[Federal Register Volume 81, Number 96 (Wednesday, May 18, 2016)]
[Notices]
[Pages 31279-31283]
[FR Doc No: 2016-11652]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-77823; File No. SR-CBOE-2016-034]

Self-Regulatory Organizations; Chicago Board Options Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change Relating to Split-Price Priority

May 12, 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 May 6, 2016, Chicago Board Options Exchange, Incorporated (the
``Exchange'' or ``CBOE'') filed with the Securities and Exchange
Commission (``Commission'') the proposed rule change as described in
Items I and II below, which Items have been prepared by the Exchange.
The Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to amend its rules related to split-price
priority. The text of the proposed rule change is provided below.

(additions are italicized; deletions are [bracketed])
* * * * *
Chicago Board Options Exchange, Incorporated Rules
* * * * *
Rule 1.1. Definitions
    When used in these Rules, unless the context otherwise requires:
    (a)-(eee) No change.
Voluntary Professional
    (fff) The term ``Voluntary Professional'' means any person or
entity that is not a broker or dealer in securities that elects, in
writing, to be treated in the same manner as a broker or dealer in
securities for purposes of Rules 6.2A, 6.2B, 6.8C, 6.9, 6.13A, 6.13B,
6.25, 6.45, 6.45A (except for Interpretation and Policy .02), 6.45B
(except for Interpretation and Policy .02), 6.47, 6.53C(c)(ii),
6.53C(d)(v), subparagraphs (b) and (c) under Interpretation and Policy
.06 to Rule 6.53C, 6.74 (except Voluntary Professional orders may be
considered public customer orders subject to facilitation under
paragraphs (b) and (d)), 6.74A, 6.74B, 8.13, 8.15(d), 8.87, 24.19,
43.1, 44.4, 44.14, and for cancellation fee treatment. The Voluntary
Professional designation is not available in Hybrid 3.0 classes.
Professional
    (ggg) The term ``Professional'' means any person or entity that (i)
is not a broker or dealer in securities, and (ii) places more than 390
orders in listed options per day on average during a calendar month for
its own beneficial account(s). A Professional will be treated in the
same manner as a broker or dealer in securities for purposes of Rules
6.2A, 6.2B, 6.8C, 6.9, 6.13A, 6.13B, 6.25, 6.45, 6.45A (except for
Interpretation and Policy .02), 6.45B (except for Interpretation and
Policy .02), 6.47, 6.53C(c)(ii), 6.53C(d)(v), subparagraphs (b) and (c)
under Interpretation and Policy .06 to Rule 6.53C, 6.74 (except
Professional orders may be considered public customer orders subject to
facilitation under paragraphs (b) and (d)), 6.74A, 6.74B, 8.13,
8.15(d), 8.87, 24.19, 43.1, 44.4, 44.14. The Professional designation
is not available in Hybrid 3.0 classes. All Professional orders shall
be marked with the appropriate origin code as determined by the
Exchange.

. . . Interpretations and Policies:

.01 No change.

(hhh)--(sss) No change.

. . . Interpretations and Policies:

.01--.05 No change.
* * * * *
Rule 6.47. Priority on Split-Price Transactions Occurring in Open
Outcry
    (a) [Purchase or sale]Split-Price [p]Priority. If an order or offer
(bid) for any number of contracts of a series is represented to the
crowd, a Trading Permit Holder that buys [purchases] (sells) one or
more [option ]contracts of that order or offer (bid)[a particular
series] at one[a particular] price[ or prices, he shall, at the next
lower (higher) price at which a Trading Permit Holder other than the
Order Book Official is bidding (offering),] will have priority [in]
over all other orders and quotes, except public customer orders resting
in the book, to buy [purchasing ](sell[ing]) up to the [equivalent]same
number of [option] contracts of those remaining from the same order or
offer (bid)[series that he purchased (sold)] at the next lower (higher[
(lower]) price[ or prices, but only if his bid (offer) is made promptly
and the purchase (sale) so effected represents the opposite side of a
transaction with the same order or offer (bid) as the earlier purchase
or purchases (sale or sales). This paragraph only applies to
transactions effected in open outcry].
    (b) [Purchase or sale]Split-Price [p]Priority for O[o]rders or
Offers (Bids) of 100 or More [c]Contracts[ or more]. If an order or
offer (bid) of 100 or more contracts of a series is represented to the
crowd, a Trading Permit Holder that buys[purchases] (sells) 50[fifty]
or more of the [option ]contracts of that order or offer (bid)[a
particular series] at one[a particular] price [or prices, he shall, at
the next lower (higher) price]will have priority [in]over all other
orders and quotes to buy [purchasing ](sell[ing]) up to the [equivalent
]same number of [option ]contracts of those remaining from the same
[series that he purchased (sold)]order or offer (bid) at the next lower
(higher[ (lower]) price[ or prices, but only if his bid (offer) is made
promptly and the purchase (sale) so effected represents the opposite
side of a transaction with the same order or offer (bid) as the earlier
purchase or purchases (sale or sales)]. The Exchange may increase the
[``]minimum qualifying [order ]size['' above] of 100 contracts on a
class-by-class basis[.], [Announcements regarding]which changes [to the
minimum qualifying order size shall be made]the Exchange will announce
via Regulatory Circular.[ This paragraph only applies to transactions
effected in open outcry.]
    (c) Two or [m]More Trading Permit Holders [e]Entitled to
[p]Priority. If the bids or offers of two or more Trading Permit
Holders are both entitled to split-price priority[ in accordance with
paragraph (a) or paragraph (b)], it [shall]will be afforded [them
insofar as]to the extent practicable[,] on a pro-rata basis.
    (d) Conditions. Split-price priority is subject to the following:
    (i) The priority is available for open outcry transactions only and
does not apply to complex orders.

