[Federal Register: July 19, 2007 (Volume 72, Number 138)]
[Notices]
[Page 39645-39646]
[DOCID:fr19jy07-74]

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SECURITIES AND EXCHANGE COMMISSION

Submission for OMB Review; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of Filings and Information Services, Washington, DC
20549.

Extension:
    Rule 19b-5 and Form PILOT, SEC File No. 270-448, OMB Control No.
3235-0507.

    Notice is hereby given that pursuant to the Paperwork Reduction Act
of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange
Commission (``Commission'') has submitted to the Office of Management
and Budget a request for extension of the previously approved
collection of information discussed below.
    Rule 19b-5 (17 CFR 240.19b-5) provides a temporary exemption from
the rule-filing requirements of section 19(b) of the Securities
Exchange Act of 1934 (17 U.S.C. 78a et seq.) (``Act'') to self-
regulatory organizations (``SROs'') wishing to establish and operate
pilot trading systems. Rule 19b-5 permits an SRO to develop a pilot
trading system and to begin operation of such system shortly after
submitting an initial report on Form PILOT to the Commission. During
operation of the pilot trading system, the SRO must submit quarterly
reports of the system's operation to the Commission, as well as timely
amendments describing any material changes to the system. After two
years of operating such pilot trading system under the exemption
afforded by Rule 19b-5, the SRO must submit a rule filing pursuant to
section 19(b)(2) of the Act in order to obtain permanent approval of
the pilot trading system from the Commission.
    The collection of information is designed to allow the Commission
to maintain an accurate record of all new pilot trading systems
operated by SROs and to determine whether an SRO has properly availed
itself of the exemption afforded by Rule 19b-5.

    The respondents to the collection of information are SROs, as
defined by the Act, including national securities exchanges and
national securities associations.
    Six respondents file an average total of 6 initial reports (for a
144 hour estimated annual burden), 24 quarterly reports (for a 72 hour
estimated annual burden), and 12 amendments per year (for a 36 hour
estimated annual burden), with an estimated total annual response
burden of 252 hours. At an average hourly cost of $51.71, the aggregate
related cost of compliance with Rule 19b-5 for all respondents is
$13,030 per year (252 burden hours multiplied by $51.71/hour =
$13,030).
    Although Rule 19b-5 does not in itself impose recordkeeping burdens
on SROs, it relies on existing requirements imposed by Rule 17a-1 under
the Act to require SROs to retain all the rules and procedures relating
to each pilot trading system operating pursuant to Rule 19b-5 and to
make such records available for Commission inspection for a period of
not less than five years, the first two years in an easily accessible
place.
    Compliance with Rule 19b-5 is mandatory. Information received in
response to Rule 19b-5 shall be available only for examination by the
Commission, other agencies of the federal government, state securities
authorities and SROs.
    An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless it displays a
currently valid control number.
    Comments should be directed to (i) Desk Officer for the Securities
and Exchange Commission, Office of Information and Regulatory Affairs,
Office of Management and Budget, Room 10102, New Executive Office
Building, Washington, DC 20503 or by sending an e-mail to:
<EMAIL_ADDRESS>and (ii) R. Corey Booth, Director/Chief

Information Officer, Securities and Exchange Commission, c/o Shirley
Martinson, 6432 General Green Way, Alexandria, VA 22312 or send an e-
mail to<EMAIL_ADDRESS>Comments must be submitted within 30
days of this notice.

    Dated: July 12, 2007.
Nancy M. Morris,
Secretary.
 [FR Doc. E7-13961 Filed 7-18-07; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 84, Number 37 (Monday, February 25, 2019)]
[Rules and Regulations]
[Pages 5951-5952]
[FR Doc No: 2019-03095]

========================================================================
Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents.

========================================================================

Federal Register / Vol. 84, No. 37 / Monday, February 25, 2019 /
Rules and Regulations

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2017-1091; Airspace Docket No. 17-AWP-26]
RIN 2120-AA66

Amendment of Class D and Class E Airspace; Atwater, CA

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule, technical amendment.

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SUMMARY: This action amends the legal description of the Class D
airspace area at Atwater, CA. The FAA identified an error in a bearing
contained in the Class D airspace legal description. The bearing from
the airport is corrected to have the legal description coincide with
the graphical representation of the airspace. This change is editorial
only and does not alter the current charted boundaries, altitudes, or
ATC procedures for Castle Airport, Atwater, CA.

DATES: Effective 0901 UTC, April 25, 2019. The Director of the Federal
Register approves this incorporation by reference action under Title 1
Code of Federal Regulations part 51, subject to the annual revision of
FAA Order 7400.11 and publication of conforming amendments.

