[Federal Register Volume 81, Number 225 (Tuesday, November 22, 2016)]
[Rules and Regulations]
[Pages 83672-83674]
[FR Doc No: 2016-28116]

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Food and Drug Administration

21 CFR Part 176

[Docket No. FDA-2016-F-1153]

Indirect Food Additives: Paper and Paperboard Components

AGENCY: Food and Drug Administration, HHS.

ACTION: Final rule.

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SUMMARY: The Food and Drug Administration (FDA or we) is amending the
food additive regulations to no longer provide for the use of two
specific perfluoroalkyl containing substances as oil and water
repellents for paper and paperboard for use in contact with aqueous and
fatty foods because these uses have been abandoned. This action is in
response to a petition filed by Keller and Heckman LLP on behalf of 3M
Corporation.

DATES: This rule is effective November 22, 2016. See section VIII for
further information on the filing of objections. Submit either
electronic or written objections and requests for a hearing by December
22, 2016.

ADDRESSES: You may submit objections and requests for a hearing as
follows.

Electronic Submissions

    Submit electronic objections in the following way:
     Federal eRulemaking Portal: http://www.regulations.gov.
Follow the instructions for submitting comments. Objections submitted
electronically, including attachments, to http://www.regulations.gov
will be posted to the docket unchanged. Because your objection will be
made public, you are solely responsible for ensuring that your
objection does not include any confidential information that you or a
third party may not wish to be posted, such as medical information,
your or anyone else's Social Security number, or confidential business
information, such as a manufacturing process. Please note that if you
include your name, contact information, or other information that
identifies you in the body of your objection, that information will be
posted on http://www.regulations.gov.
     If you want to submit an objection with confidential
information that you do not wish to be made available to the public,
submit the objection as a written/paper submission and in the manner
detailed (see ``Written/Paper Submissions'' and ``Instructions'').

Written/Paper Submissions

    Submit written/paper submissions as follows:
     Mail/Hand delivery/Courier (for written/paper
submissions): Division of Dockets Management (HFA-305), Food and Drug
Administration, 5630 Fishers Lane, Rm. 1061, Rockville, MD 20852.
     For written/paper objections submitted to the Division of
Dockets Management, FDA will post your objection, as well as any
attachments, except for information submitted, marked and identified,
as confidential, if submitted as detailed in ``Instructions.''
    Instructions: All submissions received must include the Docket No.
FDA-2016-F-1153 for ``Indirect Food Additives: Paper and Paperboard
Components.'' Received objections will be placed in the docket and,
except for those submitted as ``Confidential Submissions,'' publicly
viewable at http://www.regulations.gov or at the Division of Dockets
Management between 9 a.m. and 4 p.m., Monday through Friday.
     Confidential Submissions--To submit an objection with
confidential information that you do not wish to be made publicly
available, submit your objections only as a written/paper submission.
You should submit two copies total. One copy will include the
information you claim to be confidential with a heading or cover note
that states ``THIS DOCUMENT CONTAINS CONFIDENTIAL INFORMATION.'' The
Agency will review this copy, including the claimed confidential
information, in its consideration of comments. The second copy, which
will have the claimed confidential information redacted/blacked out,
will be available for public viewing and posted on http://www.regulations.gov. Submit both copies to the Division of Dockets
Management. If you do not wish your name and contact information to be
made publicly available, you can provide this information on the cover
sheet and not in the body of your comments and you must identify this
information as ``confidential.'' Any information marked as
``confidential'' will not be disclosed except in accordance with 21 CFR
10.20 and other applicable disclosure law. For more information about
FDA's posting of comments to public dockets, see 80 FR 56469, September
18, 2015, or access the information at: http://www.fda.gov/regulatoryinformation/dockets/default.htm.
    Docket: For access to the docket to read background documents or
the electronic and written/paper comments received, go to http://www.regulations.gov and insert the docket number, found in brackets in
the heading of this document, into the ``Search'' box and follow the
prompts and/or go to the Division of Dockets Management, 5630 Fishers
Lane, Rm. 1061, Rockville, MD 20852.

FOR FURTHER INFORMATION CONTACT: Vanee Komolprasert, Center for Food
Safety and Applied Nutrition (HFS-275), Food and Drug Administration,
5001 Campus Dr., College Park, MD 20740-3835,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION:

I. Background

    In a document published in the Federal Register of April 29, 2016
(81 FR 25625), we announced that we filed a food additive petition (FAP
6B4814) submitted on behalf of 3M Corporation (Petitioner) by Keller
and Heckman LLP, 1001 G Street NW., Suite 500 West, Washington, DC
20001. The petition proposed to amend Sec.  176.170 (21 CFR 176.170) to
no longer provide for the use of two different perfluoroalkyl
containing substances as oil and water repellents for paper and
paperboard for use in contact with aqueous and fatty foods because
these uses have been intentionally and permanently abandoned. The two
substances that are the subjects of the petition are as follows:
    (1) Ammonium bis (N-ethyl-2-perfluoroalkylsulfonamido ethyl)
phosphates, containing not more than 15 percent ammonium mono (N-ethyl-
2-perfluoroalkylsulfonamido ethyl) phosphates, where the alkyl group is
more than 95 percent C8 and the salts have a fluorine
content of 50.2 percent to 52.8 percent as determined on a solids
basis; and
    (2) Perfluoroalkyl acrylate copolymer (CAS Reg. No. 92265-81-1)
containing 35 to 40 weight percent fluorine, produced by the
copolymerization of ethanaminium, N,N,N-trimethyl-2-[(2-methyl-1-oxo-2-
propenyl)-oxy]-, chloride; 2-propenoic acid, 2-methyl-, oxiranylmethyl
ester; 2-propenoic acid, 2-ethoxyethyl ester; and 2-propenoic acid,
2[[(heptadecafluoro-octyl)sulfonyl]methyl amino]ethyl ester.
    In response to food additive petitions submitted by the Petitioner
(33 FR 14544, September 27, 1968; 35 FR 14840, September 24, 1970; 37
FR 9762, May 17, 1972; and 52 FR 3603, February 5, 1987), FDA
authorized certain uses of these two substances as food additives under
Sec.  176.170.

II. Evaluation of Abandonment

    Section 409(i) of the Federal, Food, Drug, and Cosmetic Act (the
FD&C Act) (21 U.S.C. 348(i)) states that we may by regulation establish
the procedure for amending or repealing a food additive regulation, and
that this procedure shall conform to the procedure provided in section
409 for the promulgation of such regulations. FDA's regulations
specific to the administrative actions for food additives provide that
the Commissioner, on his own initiative or on the petition of any
interested person, may propose the issuance of a regulation amending or
repealing a regulation pertaining to a food additive (Sec.  171.130(a)
(21 CFR 171.130(a))). The regulations further provide that any such
petition must include an assertion of facts, supported by data, showing
that new information exists with respect to the food additive or that
new uses have been developed or old uses abandoned, that new data are
available as to toxicity of the chemical, or that experience with the
existing regulation or exemption may justify its amendment or appeal.
New data must be furnished in the form specified in 21 CFR 171.1 and
171.100 for submitting petitions (Sec.  171.130(b)). Under these
regulations, a petitioner may propose that we amend a food additive
regulation if the petitioner can demonstrate that there are ``old uses
abandoned'' for the relevant food additive. Such abandonment must be
complete and permanent for any intended uses in the U.S. market. While
section 409 of the FD&C Act and Sec.  171.130 also provide for amending
or revoking a food additive regulation based on safety, an amendment or
revocation based on abandonment is not based on safety of the food
additive. Instead, the amendment or revocation is based on the fact
that regulatory authorization is no longer necessary because the use of
the food additive has been permanently and completely abandoned.
    Abandonment may be based on the abandonment of certain authorized
food additive uses for a substance (e.g., if a substance is no longer
used in certain product categories) or on the abandonment of all
authorized food additive uses of a substance (e.g., if a substance is
no longer being manufactured). If a petition seeks to amend the food
additive regulations based on the abandonment of certain uses of the
food additive, such uses must be adequately defined so that both the
scope of the abandonment and any amendment to the food additive
regulation are clear.
    The petition submitted on behalf of 3M Corporation includes the
following information to support the claim that the uses of the two
substances are no longer being introduced into interstate commerce. The
Petitioner provides a statement that the Petitioner does not currently
manufacture the two substances for food contact use in the United
States, and that to the best of the Petitioner's knowledge, the
Petitioner was the sole and exclusive domestic and international
manufacturer of the two substances for the abandoned uses. In addition,
the Petitioner submitted information on its May 2000 voluntary
agreement with the U.S. Environmental Protection Agency to phase out
production of perfluorooctane sulfonate (PFOS); which is used to
produce the two substances (https://nepis.epa.gov/Exe/ZyPDF.cgi/P100LTG6.PDF?Dockey=P100LTG6.PDF). According to the petition, the
Petitioner completed a voluntary phase-out of PFOS production in 2002.
The Petitioner states that it does not intend to manufacture or import,
nor does it maintain an inventory for sale or distribution, of the two
substances for use in food-contact applications in the United States in
the future.

