[Federal Register: March 21, 2007 (Volume 72, Number 54)]
[Notices]
[Page 13333-13337]
[DOCID:fr21mr07-106]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-55453; File No. SR-NYSEArca-2006-62]

Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Order Granting Accelerated Approval of a Proposed Rule Change as
Modified by Amendment Nos. 1 and 2 Thereto To Trade Shares of the
PowerShares DB Energy Fund, the PowerShares DB Oil Fund, the
PowerShares DB Precious Metals Fund, the PowerShares DB Gold Fund, the
PowerShares DB Silver Fund, the PowerShares DB Base Metals Fund, and
the PowerShares DB Agriculture Fund Pursuant to Unlisted Trading
Privileges

March 13, 2007.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of
1934, as amended, (``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is
hereby given that on October 19, 2006, NYSE Arca, Inc. (``NYSE Arca''
or ``Exchange''), through its wholly owned subsidiary NYSE Arca
Equities, Inc. (``NYSE Arca Equities'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change as
described in Items I and II below, which Items have been substantially
prepared by the Exchange. On October 31, 2006, the Exchange filed
Amendment No. 1 to the proposed rule change. The Exchange filed
Amendment No. 2 to the proposed rule change on February 16, 2007. The
Commission is publishing this notice to solicit comments on the
proposed rule change, as amended, from interested persons. This order
provides notice of the proposed rule change as modified by Amendment
Nos. 1 and 2 and approves the proposed rule change as amended on an
accelerated basis.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange is proposing to trade shares (``Shares'') of the
PowerShares DB Energy Fund, the PowerShares DB Oil Fund, the
PowerShares DB Precious Metals Fund, the PowerShares DB Gold Fund, the
PowerShares DB Silver Fund, the PowerShares DB Base Metals Fund, and
the PowerShares DB Agriculture Fund (collectively the ``Funds'')
pursuant to unlisted trading privileges (``UTP'') under Commentary .02
to NYSE Arca Equities Rule 8.200. The text of the proposed rule change
is available at the Exchange, the Commission's Public Reference Room,
and http://nysearca.com.

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 III 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
Statutory Basis for, the Proposed Rule Change

1. Purpose
    Pursuant to Commentary .02 to NYSE Arca Equities Rule 8.200, the
Exchange may approve for listing and trading trust issued receipts
(``TIRs'') investing in shares or securities (``Investment Shares'')
that hold investments in any combination of futures contracts, options
on futures contracts, forward contracts, commodities, swaps or high
credit quality short-term fixed income securities or other
securities.\3\ The Commission previously approved a proposal to list
and trade the Shares of the Funds by the American Stock Exchange LLC
(the ``Amex'').\4\
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    \3\ In April 2006, the Commission approved Commentary .02 to
NYSE Arca Equities Rule 8.200, which sets forth the rules related to
listing and trading criteria for Investment Shares, and approved
trading pursuant to UTP the shares of the DB Commodity Index
Tracking Fund. See Securities Exchange Act Release No. 53736 (April
27, 2006), 71 FR 26582 (May 5, 2006) (SR-PCX-2006-22). In addition,
the Commission recently approved trading pursuant to UTP the shares
of the PowerShares DB G10 Harvest Fund pursuant to Commentary .02 to
NYSE Arca Equities Rule 8.200. See Securities Exchange Act Release
No. 34-54569 (October 4, 2006), 71 FR 60594 (October 13, 2006) (SR-
NYSEArca-2006-64).
    \4\ See Securities Exchange Act Release No. 55029 (December 29,
2006), 72 FR 806 (January 8, 2007) (SR-Amex-2006-76) (the ``Amex
Order'').
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    The Exchange proposes to trade pursuant to UTP the Shares of each
of the Funds pursuant to Commentary .02 to NYSE Arca Equities Rule
8.200. The Shares represent beneficial ownership interests in the
corresponding Fund's net assets, consisting solely of the common units
of beneficial interests of the DB Energy Master Fund, the DB Oil Master
Fund, the DB Precious Metals Master Fund, the DB Gold Master Fund, the
DB Silver Master Fund, the DB Base Metals Master Fund and the DB
Agriculture Master Fund, respectively (collectively, the ``Master
Funds'').
    DB Multi-Sector Commodity Master Trust (the ``Master Trust'') is
organized as a Delaware statutory trust with each of the Master Funds
representing a series of the Master Trust. The Master Funds will hold
primarily \5\ futures contracts \6\ on the commodities comprising the
Deutsche Bank Liquid Commodity Index--Optimum Yield Energy Excess
ReturnTM, Deutsche Bank Liquid Commodity Index--Optimum
Yield Crude Oil Excess ReturnTM, Deutsche Bank Liquid
Commodity Index--Optimum Yield Precious Metals Excess
ReturnTM, Deutsche Bank Liquid Commodity Index--Optimum
Yield Gold Excess ReturnTM, Deutsche Bank Liquid Commodity
Index--Optimum Yield Silver Excess ReturnTM, Deutsche Bank
Liquid Commodity Index Optimum Yield Industrial Metals Excess
ReturnTM, and Deutsche Bank Liquid Commodity Index--Optimum
Yield Agriculture Excess ReturnTM (collectively, the
``Indexes''), as the case may be. The sponsor of the Indexes is
Deutsche Bank AG London (the ``Index Sponsor''). Each of the Funds and
each of the Master Funds are commodity pools operated by DB Commodity
Services LLC (the ``Managing Owner'').\7\
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    \5\ Other holdings of the Master Fund will include cash and U.S.
Treasury securities for deposit with futures commission merchants as
margin and other high credit quality short-term fixed income
securities.
    \6\ Following is a list of futures contracts and other commodity
interests in which the respective Master Fund may invest and the
exchanges on which they trade: Energy Index--sweet light crude
(NYMEX), heating oil (NYMEX), brent crude oil (ICE Futures), RBOB
gasoline (NYMEX), natural gas (NYMEX); Oil Index--sweet light crude
(NYMEX); Precious Metals Index--gold (COMEX), silver (COMEX); Gold
Index--gold (COMEX); Silver Index--silver (COMEX); Base Metals
Index--aluminum (LME), zinc (LME), copper-grade A (LME); Agriculture
Index--corn (CBOT), wheat (CBOT), soybeans (CBOT), sugar (NYBOT).
    \7\ The Managing Owner is registered as a commodity pool
operator (the ``CPO'') and commodity trading advisor (the ``CTA'')
with the Commodity Futures Trading Commission (``CFTC'') and is a
member of the National Futures Association (``NFA''). The Managing
Owner will serve as the CPO and CTA of each of the Funds and each of
the Master Funds.
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The Shares
    The Exchange submits that Commentary .02 to NYSE Arca Equities Rule
8.200 accommodates the listing and trading of the Shares. The Exchange
deems the Shares to be equity securities, thus rendering trading in the
Shares subject to the Exchange's existing rules governing the trading
of equity securities. The Shares will trade on the NYSE Arca
Marketplace from 9:30 a.m. until 4:15 p.m. Eastern Time (``ET''),
except that shares of the PowerShares

