[Federal Register Volume 79, Number 74 (Thursday, April 17, 2014)]
[Rules and Regulations]
[Pages 21604-21606]
[FR Doc No: 2014-08102]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 97

[Docket No. 30951; Amdt. No. 3584]

Standard Instrument Approach Procedures, and Takeoff Minimums and
Obstacle Departure Procedures; Miscellaneous Amendments

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Final rule.

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SUMMARY: This rule amends, suspends, or revokes Standard Instrument
Approach Procedures (SIAPs) and associated Takeoff Minimums and
Obstacle Departure Procedures for operations at certain airports. These
regulatory actions are needed because of the adoption of new or revised
criteria, or because of changes occurring in the National Airspace
System, such as the commissioning of new navigational facilities,
adding new obstacles, or changing air traffic requirements. These
changes are designed to provide safe and efficient use of the navigable
airspace and to promote safe flight operations under instrument flight
rules at the affected airports.

DATES: This rule is effective April 17, 2014. The compliance date for
each SIAP, associated Takeoff Minimums, and ODP is specified in the
amendatory provisions.
    The incorporation by reference of certain publications listed in
the regulations is approved by the Director of the Federal Register as
of April 17, 2014.

ADDRESSES: Availability of matter incorporated by reference in the
amendment is as follows:
    For Examination-
    1. FAA Rules Docket, FAA Headquarters Building, 800 Independence
Avenue SW., Washington, DC 20591;
    2. The FAA Regional Office of the region in which the affected
airport is located;
    3. The National Flight Procedures Office, 6500 South MacArthur
Blvd., Oklahoma City, OK 73169 or,
    4. The National Archives and Records Administration (NARA). For
information on the availability of this material at NARA, call 202-741-
6030, or go to: http://www.archives.gov/federal_register/code_of_federal_regulations/ibr_locations.html.
    Availability_All SIAPs are available online free of charge. Visit
nfdc.faa.gov to register. Additionally, individual SIAP and Takeoff
Minimums and ODP copies may be obtained from:
    1. FAA Public Inquiry Center (APA-200), FAA Headquarters Building,
800 Independence Avenue SW., Washington, DC 20591; or
    2. The FAA Regional Office of the region in which the affected
airport is located.

FOR FURTHER INFORMATION CONTACT: Richard A. Dunham III, Flight
Procedure Standards Branch (AFS-420) Flight Technologies and Programs
Division, Flight Standards Service, Federal Aviation Administration,
Mike Monroney Aeronautical Center, 6500 South MacArthur Blvd., Oklahoma
City, OK 73169 (Mail Address: P.O. Box 25082 Oklahoma City, OK 73125)
telephone:<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: This rule amends Title 14, Code of Federal
Regulations, Part 97 (14 CFR part 97) by amending the referenced SIAPs.
The complete regulatory description of each SIAP is listed on the
appropriate FAA Form 8260, as modified by the National Flight Data
Center (FDC)/Permanent Notice to Airmen (P-NOTAM), and is incorporated
by reference in the amendment under 5 U.S.C. 552(a), 1 CFR part 51, and
Sec.  97.20 of Title 14 of the Code of Federal Regulations.
    The large number of SIAPs, their complex nature, and the need for a
special format make their verbatim publication in the Federal Register
expensive and impractical. Further, airmen do not use the regulatory
text of the SIAPs, but refer to their graphic depiction on charts
printed by publishers of aeronautical materials. Thus, the advantages
of incorporation by reference are realized and publication of the
complete description of each SIAP contained in FAA form documents is
unnecessary. This amendment provides the affected CFR sections and
specifies the types of SIAP and the corresponding effective dates. This
amendment also identifies the airport and its location, the procedure
and the amendment number.

The Rule

    This amendment to 14 CFR part 97 is effective upon publication of
each separate SIAP as amended in the transmittal. For safety and
timeliness of change considerations, this amendment incorporates only
specific changes

contained for each SIAP as modified by FDC/P-NOTAMs.
    The SIAPs, as modified by FDC P-NOTAM, and contained in this
amendment are based on the criteria contained in the U.S. Standard for
Terminal Instrument Procedures (TERPS). In developing these changes to
SIAPs, the TERPS criteria were applied only to specific conditions
existing at the affected airports. All SIAP amendments in this rule
have been previously issued by the FAA in a FDC NOTAM as an emergency
action of immediate flight safety relating directly to published
aeronautical charts. The circumstances which created the need for all
these SIAP amendments requires making them effective in less than 30
days.
    Because of the close and immediate relationship between these SIAPs
and safety in air commerce, I find that notice and public procedure
before adopting these SIAPs are impracticable and contrary to the
public interest and, where applicable, that good cause exists for
making these SIAPs effective in less than 30 days.

Conclusion

    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.
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. For the same reason, the FAA
certifies that this amendment will not have a significant economic
impact on a substantial number of small entities under the criteria of
the Regulatory Flexibility Act.

List of Subjects in 14 CFR Part 97

    Air Traffic Control, Airports, Incorporation by reference, and
Navigation (air).

    Issued in Washington, DC, on March 14, 2014.
John Duncan,
Director, Flight Standards Service.

Adoption of the Amendment

    Accordingly, pursuant to the authority delegated to me, Title 14,
Code of Federal Regulations, Part 97, 14 CFR part 97, is amended by
amending Standard Instrument Approach Procedures, effective at 0901 UTC
on the dates specified, as follows:

PART 97--STANDARD INSTRUMENT APPROACH PROCEDURES

0
1. The authority citation for part 97 continues to read as follows:

    Authority:  49 U.S.C. 106(g), 40103, 40106, 40113, 40114, 40120,
44502, 44514, 44701, 44719, 44721-44722.

0
2. Part 97 is amended to read as follows:

Sec. Sec.  97.23, 97.25, 97.27, 97.29, 97.31, 97.33, 97.35  [AMENDED]

    By amending: Sec.  97.23 VOR, VOR/DME, VOR or TACAN, and VOR/DME or
TACAN; Sec.  97.25 LOC, LOC/DME, LDA, LDA/DME, SDF, SDF/DME; Sec.
97.27 NDB, NDB/DME; Sec.  97.29 ILS, ILS/DME, MLS, MLS/DME, MLS/RNAV;
Sec.  97.31 RADAR SIAPs; Sec.  97.33 RNAV SIAPs; and Sec.  97.35 COPTER
SIAPs, Identified as follows:

* * * Effective Upon Publication

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      AIRAC date           State              City                 Airport          FDC No.      FDC date                      Subject
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4/3/2014.............  MT             Conrad..............  Conrad..............       3/5459     02/03/14  This NOTAM, published in TL 14-07, is hereby
                                                                                rescinded in its entirety.
4/3/2014.............  AK             Yakutat.............  Yakutat.............       3/9556     01/24/14  This NOTAM, published in TL 14-07, is hereby
                                                                                rescinded in its entirety.
5/1/2014.............  OR             Corvallis...........  Corvallis Muni......       4/0128     03/05/14  ILS OR LOC RWY 17, Amdt 3A.
5/1/2014.............  ID             Nampa...............  Nampa Muni..........       4/0135     03/03/14  RNAV (GPS) RWY 11, Amdt 2.
5/1/2014.............  NV             Tonopah.............  Tonopah.............       4/0138     03/03/14  RNAV (GPS) RWY 15, Orig.
5/1/2014.............  ND             Devils Lake.........  Devils Lake Rgnl....       4/0296     03/10/14  VOR RWY 21, Orig-A.
5/1/2014.............  CA             Oakland.............  Metropolitan Oakland       4/0737     03/03/14  RNAV (RNP) Z RWY 28L, Amdt 1.
                                                             Intl.
5/1/2014.............  CO             Longmont............  Vance Brand.........       4/1092     03/03/14  RNAV (GPS) RWY 29, Amdt 2.
5/1/2014.............  TX             Amarillo............  Rick Husband               4/1134     03/03/14  ILS OR LOC RWY 4, Amdt 22B.
                                                             Amarillo Intl.
5/1/2014.............  MN             Little Falls........  Little Falls/              4/1555     03/05/14  Takeoff Minimums and (Obstacle) DP, Amdt 4.
                                                             Morrison County-
                                                             Lindbergh Fld.
5/1/2014.............  NH             Lebanon.............  Lebanon Muni........       4/1595     03/05/14  ILS OR LOC RWY 18, Amdt 5B.
5/1/2014.............  MD             Frederick...........  Frederick Muni......       4/2185     03/05/14  RNAV (GPS) RWY 5, Orig-A.
5/1/2014.............  TX             Arlington...........  Arlington Muni......       4/2234     03/10/14  RNAV (GPS) RWY 34, Amdt 3.
5/1/2014.............  TX             Arlington...........  Arlington Muni......       4/2235     03/10/14  ILS OR LOC/DME RWY 34, Amdt 2.
5/1/2014.............  NE             Seward..............  Seward Muni.........       4/2236     03/10/14  Takeoff Minimums and (Obstacle) DP, Orig.
5/1/2014.............  AZ             Fort Huachuca Sierra  Sierra Vista Muni-         4/2322     03/05/14  ILS OR LOC RWY 26, Amdt 4.
                                       Vista.                Libby AAF.
5/1/2014.............  GA             Cartersville........  Cartersville........       4/2455     03/03/14  VOR/DME A, Amdt 2A.
5/1/2014.............  PA             Mount Joy/Marietta..  Donegal Springs            4/4344     03/10/14  RNAV (GPS) RWY 28, Orig.
                                                             Airpark.
5/1/2014.............  NJ             Newark..............  Newark Liberty Intl.       4/4351     03/12/14  ILS OR LOC RWY 4R, Amdt 12D.
5/1/2014.............  SC             Pageland............  Pageland............       4/4352     03/10/14  NDB OR GPS RWY 23, Orig-B.
5/1/2014.............  CA             Sacramento..........  Sacramento Executive       4/4527     03/12/14  ILS OR LOC RWY 2, Amdt 24A.
5/1/2014.............  ID             Jerome..............  Jerome County.......       4/4981     03/03/14  VOR/DME A, Amdt 2.
5/1/2014.............  ID             Nampa...............  Nampa Muni..........       4/5261     03/03/14  RNAV (GPS) B, Orig.
5/1/2014.............  ID             Nampa...............  Nampa Muni..........       4/5272     03/03/14  NDB A, Amdt 1.
5/1/2014.............  NJ             Belmar/Farmingdale..  Monmouth Executive..       4/5431     03/12/14  VOR A, Amdt 3.
5/1/2014.............  NJ             Belmar/Farmingdale..  Monmouth Executive..       4/5432     03/12/14  RNAV (GPS) RWY 14, Orig.

