[Federal Register Volume 86, Number 86 (Thursday, May 6, 2021)]
[Rules and Regulations]
[Pages 24326-24328]
[FR Doc No: 2021-09564]

=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 100

[Docket Number USCG-2021-0103]
RIN 1625-AA08

Special Local Regulation; Choptank River, Between Trappe and
Cambridge, MD

AGENCY: Coast Guard, DHS.

ACTION: Temporary final rule.

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

SUMMARY: The Coast Guard is establishing special local regulations for
certain waters of the Choptank River. This action is necessary to
provide for the safety of life on these navigable waters located
between Trappe, Talbot County, MD, and Cambridge, Dorchester County,
MD, during a swim event on May 16, 2021. This regulation prohibits
persons and vessels from being in the regulated area unless authorized
by the Captain of the Port Maryland-National Capital Region or Coast
Guard Patrol Commander.

DATES: This rule is effective from 6 a.m. through 10:30 a.m. on May 16,
2021.

ADDRESSES: To view documents mentioned in this preamble as being
available in the docket, go to https://www.regulations.gov, type USCG-
2021-0103 in the ``SEARCH'' box and click ``SEARCH.'' Click on Open
Docket Folder on the line associated with this rule.

FOR FURTHER INFORMATION CONTACT: If you have questions on this rule,
call or email MST2 Shaun Landante, U.S. Coast Guard Sector Maryland-
National Capital Region; telephone<PHONE_NUMBER>, email<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. Table of Abbreviations

CFR Code of Federal Regulations
COTP Captain of the Port
DHS Department of Homeland Security
FR Federal Register
NPRM Notice of proposed rulemaking
PATCOM Patrol Commander
Sec.  Section
U.S.C. United States Code

II. Background Information and Regulatory History

    On February 15, 2021, the TCR Event Management of St. Michaels, MD,
notified the Coast Guard that it will be conducting the Maryland
Freedom Swim from 7 a.m. to 9:30 a.m. on May 16, 2021. The open water
swim consists of approximately 200 participants competing on a
designated 1.75-mile linear course. The course starts at the beach of
Bill Burton Fishing Pier State Park at Trappe, MD, proceeds across the
Choptank River along and between the fishing piers and the Senator
Frederick C. Malkus, Jr. Memorial (US-50) Bridge, and finishes at the
beach of the Dorchester County Visitors Center at Cambridge, MD. In
response, on March 18, 2021, the Coast Guard published a notice of
proposed rulemaking (NPRM) titled ``Special Local Regulation; Choptank
River, Between Trappe and Cambridge, MD'' (86 FR 14714). There we
stated why we issued the NPRM, and invited comments on our proposed
regulatory action related to this swim event. During the comment period
that ended April 19, 2021, we received no comments.
    Under 5 U.S.C. 553(d)(3), the Coast Guard finds that good cause
exists for making this rule effective less than 30 days after
publication in the Federal Register. Due to the date of the event, it
would be impracticable to make the

regulation effective 30 days after publication in the Federal Register.
Delaying the effective date date of this rule would be impracticable
and contrary to the public interest because immediate action is needed
to respond to the potential safety hazards associated with the
``Maryland Freedom Swim'' event.

III. Legal Authority and Need for Rule

    The Coast Guard is issuing this rule under authority in 46 U.S.C.
70041. The Captain of the Port Maryland-National Capital Region (COTP)
has determined that potential hazards associated with the swim event
will be a safety concern for anyone intending to operate in or near the
swim area. The purpose of this rule is to protect event participants,
non-participants, and transiting vessels before, during, and after the
scheduled event.