ADDRESSES: FAA Order 7400.11, Airspace Designations and Reporting
Points, and subsequent amendments can be viewed on line at http://www.faa.gov/air_traffic/publications/. For further information, you can
contact the Airspace Policy Group, Federal Aviation Administration, 800
Independence Avenue SW, Washington, DC 20591; telephone:<PHONE_NUMBER>.
The Order is also available for inspection 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/code_of_federal-regulations/ibr_locations.html.
    FAA Order 7400.11, Airspace Designations and Reporting Points, is
published yearly and effective on September 15.

FOR FURTHER INFORMATION CONTACT: Richard Roberts, Federal Aviation
Administration, Operations Support Group, Western Service Center, 2200
S. 216th St., Des Moines, WA 98198-6547; telephone<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

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

History

    The Aeronautical Information Services branch identified a
typographical error in a bearing used in the legal description. The
legal description identified a bearing of 114[deg] instead of 144[deg].
This action makes this correction.
    Class D airspace designations are published in paragraph 5000 of
FAA Order 7400.11C dated August 13, 2018, and effective September 15,
2018, which is incorporated by reference in 14 CFR part 71.1. The Class
D airspace designations listed in this document will be published
subsequently in the Order.

Availability and Summary of Documents for Incorporation by Reference

    This document amends FAA Order 7400.11C dated August 13, 2018, and
effective September 15, 2018, which is incorporated by reference in 14
CFR part 71.1. FAA Order 7400.11C is publicly available as listed in
the ADDRESSES section of this document. FAA Order 7400.11C lists Class
A, B, C, D, and E airspace areas, air traffic service routes, and
reporting points.

The Rule

    This amendment to Title 14 Code of Federal Regulations (14 CFR)
part 71 amends the legal description of the Class D airspace Castle
Airport, Atwater, CA. The typographical error of the Airport Reference
Point bearing of 114[deg] is changed to 144[deg] to coincide with the
graphical representation provided to the public.
    This action is a minor editorial change that does not alter the
currently charted boundaries, altitudes, or ATC procedures for Castle
Airport, Atwater, CA, therefore I find that notice and public procedure
under 5 U.S.C. 553(b) are unnecessary and contrary to the public
interest.

Regulatory Notices and Analyses

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

Environmental Review

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

that warrant preparation of an environmental assessment.

Lists of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (Air).

Adoption of the Amendment

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

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

0
1. The authority citation for Part 71 continues to read as follows:

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

Sec.  71.1  [Amended]

0
2. The incorporation by reference in 14 CFR 71.1 of FAA Order 7400.11C,
Airspace Designations and Reporting Points, dated August 13, 2018,
effective September 15, 2018, is amended as follows:

Paragraph 5000.

* * * * *

AWP CA D ATWATER, CA [AMENDED]

Castle Airport, CA
    (Lat. 37[deg]22'50'' N, long. 120[deg]34'06'' W)

    That airspace extending upward from the surface up to but not
including 2,000 feet MSL within a 4.6-mile radius of Castle Airport
beginning at the 278[deg] bearing from the airport clockwise to the
144[deg] bearing, thence northwest to the point where the 182[deg]
bearing intersects the Merced Regional/Macready Airport Class E2,
thence to the point of beginning. This Class D airspace area is
effective during the specific dates and times established in advance
by a Notice to Airmen. The effective date and time will thereafter
be continuously published in the Chart Supplement.

    Issued in Seattle, Washington, on February 15, 2019.
Shawn A. Kozica,
Manager, Operations Support Group, Western Service Center.
[FR Doc. 2019-03095 Filed 2-22-19; 8:45 am]
 BILLING CODE 4910-13-P


[Federal Register Volume 82, Number 227 (Tuesday, November 28, 2017)]
[Notices]
[Pages 56304-56308]
[FR Doc No: 2017-25608]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-82140; File No. SR-NYSEArca-2017-133]

Self-Regulatory Organizations; NYSE Arca, Inc.; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change To Amend Rule 7.35-
E Relating to Auction Collars and To Add Temporary Rules

November 21, 2017.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that, on November 17, 2017, NYSE Arca, Inc. (``Exchange'' or ``NYSE
Arca'') 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 self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78a.
    \3\ 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 proposes to (1) amend Rule 7.35-E(a)(10) to allow
auctions to be conducted at a price equal to the Auction Collars and to
change the rounding methodology for determining Auction Collars; (2)
add Commentary .02 to Rule 7.35-E to describe rules that would be in
effect on a temporary basis pending the implementation of the auction
logic changes; and (3) make clarifying amendments to Rules 7.35-E(c)(1)
and (d)(1). The proposed rule change is available on the Exchange's Web
site at www.nyse.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 self-regulatory organization
included statements concerning the purpose of, and basis for, the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.

