The auditor must prepare a report identifying the applicable procedures specified in this subpart along with the auditor's corresponding findings for each procedure. The auditor must submit the report electronically to EPA by June 1 of the year following the compliance period.
      (2) The auditor must identify any instances where compared values do not agree or where specified values do not meet applicable requirements under this part.
      (3) Laboratory analysis refers to the original test result for each analysis of a product's properties. The following provisions apply in special cases:
      (i) For laboratories using test methods that must be correlated to the standard test method, the laboratory analysis must include the correlation factors along with the corresponding test results.
      (ii) For gasoline manufacturers that rely on third-party laboratories for all testing, the laboratory analysis consists of the results provided by the third-party laboratory.
§1090.1805 Representative samples.
      (a) If the specified procedures require evaluation of a representative sample from the overall population for a given data set, determine the number of results for evaluation using one of the following methods:
      (1) Determine sample size using the following table:
      Table 1 to paragraph (a)(1)
Population
Sample Size
1-25
The smaller of the population or 19
26-40
20
41-65
25
66 or more
29
      (2) Determine sample size corresponding to a confidence level of 95 percent, an expected error rate of 0 percent, and a maximum tolerable error rate of 10 percent, using conventional statistical principles and methods.
      (3) Determine sample size using an alternate method that is equivalent to or better than the methods specified in paragraphs (a)(1) and (2) of this section with respect to strength of inference and freedom from bias. Auditors that determine a sample size using an alternate method must describe and justify the alternate method in the attestation report.
      (b) Select specific data points for evaluation over the course of the compliance period in a way that leads to a simple random sample that properly represents the overall population for the data set.
§1090.1810 General procedures  -  gasoline manufacturers.
      The procedures specified in this section apply to refiners, blending manufacturers, and transmix processers that produce gasoline.
      (a) Registration and EPA reports. Auditors must review registration and EPA reports as follows:
      (1) Obtain copies of the gasoline manufacturer's registration information submitted under subpart I of this part and all reports (except batch reports) submitted to EPA under subpart J of this part.
      (2) For each gasoline manufacturing facility, confirm that the facility's registration is accurate based on the activities reported during the compliance period, including that the registration for the facility and any related updates were completed prior to conducting regulated activities at the facility, reporting any discrepancies.
      (3) Confirm that the gasoline manufacturer submitted all the reports required under subpart J of this part for activities they performed during the compliance period, reporting any exceptions.
      (4) Obtain a written statement from the gasoline manufacturer's RCO that the submitted reports are complete and accurate.
      (5) Report in the attestation report the name of any commercial computer program used to track the data required under this part, if any.
      (b) Inventory reconciliation analysis. Auditors must perform an inventory reconciliation analysis as follows:
      (1) Obtain an inventory reconciliation analysis from the gasoline manufacturer for each product type produced at each facility (e.g., RFG, CG, RBOB, CBOB), including the inventory at the beginning and end of the compliance period, receipts, production, shipments, transfers, and gain/loss.
      (2) Foot and cross-foot the volumes.
      (3) Compare the beginning and ending inventory to the manufacturer's inventory records for each product type, reporting any variances.
      (4) Report in the attestation report the volume totals for each product type on the basis of which gasoline batches are reported.
      (c) Listing of tenders. Auditors must review a listing of tenders as follows:
      (1) Obtain detailed listings of gasoline tenders from the gasoline manufacturer, by product type.
      (2) Foot the listings of gasoline tenders.
      (3) Compare the total volume from the gasoline tenders to the total volume shipped in the inventory reconciliation analysis for each product type, reporting any variances.
      (d) Listing of batches. Auditors must review listings of batches as follows:
      (1) Obtain the batch reports submitted under subpart J of this part.
      (2) Foot the batch volumes by product type.
      (3) Compare the total volume from the batch reports to the total production or shipment volume from the inventory reconciliation analysis specified in paragraph (b)(4) of this section for each product type, reporting any variances.
      (4) Report as a finding in the attestation report any gasoline batch with reported values that do not meet a per-gallon standard in subpart C of this part.
      (e) Test methods. Auditors must follow the procedures specified in §1090.1845 to determine whether the gasoline manufacturer complies with the applicable quality control requirements specified in §1090.1375.
      (f) Review of BOB tenders. Auditors must review a detailed listing of BOB tenders as follows:
      (1) Select a representative sample of PTDs from the listing of BOB tenders.
      (2) For each sample, obtain the associated PTDs.
      (3) Using a unique identifier, confirm that the correct PTDs are obtained for the samples and compare the volume on the listing of each selected BOB tender to the associated PTD, reporting any exceptions.
      (4) Confirm that the PTD associated with each selected BOB tender contains all the applicable language requirements under subpart K of this part, reporting any exceptions.