IV. Discussion of Comments, Changes, and the Rule

    As noted above, we received no comments on our NPRM published March
18, 2021. There are no changes in the regulatory text of this rule from
the proposed rule in the NPRM.
    This rule establishes a special local regulation to be enforced
from 6 a.m. to 10:30 a.m. on May 16, 2021. The regulated area will
cover all navigable waters of the Choptank River, from shoreline to
shoreline, within an area bounded on the east by a line drawn from
latitude 38[deg]35'14.2'' N, longitude 076[deg]02'33.0'' W, thence
south to latitude 38[deg]34'08.3'' N, longitude 076[deg]03'36.2'' W,
and bounded on the west by a line drawn from latitude 38[deg]35'32.7''
N, longitude 076[deg]02'58.3'' W, thence south to latitude
38[deg]34'24.7'' N, longitude 076[deg]04'01.3'' W, located at
Cambridge, MD. The duration of the special local regulations and size
of the regulated area are intended to ensure the safety of life on
these navigable waters before, during, and after the open water swim
event, scheduled from 7 a.m. until 9:30 a.m. on May 16, 2021.
    Except for participants and vessels already at berth, a vessel or
person will be required to get permission from the COTP or Event PATCOM
before entering the regulated area. Vessel operators can request
permission to enter and transit through the regulated area by
contacting the Event PATCOM on VHF-FM channel 16. Vessel traffic will
be able to safely transit the regulated area once the Event PATCOM
deems it safe to do so. A person or vessel not registered with the
event sponsor as a participant or assigned as official patrols will be
considered a non-participant. Official Patrols are any vessel assigned
or approved by the Commander, Coast Guard Sector Maryland-National
Capital Region with a commissioned, warrant, or petty officer on board
and displaying a Coast Guard ensign.
    If permission is granted by the COTP or Event PATCOM, a person or
vessel will be allowed to enter the regulated area or pass directly
through the regulated area as instructed. Vessels will be required to
operate at a safe speed that minimizes wake while within the regulated
area. Official patrol vessels will direct non-participants while within
the regulated area.

V. Regulatory Analyses

    We developed this rule after considering numerous statutes and
Executive orders related to rulemaking. Below we summarize our analyses
based on a number of these statutes and Executive orders, and we
discuss First Amendment rights of protestors.

A. Regulatory Planning and Review

    Executive Orders 12866 and 13563 direct agencies to assess the
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits. This rule has not been designated a ``significant
regulatory action,'' under Executive Order 12866. Accordingly, this
rule has not been reviewed by the Office of Management and Budget
(OMB).
    This regulatory action determination is based on the size, duration
and location of the regulated area. Vessel traffic will be able to
safely transit around this regulated area, which would impact a small
designated area of the Choptank River for 4\1/2\ hours. The Coast Guard
will issue a Broadcast Notice to Mariners via VHF-FM marine channel 16
about the status of the regulated area. Moreover, the rule will allow
vessels to seek permission to enter the regulated area, and vessel
traffic will be able to safely transit the regulated area once the
Event PATCOM deems it safe to do so.

B. Impact on Small Entities

    The Regulatory Flexibility Act of 1980, 5 U.S.C. 601-612, as
amended, requires Federal agencies to consider the potential impact of
regulations on small entities during rulemaking. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000. The Coast Guard received no comments from the Small Business
Administration on this rulemaking. The Coast Guard certifies under 5
U.S.C. 605(b) that this rule will not have a significant economic
impact on a substantial number of small entities.
    While some owners or operators of vessels intending to transit the
regulated area may be small entities, for the reasons stated in section
V above, this rule will not have a significant economic impact on any
vessel owner or operator.
    Under section 213(a) of the Small Business Regulatory Enforcement
Fairness Act of 1996 (Pub. L. 104-121), we want to assist small
entities in understanding this rule. If the rule would affect your
small business, organization, or governmental jurisdiction and you have
questions concerning its provisions or options for compliance, please
call or email the person listed in the FOR FURTHER INFORMATION CONTACT
section.
    Small businesses may send comments on the actions of Federal
employees who enforce, or otherwise determine compliance with, Federal
regulations to the Small Business and Agriculture Regulatory
Enforcement Ombudsman and the Regional Small Business Regulatory
Fairness Boards. The Ombudsman evaluates these actions annually and
rates each agency's responsiveness to small business. If you wish to
comment on actions by employees of the Coast Guard, call 1-888-REG-FAIR
(1-888-734-3247). The Coast Guard will not retaliate against small
entities that question or complain about this rule or any policy or
action of the Coast Guard.

