[Federal Register Volume 86, Number 52 (Friday, March 19, 2021)]
[Notices]
[Pages 14904-14905]
[FR Doc No: 2021-05778]

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ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OPPT-2020-0616; FRL-10018-35]

Agency Information Collection Activities; Proposed Renewal of an
Existing Collection and Request for Comment; User Fees for the
Administration of the Toxic Substances Control Act (TSCA)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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SUMMARY: In compliance with the Paperwork Reduction Act (PRA), this
document announces that EPA is planning to submit an Information
Collection Request (ICR) to the Office of Management and Budget (OMB).
The ICR, entitled: ``User Fees for the Administration of the Toxic
Substances Control Act (TSCA)'' and identified by EPA ICR No. 2569.02
and OMB Control No. 2070-0208, represents the renewal of an existing
ICR that is scheduled to expire on October 31, 2021. Before submitting
the ICR to OMB for review and approval, EPA is soliciting comments on
specific aspects of the proposed information collection that is
summarized in this document. The ICR and accompanying material are
available in the docket for public review and comment.

DATES: Comments must be received on or before May 18, 2021.

ADDRESSES: Submit your comments, identified by docket identification
(ID) number EPA-HQ-OPPT-2020-0616, by using the Federal eRulemaking
Portal at http://www.regulations.gov. Follow the online instructions
for submitting comments. Do not submit electronically any information
you consider to be Confidential Business Information (CBI) or other
information whose disclosure is restricted by statute.
    Due to the public health concerns related to COVID-19, the EPA
Docket Center (EPA/DC) and Reading Room is closed to visitors with
limited exceptions. The staff continues to provide remote customer
service via email, phone, and webform. For the latest status
information on EPA/DC services and docket access, visit https://www.epa.gov/dockets.

FOR FURTHER INFORMATION CONTACT: For technical information contact:
Marc Edmonds, 7407M, Office of Pollution Prevention and Toxics,
Environmental Protection Agency, 1200 Pennsylvania Ave. NW, Washington,
DC 20460-0001; telephone number:<PHONE_NUMBER>; email address:
<EMAIL_ADDRESS>    For general information contact: The TSCA-Hotline, ABVI-Goodwill,
422 South Clinton Ave., Rochester, NY 14620; telephone number: (202)
554-1404; email address<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. What information is EPA particularly interested in?

    Pursuant to PRA section 3506(c)(2)(A) (44 U.S.C. 3506(c)(2)(A)),
EPA specifically solicits comments and information to enable it to:
    1. Evaluate whether the proposed collection of information is
necessary for the proper performance of the functions of the Agency,
including whether the information will have practical utility.
    2. Evaluate the accuracy of the Agency's estimates of the burden of
the proposed collection of information, including the validity of the
methodology and assumptions used.
    3. Enhance the quality, utility, and clarity of the information to
be collected.
    4. Minimize the burden of the collection of information on those
who are to respond, including through the use of appropriate automated
electronic, mechanical, or other technological collection techniques or
other forms of information technology, e.g., permitting electronic
submission of responses. In particular, EPA is requesting comments from
very small businesses (those that employ less than 25) on examples of
specific additional efforts that EPA could make to reduce the paperwork
burden for very small businesses affected by this collection.

II. What information collection activity or ICR does this action apply
to?

    Title: User Fees for the Administration of the Toxic Substances
Control Act (TSCA).
    ICR number: EPA ICR No. 2569.02.
    OMB control number: OMB Control No. 2070-0208.
    ICR status: This ICR is currently scheduled to expire on October
31, 2021. 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. The OMB control numbers for EPA's
regulations in title 40 of the Code of Federal Regulations (CFR), after
appearing in the Federal Register when approved, are displayed either
by publication in the Federal Register or by other appropriate means,
such as on the related collection instrument or form, if applicable.
The display of OMB control numbers for certain EPA regulations is
consolidated in 40 CFR part 9.
    Abstract: The Frank R. Lautenberg Chemical Safety for the 21st
Century Act of 2016 made transformative changes to the TSCA, including
an amendment that provides EPA with authority to collect fees to defray
25% of the costs associated with administering sections 4, 5, and 6 of
TSCA, as well as the costs of collecting, processing, reviewing and
providing access to and protecting CBI from disclosure as appropriate
under TSCA section 14. The payment from manufactures (defined by
statute to include importers) of a chemical substance who: are required
to submit information to EPA under TSCA section 4, who submit certain
notices and exemption requests to EPA under TSCA section 5, who
manufacture a chemical substance that is subject to a risk evaluation
under TSCA section 6(b)(4), and who process a chemical substance that
is the subject of a Significant New Use Notice (SNUN) or Test Market
Exemption (TME) under TSCA section 5 and who are required to submit

information to EPA under TSCA section 4 related to a SNUN submission.
These fees are intended to achieve the goals articulated by Congress to
provide a sustainable source of funds for EPA to fulfill its legal
obligations to conduct the activities required under TSCA sections 4, 5
and 6 (such as risk-based screenings, designation of applicable
substances as High- and Low-Priority, conducting risk evaluations to
determine whether a chemical substance presents an unreasonable risk of
injury to health or the environment, requiring testing of chemical
substances and mixtures, and evaluating and reviewing manufacturing and
processing notices), as well as the activities under TSCA section 14
(i.e., collecting, processing, reviewing, and providing access to and
protecting information about chemical substances from disclosure as
appropriate.
    As amended in 2016, TSCA section 26(b) provides EPA with authority
to establish fees to defray 25% the costs associated with administering
TSCA sections 4, 5, 6 and of collecting, processing, reviewing, and
providing access to and protecting information about chemical
substances from disclosure as appropriate under TSCA section 14. Fee
payments from chemical manufactures (including importers) who make
submissions under TSCA section 5, are required to submit information
under TSCA section 4 or are subject to a risk evaluation under TSCA
section 6. EPA is not collecting a fee for submissions of Confidential
Business Information (CBI) submitted under TSCA section 14.
    Burden statement: The annual public reporting and recordkeeping
burden for this collection of information is estimated to average 3
hours per response. Burden is defined in 5 CFR 1320.3(b).
    The ICR, which is available in the docket along with other related
materials, provides a detailed explanation of the collection activities
and the burden estimate that is only briefly summarized here:
    Respondents/Affected Entities: Entities potentially affected by
this ICR may include the following entities (identified by North
American Industrial Classification System (NAICS) codes):
     Petroleum and Coal Products (NAICS code 324);
     Chemical Manufacturing (NAICS code 325); and
     Chemical, Petroleum and Merchant Wholesalers (NAICS code
424).
    Estimated total number of potential respondents: 1,348.
    Frequency of response: On occasion.
    Estimated total average number of responses for each respondent:
0.833
    Estimated total annual burden hours: 581 hours.
    Estimated total annual costs: $ 273,388. This includes an estimated
burden cost of $230,607 it is estimated that there are no capital
investment or maintenance and operational costs.

III. Are there changes in the estimates from the last approval?

    There is an increase in the total estimated respondent burden
compared with that identified in the ICR currently approved by OMB due
to the increase in the number of entities potentially affected by this
ICR and an increase in the number of information collection activities.
The change in potentially affected entities reflects the number of
submissions received under TSCA sections 5 and 6. EPA's burden
estimates for this collection based upon historical information on the
number of chemicals per premanufacture notices (PMNs), significant new
use notifications (SNUNs), microbial commercial activity notices
(MCANs), and exemption notices and applications including low-volume
exemptions (LVEs), test-marketing exemptions (TMEs), low exposure/low
release exemptions (LoREXs), TSCA experimental release applications
(TERAs), certain new microorganism (Tier II) exemptions, and film
article exemptions., and actions under TSCA section 6. This change is
an adjustment.
    In addition, OMB has requested that EPA move towards using the 18-
question format for ICR Supporting Statements used by other federal
agencies and departments and is based on the submission instructions
established by OMB in 1995, replacing the alternate format developed by
EPA and OMB prior to 1995. EPA intends to update this Supporting
Statement during the comment period to reflect the 18-question format,
and has included the questions in an attachment to this Supporting
Statement. In doing so, the Agency does not expect the change in format
to result in substantive changes to the information collection
activities or related estimated burden and costs.

IV. What is the next step in the process for this ICR?

    EPA will consider the comments received and amend the ICR as
appropriate. The final ICR package will then be submitted to OMB for
review and approval pursuant to 5 CFR 1320.12. EPA will issue another
Federal Register document pursuant to 5 CFR 1320.5(a)(1)(iv) to
announce the submission of the ICR to OMB and the opportunity to submit
additional comments to OMB. If you have any questions about this ICR or
the approval process, please contact the technical person listed under
FOR FURTHER INFORMATION CONTACT.

    Authority: 44 U.S.C. 3501 et seq.