III. Comments on the Filing Notice

    We provided 60 days for comments on the filing notice. We received
two comments from an individual and a consumer group. Both comments
raised two issues, which are discussed in the paragraphs that follow.
For ease of reading, we preface each comment discussion with a numbered
``Comment,'' and each response with ``Response.''
    (Comment 1) One comment asked why we are amending the regulations
if the substances are no longer in use.
    (Response) FDA is responding to an FAP, as required under section
409 of the FD&C Act. Amending these food additive regulations addresses
the FAP under the process set forth in the FD&C Act. In the case of
abandonment, regulatory authorization is no longer necessary for these
substances because their use as food additives has been permanently and
completely abandoned. Our action also gives interested parties better
information about what substances are used as food contact substances.
    (Comment 2) Another comment asked FDA to remove the approvals of
seven effective food contact notifications for long-chain
perfluorinated compounds.
    (Response) We decline to address food contact substances that are
outside the scope of this food additive petition.

IV. Conclusion

    We reviewed the data and information in the petition and other
available relevant material to determine whether the use of the two
perfluoroalkyl containing substances as oil and water repellents for
paper and paperboard for use in contact with aqueous and fatty foods
has been permanently and completely abandoned. Based on the available
information, we conclude that the use of these substances has been
permanently and completely abandoned. Therefore, we are amending 21 CFR
part 176 as set forth in this document. Upon the effective date (see
DATES), these food additive uses are no longer authorized.

V. Public Disclosure

    In accordance with Sec.  171.1(h) (21 CFR 171.1(h)), the petition
and the documents that we considered and relied upon in reaching our
decision to approve the petition will be made available for public
disclosure (see FOR FURTHER INFORMATION CONTACT). As provided in Sec.
171.1(h), we will delete from the documents any materials that are not
available for public disclosure.

VI. Analysis of Environmental Impact

    We previously considered the environmental effects of this rule, as
stated in the Federal Register of April 29, 2016, notice of petition
for FAP 6B4814. We stated that we had determined, under 21 CFR
25.32(m), that this action ``is of a type that does not individually or
cumulatively have a significant effect on the human environment,'' such
that neither an environmental assessment nor an environmental impact
statement is required. We have not received any new information or
comments that would affect our previous determination.

VII. Paperwork Reduction Act of 1995

    This final rule contains no collection of information. Therefore,
clearance by the Office of Management and Budget under the Paperwork
Reduction Act of 1995 is not required.

VIII. Objections

    If you will be adversely affected by one or more provisions of this
regulation, you may file with the Division of Dockets Management (see
ADDRESSES) either electronic or written objections. You must separately
number each objection, and within each numbered objection you must
specify with particularity the provision(s) to which you object, and
the grounds for your objection. Within each numbered objection, you
must specifically state whether you are requesting a hearing on the
particular provision that you specify in that numbered objection. If
you do not request a hearing for any particular objection, you waive
the right to a hearing on that objection. If you request a hearing,
your objection must include a detailed description and analysis of the
specific factual information you intend to present in support of the
objection in the event that a hearing is held. If you do not include
such a description and analysis for any particular objection, you waive
the right to a hearing on the objection.
    Any objections received in response to the regulation may be seen
in the Division of Dockets Management between 9 a.m. and 4 p.m., Monday
through Friday, and will be posted to the docket at http://www.regulations.gov.

List of Subjects in 21 CFR Part 176

    Food additives, Food packaging.

    Therefore, under the Federal Food, Drug, and Cosmetic Act and under
authority delegated to the Commissioner of Food and Drugs and re-
delegated to the Director, Center for Food Safety and Applied
Nutrition, 21 CFR part 176 is amended as follows:

PART 176--INDIRECT FOOD ADDITIVES: PAPER AND PAPERBOARD COMPONENTS

0
1. The authority citation for part 176 continues to read as follows:

    Authority: 21 U.S.C. 321, 342, 346, 348, 379e.

Sec.  176.170  [Amended]

0
2. Amend Sec.  176.170 in the table in paragraph (a)(5) by removing the
entries for ``Ammonium bis (N-ethyl-2-perfluoroalkylsulfonamido ethyl)
phosphates'' and ``Perfluoroalkyl acrylate copolymer.''

    Dated: November 17, 2016.
Susan Bernard,
Director, Office of Regulations, Policy and Social Science, Center for
Food Safety and Applied Nutrition.
[FR Doc. 2016-28116 Filed 11-21-16; 8:45 am]
BILLING CODE 4164-01-P


[Federal Register: November 22, 2006 (Volume 71, Number 225)]
[Notices]
[Page 67668-67673]
[DOCID:fr22no06-136]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-54765; File No. SR-NASDAQ-2006-009]

Self-Regulatory Organizations; The NASDAQ Stock Market LLC;
Notice of Filing and Order Granting Accelerated Approval to a Proposed
Rule Change and Amendments No. 1 and 2 Thereto To Permit Trading
Pursuant to Unlisted Trading Privileges of streetTRACKS Gold Shares and
To Establish Trading Rules to Trade, Pursuant to Unlisted Trading
Privileges, Certain Securities Whose Value Is Linked to the Value of
One or More Commodities

November 16, 2006.
    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 May 15, 2006 The NASDAQ Stock Market LLC (``Nasdaq'' or
``Exchange''), filed with the Securities and Exchange Commission
(``Commission'') the proposed rule change as described in Items I and
II below, which Items have been prepared by Nasdaq. On October 10,
2006, the Exchange submitted Amendment No. 1 to the proposal,\3\ and on
November 14, 2006, the Exchange submitted Amendment No. 2 to the
proposal.\4\ The Commission is publishing this notice to solicit
comments on the proposed rule change, as amended, from interested
persons, and is granting accelerated approval to the proposal, as
amended.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Amendment No. 1 replaced the original filing in its
entirety.
    \4\ Amendment No. 2 replaced Amendment No. 1 in its entirety.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    Nasdaq is making this filing to enable it to continue trading
pursuant to unlisted trading privileges (``UTP'') of streetTRACKS Gold
Shares (``Shares'') and to add Nasdaq Rule 4630 to establish trading
rules to trade, pursuant to UTP, certain securities whose value is
linked to the value of one or more commodities.
    The text of the proposed rule change is below. Proposed new
language is in italics.\5\
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    \5\ Changes are marked to the rule text that appears in the
electronic manual of Nasdaq found at http://www.complinet.com/nasdaq
.

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* * * * *

4630. Trading in Commodity-Based Trust Shares

    (a) Nasdaq will consider for trading pursuant to unlisted trading
privileges, Commodity-Based Trust Shares that meet the criteria of this
Rule.
    (b) Applicability. This Rule is applicable only to Commodity-Based
Trust Shares. Except to the extent inconsistent with this Rule, or
unless the context otherwise requires, the provisions of Rule 4420(l)
and all other Nasdaq Rules shall be applicable to the trading on Nasdaq
of such securities. Commodity-Based Trust Shares are included within
the definition of ``security'' or ``securities'' as such terms are used
in the Nasdaq Rules.
    (c) Definitions. The following terms shall, unless the context
otherwise requires, have the meaning herein specified:
    (1) Commodity-Based Trust Shares. The term ``Commodity-Based Trust
Shares'' means a security (a) that is issued by a trust (``Trust'')
that holds a specified commodity deposited with the Trust; (b) that is
issued by such Trust in a specified aggregate minimum number in return
for a deposit of a quantity of the underlying commodity; and (c) that,
when aggregated in the same specified minimum number, may be redeemed
at a holder's request by such Trust which will deliver to the redeeming
holder the quantity of the underlying commodity.
    (2) Commodity. The term ``commodity'' is defined in Section 1(a)(4)
of the Commodity Exchange Act.

    (d) Information Barriers. A member acting as a registered market
maker in Commodity-Based Trust Shares is obligated to establish
adequate information barriers when such market maker engages in inter-
departmental communications. Members should refer to NASD/NYSE Joint
Memo on Chinese Wall Policies and Procedures (NASD Notice to Members
91-45) for guidance on the ``'minimum elements'' of adequate Chinese
Wall policy and procedures.'' For purposes of Commodity-Based Trust
Shares only, ``inter-departmental communications'' shall include
communications to other departments within the same firm or the firm's
affiliates that involve trading in an underlying commodity, related
commodity futures or options on commodity futures, or any other related
commodity derivatives.
    (e) Market Maker Accounts. A member acting as a registered market
maker in Commodity-Based Trust Shares must file with Nasdaq Regulation
in a manner prescribed by Nasdaq Regulation and keep current a list
identifying all accounts for trading in an underlying commodity,
related commodity futures or options on commodity futures, or any other
related commodity derivatives, that the market maker may have or over
which it may exercise investment discretion. No market maker shall
trade in an underlying commodity, related commodity futures or options
on commodity futures, or any other related commodity derivatives, in an
account in which a market maker, directly or indirectly, controls
trading activities, or has a direct interest in the profits or losses
thereof, that has not been reported as required by this Rule.
    (f) The member acting as a registered market maker in Commodity-
Based Trust Shares shall make available to Nasdaq Regulation such
books, records or other information pertaining to transactions by such
entity or registered or non-registered employee affiliated with such
entity for its or their own accounts for trading the underlying
physical commodity, related commodity futures or options on commodity
futures, or any other related commodity derivatives, as may be
requested by Nasdaq Regulation.
    (g) In connection with trading the underlying physical commodity,
related commodity futures or options on commodity futures or any other
related commodity derivative (including Commodity-Based Trust Shares),
the member acting as a market maker in Commodity-Based Trust Shares
shall not use any material nonpublic information received from any
person associated with the member or employee of such person regarding
trading by such person or employee in the physical commodity, commodity
futures or options on commodity futures, or any other related commodity
derivatives.
    (h) Nasdaq requires that members provide all purchasers of newly
issued Commodity-Based Trust Shares a prospectus for the series of
Commodity-Based Trust Shares.
    (i) Transactions in Commodity-Based Trust Shares will occur during
the trading hours specified in Rule 4617.
* * * * *