    (ii) The Trading Permit Holder must make its bid (offer) at the
next lower (higher) price for the second (or later) transaction at the
same time as the first bid (offer) or promptly following execution of
the first (or earlier) transaction.
    (iii) The second (or later) purchase (sale) must represent the
opposite side of a transaction with the same order or offer (bid) as
the first (or earlier) purchase (sale).
    (e) Minimum Increment Width with Public Customer Orders Resting in
the Book. If the width of the quote for a series is the minimum
increment for that series, and both the bid and offer represent public
customer orders resting in the book, split-price priority pursuant to
this rule is not available to Trading Permit Holders until the public
customer order(s) resting in the book on either side of the market
trades.

. . . Interpretations and Policies:
.01-.02 No change.
* * * * *
    The text of the proposed rule change is also available on the
Exchange's Web site (http://www.cboe.com/AboutCBOE/CBOELegalRegulatoryHome.aspx), at the Exchange's Office of the
Secretary, and at the Commission's Public Reference Room.

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

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

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

1. Purpose
    Rule 6.47 establishes priority principles for split-price
transactions occurring in open outcry. Generally, a Trading Permit
Holder that purchases (sells) one or more contracts of a series at a
particular price will have priority over other Trading Permit Holders,
other than those representing orders in the limit order book, in
purchasing (selling) up to an equivalent number of contracts of the
same order at the next lower (higher) price. For orders of 100 or more
contracts, Trading Permit Holders that trade 50 or more contracts of
such orders at a particular price will have this priority over all
other Trading Permit Holders at the next best price, including those
representing orders in the limit order book. This priority is awarded
for split-price transactions that occur in open outcry only.
Minimum Increment Width Series
    The Exchange proposes to add Rule 6.47(e) to codify an exception to
the availability of split-price priority when the width of a series'
quote is at the minimum increment width. If the width of the quote for
a series is the minimum increment for that series (e.g., $1.00-$1.05
for a series with a minimum increment of $0.05, $1.00-$1.01 for a
series with a minimum increment of $0.01), and both the bid and offer
represent public customer orders resting in the book, split-price
priority pursuant to this rule is not available to Trading Permit
Holders until the public customer order(s) resting in the book on
either side of the market trades.\3\ This exception is consistent with
the Exchange's allocation and priority rules, which provide for public
customer orders to have first priority at the best price in open outcry
(subject to applicable exceptions).\4\
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    \3\ This exception is currently set forth in Regulatory Circular
RG07-076.
    \4\ See Rules 6.45A(b)(i)(A) and 6.45B(b)(i)(A).
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    For example, assume the market for a series with a minimum
increment of $0.05 is $1.00-$1.05 (with the $1.00 bid and $1.05 offer
each representing a customer order for 25 contracts), and a Floor
Broker receives an order from a customer that would like to buy 100
contracts at a price or prices no higher than $1.05. The Floor Broker
attempts to execute the order in open outcry at a price better than the
displayed offer of $1.05. Assume a Market-Maker is willing to sell 50
contracts at $1.00 and 50 contracts at $1.05. The ``first transaction''
of this split-price transaction would be 50 contracts at $1.00.
However, there is customer interest resting at $1.00, which would have
time priority to trade at $1.00.\5\ Therefore, in this situation, if
the Market-Maker wants to receive split-price priority at $1.05, the
Market-Maker would not be able to execute the first part of a split-
price transaction with the order being represented by the Floor Broker
until after the resting customer order at $1.00 trades.
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    \5\ See id.
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    The proposed rule change provides that ``either side of the
market'' must trade for split-price priority to become available. The
rule provides that a Trading Permit Holder is eligible to receive
split-price priority, which could include the Trading Permit Holder
representing the order or offer (quote). Thus, the proposed rule change
allows for the Trading Permit Holder on either side of a transaction to
be eligible for split-price priority. Assume the market for a series
with a minimum increment of $0.05 is $1.00-$1.05 (with the $1.00 bid
and $1.05 offer each representing a customer order for 25 contracts),
and a Floor Broker receives an order from a customer that would like to
buy 100 contracts at a price or prices no higher than $1.05. After
receiving no interest from the crowd to sell 100 contracts at $1.00,
the Floor Broker represents to the crowd that it would like to buy 50
contracts at $1.00 and 50 contracts at $1.05. Assume a Market-Maker is
willing to sell 50 contracts at $1.00 and 50 contracts at $1.05. In a
separate transaction, the public customer order at $1.05 trades against
an order of another market participant. The ``first transaction'' of
this split-price transaction would be 50 contracts at $1.05 (at which
price there is no more resting public customer offer) and the ``second
transaction'' of this split-price transaction would be 50 contracts at
$1.00, the next best price for the Floor Broker. In this situation, the
Floor Broker is eligible to receive split-price priority at $1.00 over
the resting customer interest at $1.00 and achieve a better net price
execution of $1.025 for its customer order.
    Other than the limited exception to customer priority afforded in
Rule 6.47(b) (and as elsewhere set forth in the rules),\6\ public
customer orders continue to have first priority and other allocation
and priority rules remain unchanged. The Exchange believes that
specifying the unavailability of split-price priority in this specific
situation will further clarify the applicability of the priority in the
rules.
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    \6\ For example, the rules provide for a complex order priority
exception (see Rules 6.45(e), 6.45A(b)(ii) and 6.45B(b)(ii).
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Multiple Prices
    Rule 6.47(a) and (b) currently provides that split-price priority
may apply to executions of an order at multiple prices. The proposed
rule change removes the references to multiple prices from those
paragraphs. The Exchange believes the priority should only apply at the
next price level rather than multiple price levels.