DB Base Metals Fund will also trade from 4:15 p.m. until 8 p.m. ET,
even if the Indicative Fund Value (``IFV''), as discussed below, is not
disseminated from 4:15 p.m. until 8 p.m. ET.\8\ The Exchange has
appropriate rules to facilitate transactions in the Shares during these
trading sessions.
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    \8\ Because the LME is closed for floor and electronic trading
during the Exchange's late trading session (from 4:15 p.m. until 8
p.m. ET), an updated IFV for the PowerShares DB Base Metals Fund is
not possible to calculate during such session. The Exchange may rely
on the listing market to monitor dissemination of the IFV during the
Exchange's core trading session (9:30 a.m. to 4:15 p.m. ET).
Currently the Index Sponsor for the PowerShares DB Base Metals
Fund's index does not calculate updated index values during the
Exchange's late trading session; however, if the Index Sponsor did
so in the future, the Exchange will not trade shares of the
PowerShares DB Base Metals Fund unless such official index value is
widely disseminated.
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    Like other exchange traded fund products, each of the Funds will
issue and redeem its Shares on a continuous basis at a price equal to
the NAV per share next determined after an order is received in proper
form. Also, each of the Funds will issue and redeem its Shares only in
aggregations of 200,000 shares (``Basket Aggregations'') and only
through qualified market participants that have entered into agreements
with the Managing Owner (each, an ``Authorized Participant'').
Additional information about the creation and redemption process is
included in the Amex Order.\9\ In summary, to create Shares, an
Authorized Participant must properly place a creation order and deliver
the specified ``cash deposit amount'' \10\ and applicable transaction
fee to the Fund Administrator (``The Bank of New York''). The Fund
Administrator will issue to the Authorized Participant the appropriate
number of Basket Aggregations. To redeem Shares, an Authorized
Participant must properly place a redemption order and deliver Shares
that in the aggregate constitute one or more Basket Aggregations, plus
any applicable transaction fee. The Fund Administrator will deliver the
appropriate ``cash redemption amount'' \11\ for each Basket Aggregation
that an Authorized Participant redeems.
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    \9\ See Amex Order, supra note 4.
    \10\ The ``cash deposit amount'' equals the NAV per Share of the
applicable Fund times 200,000 (i.e., NAV per Basket Aggregation).
    \11\ The ``cash redemption amount'' equals the NAV per Basket
Aggregation.
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    On each business day, the Administrator will make available
immediately prior to the opening of trading on Amex, through the
facilities of the Consolidated Tape Association (``CTA''), the Basket
Amount for the creation of a Basket. According to the Amex Order, the
Amex will disseminate every 15 seconds throughout the trading day, via
the facilities of the CTA, an amount representing on a per Share basis,
the current values of the Basket Amounts for each of the Funds.
    After 4 p.m. ET each business day, the Administrator will determine
the NAV for each of the Funds, utilizing the current settlement value
of the particular commodity futures contracts. The calculation
methodology for the NAV is described in more detail in the Amex Order.
    After 4 p.m. ET each business day, the Administrator, Amex and
Managing Owner will disseminate the NAVs for the Shares and the Basket
Amounts (for orders placed during the day). The Basket Amounts and the
NAVs are communicated by the Administrator to all Authorized
Participants via facsimile or electronic mail message and the NAV will
be available on the Funds' Web site at http://www.dbfunds.db.com.

Availability of Information About the Indexes, the Underlying Futures
Contracts and the Shares
    Quotations for and last sale information regarding the Shares are
disseminated through the Consolidated Tape System (``CTS''). The Index
Sponsor will publish the value of each of the Indexes at least once
every fifteen (15) seconds throughout each trading day on the CTA,
Bloomberg, Reuters, and on the Fund's Web site at http://www.dbfunds.db.com.
 The closing Index levels will similarly be provided

by the Index Sponsor. In addition, any adjustments or changes to the
Indexes will also be provided by the Index Sponsor and Amex on their
respective Web sites.
    The Web site for the Fund (http://www.dbfunds.db.com), which is

publicly accessible at no charge, will contain the following
information: (a) The current NAV per share daily and the prior business
day's NAV and the reported closing price; (b) the mid-point of the bid-
ask price in relation to the NAV as of the time the NAV is calculated
(the ``Bid-Ask Price''); \12\ (c) the calculation of the premium or
discount of such price against such NAV; (d) data in chart form
displaying the frequency distribution of discounts and premiums of the
Bid-Ask Price against the NAV, within appropriate ranges for each of
the four (4) previous calendar quarters; (e) the prospectus; and (f)
other applicable quantitative information.
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    \12\ The Bid-Ask Price of Shares is determined using the highest
bid and lowest offer as of the time of calculation of the NAV.
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    As described above, the respective NAVs for the Funds will be
calculated and disseminated daily to all market participants at the
same time. According to the Amex Order, the Amex also intends to
disseminate for each of the Funds on a daily basis by means of CTA/CTS
High Speed Lines information with respect to the corresponding IFV (as
discussed below), recent NAV and shares outstanding. The Amex will also
make available on its Web site daily trading volume of the Shares of
each of the Funds, closing prices of such Shares, and the corresponding
NAV. The closing price and settlement prices of the futures contracts
comprising the Indexes and held by the corresponding Master Funds are
also readily available from the relevant futures exchanges, automated
quotation systems, published or other public sources, or on-line
information services such as Bloomberg or Reuters.
    Amex has represented that it will disseminate through the
facilities of the CTA an updated IFV for each of the Funds. The
respective IFVs will be disseminated on a per Share basis at least
every 15 seconds from 9:30 a.m. to 4:15 p.m. ET, according to the Amex
Order. The IFVs will be calculated based on the cash required for
creations and redemptions for the respective Funds adjusted to reflect
the price changes of the corresponding Index commodities through
investments held by the Master Funds, i.e., futures contracts.
    The IFVs will not reflect price changes to the price of an
underlying commodity between the close of trading of the futures
contract at the relevant futures exchange and 4:15 p.m. ET. While the
Shares will trade on the NYSE Arca Marketplace from 9:30 a.m. to 4:15
p.m. ET (the shares of the PowerShares DB Base Metals Fund, however,
will trade until 8 p.m. ET), regular trading hours for each of the
Index commodities on the various futures exchanges vary widely, as set
forth in detail in the Amex Order. Therefore, the value of a Share may
be influenced by non-concurrent trading hours between the NYSE Arca
Marketplace and the various futures exchanges on which the futures
contracts based on the Index commodities are traded.
UTP Trading Criteria
    The Exchange represents that it will cease trading the Shares of a
Fund if: (a) The listing market stops trading the Shares because of a
regulatory halt similar to a halt based on NYSE Arca