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

    In its filing with the Commission, Nasdaq included statements
concerning the purpose of and basis for the proposed rule change and
discussed any comments it received on the proposed rule change. The
text of these statements may be examined at the places specified in
Item III below. Nasdaq 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
a. streetTRACKS Gold Shares
(1) General Description
    The Nasdaq Stock Market, Inc. (``Nasdaq Market''), the parent of
Nasdaq, currently trades the Shares. After Nasdaq begins to operate as
an exchange for trading securities not listed on Nasdaq, it proposes to
continue trading the Shares pursuant to UTP in much the same manner as
they are being traded by the Nasdaq Market currently. Nasdaq's
surveillance procedures applicable to the Shares will not change as a
result of the transition to exchange status.
    The Commission previously approved the listing and trading of the
Shares on the New York Stock Exchange (``NYSE'').\6\ The Shares
represent units of fractional undivided beneficial interest in and
ownership of the streetTRACKS Gold Trust (``Trust'').
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    \6\ See Securities Exchange Act Release No. 50603 (October 28,
2004) 69 FR 64614 (November 5, 2004) (SR-NYSE-2004-22) (``NYSE
Approval Order'').
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    The Trust is an investment trust and is not managed like a
corporation or an active investment vehicle. The Trust has no board of
directors or officers or persons acting in a similar capacity. The
Trust is not an investment company under the Investment Company Act of
1940. The purpose of the Trust is to hold gold bullion. The investment
objective of the Trust is for the Shares to reflect the performance of
the price of gold, less the Trust's expenses.
    World Gold Trust Services, LLC, a wholly owned limited liability
company of the World Gold Council,\7\ is the sponsor of the Trust
(``Sponsor''). The Bank of New York is the trustee; HSBC Bank USA, an
indirect wholly owned subsidiary of HSBC Holdings plc, is the custodian
(``Custodian''); and State Street Global Markets LLC, a wholly owned
subsidiary of State Street Corporation, is the marketing agent
(``Marketing Agent'').
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    \7\ The World Gold Council is a not-for-profit association
registered under Swiss law.
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    Generally, the assets of the Trust (e.g., gold bullion) will be
sold to pay Trust expenses and management fees. These expenses and fees
will reduce the value of an investor's Shares as gold bullion is sold
to pay such costs. Ordinary operating expenses of the Trust include:
(a) Fees paid to the Sponsor; (b) fees paid to the Trustee; (c) fees
paid to the Custodian; (d) fees paid to the Marketing Agent; and (e)
various Trust administration fees, including printing and mailing
costs, legal and audit fees, registration fees, and Nasdaq listing
fees. The Trust's estimated ordinary operating expenses are accrued
daily and reflected in the net asset value (``NAV'') of the Trust.
    The Trust will create Shares on a continuous basis only in
aggregations of 100,000 Shares (such aggregation referred to as a
``Basket''). Authorized Participants are the only persons that may
place orders to create and redeem Baskets by making an in kind deposit
of gold together with, if applicable, a specified cash payment.
Similarly, the Trust will redeem Shares only in Baskets, principally in
exchange for gold and, if applicable, a cash payment. Because the
creation and redemption process facilitates the potential for
arbitrage, the NYSE stated that the Sponsor believed that the Shares
would not trade at a material discount or premium to the underlying
gold held by the Trust.
(2) Availability of Information About the Shares
    The global trade in gold consists of over-the-counter transactions
in spot, forwards, and options and other derivatives, together with
exchange-traded futures and options. The NYSE

Listing Order contains descriptions of the key components of the gold
market.
    The last sale price for the Shares is disseminated over the
Consolidated Tape. Gold pricing information based on the spot price for
a troy ounce of gold from various financial information service
providers, such as Reuters and Bloomberg, is available on a 24-hour
basis. Complete real-time data for gold futures and options prices
traded on the COMEX (a division of the NYMEX) is available by
subscription from Reuters and Bloomberg. The NYMEX also provides
delayed futures and options information on current and past trading
sessions and market news free of charge on its Web site. Nasdaq, via a
link from its own public Web site (http://www.nasdaq.com) to the Trust Web site (http://www.streettracksgoldshares.com), will provide at no
o
charge continuously updated bids and offers indicative of the spot
price of gold.\8\
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    \8\ The Trust's Web site's gold spot price will be provided by
The Bullion Desk (http://thebulliondesk.com). The Trust's Web site

will indicate that there are other sources for obtaining the gold
spot price. In the event that the Trust's Web site should cease to
provide this indicative spot price from an unaffiliated source (and
the intraday indicative value) of the Shares, Nasdaq will cease to
trade the Shares.
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    The Trust Web site also will provide a calculation of the estimated
NAV (also known as the Intraday Indicative Value or ``IIV'') of a Share
as calculated by multiplying the indicative spot price of gold by the
quantity of gold backing each Share. Comparing the IIV with the last
sale price of the Shares helps an investor to determine whether, and to
what extent, Shares may be selling at a premium or a discount to the
NAV. Although provided free of charge, the indicative spot price and
IIV per Share will be provided on an essentially real-time basis.\9\
The Trust Web site provides the NAV of the Trust as calculated each
business day by the Sponsor. In addition, the Trust Web site contains
the following information, on a per-Share basis, for the Trust: (a) The
IIV as of the close of the prior business day and the midpoint of the
bid/ask price \10\ in relation to such IIV (``Bid/Ask Price''), and a
calculation of the premium or discount of such price against such IIV;
and (b) data in chart format displaying the frequency distribution of
discounts and premiums of the Bid/Ask Price against the IIV, within
appropriate ranges, for each of the four previous calendar quarters.
The Trust Web site also provides the Trust's prospectus, as well as the
two most recent reports to stockholders. The Trust Web site provides
the last sale price of the Shares as traded in the U.S. market, subject
to a 20-minute delay.\11\ Finally, the Shares will trade during all
hours that Nasdaq is open, as specified in Nasdaq Rule 4617.\12\
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    \9\ The Trust's Web site, to which the Nasdaq Web site will
link, will disseminate an indicative spot price of gold and the IIV
and indicate that these values are subject to an average delay of
five to ten seconds.
    \10\ The bid/ask price is determined using the highest bid and
lowest offer on the Consolidated Tape as of the time of calculation
of the closing day IIV.
    \11\ The last sale price of the Shares in the secondary market
is available on a real-time basis for a fee from regular data
vendors.
    \12\ The Nasdaq system operates from 7 a.m. to 8 p.m. (all times
herein refer to Eastern Standard Time) on each business day, unless
modified by Nasdaq. A Nasdaq market maker shall be open for business
as of 9:30 a.m. and shall close no earlier than 4 p.m. A Nasdaq
market maker may voluntarily open for business prior to 9:30 a.m.
and remain open for business later than 4 p.m. Nasdaq market makers
whose quotes are open prior to 9:30 a.m. or after 4 p.m. are
obligated to comply, while their quotes are open, with all Nasdaq
Rules that are not by their express terms, or by an official
interpretation of Nasdaq, inapplicable to any part of the 7 a.m. to
9:30 a.m. or 4 p.m. to 8 p.m. period.
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(3) Trading Rules
    Trading in the Shares will be subject to Nasdaq's existing rules
governing the trading of equity securities and will occur during the
hours when other equity securities are traded on Nasdaq. The minimum
price variation will be as set forth in the Nasdaq rules specifically
with respect to equity securities listed on the NYSE.
    Nasdaq is trading the Shares pursuant to UTP, but will cease
trading in the Shares during all trading sessions if: (a) The primary
market stops trading the Shares because of a regulatory halt and/or a
halt because dissemination of the IIV and/or the unaffiliated gold
value has ceased or Nasdaq no longer provides a hyperlink to the
Trust's Web site; or (b) the primary market delists the Shares.
Additionally, Nasdaq may cease trading the Shares if such other event
shall occur or condition exists which in the opinion of Nasdaq makes
further dealings on Nasdaq inadvisable.
    Because Nasdaq is trading pursuant to UTP the Shares during its
early and late trading sessions, when the primary market is closed,
Nasdaq will monitor the unaffiliated value of gold and IIV per Share
and ensure that trading of the Shares will cease during the early and
late trading sessions, if the unaffiliated value of gold and IIV per
Share (used by the primary listing exchange) is no longer calculated or
available during the early and late trading sessions, or Nasdaq stops
providing a hyperlink on its Web site to such unaffiliated gold value
or IIV per Share.
(4) Surveillance
    Nasdaq believes its surveillance procedures are adequate to
properly monitor the trading of the Shares. Specifically, the NASD
relies on its existing surveillance procedures for equity securities.
After Nasdaq begins to operate as an exchange for trading securities
not listed on Nasdaq, the NASD, on behalf of Nasdaq, will continue to
surveil Nasdaq trading, including Nasdaq trading of the Shares.
Nasdaq's transition to exchange status will not result in any change in
the surveillance process with respect to the Shares.\13\
---------------------------------------------------------------------------