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

1. Purpose
    The Exchange proposes to amend Rule 7.35-E(a)(10) to allow auctions
to be conducted at a price equal to the Auction Collars and to change
the rounding methodology for determining Auction Collars.\4\ The
Exchange also proposes Commentary .02 to Rule 7.35-E to provide that
until the Exchange implements the amendments to Rule 7.35-E(a)(10) (but
no later than February 26, 2018): (1) The Re-Opening Time for a Trading
Halt Auction will be extended if the unadjusted Indicative Match Price
is equal to the Auction Collars; and (2) the Trading Halt Auction
processing described in Rules 7.35-E(e)(5), (6), (7)(C), (8), and (10)
would not be applicable to a Trading Halt Auction following a trading
halt due to extraordinary market volatility under Rule 7.12-E (``MWCB
Halt'') or a regulatory halt (together, ``Temporary Rules''). Finally,
the Exchange proposes clarifying amendments to Rules 7.35-E(c)(1) and
(d)(1).
---------------------------------------------------------------------------

    \4\ Capitalized terms used in this rule filing have the same
meaning as the capitalized terms in Rule 7.35-E.
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    The Exchange proposes that the Temporary Rules would become
operative on the same date the Exchange implements previously-approved
amendments to Rule 7.35-E, which the Exchange anticipates implementing
at the same time that the changes described in the twelfth amendment to
the Regulation NMS Plan to Address Extraordinary Market Volatility
(``Plan'') are implemented.\5\ As described in greater detail in the
Reopening Filing, the Exchange amended its rules relating to the
reopening of trading in conjunction with LULD Amendment 12. The
Exchange and the participants to the Plan have announced that the
changes described in the Reopening Filing and LULD Amendment 12 will be
implemented on November 20, 2017.\6\
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    \5\ See Securities Exchange Act Release No. 81603 (September 13,
2017), 82 FR 43609 (September 18, 2017) (SR-NYSEArca-2017-102)
(Notice of filing). See also Securities Exchange Act Release Nos.
79107 (October 18, 2016), 81 FR 73159 (October 24, 2016) (Notice)
and 79846 (January 19, 2017), 82 FR 8548 (January 26, 2017)
(Approval Order) (SR-NYSEArca-2016-130) (the ``Reopening Filing''),
and Securities Exchange Act Release No. 79845 (January 19, 2017), 82
FR 8551 (January 26, 2017) (File No. 4-631) (Order approving twelfth
amendment to the Plan) (``LULD Amendment 12'').
    \6\ See Trader Update available here: https://www.nyse.com/publicdocs/nyse/markets/nyse/NYSE_Group_LULD_12_testing.pdf.
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Proposed Amendment to Rule 7.35-E(a)(10)
    Rule 7.35-E(a)(10)(B) provides that an Indicative Match Price that
is equal to or higher (lower) than the upper (lower) boundary of the
Auction Collar will be adjusted to one minimum price variation below
(above) the upper (lower) boundary of the Auction Collar. In other
words, the Exchange does not conduct an auction at the Auction Collar
price.
    By contrast, Rule 7.35-E(e)(5) currently defines the term
``Impermissible Price,'' i.e., when a Trading Halt Auction would not be
conducted, to mean when the Indicative Match Price, before being
adjusted based on Auction Collars, is below (above) the Lower (Upper)
Auction Collar or if there is a sell (buy) Market Imbalance. In other
words, the Exchange extends the Re-Opening Time for a Trading Halt
Auction only if the unadjusted Indicative Match Price is outside the
Auction Collar price.
    As currently approved, because the Exchange does not operate an
auction at the Auction Collar price, but also does not extend an
auction if the unadjusted Indicative Match Price is at the Auction
Collar Price, these two rules together would allow for a Trading Halt
Auction where not all auction interest (including Market Orders) would
be satisfied. For example, if the lower Auction Collar is 10.10 for a
security, and at 10.10 there are 200 shares to buy, at 10.11 there are
100 shares to buy, and the Exchange receives a sell Limit Order for 300
shares priced at 10.10, the Indicative Match Price, before being
adjusted for Auction Collars, would be 10.10, which would be equal to
the lower Auction Collar. Pursuant to Rule 7.35-E(e)(5), an unadjusted
Indicative Match Price of 10.10 would not be an Impermissible Price and
therefore the auction would be conducted and would not be extended.
However, pursuant to Rule 7.35-E(a)(10)(B), the collared Indicative
Match Price for that security would be 10.11, which would be where the
auction would be priced. Because the auction would be conducted at
10.11, the buy Limit Order priced at 10.10 would not participate.
Accordingly, in this scenario, 200 shares of the sell order would not
be executed and would be available to participate in continuous trading
after the auction. Similarly, if the sell order were a 300 share Market
Order, in this scenario, only 100 shares of the Market Order would be
executed, leaving 200 shares of the sell Market Order unexecuted.
    The Exchange proposes to resolve the conflict between these two
rules by