Nonsubstantive Changes
    The Exchange proposes to make the following nonsubstantive changes
to Rule 6.47(a), (b) and (c):
     The proposed rule change amends the headings of and adds
introductory language to paragraphs (a) and (b).
     The proposed rule change revises the language in
paragraphs (a) and (b) to simplify the description of when the split-
price priority applies to improve readability. The priority will still
apply in the same manner--a Trading Permit Holder may buy (sell) one or
more contracts for one series of an order or offer (bid) (the ``first
transaction'') \7\ and receive priority over all other orders and
quotes (except public customer orders resting in the book with respect
to orders or offers (bids) of fewer than 100 contracts or orders or
offers (bids) with which Trading Permit Holders do not purchase (sell)
at least 50 contracts at the better price) to buy (sell) up to the same
number of contracts of those remaining from the same order or offer
(bid) at the next best price (the ``second transaction''). This second
transaction must still occur with the same order or offer (quote) as
the first transaction. For example, assume the market is $1.00-$1.20
with size of 300 contracts, and a Floor Broker receives an order from a
customer that would like to buy 500 contracts at a price or prices no
higher than $1.20. The Floor Broker attempts to execute the order in
open outcry at a price better than the displayed offer of $1.20. Now
assume a Market-Maker in the crowd is willing to sell 250 contracts at
$1.15 and 250 contracts at $1.20. The Market-Maker could offer $1.15
for 250 contracts and then, by virtue of the split-price priority rule,
have priority for the 250 contract balance over other crowd members at
$1.20. The resulting net execution price for the customer would be
$1.175, which is better than the displayed market of $1.20 and thus a
better fill for the customer.\8\
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    \7\ The Exchange notes that the current rule contemplates that
an order or quote can represent the series with which a Trading
Permit Holder may transact to receive split-price priority. The
current rule uses the phrase ``contracts of a particular series,''
which includes both orders and quotes, and indicates that the
purchase (sale) effected represents the opposite side of a
transaction with the ``same order or offer (bid)'' as the earlier
purchase (sale), which again contemplates multiple transactions with
a single originating order or quote. The proposed rule change makes
clear throughout that an order or quote can comprise the originating
contracts with which the crowd can trade to obtain split-price
priority.
    \8\ While the net price result will be $1.175, two separate
trades at $1.15 and $1.20 would be reported.
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     Paragraph (a) currently provides that the Trading Permit
Holder must yield to the Order Book Official. The proposed rule change
amends the term Order Book Official to public customer. Other priority
rules refer to ``public customer'' priority,\9\ and Rule 6.47(a)
provides priority in the circumstances described except over public
customer orders.\10\ Order Book Officials only present to the crowd
public customer orders that rest in the book, so the priority afforded
pursuant to paragraph (a) must still yield to the same public customer
orders in the same manner. This change is merely an update to
terminology, as public customer orders may be presented to the floor
other than by Order Book Officials.\11\ The Exchange believes it is
appropriate to use the same terminology that is used in other priority
rules to ensure consistency throughout the Exchange's rules and ensure
that all public customer orders receive priority when applicable.
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    \9\ See, e.g., Rules 6.45A(b)(i)(A) and 6.45B(b)(i)(A).
    \10\ The proposed rule change amends Rule 1.1(fff) and (ggg) to
add Rule 6.47 to the list of rules for which Voluntary Professionals
and Professionals, respectively, will be treated in the same manner
as a broker or dealer. Professionals and Voluntary Professionals do
not receive priority as public customers do pursuant to CBOE's
allocation rules, including Rules 6.45A(b) and 6.45B(b) regarding
open outcry trading. Under those rules, Professionals and Voluntary
Professionals would not receive priority, including if public
customer orders must be cleared prior to a Trading Permit Holder
availing itself of split-price priority. The proposed rule change
explicitly states this in the Professional and Voluntary
Professional definitions.
    \11\ Additionally, the Exchange no longer has Order Book
Officials.
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     Paragraphs (a) and (b) currently state that a Trading
Permit Holder's bid (offer) at the next best price must be made
promptly following the purchase (sale) at the initial price. The
proposed rule change deletes that language from those paragraphs and
adds it to new paragraph (d) to include with other conditions to which
split-price priority is subject. In addition, the proposed rule change
adds that the second bid (offer) may also be made at the same time as
the first bid (offer). If a Trading Permit Holder makes the first bid
(offer) with the intent of taking advantage of the split-price
priority, then it may be more efficient for the Trading Permit Holder
to announce both bids (offers) at the same time than to wait for the
first execution.\12\ The Trading Permit Holder is still not guaranteed
execution at the second price; another Trading Permit Holder may still
bid (offer) to trade with part of the order or offer (quote) at the
better first price.
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    \12\ For example, a Floor Broker may represent an order to sell
at ``$1.15 and $1.20 splits,'' indicating a desire to buy half of
the order at $1.15 and the other half at $1.20 with priority at
$1.20.
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     Paragraphs (a) and (b) currently state that they apply
only to open outcry transactions. The proposed rule change deletes that
language from those paragraphs and adds it to new paragraph (d) to
include with other conditions to which split-price priority is subject.
Paragraphs (a) and (b) also state that split-price priority applies to
transactions in a particular series (i.e. simple orders, but not
complex orders). The proposed rule change explicitly states the
priority does not apply to complex orders in new paragraph (d).
     Paragraphs (a) and (b) currently state that the Trading
Permit Holder eligible for split-price priority must make its bid
(offer) promptly and the purchase (sale) represents the opposite side
of a transaction with the same order or offer (bid). The proposed rule
change uses this phrase throughout the rule for consistency. The
proposed rule change also deletes the provision that requires the
subsequent transaction must be with the same order or offer (bid) from
paragraphs (a) and (b) and adds it to new paragraph (d).
     The proposed rule change makes other administrative and
clerical changes to paragraphs (a), (b) and (c) (e.g., capitalizing
words in headings, changing the word purchase to buy, deletion of word
option before contract since only option contracts execute on the
Exchange). The Exchange believes these changes have no impact on the
split-price priority afforded by the rule.
     The proposed rule change refers to the priority afforded
by Rule 6.47(a) and (b) as ``split-price priority'' to further simplify
the rule text.
    The Exchange believes these nonsubstantive changes more clearly
describe the applicability of the split-price priority and better
reflect the use of split-price priority on the trading floor.
2. Statutory Basis
    The Exchange believes the proposed rule change is consistent with
the Act and the rules and regulations thereunder applicable to the
Exchange and, in particular, the requirements of Section 6(b) of the
Act.\13\ Specifically, the Exchange believes the proposed rule change
is consistent with the Section 6(b)(5) \14\ requirements that the rules
of an exchange be designed to prevent fraudulent and manipulative acts
and practices, to promote just and equitable principles of trade, to
foster cooperation and coordination with persons engaged in regulating,
clearing, settling, processing information with respect to, and
facilitating transactions in securities, to remove impediments to