      (g) Detailed testing of BOB batches. Auditors must review a detailed listing of BOB batches as follows:
      (1) Select a representative sample from the BOB batch reports submitted to EPA under subpart J of this part and obtain the volume documentation and laboratory analysis for each sample.
      (2) Compare the reported volume for each selected sample to the volume documentation, reporting any exceptions.
      (3) Compare the reported properties for each selected sample BOB batch to the laboratory analysis, reporting any exceptions.
      (4) Compare the reported test methods used for each selected BOB batch to the laboratory analysis, reporting any exceptions.
      (5) Determine each oxygenate type and amount that is required for blending with the BOB.
      (6) Confirm that each oxygenate type and amount included in the BOB hand blend agrees within an acceptable range to each selected BOB batch, reporting any exceptions.
      (7) Confirm that the manufacturer participates in the national fuels survey program under subpart N of this part, if applicable.
      (8) For blending manufacturers, confirm that the laboratory analysis includes test results for oxygenate and distillation parameters (i.e., T10, T50, T90, final boiling point, and percent residue).
      (h) Detailed testing of finished gasoline tenders. Auditors must review a detailed listing of finished gasoline tenders as follows:
      (1) Select a representative sample from the listing of finished gasoline tenders and obtain the associated PTD for each selected tender.
      (2) Using a unique identifier, confirm that the correct PTDs are obtained for the samples and compare the volume on the listing for each finished gasoline tender to the associated PTD.
      (3) Confirm that the PTD associated with each selected finished gasoline tender contains all the applicable language requirements under subpart K of this part, reporting any exceptions.
      (4) Report as a finding in the attestation report any tenders where the PTD did not contain all applicable PTD language requirements under subpart K of this part, reporting any exceptions.
      (i) Detailed testing of finished gasoline batches. Auditors must review a detailed listing of finished gasoline batches as follows:
      (1) Select a representative sample of finished gasoline batches from the batch reports submitted to EPA under subpart J of this part and obtain the volume documentation and laboratory analysis for each selected finished gasoline batch.
      (2) Compare the reported volume for each selected finished gasoline batch to the volume documentation, reporting any exceptions.
      (3) Compare the reported properties for each selected finished gasoline batch to the laboratory analysis, reporting any exceptions.
      (4) Compare the reported test methods used for each selected finished gasoline batch to the laboratory analysis, reporting any exceptions.
      (5) For blending manufacturers, confirm that the laboratory analysis includes test results for oxygenate and distillation parameters (i.e., T10, T50, T90, final boiling point, and percent residue).
§1090.1815 General procedures  -  gasoline importers.
      The procedures of this section apply to gasoline manufacturers that import gasoline:
      (a) Registration and EPA reports. Auditors must review registration and EPA reports for gasoline importers as specified in §1090.1810(a).
      (b) Listing of imports. Auditors must review a listing of imports as follows:
      (1) Obtain detailed listings of gasoline imports from the importer, by product type
      (2) Foot the listings of gasoline imports from the importer.
      (3) Obtain listings of gasoline imports directly from the third-party customs broker, by product type.
      (4) Foot the listings of gasoline imports from the third-party customs broker.
      (5) Compare the total volume from the importer's listings of gasoline imports to the listings from the third-party customs broker for each product type, reporting any variances.
      (6) Report in the attestation report the total imported volume for each product type.
      (c) Listing of batches. Auditors must review listings of batches as follows:
      (1) Obtain the batch reports submitted under subpart J of this part.
      (2) Foot the batch volumes by product type.
      (3) Compare the total volume from the batch reports to the total volume per the listings of gasoline imports from the importer specified in paragraph (b) (1) of this section for each product type, reporting any variances.
      (4) Report as a finding in the attestation report any gasoline batches with parameter results that do not meet the per-gallon standards in subpart C of this part.
      (d) Test methods. Auditors must follow the procedures specified in §1090.1845 to determine whether the importer complies with the quality control requirements specified in §1090.1375 for gasoline, gasoline additives, and gasoline regulated blendstocks.
      (e) Detailed testing of BOB imports. Auditors must review a detailed listing of BOB imports as follows:
      (1) Select a representative sample from the listing of BOB imports from the importer and obtain the associated U.S. Customs Entry Summary and PTD for each selected BOB import.
      (2) Using a unique identifier, confirm that the correct U.S. Customs Entry Summaries are obtained for the samples and compare the location that each selected BOB import arrived in the United States and volume on the listing of BOB imports from the importer to the U.S. Customs Entry Summary, reporting any exceptions.
      (3) Using a unique identifier, confirm that the correct PTDs are obtained for the samples. Confirm that the PTD contains all the applicable language requirements under subpart K of this part, reporting any exceptions.
      (f) Detailed testing of BOB batches. Auditors must review a detailed listing of BOB batches as follows:
      (1) Select a representative sample of BOB batches from the batch reports submitted under subpart J of this part and obtain the volume inspection report and laboratory analysis for each selected BOB batch.