    Dated: March 15, 2021.
Michal Freedhoff,
Acting Assistant Administrator, Office of Chemical Safety and Pollution
Prevention.
[FR Doc. 2021-05778 Filed 3-18-21; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register Volume 78, Number 71 (Friday, April 12, 2013)]
[Notices]
[Pages 22021-22022]
[FR Doc No: 2013-08543]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

Agency Information Collection Activities: Requests for Comments;
Clearance of Renewed Approval of Information Collection: Notice of
Landing Area Proposal

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice and request for comments.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995, FAA
invites public comments about our intention to request the Office of
Management and Budget (OMB) approval for to renew an information
collection. The Federal Register Notice with a 60-day comment period
soliciting

comments on the following collection of information was published on
November 30, 2012, vol. 77, no. 231, page 71473. FAA Form 7480-1
(Notice of Landing Area Proposal) is used to collect information about
any construction, alteration, or change to the status or use of an
airport.

DATES: Written comments should be submitted by May 13, 2013.

FOR FURTHER INFORMATION CONTACT: Kathy DePaepe at<PHONE_NUMBER>, or by
email at<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:
    OMB Control Number: 2120-0036.
    Title: Notice of Landing Area Proposal.
    Form Numbers: FAA Form 7480-1.
    Type of Review: Renewal of an information collection.
    Background: FAR Part 157 requires that each person who intends to
construct, deactivate, or change the status of an airport, runway, or
taxiway must notify the FAA of such activity. The information collected
provides the basis for determining the effect the proposed action would
have on existing airports and on the safe and efficient use of airspace
by aircraft, the effects on existing or contemplated traffic patterns
of neighboring airports, the effects on the existing airspace structure
and projected programs of the FAA, and the effects that existing or
proposed manmade objects (on file with the FAA) and natural objects
within the affected area would have on the airport proposal.
    Respondents: Approximately 1500 applicants.
    Frequency: Information is collected on occasion.
    Estimated Average Burden per Response: 45 minutes.
    Estimated Total Annual Burden: 1,125 hours.

ADDRESSES: Interested persons are invited to submit written comments on
the proposed information collection to the Office of Information and
Regulatory Affairs, Office of Management and Budget. Comments should be
addressed to the attention of the Desk Officer, Department of
Transportation/FAA, and sent via electronic mail to<EMAIL_ADDRESS>or faxed to<PHONE_NUMBER>, or mailed to the
Office of Information and Regulatory Affairs, Office of Management and
Budget, Docket Library, Room 10102, 725 17th Street NW., Washington, DC
20503.
    Public Comments Invited: You are asked to comment on any aspect of
this information collection, including (a) whether the proposed
collection of information is necessary for FAA's performance; (b) the
accuracy of the estimated burden; (c) ways for FAA to enhance the
quality, utility and clarity of the information collection; and (d)
ways that the burden could be minimized without reducing the quality of
the collected information. The agency will summarize and/or include
your comments in the request for OMB's clearance of this information
collection.

    Issued in Washington, DC, on April 3, 2013.
Albert R. Spence,
FAA Assistant Information Collection Clearance Officer, IT Enterprises
Business Services Division, AES-200.
[FR Doc. 2013-08543 Filed 4-11-13; 8:45 am]
BILLING CODE 4910-13-P


[Federal Register Volume 78, Number 160 (Monday, August 19, 2013)]
[Notices]
[Page 50409]
[FR Doc No: 2013-20032]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket Nos. EL13-84-000]

Kansas Municipal Energy Agency v. Sunflower Electric Power
Corporation, Mid-Kansas Electric Company, LLC, Southwest Power Pool,
Inc.; Notice of Complaint

    Take notice that on August 8, 2013, pursuant to sections 206 and
306 of the Federal Power Act, 16 U.S.C. 824e and 825e and Rule 206 of
the Federal Energy Regulatory Commission's (Commission), 18 CFR 385.206
(2013), Kansas Municipal Energy Agency (Complainant) filed a formal
complaint against Sunflower Electric Power Corporation, Mid-Kansas
Electric Company, LLC, and Southwest Power Pool, Inc. (collectively,
Respondents) alleging that Sunflower Electric Power Corporation and
Mid-Kansas Electric Company, LLC are in violation of the Southwest
Power Pool, Inc.'s Open Access Transmission Tariff.
    The Complainant certifies that copies of the complaint were served
on the contacts for the Respondents as listed on the Commission's list
of Corporate Officials.
    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. The Respondent's
answer and all interventions, or protests must be filed on or before
the comment date. The Respondent's answer, motions to intervene, and
protests must be served on the Complainants.
    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 on-line 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 email
notification when a document is added to a subscribed docket(s). For
assistance with any FERC Online service, please email
<EMAIL_ADDRESS>or call<PHONE_NUMBER> (toll free). For
TTY, call<PHONE_NUMBER>.
    Comment Date: 5:00 p.m. Eastern Time on August 22, 2013.

    Dated: August 12, 2013.
Kimberly D. Bose,
Secretary.
[FR Doc. 2013-20032 Filed 8-16-13; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 75, Number 241 (Thursday, December 16, 2010)]
[Proposed Rules]
[Pages 78645-78646]
[FR Doc No: 2010-31615]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2010-1054; Airspace Docket No. 10-AGL-23]

Proposed Amendment of Class E Airspace; Kenton, OH

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of Proposed Rulemaking (NPRM).

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SUMMARY: This action proposes to amend Class E airspace at Kenton, OH.
Additional controlled airspace is necessary to accommodate new Standard
Instrument Approach Procedures (SIAP) at Hardin County Airport. The FAA
is taking this action to enhance the safety and management of
Instrument Flight Rules (IFR) operations for SIAPs at the airport.

DATES: 0901 UTC. Comments must be received on or before January 31,
2011.

ADDRESSES: Send comments on this proposal to the U.S. Department of
Transportation, Docket Operations, 1200 New Jersey Avenue, SE., West
Building Ground Floor, Room W12-140, Washington, DC 20590-0001. You
must identify the docket number FAA-2010-1054/Airspace Docket No. 10-
AGL-23, at the beginning of your comments. You may also submit comments
through the Internet at http://www.regulations.gov. You may review the
public docket containing the proposal, any comments received, and any
final disposition in person in the Dockets Office between 9 a.m. and 5
p.m., Monday through Friday, except Federal holidays. The Docket Office
(telephone 1-800-647-5527), is on the ground floor of the building at
the above address.

FOR FURTHER INFORMATION CONTACT: Scott Enander, Central Service Center,
Operations Support Group, Federal Aviation Administration, Southwest
Region, 2601 Meacham Blvd., Fort Worth, TX 76137; telephone: (817) 321-
7716.

SUPPLEMENTARY INFORMATION:

Comments Invited

    Interested parties are invited to participate in this proposed
rulemaking by submitting such written data, views, or arguments, as
they may desire. Comments that provide the factual basis supporting the
views and suggestions presented are particularly helpful in developing
reasoned regulatory decisions on the proposal. Comments are
specifically invited on the overall

regulatory, aeronautical, economic, environmental, and energy-related
aspects of the proposal. Communications should identify both docket
numbers and be submitted in triplicate to the address listed above.
Commenters wishing the FAA to acknowledge receipt of their comments on
this notice must submit with those comments a self-addressed, stamped
postcard on which the following statement is made: ``Comments to Docket
No. FAA-2010-1054/Airspace Docket No. 10-AGL-23.'' The postcard will be
date/time stamped and returned to the commenter.

Availability of NPRMs

    An electronic copy of this document may be downloaded through the
Internet at http://www.regulations.gov. Recently published rulemaking
documents can also be accessed through the FAA's Web page at http://www.faa.gov/airports_airtraffic/air_traffic/publications/airspace_amendments/.
    You may review the public docket containing the proposal, any
comments received and any final disposition in person in the Dockets
Office (see ADDRESSES section for address and phone number) between 9
a.m. and 5 p.m., Monday through Friday, except Federal holidays. An
informal docket may also be examined during normal business hours at
the office of the Central Service Center, 2601 Meacham Blvd, Fort
Worth, TX 76137.
    Persons interested in being placed on a mailing list for future
NPRMs should contact the FAA's Office of Rulemaking<PHONE_NUMBER>, to
request a copy of Advisory Circular No. 11-2A, Notice of Proposed
Rulemaking Distribution System, which describes the application
procedure.