    \13\ Surveillance of all trading on the Nasdaq Market, including
the trading of Shares, is currently being conducted by NASD, Inc.
Following Nasdaq's transition to exchange status, NASD, Inc. will
continue to surveil trading, pursuant to a regulatory services
agreement. Nasdaq is responsible for NASD, Inc.'s performance under
this regulatory services agreement.
---------------------------------------------------------------------------

    In addition, for intermarket surveillance purposes, Nasdaq entered
into a reciprocal Memorandum of Understanding with NYMEX, which is a
comprehensive surveillance sharing arrangement,\14\ for the sharing of
information related to any financial instrument based, in whole or in
part, upon an interest in or performance of gold.
---------------------------------------------------------------------------

    \14\ Telephone conversation between Jonathan Cayne, Associate
General Counsel, Nasdaq, and Florence Harmon, Senior Special
Counsel, Division of Market Regulation, Commission, November 15,
2006.
---------------------------------------------------------------------------

(5) Information Circular
    In connection with its commencement of operations as an exchange
for trading non-Nasdaq securities, Nasdaq will issue an information
circular (``Circular''), which, among other things, will identify
certain securities, such as the Shares, that present special
characteristics and risks associated with their trading. The Circular
will refer to the information publicly available about the identified
securities, alert members to possible prospectus delivery requirements,
and remind them of the suitability rules.
    Specifically, the Circular, among other things, will discuss what
the Shares are, how a Basket is created and redeemed, the requirement
that members deliver a prospectus to investors purchasing newly issued
Shares prior to or concurrently with the confirmation of a transaction,
applicable Nasdaq rules, dissemination of information regarding the
indicative price of gold and IIV, trading information, and the
applicability of suitability rules. The Circular will also explain that
the Trust is subject to various fees and expenses described in

the Registration Statement, and that the number of ounces of gold
required to create a Basket or to be delivered upon a redemption of a
Basket will gradually decrease over time because the Shares comprising
a Basket will represent a decreasing amount of gold due to the sale of
the Trust's gold to pay the Trust's expenses. The Circular will also
reference the fact that there is no regulated source of last sale
information regarding physical gold, and that the Commission has no
jurisdiction over the trading of gold as a physical commodity.
    The Circular will also set forth the procedures for purchases and
redemptions of the Shares in Baskets and that the Shares are not
individually redeemable but are redeemable only in Basket-size
aggregations or multiples thereof. The Circular will also advise
members of their suitability obligations with respect to recommended
transactions to customers in the Shares. The Circular will also discuss
any relief if granted by the Commission or the staff from any rules
under the Act.
b. Commodity-Based Trust Shares
    Nasdaq is also adopting Rule 4630 to govern the trading, pursuant
to UTP, of Commodity-Based Trust Shares (including the Shares). Nasdaq
currently does not list (and does not have listing rules for)
Commodity-Based Trust Shares, but its facilities are currently being
used for the over-the-counter trading of such securities if they are
listed on the NYSE or the American Stock Exchange (``Amex''). Once
Nasdaq's separation from the NASD is complete and Nasdaq begins to
operate as a national securities exchange with respect to securities
listed on the NYSE and Amex, Nasdaq plans to continue trading NYSE- and
Amex-listed Commodity-Based Trust Shares pursuant to UTP, subject to
Commission approval of UTP trading of such securities. (Nasdaq expects
to make appropriate filings with the Commission under Rule 19b-4.\15\)
---------------------------------------------------------------------------

    \15\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------

    The proposed rule, which is based on the existing rules of NYSE
Arca, Inc. as adapted for UTP trading only, would impose certain
requirements on any Nasdaq member registered and acting as a market
maker in Commodity-Based Trust Shares.
    As the proposed rule's definition of Commodity-Based Trust Shares
reflects, these securities are structurally similar to exchange traded
funds, except, of course, that their value is a function of the value
of the underlying commodities, rather than of an underlying securities
index. The proposed rule will apply to the trading of Commodity-Based
Trust Shares at all times. The proposed rule establishes the following
requirements for market makers in Commodity-Based Trust Shares:
(1) Information Barriers
    The proposed rule makes clear that a member acting as a registered
market maker in Commodity-Based Trust Shares is obligated to comply
with NASD Notice to Members 91-45 pertaining to limitations on dealings
when such market maker engages in inter-departmental communications.
For purposes of Commodity-Based Trust Shares only, ``inter-departmental
communications'' shall include communications to other departments
within the same firm or the firm's affiliates that involve trading in
an underlying commodity, related commodity futures or options on
commodity futures, or any other related commodity derivatives.
(2) Market Maker Accounts
    A member acting as a registered market maker in Commodity-Based
Trust Shares will be required to file and keep current a list of all
accounts for trading in an underlying commodity, related commodity
futures or options on commodity futures, or any other related commodity
derivatives, that the market maker may have or over which it may
exercise investment discretion.
(3) Books and Records
    A member acting as a registered market maker in Commodity-Based
Trust Shares will be required to make available to Nasdaq Regulation
such books, records or other information pertaining to transactions in
the underlying physical commodity, related commodity futures or options
on commodity futures, or any other related commodity derivatives, as
may be requested by Nasdaq Regulation.
(4) Material Non-public Information
    In connection with trading the underlying physical commodity,
related commodity futures or options on commodity futures or any other
related commodity derivatives (including Commodity-Based Trust Shares),
the member acting as a market maker in Commodity-Based Trust Shares
would not be permitted to use any material non-public information
received from any person associated with the member or employee of such
person regarding trading by such person or employee in the physical
commodity, commodity futures or options on commodity futures, or any
other related commodity derivatives.
2. Statutory Basis
    Nasdaq believes that the proposed rule change is consistent with
the provisions of Section 6 of the Act \16\ in general, and with
Section 6(b)(5) of the Act \17\ in particular, in that it is designed
to prevent fraudulent and manipulative acts and practices, to promote
just and equitable principles of trade, remove impediments to a free
and open market and a national market system, and, in general, to
protect investors and the public interest.
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78f.
    \17\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

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

    Nasdaq does not believe that the proposed rule change will result
in any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act, as amended.

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.

III. Solicitation of Comments

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

Electronic Comments

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

File Number SR-NASDAQ-2006-009 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-NASDAQ-2006-009. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml
). Copies of the

submission, all subsequent amendments, all written statements with
respect to the proposed rule change that are filed with the Commission,
and all written communications relating to the proposed rule change
between the Commission and any person, other than those that may be
withheld from the public in accordance with the provisions of 5 U.S.C.
552, will be available for inspection and copying in the Commission's
Public Reference Room. Copies of such filing also will be available for
inspection and copying at the principal office of Nasdaq. 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 publicly available. All
submissions should refer to File Number SR-NASDAQ-2006-009 and should
be submitted on or before December 13, 2006.

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

    After careful review, the Commission finds that the proposed rule
change, as amended, is consistent with the requirements of the Act and
the rules and regulations thereunder applicable to a national
securities exchange.\18\ In particular, the Commission believes that
the proposal is consistent with Section 6(b)(5) of the Act,\19\ which
requires that an exchange have rules designed, among other things, to
promote just and equitable principles of trade, to remove impediments
to and perfect the mechanism of a free and open market and a national
market system, and, in general, to protect investors and the public
interest. The Commission believes that the proposal will benefit
investors by increasing competition among markets that trade the
Shares.
---------------------------------------------------------------------------

    \18\ In approving the proposal, the Commission has considered
its impact on efficiency, competition, and capital formation. See 15
U.S.C. 78c(f).
    \19\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    In addition, the Commission believes that the proposal is
consistent with Section 12(f) of the Act,\20\ which permits an exchange
to trade, pursuant to UTP, a security that is listed and traded on
another exchange.\21\ The Commission notes that it previously approved
the listing and trading of the Shares on NYSE \22\ and, via UTP, on
NYSE Arca.\23\ The Commission also believes that the proposal is
consistent with Rule 12f-5 under the Act,\24\ which provides that an
exchange shall not extend UTP to a security unless the exchange has in
effect a rule or rules providing for transactions in the class or type
of security to which the exchange extends UTP. The Exchange represented
that it meets this requirement because it deems the Shares to be equity
securities, thus rendering trading in the Shares subject to the
existing rules of the Exchange governing the trading of equity
securities, including rules relating to trading hours, trading halts,
and the minimum trading increment.
---------------------------------------------------------------------------

    \20\ 15 U.S.C. 78l(f).
    \21\ Section 12(a) of the Act, 15 U.S.C. 78l(a), generally
prohibits a broker-dealer from trading a security on a national
securities exchange unless the security is registered on that
exchange pursuant to Section 12 of the Act. Section 12(f) of the Act
excludes from this restriction trading in any security to which an
exchange ``extend[s] unlisted trading privileges.'' When an exchange
extends UTP to a security, it allows its members to trade the
security as if it were listed and registered on the exchange even
though it is not so listed and registered.
    \22\ See NYSE Approval Order, supra note 6.
    \23\ See Securities Exchange Act Release No. 51245 (February 23,
2005) 70 FR 10731 (March 4, 2005) (SR-PCX-2004-117).
    \24\ 17 CFR 240.12f-5.
---------------------------------------------------------------------------