Equities Rule 7.12 or a halt because the IFV or the value of the Index
is no longer available at least every 15 seconds; or (b) the listing
market delists the Shares. Additionally, the Exchange may cease trading
the Shares if such other event shall occur or condition exists which in
the opinion of the Exchange makes further dealings on the Exchange
inadvisable. UTP trading in the Shares is also governed by the trading
halts provisions of NYSE ARCA Equities Rule 7.34 relating to temporary
interruptions in the calculation or wide dissemination of the Intraday
Indicative Value (which would encompass the IFV) or the value of the
underlying index.
Trading Rules
    The Exchange deems the Shares to be equity securities, thus
rendering trading in the Shares subject to the Exchange's existing
rules governing the trading of equity securities. Shares will trade on
the NYSE Arca Marketplace from 9:30 a.m. until 4:15 p.m. ET, except
that shares of the PowerShares DB Base Metals Fund will also trade from
4:15 p.m. until 8 p.m. ET. The Exchange has appropriate rules to
facilitate transactions in the Shares during core and evening trading
sessions.\13\
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    \13\ Telephone conversation between Tim Malinowski, Director,
NYSE, and Ronesha A. Butler, Special Counsel, Division of Market
Regulation (``Division''), Commission, on March 6, 2007.
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    The trading of the Shares will be subject to Commentary .02(e)(1)-
(4) to NYSE Arca Equities Rule 8.200, which sets forth certain
restrictions on ETP Holders acting as registered Market Makers in TIRs
that invest in Investment Shares to facilitate surveillance. See
``Surveillance'' below for more information.
    With respect to trading halts, the Exchange may consider all
relevant factors in exercising its discretion to halt or suspend
trading in the Shares. Trading may be halted because of market
conditions or for reasons that, in the view of the Exchange, make
trading in the Shares inadvisable. These may include: (1) The extent to
which trading is not occurring in the underlying futures contracts, or
(2) whether other unusual conditions or circumstances detrimental to
the maintenance of a fair and orderly market are present. In addition,
trading in Shares will be subject to trading halts caused by
extraordinary market volatility pursuant to the Exchange's ``circuit
breaker'' rule \14\ or by the halt or suspension of trading of the
underlying futures contracts. See ``UTP Trading Criteria'' above for
specific instances when the Exchange will cease trading the Shares.\15\
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    \14\ See NYSE Arca Equities Rule 7.12.
    \15\ Pursuant to a telephone conversation between Tim
Malinowski, Director, NYSE and Ronesha A. Butler, Special Counsel,
Division, Commission, on March 13, 2007, a paragraph contained in
this section was deleted to eliminate the reference to the ITS Plan.
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    The Shares will not be subject to the short sale rule pursuant to a
letter issued in response to a request for no-action advice under Rule
10a-1 under the Act.\16\
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    \16\ See Letter to George T. Simon, Esq., Foley & Lardner LLP,
from Racquel L. Russell, Branch Chief, Office of Trading Practices
and Processing, Commission, dated June 21, 2006.
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Surveillance
    The Exchange intends to utilize its existing surveillance
procedures applicable to derivative products to monitor trading in the
Shares. The Exchange represents that these procedures are adequate to
properly monitor Exchange trading of the Shares and to deter and detect
violations of Exchange rules.
    The Exchange's current trading surveillance focuses on detecting
securities trading outside their normal patterns. When such situations
are detected, surveillance analysis follows and investigations are
opened, where appropriate, to review the behavior of all relevant
parties for all relevant trading violations.
    Further, trading in the Shares will be subject to Commentary
.02(e)(1)-(4) to NYSE Arca Equities Rule 8.200, which sets forth
certain restrictions on ETP Holders acting as registered Market Makers
in TIRs that invest in Investment Shares to facilitate surveillance.
Commentary .02(e)(1) to NYSE Arca Equities Rule 8.200 requires that the
ETP Holder acting as a registered Market Maker in the Shares provide
the Exchange with information relating to its trading in the underlying
physical asset or commodity, related futures or options on futures, or
any other related derivatives. Commentary .02(e)(4) to NYSE Arca
Equities Rule 8.200 prohibits the ETP Holder acting as a registered
Market Maker in the Shares from using any material nonpublic
information received from any person associated with an ETP Holder or
employee of such person regarding trading by such person or employee in
the underlying physical asset or commodity, related futures or options
on futures or any other related derivative (including the Shares). In
addition, Commentary .02(e)(1) to NYSE Arca Equities Rule 8.200
prohibits the ETP Holder acting as a registered Market Maker in the
Shares from being affiliated with a market maker in the underlying
physical asset or commodity, related futures or options on futures or
any other related derivative unless adequate information barriers are
in place, as provided in NYSE Arca Equities Rule 7.26. Commentary
.02(e)(2)-(3) to NYSE Arca Equities Rule 8.200 requires that Market
Makers handling the Shares provide the Exchange with all the necessary
information relating to their trading in the underlying physical assets
or commodities, related futures contracts and options thereon or any
other derivative.
    The Exchange currently has in place an Information Sharing
Agreement with the Intercontinental Exchange, Inc. (ICE), Futures,
London Metals Exchange (LME) and New York Mercantile Exchange (NYMEX),
for the purpose of providing information in connection with trading in
or related to futures contracts traded on their respective exchanges
comprising the Indexes. The Exchange may obtain information via the
Intermarket Surveillance Group (``ISG'') from other exchanges who are
members or affiliates of the ISG, including Chicago Board of Trade
(CBOT) and Board of Trade of the City of New York (NYBOT).\17\
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    \17\ For a list of the current members and affiliate members of
ISG, see http://www.isgportal.com.

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Information Bulletin
    Prior to the commencement of trading, the Exchange will inform its
ETP Holders in an Information Bulletin of the special characteristics
and risks associated with trading the Shares. Specifically, the
Information Bulletin will discuss the following: (1) The procedures for
purchases and redemptions of Shares in Baskets (and that Shares are not
individually redeemable); (2) NYSE Arca Equities Rule 9.2(a),\18\ which
imposes a duty of due diligence on its ETP Holders to learn the
essential facts relating to every customer prior to trading the Shares;
(3) how information regarding the IFVs is disseminated; (4) the
requirement that

ETP Holders deliver a prospectus to investors purchasing newly issued
Shares prior to or concurrently with the confirmation of a transaction;
and (5) trading information.
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    \18\ NYSE Arca Equities Rule 9.2(a) (``Diligence as to
Accounts'') provides that ETP Holders, before recommending a
transaction, must have reasonable grounds to believe that the
recommendation is suitable for the customer based on any facts
disclosed by the customer as to his other security holdings and as
to his financial situation and needs. Further, the proposed rule
amendment provides, with a limited exception, that prior to the
execution of a transaction recommended to a non-institutional
customer, the ETP Holders shall make reasonable efforts to obtain
information concerning the customer's financial status, tax status,
investment objectives, and any other information that they believe
would be useful to make a recommendation. See Securities Exchange
Act Release No. 54045 (June 26, 2006), 71 FR 37971 (July 3, 2006)
(SR-PCX-2005-115).
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    In addition, the Information Bulletin will advise ETP Holders,
prior to the commencement of trading, of the prospectus delivery
requirements applicable to the Funds. The Exchange notes that investors
purchasing Shares directly from a Fund (by delivery of the
corresponding Cash Deposit Amount) will receive a prospectus. ETP
Holders purchasing Shares from a Fund for resale to investors will
deliver a prospectus to such investors. The Information Bulletin will
also discuss any exemptive, no-action and interpretive relief granted
by the Commission from any rules under the Act.
    In addition, the Information Bulletin will reference that the Funds
are subject to various fees and expenses described in the Registration
Statement. The Information Bulletin will also reference that the CFTC
has regulatory jurisdiction over the trading of futures contracts.
    The Information Bulletin will also disclose the trading hours of
the Shares of the Funds and that the NAV for the Shares will be
calculated after 4 p.m. ET each trading day. The Bulletin will disclose
that information about the Shares of each Fund and the corresponding
Indexes will be publicly available on the Funds' Web site.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b) \19\ of
the Act, in general, and furthers the objectives of Section 6(b)(5)
\20\ in particular in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in facilitating transactions in securities, and to
remove impediments to and perfect the mechanisms of a free and open
market and a national market system.
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    \19\ 15 U.S.C. 78f(b).
    \20\ 15 U.S.C. 78f(b)(5).
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    In addition, the proposed rule change is consistent with Rule 12f-5
\21\ under the Act because it deems the Shares to be equity securities,
thus rendering the Shares subject to the Exchange's rules governing the
trading of equity securities.
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    \21\ 17 CFR 240.12f-5.
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B. Self-Regulatory Organization's Statement on Burden on Competition

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

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

    The Exchange has neither solicited nor received written comments on
the proposed rule change.

III. 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 Exchange Act. Comments may be submitted
by any of the following methods:

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml.
); or     Send an e-mail to<EMAIL_ADDRESS>Please include

File Number SR-NYSEArca-2006-62 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-NYSEArca-2006-62.
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 offices 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-NYSEArca-2006-62 and should be submitted on or before
April 11, 2007.

IV. Commission's Findings and Order Granting Accelerated Approval of
the Proposed Rule Change

    The Commission finds that the proposed rule change is consistent
with the requirements of the Act and the rules and regulations
thereunder applicable to a national securities exchange.\22\ In
particular, the Commission finds that the proposed rule change is
consistent with Section 6(b)(5) of the Act,\23\ which requires that an
exchange have rules designed, among other things, 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.
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    \22\ In approving this 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).
    \23\ 15 U.S.C. 78f(b)(5).
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    In addition, the Commission finds that the proposal is consistent
with Section 12(f) of the Act,\24\ which permits an exchange to trade,
pursuant to UTP, a security that is listed and registered on another
exchange.\25\ The Commission notes that it previously approved the
listing and trading of the Shares on the Amex.\26\ The Commission also
finds that the proposal is consistent with Rule 12f-5 under the
Act,\27\ which provides that an exchange shall not extend UTP to a
security unless the exchange has in effect a rule or rules providing
for transactions in the class or type of security to which the exchange
extends UTP. The Exchange has represented that it meets this
requirement because it deems the Shares to be equity securities, thus
trading in the Shares will be subject to the Exchange's existing rules
governing the trading of equity securities.
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    \24\ 15 U.S.C. 78l(f).
    \25\ Section 12(a) of the Act, 15 U.S.C. 78l(a), generally
prohibits a broker-dealer from trading a security on a national
securities exchange unless the security is registered on that
exchange pursuant to Section 12 of the Act. Section 12(f) of the Act
excludes from this restriction trading in any security to which an
exchange ``extends UTP.'' When an exchange extends UTP to a
security, it allows its members to trade the security as if it were
listed and registered on the exchange even though it is not so
listed and registered.
    \26\ See Amex Order, supra note 4.
    \27\ 17 CFR 240.12f-5.