The Proposal

    This action proposes to amend Title 14, Code of Federal Regulations
(14 CFR), Part 71 by amending Class E airspace extending upward from
700 feet above the surface for SIAPs operations at Hardin County
Airport, Kenton, OH. Additional controlled airspace is needed for the
safety and management of IFR operations at the airport.
    Class E airspace areas are published in Paragraph 6005 of FAA Order
7400.9U, dated August 18, 2010 and effective September 15, 2010, which
is incorporated by reference in 14 CFR 71.1. The Class E airspace
designation listed in this document would be published subsequently in
the Order.
    The FAA has determined that this proposed 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. Since this is a routine matter that
will only affect air traffic procedures and air navigation, it is
certified that this rule, when promulgated, will not have a significant
economic impact on a substantial number of small entities under the
criteria of the Regulatory Flexibility Act.
    The FAA's authority to issue rules regarding aviation safety is
found in Title 49 of the U.S. Code. Subtitle 1, section 106 describes
the authority of the FAA Administrator. Subtitle VII, Aviation
Programs, describes in more detail the scope of the agency's authority.
This rulemaking is promulgated under the authority described in
subtitle VII, part A, subpart I, section 40103. Under that section, the
FAA is charged with prescribing regulations to assign the use of
airspace necessary to ensure the safety of aircraft and the efficient
use of airspace. This regulation is within the scope of that authority
as it would establish additional controlled airspace at Hardin County
Airport, Kenton, OH.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (Air).

The Proposed Amendment

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

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

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

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

Sec.  71.1  [Amended]

    2. The incorporation by reference in 14 CFR 71.1 of FAA Order
7400.9U, Airspace Designations and Reporting Points, dated August 18,
2010, and effective September 15, 2010, is amended as follows:

Paragraph 6005 Class E Airspace areas extending upward from 700
feet or more above the surface of the earth.

* * * * *

AGL OH E5 Kenton, OH [Amended]

Kenton, Hardin County Airport, OH
    (Lat. 40[deg]36'36'' N., long. 83[deg]38'39'' W.)

    That airspace extending upward from 700 feet above the surface
bounded by a line beginning at lat. 40[deg]43'34'' N., long.
83[deg]33'51'' W., to lat. 40[deg]38'16'' N., long. 83[deg]23'39''
W., to lat. 40[deg]30'37'' N., long. 83[deg]30'57'' W., to lat.
40[deg]24'00'' N., long. 83[deg]33'37'' W., to lat. 40[deg]13'31''
N., long. 83[deg]40'22'' W., to lat. 40[deg]11'47'' N., long.
83[deg]52'11'' W., to lat. 40[deg]16'44'' N., long. 84[deg]01'10''
W., to lat. 40[deg]24'31'' N., long. 84[deg]02'39'' W., to lat.
40[deg]31'30'' N., long. 83[deg]56'56'' W., to lat. 40[deg]32'13''
N., long. 83[deg]50'20'' W., to lat. 40[deg]34'45'' N., long.
83[deg]47'33'' W., to lat. 40[deg]38'56'' N., long. 83[deg]48'49''
W., to lat. 40[deg]43'49'' N., long. 83[deg]42'14'' W., to the point
of beginning.

    Issued in Fort Worth, TX, on December 9, 2010.
Roger M. Trevino,
Acting Manager, Operations Support Group, ATO Central Service Center.
[FR Doc. 2010-31615 Filed 12-15-10; 8:45 am]
BILLING CODE 4901-13-P


[Federal Register Volume 79, Number 84 (Thursday, May 1, 2014)]
[Notices]
[Pages 24775-24776]
[FR Doc No: 2014-09925]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-72029; File No. SR-NSCC-2014-03]

Self-Regulatory Organizations; National Securities Clearing
Corporation; Order Approving Proposed Rule Change To Enhance the System
That Processes Corporate Actions Within NSCC's Continuous Net
Settlement System

April 25, 2014.

I. Introduction

    On March 6, 2014, National Securities Clearing Corporation
(``NSCC'') filed with the Securities and Exchange Commission
(``Commission'') proposed rule change SR-NSCC-2014-03 (``Proposed Rule
Change'') pursuant to Section 19(b)(1) of the Securities Exchange Act
of 1934 (``Act'') \1\ and Rule 19b-4 thereunder.\2\ The Proposed Rule
Change was published for comment in the Federal Register on March 21,
2014.\3\ The Commission did not receive comments on the Proposed Rule
Change. This Order approves the Proposed Rule Change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ Release No. 34-71725 (Mar. 14, 2014), 79 FR 15780 (Mar. 21,
2014) (SR-NSCC-2014-03).
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II. Description

    With this Proposed Rule Change, NSCC will amend its Rules and
Procedures (``Rules'') \4\ to enhance the system that processes
corporate actions within NSCC's Continuous Net Settlement (``CNS'')
system. NSCC plans to implement the enhancements contained the Proposed
Rule Change in multiple phases during 2014, which NSCC will announce by
Important Notice.
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    \4\ Defined terms not defined herein have the mean set forth in
the Rules.
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    One of NSCC's core services as a central counterparty is to clear
and settle trades through CNS. In CNS, compared and recorded
transactions in CNS-eligible securities \5\ that are scheduled to
settle on a common settlement date are netted by issue into one net
long (i.e., buy) or net short (i.e., sell) position. CNS then nets
those positions further with positions of the same issue that remain
open after their originally scheduled settlement date (``Fail
Positions''). The result is a single deliver or receive obligation for
each NSCC member (``Member'') for each issue in which the Member has
activity on a given day.
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    \5\ To be CNS-eligible, a security must be eligible for book-
entry transfer on the books of The Depository Trust Company
(``DTC''), an NSCC affiliate, and must be capable of being processed
in the CNS system. For example, securities may be ineligible for CNS
processing due to certain transfer restrictions (e.g., 144A
securities) or due to the pendency of certain corporate actions.
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    As part of the services offered to Members, certain corporate
actions, including cash dividends, stock dividends, bond interest, and
other mandatory corporate actions (which include redemptions, stock and
cash mergers, and name changes) are automatically debited or credited
to Members' CNS accounts with open Fail Positions in CNS. Members are
also permitted to take part in certain voluntary corporate actions,
which include tender or exchange offers, with respect to open Fail
Positions in CNS.
    Upon implementation of the Proposed Rule Change, NSCC will make
enhancements to its processing of corporate actions within the CNS
system, as described below.

A. Optional Dividends

    When a Fail Position in CNS is subject to a dividend payment, the
issuer specifies the form in which that dividend will be paid (e.g.,
securities or cash) (``Default Option''). NSCC Members that have failed
to receive securities from CNS (``Long Members'') may elect a form of
payment that differs from the Default Option by submitting an
instruction to NSCC no later than a pre-set date and cut-off time. NSCC
currently sets a cut-off time for the submission of such election
instructions based on the cut-off time set by DTC. Under the Proposed
Rule Change, NSCC will set the date and cut-off time that is earlier
than the DTC cut-off time in order to provide Members that have failed
to deliver securities to CNS (``Short Members'') with additional time
to communicate elections to their customers. Additionally, such
elections are currently submitted to NSCC manually; however, upon
implementation of the Proposed Rule Change, the elections will be
submitted to NSCC electronically.

B. Support ``Offer to Consent'' Tender/Exchange Offers

    Today, if an open Fail Position in CNS is subject to a tender or
exchange offer that includes an ``offer to consent,'' in order to
participate in that tender or exchange offer the Fail Position would be
closed, exited out of CNS, and would then settle directly between the
counterparties outside of CNS. With this Proposed Rule Change, Members
with open Fail Positions in CNS will be able to participate in tender
or exchange offers that include an ``offer to consent'' within CNS.

C. Protect Submission and Liability Notification

    Currently, the cut-off time for a Long Member to place a
``protect'' on an open Fail Position in CNS in order to participate in
an upcoming corporate action or to add shares to a voluntary corporate
action is either (i) on the business day prior to the ``protect''
expiration date, or (ii) on the business day prior to the expiration
date of the corporate action if there is no ``protect'' for that
corporate action. Failure to meet those deadlines often results in Long
Members incurring additional costs. As such, NSCC staff, in its
discretion and on a best efforts basis, has accepted and processed such
``protect'' instructions either on the ``protect'' expiration date or
on the expiration date of the corporate action.
    Upon implementation of the Proposed Rule Change, for a fee of
$500,\6\ Members will be permitted to place a ``protect'' on an open
fail position in CNS in order to participate in an upcoming corporate
action or to add shares to a voluntary corporate action either (i) on
the ``protect'' expiration date, or (ii) on the expiration date of the
corporate action if there is no ``protect'' for that corporate action.
Additionally, with this Proposed Rule Change, Members will submit
``protect'' instructions to NSCC electronically.
---------------------------------------------------------------------------

    \6\ The Commission understands that NSCC will propose this fee
in a separate rule filing with the Commission.
---------------------------------------------------------------------------

D. Final Liability and Final Protection Notification

    Today, CNS alerts Short Members of their final assigned liability
with respect to voluntary corporate actions either (i) on the business
day after the ``protect'' expiration date for that corporate action, or
(ii) on the business day after the expiration date of the corporate
action if there is no ``protect'' for that corporate action.
    Upon implementation of the Proposed Rule Change, CNS will alert a
Short Member of its assigned final liability no later than the close of
business on the same business day the final liability is assigned to
that Member by CNS. The Proposed Rule Change will also clarify that
Long Members will be notified that their Fail Positions in CNS will be
subject to the ``protection'' for that corporate action no later than
the close of business on the same business day the final ``protection''
is assigned to that Member by CNS.