      (2) Compare the reported volume for each selected BOB batch to the volume inspection report, reporting any exceptions.
      (3) Compare the reported properties for each selected BOB batch to the laboratory analysis, reporting any exceptions.
      (4) Compare the reported test methods used for each selected BOB batch to the laboratory analysis, reporting any exceptions.
      (5) Determine each oxygenate type and amount that is required for blending with each selected BOB batch.
      (6) Confirm that each oxygenate type and amount included in the BOB hand blend agrees within an acceptable range to each selected BOB batch, reporting any exceptions.
      (7) Confirm that the importer participates in the national fuels survey program under subpart N of this part, if applicable.
      (g) Detailed testing of finished gasoline imports. Auditors must review a detailed listing of finished gasoline imports as follows:
      (1) Select a representative sample from the listing of finished gasoline imports from the importer and obtain the associated U.S. Customs Entry Summary and PTD for each selected finished gasoline import.
      (2) Using a unique identifier, confirm that the correct U.S. Customs Entry Summaries are obtained for the samples and compare the location that each selected finished gasoline import arrived in the United States and volume on the listing of finished gasoline imports from the importer to the U.S. Customs Entry Summary, reporting any exceptions.
      (3) Using a unique identifier, confirm that the correct PTDs are obtained for the samples. Confirm that the PTD contain all the applicable language requirements under subpart K of this part, reporting any exceptions.
      (h) Detailed testing of finished gasoline batches. Auditors must review a detailed listing of finished gasoline batches as follows:
      (1) Select a representative sample of finished gasoline batches from the batch reports submitted under subpart J of this part and obtain the volume inspection report and laboratory analysis for each selected finished gasoline batch.
      (2) Compare the reported volume for each selected finished gasoline batch to the volume inspection report, reporting any exceptions.
      (3) Compare the reported properties for each selected finished gasoline batch to the laboratory analysis, reporting any exceptions.
      (4) Compare the reported test methods used for each selected finished gasoline batch to the laboratory analysis, reporting any exceptions.
      (i) Additional procedures for certain gasoline imported by rail or truck. Auditors must perform the following additional procedures for importers that import gasoline into the United States by rail or truck under §1090.1610:
      (1) Select a representative sample from the listing of batches obtained under paragraph (c) of this section and perform the following for each selected batch:
      (i) Identify the point of sampling and testing associated with each selected batch in the tank activity records from the supplier.
      (ii) Confirm that the sampling and testing occurred after the most recent delivery into the supplier's storage tank and before transferring product to the railcar or truck.
      (2)(i) Obtain a detailed listing of the importer's quality assurance program sampling and testing results.
      (ii) Determine whether the frequency of the sampling and testing meets the requirements in §1090.1610(b).
      (iii) Select a representative sample from the importer's sampling and testing records under the quality assurance program and perform the following for each selected batch:
      (A) Obtain the corresponding laboratory analysis.
      (B) Determine whether the importer analyzed the test sample, and whether they performed the analysis using the methods specified in subpart M of this part.
      (C) Review the terminal test results corresponding to the time of collecting the quality assurance test samples. Compare the terminal test results with the test results from the quality assurance program, noting any parameters with differences that are greater than the reproducibility of the applicable method specified in subpart M of this part.
§1090.1820 Additional procedures for gasoline treated as blendstock.
      In addition to any applicable procedures required under §§1090.1810 and 1090.1815, auditors must perform the procedures in this section for gasoline manufacturers that import GTAB under §1090.1615.
      (a) Listing of GTAB imports. Auditors must review a listing of GTAB imports as follows:
      (1) Obtain a detailed listing of GTAB imports from the GTAB importer.
      (2) Foot the listing of GTAB imports from the GTAB importer.
      (3) Obtain a listing of GTAB imports directly from the third-party customs broker.
      (4) Foot the listing of GTAB imports from the third-party customs broker, reporting any variances.
      (5) Compare the total volume from the GTAB importer's listing of GTAB imports to the listing from the third-party customs broker.
      (6) Report in the attestation report the total imported volume of GTAB and the corresponding facilities at which the GTAB was blended.
      (b) Listing of GTAB batches. Auditors must review a listing of GTAB batches as follows:
      (1) Obtain the GTAB batch reports submitted under subpart J of this part.
      (2) Foot the batch volumes.
      (3) Compare the total volume from the GTAB batch reports to the total volume from the importer's listing of GTAB imports in paragraph (a)(1) of this section, reporting any variances.
      (c) Detailed testing of GTAB imports. Auditors must review a detailed listing of GTAB imports as follows:
      (1) Select a representative sample from the listing of GTAB imports obtained in paragraph (a)(1) of this section.
      (2) For each selected GTAB batch, obtain the U.S. Customs Entry Summaries.
      (3) Using a unique identifier, confirm that the correct U.S. Customs Entry Summaries are obtained for the samples. Compare the volumes and locations that each selected GTAB batch arrived in the United States to the U.S. Customs Entry Summary, reporting any exceptions.