adjusting the price at which its auctions would be eligible to trade.
As proposed, the Exchange would permit auctions to be conducted at
prices equal to the Auction Collar price threshold. This proposed rule
change to allow for auctions to be priced equal to the Auction Collar
price thresholds is consistent with how another exchange prices its
auctions.\7\ To effect this change, the Exchange proposes to amend Rule
7.35-E(a)(10)(B) as follows (deletions in brackets):
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    \7\ See Cboe BZX Exchange, Inc. (``BZX Equities'') Rule
11.23(a)(6) and (d)(2)(C).
---------------------------------------------------------------------------

    (B) An Indicative Match Price that is [equal to or] higher (lower)
than the upper (lower) boundary of the Auction Collar will be adjusted
to [one MPV below (above)] the upper (lower) boundary of the Auction
Collar and orders eligible to participate in the applicable auction
will trade at the collared Indicative Match Price.
    The Exchange similarly proposes to amend Rule 7.35-E(a)(10)(C) to
delete the phrase ``at or'' so that Limit Orders priced equal to the
Auction Collars would be eligible to participate in the Auction without
being collared, as follows (deletions in brackets):
    (C) Limit Orders to buy (sell) with a limit price [at or] above
(below) the upper (lower) Auction Collar will be included in the
Auction Imbalance Information at the collared Indicative Match Price
and will be eligible to trade at the Indicative Match Price.
    Rule 7.35-E(a)(10)(A) provides that the Auction Collar will be
based on a price that is the greater of $0.15 or a specified percentage
away from the Auction Reference Price for the applicable auction. The
rule further provides that the upper (lower) boundary of the Auction
Collar is the Auction Reference Price increased (decreased) by the
greater of $0.15 or the specified percentage, rounded down to the MPV.
Rule 7.35-E(e)(7)(B)(i) and (ii) similarly provide that Auction Collars
for Trading Halt Auctions are rounded down to the nearest MPV. Rule
7.35-E(a)(10)(A) includes a chart with the specified percentages for
the Core Open and Closing Auctions and the Exchange proposes a
clarifying amendment to add a sentence to this Rule that would provide
that the Auction Collar for the Trading Halt Auction is specified in
Rule 7.35-E(e)(7).
    The Exchange proposes to change its rounding methodology for
determining Auction Collars for all auctions and, accordingly, to amend
Rule 7.35-E(a)(10)(A) to provide that the upper (lower) boundary of the
Auction Collar is the Auction Reference Price increased (decreased) by
the greater of $0.15 or the specified percentage, rounded to the
nearest MPV.\8\ The Exchange proposes to similarly amend Rule 7.35-
E(e)(7)(B)(i) and (ii) to provide that Auction Collars would be rounded
to the nearest MPV. Both Nasdaq Stock Market LLC (``Nasdaq'') and BZX
Equities use this rounding methodology when determining auction collar
prices for reopenings following a Trading Pause.\9\ The Exchange would
apply this same rounding methodology when determining the Auction
Collars for all auctions on the Exchange.
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    \8\ If adding or subtracting the specified percentage of the
Auction Reference price to the Auction Collar would result in a
tenth of a penny, the Exchange would round down to the nearest penny
when the calculation results in one to four tenths of a penny and
the Exchange would round up to the nearest penny when the
calculation results in five to nine tenths of a penny.
    \9\ See Nasdaq Rule 4120(c)(10)(A)(ii)a. and b. and BZX Equities
Rule 11.23(d)(2)(C)(i) and (ii). The Nasdaq and BZX Equities rules
are silent on the rounding methodology they use when applying
percentages to auction collars for opening or closing auctions.
---------------------------------------------------------------------------