and perfect the mechanism of a free and open market and a national
market system, and, in general, to protect investors and the public
interest. Additionally, the Exchange believes the proposed rule change
is consistent with the Section 6(b)(5) \15\ requirement that the rules
of an exchange not be designed to permit unfair discrimination between
customers, issuers, brokers, or dealers.
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    \13\ 15 U.S.C. 78f(b).
    \14\ 15 U.S.C. 78f(b)(5).
    \15\ Id.
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    In particular, the Exchange believes the proposed rule change is
consistent with the purpose of the existing split-price priority, which
is to induce Trading Permit Holders to bid (offer) at better prices for
an order or offer (bid) that may require execution at multiple prices
(such as larger orders), which will result in a better average price
for the originating Trading Permit Holder (or its customer).
    The proposed rule change to codify the split-price priority
exception when the width of a series' quote is the minimum increment
for that series and each side of the quote represents public customer
interest will benefit investors by including all information regarding
when split-price priority is available in a single rule. This proposed
rule change is consistent with the Exchange's priority and allocation
rules. The Exchange believes the proposed rule change to codify this
exception, as well as the proposed rule change to eliminate split-price
priority at multiple price levels, balances the availability of split-
price priority, which benefits investors by providing opportunities for
price improvement, with customer priority, which promotes just and
equitable principles of trade by providing public customers access to
CBOE's market.
    The proposed rule change to amend the definitions of Voluntary
Professional and Professional clarify that, for purposes of Rule 6.47,
as is the case for all other allocation rules, those participants will
be treated as broker-dealers rather than public customers for
allocation purposes. The same result occurs under current allocation
rules, as those rules provide with respect to open outcry priority that
public customers in the book receive priority (and the definitions of
Voluntary Professional and Professional provide that those participants
are treated as broker-dealers for purposes of those rules); this merely
clarifies it in the Rules.
    The Exchange believes the nonsubstantive changes to Rule 6.47 will
benefit investors by describing the applicability of split-price
priority more simply and clearly. The revised language is also more
consistent with other Exchange rules regarding priority.