C. Collection of Information

    This rule will not call for a new collection of information under
the Paperwork Reduction Act of 1995 (44 U.S.C. 3501-3520).

D. Federalism and Indian Tribal Governments

    A rule has implications for federalism under Executive Order 13132,
Federalism, if it has a substantial direct effect on the States, on the
relationship between the National Government and the States, or on the
distribution of power and responsibilities among the various levels of
government. We have analyzed this rule under that Order and have
determined that it is consistent with the fundamental federalism
principles and preemption requirements described in Executive Order
13132.
    Also, this rule does not have tribal implications under Executive
Order 13175, Consultation and Coordination with Indian Tribal
Governments, because it does not have a substantial

direct effect on one or more Indian tribes, on the relationship between
the Federal Government and Indian tribes, or on the distribution of
power and responsibilities between the Federal Government and Indian
tribes.

E. Unfunded Mandates Reform Act

    The Unfunded Mandates Reform Act of 1995 (2 U.S.C. 1531-1538)
requires Federal agencies to assess the effects of their discretionary
regulatory actions. In particular, the Act addresses actions that may
result in the expenditure by a State, local, or tribal government, in
the aggregate, or by the private sector of $100,000,000 (adjusted for
inflation) or more in any one year. Though this rule will not result in
such an expenditure, we do discuss the effects of this rule elsewhere
in this preamble.

F. Environment

    We have analyzed this rule under Department of Homeland Security
Directive 023-01, Rev. 1, associated implementing instructions, and
Environmental Planning COMDTINST 5090.1 (series), which guide the Coast
Guard in complying with the National Environmental Policy Act of 1969
(42 U.S.C. 4321-4370f), and have determined that this action is one of
a category of actions that do not individually or cumulatively have a
significant effect on the human environment. This rule involves
implementation of regulations within 33 CFR part 100 applicable to
organized marine events on the navigable waters of the United States.
The temporary regulated area will be in effect for eight hours. It is
categorically excluded from further review under paragraph L61 of
Appendix A, Table 1 of DHS Instruction Manual 023-01-001-01, Rev. 1. A
Memorandum for the Record supporting this determination is available in
the docket where indicated under ADDRESSES.

G. Protest Activities

    The Coast Guard respects the First Amendment rights of protesters.
Protesters are asked to call or email the person listed in the FOR
FURTHER INFORMATION CONTACT section to coordinate protest activities so
that your message can be received without jeopardizing the safety or
security of people, places or vessels.

List of Subjects in 33 CFR Part 100

    Marine safety, Navigation (water), Reporting and recordkeeping
requirements, Waterways.
    For the reasons discussed in the preamble, the Coast Guard amends
33 CFR part 100 as follows:

PART 100--SAFETY OF LIFE ON NAVIGABLE WATERS

0
1. The authority citation for part 100 continues to read as follows:

    Authority:  46 U. S. C. 70041; 33 CFR 1.05-1.

0
2. Add Sec.  100.T599-0103 to read as follows:

Sec.  100.T599-0103   Maryland Freedom Swim, Choptank River, Between
Trappe and Cambridge, MD.