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    The Commission further believes that the proposal is consistent
with Section 11A(a)(1)(C)(iii) of the Act,\28\ which sets forth
Congress' finding that it is in the public interest and appropriate for
the protection of investors and the maintenance of fair and orderly
markets to assure the availability to brokers, dealers, and investors
of information with respect to quotations for and transactions in
securities.
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    \28\ 15 U.S.C. 78k-1(a)(1)(C)(iii).
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    Finally, the Commission notes that, if the Shares should be
delisted by the Amex, the original listing exchange, the Exchange would
no longer have authority to trade the Shares pursuant to this order.
    In support of this proposal, the Exchange has made the following
representations:
    1. The Exchange has appropriate rules to facilitate transactions in
this type of security in the core and evening trading sessions.
    2. The Exchange's surveillance procedures are adequate to properly
monitor the trading of the Shares on the Exchange. In particular, the
Exchange has in place an Information Sharing Agreement with ICE, LME,
and NYMEX, for the purpose of providing information in connection with
trading in or related to futures contracts traded on their respective
exchanges comprising the Indexes. Further, the Exchange is a member of
the ISG. In addition, to facilitate surveillance, the Exchange
represents that trading in the Shares will be subject to Commentary
.02(e)(1)-(4) to NYSE Arca Equities Rule 8.200.
    3. The Exchange will inform its ETP Holders in an Information
Bulletin of the special characteristics and risks associated with
trading the Shares.
    4. The Exchange will require its ETP Holders to deliver a
prospectus to investors purchasing newly issued Shares prior to or
concurrently with the confirmation of a transaction and will note this
prospectus delivery requirement in the Information Bulletin.
    5. The Exchange will cease trading the Shares of a Fund if: (a) The
listing market stops trading the Shares because of a regulatory halt
similar to a halt based on NYSE Arca Equities Rule 7.12 or a halt
because the IFV or the value of the applicable Underlying Index is no
longer available at least every 15 seconds; or (b) the listing market
delists the Shares.
    6. The Exchange will halt trading as provided in NYSE Arca Equities
Rule 7.34.
    This approval order is conditioned on the Exchange's adherence to
these representations.
    The Commission finds good cause for approving this proposal before
the thirtieth day after the publication of notice thereof in the
Federal Register. As noted previously, the Commission previously found
that the listing and trading of the Shares on the Amex is consistent
with the Act.\29\ The Commission presently is not aware of any
regulatory issue that should cause it to revisit that earlier finding
or preclude the trading of the Shares on the Exchange pursuant to UTP.
Therefore, accelerating approval of this proposal should benefit
investors by creating, without undue delay, additional competition in
the market for the Shares.
---------------------------------------------------------------------------

    \29\ See Amex Order, supra note 4.
---------------------------------------------------------------------------

V. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\30\ that the proposed rule change (SR-NYSEArca-2006-62), as
modified by Amendment Nos. 1 and 2, be, and it hereby is, approved on
an accelerated basis.
---------------------------------------------------------------------------

    \30\ 15 U.S.C. 78s(b)(2).
    \31\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\31\
Florence E. Harmon,
Deputy Secretary.
[FR Doc. E7-5085 Filed 3-20-07; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 78, Number 132 (Wednesday, July 10, 2013)]
[Notices]
[Pages 41390-41391]
[FR Doc No: 2013-16496]

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

DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Project No. 14327-000]

Pershing County Water Conservation District; Notice of
Application Tendered for Filing with the Commission and Soliciting
Additional Study Requests

    Take notice that the following hydroelectric application has been
filed with the Commission and is available for public inspection.
    a. Type of Application: Minor Original License.
    b. Project No.: 14327-000.
    c. Date filed: June 26, 2013.
    d. Applicant: Pershing County Water Conservation District.
    e. Name of Project: Humboldt River Hydro Power Project.
    f. Location: At the existing U.S. Bureau of Reclamation's
(Reclamation) Rye Patch dam on the Humboldt River, nearby the Town of
Lovelock, Pershing County, Nevada. The project would occupy 0.25 acre
of Reclamation lands.
    g. Filed Pursuant to: Federal Power Act, 16 U.S.C. 791 (a)--825(r).
    h. Applicant Contact: Mr. Greg Lyman, P.E., Farr West Engineering,
5442 Longley Lane, Suite B, Reno, NV 89511;<PHONE_NUMBER>.
    i. FERC Contact: Adam Beeco at<PHONE_NUMBER>; email_
<EMAIL_ADDRESS>    j. Cooperating agencies: Federal, state, local, and tribal agencies
with jurisdiction and/or special expertise with respect to
environmental issues that wish to cooperate in the preparation of the
environmental

document should follow the instructions for filing such requests
described in item l below. Cooperating agencies should note the
Commission's policy that agencies that cooperate in the preparation of
the environmental document cannot also intervene. See, 94 FERC ] 61,076
(2001).
    k. Pursuant to Sec.  4.32(b)(7) of 18 CFR of the Commission's
regulations, if any resource agency, Indian Tribe, or person believes
that an additional scientific study should be conducted in order to
form an adequate factual basis for a complete analysis of the
application on its merit, the resource agency, Indian Tribe, or person
must file a request for a study with the Commission not later than 60
days from the date of filing of the application, and serve a copy of
the request on the applicant.
    l. Deadline for filing additional study requests and requests for
cooperating agency status: August 26, 2013.
    All documents may be filed electronically via the Internet. See 18
CFR 385.2001(a)(1)(iii) and the instructions on the Commission's Web
site http://www.ferc.gov/docs-filing/efiling.asp. Commenters can submit
brief comments up to 6,000 characters, without prior registration,
using the eComment system at http://www.ferc.gov/docs-filing/ecomment.asp. You must include your name and contact information at the
end of your comments. For assistance, please contact FERC Online
Support at<EMAIL_ADDRESS>or toll free at 1-866-208-3676,
or for TTY,<PHONE_NUMBER>. Although the Commission strongly encourages
electronic filing, documents may also be paper-filed. To paper-file,
mail an original and five copies to: Kimberly D. Bose, Secretary,
Federal Energy Regulatory Commission, 888 First Street NE., Washington,
DC 20426.
    m. The application is not ready for environmental analysis at this
time.
    n. The proposed project would utilize the existing Reclamation's
Rye Patch dam, gates, and penstocks. The hydropower development would
include: (1) 16-foot by 16-foot powerhouse; (2) a single Kaplan
turbine-generator at the end of one of the existing 48-inch-diameter
steel penstocks with an installed capacity of 750 kilowatts; (3) a new
13.4-kilovolt transmission line; and (4) appurtenant facilities. The
average annual generation is estimated to be 2.9 gigawatt-hours.
    o. A copy of the application is available for review at the
Commission in the Public Reference Room or may be viewed on the
Commission's Web site at http://www.ferc.gov using the ``eLibrary''
link. Enter the docket number excluding the last three digits in the
docket number field to access the document. For assistance, contact
FERC Online Support. A copy is also available for inspection and
reproduction at the address in item h above.
    You may also register online at http://www.ferc.gov/docs-filing/esubscription.asp to be notified via email of new filings and issuances
related to this or other pending projects. For assistance, contact FERC
Online Support.
    p. With this notice, we are initiating consultation with the Nevada
State Historic Preservation Officer (SHPO), as required by section 106
of the National Historic Preservation Act and the regulations of the
Advisory Council on Historic Preservation, 36 CFR 800.4.
    q. Procedural schedule and final amendments: The application will
be processed according to the following Hydro Licensing Schedule.
Revisions to the schedule will be made as appropriate.

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

------------------------------------------------------------------------
Issue Acceptance or Deficiency Letter  September 2013.
Request Additional Information.......  September 2013.
Issue Acceptance Letter..............  December 2013.
Issue Scoping Document 1 for Comments  January 2014.
Request Additional Information (if     March 2014.
 necessary).
Issue Scoping Document 2 (if           April 2014.
 necessary).
Notice that application is ready for   April 2014.
 environmental analysis.
Notice of the availability of the EA.  October 2014.
------------------------------------------------------------------------

    Final amendments to the application must be filed with the
Commission no later than 30 days from the issuance date of the notice
of ready for environmental analysis.