5/1/2014.............  OR             Aurora..............  Aurora State........       4/5599     03/05/14  RNAV (GPS) RWY 17, Orig-C.
5/1/2014.............  CA             Porterville.........  Porterville Muni....       4/6546     03/03/14  GPS RWY 30, Orig.
5/1/2014.............  CA             Petaluma............  Petaluma Muni.......       4/6727     03/05/14  VOR RWY 29, Orig-A.
5/1/2014.............  CA             Oakland.............  Metropolitan Oakland       4/6734     03/05/14  VOR RWY 10R, Amdt 9A.
                                                             Intl.
5/1/2014.............  CA             Sacramento..........  Sacramento Executive       4/6869     03/03/14  VOR RWY 2, Amdt 10A.
5/1/2014.............  CA             Sacramento..........  Sacramento Executive       4/6871     03/03/14  RNAV (GPS) RWY 2, Orig-A.
5/1/2014.............  MT             Havre...............  Havre City-County...       4/6966     03/05/14  VOR RWY 26, Amdt 9.
5/1/2014.............  MT             Havre...............  Havre City-County...       4/6967     03/05/14  RNAV (GPS) RWY 8, Orig.
5/1/2014.............  MT             Havre...............  Havre City-County...       4/6968     03/05/14  RNAV (GPS) RWY 26, Orig.
5/1/2014.............  OR             John Day............  Grant Co Rgnl/             4/7331     03/03/14  RNAV (GPS) Y RWY 9, Orig-C.
                                                             Ogilvie Field.
5/1/2014.............  OR             John Day............  Grant Co Rgnl/             4/7332     03/03/14  RNAV (GPS) Z RWY 9, Orig-C.
                                                             Ogilvie Field.
5/1/2014.............  WA             Shelton.............  Sanderson Field.....       4/7378     03/03/14  GPS RWY 5, Amdt 1A.
5/1/2014.............  TX             Crockett............  Houston County......       4/7394     03/05/14  RNAV (GPS) RWY 2, Orig.
5/1/2014.............  TX             Crockett............  Houston County......       4/7395     03/05/14  RNAV (GPS) RWY 20, Orig.
5/1/2014.............  IL             Marion..............  Williamson County          4/7398     03/03/14  VOR RWY 2, Amdt 13B.
                                                             Rgnl.
5/1/2014.............  IL             Marion..............  Williamson County          4/7399     03/03/14  RNAV (GPS) RWY 20, Amdt 1.
                                                             Rgnl.
5/1/2014.............  IL             Marion..............  Williamson County          4/7400     03/03/14  RNAV (GPS) RWY 2, Amdt 1.
                                                             Rgnl.
5/1/2014.............  IL             Marion..............  Williamson County          4/7401     03/03/14  NDB RWY 20, Amdt 10B.
                                                             Rgnl.
5/1/2014.............  IL             Marion..............  Williamson County          4/7402     03/03/14  VOR RWY 20, Amdt 17B.
                                                             Rgnl.
5/1/2014.............  IL             Marion..............  Williamson County          4/7403     03/03/14  ILS OR LOC RWY 20, Amdt 12.
                                                             Rgnl.
5/1/2014.............  FL             Pensacola...........  Pensacola Gulf Coast       4/8771     03/03/14  LOC RWY 26, Amdt 1.
                                                             Rgnl.
5/1/2014.............  AL             Florala.............  Florala Muni........       4/9175     03/03/14  RNAV (GPS) RWY 22, Amdt 1.
5/1/2014.............  MO             St Louis............  Lambert-St Louis           4/9239     03/05/14  ILS OR LOC RWY 30R, ILS RWY 30R (CAT II),
                                                             Intl.                                           ILS RWY 30R (CAT III), Amdt 10A.
5/1/2014.............  MO             St Louis............  Lambert-St Louis           4/9240     03/05/14  ILS OR LOC RWY 11, ILS RWY 11 (CAT II), ILS
                                                             Intl.                                           RWY 11 (CAT III), Orig-B.
5/1/2014.............  WA             Moses Lake..........  Grant Co Intl.......       4/9457     03/03/14  RNAV (RNP) Z RWY 14L, Orig.
5/1/2014.............  WA             Moses Lake..........  Grant Co Intl.......       4/9458     03/03/14  RNAV (GPS) Y RWY 14L, Amdt 1A.
5/1/2014.............  CA             Oroville............  Oroville Muni.......       4/9765     03/05/14  VOR A, Amdt 7A.
5/1/2014.............  AZ             Fort Huachuca Sierra  Sierra Vista Muni-         4/9914     03/03/14  VOR RWY 26, Amdt 5.
                                       Vista.                Libby AAF.
5/1/2014.............  AZ             Fort Huachuca Sierra  Sierra Vista Muni-         4/9915     03/03/14  RNAV (GPS) RWY 8, Amdt 1A.
                                       Vista.                Libby AAF.
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[FR Doc. 2014-08102 Filed 4-16-14; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 81, Number 238 (Monday, December 12, 2016)]
[Notices]
[Pages 89562-89564]
[FR Doc No: 2016-29645]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-79473; File No. SR-IEX-2016-17]

Self-Regulatory Organizations: Investors Exchange LLC; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Modify
the Web site Data Publication Requirements Relating to the Regulation
NMS Plan To Implement a Tick Size Pilot Program

December 6, 2016.
    Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (the ``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby
given that, on November 21, 2016, the Investors Exchange LLC (``IEX''
or the ``Exchange'') filed with the Securities and Exchange Commission
(the ``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

    Pursuant to the provisions of Section 19(b)(1) of the Securities
Exchange Act of 1934 (``Act'') \4\ and Rule 19b-4 thereunder,\5\
Investors Exchange LLC (``IEX'' or ``Exchange'') is filing with the
Securities and Exchange Commission (``Commission'') a proposed rule
change to amend IEX Rule 11.340 to modify the Web site data publication
requirements relating to the Regulation NMS Plan to Implement a Tick
Size Pilot Program (``Plan'').
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    \4\ 15 U.S.C. 78s(b)(1).
    \5\ 17 CFR 240.19b-4.
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    IEX has filed the proposed rule change for immediate effectiveness.
IEX has requested that the SEC waive the 30-day operative period so
that the proposed rule change may become operative upon filing.
    The text of the proposed rule change is available at the Exchange's
Web site at www.iextrading.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 the
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 these statement may be examined at
the places specified in Item IV below. The self-regulatory organization
has prepared summaries, set forth in Sections A, B, and C below, of the
most significant aspects of such statements.

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

1. Purpose
    On August 25, 2014, FINRA and several other self-regulatory
organizations (the ``Participants'') filed with the Commission,
pursuant to Section 11A of the Act \6\ and Rule 608 of Regulation NMS
thereunder,\7\ the Plan to Implement a Tick Size Pilot Program.\8\ The
Participants filed the Plan to comply with an order issued by the
Commission on June 24, 2014.\9\ The Plan was published for comment in
the Federal Register on November 7, 2014, and approved by the
Commission, as modified, on May 6, 2015.\10\ The Commission approved
the Pilot on a two-year basis, with implementation to begin no later
than May 6, 2016.\11\ On November 6, 2015, the SEC exempted the
Participants from implementing the Pilot until October 3, 2016.\12\
Under the revised Pilot implementation date, the Pre-Pilot data
collection period commenced on April 4, 2016. An amendment to the Plan
adding IEX as a Participant was filed with the Commission on August 4,
20 [sic].\13\ On September 13, 2016, the SEC exempted the Participants
from the requirement to fully implement the Pilot on October 3, 2016,
to permit the Participants to implement the pilot on a phased-in basis,
as described in the Participants' exemptive request.\14\
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    \6\ 15 U.S.C. 78k-1.
    \7\ 17 CFR 242.608.
    \8\ See Letter from Brendon J. Weiss, Vice President,
Intercontinental Exchange, Inc., to Secretary, Commission, dated
August 25, 2014.
    \9\ See Securities Exchange Act Release No 72460 (June 24,
2014), 79 FR 36840 (June 30, 2014).
    \10\ See Securities Exchange Act Release No. 74892 (May 6,
2015), 80 FR 27513 (May 13, 2015) (``Approval Order'').
    \11\ See Approval Order at 27533 and 27545.
    \12\ See Securities Exchange Act Release No. 76382 (November 6,
2015), 80 FR 70284 (November 13, 2015).
    \13\ Securities Exchange Act Release No. 78702 (August 26,
2016). Pursuant to the terms of the plan, the amendment was
effective on filing pursuant to Rule 608(b)(3) of the Act because it
involves solely technical or ministerial matters.
    \14\ See Letter from David S. Shillman, Associate Director,
Division of Trading and Markets, Commission, to Eric Swanson, EVP,
General Counsel and Secretary, Bats Global Markets, Inc., dated
September 13, 2016; see also Letter from Eric Swanson, EVP, General
Counsel and Secretary, Bats Global Markets, Inc., to Brent J.
Fields, Secretary, Commission, dated September 9, 2016.
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    The Plan is designed to allow the Commission, market participants,
and the public to study and assess the impact of increment conventions
on the liquidity and trading of the common stock of small-
capitalization companies. Each Participant is required to comply, and
to enforce compliance by its member organizations, as applicable, with
the provisions of the Plan.
    IEX adopted rule amendments to implement the requirements of the
Plan, including relating to the Plan's data collection requirements and
requirements relating to Web site data publication.\15\ Specifically,
with respect to the Web site data publication requirements pursuant to
Section VII and Appendix B to the Plan, IEX Rule 11.340(b)(2)(C)
provides that IEX shall make the data required by Items I and II of
Appendix B to the Plan, and collected pursuant to paragraphs (b)(2)(A)
and (B) of Rule 11.340, publicly available on the IEX Web site on a
monthly basis at no charge and shall not identify the Member that
generated the data. IEX Rule 11.340(b)(3)(C), provides, among other
things, that IEX shall make the data required by Item IV of Appendix B
to the Plan, and collected pursuant to paragraph (b)(3)(A) and (B) of
Rule11.340, publicly available on the IEX Web site on a monthly basis
at no charge and shall not identify the Trading Center that generated
the data. Supplementary Material .09 to IEX Rule 11.340 provides, among
other things, that the requirement that IEX make certain data publicly
available on the IEX Web site pursuant to Appendix B and Appendix C to
the Plan shall

commence at the beginning of the Pilot Period.
---------------------------------------------------------------------------