    The Exchange further proposes to amend Rules 7.35-E(a)(10)(A) and
(e)(7)(B)(i) and (ii) to provide that the lowest Auction Collar would
be one MPV above $0.00. For example, if the Reference Price for a
security is $0.10, subtracting $0.15 from this Reference Price would
equal a negative number. In such case, the lower boundary of the
Auction Collar would be $0.0001. Because, as described above, the
Exchange would allow an auction to run at a price equal to an Auction
Collar, this proposed rule change would make clear that an auction
could run even if the Auction Collar would mathematically be equal to
or below $0.00.
    Because of technology changes associated with the proposed changes
to Rules 7.35-E(a)(10)(A), (B), and (C), the Exchange proposes to
announce the implementation date of these changes by Trader Update,
which will be no later than February 26, 2018. Between the effective
date of these proposed rule changes and the implementation date, the
Exchange proposes to keep the deleted rule text in its rule book, but
will keep the deleted text in brackets and new text underlined to
indicate that the Exchange has an effective proposed rule change
amending that text. To reduce confusion and promote transparency, the
Exchange proposes to describe how the text will be marked in proposed
paragraph (c) to new Commentary .02 as follows:
    Paragraphs (a)(10)(A), (B), and (C) of this Rule will have text in
brackets indicating which text will be deleted and underlined text
indicating which text will be new when the Exchange implements the
amendments to those paragraphs.
Temporary Rule for Extending an Auction When Indicative Match Price Is
Equal to Auction Collar
    Pending the implementation of the technology changes described
above, the Exchange proposes a temporary rule that would provide that
the Exchange would extend the Re-Opening Time for a Trading Halt
Auction if the unadjusted Indicative Match Price is equal to an Auction
Collar. As proposed, for the period beginning November 20, 2017, when
the changes described in the Reopening Filing are implemented, and
ending when the Exchange's technology changes are implemented or
February 26, 2018, whichever is earlier, an Impermissible Price would
include a price equal to the Auction Collar and thus a Trading Halt
Auction would be extended when the unadjusted Indicative Match Price is
equal to the Upper or Lower Auction Collar. This temporary rule would
align the extension of an auction under Rule 7.35-E(e)(5) with the
price at which an auction would be conducted pursuant to Rule 7.35-
E(a)(10)(B). The Exchange believes that amending its rules on a
temporary basis would be consistent with the purpose of the extension
logic for Trading Halt Auctions, which is, in part, to ensure that all
interest (including all Market Orders) eligible to participate in the
Trading Halt Auction is satisfied and not carried over to continuous
trading.\10\
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    \10\ See Reopening Filing, supra note 5.
---------------------------------------------------------------------------

    To effect this temporary change, the Exchange proposes to add
Commentary .02 to Rule 7.35-E that would describe the Temporary Rules
that would be in effect until the earlier of February 26, 2018 or when
the Exchange implements amendments to Rules 7.35-E(a)(10)(A), (B), and
(C), described above, which would be announced by Trader Update.
Proposed paragraph (a) to new Commentary .02 to Rule 7.35-E would
describe the Temporary Rule relating to determining when a Trading Halt
Auction would be extended and would provide that Rule 7.35-E(e)(5)
would not be in effect and a Trading Halt Auction would not be
conducted if the Indicative Match Price, before being adjusted based on
Auction Collars, would be equal to or below (above) the Lower (Upper)
Auction Collar or if there is a sell (buy) Market Imbalance (an
``Impermissible Price'').
    The Exchange believes that including temporary rule text that
describes how

the Exchange will be determining the Impermissible Price beginning on
November 20, 2017 will promote the protection of investors and the
public interest because it will provide transparency in Exchange rules
regarding how the Exchange is operating. The proposed amendment would
further promote transparency by including the end date for the
temporary rule. Once the temporary rule is no longer in effect, the
Exchange will file a proposed rule change to delete the proposed
Commentary .02(a) to Rule 7.35-E.
Temporary Rule for MWCB and Regulatory Halts
    In the Reopening Filing, the Exchange amended Rule 7.35-E(e) to
provide for a standardized methodology regarding how a primary listing
exchange that conducts automated reopenings following a Trading Pause
would reopen if Market Orders cannot be satisfied in the Trading Halt
Auction. The amendments provide for a standardized Auction Reference
Price and Auction Collar values, as well as for a standardized process
for extending the Trading Pause if there is an Impermissible Price at
the Re-Opening Time. The rule also implements the requirement set forth
in LULD Amendment 12 that if an NMS Stock is in a Trading Pause during
the last ten minutes of trading before the end of Regular Trading
Hours, the Primary Listing Exchange shall not reopen trading and shall
attempt to execute a closing transaction using its established closing
procedures.\11\
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    \11\ See LULD Amendment 12, supra note 5.
---------------------------------------------------------------------------