    The Commission further believes that the proposal is consistent
with Section 11A(a)(1)(C)(iii) of the Act,\25\ which sets forth
Congress's finding that it is in the public interest and appropriate
for the protection of investors and the maintenance of fair and orderly
markets to assure the availability to brokers, dealers, and investors
of information with respect to quotations for and transactions in
securities. Quotations for and last sale information regarding the
Shares are disseminated through the Consolidated Quotation System.
Furthermore, as noted by the Exchange, various means exist for
investors to obtain reliable gold price information and thereby monitor
the underlying spot market in gold relative to the NAV of their Shares.
Additionally, the Trust's Web site provides an continuously updated IIV
(subject to an average delay of five to ten seconds). If the Trust
ceases to maintain or to calculate the IIV or if the value of the index
ceases to be widely available, the Exchange would cease trading the
Shares.
---------------------------------------------------------------------------

    \25\ 15 U.S.C. 78k-1(a)(1)(C)(iii).
---------------------------------------------------------------------------

    The Commission notes that, if the Shares were to be delisted by
NYSE, the Exchange would no longer have authority to trade the Shares
pursuant to this order.
    In support of the proposal, the Exchange made the following
representations:

1. The Exchange's surveillance procedures are adequate to deter
manipulation, and its existing surveillance procedures for investment
company units will be utilized for the Shares. Among other things, the
Exchange entered into a reciprocal Memorandum of Understanding with
NYMEX for the sharing of information related to any financial
instrument based, in whole or in part, upon an interest in or
performance of gold.
2. The Exchange will distribute an information circular to its members
prior to the commencement of trading of the Shares on the Exchange that
explains, among other things, the terms and characteristics of the
Shares and the risks associated with their trading.
3. The Exchange will require a member to provide all purchasers of
newly-issued Shares on the Exchange to provide that customer with a
product prospectus, and will note this prospectus delivery requirement
in the information circular.
4. The Exchange will cease trading the Shares during the regular market
session (a) If the primary market stops trading the Shares because of a
halt because the dissemination of the IIV and/or the unaffiliated
underlying gold spot price has ceased to be disseminated by the Trust's
Web site or because of a regulatory halt; or (b) if the primary market
delists the shares.
5. During its early and late trading sessions, when the primary market
is closed, the Exchange will monitor the dissemination of the IIV and
the unaffiliated underlying gold spot price by the Trust's Web site,
and will cease trading the Shares if this data ceases to be available.
6. The Exchange will cease trading the Shares if the Exchange's Web
site for any reason ceases to provide a hyperlink to the Trust's Web
site.

This approval order is conditioned on the Exchange's adherence to these
representations.

    Finally, the Commission believes that subsections (d) and (e) of
the Exchange's proposed Rule 4630, which impose information barriers
and trading restrictions on a member acting as a registered market
maker in the Shares, are reasonable and consistent with the Act. These
provisions would require a member acting as a registered market maker
in the Shares to provide the Exchange with information relating to its
trading in physical gold, gold futures contracts, options on gold
futures, or any other gold derivatives. Further, a member acting as a
registered market maker in the Shares would be prohibited under these
provisions from using any material nonpublic information received from
any person

associated with a member or employee of such person regarding trading
by such person or employee in physical gold, gold futures contracts,
options on gold futures, or any other gold derivatives.
    The Commission finds good cause for approving the proposal, as
amended, prior to the 30th day after the date of publication of the
notice of filing thereof in the Federal Register. As noted previously,
the Commission previously found that the listing and trading of the
Shares on NYSE and, pursuant to UTP, on NYSE Arca is consistent with
the Act.\26\ The Commission presently is not aware of any regulatory
issue that should cause the Commission to revisit these earlier
findings. Therefore, accelerating approval of the proposal should
benefit investors by creating, without undue delay, additional
competition in the market for the Shares.
---------------------------------------------------------------------------

    \26\ See supra notes 6 and 23.
---------------------------------------------------------------------------

V. Conclusion

    It is therefore ordered, pursuant to Section 19(b)(2) of the
Act,\27\ that the proposed rule change, as amended (SR-Nasdaq-2006-
009), is approved on an accelerated basis.
---------------------------------------------------------------------------

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

    For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\28\
---------------------------------------------------------------------------

    \28\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Nancy M. Morris,
Secretary.
 [FR Doc. E6-19733 Filed 11-21-06; 8:45 am]

BILLING CODE 8011-01-P


[Federal Register Volume 85, Number 125 (Monday, June 29, 2020)]
[Rules and Regulations]
[Pages 38787-38788]
[FR Doc No: 2020-13890]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 97

[Docket No. 31316 Amdt. No. 3909]

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 establishes, amends, suspends, or removes Standard
Instrument Approach Procedures (SIAPs) and associated Takeoff Minimums
and Obstacle Departure Procedures (ODPs) 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 June 29, 2020. 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 June 29, 2020.

ADDRESSES: Availability of matters incorporated by reference in the
amendment is as follows:

For Examination

    1. U.S. Department of Transportation, Docket Ops-M30, 1200 New
Jersey Avenue SE, West Bldg., Ground Floor, Washington, DC 20590-0001.
    2. The FAA Air Traffic Organization Service Area in which the
affected airport is located;
    3. The office of Aeronautical Navigation Products, 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, email
<EMAIL_ADDRESS>or go to: https://www.archives.gov/federal-register/cfr/ibr-locations.html.

Availability

    All SIAPs and Takeoff Minimums and ODPs are available online free
of charge. Visit the National Flight Data Center at nfdc.faa.gov to
register. Additionally, individual SIAP and Takeoff Minimums and ODP
copies may be obtained from the FAA Air Traffic Organization Service
Area in which the affected airport is located.

FOR FURTHER INFORMATION CONTACT: Thomas J. Nichols, Flight Procedures
and Airspace Group, Flight Technologies and Procedures Division, Flight
Standards Service, Federal Aviation Administration. Mailing Address:
FAA Mike Monroney Aeronautical Center, Flight Procedures and Airspace
Group, 6500 South MacArthur Blvd., Registry Bldg. 29 Room 104, Oklahoma
City, OK 73169. Telephone:<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: This rule amends Title 14 of the Code of
Federal Regulations, Part 97 (14 CFR part 97), by establishing,
amending, suspending, or removes SIAPS, Takeoff Minimums and/or ODPS.
The complete regulatory description of each SIAP and its associated
Takeoff Minimums or ODP for an identified airport is listed on FAA form
documents which are incorporated by reference in this amendment under 5
U.S.C. 552(a), 1 CFR part 51, and 14 CFR part 97.20. The applicable FAA
forms are FAA Forms 8260-3, 8260-4, 8260-5, 8260-15A, and 8260-15B when
required by an entry on 8260-15A.
    The large number of SIAPs, Takeoff Minimums and ODPs, their complex
nature, and the need for a special format make publication in the
Federal Register expensive and impractical. Further, airmen do not use
the regulatory text of the SIAPs, Takeoff Minimums or ODPs, but instead
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, Takeoff

Minimums and ODP listed on FAA form documents is unnecessary. This
amendment provides the affected CFR sections and specifies the types of
SIAPs, Takeoff Minimums and ODPs with their applicable effective dates.
This amendment also identifies the airport and its location, the
procedure, and the amendment number.

Availability and Summary of Material Incorporated by Reference

    The material incorporated by reference is publicly available as
listed in the ADDRESSES section.
    The material incorporated by reference describes SIAPS, Takeoff
Minimums and/or ODPS as identified in the amendatory language for part
97 of this final rule.

The Rule

    This amendment to 14 CFR part 97 is effective upon publication of
each separate SIAP, Takeoff Minimums and ODP as Amended in the
transmittal. Some SIAP and Takeoff Minimums and textual ODP amendments
may have been issued previously by the FAA in a Flight Data Center
(FDC) Notice to Airmen (NOTAM) as an emergency action of immediate
flight safety relating directly to published aeronautical charts.
    The circumstances that created the need for some SIAP and Takeoff
Minimums and ODP amendments may require making them effective in less
than 30 days. For the remaining SIAPs and Takeoff Minimums and ODPs, an
effective date at least 30 days after publication is provided.
    Further, the SIAPs and Takeoff Minimums and ODPs contained in this
amendment are based on the criteria contained in the U.S. Standard for
Terminal Instrument Procedures (TERPS). In developing these SIAPs and
Takeoff Minimums and ODPs, the TERPS criteria were applied to the
conditions existing or anticipated at the affected airports. Because of
the close and immediate relationship between these SIAPs, Takeoff
Minimums and ODPs, and safety in air commerce, I find that notice and
public procedure under 5 U.S.C. 553(b) are impracticable and contrary
to the public interest and, where applicable, under 5 U.S.C 553(d),
good cause exists for making some SIAPs effective in less than 30 days.
    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,
Navigation (Air).