    (a) Regulated area. The regulations in this section apply to the
following area: All navigable waters of the Choptank River, from
shoreline to shoreline, within an area bounded on the east by a line
drawn from latitude 38[deg]35'14.2'' N, longitude 076[deg]02'33.0'' W,
thence south to latitude 38[deg]34'08.3'' N, longitude
076[deg]03'36.2'' W, and bounded on the west by a line drawn from
latitude 38[deg]35'32.7'' N, longitude 076[deg]02'58.3'' W, thence
south to latitude 38[deg]34'24.7'' N, longitude 076[deg]04'01.3'' W,
located at Cambridge, MD. These coordinates are based on datum NAD
1983.
    (b) Definitions. As used in this section--
    Captain of the Port (COTP) Maryland-National Capital Region means
the Commander, U.S. Coast Guard Sector Maryland-National Capital Region
or any Coast Guard commissioned, warrant or petty officer who has been
authorized by the COTP to act on his behalf.
    Coast Guard Patrol Commander (PATCOM) means a commissioned,
warrant, or petty officer of the U.S. Coast Guard who has been
designated by the Commander, Coast Guard Sector Maryland-National
Capital Region.
    Official Patrol means any vessel assigned or approved by Commander,
Coast Guard Sector Maryland-National Capital Region with a
commissioned, warrant, or petty officer on board and displaying a Coast
Guard ensign.
    Participant means all persons and vessels registered with the event
sponsor as participating in the Maryland Freedom Swim or otherwise
designated by the event sponsor as having a function tied to the event.
    (c) Regulations. (1) Except for vessels already at berth, all non-
participants are prohibited from entering, transiting through,
anchoring in, or remaining within the regulated area described in
paragraph (a) of this section unless authorized by the COTP Maryland-
National Capital Region or PATCOM.
    (2) To seek permission to enter, contact the COTP Maryland-National
Capital Region at telephone number<PHONE_NUMBER> or on Marine Band
Radio, VHF-FM channel 16 (156.8 MHz) or the PATCOM on Marine Band
Radio, VHF-FM channel 16 (156.8 MHz). Those in the regulated area must
comply with all lawful orders or directions given to them by the COTP
Maryland-National Capital Region or PATCOM.
    (3) The COTP Maryland-National Capital Region will provide notice
of the regulated area through advanced notice via Fifth Coast Guard
District Local Notice to Mariners, broadcast notice to mariners, and
on-scene official patrols.
    (d) Enforcement officials. The Coast Guard may be assisted with
marine event patrol and enforcement of the regulated area by other
Federal, State, and local agencies.
    (e) Enforcement period. This section will be enforced from 6 a.m.
to 10:30 a.m. on May 16, 2021.

    Dated: April 29, 2021.
Joseph B. Loring,
Captain, U.S. Coast Guard, Captain of the Port Maryland-National
Capital Region.

[FR Doc. 2021-09564 Filed 5-5-21; 8:45 am]
BILLING CODE 9110-04-P


[Federal Register Volume 88, Number 180 (Tuesday, September 19, 2023)]
[Proposed Rules]
[Pages 64398-64399]
[FR Doc No: 2023-20266]

=======================================================================
-----------------------------------------------------------------------

ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 180

[EPA-HQ-OPP-2023-0069; FRL-10579-08-OCSPP]

Receipt of a Pesticide Petition Filed for Residues of Pesticide
Chemicals in or on Various Commodities (August 2023)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice of filing of petition and request for comment.

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

SUMMARY: This document announces the Agency's receipt of an initial
filing of a pesticide petition requesting the establishment or
modification of regulations for residues of pesticide chemicals in or
on various commodities.

DATES: Comments must be received on or before October 19, 2023.

ADDRESSES: Submit your comments, identified by docket identification
(ID) number EPA-HQ-OPP-2023-0069, through the Federal eRulemaking
Portal at https://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. Additional
instructions on commenting and visiting the docket, along with more
information about dockets generally, is available at https://www.epa.gov/dockets.

FOR FURTHER INFORMATION CONTACT: Charles Smith, Registration Division
(RD) (7505T), main telephone number:<PHONE_NUMBER>, email address:
[email protected]. The mailing address for each contact person is
Office of Pesticide Programs, Environmental Protection Agency, 1200
Pennsylvania Ave. NW, Washington, DC 20460-0001. As part of the mailing
address, include the contact person's name, division, and mail code.
The division to contact is listed at the end of each application
summary.