E. SMART/Track for CNS Corporate Actions

    With this Proposed Rule Change, Members will submit instructions to
participate in a voluntary reorganization and access all corporate
action processing output data through SMART/Track for CNS Corporate
Actions, which is available within NSCC's SMART/Track for Corporate
Action Liability Notification Service. The output data, which is
currently delivered to Members through files and reports, will be
visible through on-line screens and include search options and filters.

F. Restriction on Movement of Positions Between CNS Sub-Accounts

    Under the Proposed Rule Change, when a voluntary reorganization is
being processed on a security, CNS will no longer permit the movement
of positions in that security between non-reorganization sub-accounts
(e.g., the CNS General Account and the CNS Fully-Paid-For Account)
either (i) on the ``protect'' expiration date, or (ii) on the
expiration date of the voluntary reorganization if there is no
``protect'' for that voluntary reorganization.

G. Additional Rule Changes

    In addition to the enhancements described above, with this Proposed
Rule Change NSCC will amend its Rules to clarify that the Rules are
drafted assuming the processing of subject securities with a
``protect'' period of three days. Similarly, the table that is
currently included in the Rules regarding this topic will be updated to
further illustrate the timeframes for processing of subject securities
with a ``protect'' period of two days or less.

III. Discussion and Commission Finding

    Section 19(b)(2)(C) of the Act \7\ directs the Commission to
approve a proposed rule change of a self-regulatory organization if it
finds that such proposed rule change is consistent with the
requirements of the Act and rules and regulations thereunder applicable
to such organization. Section 17A(b)(3)(F) of the Act \8\ requires that
the rules of a clearing agency be designed to, among other things,
``promote the prompt and accurate clearance and settlement of
securities transactions and . . . to assure the safeguarding of
securities and funds which are in the custody or control of the
clearing agency or for which it is responsible.'' \9\ Here, the
Commission finds the enhancements to be implemented by the Proposed
Rule Change consistent with those requirements because each change
discussed above should result in greater efficiency and automation with
respect to the processing of corporate actions within CNS, thus
promoting the prompt and accurate clearance and settlement of
securities transactions.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78s(b)(2)(C).
    \8\ 15 U.S.C. 78q-1(b)(3)(F).
    \9\ 15 U.S.C. 78q-1(b)(3)(F).
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IV. Conclusion

    On the basis of the foregoing, the Commission finds that the
proposal is consistent with the requirements of the Act and in
particular with the requirements of Section 17A of the Act \10\ and the
rules and regulations thereunder.
---------------------------------------------------------------------------

    \10\ In approving this proposed rule change, the Commission has
considered the proposed rule's impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
---------------------------------------------------------------------------

    It is therefore ordered, pursuant to Section 19(b)(2) of the Act,
that proposed rule change SR-NSCC-2014-03 be, and it hereby is,
approved.
---------------------------------------------------------------------------

    \11\ 17 CFR 200.30-3(a)(12).

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\11\
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-09925 Filed 4-30-14; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 79, Number 15 (Thursday, January 23, 2014)]
[Notices]
[Pages 3890-3895]
[FR Doc No: 2014-01256]

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SECURITIES AND EXCHANGE COMMISSION

[Investment Company Act Release No. 30885; 812-14181]

American Pension Investors Trust, et al.; Notice of Application

January 16, 2014.
AGENCY: Securities and Exchange Commission (``Commission'').

ACTION: Notice of an application for an order under section 12(d)(1)(J)
of the Investment Company Act of 1940 (the ``Act'') for exemptions from
sections 12(d)(1)(A), (B), and (C) of the Act, under sections 6(c) and
17(b) of the Act for an exemption from section 17(a) of the Act, and
under section 6(c) of the Act for an exemption from rule 12d1-2(a)
under the Act.

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Summary of the Application:  Applicants request an order that would (a)
permit certain registered open-end management investment companies that
operate as ``funds of funds'' to acquire shares of certain registered
open-end management investment companies, registered closed-end
management investment companies, ``business development companies,'' as
defined by section 2(a)(48) of the Act, and registered unit investment
trusts that are within or outside the same group of investment
companies as the acquiring investment companies and (b) permit certain
registered open-end management investment companies relying on rule
12d1-2 under the Act to invest in certain financial instruments.

Applicants:  American Pension Investors Trust (``Trust''') and Yorktown
Management & Research Company, Inc. (``Adviser'').

DATES: Filing Dates: The application was filed on July 19, 2013 and
amended on November 21, 2013.

Hearing or Notification of Hearing:  An order granting the application
will be issued unless the Commission orders a hearing. Interested
persons may request a hearing by writing to the Commission's Secretary
and serving applicants with a copy of the request, personally or by
mail. Hearing requests should be received by the Commission by 5:30
p.m. on February 10, 2014, and should be accompanied by proof of
service on applicants, in the form of an affidavit or, for lawyers, a
certificate of service. Hearing requests should state the nature of the
writer's interest, the reason for the request, and the issues
contested. Persons who wish to be notified of a hearing may request
notification by writing to the Commission's Secretary.

ADDRESSES: Elizabeth M. Murphy, Secretary, U.S. Securities and Exchange
Commission, 100 F Street NE., Washington, DC 20549-1090. Adviser and
Trust, 2303 Yorktown Avenue, Lynchburg, VA 24501.

FOR FURTHER INFORMATION CONTACT: Jaea F. Hahn, Senior Counsel, (202)
551-6870, or Mary Kay Frech, Branch Chief, at<PHONE_NUMBER> (Division
of Investment Management, Chief Counsel's Office).

SUPPLEMENTARY INFORMATION: The following is a summary of the
application. The complete application may be obtained via the
Commission's Web site by searching for the file number, or for an
applicant using the ``Company'' name box, at http://www.sec.gov/search/search.htm or by calling<PHONE_NUMBER>.

Applicants' Representations

    1. The Trust is an open-end management company registered under the
Act and organized as a Massachusetts business trust. The Trust has
multiple series which pursue distinct investment objectives and
strategies.\1\
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    \1\ Applicants request that the order apply to each existing and
each future series of the Trust, and to each existing and future
registered open-end management investment company or series thereof
which is advised by the Adviser or any entity controlling,
controlled by or under common control with the Adviser and which is
part of the ``same group of investment companies'' (as defined in
section 12(d)(1)(G)(ii) of the Act) as the Trust (each a ``Fund''
and collectively, ``Funds''). All entities that currently intend to
rely on the requested order are named as applicants. Any other
entity that relies on the order in the future will comply with the
terms and conditions of the application.
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    2. The Adviser, a Delaware limited liability company, is a
registered investment adviser under the Investment Advisers Act of 1940
and serves as the investment adviser to each of the Funds of Funds (as
defined below).\2\
---------------------------------------------------------------------------

    \2\ All references to the term ``Adviser'' include successors-
in-interest to the Adviser. A successor-in-interest is limited to an
entity that results from a reorganization into another jurisdiction
or a change in the type of business organization.
---------------------------------------------------------------------------

    3. Applicants request relief to the extent necessary to permit: (a)
A Fund that operates as a ``fund of funds'' (each, a ``Fund of Funds,''
and collectively, the ``Funds of Funds'') to acquire shares of
registered open-end management investment companies (each an
``Unaffiliated Open-End Investment Company''), registered closed-end
management investment companies, ``business development companies'' as
defined by section 2(a)(48) of the Act (``business development
companies'') (each registered closed-end management investment company
and each business development company, an ``Unaffiliated Closed-End
Investment Company'' and, together with the Unaffiliated Open-End
Investment Companies, the ``Unaffiliated Investment Companies''), and
registered unit investment trusts (``UITs'') (the ``Unaffiliated
Trusts,'' and together with the Unaffiliated Investment Companies, the
``Unaffiliated Funds''), in each case, that are not part of the same
``group of investment companies'' as the Funds of Funds; \3\ (b) the
Unaffiliated Funds, their principal underwriters and any broker or
dealer registered under the Securities Exchange Act of 1934 (the ``1934
Act'') (``Broker'') to sell shares of such Unaffiliated Funds to the
Funds of Funds; (c) the Funds of Funds to acquire shares of other
registered investment companies, including open-end management
investment companies and series thereof, closed-end management
investment companies and UITs, as well as business development
companies (if any), in the same group of investment companies as the
Funds of Funds (collectively, the ``Affiliated Funds,'' and, together
with the Unaffiliated Funds, the ``Underlying Funds''); \4\ and (d) the
Affiliated Funds, their principal underwriters and any Broker to sell
shares of the Affiliated Funds to the

