[Federal Register Volume 85, Number 133 (Friday, July 10, 2020)]
[Notices]
[Pages 41578-41579]
[FR Doc No: 2020-14906]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[FFP Project 101, LLC; Project No. 14861-002]

Notice of Application Tendered for Filing With the Commission and
Soliciting Additional Study Requests

    Take notice that the following hydroelectric application has been
filed with the Commission and is available for public inspection.
    a. Type of Filing: Original major license.
    b. Project No.: 14861-002.
    c. Date Filed: June 23, 2020.
    d. Submitted By: Rye Development on behalf of FFP Project 101, LLC
(FFP).
    e. Name of Project: Goldendale Pumped Storage Project.
    f. Location: Off-stream (north side) of the Columbia River at River
Mile 215.6 in Klickitat County, Washington and Sherman County, Oregon,
approximately 8 miles southeast of the City of Goldendale. The project
would occupy 18.1 acres of lands owned by the U.S. Army Corps of
Engineers.
    g. Filed Pursuant to: Federal Power Act 16 U.S.C. 791 (a)-825(r).
    h. Applicant Contact: Erik Steimle, Rye Development, 220 Northwest
8th Avenue Portland, Oregon 97209;<PHONE_NUMBER>; email_
[email protected]
    i. FERC Contact: Michael Tust at<PHONE_NUMBER>; or email at
<EMAIL_ADDRESS>    j. Cooperating Agencies: Federal, state, local, and tribal agencies
with jurisdiction and/or special expertise with respect to
environmental issues that wish to cooperate in the preparation of the
environmental document should follow the instructions for filing such
requests described in item l below. Cooperating agencies should note
the Commission's policy that agencies that cooperate in the preparation
of the environmental document cannot also intervene. See, 94 FERC ]
61,076 (2001).
    k. Pursuant to section 4.32(b)(7) of 18 CFR of the Commission's
regulations, if any resource agency, Indian Tribe, or person believes
that an additional scientific study should be conducted in order to
form an adequate factual basis for a complete analysis of the
application on its merit, the resource agency, Indian Tribe, or person
must file a request for a study with the Commission not later than 60
days from the date of filing of the application, and serve a copy of
the request on the applicant.
    l. Deadline for filing additional study requests and requests for
cooperating agency status: August 22, 2020.
    The Commission strongly encourages electronic filing. Please file
additional study requests and requests for cooperating agency status
using the Commission's eFiling system at http://www.ferc.gov/docs-filing/efiling.asp. For assistance, please contact FERC Online Support
at<EMAIL_ADDRESS>(866) 208-3676 (toll free), or (202)
502-8659 (TTY).
    m. The application is not ready for environmental analysis at this
time.
    n. The proposed project would consist of the following new
facilities: (1) A 61-acre upper reservoir formed by a 175-foot high,
8,000 foot-long rockfill embankment dam at an elevation of 2,950 feet
mean sea level (MSL) with a vertical concrete intake-outlet structure;
(2) a 63-acre lower reservoir formed by a 205-foot high, 6,100-foot
long embankment at an elevation of 590 feet MSL with a horizontal
concrete intake-outlet structure and vertical steel slide gates; (3) an
underground conveyance tunnel system connecting the two reservoirs
consisting of a 2,200-foot-long, 29-foot diameter concrete-lined
vertical shaft, a 3,300-foot-long, 29-foot diameter concrete-lined high
pressure tunnel, a 200-foot-long, 22-foot diameter high pressure
manifold tunnel, three 600-foot-long, 15-foot diameter steel/concrete
penstocks, a 200-foot-long, 20-foot diameter steel-lined draft tube
tunnel, a 200-foot-long, 26-foot diameter concrete-lined low pressure
tunnel, and a 3,200-foot-long, 30-foot diameter concrete-lined tailrace
tunnel; (4) an underground powerhouse located between the upper and
lower reservoir in a 0.83-acre powerhouse cavern containing three, 400-
megawatt (MW) Francis-type pump-turbine units for a total installed
capacity of 1,200 MW; (5) a 0.48-acre underground transformer cavern
adjacent to the powerhouse containing intermediate step-up transformers
that will step up the voltage to 115 kilovolts; (6) two 30-foot
diameter tunnels for accessing the powerhouse and transformer caverns;
(7) an approximate 1.0-mile-long, 115-kilovolt transmission line routed
from the transformer gallery through the combined access/transmission
tunnel to a new outdoor 7.3-acre substation/switchyard that will step
up the voltage to 500 kilovolts; (8) a 4-mile-long, 500-kilovolt
transmission line routed from the substation/switchyard south over the
Columbia River and connecting to Bonneville Power Administration's
existing John Day Substation; (9) a buried 2.5-foot diameter water fill
line leading from a shut-off and throttling valve within a non-project
water supply vault owned by Klickitat Public Utility District (KPUD) to
an outlet structure within the lower reservoir to convey water for
reservoir filling; and (10) appurtenant facilities. The project would
also include an existing 0.7-mile road for accessing the lower
reservoir site and an existing 8.6-mile road for accessing the upper
reservoir site both of which may be modified to provide for
construction vehicle access.
    The water supply used to initially fill the lower reservoir as well
as to provide make-up water would be purchased from KPUD and would be
sourced from