    As described in the Notice to the Reopening Filing, the Exchange
chose to make the changes described in the Reopening Filing available
for Trading Halt Auctions following a MWCB Halt or regulatory halt.\12\
However, because of the different technology supporting Trading Halt
Auctions following MWCB Halts and regulatory halts, the changes
described in the Reopening Filing as applicable for a Trading Halt
Auction following a MWCB Halt or regulatory halt will not be available
on the implementation date for the LULD Amendment 12 changes.\13\
---------------------------------------------------------------------------

    \12\ See Reopening Filing Notice, supra note 5.
    \13\ The changes described in the Reopening Filing as applicable
for Trading Halt Auctions following a Trading Pause will be
implemented at the same time as the LULD Amendment 12 changes.
---------------------------------------------------------------------------

    The Exchange will adjust its technology to align the treatment of
Trading Halt Auctions following a MWCB Halt or regulatory halt with
current Rules 7.35-E(e)(5)-(8) and (e)(10). However, because these
technology changes will not be ready by November 20, 2017, which is
when the rules described in the Reopening Filing will be implemented,
the Exchange proposes paragraph (b) to Commentary .02 to Rule 7.35-E to
provide for the Temporary Rule that the Trading Halt Auction processing
described in Rules 7.35-E(e)(5), (6), (7)(C), (8), and (10) would not
be applicable to a Trading Halt Auction following a MWCB Halt or a
regulatory halt. Rule 7.35-E(e)(7) and sub-paragraphs (A) and (B) of
that Rule, which specify the Auction Collar Reference Price and Auction
Collars for Trading Halt Auctions, including for Trading Halt Auctions
following a MWCB Halt or regulatory halt, would be applicable beginning
November 20, 2017 for all Trading Halt Auctions. The Exchange intends
to make the technology changes relating to Trading Halt Auctions
following a MWCB Halt or regulatory halt at the same time that it
implements the technology changes relating to the amendments to Rules
7.35-E(a)(10)(A), (B), and (C), described above.
    The Exchange believes that including temporary rule text that
describes how the Exchange will be processing Trading Halt Auctions
following a MWCB Halt or regulatory halt beginning on November 20, 2017
will promote the protection of investors and the public interest
because it will provide transparency in Exchange rules regarding how
the Exchange is operating. The proposed amendment would further promote
transparency by including the end date for the temporary rule. Once the
temporary rule is no longer in effect, the Exchange will file a
proposed rule change to delete proposed Commentary .02(b) to Rule 7.35-
E.\14\
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    \14\ The Exchange also proposes to amend Rule 7.35-E(e)(10) to
add the phrase ``halted or'' to the second sentence of that rule so
that it would provide: ``Instead, the Exchange will remain halted or
paused and will conduct a Closing Auction in such security as
provided for in paragraph (d) of this Rule.'' The Exchange believes
that because current Rule 7.35-E(e)(10) applies to both halts and
pauses, this proposed rule change clarifies the existing rule text.
This proposed rule change would be in effect once the Temporary Rule
described in Commentary .02(b) to Rule 7.35-E has ended.
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Clarifying Amendments to Rule 7.35-E(c)(1) and (d)(1)
    Rule 7.35-E(c)(1) provides that the NYSE Arca Marketplace will
begin publishing Core Open Auction Imbalance Information at 8:00 a.m.
Eastern Time. Rule 7.35-E(d)(1) provides that the NYSE Arca Marketplace
will begin publishing Closing Auction Imbalance Information one hour
before the scheduled time for the Closing Auction. Because regularly
scheduled auctions are not overlapping, the Exchange does not publish
auction imbalance information for more than one auction at a time.
However, if there is a Trading Halt Auction during the period when the
Exchange would otherwise be publishing either Core Open or Closing
Auction Imbalance Information, the Exchange stops publishing the Core
Open or Closing Auction information and begins publishing Trading Halt
Auction Imbalance Information. The proprietary data feeds that carry
the Auction Imbalance Information specify for which auction the auction
imbalance information is for (e.g., Trading Halt Auction or Core Open
Auction).
    The Exchange proposes to amend Rules 7.35-E(c)(1) and (d)(1) to
clarify what auction information is published if there is a halt (or
pause) in the period when either Core Open Auction or Closing Auction
Imbalance Information would otherwise be published.\15\
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    \15\ A halt before Core Trading Hours would be a regulatory halt
because a Trading Pause will occur only during Core Trading Hours,
and therefore a security would not be paused before the Core Open
Auction, and a MWCB Halt can be triggered only during Core Trading
Hours.
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    As proposed, Rule 7.35-E(c)(1) would be amended to add that
``unless a security is halted,'' the NYSE Arca Marketplace will begin
publishing Core Open Auction Imbalance Information at 8:00 a.m. Eastern
Time. The Exchange further proposes to add two new sentences to the
rule that would provide:
    If a security is halted after 8:00 a.m. Eastern Time but before the
Core Open Auction, the Exchange will stop publishing Core Open Auction
Imbalance Information and will begin publishing Trading Halt Auction
Imbalance Information. The Exchange will resume publishing Core Open
Auction Imbalance Information if the security reopens trading before
Core Trading Hours begin.
    Similarly, as proposed, Rule 7.35-E(d)(1) would be amended to add
that ``unless a security is halted or paused,'' the NYSE Arca
Marketplace will begin publishing Closing Auction Imbalance Information
one hour before the scheduled time for the Closing Auction. The
Exchange further proposes to add two new sentences to that rule that
would provide:
    If a security is halted or paused less than one hour before the
scheduled time for the Closing Auction, the Exchange will stop
publishing Closing Auction Imbalance Information and will begin
publishing Trading Halt Auction Imbalance Information. The Exchange