      (d) Detailed testing of GTAB batches. Auditors must review a detailed listing of GTAB batches as follows:
      (1) Select a representative sample from the batch reports obtained under paragraph (b)(1) of this section.
      (2) For each selected GTAB batch sample, obtain the volume inspection report.
      (3) Compare the reported volume for each selected GTAB batch to the volume inspection report, reporting any exceptions.
      (4) Compare the reported properties for the selected GTAB batches to the laboratory analysis, reporting any exceptions.
      (5) Compare the reported test methods used for the selected GTAB batches to the laboratory analysis, reporting any exceptions.
      (e) GTAB tracing. Auditors must trace and review the movement of GTAB from importation to use to produce gasoline as follows:
      (1) Compare the volume total on each GTAB batch report obtained under paragraph (b)(1) of this section to the GTAB volume total in the gasoline manufacturer's inventory reconciliation analysis under §1090.1810(b).
      (2) For each selected GTAB batch under paragraph (d)(1) of this section:
      (i) Obtain tank activity records that describe the movement of the selected GTAB batch from importation to use to produce gasoline.
      (ii) Identify each selected GTAB batch in the tank activity records and trace each selected GTAB batch to subsequent reported batches of BOB or finished gasoline.
      (iii) Agree the location of the facility where gasoline was produced from each selected GTAB batch to the location that the GTAB batch arrived in the United States, or to the facility directly receiving the GTAB batch from the import facility.
      (iv) Determine the status of the tank(s) before receiving each selected GTAB batch (e.g., empty tank, tank containing blendstock, tank containing GTAB, tank containing PCG).
      (v) If the tank(s) contained PCG before receiving the selected GTAB batch, take the following additional steps:
      (A) Obtain and review a copy of the documented tank mixing procedures.
      (B) Determine the volume and properties of the tank bottom that was PCG before adding GTAB.
      (C) Confirm that the gasoline manufacturer determined the volume and properties of the BOB or finished gasoline produced using GTAB by excluding the volume and properties of any PCG, and that the gasoline manufacturer separately reported the PCG volume and properties under subpart J of this part, reporting any discrepancies.
§1090.1825 Additional procedures for PCG used to produce gasoline.
      In addition to any applicable procedures required under §1090.1810, auditors must perform the procedures in this section for gasoline manufacturers that produce gasoline from PCG under §1090.1320.
      (a) Listing of PCG batches. Auditors must review a listing of PCG batches as follows:
      (1) Obtain the PCG batch reports submitted under subpart J of this part.
      (2) Foot the batch volumes.
      (3) Compare the volume total for each PCG batch report to the receipt volume total in the inventory reconciliation analysis specified in §1090.1810(b), reporting any variances.
      (b) Detailed testing of PCG batches. Auditors must review a detailed listing of PCG batches as follows:
      (1) Select a representative sample from the PCG batch reports obtained under paragraph (a) of this section.
      (2) Obtain the volume documentation, laboratory analysis, associated PTDs, and tank activity records for each selected PCG batch.
      (3) Identify each selected PCG batch in the tank activity records and trace each selected PCG batch to subsequent reported batches of BOB or finished gasoline, reporting any exceptions.
      (4) Report as a finding in the attestation report any instances where the reported PCG batch volume was adjusted from the original receipt volume, such as for exported PCG.
      (5) Compare the volume for each selected PCG batch to the volume documentation, reporting any exceptions.
      (6) Compare the product type and grade for each selected PCG batch to the associated PTDs, reporting any exceptions.
      (7) Compare the reported properties for each selected PCG batch to the laboratory analysis, reporting any exceptions.
      (8) Compare the reported test methods used for each selected PCG batch to the laboratory analysis, reporting any exceptions.
§1090.1830 Alternative procedures for certified butane blenders.
      Auditors must use the procedures of this section instead of or in addition to the procedures in §1090.1810 for certified butane blenders that blend certified butane into PCG under the provisions of §1090.1320.
      (a) Registration and EPA reports. Auditors must review registration and EPA reports as follows:
      (1) Obtain copies of the certified butane blender's registration information submitted under subpart I of this part and all reports submitted under subpart J of this part, including the batch reports for the butane received and blended.
      (2) For each certified butane blending facility, confirm that the facility's registration is accurate based on activities reported during the compliance period, including that the registration for the facility and any related updates were completed prior to conducting regulated activities at the facility, reporting any discrepancies.
      (3) Confirm that the certified butane blender submitted the reports required under subpart J of this part for activities they performed during the compliance period, reporting any exceptions.
      (4) Obtain a written statement from the certified butane blender's RCO that the submitted reports are complete and accurate.
      (5) Report in the attestation report the name of any commercial computer program used to track the data required under this part, if any.
      (b) Inventory reconciliation analysis. Auditors must complete an inventory reconciliation analysis review as follows:
      (1) Obtain an inventory reconciliation analysis from the certified butane blender for each blending facility related to all certified butane movements, including the inventory at the beginning and end of the compliance period, receipts, blending/production volumes, shipments, transfers, and gain/loss.