KPUD's existing intake pond on the Columbia River. The new project
water fill line would connect to a new KPUD-owned flanged water supply
service connection in a water supply vault located near the lower
reservoir. Within the vault, and just downstream of the service
connection, there would be a project shut-off and throttling valve to
allow control of the initial fill and make-up water flow rate into the
lower reservoir. The initial volume of water necessary to fill the
lower reservoir is estimated to be 7,640 acre-feet and would be filled
over about six months at an average flow rate of approximately 21 cubic
feet per second (maximum flow rate available is 35 cubic feet per
second). It is estimated that the project would need 260 acre-feet of
water each year to replenish water lost through evaporation. The
estimated annual generation for operating 8 hours a day, 7 days a week
is 3,500 gigawatt-hours per year.
    o. In addition to publishing the full text of this document in the
Federal Register, the Commission provides all interested persons an
opportunity to view and/or print the contents via the internet through
the Commission's Home Page (http://www.ferc.gov) using the ``eLibrary''
link. Enter the docket number excluding the last three digits in the
docket number field to access the document. At this time, the
Commission has suspended access to the Commission's Public Reference
Room, due to the proclamation declaring a National Emergency concerning
the Novel Coronavirus Disease (COVID-19), issued by the President on
March 13, 2020. For assistance, contact FERC at
<EMAIL_ADDRESS>or call toll-free,<PHONE_NUMBER> or TYY,
(202) 502-8659.
    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, contact FERC
Online Support.
    p. Procedural Schedule: The application will be processed according
to the following preliminary Hydro Licensing Schedule. In its
application, FFP requested expedited processing pursuant to section 35
of the Federal Power Act for qualifying closed-loop pumped storage
projects. The Commission has not yet acted on this request; however,
the preliminary schedule below reflects an expedited licensing process
in accordance with 18 CFR part 7 of the Commission's Regulations which
will be followed while the Commission conducts its review of the
application. The Commission will act on FFP's request to use the
expedited licensing process no later than 180 days after receipt of the
request in accordance with 18 CFR part 7.5. If the request is denied,
the application will be processed pursuant to a standard processing
schedule under 18 CFR part 4. Revisions to the schedule will be made as
appropriate.

Issue deficiency/additional information letter--July 2020
Issue Scoping Document 1 for comments--September 2020
Comments on Scoping Document 1--November 2020
Issue Scoping Document 2 (if necessary)--December 2020
Issue notice of acceptance, ready for environmental analysis, approving
request for expedited processing--December 2020
Commission issues draft EA or draft EIS--August 2021
Comments on draft EA or draft EIS--September 2021
Commission issues final EA or final EIS--January 2022

    Dated: July 6, 2020.
Nathaniel J. Davis, Sr.,
Deputy Secretary.
[FR Doc. 2020-14906 Filed 7-9-20; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 88, Number 156 (Tuesday, August 15, 2023)]
[Rules and Regulations]
[Pages 55375-55377]
[FR Doc No: 2023-17477]

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DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 165

[USCG-USCG-2023-0664]
RIN 1625-AA00

Safety Zone, Upper Mississippi River MM 660.5-659.5, Lansing, IA

AGENCY: Coast Guard, DHS.

ACTION: Temporary final rule.

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SUMMARY: The Coast Guard is establishing a temporary safety zone for
all navigable waters in the Upper Mississippi River at Mile Marker (MM)

660.5 through 659.5. The safety zone is needed to protect personnel,
vessels, and the marine environment from all potential hazards
associated with the implosion of the Lansing Power Station. Entry of
vessels or persons into this zone is prohibited unless specifically
authorized by the Captain of the Port Sector Upper Mississippi River
(COTP) or a designated representative.

DATES: This rule is effective from August 18, 2023, through August 31,
2023.

ADDRESSES: To view documents mentioned in this preamble as being
available in the docket, go to https://www.regulations.gov, type USCG-
2023-0664 in the search box and click ``Search.'' Next, in the Document
Type column, select ``Supporting & Related Material.''

FOR FURTHER INFORMATION CONTACT: If you have questions on this rule,
call or email MSTC Nathaniel Dibley, Sector Upper Mississippi River
Waterways Management Division, U.S. Coast Guard; telephone 314-269-
2560, email [email protected].

SUPPLEMENTARY INFORMATION:

I. Table of Abbreviations

CFR Code of Federal Regulations
DHS Department of Homeland Security
FR Federal Register
NPRM Notice of proposed rulemaking
Sec.  Section
U.S.C. United States Code

II. Background Information and Regulatory History

    The Coast Guard is issuing this temporary rule without prior notice
and opportunity to comment pursuant to authority under section 4(a) of
the Administrative Procedure Act (APA) (5 U.S.C. 553(b)). This
provision authorizes an agency to issue a rule without prior notice and
opportunity to comment when the agency for good cause finds that those
procedures are ``impracticable, unnecessary, or contrary to the public
interest.'' Under 5 U.S.C. 553(b)(B), the Coast Guard finds that good
cause exists for not publishing a notice of proposed rulemaking (NPRM)
with respect to this rule because a temporary safety zone must be
established immediately to protect personnel, vessels, and the marine
environment from potential hazards created by the use of explosives for
the implosion of the power plant and lack sufficient time to provide a
reasonable comment period and then consider those comments before
issuing the rule. It is impracticable to publish an NPRM because we
must establish this safety zone by August 18, 2023.
    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. Delaying the effective date of
this rule would be impracticable because action is needed to respond to
the potential safety hazards associated the use of explosives for the
implosion of the Lansing Power Station starting August 18, 2023.

III. Legal Authority and Need for Rule

    The Coast Guard is issuing this rule under authority in 46 U.S.C.
70034. The Captain of the Port Sector Upper Mississippi River (COTP)
has determined that potential hazards associated with the use of
explosions for the implosion of the Lansing Power Plant will be a
safety concern for anyone operating or transiting within the Upper
Mississippi River from MM 660.5 through 659.5. This rule is needed to
protect personnel, vessels, and the marine environment in the navigable
waters within the safety zone while the implosion is being conducted.