Funds of Funds.\5\ Applicants also request an order under sections 6(c)
and 17(b) of the Act to exempt applicants from section 17(a) to the
extent necessary to permit Underlying Funds to sell their shares to
Funds of Funds and redeem their shares from Funds of Funds.\6\
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    \3\ For purposes of the request for relief, the term ``group of
investment companies'' means any two or more registered investment
companies, including closed-end investment companies, that hold
themselves out to investors as related companies for purposes of
investment and investor services.
    \4\ Certain of the Underlying Funds may be registered under the
Act as either UITs or open-end management investment companies and
have obtained exemptions from the Commission necessary to permit
their shares to be listed and traded on a national securities
exchange at negotiated prices and, accordingly, to operate as
exchange-traded funds (collectively, ``ETFs'' and each, an ``ETF'').
In addition, certain of the Underlying Funds currently pursue, or
may in the future pursue, their investment objectives through a
master-feeder arrangement in reliance on section 12(d)(1)(E) of the
Act. In accordance with condition 11, a Fund of Funds may not invest
in an Underlying Fund that operates as a feeder fund unless the
feeder fund is part of the same ``group of investment companies'' as
its corresponding master fund or the Fund of Funds. If a Fund of
Funds invests in an Affiliated Fund that operates as a feeder fund
and the corresponding master fund is not within the same ``group of
investment companies'' as the Fund of Funds and Affiliated Fund, the
master fund would be an Unaffiliated Fund for purposes of the
application and its conditions.
    \5\ Applicants state that they do not believe that investments
in business development companies present any particular
considerations or concerns that may be different from those
presented by investments in registered closed-end investment
companies.
    \6\ Applicants note that a Fund of Funds will purchase and sell
shares of an Underlying Fund that is a closed-end fund through
secondary market transactions at market prices rather than through
principal transactions with the closed-end fund. Accordingly,
applicants are not requesting section 17(a) relief with respect to
principal transactions with closed-end funds.
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    4. Applicants also request an exemption under section 6(c) from
rule 12d1-2 under the Act to permit any existing or future Fund that
relies on section 12(d)(1)(G) of the Act (``Same Group Investing
Funds'') and that otherwise complies with rule 12d1-2 under the Act, to
also invest, to the extent consistent with its investment objective(s),
policies, strategies and limitations, in other financial instruments
that may not be securities within the meaning of section 2(a)(36) of
the Act (``Other Investments'').

Applicants' Legal Analysis

A. Section 12(d)(1)

    1. Section 12(d)(1)(A) of the Act, in relevant part, prohibits a
registered investment company from acquiring shares of an investment
company if the securities represent more than 3% of the total
outstanding voting stock of the acquired company, more than 5% of the
total assets of the acquiring company, or, together with the securities
of any other investment companies, more than 10% of the total assets of
the acquiring company. Section 12(d)(1)(B) of the Act prohibits a
registered open-end investment company, its principal underwriter, and
any Broker from selling the investment company's shares to another
investment company if the sale will cause the acquiring company to own
more than 3% of the acquired company's voting stock, or if the sale
will cause more than 10% of the acquired company's voting stock to be
owned by investment companies generally. Section 12(d)(1)(C) prohibits
an investment company from acquiring any security issued by a
registered closed-end investment company if such acquisition would
result in the acquiring company, any other investment companies having
the same investment adviser, and companies controlled by such
investment companies, collectively, owning more than 10% of the
outstanding voting stock of the registered closed-end investment
company.
    2. Section 12(d)(1)(J) of the Act provides that the Commission may
exempt any person, security, or transaction, or any class or classes of
persons, securities or transactions, from any provision of section
12(d)(1) if the exemption is consistent with the public interest and
the protection of investors. Applicants request an exemption under
section 12(d)(1)(J) of the Act from the limitations of sections
12(d)(1)(A), (B) and (C) to the extent necessary to permit: (i) The
Funds of Funds to acquire shares of Underlying Funds in excess of the
limits set forth in section 12(d)(1)(A) and (C) of the Act; and (ii)
the Underlying Funds, their principal underwriters and any Broker to
sell shares of the Underlying Funds to the Funds of Funds in excess of
the limits set forth in section 12(d)(1)(B) of the Act.
    3. Applicants state that the proposed arrangement will not give
rise to the policy concerns underlying sections 12(d)(1)(A), (B), and
(C), which include concerns about undue influence by a fund of funds
over underlying funds, excessive layering of fees, and overly complex
fund structures. Accordingly, applicants believe that the requested
exemption is consistent with the public interest and the protection of
investors.
    4. Applicants submit that the proposed structure will not result in
the exercise of undue influence by a Fund or its affiliated persons
over the Underlying Funds. To limit the control a Fund of Funds or Fund
of Funds Affiliate \7\ may have over an Unaffiliated Fund, applicants
propose a condition prohibiting the Adviser and any person controlling,
controlled by or under common control with the Adviser, and any
investment company and any issuer that would be an investment company
but for section 3(c)(1) or section 3(c)(7) of the Act advised or
sponsored by the Adviser or any person controlling, controlled by or
under common control with the Adviser (collectively, the ``Advisory
Group'') from controlling (individually or in the aggregate) an
Unaffiliated Fund within the meaning of section 2(a)(9) of the Act. The
same prohibition would apply to any other investment adviser within the
meaning of section 2(a)(20)(B) of the Act to a Fund of Funds
(``Subadviser'') and any person controlling, controlled by or under
common control with the Subadviser, and any investment company or
issuer that would be an investment company but for section 3(c)(1) or
3(c)(7) of the Act (or portion of such investment company or issuer)
advised or sponsored by the Subadviser or any person controlling,
controlled by or under common control with the Subadviser
(collectively, the ``Subadvisory Group'').
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    \7\ A ``Fund of Funds Affiliate'' is the Adviser, any
Subadviser, promoter or principal underwriter of a Fund of Funds, as
well as any person controlling, controlled by or under common
control with any of those entities. An ``Unaffiliated Fund
Affiliate'' is an investment adviser(s), sponsor, promoter or
principal underwriter of any Unaffiliated Fund or any person
controlling, controlled by or under common control with any of those
entities.
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    5. With respect to closed-end underlying funds, applicants submit
that one significant difference from open-end underlying funds is that,
whereas open-end underlying funds may be unduly influenced by the
threat of large-scale redemptions, closed-end underlying funds cannot
be so influenced because they do not issue redeemable securities and,
therefore, are not subject to large-scale redemptions. On the other
hand, applicants state that closed-end underlying funds may be unduly
influenced by a holder's ability to vote a large block of stock. To
address this concern, applicants submit that, with respect to a Fund's
investment in an Unaffiliated Closed-End Investment Company, (i) each
member of the Advisory Group or Subadvisory Group that is an investment
company or an issuer that would be an investment company but for
section 3(c)(1) or 3(c)(7) of the Act will vote its shares of the
Unaffiliated Closed-End Investment Company in the manner prescribed by
section 12(d)(1)(E) of the Act and (ii) each other member of the
Advisory Group or Subadvisory Group will vote its shares of the
Unaffiliated Closed-End Investment Company in the same proportion as
the vote of all other holders of the same type of such Unaffiliated
Closed-End Investment Company's shares. Applicants state that, in this
way, an Unaffiliated Closed-End Investment Company will be protected
from undue influence by a Fund of Funds through the voting of the
Unaffiliated Closed-End Investment Company's shares.
    6. Applicants propose other conditions to limit the potential for
undue influence over the Unaffiliated Funds, including that no Fund of
Funds or Fund of Funds Affiliate (except to the extent it is acting in
its capacity as an investment adviser to an Unaffiliated Investment
Company or sponsor to an Unaffiliated Trust) will cause an Unaffiliated
Fund to purchase a security in an offering of securities during the
existence of any underwriting or selling