    \15\ See, e.g., Securities Exchange Act Release No. 78820
(September 13, 2016), 81 FR 64234 (September 19, 2016) (Notice of
Filing and Immediate Effectiveness of File No. SR-IEX-2016-13); see
also Securities Exchange Act Release No. 78481 (August 4, 2016) 81
FR 52933 (August 10, 2016) (Notice of Filing and Immediate
Effectiveness of File No. SR-IEX-2016-07); see also Letter from
David S. Shillman, Associate Director, Division of Trading and
Markets, Commission, to Claudia Crowley, Chief Regulatory Officer,
IEX, dated August 30, 2016.
---------------------------------------------------------------------------

    IEX is proposing amendments to Rule 11.340(b)(2)(C) (regarding
Appendix B.I and B.II data) and Rule 11.340(b)(3)(C) (regarding
Appendix B.IV data), to provide that data required to be made available
on IEX's Web site be published within 120 calendar days following month
end. In addition, the proposed amendments to Supplementary Material .09
to Rule 11.340 would provide that, notwithstanding the provisions of
paragraphs (b)(2)(C) and (b)(3)(C), IEX shall make data for the Pre-
Pilot period publicly available on the IEX Web site pursuant to
Appendix B to the Plan by February 28, 2017.\16\
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    \16\ With respect to data for the Pilot Period, the requirement
that IEX make data publicly available on the IEX Web site pursuant
to Appendix B to the Plan shall continue to commence at the
beginning of the Pilot Period. Thus, the first Web site publication
date for Pilot Period data (covering October 2016) would be
published on the IEX Web site by February 28, 2017, which is 120
days following the end of October 2016. We note that FINRA has
submitted a request for exemption, on behalf of all Plan
Participants, requesting that the Commission grant an exemption from
such provisions of the Plan. See, letter from Marcia E. Asquith,
Senior Vice President and Corporate Secretary, FINRA, to Robert W.
Errett, Deputy Secretary, Commission, dated November 14, 2016.
---------------------------------------------------------------------------

    The purpose of delaying the publication of the Web site data is to
address confidentiality concerns by providing for the passage of
additional time between the market information reflected in the data
and the public availability of such information.
    As noted in Item 1 of this filing, IEX has filed the proposed rule
change for immediate effectiveness and has requested that the
Commission waive the 30-day operative delay. If the Commission waives
the 30-day operative delay, the operative date of the proposed rule
change will be the date of filing.
2. Statutory Basis
    IEX believes that the proposed rule change is consistent with the
provisions of Section 6(b) of the Act,\17\ which requires, among other
things, that IEX rules must be designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, and, in general, to protect investors and the
public interest, and Section 6(b)(8) of the Act,\18\ which requires
that IEX rules not impose any burden on competition that is not
necessary or appropriate.
---------------------------------------------------------------------------

    \17\ 15 U.S.C. 78f.
    \18\ 15 U.S.C. 78f(b)(8).
---------------------------------------------------------------------------

    IEX believes that this proposal is consistent with the Act because
it is designed to assist the Participants in meeting their regulatory
obligations pursuant to the Plan and is in furtherance of the
objectives of the Plan, as identified by the Commission. IEX believes
that the instant proposal is consistent with the Act in that it is
designed to address confidentiality concerns by permitting IEX to delay
Web site publication to provide for passage of additional time between
the market information reflected in the data and the public
availability of such information.

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

    IEX does not believe that the proposed rule change will result in
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. IEX notes that the proposed
rule change implements the provisions of the Plan, and is designed to
assist the Participants in meeting their regulatory obligations
pursuant to the Plan.
    The proposal is intended to address confidentiality concerns that
may adversely impact competition, especially for Pilot Securities that
may have a relatively small number of designated Market Makers, by
permitting IEX to delay Web site publication to provide for passage of
additional time between the market information reflected in the data
and the public availability of such information. IEX notes that the
proposed change will not affect the data reporting requirements of
Members under IEX's rules. The proposal also does not alter the
information required to be submitted to the Commission.

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

    Written comments were neither solicited nor received.\19\
---------------------------------------------------------------------------

    \19\ Financial Information Forum (FIF) submitted a letter to the
staff of the Commission, copying FINRA, raising concerns regarding
the publication of certain Appendix B statistics on a disaggregated
basis using a unique masked market participant identifier. See
Letter from Mary Lou Von Kaenel, Managing Director, FIF, to David S.
Shillman, Associate Director, Division of Trading and Markets,
Commission, dated August 16, 2016, available at https://www.fif.com/comment-letters.
---------------------------------------------------------------------------

III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
    Because the foregoing proposed rule change does not: (i)
Significantly affect the protection of investors or the public
interest; (ii) impose any significant burden on competition; and (iii)
become operative for 30 days from the date on which it was filed, or
such shorter time as the Commission may designate, it has become
effective pursuant to Section 19(b)(3)(A) \20\ of the Act and Rule 19b-
4(f)(6) \21\ thereunder.
---------------------------------------------------------------------------

    \20\ 15 U.S.C. 78s(b)(3)(A).
    \21\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    A proposed rule change filed under Rule 19b-4(f)(6) \22\ normally
does not become operative prior to 30 days after the date of the
filing. However, pursuant to Rule 19b-4(f)(6)(iii),\23\ the Commission
may designate a shorter time if such action is consistent with the
protection of investors and the public interest. In this filing, the
Exchange has asked that the Commission waive the requirement that the
proposed rule change not become operative for 30 days after the date of
the filing.
---------------------------------------------------------------------------

    \22\ Id.
    \23\ 17 CFR 240.19b-4(f)(6)(iii).
---------------------------------------------------------------------------

    The Exchange notes that the proposed rule change implements the
provisions of the Plan, and is designed to assist the Participants in
meeting their regulatory obligations pursuant to the Plan. The proposal
is intended to address confidentiality concerns by permitting the
Exchange to delay Web site publication to provide for passage of
additional time between the market information reflected in the data
and public availability of such information. The proposal does not
alter the information required to be submitted to the Commission.
    The Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest
because it will allow the Exchange to implement these proposed changes
that are intended to address confidentiality concerns. The Commission
notes that some Pilot data was scheduled to be published on November
30, 2016. Therefore, the Commission hereby waives the 30-day operative
delay and designates the proposed rule change to be operative on
November 30, 2016.\24\
---------------------------------------------------------------------------

    \24\ For purposes only of waiving the operative delay for this
proposal, the Commission has considered the proposed rule's impact
on efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
---------------------------------------------------------------------------

    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.\25\ If the
Commission takes such action, the Commission shall institute
proceedings under Section 19(b)(2)(B) \26\ of the Act to

determine whether the proposed rule change should be approved or
disapproved.
---------------------------------------------------------------------------

    \25\ 15 U.S.C. 78s(b)(3)(C).
    \26\ 15 U.S.C. 78s(b)(2)(B).
---------------------------------------------------------------------------

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-IEX-2016-17 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-IEX-2016-17. This file
number should be included in 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 Section, 100 F Street
NE., Washington, DC 20549-1090. Copies of the filing will also be
available for inspection and copying at the IEX's principal office and
on its Internet Web site at www.iextrading.com. 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-IEX-2016-17 and should be submitted on
or before January 3, 2017.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\27\
---------------------------------------------------------------------------

    \27\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2016-29645 Filed 12-9-16; 8:45 am]
 BILLING CODE 8011-01-P


UNITED STATES ENVIRONMENTAL PROTECTION AGENCY

REGION III

	1650 Arch Street

	Philadelphia, Pennsylvania  19103

DATE:	June 23, 2015

SUBJECT:	Technical Support Document for Maryland’s Adoption of Control
Techniques Guidelines (CTG) for Metal Furniture and Miscellaneous Metal
Parts Coatings

FROM:	Ellen Schmitt

Office of Air Program Planning

TO:	File

THRU: 	Cristina Fernandez, Associate Director  /s/

		Office of Air Program Planning

A.  BACKGROUND

Section 172(c)(1) of the Clean Air Act (CAA) provides that State
Implementation Plans (SIP) for nonattainment areas must include
reasonably available control measures (RACM), including reasonably
available control technology (RACT), for sources of emissions.  Section
182(b)(2)(A) provides that for certain nonattainment areas, states must
revise their SIP to include RACT for sources of volatile organic
compound (VOC) emissions covered by a control techniques guideline (CTG)
document issued after November 15, 1990 and prior to the Area’s date
of attainment.  The Environmental Protection Agency (EPA) defines RACT
as “the lowest emission limitation that a particular source is capable
of meeting by the application of control technology that is reasonably
available considering technological and economic feasibility” (44 FR
53761, Sept. 17, 1979).  In subsequent Federal Register notices, EPA has
addressed how states can meet the RACT requirements of the CAA.

