[Federal Register Volume 77, Number 42 (Friday, March 2, 2012)]
[Notices]
[Pages 12900-12901]
[FR Doc No: 2012-5082]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-66471; File No. SR-ISE-2012-10]

Self-Regulatory Organizations; International Securities Exchange,
LLC; Notice of Filing and Immediate Effectiveness of Proposed Rule
Change To Amend the Exchange's Obvious Error Rule

February 27, 2012.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(the ``Act''),\1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that on February 22, 2012, the International Securities Exchange, LLC
(the ``Exchange'' or the ``ISE'') filed with the Securities and
Exchange Commission (``Commission'') the proposed rule change as
described in Items I, II, and III below, which items have been prepared
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 Rule 720 regarding Obvious Errors.
The proposed rule change will re-define theoretical price
(``Theoretical Price'') for the purposes of determining whether an
execution price constitutes an obvious error (``Obvious Error''). The
text of the proposed rule change is available on the Exchange's Web
site www.ise.com, at the principal office of the Exchange, and at the
Commission's Public Reference Room.

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

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

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

1. Purpose
    The Obvious Error rules and procedures in the ISE Rules provide
objective criteria by which certain transactions may be analyzed if
believed to have been executed at erroneously high or low prices. ISE
Rule 720 currently defines the Theoretical Price of an options series,
if the series is traded on at least one other options exchange, as
``the last bid price with respect to an erroneous sell transaction, and
last offer price with respect to an erroneous buy transaction, just
prior to the trade disseminated by the competing options exchange that
has the most liquidity in that option; or if there are no quotes for
comparison purposes, as determined by designated personnel in the
Exchange's market control center.''
    The proposed rule change would re-define Theoretical Price to mean,
with respect to options series traded on at least one other options
exchange, either the last National Best Bid price (with respect to an
erroneous sell transaction) or the last National Best Offer price (with
respect to an erroneous buy transaction), just prior to the trade in
question. The proposed new definition of Theoretical Price will provide
the Exchange's market control center with a clearly defined measure of
the price on which to base their determination as to whether or not a
particular transaction resulted from an erroneous price thus [sic] was
an obvious error.\3\ This proposed rule change would continue to permit
the Exchange's market control center to establish the Theoretical Price
when there are no quotes available for comparison purposes.
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    \3\ The Exchange notes that Boston Options Exchange (``BOX'')
uses the NBBO to determine the theoretical price of an option. See
BOX Chapter V, Sec. 20.
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    As this proposed rule change will eliminate any comparison to the
``competing options exchange that has the most liquidity in that
option,'' the Exchange proposes to remove Supplementary Material .06 to
ISE Rule 720.
2. Basis
    The Exchange believes that this proposed rule change is consistent
with the requirements of Section 6(b) of the Securities Exchange Act of
1934 (``Exchange Act''),\4\ in general, and Section 6(b)(5) of the
Exchange Act,\5\ in particular, in that it is designed to promote just
and equitable principles of trade, to prevent fraudulent and
manipulative acts, to remove impediments to and perfect the mechanism
for a free and open market and a national market system, and in
general, to protect investors and the public interest. In particular,
the proposed rule change will establish an objective definition of
Theoretical Price when determining whether a particular transaction was
or was not an Obvious Error.
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    \4\ 15 U.S.C. 78f(b).
    \5\ 15 U.S.C. 78f(b)(5).
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B. Self-Regulatory Organization's Statement on Burden on Competition

    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.

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 this proposed rule change. The Exchange has not received
any unsolicited written comments from members or other interested
parties.

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

    Because the foregoing proposed rule change does not significantly
affect the protection of investors or the public interest, does not
impose any significant burden on competition, and, by its terms, does
not become operative for 30 days from the date on which it was filed,
or such shorter time as the Commission may designate, it has become
effective pursuant to Section

19(b)(3)(A) \6\ of the Act and Rule 19b-4(f)(6) \7\ thereunder. The
Exchange provided the Commission with 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 the proposed rule change.
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    \6\ 15 U.S.C. 78s(b)(3)(A).
    \7\ 17 CFR 240.19b-4(f)(6).
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    The proposed rule change will offer Exchange Members the same
potential for relief that is available at other options exchanges for
certain obvious errors. Further, the proposed rule change is similar to
rules currently in place at BOX. For the foregoing reasons, this rule
filing qualifies for immediate effectiveness as a ``non-controversial''
rule change under paragraph (f)(6) of Rule 19b-4 of the Act, as it does
not raise any new, unique or substantive issues, and is beneficial for
competitive purposes and to promote a free and open market for the
benefit of investors.
    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.