    Dated: July 2, 2013.
Kimberly D. Bose,
Secretary.
[FR Doc. 2013-16496 Filed 7-9-13; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 84, Number 191 (Wednesday, October 2, 2019)]
[Notices]
[Pages 52544-52546]
[FR Doc No: 2019-21380]

=======================================================================
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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-87126; File No. SR-CboeEDGX-2019-049]

Self-Regulatory Organizations; Cboe EDGX Exchange, Inc.;
Suspension of and Order Instituting Proceedings To Determine Whether To
Approve or Disapprove a Proposed Rule Change To Amend the Fee Schedule
To Adopt a Pricing Structure for EDGX Top Derived Data API Service

September 26, 2019.

I. Introduction

    On August 1, 2019, Cboe EDGX Exchange, Inc. (the ``Exchange'' or
``EDGX'') filed with the Securities and Exchange Commission
(``Commission''), pursuant to Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act''),\1\ and Rule 19b-4 thereunder,\2\ a
proposed rule change to amend the EDGX fee schedule to adopt a pricing
structure related to the EDGX Top Derived Data API Service (the
``Program''). The proposed rule change was immediately effective upon
filing with the Commission pursuant to Section 19(b)(3)(A) of the
Act.\3\ The proposed rule change was published for comment in the
Federal Register on August 19, 2019.\4\ The Commission received no
comment letters regarding the proposed rule change. Under Section
19(b)(3)(C) of the Act,\5\ the Commission is hereby: (i) Temporarily
suspending the proposed rule change; and (ii) instituting proceedings
to determine whether to approve or disapprove the proposed rule change.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ See Securities Exchange Act Release No. 86644 (August 13,
2019), 84 FR 42971 (``Notice'').
    \5\ 15 U.S.C. 78s(b)(3)(C).
---------------------------------------------------------------------------

II. Description of the Proposed Rule Change

    The Exchange proposes to amend its fee schedule to establish a
pricing structure for Distributors \6\ of Derived Data \7\ through an
Application Programming Interface (``API''). Currently, the Exchange
charges a fee of $1,500 per month for external distribution of EDGX
Top.\8\ In addition, external distributors of EDGX Top are charged a
fee of $4 per month for each Professional User and $0.10 per month for
each Non-Professional User.\9\ The Exchange currently offers a Derived
Data White Label Service \10\ that allows Distributors to receive
reduced fees when distributing Derived Data taken from EDGX Top. Today,
Distributors of Derived Data through an API are liable for the fees
normally applicable for the external distribution of EDGX Top, as
discussed above.
---------------------------------------------------------------------------

    \6\ A Distributor of an Exchange market data product is any
entity that receives the Exchange market data product directly from
the Exchange or indirectly through another entity and then
distributes it internally or externally to a third party. See EDGX
Fee Schedule.
    \7\ ``Derived Data'' is pricing data or other data that (i) is
created in whole or in part from Exchange data, (ii) is not an index
or financial product, and (iii) cannot be readily reverse-engineered
to recreate Exchange data or used to create other data that is a
reasonable facsimile or substitute for Exchange data. See Notice,
supra note 4, 84 FR at 42971. The Exchange states that Derived Data
is primarily purchased for the creation of certain derivative
instruments rather than for the trading of U.S. equity securities.
See id. at 42972.
    \8\ EDGX Top is an Exchange proprietary data product that
provides top of book quotations and execution information for all
equity securities traded on the Exchange. See Notice, supra note 4,
84 FR at 42971.
    \9\ A ``Professional User'' of an Exchange market data product
is any user other than a Non-Professional User. See EDGX Fee
Schedule. A ``Non-Professional User'' of an Exchange market data
product is a natural person or qualifying trust that uses data only
for personal purposes and not for any commercial purpose and, for a
natural person who works in the United States, is not: (i)
Registered or qualified in any capacity with the Commission, the
Commodities Futures Trading Commission, any state securities agency,
any securities exchange or association, or any commodities or
futures contract market or association; (ii) engaged as an
``investment adviser'' as that term is defined in Section 202(a)(11)
of the Investment Advisors Act of 1940 (whether or not registered or
qualified under that Act); or (iii) employed by a bank or other
organization exempt from registration under federal or state
securities laws to perform functions that would require registration
or qualification if such functions were performed for an
organization not so exempt; or, for a natural person who works
outside of the United States, does not perform the same functions as
would disqualify such person as a Non-Professional User if he or she
worked in the United States. Id.
    \10\ A White Label Service is a type of hosted display solution
in which a Distributor hosts or maintains a website or platform on
behalf of a third-party entity. See EDGX Fee Schedule. The service
allows Distributors to make Derived Data available on a platform
that is branded with a third-party brand, or co-branded with a third
party and a Distributor. Id. The Distributor maintains control of
the application's data, entitlements and display. Id.
---------------------------------------------------------------------------

    Under the Exchange's proposal, Distributors would be charged a
tiered External Subscriber Fee based on the number of API Service
Platforms (i.e., ``External Subscribers'') that receive Derived Data
from the Distributor through the Program. As proposed, Distributors
would continue to be charged a fee of $1,500 per month for each
External Subscriber if the Distributor makes Derived Data available to
1-5 External Subscribers. Distributors that make Derived Data available
to 6-20 External Subscribers would be charged $1,250 per month for each
External Subscriber. Further, Distributors that make Derived Data
available to 21 or more External Subscribers would be charged $1,000
per month for each External Subscriber. Similar to the Derived Data
White Label Service, the External Subscriber Fee under the Program
would be non-progressive and based on the number of External
Subscribers that receive Derived Data from the Distributor.\11\ The
Exchange would continue to charge a monthly Professional User fee of $4
per month for each Professional User that accesses the Program. The
Exchange proposes to eliminate the current Non-Professional User fee of
$0.10 per month when participating in the Program.\12\
---------------------------------------------------------------------------

    \11\ For example, a Distributor providing Derived Data based on
EDGX Top to six External Subscribers that are API Service Platforms
would be charged a monthly fee of $7,5000 (i.e., 6 External
Subscribers x $1,250 each).
    \12\ The Exchange also proposes consolidate the Derived Data
White Label Service and the Program under the common heading
``Financial Product Distribution Program.''

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

III. Suspension of the Proposed Rule Change

    Pursuant to Section 19(b)(3)(C) of the Act,\13\ at any time within
60 days of the date of filing of a proposed rule change pursuant to
Section 19(b)(1) of the Act,\14\ the Commission summarily may
temporarily suspend the change in the rules of a self-regulatory
organization (''SRO'') if it appears to the Commission that such action
is necessary or appropriate in the public interest, for the protection
of investors, or otherwise in furtherance of the purposes of the Act.
As discussed below, the Commission believes a temporary suspension of
the proposed rule change is necessary and appropriate to allow for
additional analysis of the proposed rule change's consistency with the
Act and the rules thereunder.
---------------------------------------------------------------------------

    \13\ 15 U.S.C. 78s(b)(3)(C).
    \14\ 15 U.S.C. 78s(b)(1).
---------------------------------------------------------------------------

    The Exchange asserts that the proposed fees for the Program are
reasonable ``as the proposed fee reduction would facilitate cost
effective access to market information that is used primarily to create
certain derivative instruments rather than to trade U.S. equity
securities.'' \15\
---------------------------------------------------------------------------

    \15\ See Notice, supra note 4, 84 FR at 42973.
---------------------------------------------------------------------------

    The Exchange also asserts that the proposed fees are ``equitable
and not unfairly discriminatory because the Exchange will apply the
same fees to any similarly situated Distributors that elect to
participate in the Program based on the number of External Subscribers
provided access to Derived Data through an API Service, with
Distributors providing access to six or more External Subscribers
receiving a discount compared to the current pricing applicable for
external distribution of EDGX Top.'' \16\ Furthermore, the Exchange
states that the Program would allow the Exchange to ``compete with
similar products offered by other national securities exchanges that
offer discounted fees to market participants that purchase Derived
Data.'' \17\
---------------------------------------------------------------------------