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

    CBOE does not believe that the proposed rule change will impose any
burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. The priority afforded by Rules
6.47(a) and (b) continues to be available to all Trading Permit Holders
who trade open outcry, of which all Trading Permit Holders that engage
in open outcry trading may avail themselves. Rules often apply to open
outcry trading only because of the different nature of the open outcry
market versus the electronic market (such as allocation rules). The
proposed rule change may result in better pricing for customer orders
submitted to the trading floor, particularly those that may require
execution at multiple prices, and market participants may submit orders
to CBOE to take advantage of these better prices. CBOE believes that
the proposed rule change will continue to encourage Trading Permit
Holders on CBOE's trading floor to bid or offer better prices, thus
creating more opportunities for price improvement, which ultimately
enhances competition. The nonsubstantive changes and codification of
the applicability of split-price priority in a minimum width market do
not impact the manner in which split-price priority applies and thus
have no effect on competition.

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

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

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

    The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \16\ and Rule 19b-4(f)(6) thereunder.\17\
Because the proposed rule change does not: (i) Significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.
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    \16\ 15 U.S.C. 78s(b)(3)(A)(iii).
    \17\ 17 CFR 240.19b-4(f)(6). In addition, Rule 19b-4(f)(6)(iii)
requires a self-regulatory organization to give the Commission
written notice of its intent to file the proposed rule change, along
with a brief description and text of the proposed rule change, at
least five business days prior to the date of filing of the proposed
rule change, or such shorter time as designated by the Commission.
The Exchange has satisfied this requirement.
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    At any time within 60 days of the filing of the proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act. If the Commission
takes such action, the Commission will institute proceedings to
determine whether the proposed rule change should be approved or
disapproved.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please include
File Number SR-CBOE-2016-034 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-CBOE-2016-034. 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 such filing also will 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-CBOE-2016-034, and should be
submitted on or before June 8, 2016.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
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    \18\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-11652 Filed 5-17-16; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register: November 10, 2005 (Volume 70, Number 217)]
[Notices]
[Page 68421-68422]
[DOCID:fr10no05-75]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. RP06-63-000]

Guardian Pipeline, L.L.C.; Notice of Filing

November 3, 2005.
    Take notice that on October 31, 2005, Guardian Pipeline, L.L.C.
(Guardian) tendered for filing a Petition for Approval of Settlement
Agreement and Acceptance of Cost and Revenue Study.
    Guardian states that one of the purposes of the filing is to
satisfy a requirement in an Order issued by the Commission on March 14,
2001, in Docket No. CP00-36 et al., 94 FERC ] 61,269 (2001) for
Guardian to make a rate filing after three years of operation showing
actual costs and revenues within three years from the start of
operations. Gardian states that the Settlement Agreement provides for a
reduction in Guardian's transmission plant depreciation rate from 3.33%
to 2%.
    Guardian states that copies of its filing have been mailed to all
current customers and all affected state commissions.
    Any person desiring to intervene or to protest this filing must
file in accordance with Rules 211 and 214 of the Commission's Rules of
Practice and Procedure (18 CFR 385.211 and 385.214). Protests will be
considered by the Commission in determining the appropriate action to
be taken, but will

not serve to make protestants parties to the proceeding. Any person
wishing to become a party must file a notice of intervention or motion
to intervene, as appropriate. Such notices, motions, or protests must
be filed in accordance with the provisions of section 154.210 of the
Commission's regulations (18 CFR 154.210). Anyone filing an
intervention or protest must serve a copy of that document on the
Applicant. Anyone filing an intervention or protest on or before the
intervention or protest date need not serve motions to intervene or
protests on persons other than the Applicant.
    The Commission encourages electronic submission of protests and
interventions in lieu of paper using the ``eFiling'' link at http://www.ferc.gov.
 Persons unable to file electronically should submit an

original and 14 copies of the protest or intervention to the Federal
Energy Regulatory Commission, 888 First Street, NE., Washington, DC
20426.
    This filing is accessible online at http://www.ferc.gov, using the

``eLibrary'' link and is available for review in the Commission's
Public Reference Room in Washington, DC. There is an ``eSubscription''
link on the Web site that enables subscribers to receive e-mail
notification when a document is added to a subscribed docket(s). For
assistance with any FERC Online service, please e-mail
<EMAIL_ADDRESS>or call<PHONE_NUMBER> (toll free). For

TTY, call<PHONE_NUMBER>.

Magalie R. Salas,
Secretary.
 [FR Doc. E5-6206 Filed 11-9-05; 8:45 am]

BILLING CODE 6717-01-P


[Federal Register Volume 84, Number 64 (Wednesday, April 3, 2019)]
[Rules and Regulations]
[Page 12933]
[FR Doc No: 2019-06414]

=======================================================================
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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 165

[Docket No. USCG-2019-0157]

Safety Zone; San Francisco Giants Fireworks Display, San
Francisco Bay, San Francisco, CA

AGENCY: Coast Guard, DHS.

ACTION: Notice of enforcement of regulation.

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SUMMARY: The Coast Guard will enforce the safety zone for the San
Francisco Giants Fireworks Display in the Captain of the Port, San
Francisco area of responsibility during the dates and times noted
below. This action is necessary to protect life and property of the
maritime public from the hazards associated with the fireworks display.
During the enforcement period, unauthorized persons or vessels are
prohibited from entering into, transiting through, or anchoring in the
safety zone, unless authorized by the Patrol Commander (PATCOM).