IV. Discussion of the Rule

    The implosion event will be occurring on two dates in which
explosives will be used on an implosion of the Lansing Power Plant
located between MM 660.5-659.5 beginning August 18, 2023. The safety
zone is designed to protect waterway users until work is complete.
    No vessel or person will be permitted to enter the safety zone
without obtaining permission from the COTP or a designated
representative. A designated representative is a commissioned, warrant,
or petty officer of the U.S. Coast Guard (USCG) assigned to units under
the operational control of USCG Sector Upper Mississippi River. To seek
permission to enter, contact the COTP or a designated representative
via VHF-FM channel 16, or through USCG Sector Upper Mississippi River
at<PHONE_NUMBER>. Persons and vessels permitted to enter the safety zone
must comply with all lawful orders or directions issued by the COTP or
designated representative. The COTP or a designated representative will
inform the public of the effective period for the safety zone as well
as any changes in the dates and times of enforcement, as well as
reductions in the size of the safety zone through Local Notice to
Mariners (LNMs), Broadcast Notices to Mariners (BNMs), and/or Safety
Marine Information Broadcast (SMIB), as appropriate.

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 section 3(f) of Executive Order 12866, as
amended by Executive Order 14094 (Modernizing Regulatory Review).
Accordingly, this rule has not been reviewed by the Office of
Management and Budget (OMB).
    This regulatory action determination is based on the size,
location, and duration of the safety zone. The safety zone would impact
a small designated area located on the Upper Mississippi River at MM
660.5-659.5, near Lansing, IA. The Safety Zone is expected to be active
only during the implosion events, from August 18 until August 31, 2023.
Vessel traffic will be able to safely transit around this safety zone
when the safety zone is not enforced.

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 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
safety zone may be small entities, for the reasons stated in section
V.A above, this rule will not have a significant economic impact on any
vessel owner or operator because the zone will be enforced only when
work is being conducted.
    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 a
safety zone encompassing the width of the Upper Mississippi River at MM
660.5--659.5. It is categorically excluded from further review under
paragraph L60(a) of Appendix A, Table 1 of DHS Instruction Manual 023-
01-001-01, Rev. 1. A Record of Environmental Consideration supporting
this determination is available in the docket. For instructions on
locating the docket, see the ADDRESSES section of this preamble.

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 165

    Harbors, Marine safety, Navigation (water), Reporting and
recordkeeping requirements, Security measures, Waterways.

    For the reasons discussed in the preamble, the Coast Guard amends
33 CFR part 165 as follows:

PART 165--REGULATED NAVIGATION AREAS AND LIMITED ACCESS AREAS

0
1. The authority citation for part 165 continues to read as follows:

    Authority:  46 U.S.C. 70034, 70051, 70124; 33 CFR 1.05-1, 6.04-
1, 6.04-6, and 160.5; Department of Homeland Security Delegation No.
00170.1, Revision No. 01.3.

0
2. Add Sec.  165.T08-0664 to read as follows:

Sec.  165.T08-0664  Safety Zone; Upper Mississippi River, Mile Markers
660.5-659.5, Lansing, IA.

    (a) Location. The following area is a safety zone: all navigable
waters within Upper Mississippi River, Mile Markers 660.5-659.5,
Lansing, IA.
    (b) Enforcement period. This section will be subject to enforcement
from August 18, 2023, through August 31, 2023.
    (c) Regulations.
    (1) In accordance with the general safety zone regulations in Sec.
165.23, entry of persons or vessels into this safety zone described in
paragraph (a) of this section is prohibited unless authorized by the
COTP or a designated representative. A designated representative is a
commissioned, warrant, or petty officer of the U.S. Coast Guard (USCG)
assigned to units under the operational control of USCG Sector Upper
Mississippi River.
    (2) To seek permission to enter, contact the COTP or a designated
representative via VHF-FM channel 16, or through USCG Sector Upper
Mississippi River at<PHONE_NUMBER>. Persons and vessels permitted to
enter the safety zone must comply with all lawful orders or directions
issued by the COTP or designated representative.
    (d) Informational broadcasts. The COTP or a designated
representative will inform the public of the effective period for the
safety zone as well as any changes in the dates and times of
enforcement, as well as reductions in size or scope of the safety zone
through Local Notice to Mariners (LNMs), Broadcast Notices to Mariners
(BNMs), and/or Safety Marine Information Broadcast (SMIB) as
appropriate.

    Dated: August 9, 2023.
A.R. Bender,
Captain, U.S. Coast Guard, Captain of the Port Sector Upper Mississippi
River.
[FR Doc. 2023-17477 Filed 8-14-23; 8:45 am]
BILLING CODE 9110-04-P


[Federal Register: April 22, 2008 (Volume 73, Number 78)]
[Notices]
[Page 21673-21675]
[DOCID:fr22ap08-83]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-57665; File No. SR-DTC-2007-05]

Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing of Proposed Rule Change to Restructure Its Rules
Relating to Fines and To Harmonize Them With Similar Rules of Its
Affiliates

April 15, 2008.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934

(``Act''),\1\ notice is hereby given that on May 15, 2007, The
Depository Trust Company (``DTC'') filed with the Securities and
Exchange Commission (``Commission'') and on December 10, 2007, amended
the proposed rule change as described in Items I, II, and III below,
which items have been prepared primarily by DTC. The Commission is
publishing this notice to solicit comments on the proposed rule change,
as amended, from interested parties.
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    \1\ 15 U.S.C. 78s(b)(1).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The proposed rule change seeks to amend DTC's fine structure
relating to participants not providing financial information and notice
of significant corporate changes to DTC in a timely manner and to
harmonize DTC's rules with similar rules of DTC's affiliates, the
National Securities Clearing Corporation (``NSCC'') and the Fixed
Income Clearing Corporation (``FICC''). NSCC and FICC have filed
similar proposed rule changes.\2\ DTC's proposed fine schedule is set
forth in Exhibit 5 to its proposed rule change.
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    \2\ Securities Exchange Act Release No. 57667 (April 15, 2008)
[SR-NSCC-2007-07]. Securities Exchange Act Release No. 57666 (April
15, 2008) [SR-FICC-2007-05].
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II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