    \16\ Id. at 42973.
    \17\ Id. at 42972.
---------------------------------------------------------------------------

    When exchanges file their proposed rule changes with the
Commission, including fee filings like the Exchange's present proposal,
they are required to provide a statement supporting the proposal's
basis under the Act and the rules and regulations thereunder applicable
to the exchange.\18\ The instructions to Form 19b-4, on which exchanges
file their proposed rule changes, specify that such statement ``should
be sufficiently detailed and specific to support a finding that the
proposed rule change is consistent with [those] requirements.'' \19\
---------------------------------------------------------------------------

    \18\ See 17 CFR 240.19b-4 (Item 3 entitled ``Self-Regulatory
Organization's Statement of the Purpose of, and Statutory Basis for,
the Proposed Rule Change'').
    \19\ See id.
---------------------------------------------------------------------------

    Among other things, exchange proposed rule changes are subject to
Section 6 of the Act, including Sections 6(b)(4), (5), and (8), which
requires the rules of an exchange to: (1) Provide for the equitable
allocation of reasonable fees among members, issuers, and other persons
using the exchange's facilities; \20\ (2) perfect the mechanism of a
free and open market and a national market system, protect investors
and the public interest, and not be designed to permit unfair
discrimination between customers, issuers, brokers, or dealers; \21\
and (3) not impose any burden on competition not necessary or
appropriate in furtherance of the purposes of the Act.\22\
---------------------------------------------------------------------------

    \20\ 15 U.S.C. 78f(b)(4).
    \21\ 15 U.S.C. 78f(b)(5).
    \22\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------

    In temporarily suspending the Exchange's fee change, the Commission
intends to further consider whether the establishment of the Program is
consistent with the statutory requirements applicable to a national
securities exchange under the Act. In particular, the Commission will
consider whether the proposed rule change satisfies the standards under
the Act and the rules thereunder requiring, among other things, that an
exchange's rules provide for the equitable allocation of reasonable
fees among members, issuers, and other persons using its facilities;
not permit unfair discrimination between customers, issuers, brokers or
dealers; and do not impose any burden on competition not necessary or
appropriate in furtherance of the purposes of the Act.\23\
---------------------------------------------------------------------------

    \23\ See 15 U.S.C. 78f(b)(4), (5), and (8), respectively.
---------------------------------------------------------------------------

    Therefore, the Commission finds that it is appropriate in the
public interest, for the protection of investors, and otherwise in
furtherance of the purposes of the Act, to temporarily suspend the
proposed rule changes.\24\
---------------------------------------------------------------------------

    \24\ For purposes of temporarily suspending the proposed rule
change, the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
---------------------------------------------------------------------------

IV. Proceedings To Determine Whether To Approve or Disapprove the
Proposed Rule Change

    The Commission is instituting proceedings pursuant to Sections
19(b)(3)(C) \25\ and 19(b)(2)(B) of the Act \26\ to determine whether
the proposed rule change should be approved or disapproved. Institution
of proceedings does not indicate that the Commission has reached any
conclusions with respect to any of the issues involved. Rather, the
Commission seeks and encourages interested persons to provide
additional comment on the proposed rule change to inform the
Commission's analysis of whether to disapprove the proposed rule
change.
---------------------------------------------------------------------------

    \25\ 15 U.S.C. 78s(b)(3)(C). Once the Commission temporarily
suspends a proposed rule change, Section 19(b)(3)(C) of the Act
requires that the Commission institute proceedings under Section
19(b)(2)(B) to determine whether a proposed rule change should be
approved or disapproved.
    \26\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------

    Pursuant to Section 19(b)(2)(B) of the Act,\27\ the Commission is
providing notice of the grounds for possible disapproval under
consideration:
---------------------------------------------------------------------------

    \27\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------

     Section 6(b)(4) of the Act, which requires that the rules
of a national securities exchange ``provide for the equitable
allocation of reasonable dues, fees, and other charges among its
members and issuers and other persons using its facilities,'' \28\
---------------------------------------------------------------------------

    \28\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

     Section 6(b)(5) of the Act, which requires, among other
things, that the rules of a national securities exchange be ``designed
to perfect the operation of a free and open market and a national
market system'' and ``protect investors and the public interest,'' and
not be ``designed to permit unfair discrimination between customers,
issuers, brokers, or dealers,'' \29\ and
---------------------------------------------------------------------------

    \29\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

     Section 6(b)(8) of the Act, which requires that the rules
of a national securities exchange ``not impose any burden on
competition not necessary or appropriate in furtherance of the purposes
of [the Act].'' \30\
---------------------------------------------------------------------------

    \30\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------

    As noted above, the proposal establishes a new pricing structure
for Distributors of Derived Data through an API. The Commission notes
that the Exchange's statements in support of the proposed rule change
are general in nature and lack detail and specificity. The Exchange
states that it operates in a highly competitive environment, and its
ability to price top of book data products is constrained by (i)
competition among other national securities exchanges, including The
Nasdaq Stock Market LLC (``Nasdaq''), that offer similar data products,
and pricing options, to their customers; and (ii) the existence of
real-time consolidated data disseminated by the securities information
processors.\31\ The

Exchange also states that the proposed pricing structure for Derived
Data reduces the cost for market participants to access top of book
data that is used, among other things, to create derivative instruments
rather than to trade U.S. equity securities.\32\ However, the
Commission notes that the Exchange does not address why the Program is
an equitable allocation of reasonable fees other than to state that the
proposal would facilitate ``cost effective access to market
information'' that is used to compute pricing for certain derivative
instruments.\33\ The Exchange does not provide other explanations for
why the Program is an equitable allocation of reasonable fees, such as
why it is consistent with the Act to charge a greater Distributor fee
for the Program than the current Derived Data White Label Service.
---------------------------------------------------------------------------

    \31\ See Notice, supra note 4, 84 FR at 42974.
    \32\ See id. at 42973.
    \33\ See id.
---------------------------------------------------------------------------

    Under the Commission's Rules of Practice, the ``burden to
demonstrate that a proposed rule change is consistent with the [Act]
and the rules and regulations issued thereunder . . . is on the [SRO]
that proposed the rule change.'' \34\ The description of a proposed
rule change, its purpose and operation, its effect, and a legal
analysis of its consistency with applicable requirements must all be
sufficiently detailed and specific to support an affirmative Commission
finding,\35\ and any failure of an SRO to provide this information may
result in the Commission not having a sufficient basis to make an
affirmative finding that a proposed rule change is consistent with the
Act and the applicable rules and regulations.\36\
---------------------------------------------------------------------------

    \34\ Rule 700(b)(3), Commission Rules of Practice, 17 CFR
201.700(b)(3).
    \35\ See id.
    \36\ See id.
---------------------------------------------------------------------------

    The Commission is instituting proceedings to allow for additional
consideration and comment on the issues raised herein, including as to
whether the proposed fees are consistent with the Act, and
specifically, with its requirements that exchange fees be reasonable
and equitably allocated; be designed to perfect the mechanism of a free
and open market and the national market system, protect investors and
the public interest, and not be unfairly discriminatory; or not impose
an unnecessary or inappropriate burden on competition.\37\
---------------------------------------------------------------------------

    \37\ See 15 U.S.C. 78f(b)(4), (5), and (8).
---------------------------------------------------------------------------

V. Commission's Solicitation of Comments

    The Commission requests written views, data, and arguments with
respect to the concerns identified above as well as any other relevant
concerns. Such comments should be submitted by October 23, 2019.
Rebuttal comments should be submitted by November 6, 2019. Although
there do not appear to be any issues relevant to approval or
disapproval which would be facilitated by an oral presentation of
views, data, and arguments, the Commission will consider, pursuant to
Rule 19b-4, any request for an opportunity to make an oral
presentation.\38\
---------------------------------------------------------------------------

    \38\ 15 U.S.C. 78s(b)(2). Section 19(b)(2) of the Act grants the
Commission flexibility to determine what type of proceeding--either
oral or notice and opportunity for written comments--is appropriate
for consideration of a particular proposal by an SRO. See Securities
Acts Amendments of 1975, Report of the Senate Committee on Banking,
Housing and Urban Affairs to Accompany S. 249, S. Rep. No. 75, 94th
Cong., 1st Sess. 30 (1975).
---------------------------------------------------------------------------

    The Commission asks that commenters address the sufficiency and
merit of the Exchange's statements in support of the proposal, in
addition to any other comments they may wish to submit about the
proposed rule change.
    Interested persons are invited to submit written data, views, and
arguments concerning the proposed rule change, 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-CboeEDGX-2019-049 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-CboeEDGX-2019-049. 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 website (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 website 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. Persons submitting comments are
cautioned that we do not redact or edit personal identifying
information from comment submissions. You should submit only
information that you wish to make available publicly. All submissions
should refer to File Number SR-CboeEDGX-2019-049 and should be
submitted on or before October 23, 2019. Rebuttal comments should be
submitted by November 6, 2019.