    Issued in Washington, DC, on June 12, 2020.
Robert C. Carty,
Executive Deputy 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
establishing, amending, suspending, or removing Standard Instrument
Approach Procedures and/or Takeoff Minimums and Obstacle Departure
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(f), 106(g), 40103, 40106, 40113, 40114,
40120, 44502, 44514, 44701, 44719, 44721-44722.

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

Effective 16 July 2020

Sitka, AK, Sitka Rocky Gutierrez, RNAV (GPS) RWY 11, Amdt 2
Teller, AK, Teller, RNAV (GPS) RWY 8, Amdt 1
Teller, AK, Teller, RNAV (GPS) RWY 26, Amdt 1
Keystone Heights, FL, Keystone Heights, Takeoff Minimums and
Obstacle DP, Orig-A
Brunswick, GA, Brunswick Golden Isles, RNAV (GPS) RWY 25, Amdt 1B
Honolulu, HI, Daniel K Inouye Intl, LOC RWY 8L, Amdt 1B
Honolulu, HI, Daniel K Inouye Intl, RNAV (GPS) Y RWY 8L, Amdt 3A
Chicago, IL, Chicago Midway Intl, RNAV (GPS) Z RWY 22L, Amdt 2
Macomb, IL Macomb Muni, RNAV (GPS) RWY 9, Amdt 1C
Macomb, IL Macomb Muni, RNAV (GPS) RWY 27, Amdt 1B
Hartford, KY, Ohio County, RNAV (GPS) RWY 3, Orig-D
Hartford, KY, Ohio County, RNAV (GPS) RWY 21, Orig-D
Hartford, KY, Ohio County, VOR/DME-A, Orig-A, CANCELLED
Deblois, ME, Deblois Flight Strip, RNAV (GPS)-A, Orig-A
Harlowton, MT, Wheatland County at Harlowton, RNAV (GPS) RWY 27,
Orig
Block Island, RI, Block Island State, RNAV (GPS) RWY 10, Orig-D
Block Island, RI, Block Island State, VOR RWY 28, Amdt 5A
Longview, TX, East Texas Rgnl, RNAV (GPS) RWY 13, Amdt 1A
Abingdon, VA, Virginia Highlands, RNAV (GPS) RWY 6, Amdt 1B
Appleton, WI, Appleton Intl, RNAV (GPS) RWY 21, Amdt 2C

[FR Doc. 2020-13890 Filed 6-26-20; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 86, Number 243 (Wednesday, December 22, 2021)]
[Notices]
[Page 72656]
[FR Doc No: 2021-27749]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-93817; File No. 4-698]

Joint Industry Plan; Notice of Withdrawal of Amendment to the
National Market System Plan Governing the Consolidated Audit Trail

December 17, 2021.

I. Introduction

    On March 31, 2021, the Operating Committee for Consolidated Audit
Trail, LLC, on behalf of the following parties to the National Market
System Plan Governing the Consolidated Audit Trail (the ``CAT NMS
Plan'' or ``Plan''): \1\ BOX Exchange LLC, Cboe BYX Exchange, Inc.,
Cboe BZX Exchange, Inc., Cboe EDGA Exchange, Inc., Cboe EDGX Exchange,
Inc., Cboe C2 Exchange, Inc., Cboe Exchange, Inc., Financial Industry
Regulatory Authority, Inc., Investors Exchange LLC, Long-Term Stock
Exchange, Inc., Miami International Securities Exchange LLC, MEMX, LLC,
MIAX Emerald, LLC, MIAX PEARL, LLC, Nasdaq BX, Inc., Nasdaq GEMX, LLC,
Nasdaq ISE, LLC, Nasdaq MRX, LLC, Nasdaq PHLX LLC, The NASDAQ Stock
Market LLC, New York Stock Exchange LLC, NYSE American LLC, NYSE Arca,
Inc., NYSE Chicago, Inc., and NYSE National, Inc. (the
``Participants'') filed with the Securities and Exchange Commission
(``Commission'') pursuant to Section 11A(a)(3) of the Securities
Exchange Act of 1934 (``Exchange Act''),\2\ and Rule 608 thereunder,\3\
a proposed amendment (``Proposed Amendment'') to the CAT NMS Plan to
implement a revised funding model (``Proposed Funding Model'') for the
consolidated audit trail (``CAT'') and to establish a fee schedule for
Participant CAT fees in accordance with the Proposed Funding Model. The
Proposed Amendment was published for comment in the Federal Register on
April 21, 2021.\4\
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    \1\ The CAT NMS Plan is a national market system plan approved
by the Commission pursuant to Section 11A of the Exchange Act and
the rules and regulations thereunder. See Securities Exchange Act
Release No. 79318 (November 15, 2016), 81 FR 84696 (November 23,
2016) (``CAT NMS Plan Approval Order''). The CAT NMS Plan functions
as the limited liability company agreement of the jointly owned
limited liability company formed under Delaware state law through
which the Participants conduct the activities of the CAT
(``Company''). On August 29, 2019, the Participants replaced the CAT
NMS Plan in its entirety with the limited liability company
agreement of a new limited liability company named Consolidated
Audit Trail, LLC, which became the Company. The latest version of
the CAT NMS Plan is available at https://catnmsplan.com/about-cat/cat-nms-plan.
    \2\ 15 U.S.C. 78k-1(a)(3).
    \3\ 17 CFR 242.608.
    \4\ See Securities Exchange Act Release No. 91555 (April 14,
2021), 86 FR 21050 (``Notice'').
---------------------------------------------------------------------------

    On July 20, 2021, the Commission instituted proceedings pursuant to
Rule 608(b)(2)(i) of Regulation NMS,\5\ to determine whether to
disapprove the Proposed Amendment or to approve the Proposed Amendment
with any changes or subject to any conditions the Commission deems
necessary or appropriate after considering public comment.\6\ On
October 1, 2021, the Commission designated a longer period within which
to conclude proceedings regarding the Proposed Amendment.\7\
---------------------------------------------------------------------------

    \5\ 17 CFR 242.608(b)(2)(i).
    \6\ See Securities Exchange Act Release No. 92451, 86 FR 40114
(July 26, 2021) (``OIP''). Comments received in response to the OIP
and the Notice can be found on the Commission's website at https://www.sec.gov/comments/4-698/4-698-a.htm.
    \7\ See Securities Exchange Act Release No. 93227 (October 1,
2021), 86 FR 55900 (October 7, 2021).
---------------------------------------------------------------------------

    The Commission is publishing this notice to reflect that on
December 8, 2021, prior to the end of the 240-day period provided for
in Exchange Act Rule 608(b)(2)(i),\8\ the Participants withdrew the
Proposed Amendment.\9\
---------------------------------------------------------------------------

    \8\ 17 CFR 242.608(b)(2)(i).
    \9\ See Letter from Michael Simon, Chair, CAT NMS Plan Operating
Committee, to Vanessa Countryman, Secretary, Commission, dated
December 8, 2021.

    By the Commission.
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2021-27749 Filed 12-21-21; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 78, Number 188 (Friday, September 27, 2013)]
[Notices]
[Page 59671]
[FR Doc No: 2013-23559]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OECA-2013-0339; FRL--9536-6]

Information Collection Request Submitted to OMB for Review and
Approval; Comment Request; NESHAP for Boat Manufacturing (Renewal)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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

SUMMARY: The Environmental Protection Agency has submitted an
information collection request (ICR), ``NESHAP for Boat Manufacturing
(40 CFR Part 63, Subpart VVVV) (Renewal)'' (EPA ICR No. 1966.05, OMB
Control No. 2060-0546), to the Office of Management and Budget (OMB)
for review and approval in accordance with the Paperwork Reduction Act
(44 U.S.C. 3501 et seq). This is a proposed extension of the ICR, which
is currently approved through October 31, 2013. Public comments were
previously requested via the Federal Register (78 FR 33409) on June 4,
2013, during a 60-day comment period. This notice allows for an
additional 30 days for public comments. A fuller description of the ICR
is given below, including its estimated burden and cost to the public.
An Agency may not conduct or sponsor and a person is not required to
respond to a collection of information unless it displays a currently
valid OMB control number.

DATES: Additional comments may be submitted on or before October 28,
2013.

ADDRESSES: Submit your comments, referencing Docket ID Number EPA-HQ-
OECA-2013-0339, to: (1) EPA online, using www.regulations.gov (our
preferred method), by email to<EMAIL_ADDRESS>or by mail to: EPA
Docket Center, Environmental Protection Agency, Mail Code 28221T, 1200
Pennsylvania Ave. NW., Washington, DC 20460; and (2) OMB via email to
<EMAIL_ADDRESS>Address comments to OMB Desk Officer for
EPA.
    EPA's policy is that all comments received will be included in the
public docket without change including any personal information
provided, unless the comment includes profanity, threats, information
claimed to be Confidential Business Information (CBI) or other
information whose disclosure is restricted by statute.