CTGs are documents issued by EPA that provide state and local air
pollution control authorities information that should assist them in
determining RACT for VOC from various sources.  EPA may issue a CTG in
lieu of a national regulation as RACT for a product category where EPA
determines that the CTG will be substantially as effective as
regulations in reducing emissions of VOC in ozone nonattainment areas.
The recommendations in the CTG are based upon available data and
information and may not apply to a particular situation based upon the
circumstances.  States can follow the CTG and adopt state regulations to
implement the recommendations contained therein, or they can adopt
alternative approaches.  In either case, states must submit their RACT
rules to EPA for review and approval as part of the SIP process.

EPA will evaluate the rules and determine, through notice and comment
rulemaking in the SIP approval process, whether the submitted rules meet
the RACT requirements of the CAA and EPA’s regulations.

Metal Furniture Coating CTG (EPA 453/R-07-005, September 2007)

In December 1977, EPA issued a CTG document for controlling VOC
emissions from the coating of metal furniture.  In October 1982, EPA
promulgated the new source performance standards (NSPS) for the Surface
Coating of Metal Furniture, and in May 2003, EPA promulgated the
National Emission Standards for Hazardous Air Pollutants (NESHAP) for
the Surface Coating of Metal Furniture.  After reviewing the 1977 CTG,
the 1982 NSPS, and the 2003 NESHAP, and existing state and local VOC
emission reduction approaches, EPA developed a CTG entitled, “Control
Technique Guidelines for Metal Furniture Coatings” (EPA 453/R-07-005).

Coatings used in metal furniture coating operations include paints,
sealants, caulks, ink, adhesives, and maskants.  It is recommended that
the control approaches discussed herein apply to each metal furniture
coating unit at a facility where the total actual VOC emissions from all
metal furniture coating operations, including related cleaning
activities, at that facility, are equal to or exceed 6.8 kg/day (15
lb/day), or an equivalent level such as 3 tons per 12-month rolling
period, before consideration of controls.  These control approaches are
not recommended for facilities that emit below this level.

The metal furniture coatings product category under section 183(e) of
the CAA includes the coatings that are applied to metal furniture.  A
metal furniture substrate is the furniture or components of furniture
constructed either entirely or partially from metal.  Metal furniture
includes, but is not limited to, the following types of products:
Household, office, institutional, laboratory, hospital, public building,
restaurant, barber and beauty shop, and dental furniture, as well as
components of these products.  Metal furniture also includes office and
store fixtures, partitions, shelving, lockers, lamps and lighting
fixtures, and wastebaskets.  Metal furniture coatings include paints and
adhesives and are typically applied without a primer.  Higher solids and
powder coatings are used extensively in the metal furniture coating
industry.  Metal furniture coatings provide a covering, finish, or
functional or protective layer, and can also provide a decorative finish
to metal furniture.

Applicability

The September 2007 CTG for Metal Furniture coatings provides
recommendations for reducing VOC emissions from the use of coatings
applied to each metal furniture coating unit at a facility where the
total actual VOC emissions from all metal furniture coating operations,
including related cleaning activities, at that facility, are equal to or
exceed 6.8 kg/day (15 lb/day), or an equivalent level such as 3 tons per
12-month rolling period, before consideration of controls.  As mentioned
previously, states can adopt the above recommended 6.8 kg/day (15
lb/day) actual VOC emissions or an equivalent applicability threshold,
or they can develop other applicability criteria that they determine are
appropriate considering the facts and circumstances of the sources in
their particular nonattainment areas.

Sources of VOC Emissions

Primarily, emissions from metal furniture coating operations result from
the evaporation of the VOC components of the coatings and cleaning
materials.  In most cases, VOC emissions from the surface preparation,
storage, handling, and waste/wastewater operations are relatively small.
 The primary VOC emissions from metal furniture coatings occur during
coating application/flash-off and drying/curing of the coatings.  The
remaining emissions are primarily from mixing and/or thinning.  The VOC
emissions from mixing and thinning of coatings occur from the
displacement of VOC-laden air in containers used to mix coatings
containing solvents (thinners) prior to coating application.  The
displacement of VOC-laden air can also occur during filling of
containers and can be caused by changes in temperature, changes in
barometric pressure, or agitation during mixing.

Coating Application

Surface coating of metal furniture is applied by applying a coating to
the metal furniture component or product.  After being coated by any of
the typical coating methods (e.g., spray coating or dip coating), the
metal furniture components or products are dried/cured.  Prior to
entering the ovens, solvents in the coatings evaporate slowly in the
flash-off area to prevent bubble formation during curing.  The coating
itself may be in the form of a liquid or powder, and may be applied by
spraying or dipping.  The amount of VOC emissions from the flash-off
area depends on the type of coating used, how quickly the component or
product moves through the flash-off area, and the distance between the
application area and the bake oven.  For liquid spray applications, it
is estimated that 65-80 percent of the volatiles are emitted during the
application and flash-off operations, and the remaining 20-35 percent
from the drying/curing operation.

For powder coatings, the curing/drying step melts the powder and forms a
continuous coating on the metal furniture component or product.  For
liquid coatings, this step removes any remaining volatiles from the
coating.  The cured coatings provide the desired decorative and/or
protective characteristics.  The VOC emissions during the curing/drying
process result from the evaporation of the remaining solvents in the
dryer.

There are several different types of applicators that may be used to
apply coatings.  The most common types of coating applicators include:
Air atomized spray coating, electrostatic spray coating, high volume/low
pressure (HVLP) spray coating, dip coating, flow coating, roll coating,
electrocoating, and autophoretic coating.

CTG Recommended Control Options

As stated previously, there are two main sources of VOC emissions from
metal furniture coating operations:  (1) evaporation of VOC from the
coatings; and (2) evaporation of VOC from the cleaning materials.  To
control VOC emissions from metal furniture coatings, the CTG recommends
three options:  (1) emission limits that can be achieved through the use
of low-VOC coatings; (2) equivalent emission limits that can be achieved
through the use of low-VOC coatings or a combination of coatings and
add-on controls; and (3) an overall control efficiency of 90 percent for
add-on controls.  The low-VOC coatings recommendation (Option 1)
consists of emission limits in terms of mass of VOC per volume of
coating, excluding water and exempt compounds, as applied, and the use
of specified application methods.  The equivalent emission limit
recommendation (Option 2) consists of emission limits in terms of mass
of VOC per volume of coating solids, as applied, and the use of specific
application methods.  Additionally, for cleaning materials, work
practices are recommended to reduce VOC emissions.

Specific recommendations for coating operations and cleaning materials
used in metal furniture coating operations are summarized below.

Emissions Limits Based on Low-VOC Coatings-Option

The CTG recommends emission limits for one-component and multi-component
general purpose coatings.  In addition, specific emission limits for
certain specialty coatings are recommended.  For each of these coating
types, separate emission limits are recommended for baked and air-dried
coatings.  Table 1 provides the recommended emission limits expressed in
terms of mass of VOC per volume of coating (excluding water and exempt
compounds, as applied) for option 1, content limits based on low-VOC
coatings.

Table 1.  Metal Furniture Coating VOC Content Limits – VOC Content
Limits are Expressed as Mass (Kilogram (kg) or Pound (lb)) Per Volume
(Liter (l) for Gallon (gal)) of Coating Less Water and Exempt Compounds,
as Applied

Coatings Type	Baked	Air Dried

	kg VOC/l coating	lb VOC/gal coating	kg VOC/l coating	lb VOC/gal coating

General, One Component	0.275	2.3	0.275	2.3

General, Multi-Component	0.275	2.3	0.340	2.8

Extreme High Gloss	0.360	3.0	0.340	2.8

Extreme Performance	0.360	3.0	0.420	3.5

Heat Resistant	0.360	3.0	0.420	3.5

Metallic	0.420	3.5	0.420	3.5

Pretreatment Coatings	0.420	3.5	0.420	3.5

Solar Absorbent	0.360	3.0	0.420	3.5

The following types of coatings and coating operations are exempt from
the recommended VOC content limits:  Stencil coatings, safety-indicating
coatings, solid-film lubricants, electric-insulating and thermal
conducting coatings, touch-up and repair coatings, and coating
applications utilizing hand-held aerosol cans.

The CTG recommends that all VOC-containing materials used by each metal
furniture coating unit be included when determining the coating unit’s
emission rate.  Additionally, the following application methods are
recommended:  Electrostatic application, HVLP spray, flow coat, roller
coat, dip coat including electrodeposition, or brush coat.

Work Practices for Coating Operations and Cleaning Materials

Work practices to further reduce emissions from the coatings as well as
minimize emissions from cleaning materials used for large appliance
coating operations are recommended, and they are:  store all
VOC-containing coatings, thinners, and cleaning materials in closed
containers; minimize spills of VOC-containing coatings, thinners, and
cleaning materials; clean up spills immediately; convey any coatings,
thinners, and cleaning materials in closed containers or pipes; close
mixing vessels that contain VOC coatings and other materials, except
when in use; and minimize usage of solvents during cleaning of storage,
mixing, and conveying of equipment.

Miscellaneous Metal and Plastic Parts Coatings CTG (EPA 453/R-08-003,
September 2008)

In June 1978, EPA issued a CTG document for controlling VOC emissions
from the coating of miscellaneous metal parts and products.  In January
1988, EPA promulgated the NSPS for the Surface Coating of Plastic Parts
for Business Machines.  In February 1994, EPA issued an Alternative
Control Techniques (ACT) document for controlling VOC emissions from the
coating of automotive/transportation and business machine plastic parts.
 In January 2004, EPA promulgated the NESHAP for Miscellaneous Metal
Parts and Products Surface Coating.  In April 2004, EPA promulgated the
NESHAP for Plastic Parts and Products Surface Coating.  After reviewing
the 1978 CTG, the 1988 NSPS, the 1994 ACT, and existing state and local
VOC emission reduction approaches, EPA developed a new CTG combining the
requirements for miscellaneous metal and plastic parts coatings into a
single CTG,  entitled “Control Techniques Guidelines for Miscellaneous
Metal and Plastic Parts Coatings” (EPA 453/R-08-003, September 2008).