will resume publishing Closing Auction Imbalance Information the
earlier of when the security reopens trading or ten minutes before the
scheduled time for the Closing Auction.\16\
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    \16\ The reference in this proposed rule to resuming publishing
Closing Auction Imbalance Information ten minutes before the
scheduled time for the Closing Auction refers to Rule 7.35-E(e)(10),
which will be implemented for Trading Pauses on November 20, 2017,
and will be implemented for MWCB Halts and regulatory halts the
earlier of February 26, 2018 or when the technology changes
described above are implemented.
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    Because the proposed amendments to Rules 7.35-E(c)(1) and (d)(1)
describe current functionality, the Exchange proposes that these rule
changes would be implemented on the operative date of this filing.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Exchange Act,\17\ in general, and with Section
6(b)(5),\18\ in particular, because 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, 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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    \17\ 15 U.S.C. 78f(b).
    \18\ 15 U.S.C. 78f(b)(5).
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    The Exchange believes that the proposed amendment to Rules 7.35-
E(a)(10)(B) and (C) to allow auctions to be conducted at a price equal
to the Auction Collars would remove impediments to and perfect the
mechanism of a free and open market and a national market system
because it would align how auctions are priced with the rules of
another exchange.\19\ Specifically, the application of auction collars
on BZX Equities allow for an auction to be priced equal to the auction
collars on that market. The proposed amendments to Rule 7.35-E(a)(10)
would similarly allow for the Exchange to price auctions equal to the
Auction Collar. More specifically, for Trading Halt Auctions, the
Exchange believes that this proposed rule change would remove
impediments to and perfect the mechanism of a free and open market and
a national market system because it would align how reopening auctions
are priced, which is consistent with the goal of the Reopening Filing
to have standardized processes for re-opening a security following a
Trading Pause across the primary listing exchange.
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    \19\ See supra note 7.
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    The Exchange believes that the proposed amendment to Rules 7.35-
E(a)(10)(A) and 7.35-E(e)(7)(B)(i) and (ii) to apply the same rounding
methodology as Nasdaq and BZX Equities when determining the Auction
Collars following a Trading Halt Auction would remove impediments to
and perfect the mechanism of a free and open market and a national
market system because it would align the Exchange's rules regarding how
Auction Collars would be determined for a Trading Halt Auction with the
rules of Nasdaq and BZX Equities. The Exchange further believes that it
would remove impediments to and perfect the mechanism of a free and
open market to apply the proposed rounding methodology to determining
Auction Collars for all auctions on the Exchange because it would
promote consistency in the application of rounding when determining
Auction Collars, thereby promoting consistency across Exchange rules
and reducing potential confusion. The Exchange further believes that
amending Exchange rules to provide that the lowest Auction Collar would
be one MPV above $0.00 would remove impediments to and perfect the
mechanism of a free and open market and a national market system
because it would clarify that an auction could run even if the Auction
Collar would mathematically be equal to or below $0.00, thereby
promoting transparency in Exchange rules.
    The Exchange believes that the Temporary Rules would remove
impediments to and perfect the mechanism of a free and open market and
a national market system because these proposed rule changes would
provide transparency regarding how the Exchange will function when the
changes described in LULD Amendment 12 and the Reopening Filing are
implemented, which is scheduled for November 20, 2017. The Exchange
fully intends to implement the rules as approved in the Reopening
Filing. However, the Exchange will not be able to implement Rule 7.35-
E(e)(5), as described in the Exchange's current rules, or apply the
processing describing in Rules 7.35-E(e)(5), (6), (7)(C), (8), and (10)
to Trading Halt Auctions following a MWCB Halt or regulatory halt,
until the changes described for the proposed amendments to Rule 7.35-
E(a)(10) are implemented. The Exchange believes that adding the
Temporary Rules for the interim period pending such implementation will
promote the protection of investors and the public interest because it
will provide transparency in Exchange rules regarding how the Exchange
is operating. The proposed amendment would further promote transparency
by including the end date for the temporary rule.
    Finally, the Exchange believes that the proposed amendments to
Rules 7.35-E(c)(1) and (d)(1) will remove impediments to and perfect
the mechanism of a free and open market and a national market system
because these proposed amendments would clarify in Exchange rules which
imbalance information would be published if there is a trading halt or
pause during a period when either Core Open Auction or Closing Auction
Imbalance Information is being published. The Exchange believes that
the proposed clarifications will promote the protection of investors
and the public interest because they will provide transparency
regarding which imbalance information would be published at specific
times prior to the Core Open and Closing Auctions.