syndicate of which a principal underwriter is an Underwriting Affiliate
(``Affiliated Underwriting'').\8\
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    \8\ An ``Underwriting Affiliate'' is a principal underwriter in
any underwriting or selling syndicate that is an officer, director,
trustee, advisory board member, investment adviser, subadviser or
employee of the Fund of Funds, or a person of which any such
officer, director, trustee, investment adviser, subadviser, member
of an advisory board or employee is an affiliated person. An
Underwriting Affiliate does not include any person whose
relationship to an Unaffiliated Fund is covered by section 10(f) of
the Act.
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    7. To further ensure that an Unaffiliated Investment Company
understands the implications of a Fund of Funds' investment under the
requested exemptive relief, prior to its investment in the shares of an
Unaffiliated Investment Company in excess of the limit of section
12(d)(1)(A)(i) of the Act, a Fund of Funds and the Unaffiliated
Investment Company will execute an agreement stating, without
limitation, that each of their boards of directors or trustees (each, a
``Board'') and their investment advisers understand the terms and
conditions of the order and agree to fulfill their responsibilities
under the order (the ``Participation Agreement''). Applicants note that
an Unaffiliated Investment Company (including an ETF or an Unaffiliated
Closed-End Investment Company) would also retain its right to reject
any initial investment by a Fund of Funds in excess of the limits in
section 12(d)(1)(A)(i) of the Act by declining to execute the
Participation Agreement with the Fund of Funds. In addition, an
Unaffiliated Investment Company (other than an ETF or an Unaffiliated
Closed-End Investment Company whose shares are purchased by a Fund of
Funds in the secondary market) will retain its right at all times to
reject any investment by a Fund of Funds. Finally, subject solely to
the giving of notice to a Fund of Funds and the passage of a reasonable
notice period, an Unaffiliated Investment Company (including a closed-
end fund) could terminate a Participation Agreement with the Fund of
Funds.
    8. Applicants state that they do not believe that the proposed
arrangement will result in excessive layering of fees. The Board of
each Fund of Funds, including a majority of the trustees who are not
``interested persons'' within the meaning of section 2(a)(19) of the
Act (the ``Independent Trustees''), will find that the advisory fees
charged under a Fund of Funds' advisory contract are based on services
provided that are in addition to, rather than duplicative of, services
provided under the advisory contract(s) of any Underlying Fund in which
the Fund of Funds may invest. In addition, the Adviser will waive fees
otherwise payable to it by a Fund of Funds in an amount at least equal
to any compensation (including fees received pursuant to any plan
adopted by an Unaffiliated Investment Company under rule 12b-1 under
the Act) received from an Unaffiliated Fund by the Adviser, or an
affiliated person of the Adviser, other than any advisory fees paid to
the Adviser or an affiliated person of the Adviser by the Unaffiliated
Investment Company, in connection with the investment by the Fund of
Funds in the Unaffiliated Fund.
    9. Applicants further state that any sales charges and/or service
fees charged with respect to shares of a Fund of Funds will not exceed
the limits applicable to funds of funds set forth in in rule 2830 of
the Conduct Rules of the NASD (``NASD Conduct Rule 2830'').\9\
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    \9\ Any references to NASD Conduct Rule 2830 include any
successor or replacement Financial Industry Regulatory Authority
rule to NASD Conduct Rule 2830.
---------------------------------------------------------------------------

    10. Applicants submit that the proposed arrangement will not create
an overly complex fund structure. Applicants note that no Underlying
Fund will acquire securities of any other investment company or company
relying on section 3(c)(1) or 3(c)(7) of the Act in excess of the
limits contained in section 12(d)(1)(A) of the Act, except in certain
circumstances identified in condition 11 below.

B. Section 17(a)

    1. Section 17(a) of the Act generally prohibits sales or purchases
of securities between a registered investment company and any
affiliated person of the company. Section 2(a)(3) of the Act defines an
``affiliated person'' of another person to include (a) any person
directly or indirectly owning, controlling, or holding with power to
vote, 5% or more of the outstanding voting securities of the other
person; (b) any person 5% or more of whose outstanding voting
securities are directly or indirectly owned, controlled, or held with
power to vote by the other person; and (c) any person directly or
indirectly controlling, controlled by, or under common control with the
other person.
    2. Applicants state that the Funds of Funds and the Affiliated
Funds may be deemed to be under the common control of the Adviser and,
therefore, affiliated persons of one another. Applicants also state
that the Funds of Funds and the Unaffiliated Funds may also be deemed
to be affiliated persons of one another if a Fund of Funds acquires 5%
or more of an Unaffiliated Fund's outstanding voting securities.
Applicants state that the sale of shares by the Underlying Funds to the
Funds of Funds and the purchase of those shares from the Funds of Funds
by the Underlying Funds (through redemptions) could be deemed to
violate section 17(a).\10\
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    \10\ Applicants acknowledge that receipt of any compensation by
(a) an affiliated person of a Fund of Funds, or an affiliated person
of such person, for the purchase by the Fund of Funds of shares of
an Underlying Fund or (b) an affiliated person of an Underlying
Fund, or an affiliated person of such person, for the sale by the
Underlying Fund of its shares to a Fund of Funds may be prohibited
by section 17(e) (1) of the Act. The Participation Agreement also
will include this acknowledgement.
---------------------------------------------------------------------------

    3. Section 17(b) of the Act authorizes the Commission to grant an
order permitting a transaction otherwise prohibited by section 17(a) if
it finds that (i) the terms of the proposed transaction are fair and
reasonable and do not involve overreaching on the part of any person
concerned; (ii) the proposed transaction is consistent with the
policies of each registered investment company concerned; and (iii) the
proposed transaction is consistent with the general purposes of the
Act. Section 6(c) of the Act permits the Commission to exempt any
person or transactions from any provision of the Act if such exemption
is necessary or appropriate in the public interest and consistent with
the protection of investors and the purposes fairly intended by the
policy and provisions of the Act.
    4. Applicants submit that the proposed transactions satisfy the
standards for relief under sections 17(b) and 6(c) of the Act.
Applicants state that the terms of the transactions are reasonable and
fair and do not involve overreaching. Applicants state that the terms
upon which an Underlying Open-End Fund will sell its shares to or
purchase its shares from a Fund of Funds will be based on the net asset
value of each Underlying Open-End Fund.\11\ Applicants also state that
the

proposed transactions will be consistent with the policies of each Fund
of Funds and Underlying Open-End Fund, and with the general purposes of
the Act.
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    \11\ Applicants note that a Fund of Funds generally would
purchase and sell shares of an Underlying Fund that operates as an
ETF through secondary market transactions rather than through
principal transactions with the Underlying Fund. Applicants
nevertheless request relief from sections 17(a)(1) and (2) to permit
each Fund of Funds that is an affiliated person, or an affiliated
person of an affiliated person, as defined in section 2(a)(3) of the
Act, of an ETF to purchase or redeem shares from the ETF. Applicants
are not seeking relief from section 17(a) for, and the requested
relief will not apply to, transactions where an ETF could be deemed
an affiliated person, or an affiliated person of an affiliated
person, of a Fund of Funds because an investment adviser to the ETF
or an entity controlling, controlled by or under common control with
the investment adviser to the ETF is also an investment adviser to
the Fund of Funds. Applicants note that a Fund of Funds will
purchase and sell shares of an Underlying Fund that is a closed-end
fund (including a business development company) through secondary
market transactions at market prices rather than through principal
transactions with the closed-end fund. Accordingly, applicants are
not requesting section 17(a) relief with respect to principal
transactions with closed-end funds (including business development
companies).
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C. Other Investments by Same Group Investing Funds

    1. Section 12(d)(1)(G) of the Act provides that section 12(d)(1)
will not apply to securities of an acquired company purchased by an
acquiring company if: (i) the acquiring company and acquired company
are part of the same ``group of investment companies,'' as defined in
section 12(d)(1)(G)(ii) of the Act; (ii) the acquiring company holds
only securities of acquired companies that are part of the same ``group
of investment companies,'' as defined in section 12(d)(1)(G)(ii) of the
Act, government securities, and short-term paper; (iii) the aggregate
sales loads and distribution-related fees of the acquiring company and
the acquired company are not excessive under rules adopted pursuant to
section 22(b) or section 22(c) of the Act by a securities association
registered under section 15A of the 1934 Act or by the Commission; and
(iv) the acquired company has a policy that prohibits it from acquiring
securities of registered open-end management investment companies or
registered UITs in reliance on section 12(d)(1)(F) or (G) of the Act.
    2. Rule 12d1-2 under the Act permits a registered open-end
investment company or a registered UIT that relies on section
12(d)(1)(G) of the Act to acquire, in addition to securities issued by
another registered investment company in the same group of investment
companies, government securities, and short-term paper: (a) securities
issued by an investment company that is not in the same group of
investment companies, when the acquisition is in reliance on section
12(d)(1)(A) or 12(d)(1)(F) of the Act; (b) securities (other than
securities issued by an investment company); and (c) securities issued
by a money market fund, when the investment is in reliance on rule
12d1-1 under the Act. For the purposes of rule 12d1-2, ``securities''
means any security as defined in section 2(a)(36) of the Act.
    3. Applicants state that the proposed arrangement would comply with
rule 12d1-2 under the Act, but for the fact that the Same Group
Investing Funds may invest a portion of their assets in Other
Investments. Applicants request an order under section 6(c) of the Act
for an exemption from rule 12d1-2(a) to allow the Same Group Investing
Funds to invest in Other Investments. Applicants assert that permitting
Same Group Investing Funds to invest in Other Investments as described
in the application would not raise any of the concerns that section
12(d)(1) of the Act was intended to address.
    4. Consistent with its fiduciary obligations under the Act, the
Board of each Same Group Investing Fund will review the advisory fees
charged by the Same Group Investing Funds' investment adviser(s) to
ensure that the fees are based on services provided that are in
addition to, rather than duplicative of, services provided pursuant to
the advisory agreement of any investment company in which the Same
Group Investing Funds may invest.