SUPPLEMENTARY INFORMATION:

I. General Information

A. Does this action apply to me?

    You may be potentially affected by this action if you are an
agricultural producer, food manufacturer, or pesticide manufacturer.
The following list of North American Industrial Classification System
(NAICS) codes is not intended to be exhaustive, but rather provides a
guide to help readers determine whether this document applies to them.
Potentially affected entities may include:
     Crop production (NAICS code 111).
     Animal production (NAICS code 112).
     Food manufacturing (NAICS code 311).
     Pesticide manufacturing (NAICS code 32532).

B. What should I consider as I prepare my comments for EPA?

    1. Submitting CBI. Do not submit this information to EPA through
regulations.gov or email. Clearly mark the part or all of the
information that you claim to be CBI. For CBI information in a disk or
CD-ROM that you mail to EPA, mark the outside of the disk or CD-ROM as
CBI and then identify electronically within the disk or CD-ROM the
specific information that is claimed as CBI. In addition to one
complete version of the comment that includes information claimed as
CBI, a copy of the comment that does not contain the information
claimed as CBI must be submitted for inclusion in the public docket.
Information so marked will not be disclosed except in accordance with
procedures set forth in 40 CFR part 2.
    2. Tips for preparing your comments. When preparing and submitting
your comments, see the commenting tips at https://www.epa.gov/dockets/comments.html.
    3. Environmental justice. EPA seeks to achieve environmental
justice, the fair treatment and meaningful involvement of any group,
including minority and/or low-income populations, in the development,
implementation, and enforcement of environmental laws, regulations, and
policies. To help address potential environmental justice issues, the
Agency seeks information on any groups or segments of the population
who, as a result of their location, cultural practices, or other
factors, may have atypical or disproportionately high and adverse human
health impacts or environmental effects from exposure to the pesticides
discussed in this document, compared to the general population.

II. What action is the Agency taking?

    EPA is announcing receipt of a pesticide petition filed under
section 408 of the Federal Food, Drug, and Cosmetic Act (FFDCA), 21
U.S.C. 346a, requesting the establishment or modification of
regulations in 40 CFR part 180 for residues of pesticide chemicals in
or on various food commodities. The Agency is taking public comment on
the request before responding to the petitioner. EPA is not proposing
any particular action at this time. EPA has determined that the
pesticide petition described in this document contains data or
information prescribed in FFDCA section 408(d)(2), 21 U.S.C.
346a(d)(2); however, EPA has not fully evaluated the sufficiency of the
submitted data at this time or whether the data supports granting of
the pesticide petition. After considering the public comments, EPA
intends to evaluate whether and what action may be warranted.
Additional data may be needed before EPA can make a final determination
on this pesticide petition.
    Pursuant to 40 CFR 180.7(f), a summary of the petition that is the
subject of this document, prepared by the petitioner, is included in a
docket EPA has created for this rulemaking. The docket for this
petition is available at https://www.regulations.gov.
    As specified in FFDCA section 408(d)(3), 21 U.S.C. 346a(d)(3), EPA
is publishing notice of the petition so that the public has an
opportunity to comment on this request for the establishment or
modification of

regulations for residues of pesticides in or on food commodities.
Further information on the petition may be obtained through the
petition summary referenced in this unit.

A. Notice of Filing--Amended Tolerance Exemptions for Inerts (Except
PIPS)

    PP IN-11755. EPA-HQ-OPP-2023-0368. Spring Regulatory Sciences (6620
Cypresswood Dr., Suite 250, Spring, TX 77379), on behalf of Sasol
Chemicals (USA) LLC, (12120 Wickchester Lane, Houston, TX 77224),
requests to amend an exemption from the requirement of a tolerance for
residues of fatty acids, C16-18 and C18-unsatd., esters with
polyethylene glycol mono-Me ether (CAS Reg. No. 518299-31-5) by adding
its use as an inert ingredient (surfactant and related adjuvants of
surfactants) limited to 25% by weight in pesticide formulations under
40 CFR 180.910. The petitioner believes no analytical method is needed
because it is not required for an exemption from the requirement of a
tolerance. Contact: RD.