    In its filing with the Commission, DTC included statements
concerning the purpose of and basis for the proposed rule change. The
text of these statements may be examined at the places specified in
Item IV below. DTC has prepared summaries, set forth in sections (A),
(B), and (C) below, of the most significant aspects of such
statements.\3\
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    \3\ The Commission has modified the text of the summaries
prepared by DTC.
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(A) Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change

(1) Fines Scheduled for Failure to Submit Financial and Other
Information
    DTC's rules (a) require participants to submit certain financial,
regulatory, and other information within certain time frames and (b)
enable DTC to levy fines against participants for violations of its
rules. However, DTC's rules do not explicitly set forth the amount of
the fine with respect to failure to submit such information. As part of
the ongoing effort to harmonize its rules with those of its clearing
agency affiliates, DTC is proposing to adopt FICC's fine schedule for
such violations.\4\ Pursuant to its filing, participants would be fined
$300, $600, and $1,500 for their first, second, and third occasion of
failing to timely provide financial and other related information. The
determination of the fine amount for the fourth and any subsequent
occurrence of a late submission offense within a twelve-month rolling
period would be made by management of DTC with the concurrence of the
Board of Directors or a committee appointed by the Board.
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    \4\ NSCC has also proposed to adopt FICC's schedule. See File
No. NSCC-2007-07.
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    Often a member that is fined is a common member of DTC and FICC,
DTC and NSCC, or DTC, FICC, and NSCC (collectively the ``Clearing
Agencies''), which would cause the member to incur multiple penalties
for the same offense. DTC is proposing that when a common member of the
Clearing Agencies is late in providing the same information to more
than one Clearing Agency, the fine amount will be divided equally among
the Clearing Agencies.\5\
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    \5\ For example, if a firm that is a member of DTC and FICC did
not submit its annual audited financial statements within the
required time frame, and this was the firm's first failure to meet
the deadline, the $200 fine will be split equally between DTC and
FICC.
    Where the member is a participant of DTC and also a member of
one or more of the other Clearing Agencies, the fine would be
collected by DTC and allocated equally among the other Clearing
Agencies, as appropriate. If the member is not a DTC participant,
but is a common member of NSCC and FICC, NSCC will collect the fine
and allocate the appropriate portion to FICC.
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(2) General Continuance Standards
    DTC Rule 2 sets forth the basic standards for the admission of DTC
participants. The rule states that the admission of a participant is
subject to an applicant's demonstration that it meets reasonable
standards of financial responsibility, operational capability, and
character. Rule 2 also requires DTC participants to demonstrate that
these standards are met on an ongoing basis. Each applicant, upon
approval of its application for DTC participation, signs a letter of
representation that outlines the nature of the applicant's business,
its DTC settlement projections, and its financial condition at the time
of the approval and that requires the applicant to affirm that such
representations are accurate. Moreover, the participant acknowledges
its obligation to promptly notify DTC whenever there is any anticipated
change in the representations given.
    Under Rule 10, if a participant fails to continue to adhere to
these standards, then DTC, based on its judgment, may at any time cease
to act for the participant with respect to a particular transaction,
particular transactions, transactions generally, or a program and may
terminate a participant's right to act as a Settling Bank. Both Rule 2
and Rule 10 give DTC the discretion to admit participants or to
continue to act for them on a temporary or other conditional basis.
    In the interest of harmonizing this provision with a similar FICC
provision, DTC is proposing to: (a) Require a member to notify DTC of a
member's non-compliance with general member continuance standards
within two business days; (b) require the member to notify DTC within
the two-day time frame if it becomes subject to a statutory
disqualification; and (c) subject the member to a $1,000 fine for
failure to timely notify DTC.
    In addition, DTC proposes to add a provision to its fine schedule
that would impose a fine in the amount of $5,000 if a participant fails
to notify DTC of a ``material change'' to its business. A ``material
change'' would include events such as a merger or acquisition involving
the participant, a change in corporate form, a name change, a material
change in ownership, control or management, and participation as a
defendant in litigation which could reasonably be anticipated to have a
direct negative impact on the participant's financial condition or
ability to conduct its business. The proposed provision would provide
that the notification must be provided 90 calendar days prior to the
effective date of such event unless the participant demonstrates that
it could not have reasonably have given notice within that time frame.
    With respect to both fines, DTC is proposing that when a common
member's failure to timely notify relates to the same information to
more than one Clearing Agency, the fine amount will be divided equally
among the Clearing Agencies.\6\
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    \6\ Where the member is a participant of DTC and also a member
of one or more of the other Clearing Agencies, the fine would be
collected by DTC and allocated equally among the other Clearing
Agencies, as appropriate. If the member is not a DTC participant,
but is a common member of NSCC and FICC, NSCC will collect the fine
and allocate the appropriate portion to FICC.
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    DTC believes that the proposed rule change is consistent with the
requirements of Section 17A of the Act \7\ and the rules and
regulations thereunder. The proposed rules and fine provisions are
intended to protect DTC and its participants from undue risk.