VI. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(3)(C) of the
Act,\39\ that File No. SR-CboeEDGX-2019-049 be and hereby is,
temporarily suspended. In addition, the Commission is instituting
proceedings to determine whether the proposed rule change should be
approved or disapproved.
---------------------------------------------------------------------------

    \39\ 15 U.S.C. 78s(b)(3)(C).

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\40\
---------------------------------------------------------------------------

    \40\ 17 CFR 200.30-3(a)(57) and (58).
---------------------------------------------------------------------------

Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-21380 Filed 10-1-19; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register Volume 83, Number 67 (Friday, April 6, 2018)]
[Notices]
[Page 14852]
[FR Doc No: 2018-07022]

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

ENVIRONMENTAL PROTECTION AGENCY

[ER-FRL-9038-5]

Environmental Impact Statements; Notice of Availability

    Responsible Agency: Office of Federal Activities, General
Information<PHONE_NUMBER> or https://www2.epa.gov/nepa.

Weekly receipt of Environmental Impact Statements
Filed 03/26/2018 Through 03/30/2018
Pursuant to 40 CFR 1506.9.

Notice

    Section 309(a) of the Clean Air Act requires that EPA make public
its comments on EISs issued by other Federal agencies. EPA's comment
letters on EISs are available at: https://cdxnodengn.epa.gov/cdx-nepa-public/action/eis/search.

EIS No. 20180053, Draft, USFWS, CA, Draft Environmental Impact
Statement/Report, Phase 2, Eden Landing Ecological Reserve, Comment
Period Ends: 05/21/2018, Contact: Anne Morkill<PHONE_NUMBER>.
EIS No. 20180055, Draft, USFS, MN, Hi Lo Project, Comment Period Ends:
05/21/2018, Contact: Linda Merriman<PHONE_NUMBER>.
EIS No. 20180056, Final, FHWA, WA, Washington State Convention Center
Addition and King County Site Work, under 23 U.S.C. 139(n)(2), FTA has
issued a single document that consists of a final environmental impact
statement and record of decision. Therefore, the 30-day wait/review
period under NEPA does not apply to this action.'' Contact: Sharon P.
Love<PHONE_NUMBER>.
EIS No. 20180057, Draft, USFS, CO, Golden Peak Improvements 2016,
Comment Period Ends: 05/21/2018, Contact: Max Forgensi<PHONE_NUMBER>.

    Dated: April 3, 2018.
Kelly Knight,
Director, NEPA Compliance Division, Office of Federal Activities.
[FR Doc. 2018-07022 Filed 4-5-18; 8:45 am]
 BILLING CODE 6560-50-P


[Federal Register Volume 78, Number 162 (Wednesday, August 21, 2013)]
[Notices]
[Pages 51806-51807]
[FR Doc No: 2013-20372]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

Agency Information Collection Activities: Requests for Comments;
Clearance of Renewed Approval of Information Collection: Certification
and Operations

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice and request for comments.

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

SUMMARY: In accordance with the Paperwork Reduction Act of 1995, FAA
invites public comments about our intention to request the Office of
Management and Budget (OMB) approval to renew an information
collection. 14 CFR part 125 prescribes requirements for issuing
operating certificates and for appropriate operating rules. In addition
to the statutory basis, the collection of this information is necessary
to issue, reissue, or amend applicant's operating certificates and
operations specifications.

DATES: Written comments should be submitted by October 21, 2013.

FOR FURTHER INFORMATION CONTACT: Kathy DePaepe at<PHONE_NUMBER>, or by
email at<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:
    OMB Control Number: 2120-0085.
    Title: Certification and Operations.
    Form Numbers: There are no FAA forms associated with this
collection.
    Type of Review: Renewal of an information collection.
    Background: 14 CFR part 125 prescribes requirements for leased
aircraft, aviation service firms, and air travel. A letter of
application and related documents which set forth an applicant's
ability to conduct operations in compliance with the provisions of 14
CFR part 125 are submitted to the appropriate Flight Standards District
Office (FSDO). Inspectors in FAA FSDO's review the submitted
information to determine certificate eligibility.
    Respondents: Approximately 163 certificated operators.
    Frequency: Information is collected on occasion.
    Estimated Average Burden per Response: 1.33 hours.
    Estimated Total Annual Burden: 61,388 hours.

ADDRESSES: Send comments to the FAA at the following address: Ms. Kathy
DePaepe, Room 126B, Federal Aviation Administration, AES-200, 6500 S
MacArthur Blvd., Oklahoma City, OK 73169.
    Public Comments Invited: You are asked to comment on any aspect of
this information collection, including (a) Whether the proposed
collection of information is necessary for FAA's performance; (b) the
accuracy of the estimated burden; (c) ways for FAA to enhance the
quality, utility and clarity of the information collection; and (d)
ways that the burden could be minimized without reducing the quality of
the collected information. The agency will summarize and/or include
your

comments in the request for OMB's clearance of this information
collection.

    Issued in Washington, DC, on August 14, 2013.
Albert R. Spence,
FAA Assistant Information Collection Clearance Officer, IT Enterprises
Business Services Division, AES-200.
[FR Doc. 2013-20372 Filed 8-20-13; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 77, Number 55 (Wednesday, March 21, 2012)]
[Rules and Regulations]
[Pages 16432-16434]
[FR Doc No: 2012-6522]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. FAA-2011-1414; Directorate Identifier 2011-NM-227-AD;
Amendment 39-16982; AD 2012-06-01]
RIN 2120-AA64

Airworthiness Directives; Cessna Aircraft Company Airplanes

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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SUMMARY: We are adopting a new airworthiness directive (AD) for certain
Cessna Aircraft Company Model 560XL airplanes. This AD was prompted by
reports of jammed or stiff rudder control due to water freezing on the
rudder bias cables and pulleys of the stinger. This AD requires
modification of the drain installation of the tailcone stinger on the
aft canted bulkhead, inspections for drain holes in the forward and aft
frames, and modification of the drain holes. We are issuing this AD to
prevent ice accumulation on the cables and pulleys of the stinger,
which could result in jamming of the rudder and consequent reduced
controllability of the airplane.

DATES: This AD is effective April 25, 2012.
    The Director of the Federal Register approved the incorporation by
reference of certain publications listed in the AD as of April 25,
2012.

ADDRESSES: For service information identified in this AD, contact
Cessna Aircraft Co., P.O. Box 7706, Wichita, Kansas 67277; telephone
316-517-6215; fax<PHONE_NUMBER>; email<EMAIL_ADDRESS>
Internet https://www.cessnasupport.com/newlogin.html. You may review
copies of the referenced service information at the FAA, Transport
Airplane Directorate, 1601 Lind Avenue SW., Renton, Washington. For
information on the availability of this material at the FAA, call 425-
227-1221.

Examining the AD Docket

    You may examine the AD docket on the Internet at http://www.regulations.gov; or in person at the Docket Management Facility
between 9 a.m. and 5 p.m., Monday through Friday, except Federal
holidays. The AD docket contains this AD, the regulatory evaluation,
any comments received, and other information. The address for the
Docket Office (phone:<PHONE_NUMBER>) is Document Management Facility,
U.S. Department of Transportation, Docket Operations, M-30, West
Building Ground Floor, Room W12-140, 1200 New Jersey Avenue SE.,
Washington, DC 20590.