Miscellaneous metal products parts coatings include, but are not limited
to, the coatings that are applied to the surfaces of a varied range of
metal parts.  These parts or products are constructed either entirely or
partially from metal.  They include, but are not limited to, metal
components of the following types of products as well as the products
themselves:  Fabricated metal products, small and large farm machinery,
commercial and industrial machinery and equipment, automotive or
transportation equipment, interior or exterior automotive parts,
construction equipment, motor vehicle accessories, bicycles and sporting
goods, toys, recreational vehicles, pleasure craft (recreational boats),
extruded aluminum structural components, railroad cars, heavier
vehicles, lawn and garden equipment, business machines, laboratory and
medical equipment, electronic equipment, steel drums, metal pipes, and
numerous other industrial and household products (hereinafter
collectively referred to as “miscellaneous metal parts”).  The CTG
applies to manufacturers of miscellaneous metal parts that surface-coat
the parts they produce.  Miscellaneous metal parts coatings do not
include coatings that are a part of other product categories listed
under section 183(e) of the CAA for which CTGs have been published
and/or coatings addressed by other CTGs.  These other categories that
are not part of the miscellaneous metal products coatings categories
include shipbuilding and repair coatings; aerospace coatings; wood
furniture coatings; metal furniture coatings; large appliance coatings;
automobile and light-duty truck assembly coatings; flatwood paneling
coatings; miscellaneous industrial adhesives; fiberglass boat
manufacturing materials; and paper, film, and foil coatings.  Can
coatings, coil coatings, and magnet wire coatings were not listed under
section 183(e) of the Act, but were addressed by earlier CTGs, and are
also not included in the miscellaneous metal parts coatings categories
addressed by this CTG.

Applicability

The September 2008 CTG for Miscellaneous Metal and Plastic Parts
Coatings provides recommendations for reducing VOC emissions from the
use of coatings in a miscellaneous metal products coating unit at a
facility where the total actual VOC emissions from all miscellaneous
metal parts coating operations, including related cleaning activities,
at that facility, are equal to or exceed 6.8 kg/day, 15 lb/day, or an
equivalent level of 2.7 tons per 12-month rolling period, before
consideration of controls.  A coating unit consists of a series of one
or more coating applicators and any associated drying area and/or oven
where a coating is applied, dried, and/or cured.  A coating unit ends at
the point where the coating is dried or cured, or prior to any
subsequent application of a different coating.  As mentioned previously,
states can adopt the above recommended 6.8 kg/day (15 lb/day) actual VOC
emissions, or an equivalent applicability threshold, or they can develop
other applicability criteria that they determine are appropriate
considering the facts and circumstances of the sources in their
particular nonattainment areas.  EPA will review the state RACT rules in
the context of the SIP revision process.  For facilities that coat
bodies and/or body parts for new heavier vehicles, EPA recommends that
these facilities have the option of meeting either the state RACT
requirements for miscellaneous metals parts coatings or the state RACT
requirements for auto and light-duty truck coatings.

Sources of VOC Emissions

Primarily, VOC emissions from miscellaneous metal products parts coating
operations result from the evaporation of volatile components from the
coatings and cleaning materials. The majority of VOC emissions from
these materials occur during coating application/flash-off and
drying/curing of the coatings.  The remaining emissions are primarily
from mixing and/or thinning.  In most cases, VOC emissions from surface
preparation, storage, handling, and waste/wastewater operations are
relatively small.

Coating Application

Surface coating of miscellaneous metal products parts surfaces is
applied by applying a coating to the metal followed by curing or drying
the coating.  The coating itself may be in the form of a liquid or
powder.  Several different types of application technologies are used to
apply liquid coatings, and the selection of the application technology
can have a significant effect on the amount of coating used and the
resulting VOC emissions from the operation.  The most common types of
liquid coating applicators include:  Air atomized spray coating,
electrostatic spray coating, HVLP spray coating, dip coating, flow
coating, roll coating, electrocoating, and autophoretic coating.  Powder
coatings can be applied through electrostatic spraying or dipping.  An
alternative to the coating techniques outlined in EPA’s CTG for this
source category would need to be approved by the State and EPA.

CTG Recommended Control Options

As stated previously, there are two main sources of VOC emissions from
miscellaneous metal parts coating operations:  (1) evaporation of the
VOC components of the coatings; and (2) evaporation of VOC from the
cleaning materials.  To control VOC emissions from miscellaneous metal
parts coatings, the CTG recommends these three options:  (1) VOC content
limits for each coating category based on the use of low-VOC content
coatings and specified application methods to achieve good transfer
efficiency; (2) equivalent VOC emission rate limits based on the use of
a combination of low-VOC coatings, specified application methods, and
add-on controls; or (3) an overall VOC control efficiency of 90 percent
for facilities that choose to add-on controls instead of low-VOC content
coatings and specified application methods.  The low-VOC coatings
recommendation (Option 1) consists of VOC content limits in terms of
mass of VOC per volume of coating, as applied, excluding water and
exempt compounds, and the use of specified application methods.  The
equivalent emission rate limit recommendation (Option 2) consists of
emission rate limits in terms of mass of VOC emitted per volume of
coating solids, as applied, and the use of specific application methods.
 This option is intended only for facilities using a combination of
low-VOC coatings, specific application methods, and add-on control
equipment on a coating unit to meet the recommended limits for mass of
VOC emitted per volume of coating solids.

In addition, it is recommended that one or more of the following coating
application methods be used in conjunction with the use of low-VOC
content coatings in Options 1 and 2:  Electrostatic application, HVLP
spray, flow coat, roller coat, dip coat (including electrodeposition),
airless spray, air-assisted airless spray, or other coating application
methods capable of achieving a transfer efficiency equivalent to or
better than that achieved by HVLP spraying.  Under an add-on control
option, (Option 3), a facility would use an emission capture system and
add-on control device to achieve an overall emission capture and control
efficiency of at least 90 percent.  The facility would not have to limit
the VOC content of the coating materials and would not need to use any
particular coating application method.

The first two options are expected to achieve equivalent VOC emission
reductions.  The third option provides facilities the flexibility to use
a high efficiency add-on control in lieu of low-VOC coatings and
specified application methods, especially when the use of high VOC
coatings is necessary or desirable.  The third option is expected to
achieve an emission reduction at least as great as the first two
options.

Additionally, work practices to further reduce VOC emissions from
coatings as well as to minimize emissions from cleaning materials used
in the coating process are recommended.

Consistent with the state rules which are the basis for the recommended
VOC limits, the CTG recommends VOC limits and application methods not
apply to certain types of coatings and coating operations.  For all
coating operations, it is recommended that the VOC limits and
application methods not apply to aerosol coatings products or powder
coatings.  Aerosol coatings are a separate category under Section 183(e)
of the CAA, and powder coatings are an inherently low-VOC alternative to
many liquid coatings.

The CTG recommends that for all metal parts coatings, only the
recommended work practices, but not the recommended VOC limits and
application methods, apply to the following types of coatings and
coating operations:  Stencil coatings, safety indicating coatings,
solid-film lubricants, electric-insulating and thermal-conducting
coatings, magnetic data storage disk coatings, and plastic extruded onto
metal parts to form a coating.  In addition, for all metal parts
coatings, it is recommended that the recommended application methods not
apply to touch-up coatings, repair coatings, and textured finishes, but
that the recommended VOC limits and work practices apply.

For cleaning materials, the CTG recommends that work practices be used
with all three of the control options to reduce VOC emissions.  The
application of add-on controls in conjunction with these work practices
is not recommended.  In addition, the use of a VOC content or VOC
composite vapor pressure limit for cleaning materials is not
recommended.

Under option 1, VOC content limits based on low-VOC coatings, separate
sets of emission limits for metal parts coatings, plastic parts
coatings, automotive/transportation and business machine plastic parts,
and pleasure craft coatings are recommended.  Separate emission limits
for baked and air-dried coatings is recommended.  Table 2 provides the
recommended emission limits expressed in terms of mass of VOC per volume
of coating (excluding water and exempt compounds, as applied) for option
1.

Table 2.  Metal Parts and Products VOC Content Limits – VOC Content
Limits are Expressed as Mass (Kilogram (kg) or Pound (lb)) Per Volume
(Liter (l) or Gallon (gal)) of Coating Less Water and Exempt Compounds,
as Applied

	Air Dried	Baked

Coating Category	kg VOC/l coating	lb VOC/gal coating	kg VOC/l coating	lb
VOC/gal coating

General

One Component

0.34

2.8

0.28

2.3

General

Multi-Component	0.34	2.8	0.28	2.3

Camouflage	0.42	3.5	0.42	3.5

Electric-Insulating Varnish	0.42	3.5	0.42	3.5

Etching Filler	0.42	3.5	0.42	3.5

Extreme High-Gloss	0.42	3.5	0.36	3.0

Extreme Performance	0.42	3.5	0.36	3.0

Heat Resistant	0.42	3.5	0.36	3.0

High Performance Architectural	0.74	6.2	0.74	6.2

High Temperature	0.42	3.5	0.42	3.5

Metallic	0.42	3.5	0.42	3.5

Military Specification	0.34	2.8	0.28	2.3

Mold-Seal	0.42	3.5	0.42	3.5

Pan Backing	0.42	3.5	0.42	3.5

Prefabricated Architectural

Multi-Component	0.42	3.5	0.28	2.3

Prefabricated Architectural

One-Component	0.42	3.5	0.28	2.3

Pretreatment Coatings	0.42	3.5	0.42	3.5

Repair and Touch up	0.42	3.5	0.36	3.0

Silicone Release	0.42	3.5	0.42	3.5

Solar-Absorbent	0.42	3.5	0.36	3.0

Vacuum Metalizing	0.42	3.5	0.42	3.5

Work Practices for Coating Operations and Cleaning Materials

In addition to the control options mentioned above, the CTG recommends
work practices to further reduce VOC emissions from miscellaneous metal
parts coating-related activities.  Specifically, at a minimum, the
following work practices are recommended:  (1) store all VOC-containing
coatings, thinners, and coating-related waste materials in closed
containers; (2) ensure that storage containers used for VOC-containing
cleaning materials are kept closed at all times except when depositing
or removing these materials; (3) minimize spills of VOC-containing
cleaning materials; (4) convey VOC-containing cleaning materials from
one location to another in closed containers or pipes; and (5) minimize
VOC emissions from cleaning of application, storage, mixing, and
conveying equipment, by ensuring that equipment cleaning is performed
without atomizing the cleaning solvent and all spent solvent is captured
in closed containers.