DATES: The regulations in 33 CFR 165.1191, Table 1, Item number 1, will
be enforced from 11 a.m. on April 12, 2019, through 1 a.m. on April 13,
2019, or as announced via Broadcast Notice to Mariners.

FOR FURTHER INFORMATION CONTACT: If you have questions on this notice,
call or email Lieutenant Junior Grade Jennae N. Cotton, Waterways
Management, U.S. Coast Guard Sector San Francisco; telephone (415) 399-
3585, email [email protected].

SUPPLEMENTARY INFORMATION: The Coast Guard will enforce the safety zone
for the San Francisco Giants Fireworks Display from 11 a.m. on April
12, 2019 until 1 a.m. on April 13, 2019, or as announced via Broadcast
Notice to Mariners. This notice is issued under authority of 46 U.S.C.
70034, 70051; 33 CFR 1.05-1, 6.04-1, 6.04-6, and 160.5; Department of
Homeland Security Delegation No. 0170.1. In addition to this notice in
the Federal Register, the Coast Guard plans to provide the maritime
community with extensive advance notification of the safety zone and
its enforcement period via the Local Notice to Mariners.
    The safety zone will extend to all navigable waters of the San
Francisco Bay, from surface to bottom, within a circle formed by
connecting all points 100 feet out from the fireworks barge during the
loading, transit, and arrival of the fireworks barge from the loading
location to the display location and until the start of the fireworks
display. From 11 a.m. on April 12, 2019 until 5 p.m. on April 12, 2019,
the fireworks barge will be loading pyrotechnics from Pier 50 in San
Francisco, CA. The fireworks barge will remain at the loading location
until its transit to the display location. From 8:30 p.m. to 9 p.m. on
April 12, 2019 the loaded fireworks barge will transit from Pier 50 to
the launch site near Pier 48 in approximate position 37[deg] 46' 36''
N, 122[deg] 22' 56'' W (NAD 83) where it will remain until the
conclusion of the fireworks display. Upon the commencement of the 15
minute fireworks display, scheduled to begin at the conclusion of the
baseball game, at approximately 10 p.m. on April 12, 2019, the safety
zone will increase in size and encompass all navigable waters of the
San Francisco Bay, from surface to bottom, within a circle formed by
connecting all points 700 feet out from the fireworks barge near Pier
48 in approximate position 37[deg] 46' 36'' N, 122[deg] 22' 56'' W (NAD
83) for the San Francisco Giants Fireworks listed in 33 CFR 165.1191,
Table 1, Item number 1. This safety zone will be in effect from 11 a.m.
on April 12, 2019 until 1 a.m. on April 13, 2019, or as announced via
Broadcast Notice to Mariners.
    Under the provisions of 33 CFR 165.1191, unauthorized persons or
vessels are prohibited from entering into, transiting through, or
anchoring in the safety zone during all applicable effective dates and
times, unless authorized to do so by the PATCOM. Additionally, each
person who receives notice of a lawful order or direction issued by an
official patrol vessel shall obey the order or direction. The PATCOM is
empowered to forbid entry into and control the regulated area. The
PATCOM shall be designated by the Commander, Coast Guard Sector San
Francisco. The PATCOM may, upon request, allow the transit of
commercial vessels through regulated areas when it is safe to do so.
    If the Captain of the Port determines that the regulated area need
not be enforced for the full duration stated in this notice, a
Broadcast Notice to Mariners may be used to grant general permission to
enter the regulated area.

    Dated: March 28, 2019.
Rebecca W. Deakin,
Lieutenant Commander, U.S. Coast Guard, Chief, Waterways Management
Division.
[FR Doc. 2019-06414 Filed 4-2-19; 8:45 am]
 BILLING CODE 9110-04-P


[Federal Register Volume 86, Number 155 (Monday, August 16, 2021)]
[Rules and Regulations]
[Page 45631]
[FR Doc No: 2021-16960]

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SECURITIES AND EXCHANGE COMMISSION

17 CFR Part 249

[Release No. 34-87005C; File No. S7-05-14]
RIN 3235-AL45

Recordkeeping and Reporting Requirements for Security-Based Swap
Dealers, Major Security-Based Swap Participants, and Broker-Dealers;
Correction

AGENCY: Securities and Exchange Commission.

ACTION: Final rule; correction.

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SUMMARY: On September 19, 2019, the Securities and Exchange Commission
(the ``Commission'') adopted recordkeeping, reporting, and notification
requirements applicable to security-based swap dealers and major
security-based swap participants, securities count requirements
applicable to certain security-based swap dealers, and additional
recordkeeping requirements applicable to broker-dealers to account for
their security-based swap and swap activities. Release 34-87005 (Sept.
19, 2019) was published in the Federal Register on Dec. 16, 2019 (84 FR
68550). This document corrects a technical inaccuracy in that release.

DATES: Effective August 16, 2021.

FOR FURTHER INFORMATION CONTACT: Valentina Minak Deng, Special Counsel,
at<PHONE_NUMBER>; Division of Trading and Markets, Securities and
Exchange Commission, 100 F Street NE, Washington, DC 20549-7010.