FOR FURTHER INFORMATION CONTACT: David Fairback, Aerospace Engineer,
Mechanical Systems and Propulsion Branch, ACE-116W, FAA, Wichita
Aircraft Certification Office (ACO), 1801 Airport Road, Room 100, Mid-
Continent Airport, Wichita, Kansas 67209; phone:<PHONE_NUMBER>; fax:
(316) 946-4107; email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

Discussion

    We issued a notice of proposed rulemaking (NPRM) to amend 14 CFR
part 39 to include an AD that would

apply to the specified products. That NPRM was published in the Federal
Register on December 30, 2011 (76 FR 82205). That NPRM proposed to
require modification of the drain installation of the tailcone stinger
on the aft canted bulkhead, inspections for drain holes in the forward
and aft frames, and modification of the drain holes.

Comments

    We gave the public the opportunity to participate in developing
this AD. We have considered the comment received. The National
Transportation Safety Board supports the NPRM (76 FR 82205, December
30, 2011).

Conclusion

    We reviewed the relevant data, considered the comment received, and
determined that air safety and the public interest require adopting the
AD as proposed-except for minor editorial changes. We have determined
that these minor changes:
     Are consistent with the intent that was proposed in the
NPRM (76 FR 82205, December 30, 2011) for correcting the unsafe
condition; and
     Do not add any additional burden upon the public than was
already proposed in the NPRM (76 FR 82205, December 30, 2011).

Costs of Compliance

    We estimate that this AD affects 475 airplanes of U.S. registry.
    We estimate the following costs to comply with this AD:

                                                 Estimated Costs
----------------------------------------------------------------------------------------------------------------
                                                                                Cost on
                 Action                              Labor cost             Parts cost    Cost per       U.S.
                                                                                product     operators
----------------------------------------------------------------------------------------------------------------
Modification of stinger drain             10 work-hours x $85 per hour =          $489       $1,339     $636,025
 installation.                             $850.
Prior/concurrent modification of drain    5 work-hours x $85 per hour =            255          680      323,000
 holes.                                    $425.
----------------------------------------------------------------------------------------------------------------

Authority for This Rulemaking

    Title 49 of the United States Code specifies the FAA's authority to
issue rules on aviation safety. Subtitle I, section 106, describes the
authority of the FAA Administrator. Subtitle VII: Aviation Programs,
describes in more detail the scope of the Agency's authority.
    We are issuing this rulemaking under the authority described in
Subtitle VII, Part A, Subpart III, Section 44701: ``General
requirements.'' Under that section, Congress charges the FAA with
promoting safe flight of civil aircraft in air commerce by prescribing
regulations for practices, methods, and procedures the Administrator
finds necessary for safety in air commerce. This regulation is within
the scope of that authority because it addresses an unsafe condition
that is likely to exist or develop on products identified in this
rulemaking action.

Regulatory Findings

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

List of Subjects in 14 CFR Part 39

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

Adoption of the Amendment

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

PART 39--AIRWORTHINESS DIRECTIVES

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

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

Sec.  39.13  [Amended]

0
2. The FAA amends Sec.  39.13 by adding the following new airworthiness
directive (AD):

2012-06-01 Cessna Aircraft Company: Amendment 39-16982 ; Docket No.
FAA-2011-1414; Directorate Identifier 2011-NM-227-AD.

(a) Effective Date

    This AD is effective April 25, 2012.

(b) Affected ADs

    None.

(c) Applicability

    This AD applies to Cessna Aircraft Company Model 560XL
airplanes; certificated in any category; serial numbers -5002
through -5372 inclusive, -5501 through -5830 inclusive, -6002
through -6080 inclusive, and -6082 through -6086 inclusive.

(d) Subject

    Joint Aircraft System Component (JASC)/Air Transport Association
(ATA) of America Code 53: Fuselage.

(e) Unsafe Condition

    This AD was prompted by reports of jammed or stiff rudder
control due to water freezing on the rudder bias cables and pulleys
of the stinger. We are issuing this AD to prevent ice accumulation
on the cables and pulleys of the stinger, which could result in
jamming of the rudder and consequent reduced controllability of the
airplane.

(f) Compliance

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

(g) Modification of the Drain Installation

    Within 800 flight hours or 12 months after the effective date of
this AD, whichever occurs first: Modify the drain installation of
the tailcone stinger on the aft canted bulkhead (i.e., install a
drain and rubber seals), in accordance with the Accomplishment
Instructions of Cessna Service Bulletin SB560XL-53-16, dated October
4, 2011.

(h) Modification of the Drain Holes

    For airplanes identified in Cessna Alert Service Letter
ASL560XL-53-08, dated January 21, 2011: Prior to or concurrently
with the modification required by paragraph (g) of this AD, modify
the drain holes, including inspecting for a missing drain hole and,
before further flight, drilling a larger drain hole as applicable;
in accordance with the Accomplishment Instructions of Cessna Alert
Service Letter ASL560XL-53-08, dated January 21, 2011.

    Note 1 to paragraphs (g) and (h) of this AD:  After
accomplishing the actions required by paragraphs (g) and (h) of this
AD, maintenance and/or preventative maintenance under 14 CFR part 43
is permitted provided the maintenance does not

result in changing the AD-mandated configuration (reference 14 CFR
39.7).

(i) No Reporting

    Although Cessna Service Bulletin SB560XL-53-16, dated October 4,
2011; and Cessna Alert Service Letter ASL560XL-53-08, dated January
21, 2011; both specify to submit certain maintenance information to
the manufacturer, this AD does not include that requirement.

(j) Alternative Methods of Compliance (AMOCs)

    (1) The Manager, Wichita Aircraft Certification Office (ACO),
FAA, has the authority to approve AMOCs for this AD, if requested
using the procedures found in 14 CFR 39.19. In accordance with 14
CFR 39.19, send your request to your principal inspector or local
Flight Standards District Office, as appropriate. If sending
information directly to the manager of the ACO, send it to the
attention of the person identified in the Related Information
section of this AD.
    (2) Before using any approved AMOC, notify your appropriate
principal inspector, or lacking a principal inspector, the manager
of the local flight standards district office/certificate holding
district office.

(k) Related Information

    For more information about this AD, contact David Fairback,
Aerospace Engineer, Mechanical Systems and Propulsion Branch, ACE-
116W, FAA, Wichita Aircraft Certification Office (ACO), 1801 Airport
Road, Room 100, Mid-Continent Airport, Wichita, Kansas 67209; phone:
(316) 946-4154; fax:<PHONE_NUMBER>; email<EMAIL_ADDRESS>
(l) Material Incorporated by Reference

    (1) You must use the following service information to do the
actions required by this AD, unless the AD specifies otherwise. The
Director of the Federal Register approved the incorporation by
reference (IBR) on the date specified under 5 U.S.C. 552(a) and 1
CFR part 51.
    (i) Cessna Service Bulletin SB560XL-53-16, dated October 4,
2011, including Service Bulletin Supplemental Data SB560XL-53-16,
Revision A, dated October 20, 2011.
    (ii) Cessna Alert Service Letter ASL560XL-53-08, dated January
21, 2011.
    (2) For service information identified in this AD, contact
Cessna Aircraft Co., P.O. Box 7706, Wichita, Kansas 67277; telephone
316-517-6215; fax<PHONE_NUMBER>; email
<EMAIL_ADDRESS>Internet https://www.cessnasupport.com/newlogin.html.
    (3) You may review copies of the referenced service information
at the FAA, Transport Airplane Directorate, 1601 Lind Avenue SW.,
Renton, Washington. For information on the availability of this
material at the FAA, call<PHONE_NUMBER>.
    (4) You may also review copies of the service information that
is incorporated by reference at the National Archives and Records
Administration (NARA). For information on the availability of this
material at NARA, call<PHONE_NUMBER>, or go to: http://www.archives.gov/federal-register/cfr/ibr-locations.html.

    Issued in Renton, Washington, on March 9, 2012.
Ali Bahrami,
Manager, Transport Airplane Directorate, Aircraft Certification
Service.
[FR Doc. 2012-6522 Filed 3-20-12; 8:45 am]
BILLING CODE 4910-13-P