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-ISE-2012-10 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-ISE-2012-10. 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
a.m. and 3 p.m. Copies of the filing also will be available for
inspection and copying at the principal office of the Exchange. 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-2012-10 and should be
submitted on or before March 23, 2012.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\8\
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    \8\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-5082 Filed 3-1-12; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 78, Number 54 (Wednesday, March 20, 2013)]
[Rules and Regulations]
[Pages 17133-17135]
[FR Doc No: 2013-06323]

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DEPARTMENT OF HOMELAND SECURITY

Federal Emergency Management Agency

44 CFR Part 64

[Docket ID FEMA-2013-0002; Internal Agency Docket No. FEMA-8277]

Suspension of Community Eligibility

AGENCY: Federal Emergency Management Agency, DHS.

ACTION: Final rule.

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SUMMARY: This rule identifies communities where the sale of flood
insurance has been authorized under the National Flood Insurance
Program (NFIP) that are scheduled for suspension on the effective dates
listed within this rule because of noncompliance with the floodplain
management requirements of the program. If the Federal Emergency
Management Agency (FEMA) receives documentation that the community has
adopted the required floodplain management measures prior to the
effective suspension date given in this rule, the suspension will not
occur and a notice of this will be provided by publication in the
Federal Register on a subsequent date. Also, information identifying
the current participation status of a community can be obtained from
FEMA's Community Status Book (CSB). The CSB is available at http://www.fema.gov/fema/csb.shtm.

DATES:  Effective Dates: The effective date of each community's
scheduled suspension is the third date (``Susp.'') listed in the third
column of the following tables.

FOR FURTHER INFORMATION CONTACT: If you want to determine whether a
particular community was suspended on the suspension date or for
further information, contact David Stearrett, Federal Insurance and
Mitigation Administration, Federal Emergency Management Agency, 500 C
Street SW., Washington, DC 20472,<PHONE_NUMBER>.

SUPPLEMENTARY INFORMATION: The NFIP enables property owners to purchase
Federal flood insurance that is not otherwise generally available from
private insurers. In return, communities agree to adopt and administer
local floodplain management measures aimed at protecting lives and new
construction from future flooding. Section 1315 of the National Flood
Insurance Act of 1968, as amended, 42 U.S.C. 4022, prohibits the sale
of NFIP flood insurance unless an appropriate public body adopts
adequate floodplain management measures with effective enforcement
measures. The communities listed in this document no longer meet that
statutory requirement for compliance with program regulations, 44 CFR
Part 59. Accordingly, the communities will be suspended on the
effective date in the third column. As of that date, flood insurance
will no longer be available in the community. We recognize that some of
these communities may adopt and submit the required documentation of
legally enforceable floodplain management measures after this rule is
published but prior to the actual suspension date. These communities
will not be suspended and will continue to be eligible for the sale of
NFIP flood insurance. A notice withdrawing the suspension of such
communities will be published in the Federal Register.
    In addition, FEMA publishes a Flood Insurance Rate Map (FIRM) that
identifies the Special Flood Hazard Areas (SFHAs) in these communities.
The date of the FIRM, if one has been published, is indicated in the
fourth column of the table. No direct Federal financial assistance
(except assistance pursuant to the Robert T. Stafford Disaster Relief
and Emergency Assistance Act not in connection with a flood) may be
provided for construction or acquisition of buildings in identified
SFHAs for communities not participating in the NFIP and identified for
more than a year on FEMA's initial FIRM for the community as having
flood-prone areas (section 202(a) of the Flood Disaster Protection Act
of 1973, 42 U.S.C. 4106(a), as amended). This prohibition against
certain types of Federal assistance becomes effective for the
communities listed on the date shown in the last column. The
Administrator finds that notice and public comment procedures under 5
U.S.C. 553(b), are impracticable and unnecessary because communities
listed in this final rule have been adequately notified.
    Each community receives 6-month, 90-day, and 30-day notification
letters addressed to the Chief Executive Officer stating that the
community will be suspended unless the required floodplain management
measures are met prior to the effective suspension date. Since these
notifications were

