[Federal Register: March 27, 2008 (Volume 73, Number 60)]
[Notices]
[Page 16407-16408]
[DOCID:fr27mr08-93]

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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57547; File No. SR-OCC-2008-05]

Self-Regulatory Organizations; The Options Clearing Corporation;
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change
Relating to Flexibly Structured Foreign Currency Options

March 21, 2008.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ notice is hereby given that on February 13, 2008, The
Options Clearing Corporation (``OCC'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change as
described in Items I, II, and III below, which items have been prepared
primarily by OCC. OCC filed the proposed rule change pursuant to
Section 19(b)(3)(A)(i) of the Act \2\ and Rule 19b-4(f)(1) \3\
thereunder so that the proposal was effective upon filing with the
Commission. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 15 U.S.C. 78s-1(b)(3)(A)(i).
    \3\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------

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

    The proposed rule change would modify OCC's description of its pro
rata assignment procedure to eliminate the reference to the procedure's
application to exercises of physical delivery, flexibly structured
Foreign Currency Options (``FCOs'').

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

    In its filing with the Commission, OCC included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. OCC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\4\
---------------------------------------------------------------------------

    \4\ The Commission has modified parts of these statements.
---------------------------------------------------------------------------

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

    OCC's pro rata assignment procedure is applied to options on the
S&P 100 Index as well as to flexibly structured and cross-rate FCOs
settled by physical delivery.\5\ However, the Philadelphia Stock
Exchange, Inc. (``Phlx'') has delisted all such FCOs and open interest
in all such contracts has expired. Accordingly, OCC proposes to modify
the description of its pro rata assignment procedure to eliminate the
reference to its application to exercises of physical delivery,
flexibly structured FCOs. While Phlx has proposed to trade flexibly
structured FCOs that are settled in cash, exercises for these FCOS are
to be assigned in accordance with OCC's standard assignment
procedures.\6\ The modified description of the pro rata assignment
procedure is set forth in Exhibit 5 to File No. SR-OCC-2008-05.\7\
---------------------------------------------------------------------------

    \5\ See Securities Exchange Act Release Nos. 56845 (November 27,
2007), 72 FR 67991 (December 3, 2007) (File No. SR-OCC-2007-014),
48908 (December 11, 2003), 68 FR 74689 (December 24, 2003) (File No.
SR-OCC-2003-05), and 38165 (January 14, 1997), 62 FR 3070 (January
21, 1997) (File No. SR-OCC-96-19).
    \6\ See Securities Exchange Act Release No. 57265 (February 4,
2008), 73 FR 7622 (February 8, 2007) (File No. SR-Phlx-2007-68).
    \7\ SR-OCC-2008-05 can be found on OCC's Web site at http://
www.optionsclearing.com/publications/rules/proposed_changes/sr_
occ_08_05.pdf.
---------------------------------------------------------------------------

    The proposed change is consistent with Section 17A of the Act
because it promotes the prompt and accurate clearance and settlement of
securities transactions, and fosters cooperation and coordination with
persons engaged in the clearance and settlement of securities
transactions by updating the description of OCC's pro rata assignment
procedure. The proposed rule change is not inconsistent with the
existing rules of OCC, including any other rules proposed to be
amended.

(B) Self-Regulatory Organization's Statement on Burden on Competition

    OCC does not believe that the proposed rule change would impose any
burden on competition.

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

    Written comments were not and are not intended to be solicited with
respect to the proposed rule change, and none have been received.

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

    The foregoing rule change has become effective pursuant to Section
19(b)(3)(A)(i) of the Act \8\ and Rule 19b-4(f)(1) \9\ promulgated
thereunder because the proposal constitutes an interpretation with
respect to the meaning, administration, or enforcement of an existing
rule of OCC. At any time within sixty days of the filing of the
proposed rule change, the Commission may summarily abrogate such 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.
---------------------------------------------------------------------------

    \8\ 15 U.S.C. 78s(b)(3)(A)(i).
    \9\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to<EMAIL_ADDRESS>Please include
File Number SR-OCC-2008-05 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-OCC-2008-05. 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, 100 F Street, NE,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at the principal office of OCC. 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-OCC-2008-05 and should be
submitted on or before April 17, 2008.
---------------------------------------------------------------------------

    \10\ 17 CFR 200.30-3(a)(12).

    For the Commission by the Division of Trading and Markets,
pursuant to delegated authority.\10\
Florence E. Harmon,
Deputy Secretary.
 [FR Doc. E8-6255 Filed 3-26-08; 8:45 am]

BILLING CODE 8011-01-P


[Federal Register Volume 80, Number 149 (Tuesday, August 4, 2015)]
[Notices]
[Pages 46313-46314]
[FR Doc No: 2015-19097]

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

DEPARTMENT OF HOMELAND SECURITY

Federal Emergency Management Agency

[Docket ID FEMA-2015-0017]

National Flood Insurance Program (NFIP); Assistance to Private
Sector Property Insurers, Availability of FY 2016 Arrangement

AGENCY: Federal Emergency Management Agency, DHS.