Applicants' Conditions

A. Investments by Funds of Funds in Underlying Funds

    Applicants agree that the order granting the requested relief to
permit Funds of Funds to invest in Underlying Funds shall be subject to
the following conditions:
    1. The members of an Advisory Group will not control (individually
or in the aggregate) an Unaffiliated Fund within the meaning of section
2(a)(9) of the Act. The members of a Subadvisory Group will not control
(individually or in the aggregate) an Unaffiliated Fund within the
meaning of section 2(a)(9) of the Act. With respect to a Fund's
investment in an Unaffiliated Closed-End Investment Company, (i) each
member of the Advisory Group or Subadvisory Group that is an investment
company or an issuer that would be an investment company but for
section 3(c)(1) or 3(c)(7) of the Act will vote its shares of the
Unaffiliated Closed-End Investment Company in the manner prescribed by
section 12(d)(1)(E) of the Act and (ii) each other member of the
Advisory Group or Subadvisory Group will vote its shares of the
Unaffiliated Closed-End Investment Company in the same proportion as
the vote of all other holders of the same type of such Unaffiliated
Closed-End Investment Company's shares. If, as a result of a decrease
in the outstanding voting securities of any Unaffiliated Fund, the
Advisory Group or a Subadvisory Group, each in the aggregate, becomes a
holder of more than 25 percent of the outstanding voting securities of
the Unaffiliated Fund, then the Advisory Group or the Subadvisory Group
will vote its shares of the Unaffiliated Fund in the same proportion as
the vote of all other holders of the Unaffiliated Fund's shares. This
condition will not apply to a Subadvisory Group with respect to an
Unaffiliated Fund for which the Subadviser or a person controlling,
controlled by or under common control with the Subadviser acts as the
investment adviser within the meaning of section 2(a)(20)(A) of the Act
(in the case of an Unaffiliated Investment Company) or as the sponsor
(in the case of an Unaffiliated Trust).
    2. No Fund of Funds or Fund of Funds Affiliate will cause any
existing or potential investment by the Fund of Funds in an
Unaffiliated Fund to influence the terms of any services or
transactions between the Fund of Funds or a Fund of Funds Affiliate and
the Unaffiliated Fund or an Unaffiliated Fund Affiliate.
    3. The Board of each Fund of Funds, including a majority of the
Independent Trustees, will adopt procedures reasonably designed to
ensure that its Adviser and any Subadviser(s) to the Fund of Funds are
conducting the investment program of the Fund of Funds without taking
into account any consideration received by the Fund of Funds or Fund of
Funds Affiliate from an Unaffiliated Fund or an Unaffiliated Fund
Affiliate in connection with any services or transactions.
    4. Once an investment by a Fund of Funds in the securities of an
Unaffiliated Investment Company exceeds the limit of section
12(d)(1)(A)(i) of the Act, the Board of the Unaffiliated Investment
Company, including a majority of the Independent Trustees, will
determine that any consideration paid by the Unaffiliated Investment
Company to a Fund of Funds or a Fund of Funds Affiliate in connection
with any services or transactions: (a) Is fair and reasonable in
relation to the nature and quality of the services and benefits
received by the Unaffiliated Investment Company; (b) is within the
range of consideration that the Unaffiliated Investment Company would
be required to pay to another unaffiliated entity in connection with
the same services or transactions; and (c) does not involve
overreaching on the part of any person concerned. This condition does
not apply with respect to any services or transactions between an
Unaffiliated Investment Company and its investment adviser(s), or any
person controlling, controlled by, or under common control with such
investment adviser(s).
    5. No Fund of Funds or Fund of Funds Affiliate (except to the
extent it is acting in its capacity as an investment adviser to an
Unaffiliated Investment

Company or sponsor to an Unaffiliated Trust) will cause an Unaffiliated
Fund to purchase a security in any Affiliated Underwriting.
    6. The Board of an Unaffiliated Investment Company, including a
majority of the Independent Trustees, will adopt procedures reasonably
designed to monitor any purchases of securities by the Unaffiliated
Investment Company in an Affiliated Underwriting once an investment by
a Fund of Funds in the securities of the Unaffiliated Investment
Company exceeds the limit of section 12(d)(1)(A)(i) of the Act,
including any purchases made directly from an Underwriting Affiliate.
The Board of the Unaffiliated Investment Company will review these
purchases periodically, but no less frequently than annually, to
determine whether the purchases were influenced by the investment by
the Fund of Funds in the Unaffiliated Investment Company. The Board of
the Unaffiliated Investment Company will consider, among other things:
(a) Whether the purchases were consistent with the investment
objectives and policies of the Unaffiliated Investment Company; (b) how
the performance of securities purchased in an Affiliated Underwriting
compares to the performance of comparable securities purchased during a
comparable period of time in underwritings other than Affiliated
Underwritings or to a benchmark such as a comparable market index; and
(c) whether the amount of securities purchased by the Unaffiliated
Investment Company in Affiliated Underwritings and the amount purchased
directly from an Underwriting Affiliate have changed significantly from
prior years. The Board of the Unaffiliated Investment Company will take
any appropriate actions based on its review, including, if appropriate,
the institution of procedures designed to ensure that purchases of
securities in Affiliated Underwritings are in the best interests of
shareholders.
    7. Each Unaffiliated Investment Company shall maintain and preserve
permanently, in an easily accessible place, a written copy of the
procedures described in the preceding condition, and any modifications
to such procedures, and will maintain and preserve for a period of not
less than six years from the end of the fiscal year in which any
purchase in an Affiliated Underwriting occurred, the first two years in
an easily accessible place, a written record of each purchase of
securities in an Affiliated Underwriting once an investment by a Fund
of Funds in the securities of an Unaffiliated Investment Company
exceeds the limit of section 12(d)(1)(A)(i) of the Act, setting forth
the: (a) party from whom the securities were acquired, (b) identity of
the underwriting syndicate's members, (c) terms of the purchase, and
(d) information or materials upon which the determinations of the Board
of the Unaffiliated Investment Company were made.
    8. Prior to its investment in shares of an Unaffiliated Investment
Company in excess of the limit set forth in section 12(d)(1)(A)(i) of
the Act, the Fund of Funds and the Unaffiliated Investment Company will
execute a Participation Agreement stating, without limitation, that
their Boards and their investment advisers understand the terms and
conditions of the order and agree to fulfill their responsibilities
under the order. At the time of its investment in shares of an
Unaffiliated Investment Company in excess of the limit set forth in
section 12(d)(1)(A)(i), a Fund of Funds will notify the Unaffiliated
Investment Company of the investment. At such time, the Fund of Funds
will also transmit to the Unaffiliated Investment Company a list of the
names of each Fund of Funds Affiliate and Underwriting Affiliate. The
Fund of Funds will notify the Unaffiliated Investment Company of any
changes to the list as soon as reasonably practicable after a change
occurs. The Unaffiliated Investment Company and the Fund of Funds will
maintain and preserve a copy of the order, the Participation Agreement,
and the list with any updated information for the duration of the
investment and for a period of not less than six years thereafter, the
first two years in an easily accessible place.
    9. Before approving any advisory contract under section 15 of the
Act, the Board of each Fund of Funds, including a majority of the
Independent Trustees, shall find that the advisory fees charged under
the advisory contract are based on services provided that are in
addition to, rather than duplicative of, services provided under the
advisory contract(s) of any Underlying Fund in which the Fund of Funds
may invest. Such finding, and the basis upon which the finding was
made, will be recorded fully in the minute books of the appropriate
Fund of Funds.
    10. The Adviser will waive fees otherwise payable to it by a Fund
of Funds in an amount at least equal to any compensation (including
fees received pursuant to any plan adopted by an Unaffiliated
Investment Company pursuant to rule 12b-1 under the Act) received from
an Unaffiliated Fund by the Adviser, or an affiliated person of the
Adviser, other than any advisory fees paid to the Adviser or its
affiliated person by the Unaffiliated Investment Company, in connection
with the investment by the Fund of Funds in the Unaffiliated Fund. Any
Subadviser will waive fees otherwise payable to the Subadviser,
directly or indirectly, by the Fund of Funds in an amount at least
equal to any compensation received by the Subadviser, or an affiliated
person of the Subadviser, from an Unaffiliated Fund, other than any
advisory fees paid to the Subadviser or its affiliated person by the
Unaffiliated Investment Company, in connection with the investment by
the Fund of Funds in the Unaffiliated Fund made at the direction of the
Subadviser. In the event that the Subadviser waives fees, the benefit
of the waiver will be passed through to the Fund of Funds.
    11. No Underlying Fund will acquire securities of any other
investment company or company relying on section 3(c)(1) or 3(c)(7) of
the Act, in excess of the limits contained in section 12(d)(1)(A) of
the Act, except to the extent that such Underlying Fund: (a) acquires
such securities in compliance with section 12(d)(1)(E) of the Act and
either is an Affiliated Fund or is in the same ``group of investment
companies'' as its corresponding master fund; (b) receives securities
of another investment company as a dividend or as a result of a plan of
reorganization of a company (other than a plan devised for the purpose
of evading section 12(d)(1) of the Act); or (c) acquires (or is deemed
to have acquired) securities of another investment company pursuant to
exemptive relief from the Commission permitting such Underlying Fund
to: (i) acquire securities of one or more investment companies for
short-term cash management purposes or (ii) engage in inter-fund
borrowing and lending transactions.
    12. Any sales charges and/or service fees charged with respect to
shares of a Fund of Funds will not exceed the limits applicable to
funds of funds set forth in NASD Conduct Rule 2830.