DTC further states that the proposed changes will assist DTC and its
participants in interpreting and understanding its fines. As a result,
DTC will be better able to assure the safeguarding of securities in
DTC's possession or control or for which it is responsible.
---------------------------------------------------------------------------

    \7\ 15 U.S.C. 78q-1.
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B. Self-Regulatory Organization's Statement on Burden on Competition

    DTC does not believe that the proposed rule change will have any
impact or impose any burden on competition.

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

    DTC has not solicited or received written comments relating to the
proposed rule change.

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

    Within thirty-five days of the date of publication of this notice
in the Federal Register or within such longer period (i) as the
Commission may designate up to ninety days of such date if it finds
such longer period to be appropriate and publishes its reasons for so
finding or (ii) as to which the self-regulatory organization consents,
the Commission will:
    (A) By order approve such proposed rule change; or
    (B) Institute proceedings to determine whether the proposed rule
change should be disapproved.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://
www.sec.gov/rules/sro.shtml); or
     Send an e-mail to<EMAIL_ADDRESS>Please include
File No. DTC-2007-05 on the subject line.

Paper Comments

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

All submissions should refer to File No. SR-DTC-2007-05. This file
number should be included on the subject line if e-mail is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/
sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for inspection and
copying in the Commission's Public Reference Room, 100 F Street, NE.,
Washington, DC 20549, on official business days between the hours of 10
a.m. and 3 p.m. Copies of such filing also will be available for
inspection and copying at DTC's principal office and on DTC's Web site
at http://www.dtcc.com/downloads/legal/rule_filings/2007/dtc/2007-
05.pdf and http://www.dtcc.com/downloads/legal/rule_filings/2007/dtc/
2007-05-amendment.pdf. 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 No. SR-
DTC-2007-05 and should be submitted on or before May 13, 2008.

    For the Commission by the Division of Trading and Markets
pursuant to delegated authority.\8\
---------------------------------------------------------------------------

    \8\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Florence E. Harmon,
Deputy Secretary.
[FR Doc. E8-8598 Filed 4-21-08; 8:45 am]

BILLING CODE 8010-01-P


[Federal Register Volume 82, Number 72 (Monday, April 17, 2017)]
[Notices]
[Pages 18180-18182]
[FR Doc No: 2017-07640]

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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-80434; File No. SR-BatsEDGX-2017-15]

Self-Regulatory Organizations; Bats EDGX Exchange, Inc.; Notice
of Filing and Immediate Effectiveness of a Proposed Rule Change to Fees
for Use on the Exchange's Equities Options Platform

April 11, 2017.
    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 March 31, 2017, Bats EDGX Exchange, Inc. (the ``Exchange'' or
``EDGX'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I, II,
and III below, which Items have been prepared by the Exchange. The
Exchange has designated the proposed rule change as one establishing or
changing a member due, fee, or other charge imposed by the Exchange
under Section 19(b)(3)(A)(ii) of the Act \3\ and Rule 19b-4(f)(2)
thereunder,\4\ which renders the proposed rule change effective upon
filing with the Commission. The Commission is publishing this notice to
solicit comments on the proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------

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

    The Exchange filed a proposal to amend the fee schedule applicable
to Members \5\ and non-members of the Exchange pursuant to EDGX Rules
15.1(a) and (c).
---------------------------------------------------------------------------

    \5\ The term ``Member'' is defined as ``any registered broker or
dealer that has been admitted to membership in the Exchange.'' See
Exchange Rule 1.5(n).
---------------------------------------------------------------------------

    The text of the proposed rule change is available at the Exchange's
Web site at www.bats.com, at the principal office of the Exchange, and
at the Commission's Public Reference Room.

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

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

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

1. Purpose
    The Exchange proposes to amend its fee schedule for its equity
options platform (``EDGX Options'') to modify fees for its recently
adopted Qualified Contingent Cross Orders (``QCC'').\6\
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 79942 (February 1,
2017), 82 FR 9804 (February 8, 2017) (SR-BatsEDGX-2017-11) (``QCC
Filing'').
---------------------------------------------------------------------------

Background of QCC
    The Exchange recently adopted functionality allowing participants
on the Exchange the ability to submit to the Exchange Qualified
Contingent Cross Orders, an order type offered by multiple other
options exchanges.\7\ The operation of Qualified Contingent Cross
Orders on the Exchange is substantially similar in all material
respects to the operation of such orders on such other exchanges.\8\
---------------------------------------------------------------------------

    \7\ See ISE Rule 715(j), Supplementary Material .01 to ISE Rule
715 and ISE Rule 721(b); see also CBOE Rule 6.53(u); NASDAQ PHLX
Rule 1080(o); NYSE Arca Rule 6.62(bb), Commentary .02 to NYSE Arca
Rule 6.62 and NYSE Arca Rule 6.90.
    \8\ See QCC Filing supra, note 6.
---------------------------------------------------------------------------

Pricing of QCC Orders
    Since the launch of QCC order functionality on the Exchange on
March 3, 2017, all executions in QCC orders have been provided free of
charge. The Exchange proposes to amend these fees to reflect the value
of the execution opportunities provided by the QCC functionality. Thus,
the Exchange proposes to adopt fees corresponding to the four new fee
codes that were adopted in connection with QCC, as described below.
    Fee Code QA. Currently, fee code QA is appended to Customer \9\
``QCC Agency Orders'', which are QCC orders represented as an agent by
a Member on behalf of another party and submitted for execution
pursuant to Rule 21.1. The Exchange proposes that orders that yield fee
code QA would provide the Member with a standard rebate of $0.05 per
contract.
---------------------------------------------------------------------------

    \9\ ``Customer'' applies to any transaction identified by a
Member for clearing in the Customer range at the OCC, excluding any
transaction for a Broker Dealer or a ``Professional'' as defined in
Exchange Rule 16.1
---------------------------------------------------------------------------