B.  STATE SUBMITTAL

On July 28, 2014, Maryland Department of the Environment (MDE) submitted
a SIP revision to EPA adopting the requirements of EPA’s CTGs for
metal furniture, and miscellaneous metal parts.  EPA develops CTGs as
guidance on control requirements for source categories.  States can
follow the recommendations of a CTG and adopt state regulations to
implement the recommendations contained therein, or they can adopt
alternative approaches.  With one exception, MDE is adopting EPA’s CTG
standards for the coating of miscellaneous metal, and metal furniture,
and incorporating them into their Regulation .08 under COMAR 26.11.19.

Maryland’s SIP submission included one alternative approach for
meeting VOC RACT, by adding robotic application of heavy-duty engine
coatings as an appropriate method for coating applications as long as
the transfer efficiency is equivalent or better than the efficiency
achieved by HVLP spraying.

The following changes are being made to COMAR <IP_ADDRESS> in the
Maryland SIP:

The title of section <IP_ADDRESS> is being changed from “Metal
Furniture Coating” to “Metal Parts and Products Coating”

Definitions for the following are added in section <IP_ADDRESS>(A):
Adhesion promoter, air-dried coating, baked coating, camouflage coating,
electric-insulating and thermal-conducting coating, electric-insulating
varnish, etching filler, extreme high gloss coating, extreme performance
coating, heat-resistant coating, high performance architectural coating,
high temperature coating, magnetic data storage disk coating, metal
parts and products coating, metallic coating, military specification
coating, mold-seal coating, multi-component coating, one-component
coating, pan-backing coating, prefabricated architectural component
coating, pretreatment coating, repair coating, robotic application of
heavy-duty engine coatings, safety-indicating coating, silicone release
coating, stencil coating, touch-up coating, and vacuum-metalizing
coating.

The existing section <IP_ADDRESS>(B), Emission Standards, is being
removed.

Section <IP_ADDRESS>(B), Incorporation by Reference, is added,
incorporating the following documents for incorporation by reference:
AAMA 2604-05 Voluntary Specification, Performance Requirements and Test
Procedures for High Performance Organic Coatings on Aluminum Extrusions
and Panels; and AAMA 2605-05 Voluntary Specification, Performance
Requirements and Test Procedures for Superior Performing Organic
Coatings on Aluminum Extrusions and Panels.

Section <IP_ADDRESS>(C), Applicability and Exemptions, is added.  Section
<IP_ADDRESS>(C) defines to whom the regulation applies and in what
instances it does not.  In line with the recommendations found in the
Metal Furniture and Miscellaneous Metal and Plastic Parts CTGs,
Maryland’s regulation applies to those who own or operate a metal
furniture coating installation, and to a metal parts and products
coating operation at a premise where the total VOC emissions from all
metal parts and products surface coating operations, including emissions
from related cleaning activities, exceeds 15 lb/day (6.8 kg/day).  This
section clarifies that regulation .08 does not apply to those coatings
for product categories which are already covered by previously in place
state regulations.  The product category coatings which are listed as
not applying under regulation .08, and the applicable state regulation
which covers each product category type, include the following:
Automotive and light duty truck coating (COMAR <IP_ADDRESS>), can coating
(COMAR <IP_ADDRESS>), coil coating (COMAR <IP_ADDRESS>), large appliance
coating (COMAR <IP_ADDRESS>), paper, fabric, film, and foil coating
(COMAR <IP_ADDRESS>), plastic parts and business machine coatings (COMAR
<IP_ADDRESS>-2), cold and vapor degreasing (COMAR <IP_ADDRESS>),
industrial solvent cleaning operations other than cold and vapor
degreasing (COMAR <IP_ADDRESS>-1), drum and pail coating (COMAR
<IP_ADDRESS>), aerospace coating (COMAR <IP_ADDRESS>-1), brake shoe
coating (COMAR <IP_ADDRESS>-2), structural steel coating (COMAR
<IP_ADDRESS>-3), refinishing of motor vehicles (COMAR <IP_ADDRESS>),
marine vessel coating (COMAR <IP_ADDRESS>), and pleasure craft coating
(COMAR <IP_ADDRESS>-1).

Section <IP_ADDRESS>(D), Emission Standards, is added and includes
emission standards for the following metal furniture coatings:  Extreme
high gloss, extreme performance, one-component and multi-component
general, metallic, pretreatment, and solar absorbent.  Table 3 shows
Maryland’s maximum applicable VOC emission standards (expressed in
terms of mass VOC per volume coating excluding water and exempt
compounds) allowed when applying one of the listed coating types to
metal furniture.

Table 3. Maryland’s Adopted Standards for Metal Furniture Coatings

Coating	Air-Dried	Baked

	kg VOC/l coating	lb VOC/l coating	kg VOC/l coating	lb VOC/l coating

Extreme high gloss	0.340	2.8	0.360	3.0

Extreme performance	0.420	3.5	0.360	3.0

General, multi-component	0.340	2.8	0.275	2.3

General, one-component	0.275	2.3	0.275	2.3

Metallic	0.420	3.5	0.420	3.5

Pretreatment	0.420	3.5	0.420	3.5

Solar absorbent	0.420	3.5	0.360	3.0

Maryland’s adopted maximum VOC emission standards for metal furniture
coating types are all equal to or more stringent than the applicable
recommended maximum coating standards found in the Metal Furniture
Coatings CTG and in Table 1 of this document.

Section <IP_ADDRESS>(D), Emission Standards, also includes the emission
standards for the following miscellaneous metal parts coatings:
Adhesion promoter, camouflage, electric insulating varnish, etching
filler, extreme high-gloss, extreme performance, one-component general,
multi-component general, heat-resistant, high performance architectural,
high temperature, military specification, metallic, mold-seal, pan
backing, prefabricated architectural multi-component, prefabricated
architectural one-component, pretreatment, repair coating, silicone
release, solar absorbent, touch up coating, and vacuum-metalizing.
Table 4 shows Maryland’s maximum applicable VOC emission standards
(expressed in terms of mass VOC per volume coating excluding water and
exempt compounds) allowed when applying one of the listed coating types
to miscellaneous metal parts.

Table 4. Maryland’s Adopted Standards for Miscellaneous Metal Parts
Coatings

Coating	Air-Dried	Baked

	kg VOC/l coating	lb VOC/l coating	kg VOC/l coating	lb VOC/l coating

Adhesion promoter	0.479	4.0	0.479	4.0

Camouflage	0.340	2.8	0.420	3.5

Electric insulating varnish	0.340	2.8	0.420	3.5

Etching filler	0.340	2.8	0.420	3.5

Extreme high-gloss	0.420	3.5	0.360	3.0

Extreme performance	0.420	3.5	0.360	3.0

General, multi-component	0.340	2.8	0.275	2.3

General, one-component	0.340	2.8	0.275	2.3

Heat-resistant	0.420	3.5	0.360	3.0

High performance architectural	0.420	3.5	0.360	3.0

High temperature	0.340	2.8	0.420	3.5

Military specification	0.340	2.8	0.280	2.3

Metallic	0.340	2.8	0.420	3.5

Mold-seal	0.340	2.8	0.420	3.5

Pan backing	0.340	2.8	0.420	3.5

Prefabricated architectural

multi-component	0.420	3.5	0.280	2.3

Prefabricated architectural one-component	0.420	3.5	0.280	2.3

Pretreatment	0.340	2.8	0.420	3.5

Repair coating	0.420	3.5	0.360	3.0

Silicone release	0.340	2.8	0.420	3.5

Solar absorbent	0.420	3.5	0.360	3.0

Touch up coating	0.420	3.5	0.360	3.0

Vacuum-metalizing	0.340	2.8	0.420	3.5

Maryland’s adopted maximum VOC emission standards for miscellaneous
metal parts coating types are all equal to or more stringent than the
applicable recommended maximum coating standards found in the
Miscellaneous Metal and Plastic Parts Coatings CTG and in Table 2 of
this document.

Section <IP_ADDRESS>(E), Application Methods, is added and includes the
following application methods as appropriate when applying a coating:
Electrostatic application, HVLP, flow coat, roller coat, dip coat
including electrodeposition, brush coat, or a coating application method
capable of achieving a transfer efficiency equivalent to or better than
the efficiency achieved by HLVP spraying.  These application methods to
do apply to repair coatings, touch-up coatings, coatings applied to
create a textured finish, or robotic application of heavy-duty engine
coatings.

C.  CONCLUSIONS AND RECOMMENDED AGENCY ACTION:

This SIP revision satisfies all requirements for an acceptable SIP.
EPA’s evaluation shows that Regulation .08 under COMAR 26.11 contains
the required elements for a federally enforceable rule:  Emission
limitations, compliance procedures and test methods, compliance dates
and record keeping provisions.  Maryland’s SIP revision contains
special provisions that establishes definitions, specifies
applicability, establishes standards, specifies exemptions, specifies
control devices, and specifies general testing, compliance,
recordkeeping, and reporting requirements.  The amendments to Regulation
.08 meet the applicable requirements of the CAA, and the applicable EPA
regulations and policy and can be approved.

EPA approval of the SIP revision is recommended.  The regulations reduce
the VOC contents of currently regulated coatings, regulate additional
coating categories, require the use of coating application equipment
that provides for high transfer efficiency, and require that clean-up
solvent emissions be included in regulatory applicability
determinations.  The reduction of VOC emissions will reduce the
formation of ozone, and thereby protect public health and welfare.