made, this final rule may take effect within less than 30 days.
    National Environmental Policy Act. This rule is categorically
excluded from the requirements of 44 CFR Part 10, Environmental
Considerations. No environmental impact assessment has been prepared.
    Regulatory Flexibility Act. The Administrator has determined that
this rule is exempt from the requirements of the Regulatory Flexibility
Act because the National Flood Insurance Act of 1968, as amended,
Section 1315, 42 U.S.C. 4022, prohibits flood insurance coverage unless
an appropriate public body adopts adequate floodplain management
measures with effective enforcement measures. The communities listed no
longer comply with the statutory requirements, and after the effective
date, flood insurance will no longer be available in the communities
unless remedial action takes place.
    Regulatory Classification. This final rule is not a significant
regulatory action under the criteria of section 3(f) of Executive Order
12866 of September 30, 1993, Regulatory Planning and Review, 58 FR
51735.
    Executive Order 13132, Federalism. This rule involves no policies
that have federalism implications under Executive Order 13132.
    Executive Order 12988, Civil Justice Reform. This rule meets the
applicable standards of Executive Order 12988.
    Paperwork Reduction Act. This rule does not involve any collection
of information for purposes of the Paperwork Reduction Act, 44 U.S.C.
3501 et seq.

List of Subjects in 44 CFR Part 64

    Flood insurance, Floodplains.

    Accordingly, 44 CFR p0061rt 64 is amended as follows:

PART 64--[AMENDED]

0
1. The authority citation for Part 64 continues to read as follows:

    Authority: 42 U.S.C. 4001 et seq.; Reorganization Plan No. 3 of
1978, 3 CFR, 1978 Comp.; p. 329; E.O. 12127, 44 FR 19367, 3 CFR,
1979 Comp.; p. 376.

Sec.  64.6  [Amended]

0
2. The tables published under the authority of Sec.  64.6 are amended
as follows:

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                                                  Effective date
                                                  authorization/
                                    Community     cancellation of   Current effective map   Date certain Federal
       State and location              No.         sale of flood             date           assistance no longer
                                                   insurance in                              available in SFHAs
                                                     community
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           Region III