ACTION: Notice.

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

SUMMARY: Each year, the Federal Emergency Management Agency (FEMA) is
required by the Write-Your-Own (WYO) Program Financial Assistance/
Subsidy Arrangement (Arrangement) to notify private insurance companies
(Companies) and to make available to the Companies the terms for
subscription or re-subscription to the Arrangement. In keeping with
that requirement, this notice provides the terms to the Companies to
subscribe or re-subscribe to the Arrangement.

FOR FURTHER INFORMATION CONTACT: Lloyd A. Hake, Division Director, Risk
Insurance, Federal Insurance and Mitigation Administration, 1800 South
Bell Street, Room 529, Arlington, VA 20598-3020,<PHONE_NUMBER> (phone),
202-646-7970 (facsimile), or<EMAIL_ADDRESS>(email).

SUPPLEMENTARY INFORMATION: Under the Write-Your-Own (WYO) Program
Financial Assistance/Subsidy Arrangement (Arrangement), 79 (as of April
28, 2015) private sector property insurers sell flood insurance
policies and adjust flood insurance claims under their own names based
on an Arrangement with the Federal Insurance and Mitigation
Administration (FIMA) published at 44 CFR part 62, Appendix A.
    The WYO insurers retain an expense allowance and remit the
remaining premium to the Federal Government. The WYO insurers pay flood
losses and pay loss adjustment expenses based on a fee schedule through
the regulated access of federal funds. In addition, under certain
circumstances, reimbursement for litigation costs, including court
costs, attorney fees, judgments, and settlements, are paid by FEMA
based on documentation submitted by the WYO insurers.
    The complete Arrangement is published in 44 CFR part 62, Appendix
A. Each year, FEMA is required to publish in the Federal Register and
make available to the Companies the terms for subscription or re-
subscription to the Arrangement. 44 CFR part 62, Appendix A, Article
V.B.
    Signatory Companies should remain aware that all requirements of
the Arrangement, including, but not limited to, financial accounting in
issues involving all transactions, must be met. As set forth in Article
II.A.1. of Appendix A to Part 62--Federal Emergency Management Agency,
Federal Insurance Administration, Financial Assistance/Subsidy
Arrangement, the Company is responsible for meeting all fiduciary
responsibilities for control and disbursement of funds in connection
with policy administration. This includes ensuring that all accounting
for

policy administration is correct. If errors are made in policy
administration, the Company shall be responsible for reimbursing any
incorrect allocations, assessments, or other moneys compensated to that
company by the Federal Government.
    The Company is responsible for ensuring that all activities meet
the requirements of this Arrangement and of the NFIP Financial Control
Plan, 44 CFR part 62, Appendix B. The NFIP WYO Standards Committee may
take remedial action in the event any such conduct is not corrected.
    FEMA encourages all private insurance companies wishing to
participate in the WYO Program for FY 2016 to contact the NFIP at
<EMAIL_ADDRESS>by September 4, 2015. Prior participation in
the WYO Program does not guarantee that FEMA will approve continued
participation. FEMA will evaluate requests to participate in light of
publicly-available information, industry performance data, and other
criteria listed in 44 CFR 62.24 and the Arrangement, 44 CFR part 62,
Appendix A. Private insurance companies are encouraged to supplement
this information with customer satisfaction surveys, industry awards or
recognition, or other objective performance data. In addition, private
insurance companies should work with their vendors and subcontractor
involved in servicing and delivering their insurance lines to ensure
FEMA receives the information necessary to effectively evaluate the
criteria set forth in its regulations.
    FEMA will send a copy of the offer for the FY 2016 Arrangement,
together with related materials and submission instructions, to all
private insurance companies successfully evaluated by the NFIP. If
FEMA, after conducting its evaluation, chooses not to renew a Company's
participation, FEMA, at its option, may require the continued
performance of all or selected elements of the FY 2015 Arrangement for
a period required for orderly transfer or cessation of the business and
settlement of accounts, not to exceed 18 months, 44 CFR part 62,
Appendix A, Article V.C. All evaluations, whether successful or
unsuccessful, will inform both an overall assessment of the WYO Program
and any potential changes FEMA may consider regarding the Arrangement
in future fiscal years.
    Any private insurance company with questions may contact FEMA in
writing: DHS/FEMA, Federal Insurance and Mitigation Administration,
Attn: Lloyd A. Hake, Division Director, Risk Insurance, Federal
Insurance and Mitigation Administration, 1800 South Bell Street, Room
529, Arlington, VA 20598-3020,<PHONE_NUMBER> (phone),<PHONE_NUMBER>
(facsimile), or<EMAIL_ADDRESS>(email).

    Dated: July 24, 2015.
Roy Wright,
Deputy Associate Administrator for the Federal Insurance and
Mitigation, Federal Insurance and Mitigation Administration, Federal
Emergency Management Agency, Department of Homeland Security.
[FR Doc. 2015-19097 Filed 8-3-15; 8:45 am]
BILLING CODE 9110-11-P