B. Amended Tolerances for Non-Inerts

    PP 2F9013. EPA-HQ-OPP-2022-0732. Syngenta Crop Protection, LLC,
P.O. Box 18300, Greensboro, NC 27419, proposes to remove established
tolerances in 40 CFR 180.438 for residues of the insecticide lambda-
cyhalothrin in or on the following raw agricultural plant commodities:
Canola, refined oil at 2.0 parts per million (ppm); canola, seed at 1.0
ppm; sunflower, forage at 0.2 ppm; sunflower, seed, hulls at 0.50 ppm;
sunflower, refined oil at 0.30 ppm; and sunflower, seed at 0.2 ppm. The
ICI Method 81 (PRAM 81) is used to measure and evaluate the chemical
lambda-cyhalothrin. Contact: RD.

C. New Tolerances for Non-Inerts

    1. PP 3E9047. EPA-HQ-OPP-2023-0407. Syngenta Crop Protection, LLC,
P.O. Box 18300, Greensboro, NC 27419-8300, requests to establish a
tolerance in 40 CFR part 180 for residues of the fungicide
mandipropamid (benzene-acetamide, 4-chloro-N-[2-[3-methoxy-4-(2-
propynyloxy)phenyl]ethyl]-alpha-(2-propynyloxy)) in or on: Papaya,
whole fruit at 0.8 ppm; papaya, peel at 3 ppm; papaya, pulp at 0.015
ppm. The quantitation is by high performance liquid chromatography with
triple quadruple mass spectrometric detection (LC-MS/MS) is used to
measure and evaluate the chemical mandipropamid. Contact: RD.
    2. PP 3F9055. EPA-HQ-OPP-2023-0269. ISK Biosciences Corporation,
7470 Auburn Road, Suite A, Concord, Ohio 44077, requests to establish a
tolerance in 40 CFR part 180 for residues of the herbicide
Flazasulfuron, 1-(4,6-dimethoxypyrimidin-2-yl)-3-(3-trifluoromethyl-2-
pyridylsulfonyl) urea in or on avocado at 0.01 ppm. The Liquid
Chromatography-MS/MS is used to measure and evaluate the chemical
flazasulfuron. Contact: RD.

    Authority: 21 U.S.C. 346a.

    Dated: September 11, 2023.
Delores Barber,
Director, Information Technology and Resources Management Division,
Office of Program Support.
[FR Doc. 2023-20266 Filed 9-18-23; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register Volume 82, Number 2 (Wednesday, January 4, 2017)]
[Notices]
[Pages 890-892]
[FR Doc No: 2016-31860]

=======================================================================
-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

[Investment Company Act Release No. 32405; File No. 812-14655]

Morgan Stanley ETF Trust, et al.; Notice of Application

December 28, 2016.
AGENCY: Securities and Exchange Commission (``Commission'').

ACTION: Notice of an application for an order under section 6(c) of the
Investment Company Act of 1940 (the ``Act'') for an exemption from
sections 2(a)(32), 5(a)(1), 22(d), and 22(e) of the Act and rule 22c-1
under the Act, under sections 6(c) and 17(b) of the Act for an
exemption from sections 17(a)(1) and 17(a)(2) of the Act, and under
section 12(d)(1)(J) for an exemption from sections 12(d)(1)(A) and
12(d)(1)(B) of the Act. The requested order would permit (a) actively-
managed series of certain open-end management investment companies
(``Funds'') to issue shares redeemable in large aggregations only
(``Creation Units''); (b) secondary market transactions in Fund shares
to occur at negotiated market prices rather than at net asset value
(``NAV''); (c) certain Funds to pay redemption proceeds, under certain
circumstances, more than seven days after the tender of shares for
redemption; (d) certain affiliated persons of a Fund to deposit
securities into, and receive securities from, the Fund in connection
with the purchase and redemption of Creation Units; (e) certain
registered management investment companies and unit investment trusts
outside of the same group of investment companies as the Funds (``Funds
of Funds'') to acquire shares of the Funds; (f) certain Funds (``Feeder
Funds'') to create and redeem Creations Units in-kind in a master-
feeder structure; and (g) the Funds to issue Shares in less than
Creation Unit size to investors participating in a distribution
reinvestment program.