FOR FURTHER INFORMATION CONTACT: Learia Williams, Monitoring,
Assistance, and Media Programs Division, Office of Compliance, Mail
Code 2227A, Environmental Protection Agency, 1200 Pennsylvania Ave.
NW., Washington, DC 20460; telephone number:<PHONE_NUMBER>; fax
number:<PHONE_NUMBER>; email address<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: Supporting documents which explain in detail
the information that the EPA will be collecting are available in the
public docket for this ICR. The docket can be viewed online at
www.regulations.gov or in person at the EPA Docket Center, WJC West,
Room 3334, 1301 Constitution Ave. NW., Washington, DC. The telephone
number for the Docket Center is<PHONE_NUMBER>. For additional
information about EPA's public docket, visit: http://www.epa.gov/dockets.
    Abstract: The NESHAP for Boat Manufacturing (40 CFR Part 63,
Subpart VVVV) covers resin and gel coat operations at fiberglass boat
manufacturers, paint and coating operations at aluminum boat
manufacturers, and carpet and fabric adhesive operations at all boat
manufacturers. Owners or operators of boat manufacturing facilities are
required to submit initial notification, performance tests, and
periodic reports. Respondents are also required to maintain records of
the occurrence and duration of any startup, shutdown, or malfunction in
the operation of an affected facility, or any period during which the
monitoring system is inoperative. Semiannual reports are also required.
These notifications, reports, and records are essential in determining
compliance; and are required, in general, of all sources subject to
NESHAP.
    Form Numbers: None.
    Respondents/affected entities: Boat manufacturing.
    Respondent's obligation to respond: Mandatory (40 CFR part 63,
subpart VVVV).
    Estimated number of respondents: 144 (total).
    Frequency of response: Initially, quarterly, and semiannually.
    Total estimated burden: 23,543 hours (per year). ``Burden'' is
defined at 5 CFR 1320.3(b).
    Total estimated cost: $2,303,583 (per year), includes $800
annualized capital or operation & maintenance costs.
    Changes in the Estimates: There is no change in labor hours in this
ICR compared to the previous ICR. This is due to two considerations:
(1) The regulations have not changed over the past three years and are
not anticipated to change over the next three years; and (2) the growth
rate for the industry is very low, negative or non-existent, so there
is no significant change in the overall burden. However, there is an
adjustment increase in the respondent burden costs due to an increase
in labor rate. This ICR uses updated labor rates from the Bureau of
Labor Statistics to calculate burden costs.

Richard T. Westlund,
Acting Director, Collection Strategies Division.
[FR Doc. 2013-23559 Filed 9-26-13; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register Volume 81, Number 159 (Wednesday, August 17, 2016)]
[Notices]
[Pages 54893-54896]
[FR Doc No: 2016-19575]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78544; File No. SR-NYSEMKT-2016-73]

Self-Regulatory Organizations; NYSE MKT LLC; Notice of Filing of
Proposed Rule Change Amending Rule 980NY(d) To Provide for the
Rejection of Certain Electronic Complex Orders

August 11, 2016.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on August 3, 2016, NYSE MKT LLC (the ``Exchange'' or ``NYSE MKT'')
filed with the Securities and Exchange Commission (``SEC'' or
``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the Exchange. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
---------------------------------------------------------------------------

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

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

    The Exchange proposes to amend Rule 980NY(d) to provide for the
rejection of certain Electronic Complex Orders. The proposed rule
change is available on the Exchange's Web site at www.nyse.com, at the
principal office of the Exchange, and at the Commission's Public
Reference Room.

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

    In its filing with the Commission, the 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 Exchange is proposing to amend Rule 980NY(d) to provide for the
rejection of certain Electronic Complex Orders (``ECOs'').\3\
Specifically, the Exchange proposes to reject certain ECOs that may
undermine the effectiveness of risk limitation mechanisms designed to
protect Market Makers.
---------------------------------------------------------------------------

    \3\ Rule 900.3NY(e) defines a Complex Order as any order
involving the simultaneous purchase and/or sale of two or more
different option series in the same underlying security, for the
same account, in a ratio that is equal to or greater than one-to-
three (.333) and less than or equal to three-to-one (3.00) and for
the purpose of executing [sic] particular investment strategy. Per
Rule 980NY, an ECO is a Complex Order that has been entered into the
NYSE Amex Options System (``System'') for execution. See Rule
980NY(preamble).
---------------------------------------------------------------------------

    The Exchange requires a Market Maker to utilize its risk limitation
mechanisms, which automatically remove a Market Maker's quotes in all
series of an options class when certain parameter settings are
triggered.\4\ This functionality is designed to mitigate the risk of
multiple executions on a Market Maker's quotes occurring simultaneously
across multiple series and multiple option classes. Pursuant to Rule
928NY, the Exchange establishes a time period during which the System
calculates: (1) The number of trades executed by the Market Maker in a
specified options class; (2) the volume of contracts traded by the
Market Maker in a specified options class; or (3) the percentage of the
Market Maker's quoted size in the specified class that has been
executed (the ``risk settings'').\5\ When a Market Maker has breached
its risk settings (i.e., has traded more than the contract or volume
limit or cumulative percentage limit of a class during the specified
measurement interval), the System will cancel all of the Market Maker's
quotes in that class until the Market Maker notifies the Exchange it

will resume submitting quotes.\6\ The purpose of the risk settings,
therefore, is to allow Market Makers to provide liquidity across
potentially thousands of options series without being at risk of
executing the full cumulative size of all such quotes before being
given adequate opportunity to adjust their quotes.
---------------------------------------------------------------------------

    \4\ See Rule 928NY(b)(3), (c)(3) and (d)(3). Market Makers are
required to utilize one of the three risk settings for their quotes.
See Commentary .04 to Rule 928NY. Market Makers and ATP Holders may
utilize the risk limitation mechanisms for certain orders, but they
are not required to do so. See, e.g., Rule 928NY(b)(1), (2); (c)(1),
(c)(2).
    \5\ See Rule 928NY(b)(3), (c)(3) and (d)(3). Market Makers are
required to utilize one of the three risk settings for its quotes.
See Commentary .04 to Rule 928NY.
    \6\ See Commentary .01 to Rule 928NY (requiring that a Market
Maker request that it be re-enabled after a breach of its risk
settings).
---------------------------------------------------------------------------

    An incoming ECO may execute against quotes or individual orders
comprising the Complex Order (the ``leg markets'') or against ECOs
resting in the Consolidated Book.\7\ An ECO trading against the leg
markets is commonly referred to as ``legging out.'' Current Rule
980NY(c)(ii) provides that an incoming ECO will execute first with the
leg markets, ahead of resting ECOs at the same price (i.e., the same
total net debit or credit), provided the leg markets can execute the
ECO in full or in a permissible ratio.
---------------------------------------------------------------------------

    \7\ See Rule 980NY(c)(ii).
---------------------------------------------------------------------------

    The execution of certain ECOs against the leg markets can be
problematic because ECOs that leg out may execute before triggering a
Market Maker's risk settings. Specifically, because the execution of
each leg of an ECO is contingent on the execution of the other legs,
the execution of all individual leg markets is processed as a single
transaction, not as a series of individual transactions. Thus, while
the risk settings allow a Market Maker to manage the risks associated
with providing liquidity across multiple series of an options class,
the settings do not adequately provide this risk protection because the
legs of an ECO execute in a single transaction package before
processing any subsequent messages. The practical result is that
because all legs of an ECO execute before a Market Marker has an
opportunity to react, such ECO executions are essentially able to
bypass the Market Maker's risk settings.
    Of particular concern to the Exchange are ECOs where two or more
legs are buying (selling) calls (puts), which are commonly referred to
as ``directional complex orders.'' Such directional complex orders are
typically geared towards an aggressive directional capture of
volatility. Specifically, through a combination of buying or selling of
multiple option legs at once, a market participant using one of these
strategies is aggressively buying or selling volatility. By contrast,
other types of complex strategies are designed to gain exposure to a
particular option class' movement.\8\ The Exchange has seen a recent
increase in the use of directional complex orders as a way to trade
against multiple series on the same side of the market without
triggering Market Maker risk settings. If the same legs were sent as
individual orders, rather than as components of a directional complex
order, Market Maker risk settings may have been triggered.\9\ The
Exchange is concerned that the use of directional complex orders is
undermining the important purpose of the Market Makers risk settings,
which the Exchange requires Market Makers to use for all quotes.
---------------------------------------------------------------------------

    \8\ The Exchange notes that the majority of ECOs are calendar
and vertical spreads, butterflies and straddles, which are designed
to hedge the potential move of the underlying security or to capture
premium from an anticipated market event.
    \9\ For example, if individual orders to buy 10 contracts for
the Jan 30 call, Jan 35 call and Jan 40 call are entered, each is
processed as it is received and the Market Maker risk settings are
calculated following the execution of each 10-contract order. Thus,
if either the first order or the second order trigger a Market
Maker's risk settings, the System would cancel all of the Market
Maker's quotes in that class until the Market Maker notifies the
Exchange it will resume submitting quotes (see Commentary .01 to
Rule 928NY). However, if an ECO to buy all three of these options
with a quantity of 10 contracts is entered and is executed against
the leg markets, the Market Maker risk settings for quotes in the
leg market are calculated only after the execution of all 30
contracts (the sum of the three legs of 10 contracts each) because
the execution of all individual leg markets is processed as a single
transaction, not as a series of individual transactions.
---------------------------------------------------------------------------