SUPPLEMENTARY INFORMATION: We are making a technical correction to Part
II of Form X-17A-5 (referenced in 17 CFR 249.617). The release
resulting in the technical inaccuracy was published in the Federal
Register on December 16, 2019 [84 FR 68550], and adopted by the
Commission in Exchange Act Release No. 87005 on September 19, 2019.

List of Subjects in 17 CFR Part 249

    Brokers, Recordkeeping and reporting requirements, Securities.

    Accordingly, 17 CFR part 249 is corrected by making the following
amendment:

PART 249--FORMS, SECURITIES EXCHANGE ACT OF 1934

0
1. The authority citation for part 249 continues to read, in part, as
follows:

    Authority:  15 U.S.C. 78a et seq. and 7201 et seq.; 12 U.S.C.
5461 et seq.; 18 U.S.C. 1350; Sec. 953(b), Pub. L. 111-203, 124
Stat. 1904; Sec. 102(a)(3), Pub. L. 112-106, 126 Stat. 309 (2012);
Sec. 107, Pub. L. 112-106, 126 Stat. 313 (2012), and Sec. 72001,
Pub. L. 114-94, 129 Stat. 1312 (2015), unless otherwise noted.
* * * * *
    Section 249.617 is also issued under Pub. L. 111-203, 939, 939A,
124. Stat. 1376 (2010) (15 U.S.C. 78c, 15 U.S.C. 78o-7 note).
* * * * *

0
2. Amend Part II of Form X-17A-5 (referenced in Sec.  249.617) by
removing ``4) Rule 18a-7 99'' and adding in its place ``4) Rule 18a-7
12999''.

    Note:  The text of Part II of Form X-17A-5 and the instructions
thereto do not and this amendment will not appear in the Code of
Federal Regulations.

    Dated: August 4, 2021.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2021-16960 Filed 8-13-21; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register: October 19, 2005 (Volume 70, Number 201)]
[Notices]
[Page 60867-60869]
[DOCID:fr19oc05-113]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-52596; File No. SR-ISE-2005-40]

Self-Regulatory Organizations; International Securities Exchange,
Inc.; Notice of Filing and Order Granting Accelerated Approval of a
Proposed Rule Change Relating to Market Maker Quotation Obligations

October 12, 2005.
    Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on September 6, 2005, the International Securities Exchange, Inc.
(``ISE'' 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 the Exchange.
The Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons and is approving the
proposal on an accelerated basis.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 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 clarify the implementation of changes to
Exchange Rule 804 regarding market maker quotation obligations.

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

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

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

1. Purpose
    In file number SR-ISE-2005-18, the Exchange proposed to adopt rule
changes on a pilot basis to allow Electronic Access Members to
designate ``Preferred Market Makers'' on orders

Electronic Access Members enter into the Exchange's systems. In
Amendment No. 1 to SR-ISE-2005-18, the Exchange proposed to increase
the quotation obligations of Competitive Market Makers under Exchange
Rule 804, who are eligible to be designated as Preferred Market Makers.
Specifically, in SR-ISE-2005-18, as amended, the Exchange proposed to
amend Exchange Rule 804 to require that Competitive Market Makers
maintain continuous quotes in all of the series of any options class
the Competitive Market Maker is quoting. The Exchange also proposed to
amend Exchange Rule 804 to limit to 60 the number of options classes a
Competitive Market Maker is required to quote when there are more than
100 options classes in such Competitive Market Maker's appointed Group.
The Commission approved SR-ISE-2005-18, as amended, on June 10, 2005,
for a pilot period expiring on July 18, 2005.\3\ The pilot period
subsequently was extended to June 10, 2006.\4\
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    \3\ See Securities Exchange Act Release No. 51818 (June 10,
2005), 70 FR 35146 (June 16, 2005).
    \4\ See Securities Exchange Act Release No. 52066 (July 20,
2005), 70 FR 43479 (July 27, 2005).
---------------------------------------------------------------------------

    While the Exchange included the changes to Exchange Rule 804 as
part of the Exchange's proposal to allow Competitive Market Makers to
be designated as Preferred Market Makers, the Exchange did not intend
that the proposed changes to Exchange Rule 804 be adopted on a pilot
basis. The purpose of this rule filing is to clarify that the changes
to Exchange Rule 804 were intended by the Exchange to be adopted on a
permanent basis. The Exchange notes that SR-ISE-2005-18, as amended,
was published for comment in the Federal Register, and no comments were
received on the proposed changes to Exchange Rule 804.
2. Statutory Basis
    The Exchange believes that the basis under the Act for this
proposed rule change is found in section 6(b)(5) of the Act,\5\ in that
the proposed rule change is designed to promote just and equitable
principles of trade, 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, because the proposal
clarifies that the amendments to Exchange Rule 804 were intended to be
adopted on a permanent basis.

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

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

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

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

    The Exchange has not solicited, and does not intend to solicit
comments on the proposed rule change. The Exchange has not received any
written comments from members or other interested parties.

III. Solicitation of Comments

    Interested persons are invited to submit written data, views, and
arguments concerning the foregoing, including whether the proposed rule
change is consistent with the 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-ISE-2005-40 on the subject line.