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

Applicants: Morgan Stanley ETF Trust (the ``Trust''), a Delaware
statutory trust that will register under the Act as an open-end
management investment

company with multiple series, Morgan Stanley Investment Management Inc.
(the ``Initial Adviser''), a Delaware corporation registered as an
investment adviser under the Investment Advisers Act of 1940, and
Morgan Stanley Distribution, Inc. (the ``Distributor''), a Pennsylvania
corporation and broker-dealer registered under the Securities Exchange
Act of 1934 (``Exchange Act'').

FILING DATES: The application was filed on June 3, 2016 and amended on
November 7, 2016 and December 20, 2016.

Hearing or Notification of Hearing: An order granting the requested
relief 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 January 23, 2017, and should be accompanied by proof of
service on applicants, in the form of an affidavit, or for lawyers, a
certificate of service. Pursuant to rule 0-5 under the Act, hearing
requests should state the nature of the writer's interest, any facts
bearing upon the desirability of a hearing on the matter, 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: Brent J. Fields, Secretary, Securities and Exchange
Commission, 100 F Street NE., Washington, DC 20549-1090; Applicants: c/
o Joseph C. Benedetti, Esq., Morgan Stanley Investment Management Inc.,
522 Fifth Avenue, New York New York 10036.

FOR FURTHER INFORMATION CONTACT: Laura J. Riegel, Senior Counsel, at
(202) 551-3038, 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>.

Summary of the Application

    1. Applicants request an order that would allow Funds to operate as
actively-managed exchange traded funds (``ETFs'').\1\ Fund shares will
be purchased and redeemed at their NAV in Creation Units only (other
than pursuant to a distribution reinvestment program described in the
application). All orders to purchase Creation Units and all redemption
requests will be placed by or through an ``Authorized Participant'',
which will have signed a participant agreement with the Distributor.
Shares will be listed and traded individually on a national securities
exchange, where share prices will be based on the current bid/offer
market. Any order granting the requested relief would be subject to the
terms and conditions stated in the application.
---------------------------------------------------------------------------

    \1\ Applicants request that the order apply to the initial Fund,
as well as to future series of the Trust and any future open-end
management investment companies or series thereof (each, included in
the term ``Fund''), each of which will operate as an actively-
managed ETF. Any Fund will (a) be advised by the Initial Adviser or
an entity controlling, controlled by, or under common control with
the Initial Adviser (each, an ``Adviser'') and (b) comply with the
terms and conditions of the application.
---------------------------------------------------------------------------