B. Other Investments by Same Group Investing Funds

    Applicants agree that the order granting the requested relief to
permit Same Group Investing Funds to invest in Other Investments shall
be subject to the following condition:
    1. Applicants will comply with all provisions of rule 12d1-2 under
the Act, except for paragraph (a)(2) to the extent that it restricts
any Same Group Investing Fund from investing in Other Investments as
described in the application.

    For the Commission, by the Division of Investment Management,
pursuant to delegated authority.
Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2014-01256 Filed 1-22-14; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 81, Number 77 (Thursday, April 21, 2016)]
[Notices]
[Page 23477]
[FR Doc No: 2016-09228]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Project No. 7656-012]

John A. Dodson; Notice of Proposed Termination of License by
Implied Surrender and Soliciting Comments, Protests and Motions To
Intervene

    Take notice that the following hydroelectric proceeding has been
initiated by the Commission:
    a. Type of Proceeding: Proposed Termination of License by Implied
Surrender.
    b. Project No.: 7656-012.
    c. Date Initiated: April 14, 2016.
    d. Licensee: John A. Dodson.
    e. Name and Location of Project: Buttermilk Falls Hydroelectric
Project located on Buttermilk Falls Brook, in Orange County, New York.
    f. Filed Pursuant to: Standard Article 16.
    g. Licensee Contact Information: Mr. John A. Dodson, P.O. Box 221,
Highland Falls, New York 10928, Phone:<PHONE_NUMBER>.
    h. FERC Contact: Mr. Ashish Desai,<PHONE_NUMBER>,
<EMAIL_ADDRESS>    i. Deadline for filing comments, protests, and motions to intervene
is 30 days from the issuance date of this notice by the Commission. The
Commission strongly encourages electronic filing. Please file comments,
protests, and motions to intervene using the Commission's eFiling
system at http://www.ferc.gov/docs-filing/efiling.asp. Commenters can
submit brief comments up to 6,000 characters, without prior
registration, using the eComment system at http://www.ferc.gov/docs-filing/ecomment.asp. You must include your name and contact information
at the end of your comments. For assistance, please contact FERC Online
Support at<EMAIL_ADDRESS>(866) 208-3676 (toll free), or
(202) 502-8659 (TTY). In lieu of electronic filing, please send a paper
copy to: Secretary, Federal Energy Regulatory Commission, 888 First
Street NE., Washington, DC 20426. The first page of any filing should
include docket number P-7656-012.
    j. Description of Project Facilities: (1) An 18-inch-high, 15-foot-
long dam; (2) an 18-inch-diameter, 400-foot-long PVC penstock; (3) a
powerhouse containing two generating units for a total installed
capacity of 79 kilowatts; (4) a 300-foot-long, 480-volt transmission
line; and (5) appurtenant facilities.
    k. Description of Proceeding: The licensee is in violation of
standard Article 16 of its license issued on June 24, 1986 (35 FERC ]
62,532). Article 16 states, in part: If the Licensee shall abandon or
discontinue good faith operation of the project or refuse or neglect to
comply with the terms of the license and the lawful orders of the
Commission mailed to the record address of the Licensee or its agent,
the Commission will deem it to be the intent of the Licensee to
surrender the license.
    Commission records indicate that the project has not been operated
since the fall of 2012 when heavy storms flooded the powerhouse. Due to
an ongoing property rights dispute involving access to and the use of
lands needed for project purposes, the licensee has been reluctant to
repair the project and return it to service. In addition, the licensee
has not responded to several Commission requests to file a plan and
schedule to restore project operation in a timely manner.
    l. This notice is available for review and reproduction at the
Commission in the Public Reference Room, Room 2A, 888 First Street NE.,
Washington, DC 20426. The notice and other project records may also be
viewed on the Commission's Web site at http://www.ferc.gov/docs-filing/elibrary.asp. Enter the Docket number (P-7656-012) excluding the last
three digits in the docket number field to access the notice. You may
also register online at http://www.ferc.gov/docs-filing/esubscription.asp to be notified via email of new filings and issuances
related to this or other pending projects. For assistance, call toll-
free<PHONE_NUMBER> or email<EMAIL_ADDRESS>For TTY, call
(202) 502-8659.
    m. Individuals desiring to be included on the Commission's mailing
list should so indicate by writing to the Secretary of the Commission.
    n. Comments, Protests, or Motions to Intervene: Anyone may submit
comments, a protest, or a motion to intervene in accordance with the
requirements of Rules of Practice and Procedure, 18 CFR 385.210, .211,
and .214. In determining the appropriate action to take, the Commission
will consider all protests or other comments filed, but only those who
file a motion to intervene in accordance with the Commission's Rules
may become a party to the proceeding. Any comments, protests, or
motions to intervene must be received on or before the specified
comment date for the particular application.
    o. Filing and Service of Responsive Documents: Any filing must (1)
bear in all capital letters the title ``COMMENTS,'' ``PROTEST,'' or
``MOTION TO INTERVENE'' as applicable; (2) set forth in the heading the
name of the applicant and the project number of the application to
which the filing responds; (3) furnish the name, address, and telephone
number of the person protesting or intervening; and (4) otherwise
comply with the requirements of 18 CFR 385.2001 through 385.2005. All
comments, motions to intervene, or protests must set forth their
evidentiary basis and otherwise comply with the requirements of 18 CFR
4.34(b). All comments, protests, or motions to intervene should relate
to project works which are the subject of the implied surrender. A copy
of any protest or motion to intervene must be served upon each
representative of the applicant specified in the particular
application. If an intervener files comments or documents with the
Commission relating to the merits of an issue that may affect the
responsibilities of a particular resource agency, they must also serve
a copy of the document on that resource agency. A copy of all other
filings in reference to this application must be accompanied by proof
of service on all persons listed in the service list prepared by the
Commission in this proceeding in accordance with 18 CFR 4.34(b) and
385.2010.

    Dated: April 15, 2016.
Kimberly D. Bose,
Secretary.
[FR Doc. 2016-09228 Filed 4-20-16; 8:45 am]
 BILLING CODE 6717-01-P


[Federal Register Volume 84, Number 179 (Monday, September 16, 2019)]
[Notices]
[Page 48672]
[FR Doc No: 2019-20040]

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SECURITIES AND EXCHANGE COMMISSION

Sunshine Act Meetings

TIME AND DATE: Notice is hereby given, pursuant to the provisions of
the Government in the Sunshine Act, Public Law 94-409, the Securities
and Exchange Commission will hold an Open Meeting on Wednesday,
September 18, 2019 at 10:00 a.m.

PLACE: The meeting will be held in Auditorium LL-002 at the
Commission's headquarters, 100 F Street NE, Washington, DC 20549.

STATUS: This meeting will begin at 10:00 a.m. (ET) and will be open to
the public. Seating will be on a first-come, first-served basis.
Visitors will be subject to security checks. The meeting will be
webcast on the Commission's website at www.sec.gov.

MATTER TO BE CONSIDERED: 1. The Commission will consider whether to
adopt amendments to rules adopted under section 13 of the Bank Holding
Company Act related to prohibitions and restrictions on proprietary
trading and certain interests in, and relationships with, hedge funds
and private equity funds (commonly known as the ``Volcker rule'').
    At times, changes in Commission priorities require alterations in
the scheduling of meeting items.

CONTACT PERSON FOR MORE INFORMATION: For further information and to
ascertain what, if any, matters have been added, deleted or postponed,
please contact Vanessa A. Countryman, Office of the Secretary, at (202)
551-5400.

    Dated: September 11, 2019.
Vanessa A. Countryman,
Secretary.
[FR Doc. 2019-20040 Filed 9-12-19; 11:15 am]
 BILLING CODE 8011-01-P