Paper Comments

     Send paper comments in triplicate to Jonathan G. Katz,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-9303. All submissions should refer to File Number
SR-ISE-2005-40. 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 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-ISE-2005-40 and should be
submitted on or before November 9, 2005.

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

    After careful consideration, the Commission finds that the proposed
rule change is consistent with the requirements of section 6 of the Act
\6\ and the rules and regulations thereunder applicable to a national
securities exchange,\7\ and, in particular, the requirements of section
6(b)(5) of the Act.\8\ Section 6(b)(5) requires, among other things,
that the rules of a national securities exchange be designed 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.
---------------------------------------------------------------------------

    \6\ 15 U.S.C. 78f.
    \7\ In approving this proposal, the Commission has considered
the proposed rule's impact on efficiency, competition, and capital
formation. 15 U.S.C. 78c(f).
    \8\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------

    The Commission previously approved, on a pilot basis, changes to
Exchange Rule 804 that (a) require Competitive Market Makers to
maintain continuous quotes in all of the series of any options class
the Competitive Market Maker is quoting and (b) limit to 60 the number
of options classes a Competitive Market Maker is required to quote when
there are more than 100 options classes in such Competitive Market
Maker's appointed Group (together, the ``Exchange Rule 804
Changes'').\9\ Although the Exchange Rule 804 Changes were part of the
Exchange's proposals to allow, on a pilot basis, Electronic Access
Members to designate ``Preferred Market Makers'' on orders such
Electronic Access Members enter into the Exchange's systems, the
Commission notes that the Exchange Rule 804 Changes apply to all
Competitive Market Makers, even in cases in which a Competitive Market
Maker does not receive a designated order. The Commission also notes
that the Exchange stated that the proposed rule change clarifies the
intent of the Exchange that the Exchange Rule 804 Changes be approved
on a permanent basis. The Commission further notes that the Exchange
Rule 804 Changes were published for comment in the Federal Register in
connection with File Number SR-ISE-2005-18 and File

Number ISE-2005-35,\10\ and that no comments were received on such
changes. The Commission believes that the proposed rule change would
clarify that the obligations of Competitive Market Makers continue,
regardless of whether the Preferred Market Maker pilot program is
extended, and that such clarification does not raise any regulatory
issues. For these reasons, the Commission believes that approving the
Exchange Rule 804 Changes on a permanent basis is consistent with the
Act.
---------------------------------------------------------------------------

    \9\ See supra notes 3 and 4.
    \10\ Id.
---------------------------------------------------------------------------

    The Exchange has requested that the Commission find good cause for
approving the proposed rule change prior to the thirtieth day after
publication of notice thereof in the Federal Register. The Commission
notes that no comments were received in connection with the approvals
of the Exchange Rule 804 Changes on a pilot basis. The Commission
believes that accelerating approval of the proposed rule change should
allow for more efficient market operation by offering clarity to
existing ISE rules. Accordingly, the Commission finds good cause,
consistent with section 19(b)(2) of the Act,\11\ for approving the
proposed rule change prior to the thirtieth day after publication of
notice thereof in the Federal Register.
---------------------------------------------------------------------------

    \11\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------

V. Conclusion

    It is therefore ordered, pursuant to section 19(b)(2) of the
Act,\12\ that the proposed rule change (SR-ISE-2005-40) is hereby
approved on an accelerated basis.

    \12\ 15 U.S.C. 78s(b)(2).
---------------------------------------------------------------------------

    For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\13\
---------------------------------------------------------------------------

    \13\ CFR 200.30-3(a)(12).

J. Lynn Taylor,
Assistant Secretary.
[FR Doc. E5-5742 Filed 10-18-05; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register: July 9, 2008 (Volume 73, Number 132)]
[Notices]
[Page 39291-39292]
[DOCID:fr09jy08-52]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OPP-2008-0489; FRL-8372-1]

FIFRA Scientific Advisory Panel; Notice of Cancellation of Public
Meeting

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: The Agency is issuing this notice to cancel a September 9 -
11, 2008 meeting of the Federal Insecticide, Fungicide, and Rodenticide
Act (FIFRA) Scientific Advisory Panel. The meeting was announced in the
Federal Register of June 18, 2008.

FOR FURTHER INFORMATION CONTACT: Joseph E. Bailey, Designated Federal
Official, Office of Science Coordination and Policy (7201M),
Environmental Protection Agency, 1200 Pennsylvania Ave., NW.,
Washington, DC 20460; telephone number:<PHONE_NUMBER>; fax number:
(202) 564-8382; e-mail address<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION: The September 9 - 11, 2008 meeting of the
Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA) Scientific
Advisory Panel (FIFRA) to consider and review an evaluation of the
common mechanism of action of pyrethroid pesticides has been cancelled.
The meeting was originally announced in the Federal Register of June
18, 2008 (73 FR 34736) (FRL-8369-1). For further information, please
contact the Designated Federal Official listed under FOR FURTHER
INFORMATION CONTACT.

List of Subjects

    Environmental protection, Pesticides and pests.

    Dated: June 30, 2008.
Gary E. Timm,
Acting Director, Office of Science Coordination and Policy.

[FR Doc. E8-15360 Filed 7-8-08; 8:45 am]

BILLING CODE 6560-50-S