    Fee Code QC. Currently, fee code QC is appended to Customer ``QCC
Contra Orders'', which are QCC orders submitted by a Member for
execution that will potentially execute against the QCC Agency Order
pursuant to Rule 21.1. The Exchange proposes that orders that yield fee
code QC would provide the Member with a standard rebate of $0.05 per
contract.
    Fee Code QM. Currently, fee code QM is appended to Non-Customer\10\
QCC Agency Orders, as described above. The Exchange proposes that for
orders that yield fee code QM the Member would be charged a fee of
$0.019 [sic] per contract.
---------------------------------------------------------------------------

    \10\ ``Non-Customer'' applies to any transaction that is not a
Customer order.
---------------------------------------------------------------------------

    Fee Code QN. Currently, fee code QN is appended to Non-Customer QCC
Agency Orders, as described above. The Exchange proposes that for
orders that yield fee code QN the Member would be charged a fee of
$0.019 [sic] per contract.
Designated Give Up Footnote
    Footnote 5 of the fee schedule currently specifies that when order
is submitted with a Designated Give Up, as defined in Rule 21.12(b)(1),
the applicable rebates for such orders when executed on the Exchange
(yielding fee code BC,\11\ NC \12\ or PC \13\) are provided to the
Member who routed the order to the Exchange. Pursuant to Rule 21.12,
which specifies the process to submit an order with a Designated Give
Up, a Member acting as an options routing firm on behalf of one or more
other Exchange Members (a ``Routing Firm'') is able to route orders to
the Exchange and to immediately give up the party (a party other than
the Routing Firm itself or the Routing Firm's own clearing firm) who
will accept and clear any resulting transaction. Because the Routing
Firm is

responsible for the decision to route the order to the Exchange, the
Exchange provides such Member with the rebate when orders that yield
fee code BC, NC or PC are executed.
---------------------------------------------------------------------------

    \11\ Fee code BC is appended Customer orders represented as
agent by a Member on behalf of another party and submitted to BAM
for potential price improvement pursuant to Rule 21.19, and provided
a standard rebate of $0.14 per share. Id.
    \12\ Fee code NC is appended to Customer orders which add
liquidity in Non-Penny Pilot securities is provided a standard
rebate of $0.05 per share. Id.
    \13\ Fee code PC is appended to Customer orders which add
liquidity in Penny Pilot securities is provided a standard rebate of
$0.05 per share. Id.
---------------------------------------------------------------------------

    In connection with the adoption of fees applicable to QCC as
described above the Exchange proposes to add fee code QA and QC to the
lead-in sentence of footnote 5 and to append footnote 5 to fee code BC
[sic] in the Fee Codes and Associated Fees table of the fee schedule.
Implementation Date
    The Exchange proposes to implement this amendment to its fee
schedule on April 3, 2017.
2. Statutory Basis
    The Exchange believes that the proposed rule change is consistent
with the requirements of the Act and the rules and regulations
thereunder that are applicable to a national securities exchange, and,
in particular, with the requirements of Section 6 of the Act.\14\
Specifically, the Exchange believes that the proposed rule change is
consistent with Section 6(b)(4) of the Act,\15\ in that it provides for
the equitable allocation of reasonable dues, fees and other charges
among Members and other persons using any facility or system which the
Exchange operates or controls.
---------------------------------------------------------------------------

    \14\ 15 U.S.C. 78f.
    \15\ 15 U.S.C. 78f(b)(4).
---------------------------------------------------------------------------

    The Exchange's proposal establishes corresponding fees and rebates
for QCC Orders. The Exchange believes that its proposed fees and
rebates related to QCC Orders are reasonable and fair and equitable as
the fees will allow the Exchange to continue to offer QCC Order
functionality, which is functionality offered on other options
exchanges, with pricing that is comparable to that offered by other
options exchanges. The Exchange further believes that this pricing
structure is non-discriminatory, as it applies equally to all Members.
In addition, the Exchange notes that, while orders for other market
participants (Non-Customers) will be assessed a fee, Customers will
receive a rebate. The Exchange believes the proposed rebate for
Customer QCC Orders (in contrast to the fee for Non-Customer QCC
Orders) is equitable and not unfairly discriminatory as the Exchange
and other options exchanges have generally established pricing
structures that are intended to encourage Customer order flow.
    In connection with the adoption of fees applicable to QCC, the
Exchange proposes to QA and QC to the lead-in sentence of footnote 5
and to append footnote 5 to fee code BC [sic] in the Fee Codes and
Associated Fees table of the fee schedule. The Exchange believes this
proposal is a reasonable and equitable allocation of fees and dues and
is not unreasonably discriminatory because, as is currently the case
pursuant to footnote 5, the proposal simply will make clear that a firm
acting as a Routing Firm that routes QCC Orders to the Exchange will be
provided applicable rebates based on the Routing Firm's decision to
route the order to the Exchange.

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

    The Exchange does not believe that the proposed rule change to
adopt fees related to QCC Orders will impose any burden on competition
that is not necessary or appropriate in furtherance of the purposes of
the Act. The Exchange's proposed functionality is open to all market
participants. Further, the proposed rule will allow the Exchange to
continue to offer QCC functionality, which in turn will allow the
Exchange to compete with other options exchanges that currently offer
QCC Orders. The pricing is designed to be competitive with pricing on
other options exchanges and QCC functionality is a competitive offering
by the Exchange. For these reasons, the Exchange does not believe that
the proposed fee schedule changes will impose any burden on competition
not necessary or appropriate in furtherance of the purposes of the Act,
and believes the proposed change will enhance competition.

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 written comments from members or other interested parties.