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. The proposed rule change to
Rules 7.35-E(a)(10) and (e)(7) would remove a potential burden on
competition by aligning the Exchange's rules regarding how auctions
would be priced and Auction Collars would be determined with the rules
of other exchanges. The proposed Temporary Rules and clarifying
amendment to Rules 7.35-E(c)(1) and (d)(1) are not designed to address
any competitive issues but rather to promote transparency in Exchange
rules regarding how the Exchange will function.

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

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

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

    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, the

proposed rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \20\ and Rule 19b-4(f)(6) thereunder.\21\
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    \20\ 15 U.S.C. 78s(b)(3)(A).
    \21\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
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.
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    A proposed rule change filed pursuant to Rule 19b-4(f)(6) under the
Act \22\ normally does not become operative for 30 days after the date
of its filing. However, Rule 19b-4(f)(6)(iii) \23\ 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. According to
the Exchange, the implementation date of November 20, 2017 for the
changes described in the Reopening Filing and LULD Amendment 12 is an
industry-wide implementation date. The Exchange states that it fully
intends to implement the rules as approved in the Reopening Filing, but
it will not be able to implement Rule 7.35-E(e)(5) or apply the
processing described in Rules 7.35-E(e)(5), (6), (7)(C), (8), and (10)
to Trading Halt Auctions following a MWCB Halt or regulatory halt until
the proposed amendments to Rule 7.35-E(a)(10) are implemented.\24\
According to the Exchange, until it makes the changes in the proposed
amendments to Rule 7.35-E(a)(10), it will have functionality in
production that does not match its current rules.
---------------------------------------------------------------------------

    \22\ 17 CFR 240.19b-4(f)(6).
    \23\ 17 CFR 240.19b-4(f)(6)(iii).
    \24\ According to the Exchange, the proposed amendments to Rules
7.35-E(a)(10) and (e)(7) are consistent with the goal of having
standardized processes across primary listing exchanges for re-
opening a security following a Trading Pause, will promote
consistency when determining Auction Collars across the Exchange's
auctions, and will make clear that an auction could run even if the
Auction Collar would mathematically be equal to or below $0.00.
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    The Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest.
The Commission believes that implementing the Temporary Rules without
delay will promote transparency in the Exchange's rules regarding how
the Exchange will function during this interim period.\25\ The
Commission notes that the Temporary Rules will be in effect until the
Exchange implements its technology changes or until February 26, 2018,
whichever is earlier. Accordingly, the Commission hereby waives the 30-
day operative delay and designates the proposal operative upon
filing.\26\
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    \25\ In addition, according to the Exchange, the proposed
amendments to Rule 7.35-E(c)(1) and (d)(1) will provide transparency
regarding which imbalance information would be published at specific
times prior to the Core Open and Closing Auctions.
    \26\ 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).
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    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend the rule
change 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. If the Commission
takes such action, the Commission shall institute proceedings to
determine whether the proposed rule change 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 protected]. Please include
File Number SR-NYSEArca-2017-133 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-NYSEArca-2017-133. 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. 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-NYSEArca-2017-133 and should
be submitted on or before December 19, 2017.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\27\
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    \27\ 17 CFR 200.30-3(a)(12).
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Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-25608 Filed 11-27-17; 8:45 am]
BILLING CODE 8011-01-P