Pennsylvania:
    Barrett, Township of, Monroe        421884  December 26, 1975,  May 2, 2013..........  May 2, 2013
     County.                                     Emerg; September
                                                 2, 1988, Reg; May
                                                 2, 2013, Susp.
    Chesnuthill, Township of,           421885  December 23, 1977,  .....do*.............   Do.
     Monroe County.                              Emerg; February
                                                 17, 1988, Reg;
                                                 May 2, 2013, Susp.
    Coolbaugh, Township of,             421886  March 8, 1977,      .....do..............   Do.
     Monroe County.                              Emerg; November
                                                 4, 1988, Reg; May
                                                 2, 2013, Susp.
    Delaware Water Gap, Borough         420690  March 3, 1980,      .....do..............   Do.
     of, Monroe County.                          Emerg; August 16,
                                                 1988, Reg; May 2,
                                                 2013, Susp.
    East Stroudsburg, Borough           420691  March 26, 1974,     .....do..............   Do.
     of, Monroe County.                          Emerg; September
                                                 29, 1978, Reg;
                                                 May 2, 2013, Susp.
    Eldred, Township of, Monroe         421887  July 20, 1977,      .....do..............   Do.
     County.                                     Emerg; February
                                                 17, 1988, Reg;
                                                 May 2, 2013, Susp.
    Hamilton, Township of,              421888  March 31, 1978,     .....do..............   Do.
     Monroe County.                              Emerg; February
                                                 4, 1988, Reg; May
                                                 2, 2013, Susp.
    Jackson, Township of, Monroe        421889  January 22, 1981,   .....do..............   Do.
     County.                                     Emerg; July 2,
                                                 1982, Reg; May 2,
                                                 2013, Susp.
    Middle Smithfield, Township         421890  October 3, 1975,    .....do..............   Do.
     of, Monroe County.                          Emerg; December
                                                 16, 1988, Reg;
                                                 May 2, 2013, Susp.
    Paradise, Township of,              421891  January 30, 1980,   .....do..............   Do.
     Monroe County.                              Emerg; September
                                                 2, 1988, Reg; May
                                                 2, 2013, Susp.
    Pocono, Township of, Monroe         421892  July 29, 1975,      .....do..............   Do.
     County.                                     Emerg; August 5,
                                                 1986, Reg; May 2,
                                                 2013, Susp.
    Polk, Township of, Monroe           421893  December 18, 1975,  .....do..............   Do.
     County.                                     Emerg; September
                                                 30, 1987, Reg;
                                                 May 2, 2013, Susp.
    Price, Township of, Monroe          421894  September 29,       .....do..............   Do.
     County.                                     1975, Emerg;
                                                 September 2,
                                                 1988, Reg; May 2,
                                                 2013, Susp.
    Ross, Township of, Monroe           421895  June 1, 1976        .....do..............   Do.
     County.                                     Emerg; February
                                                 17, 1988, Reg;
                                                 May 2, 2013, Susp.
    Smithfield, Township of,            421896  November 8, 1974,   .....do..............   Do.
     Monroe County.                              Emerg; March 4,
                                                 1988, Reg; May 2,
                                                 2013, Susp.
    Stroud, Township of, Monroe         420693  May 9, 1973,        .....do..............   Do.
     County.                                     Emerg; April 15,
                                                 1977, Reg; May 2,
                                                 2013, Susp.
    Stroudsburg, Borough of,            420694  August 25, 1972,    .....do..............   Do.
     Monroe County.                              Emerg; December
                                                 31, 1976, Reg;
                                                 May 2, 2013, Susp.
    Tobyhanna, Township of,             421897  March 18, 1976,     .....do..............   Do.
     Monroe County.                              Emerg; December
                                                 16, 1988, Reg;
                                                 May 2, 2013, Susp.
    Tunkhannock, Township of,           421898  April 23, 1980,     .....do..............   Do.
     Monroe County.                              Emerg; September
                                                 4, 1985, Reg; May
                                                 2, 2013, Susp.

            Region V

    Ohio:.......................
    Allen County, Unincorporated        390758  July 20, 1977,      .....do..............   Do.
     Areas.                                      Emerg; November
                                                 15, 1989, Reg;
                                                 May 2, 2013, Susp.

    Bluffton, Village of, Allen         390004  June 19, 1975,      .....do..............   Do.
     and Hancock Counties.                       Emerg; September
                                                 20, 1995, Reg;
                                                 May 2, 2013, Susp.
    Delphos, City of, Allen and         390005  July 25, 1975,      .....do..............   Do.
     Van Wert Counties.                          Emerg; August 5,
                                                 1991, Reg; May 2,
                                                 2013, Susp.
    Elida, Village of, Allen            390656  October 7, 1992,    .....do..............   Do.
     County.                                     Emerg; N/A, Reg;
                                                 May 2, 2013, Susp.
    Fort Shawnee, Village of,           390611  August 12, 1975,    .....do..............   Do.
     Allen County.                               Emerg; August 15,
                                                 1984, Reg; May 2,
                                                 2013, Susp.
    Lima, City of, Allen County.        390006  January 28, 1974,   .....do..............   Do.
                                                 Emerg; February
                                                 15, 1979, Reg;
                                                 May 2, 2013, Susp.
----------------------------------------------------------------------------------------------------------------
* -do- = Ditto.
Code for reading third column: Emerg.--Emergency; Reg.--Regular; Susp.--Suspension.

    Dated: March 8, 2013.
David L. Miller,
Associate Administrator, Federal Insurance and Mitigation
Administration. Department of Homeland Security, Federal Emergency
Management Agency.
[FR Doc. 2013-06323 Filed 3-19-13; 8:45 am]
BILLING CODE 9110-12-P