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

    The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) of the Act \16\ and paragraph (f) of Rule 19b-4
thereunder.\17\ 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.
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78s(b)(3)(A).
    \17\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------

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-BatsEDGX-2017-15 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-BatsEDGX-2017-15. This
file number should be included on the subject line if email is used. To
help the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549 on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of such filing also will be available
for inspection and copying at the principal office of the Exchange. All
comments received will be posted without change; the Commission does
not edit personal identifying information from submissions. You should
submit only information that you wish to make available publicly. All
submissions should refer to File Number SR-BatsEDGX-2017-15, and should
be submitted on or before May 8, 2017.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
---------------------------------------------------------------------------

    \18\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Eduardo A. Aleman,
Assistant Secretary.
[FR Doc. 2017-07640 Filed 4-14-17; 8:45 am]
BILLING CODE 8011-01-P


The following test reports were submitted to EPA as Microsoft Access(R) databases, which cannot be uploaded to the docket. These files are available upon request.
                                   File Name
                                  Description
Buick MO 08.28.2018_10-40_PKG.zip
2018 Electronic Reporting Tool (ERT) test report submission for Buick Resources, MO.
Buick MO 11.21.2017_13-38_PKG.zip
2017 Electronic Reporting Tool (ERT) test report submission for Buick Resources, MO.
Quemetco CA 01.03.2020_21-06_PKG.zip
2020 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit C).
Quemetco CA 01.03.2020_21-08_PKG.zip
2020 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit D).
Quemetco CA 10.26.2017_17-43_PKG.zip
2017 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit C).
Quemetco CA 10.26.2017_17-52_PKG.zip
2017 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit D).
Quemetco CA 11.20.2018_19-47_PKG.zip
2018 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit C).
Quemetco CA 11.20.2018_19-51_PKG.zip
2018 Electronic Reporting Tool (ERT) test report submission for Quemetco, CA (Busch Unit D).
Revere NY 06.04.2019_16-59_PKG.zip
2019 Electronic Reporting Tool (ERT) test report submission for Revere Smelting and Refining Corporation, NY.
Revere NY 08.06.2015_18-13_PKG.zip
2015 Electronic Reporting Tool (ERT) test report submission for Revere Smelting and Refining Corporation, NY.


[Federal Register Volume 82, Number 74 (Wednesday, April 19, 2017)]
[Notices]
[Pages 18504-18507]
[FR Doc No: 2017-07875]

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

SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-80454; File No. SR-DTC-2017-006]

Self-Regulatory Organizations; The Depository Trust Company;
Notice of Filing and Immediate Effectiveness of a Proposed Rule Change
To Modify the DTC Rules in Order to Enhance Transparency With Regard to
Application Criteria and Participation Requirements for Applicants and
Participants

April 13, 2017.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given that
on April 7, 2017, The Depository Trust Company (``DTC'') 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 clearing

agency. DTC filed the proposed rule change pursuant to Section
19(b)(3)(A) \3\ of the Act and Rule 19b-4(f)(1) \4\ thereunder. The
proposed rule change was effective upon filing with the Commission. The
Commission is publishing this notice to solicit comments on the
proposed rule change from interested persons.
---------------------------------------------------------------------------

    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 15 U.S.C. 78s(b)(3)(A).
    \4\ 17 CFR 240.19b-4(f)(1).
---------------------------------------------------------------------------

I. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change

    The proposed rule change would amend the Rules, By-Laws and
Organization Certificate of DTC (``Rules'') \5\ to expressly set forth
in the Rules (i) the existing applicable minimum financial resource
requirements that any applicant to become a Participant (``Applicant'')
that is a U.S. bank, trust company or registered broker-dealer must
respectively meet in order to qualify to become a Participant and, once
admitted, continue as a Participant in good standing \6\ and (ii) the
existing requirement that each Applicant that is a U.S. entity must
provide a legal opinion as part of its application to become a
Participant, as discussed below.
---------------------------------------------------------------------------

    \5\ Available at http://www.dtcc.com/legal/rules-and-procedures.
Capitalized terms used herein and not otherwise defined shall have
the meaning assigned to such terms in the Rules.
    \6\ A U.S. bank or trust company that otherwise meets the
application criteria and participation requirements established by
DTC pursuant to the Rules is qualified to become a Participant
pursuant to Section 1(d) of Rule 3. A U.S. broker dealer that
otherwise meets the application criteria and participation
requirements pursuant to the Rules is qualified to become a
Participant pursuant to Section 1(h)(ii) of Rule 3. See Rule 3,
supra note 5.
---------------------------------------------------------------------------

II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change

    In its filing with the Commission, the clearing agency 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 clearing agency has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of such statements.

(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change

1. Purpose
    Pursuant to Rule 2,\7\ DTC has established application criteria and
participation requirements for Applicants and Participants related to
financial resources, creditworthiness and operational capability.\8\
These requirements are designed to manage the risks a Participant
presents to DTC or to its membership, while facilitating fair and open
access by market participants.\9\ The proposed rule change would amend
the Rules to enhance transparency with respect to certain existing
application criteria and participation requirements, specifically, (i)
the minimum financial resource requirements for Applicants and
Participants that are either U.S. banks, trust companies or registered
broker-dealers and (ii) the requirement for Applicants that are U.S.
entities to provide a legal opinion, as discussed below.
---------------------------------------------------------------------------