      (2) Foot and cross-foot the volumes.
      (3) Compare the beginning and ending inventory to the certified butane blender's inventory records, reporting any variances.
      (4) Compare the total volume of certified butane received from the batch reports obtained under paragraph (a) of this section to the inventory reconciliation analysis, reporting any variances.
      (5) Compare the total volume of certified butane blended from the batch reports to the inventory reconciliation analysis, reporting any variances.
      (6) Report in the attestation report the total volume of certified butane received and blended.
      (c) Listing of certified butane receipts. Auditors must review a listing of certified butane receipts as follows:
      (1) Obtain a detailed listing of all certified butane batches received at the blending facility from the certified butane blender.
      (2) Foot the listing of certified butane batches received.
      (3) Compare the total volume from batch reports for certified butane received at the butane blending facility to the certified butane blender's listing of certified butane batches received, reporting any variances.
      (d) Detailed testing of certified butane batches. Auditors must review a detailed listing of certified butane batches as follows:
      (1) Select a representative sample from the certified butane batch reports submitted under subpart J of this part.
      (2) Obtain the volume documentation and laboratory analysis for each selected certified butane batch.
      (3) Compare the reported volume for each selected certified butane batch to the volume documentation, reporting any exceptions.
      (4) Compare the reported properties for each selected certified butane batch to the laboratory analysis, reporting any exceptions.
      (5) Compare the reported test methods used for each selected certified butane batch to the laboratory analysis, reporting any exceptions.
      (6) Confirm that the butane meets the standards for certified butane under subpart C of this part, reporting any exceptions.
      (e) Quality control review. Auditors must obtain the certified butane blender's sampling and testing results for certified butane received and determine if the frequency of the sampling and testing meets the requirements in §1090.1320(c)(4), reporting any discrepancies.
§1090.1835 Alternative procedures for certified pentane blenders.
      (a) Auditors must use the procedures of this section instead of or in addition to the procedures in §§1090.1810 and 1090.1815, as applicable, for certified pentane blenders that blend certified pentane into PCG under the provisions of §1090.1320.
      (b) Auditors must apply the procedures in §1090.1830 by substituting "pentane" for "butane" in all cases.
§1090.1840 Additional procedures related to compliance with gasoline average standards.
      Auditors must perform the procedures of this section for gasoline manufacturers that comply with the standards in subpart C of this part using the procedures specified in subpart H of this part.
      (a) Annual compliance demonstration review. Auditors must review annual compliance demonstrations as follows:
      (1) Obtain the annual compliance reports for sulfur and benzene and associated batch reports submitted under subpart J of this part.
      (2)(i) For gasoline refiners and blending manufacturers, compare the gasoline production volume from the annual compliance report to the inventory reconciliation analysis under §1090.1810(b), reporting any variances.
      (ii) For gasoline importers, compare the gasoline import volume from the annual compliance report to the corresponding volume from the listing of imports under §1090.1815(b), reporting any variances.
      (3) For each facility, recalculate the following and report in the attestation report the recalculated values:
      (i) Compliance sulfur value, per §1090.700(a)(1), and compliance benzene value, per §1090.700(b)(1).
      (ii) Average benzene concentration, per §1090.700(b)(3).
      (iii) Number of credits generated during the compliance period, or number of banked or traded credits needed to meet standards for the compliance period.
      (iv) Number of credits from the preceding compliance period that are expired or otherwise no longer available for the compliance period being reviewed.
      (4) Compare the recalculated values in paragraph (a)(3) of this section to the reported values in the annual compliance reports, reporting any exceptions.
      (5) Report in the attestation report whether the gasoline manufacturer had a deficit for both the compliance period being reviewed and the preceding compliance period.
      (b) Credit transaction review. Auditors must review credit transactions as follows:
      (1) Obtain the gasoline manufacturer's credit transaction reports submitted under subpart J of this part and contracts or other information that documents all credit transfers. Also obtain records that support intracompany transfers.
      (2) For each reported transaction, compare the supporting documentation with the credit transaction reports for the following elements, reporting any exceptions:
      (i) Compliance period of creation.
      (ii) Credit type (i.e., sulfur or benzene) and number of times traded.
      (iii) Quantity.
      (iv) The name of the other company participating in the credit transfer.
      (v) Transaction type.
      (c) Facility-level credit reconciliation. Auditors must perform a facility-level credit reconciliation separately for each gasoline manufacturing facility as follows:
(1) Obtain the credits remaining or the credit deficit from the previous compliance period from the gasoline manufacturer's credit transaction information for the previous compliance period.
(2) Compute and report as a finding the net credits remaining at the end of the compliance period.
      (3) Compare the ending balance of credits or credit deficit recalculated in paragraph (c)(2) of this section to the corresponding value from the annual compliance report, reporting any variances.