    2. Each Fund will consist of a portfolio of securities and other
assets and investment positions (``Portfolio Instruments''). Each Fund
will disclose on its Web site the identities and quantities of the
Portfolio Instruments that will form the basis for the Fund's
calculation of NAV at the end of the day.
    3. Shares will be purchased and redeemed in Creation Units and
generally on an in-kind basis. Except where the purchase or redemption
will include cash under the limited circumstances specified in the
application, purchasers will be required to purchase Creation Units by
depositing specified instruments (``Deposit Instruments''), and
shareholders redeeming their shares will receive specified instruments
(``Redemption Instruments''). The Deposit Instruments and the
Redemption Instruments will each correspond pro rata to the positions
in the Fund's portfolio (including cash positions) except as specified
in the application.
    4. Because shares will not be individually redeemable, applicants
request an exemption from section 5(a)(1) and section 2(a)(32) of the
Act that would permit the Funds to register as open-end management
investment companies and issue shares that are redeemable in Creation
Units only.
    5. Applicants also request an exemption from section 22(d) of the
Act and rule 22c-1 under the Act as secondary market trading in shares
will take place at negotiated prices, not at a current offering price
described in a Fund's prospectus, and not at a price based on NAV.
Applicants state that (a) secondary market trading in shares does not
involve a Fund as a party and will not result in dilution of an
investment in shares, and (b) to the extent different prices exist
during a given trading day, or from day to day, such variances occur as
a result of third-party market forces, such as supply and demand.
Therefore, applicants assert that secondary market transactions in
shares will not lead to discrimination or preferential treatment among
purchasers. Finally, applicants represent that share market prices will
be disciplined by arbitrage opportunities, which should prevent shares
from trading at a material discount or premium from NAV.
    6. With respect to Funds that hold non-U.S. Portfolio Instruments
and that effect creations and redemptions of Creation Units in kind,
applicants request relief from the requirement imposed by section 22(e)
in order to allow such Funds to pay redemption proceeds within fifteen
calendar days following the tender of Creation Units for redemption.
Applicants assert that the requested relief would not be inconsistent
with the spirit and intent of section 22(e) to prevent unreasonable,
undisclosed or unforeseen delays in the actual payment of redemption
proceeds.
    7. Applicants request an exemption to permit Funds of Funds to
acquire Fund shares beyond the limits of section 12(d)(1)(A) of the
Act; and the Funds, and any principal underwriter for the Funds, and/or
any broker or dealer registered under the Exchange Act, to sell shares
to Funds of Funds beyond the limits of section 12(d)(1)(B) of the Act.
The application's terms and conditions are designed to, among other
things, help prevent any potential (i) undue influence over a Fund
through control or voting power, or in connection with certain
services, transactions, and underwritings, (ii) excessive layering of
fees, and (iii) overly complex fund structures, which are the concerns
underlying the limits in sections 12(d)(1)(A) and (B) of the Act.
    8. Applicants request an exemption from sections 17(a)(1) and
17(a)(2) of the Act to permit persons that are Affiliated Persons, or
Second-Tier Affiliates, of the Funds, solely by virtue of certain
ownership interests, to effectuate purchases and redemptions in-kind.
The deposit procedures for in-kind purchases of Creation Units and the
redemption procedures for in-kind redemptions of Creation Units will be
the same for all purchases and redemptions and Deposit Instruments and
Redemption Instruments will be valued in the same manner as those
Portfolio Instruments currently held by

the Funds. Applicants also seek relief from the prohibitions on
affiliated transactions in section 17(a) to permit a Fund to sell its
shares to and redeem its shares from a Fund of Funds, and to engage in
the accompanying in-kind transactions with the Fund of Funds.\2\ The
purchase of Creation Units by a Fund of Funds directly from a Fund will
be accomplished in accordance with the policies of the Fund of Funds
and will be based on the NAVs of the Funds.
---------------------------------------------------------------------------

    \2\ The requested relief would apply to direct sales of shares
in Creation Units by a Fund to a Fund of Funds and redemptions of
those shares. Applicants, moreover, are not seeking relief from
section 17(a) for, and the requested relief will not apply to,
transactions where a Fund could be deemed an Affiliated Person, or a
Second-Tier Affiliate, of a Fund of Funds because an Adviser or an
entity controlling, controlled by or under common control with an
Adviser provides investment advisory services to that Fund of Funds.
---------------------------------------------------------------------------

    9. Applicants also request relief to permit a Feeder Fund to
acquire shares of another registered investment company managed by the
Adviser having substantially the same investment objectives as the
Feeder Fund (``Master Fund'') beyond the limitations in section
12(d)(1)(A) and permit the Master Fund, and any principal underwriter
for the Master Fund, to sell shares of the Master Fund to the Feeder
Fund beyond the limitations in section 12(d)(1)(B).
    10. Section 6(c) of the Act permits the Commission to exempt any
persons 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. 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.
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 (a) the terms of the proposed transaction are fair and
reasonable and do not involve overreaching on the part of any person
concerned; (b) the proposed transaction is consistent with the policies
of each registered investment company involved; and (c) the proposed
transaction is consistent with the general purposes of the Act.

    For the Commission, by the Division of Investment Management,
under delegated authority.
Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2016-31860 Filed 1-3-17; 8:45 am]
 BILLING CODE 8011-01-P