 Decorative, protective, or functional materials that consist only of
protective oils for metal, acids, bases, or any combination of these
substances are not considered metal furniture coatings.

 A coating unit consists of a series of one or more coating applicators
and any associated drying area and/or oven wherein a coating is applied,
dried, and/or cured.  A coating unit ends at the point where the coating
is dried or cured, or prior to any subsequent application of a different
coating.  It is not necessary for a coating unit to have an oven or
flash-off area.

 Maryland used option 1, limits based on low-VOC coatings, from the
control options listed in the Metal Furniture Coatings CTG (EPA
453/R-07-005, September 2007) and only the emission limits for option 1
are listed in this TSD.  Further details of the other control options
and the accompanying emission limits per coating type can be found in
the CTG for metal furniture coatings.

 Maryland previously submitted, and EPA approved, a SIP revision to meet
the requirements to adopt RACT for plastic part coatings covered by the
CTG for Miscellaneous Metal and Plastic Parts Coatings. See 76 FR 64020
(October 17, 2011).

 Maryland previously submitted, and EPA approved, a SIP revision to meet
the requirements to adopt RACT for pleasure craft coatings covered by
the CTG for Miscellaneous Metal and Plastic Parts Coatings.  See 78 FR
59240 (September 26, 2013).

 Heavier vehicles includes all vehicles that meet the definition of the
term “other motor vehicles,” as defined in the National Emission
Standards for Surface Coating of Automobile and Light-Duty Trucks at 40
CFR 63.3176.

 Maryland’s SIP submission to meet requirements as recommended by the
CTG for Miscellaneous Metal and Plastic Parts Coatings includes heavier
vehicle coatings as a type of miscellaneous metal coating.

 Maryland used option 1 from the control options listed in the
Miscellaneous Metal and Plastic Parts Coatings CTG (EPA 453/R-08-003,
September 2008).  Only the emission limits for option 1, and for metal
parts coatings, are listed in this TSD.  Further details of the other
control options and the accompanying emission limits per coating type
for miscellaneous metal parts can be found in the CTG.

 PAGE

 PAGE   1


[Federal Register Volume 88, Number 191 (Wednesday, October 4, 2023)]
[Notices]
[Pages 68715-68718]
[FR Doc No: 2023-21957]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-98635; File No. SR-CboeBZX-2023-073]

Self-Regulatory Organizations; Cboe BZX Exchange, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule To Extend the Pilot
Programs in Connection With the Listing and Trading of P.M.-Settled
Series on Certain Broad-Based Index Options

September 28, 2023.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on September 28, 2023, Cboe BZX Exchange, Inc. (``Exchange'' or
``BZX'') filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which Items have been prepared by the Exchange. The Exchange
filed the proposal as a ``non-controversial'' proposed rule change
pursuant to Section 19(b)(3)(A)(iii) of the Act \3\ and Rule 19b-
4(f)(6) thereunder.\4\ 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\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \4\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    Cboe BZX Exchange, Inc. (the ``Exchange'' or ``BZX Options'')
proposes to extend the pilot programs in connection with the listing
and trading of P.M.-settled series on certain broad-based index
options. The text of the proposed rule change is provided in Exhibit 5.
    The text of the proposed rule change is also available on the
Exchange's website (http://markets.cboe.com/us/equities/regulation/rule_filings/bzx/), at

the Exchange's Office of the Secretary, and at the Commission's Public
Reference Room.

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

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

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

1. Purpose
    The proposed rule change extends the listing and trading of P.M.-
settled series on certain broad-based index options on a pilot
basis.\5\ Rule 29.11(a)(6) currently permits the listing and trading of
XSP options with third-Friday-of-the-month expiration dates, whose
exercise settlement value will be based on the closing index value on
the expiration day (``P.M.-settled'') on a pilot basis set to expire on
November 6, 2023 (the ``XSPPM Pilot Program''). Rule 29.11(j)(3) also
permits the listing and trading of P.M.-settled options on broad-based
indexes with weekly expirations (``Weeklys'') and end-of-month
expirations (``EOMs'') on a pilot basis set to expire on November 6,
2023 (the ``Nonstandard Expirations Pilot Program'', and together with
the XSPPM Pilot Program, the ``Pilot Programs''). The Exchange proposes
to extend the Pilot Programs through May 6, 2024.
---------------------------------------------------------------------------

    \5\ The Exchange is authorized to list for trading options that
overlie the Mini-SPX Index (``XSP'') and the Russell 2000 Index
(``RUT''). See Rule 29.11(a). See also Securities Exchange Act
Release Nos. 84480 (October 24, 2018), 83 FR 54635 (October 30,
2018) (Notice of Filing of a Proposed Rule Change To Permit the
Listing and Trading of P.M.-Settled Series on Certain Broad-Based
Index Options on a Pilot Basis) (SR-CboeBZX-2018-066) (``Notice'');
85181 (February 22, 2019), 84 FR 6842 (February 28, 2019) (Notice of
Deemed Approval of a Proposed Rule Change To Permit the Listing and
Trading of P.M.-Settled Series on Certain Broad-Based Index Options
on a Pilot Basis) (SR-CboeBZX-2018-066); 88052 (January 27, 2020),
85 FR 5753 (January 31, 2020) (Notice of Filing and Immediate
Effectiveness of a Proposed Rule Change To Extend the Pilot Programs
in Connection With the Listing and Trading of P.M.-Settled Series on
Certain Broad-Based Index Options) (SR-CboeBZX-2020-004); 88788
(April 30, 2020), 85 FR 27008 (May 6, 2020) (Notice of Filing and
Immediate Effectiveness of a Proposed Rule Change To Extend the
Pilot Programs in Connection With the Listing and Trading of P.M.-
Settled Series on Certain Broad-Based Index Options) (SR-CboeBZX-
2020-038); and 90255 (October 22, 2020), 85 FR 68378 (October 28,
2020) (Notice of Filing and Immediate Effectiveness of a Proposed
Rule Change To Extend the Pilot Programs in Connection With the
Listing and Trading of P.M.-Settled Series on Certain Broad-Based
Index Options) (SR-CboeBZX-2020-076); 91699 (April 28, 2021), 86 FR
23767 (May 4, 2021) (Notice of Filing and Immediate Effectiveness of
a Proposed Rule Change To Extend the Pilot Programs in Connection
With the Listing and Trading of P.M.-Settled Series on Certain
Broad-Based Index Options) (SR-CboeBZX-2021-031); 93454 (October 28,
2021), 86 FR 60727 (November 3, 2021) (Notice of Filing and
Immediate Effectiveness of a Proposed Rule Change To Extend the
Pilot Programs in Connection With the Listing and Trading of P.M.-
Settled Series on Certain Broad-Based Index Options) (SR-CboeBZX-
2021-072); 94802 (April 27, 2022), 87 FR 26240 (May 3, 2022) (Notice
of Filing and Immediate Effectiveness of a Proposed Rule Change To
Extend the Pilot Programs in Connection With the Listing and Trading
of P.M.-Settled Series on Certain Broad-Based Index Options) (SR-
CboeBZX-2022-029); 96208 (November 2, 2022), 87 FR 67524 (November
8, 2022) (Notice of Filing and Immediate Effectiveness of a Proposed
Rule Change To Extend the Pilot Programs in Connection With the
Listing and Trading of P.M.-Settled Series on Certain Broad-Based
Index Options) (SR-CboeBZX-2022-052) and 97442 (May 5, 2023), 88 FR
30362 (May 11, 2023) (Notice of Filing and Immediate Effectiveness
of a Proposed Rule Change To Extend the Pilot Programs in Connection
With the Listing and Trading of P.M.-Settled Series on Certain
Broad-Based Index Options) (SR-CboeBZX-2023-034).
---------------------------------------------------------------------------

XSPPM Pilot Program
    Rule 29.11(a)(6) permits the listing and trading, in addition to
A.M.-settled XSP options, of P.M.-settled XSP options with third-
Friday-of-the-month expiration dates on a pilot basis. The Exchange
believes that continuing to permit the trading of XSP options on a
P.M.-settled basis will continue to encourage greater trading in XSP
options. Other than settlement and closing time on the last trading day
(pursuant to Rule 29.10(a)) \6\, contract terms for P.M.-settled XSP
options are the same as the A.M.-settled XSP options. The contract uses
a $100 multiplier and the minimum trading increments, strike price
intervals, and expirations are the same as the A.M.-settled XSP option
series. P.M.-settled XSP options have European-style exercise. The
Exchange also has flexibility to open for trading additional series in
response to customer demand.
---------------------------------------------------------------------------

    \6\ Rule 29.10(a) permits transactions in P.M.-settled XSP
options on their last trading day to be effected on the Exchange
between the hours of 9:30 a.m. and 4 p.m. Eastern time. All other
transactions in index options are effected on the Exchange between
the hours of 9:30 a.m. and 4:15 p.m. Eastern time.
---------------------------------------------------------------------------

    If the Exchange were to propose another extension of the XSPPM
Pilot Program, the Exchange would submit a filing proposing such
amendments to the XSPPM Pilot Program. Further, any positions
established under the XSPPM Pilot Program would not be impacted by the
expiration of the XSPPM Pilot Program. For example, if the Exchange
lists a P.M.-settled XSP option that expires after the XSPPM Pilot
Program expires (and is not extended), then those positions would
continue to exist. If the pilot were not extended, then the positions
could continue to exist. However, any further trading in those series
would be restricted to transactions where at least one side of the
trade is a closing transaction.
    As part of the XSPPM Pilot Program, the Exchange submits a pilot
report to the Commission at least two months prior to the expiration
date of the pilot.\7\ This annual report contains an analysis of
volume, open interest, and trading patterns. In proposing to extend the
XSPPM Pilot Program, the Exchange will continue to abide by the
reporting requirements described in the Notice.\8\ Additionally, the
Exchange will provide the Commission with any additional data or
analyses the Commission requests because it deems such data or analyses
necessary to determine whether the XSPPM Pilot Program is consistent
with the Exchange Act. The Exchange makes its annual data and analyses
previously submitted to the Commission under the Pilot Program public
on its website and will continue to make public any data and analyses
it submits to the Commission under the Pilot Program in the future. The
Exchange also notes that its affiliated options exchange, Cboe
Exchange, Inc. (``Cboe Options'') currently lists P.M.-settled third
Friday-of-the-month XSP options.\9\
---------------------------------------------------------------------------