      (4) For importers, the procedures of this paragraph (c) apply at the company level.
      (d) Company-level credit reconciliation. Auditors must perform a company-level credit reconciliation as follows:
      (1) Obtain a credit reconciliation listing company-wide credits aggregated by facility for the compliance period.
      (2) Foot and cross-foot the credit quantities.
      (3) Compare and report the beginning balance of credits, the ending balance of credits, the associated credit activity at the company level in accordance with the credit reconciliation listing, and the corresponding credit balances and activity submitted under subpart J of this part.
      (e) Procedures for gasoline manufacturers that recertify BOB. Auditors must perform the following procedures for any gasoline manufacturer that recertifies a BOB under §1090.740 and incurs a deficit:
      (1) Auditors must perform the procedures specified in §1090.1810(a) to review registration and EPA reports.
      (2) Obtain the batch reports for recertified BOB submitted under subpart J of this part.
      (3) Select a representative sample of recertified BOB batches from the batch reports.
      (4) For each sample, obtain supporting documentation.
      (5) Confirm the accuracy of the information reported, reporting any exceptions.
      (6) Recalculate the deficits in accordance with the provisions of §1090.740, reporting any discrepancies.
      (7) Confirm that the deficits are included in the annual compliance demonstration calculations, reporting any exceptions.
§1090.1845 Procedures related to meeting performance-based measurement and statistical quality control for test methods.
      (a) General provisions. (1) Auditors must conduct the procedures specified in this section for gasoline manufacturers.
      (2) Auditors performing the procedures specified in this section must meet the laboratory experience requirements specified in §1090.55(b)(2).
      (3) In cases where the auditor needs to involve an external specialist, all the requirements of §1090.55 apply to the external specialist. The auditor is responsible for overseeing the work of the specialist, consistent with applicable professional standards specified in §1090.1800.
      (4) In the case of quality control testing at a third-party laboratory, the auditor may perform a single attestation engagement on the third-party laboratory for multiple gasoline manufacturers if the auditor directly reviewed the information from the third-party laboratory.
      (b) Non-referee method review. For each test method used to measure a parameter for gasoline as specified in a report submitted under subpart J of this part that is not one of the referee methods listed in §1090.1360(d), the auditor must:
      (1) Obtain supporting documentation showing that the laboratory has qualified the test method by meeting the precision and accuracy criteria specified under §1090.1365.
      (2) Report in the attestation report a list of the alternative methods used.
      (3) Report as a finding in the attestation report any of these test methods that have not been qualified by the facility.
      (4) If an auditor has previously reviewed supporting documentation under this paragraph for an alternative method at the facility, the auditor does not have to review the supporting document again.
      (c) Reference installation review. For each reference installation used by the gasoline manufacturer during the compliance period, the auditor must review the following:
      (1) Obtain supporting documentation demonstrating that the reference installation followed the qualification procedures specified in §1090.1370(c)(1) and (2) and the quality control procedures specified in §1090.1370(c)(3).
      (2) Report as a finding in the attestation report any of the qualification procedures that were not completed by the facility.
      (d) Instrument control review. For each test instrument used to test gasoline parameters for batches selected as part of a representative sample under §1090.1810, the auditor must review whether test instruments were in control as follows:
      (1) Obtain statistical quality assurance data and control charts demonstrating ongoing quality testing to meet the accuracy and precision requirements specified in §1090.1375.
      (2) Report as a finding in the attestation report any instruments for which the facility failed to perform statistical qualtiy assurance monitoring under §1090.1375.
      (3) Report as a finding in the attestation report the instrument list obtained under paragraph (b)(1) of this section and the compliance period when the instrument control review was completed.
§1090.1850 Procedures related to in-line blending waivers.
      In addition to any other procedure required under this subpart, auditors must perform the procedures specified in this section for gasoline refiners that rely on an in-line blending waiver under §1090.1315.
      (a) Obtain a copy of the refiner's in-line blending waiver submission and EPA's approval letter.
      (b) Confirm that the refiner uses the in-line blending waiver only for qualified operations as specified in §1090.1315(a).
      (c) Confirm that the sampling procedures and composite calculations conform to specifications as specified in §1090.1315(b)(2).
      (d) Review the refiner's procedure for defining a batch for compliance purposes. Review available test data demonstrating that the test results from in-line blending correctly characterize the fuel parameters for the designated batch.
      (e) Confirm that the refiner corrected their operations because of previous audits, if applicable.
      (f) Confirm that the equipment and procedures are not materially changed from the refiner's in-line blending waiver. Report in the attestation report whether the refiner has failed to update their in-line blending waiver based on a material change in equipment or procedure.
      (g) Report in the attestation report whether the refiner has complied with all provisions related to their in-line blending waiver.