    To address the potential for directional ECOs to undermine the
purposes of the Market Maker risk settings, the Exchange proposes to
amend Rule 980NY(d). Specifically, the Exchange proposes to reject an
ECO if:
    (i) Composed of two legs that are (a) both buy orders or both sell
orders, and (b) both legs are calls or both legs are puts; or
    (ii) composed of three or more legs and (a) all legs are buy
orders; or (b) all legs are sell orders.\10\
---------------------------------------------------------------------------

    \10\ See proposed Rule 980NY(d). The Exchange also proposes to
delete the words ``Types of'' in the first paragraph because sub-
paragraphs (1)-(4) of paragraph (d) do not describe the ``types of''
ECOs, but rather describe the requirements for such orders.
---------------------------------------------------------------------------

    The proposed rule change would not impact the processing of ECOs
trading against other ECOs or the priority and allocation of ECOs. The
following examples illustrate the types of ECOs that would be rejected
under proposed Rule 980NY(d)(4):

Example #1: Illustrating Proposed Rule 980NY(d)(4)(i)
     Buy Call 1, Buy Call 2
     Sell Call 1, Sell Call 2
     Buy Put 1, Buy Put 2
     Sell Put 1, Sell Put 2

Example #2: Illustrating Proposed Rule 980NY(d)(4)(ii)
     Buy Call 1, Buy Call 2, Buy Put 1
     Buy Put 1, Buy Put 2, Buy Put 3
     Buy Call 1, Buy Call 2, Buy Call 3
     Buy Put 1, Buy Put 2, Buy Call 3
     Sell Put 1, Sell Put 2, Sell Call 1
    As proposed, the specified directional complex orders would be
automatically rejected. Market participants would continue to be able
to enter each leg of such complex orders as separate orders. The
Exchange believes that the potential risk of these types of directional
complex orders undermining the effectiveness of Market Maker risk
settings outweighs any potential benefit to ATP Holders submitting such
orders.
    Finally, the Exchange notes that both the Chicago Board Options
Exchange, Inc. (``CBOE'') and International Securities Exchange, LLC
(``ISE'') have recently received Commission approval to revise their
rules governing complex orders to implement functionality designed to
prevent complex orders from effectively bypassing market maker risk
parameters.\11\
---------------------------------------------------------------------------

    \11\ See Securities Exchange Act Release Nos. 73023 (September
9, 2014) 79 FR 55033 (September 15, 2014) (SR-ISE-2014-10) and 72986
(September 4, 2014) 79 FR 53798 (September 10, 2014) (SR-CBOE-2014-
017) (Approval Order). See also Securities Exchange Act Release Nos.
76106 (October 8, 2015) 80 FR 62125 (October 15, 2015) (SR-CBOE-
2014-081); 77297 (March 4, 2016), 81 FR 12764 (March 10, 2016) (SR-
CBOE-2016-014) (further amending the complex order rule, as modified
by the Approval Order, to limit a potential source of unintended
market maker risk). The Exchange acknowledges that, unlike this
proposal, CBOE and ISE do not reject the offending ECOs outright.
---------------------------------------------------------------------------

Implementation
    The Exchange will announce the implementation date of the proposed
rule change by Trader Update.
2. Statutory Basis
    The Exchange believes that its proposal is consistent with section
6(b) of the Securities Exchange Act of 1934 (the ``Act''),\12\ in
general, and furthers the objectives of section 6(b)(5) of the Act,\13\
in particular, in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to remove impediments to and perfect the mechanism
of a free and open market and a national market system, and, in
general, to protect investors and the public interest.
---------------------------------------------------------------------------

    \12\ 15 U.S.C. 78f(b).
    \13\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The proposed rule change would prevent fraudulent and manipulative
acts and practices and would remove impediments to and perfect the
mechanism of a free and open market because, it would enable the
Exchange to reject (and therefore prevent the execution of) certain
directional

complex order strategies that may undermine important Market Maker risk
settings, which are required for all Market Maker quotes. The Exchange
believes that rejecting the specified directional orders outright
provides clarity as to the disposition of ECOs submitted by market
participants and assures that the Market Maker risk settings will
operate as intended. The Exchange notes that other markets have amended
their rules to prevent directional complex orders from undermining
market maker risk settings and do not allow such orders to leg out.\14\
Because of the non-traditional nature of these directional complex
orders, the Exchange believes it unlikely that they would execute
against complex interest. Accordingly, the Exchange believes rejecting
the orders outright (as opposed to simply preventing them from legging
out) would have the same practical impact for the order-sending firms
and would be the most effective and transparent means of handling these
orders. Furthermore, the Exchange believes that the risk of the
specified directional complex orders undermining the efficacy of Market
Maker risk settings outweighs any potential benefit to ATP Holders
submitting such orders packaged as ECOs. The Exchange notes that market
participants would continue to be able to enter each leg of such
complex orders as separate orders. The Exchange also believes this
proposal would protect investors and the public interest because it
would help eliminate a degree of unnecessary risk borne by Market
Makers when fulfilling their quoting obligations to the markets and
would encourage them to contribute liquidity on the Exchange. The
Exchange believes the strengthened risk settings would encourage Market
Makers to provide tighter and deeper markets, to the benefit of all
market participants.
---------------------------------------------------------------------------

    \14\ See supra n. 11.
---------------------------------------------------------------------------

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

    The Exchange does not believe that the proposed rule change would
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act. The Exchange does not
believe that the proposed change would impose any burden on competition
that is not necessary in furtherance of the purposes of the Act because
it is designed to prevent certain ECOs from executing before triggering
Market Maker risk settings, thereby undermining this functionality. The
Exchange believes the proposed change would strengthen Market Makers
risk settings, which would, in turn, help eliminate a degree of risk
borne by Market Makers when fulfilling their quoting obligations to the
markets. The Exchange believes the strengthened risk settings would
encourage Market Makers to provide tighter and deeper markets, to the
benefit of all market participants. Because market participants would
continue to be able to enter each leg of such complex orders as
separate orders (as opposed to packaging as an ECO), the proposed
change would also not pose an undue burden on market participants that
want to enter such orders. The Exchange does not believe that the
proposed change would impose a burden on competing options exchanges,
as at least two options exchanges have substantively similar rules in
place.\15\
---------------------------------------------------------------------------

    \15\ See supra n. 11.
---------------------------------------------------------------------------

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

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

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

    The Exchange believes that the proposal qualifies for accelerated
effectiveness in accordance with section 19(b)(2) of the Act. The
Exchange believes that there is good cause for the Commission to
accelerate effectiveness because the proposed rule change is consistent
with the rules of at least two competing options markets, which have
amended their rules to prevent directional complex orders from
undermining market maker risk settings and do not allow such orders to
leg out.\16\ The Exchange would like to similarly enhance the
protection it provides to Market Makers. Because of the non-traditional
nature of these directional complex orders, the Exchange believes it
unlikely that they would execute against complex interest. Accordingly,
the Exchange believes rejecting the orders outright (as opposed to
simply preventing them from legging out) would have the same practical
impact for the order-sending firms and would be the most effective and
transparent means of handling these orders. Thus, accelerated approval
of this proposal would enable the Exchange to implement the rule change
without delay, thereby strengthening market maker risk settings and
enhancing the competitiveness of the Exchange.
---------------------------------------------------------------------------

    \16\ See supra n. 11.
---------------------------------------------------------------------------

    In addition, the Exchange believes that the proposed rejection of
the specified directional complex orders would prevent such orders from
executing before triggering (and thus, bypassing) the Market Maker risk
settings. The Exchange believes that the potential risk of these types
of directional complex orders undermining the effectiveness of Market
Maker risk settings outweighs any potential benefit to ATP Holders
submitting such orders. Market participants would continue to be able
to enter each leg of such complex orders as separate orders. Thus, the
Exchange believes good cause exists to accelerate effectiveness of this
proposal because it would help eliminate a degree of unnecessary risk
borne by Market Makers when fulfilling their quoting obligations to the
markets, which would in turn benefit all market participants because
Market Makers would be encouraged to provide tighter and deeper
markets.
    Within 45 days of the date of publication of this notice in the
Federal Register or within such longer period up to 90 days (i) as the
Commission may designate if it finds such longer period to be
appropriate and publishes its reasons for so finding or (ii) as to
which the self-regulatory organization consents, the Commission will:
    (A) By order approve or disapprove the proposed rule change, or
    (B) institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-NYSEMKT-2016-73 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-NYSEMKT-2016-73. This
file number should be included on the subject line if email is used. To
help the

Commission process and review your comments more efficiently, please
use only one method. The Commission will post all comments on the
Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml).
Copies of the submission, all subsequent amendments, all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for Web site viewing and printing in
the Commission's Public Reference Room, 100 F Street NE., Washington,
DC 20549, on official business days between the hours of 10:00 a.m. and
3:00 p.m. Copies of the filing will also be available for inspection
and copying at the principal office of the Exchange. All comments
received will be posted without change; the Commission does not edit
personal identifying information from submissions. You should submit
only information that you wish to make available publicly. All
submissions should refer to File Number SR-NYSEMKT-2016-73 and should
be submitted on or before September 7, 2016.
---------------------------------------------------------------------------

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

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\17\
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-19575 Filed 8-16-16; 8:45 am]
 BILLING CODE 8011-01-P