    \7\ The Exchange notes that the Pilot Programs currently run on
a bi-annual pilot basis.
    \8\ See supra note 5.
    \9\ See Cboe Options Rule 4.13.13, which also permits P.M.-
settled third Friday-of-the-month SPX options on a pilot basis. Cboe
Options recently received approval to list these options on a
permanent basis. See Securities Exchange Act Release No. 98455
(September 20, 2023) (SR-CBOE-2023-019) (order approving proposed
rule change to make permanent the operation of a program that allows
the Exchange to list p.m.-settled third Friday-of-the-month XSP and
MRUT options series).
---------------------------------------------------------------------------

Nonstandard Expirations Pilot Program
    Rule 29.11(j)(1) permits the listing and trading, on a pilot basis,
of P.M.-settled options on broad-based indexes with nonstandard
expiration dates and is currently set to expire on November 6, 2023.
The Nonstandard Expirations Pilot Program permits both Weeklys and EOMs
as discussed below. Contract terms for the Weekly and EOM expirations
are similar to those of the

A.M.-settled broad-based index options, except that the Weekly and EOM
expirations are P.M.-settled.
    In particular, Rule 29.11(j)(1) permits the Exchange to open for
trading Weeklys on any broad-based index eligible for standard options
trading to expire on any Monday, Wednesday, or Friday (other than the
third Friday-of-the-month or days that coincide with an EOM). Weeklys
are subject to all provisions of Rule 29.11 and are treated the same as
options on the same underlying index that expire on the third Friday of
the expiration month. However, under the Nonstandard Expirations Pilot
Program, Weeklys are P.M.-settled, and new Weekly series may be added
up to and including on the expiration date for an expiring Weekly.
    Rule 29.11(a)(2) permits the Exchange to open for trading EOMs on
any broad-based index eligible for standard options trading to expire
on the last trading day of the month. EOMs are subject to all
provisions of Rule 29.11 and treated the same as options on the same
underlying index that expire on the third Friday of the expiration
month. However, under the Nonstandard Expirations Pilot Program, EOMs
are P.M.-settled, and new series of EOMs may be added up to and
including on the expiration date for an expiring EOM.
    As stated above, this proposed rule change extends the Nonstandard
Expirations Pilot Program for broad-based index options on a pilot
basis, for a period of six months. If the Exchange were to propose an
additional extension of the Nonstandard Expirations Pilot Program, the
Exchange would submit additional filings proposing such amendments.
Further, any positions established under the Nonstandard Expirations
Pilot Program would not be impacted by the expiration of the pilot. For
example, if the Exchange lists a Weekly or EOM that expires after the
Nonstandard Expirations Pilot Program expires (and is not extended),
then those positions would continue to exist. However, any further
trading in those series would be restricted to transactions where at
least one side of the trade is a closing transaction.
    As part of the Nonstandard Expirations Pilot Program, the Exchange
submits a pilot report to the Commission at least two months prior to
the expiration date of the pilot.\10\ This annual report contains an
analysis of volume, open interest, and trading patterns. In proposing
to extend the Nonstandard Expirations Pilot Program, the Exchange will
continue to abide by the reporting requirements described in the
Notice.\11\ Additionally, the Exchange will provide the Commission with
any additional data or analyses the Commission requests because it
deems such data or analyses necessary to determine whether the
Nonstandard Expirations Pilot Program is consistent with the Exchange
Act. The Exchange is in the process of making public on its website
data and analyses previously submitted to the Commission under the
Pilot Program, and will make public any data and analyses it submits to
the Commission under the Pilot Program in the future. The Exchange
notes that other exchanges, including its affiliated exchange, Cboe
Options, currently lists weekly and end-of-month expirations.\12\
---------------------------------------------------------------------------

    \10\ See supra note 7.
    \11\ See supra note 5.
    \12\ See Cboe Options Rule 4.13(e); and Phlx Rule 1101A(b)(5).
Cboe Options recently received approval to list these options on a
permanent basis. See Securities Exchange Act Release No. 98456
(September 20, 2023) (SR-CBOE-2023-020) (order approving proposed
rule change to make the nonstandard expirations pilot program
permanent).
---------------------------------------------------------------------------

Additional Information
    The Exchange believes there is sufficient investor interest and
demand in the XSPPM and Nonstandard Expirations Pilot Programs to
warrant their extension. The Exchange believes that the Programs have
provided investors with additional means of managing their risk
exposures and carrying out their investment objectives. The proposed
extensions will continue to offer investors the benefit of added
transparency, price discovery, and stability, as well as the continued
expanded trading opportunities in connection with different expiration
times. The Exchange proposes the extension of the Pilot Programs in
order to continue to give the Commission more time to consider the
impact of the Pilot Programs. To this point, the Exchange believes that
the Pilot Programs have been well-received by its Members and the
investing public, and the Exchange would like to continue to provide
investors with the ability to trade P.M.-settled XSP options and
contracts with nonstandard expirations. All terms regarding the trading
of the Pilot Products shall continue to operate as described in the
XSPPM and Nonstandard Expirations Notice.\13\ The Exchange merely
proposes herein to extend the terms of the Pilot Programs to May 6,
2024.
---------------------------------------------------------------------------

    \13\ See supra note 5.
---------------------------------------------------------------------------

    Furthermore, the Exchange has not experienced any adverse market
effects with respect to the Programs. The Exchange will continue to
monitor for any such disruptions or the development of any factors that
would cause such disruptions. The Exchange represents it continues to
have an adequate surveillance program in place for index options and
that the proposed extension will not have an adverse impact on
capacity.
2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with
the Securities Exchange Act of 1934 (the ``Act'') and the rules and
regulations thereunder applicable to the Exchange and, in particular,
the requirements of Section 6(b) of the Act.\14\ Specifically, the
Exchange believes the proposed rule change is consistent with the
Section 6(b)(5) \15\ requirements that the rules of an exchange be
designed to prevent fraudulent and manipulative acts and practices, to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, to remove impediments to and perfect the
mechanism of a free and open market and a national market system, and,
in general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78f(b).
    \15\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    In particular, the Exchange believes that the proposed extension of
the Pilot Programs will continue to provide greater opportunities for
investors. The Exchange believes that the Pilot Programs have been
successful to date. The proposed rule change allows for an extension of
the Program for the benefit of market participants. The Exchange
believes that there is demand for the expirations offered under the
Program and believes that P.M.-settled XSP, Weekly Expirations and EOMs
will continue to provide the investing public and other market
participants with the opportunities to trade desirable products and to
better manage their risk exposure. The proposed extension will also
provide the Commission further opportunity to observe such trading of
the Pilot Products. Further, the Exchange has not encountered any
problems with the Programs; it has not experienced any adverse effects
or meaningful regulatory or capacity concerns from the operation of the
Pilot Programs. Also, the Exchange believes that such trading pursuant
to the XSPPM Pilot Program has not, and will not, adversely impact fair
and orderly markets on Expiration Fridays for the underlying stocks
comprising the S&P 500 index.

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. Specifically, the Exchange
believes that, by extending the expiration of the Pilot Programs, the
proposed rule change will allow for further analysis of the Program and
a determination of how the Program shall be structured in the future.
In doing so, the proposed rule change will also serve to promote
regulatory clarity and consistency, thereby reducing burdens on the
marketplace and facilitating investor protection.
    Specifically, the Exchange does not believe the continuation of the
Pilot Program will impose any unnecessary or inappropriate burden on
intramarket competition because it will continue to apply equally to
all BZX Options market participants, and the Pilot Products will
continue to be available to all BZX Options market participants. The
Exchange believes there is sufficient investor interest and demand in
the Pilot Programs to warrant its extension. The Exchange believes
that, for the period that the Pilot Programs has been in operation, it
has provided investors with desirable products with which to trade.
Furthermore, as stated above, the Exchange maintains that it has not
experienced any adverse market effects or regulatory concerns with
respect to the Pilot Programs. The Exchange further does not believe
that the proposed extension of the Pilot Programs will impose any
burden on intermarket competition that is not necessary or appropriate
in furtherance of the purposes of the Act because it only applies to
trading on BZX Options. To the extent that the continued trading of the
Pilot Products may make BZX Options a more attractive marketplace to
market participants at other exchanges, such market participants may
elect to become BZX Options market participants.

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

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

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

    Because the proposed rule change does not: (i) significantly affect
the protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative for 30
days from the date on which it was filed, or such shorter time as the
Commission may designate, it has become effective pursuant to Section
19(b)(3)(A) of the Act \16\ and subparagraph (f)(6) of Rule 19b-4
thereunder.\17\ At any time within 60 days of the filing of the
proposed rule change, the Commission summarily may temporarily suspend
such rule change if it appears to the Commission that such action is
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.
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    \16\ 15 U.S.C. 78s(b)(3)(A).
    \17\ 17 CFR 240.19b-4(f)(6). In addition, Rule19b-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 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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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 (https://www.sec.gov/rules/sro.shtml); or
     Send an email to [email protected]. Please include
file number SR-CboeBZX-2023-073 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-CboeBZX-2023-073. 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 (https://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
a.m. and 3 p.m. Copies of the filing also will be available for
inspection and copying at the principal office of the Exchange. Do not
include personal identifiable information in submissions; you should
submit only information that you wish to make available publicly. We
may redact in part or withhold entirely from publication submitted
material that is obscene or subject to copyright protection. All
submissions should refer to file number SR-CboeBZX-2023-073 and should
be submitted on or before October 25, 2023.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
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    \18\ 17 CFR 200.30-3(a)(12).
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Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-21957 Filed 10-3-23; 8:45 am]
BILLING CODE 8011-01-P