[Federal Register Volume 81, Number 146 (Friday, July 29, 2016)]
[Notices]
[Pages 50041-50042]
[FR Doc No: 2016-17908]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78405; File No. SR-BX-2016-04]

Self-Regulatory Organizations; NASDAQ BX, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Update Public
Disclosure of Exchange Usage of Market Data

July 25, 2016.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on July 12, 2016, NASDAQ BX, Inc. (``BX'' or ``Exchange'') filed with
the Securities and Exchange Commission (``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

    The Exchange proposes to update Exchange Rule 4759 and to amend the
public disclosure of the sources of data that the Exchange utilizes
when performing (1) order handling and execution; (2) order routing;
and (3) related compliance processes.
    The text of the proposed rule change is below. Proposed new
language is italicized.
* * * * *

4759. Data Feeds Utilized

    The BX System utilizes the below proprietary and network processor
feeds for the handling, routing, and execution of orders, as well as
for the regulatory compliance processes related to those functions. The
Secondary Source of data is, where applicable, utilized only in
emergency market conditions and only until those emergency conditions
are resolved.

------------------------------------------------------------------------
         Market center              Primary source      Secondary source
------------------------------------------------------------------------
A--NYSE MKT (AMEX)............  NYSE MKT OpenBook       CQS/UQDF.
                                 Ultra.
B--NASDAQ OMX BX..............  BX ITCH 5.0...........  CQS/UQDF.
C--NSX........................  CQS/UQDF..............  n/a.
D--FINRA ADF..................  CQS/UQDF..............  n/a.
J--DirectEdge A...............  BATS PITCH............  CQS/UQDF.
K--DirectEdge X...............  BATS PITCH............  CQS/UQDF.
M--CHX........................  CHX Book Feed.........  CQS/UQDF.
N--NYSE.......................  NYSE OpenBook Ultra...  CQS/UQDF.
P--NYSE Arca..................  NYSE ARCA XDP.........  CQS/UQDF.
T/Q--NASDAQ...................  ITCH 5.0..............  CQS/UQDF.
V--IEX........................  CQS/UQDF..............  n/a.
X--NASDAQ OMX PSX.............  PSX ITCH 5.0..........  CQS/UQDF.
Y--BATS Y-Exchange............  BATS PITCH............  CQS/UQDF.
Z--BATS Exchange..............  BATS PITCH............  CQS/UQDF.
------------------------------------------------------------------------

* * * * *
    The text of the proposed rule change is available on the Exchange's
Web site at http://nasdaqbx.cchwallstreet.com/, at the principal office
of the Exchange, and at the Commission's Public Reference Room.

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 Exchange 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 these 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 aspects of such
statements.

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

1. Purpose
    The Exchange proposes to update and amend the table in Exchange
Rule 4759 that sets forth on a market-by-market basis the specific
network processor and proprietary data feeds that the Exchange utilizes
for the handling, routing, and execution of orders, and for performing
the regulatory compliance checks related to each of those functions.
    Specifically, the table will be amended to include Investors'
Exchange LLC (``IEX''), which has informed the UTP Securities
Information Processor (``UTP SIP'') that it is projecting to activate
its status as an operating participant for quotation and trading of
Nasdaq-listed securities under the Unlisted Trading Privileges
(``UTP'') Plan on or about August 1, 2016. The primary source will be
CQS/UQDF and there is no secondary source provided.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent
with the provisions of Section 6 of the Act,\3\ in general and with
Sections [sic] 6(b)(5) of the Act,\4\ 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 regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, 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.
---------------------------------------------------------------------------

    \3\ 15 U.S.C. 78f.
    \4\ 15 U.S.C. 78f(b)(5).

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

    The Exchange believes that its proposal to update the table in
Exchange Rule 4759 to include IEX will ensure that Exchange Rule 4759
correctly identifies and publicly states on a market-by-market basis
all of the specific network processor and proprietary data feeds that
the Exchange utilizes for the handling, routing, and execution of
orders, and for performing the regulatory compliance checks related to
each of those functions. Also, the proposed rule change removes
impediments to and perfects the mechanism of a free and open market and
protects investors and the public interest because it provides
additional specificity, clarity and transparency.

B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will
result in any burden on competition that is not necessary or
appropriate in furtherance of the purposes of the Act, as amended. To
the contrary, the Exchange believes the proposal would enhance
competition because including all of the exchanges and the correct
information for the exchanges enhances transparency and enables
investors to better assess the quality of the Exchange's execution and
routing services.

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

    No written comments were either solicited or received.

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

    Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A) \5\ of the Act and Rule 19b-
4(f)(6) thereunder.\6\
---------------------------------------------------------------------------

    \5\ 15 U.S.C. 78s(b)(3)(A).
    \6\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change, along
with a brief description and the text of the proposed rule change,
at least five business days prior to the date of filing of the
proposed rule change, or such shorter time as designated by the
Commission. The Exchange has satisfied this requirement.
---------------------------------------------------------------------------

    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the
Act \7\ normally does not become operative for 30 days after the date
of its filing. However, Rule 19b-4(f)(6)(iii) \8\ permits the
Commission to designate a shorter time if such action is consistent
with the protection of investors and the public interest. The Exchange
has asked the Commission to waive the 30-day operative delay so that
the proposal may become operative immediately upon filing. The Exchange
states that waiver of the 30-day operative delay would permit the
Exchange to immediately enhance transparency and to accommodate the
projected date that IEX will activate its status as an operating
participant for quotation and trading of Nasdaq-listed securities under
the UTP Plan. Based on the foregoing, the Commission believes the
waiver of the operative delay is consistent with the protection of
investors and the public interest. Therefore, the Commission hereby
waives the operative delay and designates the proposal operative upon
filing.\9\
---------------------------------------------------------------------------

    \7\ 17 CFR 240.19b-4(f)(6).
    \8\ 17 CFR 240.19b-4(f)(6)(iii).
    \9\ For purposes only of waiving the 30-day operative delay, the
Commission has also considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is: (i)
Necessary or appropriate in the public interest; (ii) for the
protection of investors; or (iii) otherwise in furtherance of the
purposes of the Act. If the Commission takes such action, the
Commission shall institute proceedings to determine whether the
proposed rule should be approved or 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 email to<EMAIL_ADDRESS>Please include
File Number SR-BX-2016-044 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-BX-2016-044. This file
number should be included on the subject line if email 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
10:00 a.m. and 3:00 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-BX-2016-044, and should be
submitted on or before August 19, 2016.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\10\
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    \10\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-17908 Filed 7-28-16; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register: March 13, 2008 (Volume 73, Number 50)]
[Notices]
[Page 13537-13538]
[DOCID:fr13mr08-49]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. CP05-357-008]

Cheniere Creole Trail Pipeline, L.P.; Notice of Application

March 6, 2008.
    Take notice that on February 26, 2008, Cheniere Creole Trail
Pipeline, L.P. (Cheniere), 700 Milam Street, Suite 800, Houston, Texas
77002, filed in the above-referenced docket an abbreviated application
pursuant to section 7(c) of the Natural Gas Act (NGA) and part 157 of
the regulations of the Commission, to amend its certificate authority
issued on June 15, 2006 in Docket No. CP05-357-000 et al., as amended,
in order to revise the initial transportation rates for Cheniere's Zone
1 facilities.
    Any person desiring to intervene or to protest this filing must
file in accordance with Rules 211 and 214 of the Commission's Rules of
Practice and Procedure (18 CFR 385.211 and 385.214). Protests will be
considered by the Commission in determining the appropriate action to
be taken, but will not serve to make protestants parties to the
proceeding. Any person wishing to become a party must file a notice of
intervention or motion to intervene, as appropriate. Such notices,
motions, or protests must be filed on or before the

comment date. Anyone filing an intervention or protest must serve a
copy of that document on the Applicant. On or before the comment date,
it is not necessary to serve motions to intervene or protests on
persons other than the Applicant.
    The Commission encourages electronic submission of protests and
interventions in lieu of paper using the ``eFiling'' link at http://
www.ferc.gov. Persons unable to file electronically should submit an
original and 14 copies of the protest or intervention to the Federal
Energy Regulatory Commission, 888 First Street, NE., Washington, DC
20426.
    This filing is accessible on-line at http://www.ferc.gov, using the
``eLibrary'' link and is available for review in the Commission's
Public Reference Room in Washington, DC. There is an ``eSubscription''
link on the Web site that enables subscribers to receive e-mail
notification when a document is added to a subscribed docket(s). For
assistance with any FERC Online service, please e-mail
<EMAIL_ADDRESS>or call<PHONE_NUMBER> (toll-free). For
TTY, call<PHONE_NUMBER>.
    Comment Date: March 17, 2008.

Kimberly D. Bose,
Secretary.
 [FR Doc. E8-5032 Filed 3-12-08; 8:45 am]

BILLING CODE 6717-01-P