    \7\ Rule 2, supra note 5.
    \8\ See also Disclosure under the Principles for Financial
Market Infrastructures (``PFMI''), available at http://www.dtcc.com/
~/media/Files/Downloads/legal/policy-and-compliance/
DTC_Disclosure_Framework.pdf at 100-104 (Describing DTC access and
participation requirements).
    \9\ Rule 17 Ad-22(e)(18) under the Act, provides that each
covered clearing agency shall establish, implement, maintain and
enforce written policies and procedures reasonably designed to, as
applicable, ``establish objective, risk-based, and publicly
disclosed criteria for participation, which permit fair and open
access by direct and, where relevant, indirect participants and
other financial market utilities, require participants to have
sufficient financial resources and robust operational capacity to
meet obligations arising from participation in the clearing agency,
and monitor compliance with such participation requirements on an
ongoing basis.'' 17 CFR 240.17Ad-22(e)(18). (The Commission adopted
amendments to Rule 17Ad-22, including the addition of new section
17Ad-22(e), on September 28, 2016. See Securities Exchange Act
Release No. 78961 (September 28, 2016), 81 FR 70786 (October 13,
2016) (S7-03-14). DTC is a ``covered clearing agency'' as defined in
Rule 17Ad-22(a)(5), and must comply with new section (e) (including
subsection (e)(18) described above) of Rule 17Ad-22 by April 11,
2017.)
---------------------------------------------------------------------------

Minimum Financial Requirements
    Rule 2 requires each Applicant or Participant to demonstrate that
it has sufficient financial ability to meet its anticipated obligations
to DTC.\10\ In this regard, DTC sets financial requirements for
establishing and continuing participation that are based on the type of
legal entity and the types of services that the entity will use at DTC.
Currently, among other requirements, a registered broker dealer must
have a minimum of $500,000 in excess net capital over its regulatory
net capital requirement,\11\ and a U.S. bank or trust company must have
more than $2 million in equity capital \12\ (collectively, ``Minimum
Financial Requirements''), to become, and continue in good standing as,
a Participant.\13\ The Minimum Financial Requirements are currently
disclosed in the PFMI and in a list of DTC application requirements
that is made available to all Applicants (``Onboarding Requirements'').
In order to increase transparency with regard to its application and
participation requirements, DTC proposes to amend the Rules by adding
the Minimum Financial Requirements for Applicants and Participants that
are (i) U.S. broker-dealers or (ii) U.S. banks or trust companies to
Section 1 of the Policy Statement.\14\
---------------------------------------------------------------------------

    \10\ Rule 2, supra note 5.
    \11\ For this purpose, the broker dealer's minimum regulatory
net capital requirement is the greater of (i) the amount imposed on
it pursuant to Rule 15c3-1 under the Act, 17 CFR 240.15c3-1, and
(ii) such higher amount imposed by the broker-dealer's designated
examining authority, as named by the Commission pursuant to Rule
17d-1 under the Act, 17 CFR 240.17d-1.
    \12\ For this purpose, equity capital has the meaning as defined
on the form of Consolidated Report of Condition and Income and
related instructions maintained by the Federal Financial
Institutions Examination Council (FFIEC), available at https://www.ffiec.gov/pdf/FFIEC_forms/FFIEC031_201612_f.pdf and https://www.ffiec.gov/pdf/FFIEC_forms/FFIEC031_FFIEC041_201609_i.pdf,
respectively.
    \13\ Not including non-U.S. Participants, whose minimum
financial resource requirements are set forth in the Policy
Statement on the Admission of Participants (``Policy Statement''),
See Policy Statement, supra note 5 at 122, most Applicants and
Participants are (i) U.S. broker dealers or (ii) U.S. banks or trust
companies. Since U.S. broker dealers and U.S. banks and trust
companies are subject to standard regulatory capital requirements,
DTC has determined that setting the Minimum Financial Requirements
based on applicable regulatory requirements is a practical method
for determining whether such entities have sufficient financial
ability to meet their obligations to DTC. For other Applicants and
Participants, DTC reviews any appropriate financial information or
reports available with respect to that entity to determine whether
it maintains sufficient financial ability to meet its obligations
under the Rules.
    \14\ See Policy Statement, supra note 5 at 121.
---------------------------------------------------------------------------

Legal Opinion Requirement
    Each Applicant enters into a Participant's Agreement
(``Agreement''), pursuant which the Applicant agrees, inter alia, that
the DTC Rules shall be a part of the terms and conditions of every
contract or transaction that it may make or have with DTC. DTC requires
that all Applicants provide an opinion of counsel that provides DTC
with comfort as to the valid authorization, execution and delivery of
the Agreement by an Applicant and, as applicable, the enforceability of
the Agreement under applicable state and federal laws (``Legal Opinion
Requirement''). Except with respect to

non-U.S. Applicants,\15\ the Legal Opinion Requirement is not currently
expressly set forth in the Rules.\16\ To enhance transparency with
regard to the Legal Opinion Requirement, DTC proposes to amend the
Rules to add the Legal Opinion Requirement for U.S. Applicants to the
Policy Statement.
---------------------------------------------------------------------------

    \15\ Id at 122.
    \16\ The Legal Opinion Requirement is set forth in the
Onboarding Requirements.
---------------------------------------------------------------------------

Proposed Changes to Rules Text
    Pursuant to the proposed rule change, DTC would (i) amend the text
of Section 1 of the Policy Statement to add the existing (A) Minimum
Financial Requirements and (B) Legal Opinion Requirement that pertains
to U.S. Applicants, as discussed above, and (ii) add a cross-reference
within Rule 2 to the requirements that would be added to the Policy
Statement.
Effective Date of Proposed Rule Change
    The proposed rule change would become effective immediately upon
filing with the Commission.
2. Statutory Basis
    Section 17A(b)(3)(F) of the Act, requires, inter alia, that the
Rules promote the prompt and accurate clearance and settlement of
securities transactions.\17\ The proposed rule change would provide
transparency in the Rules regarding existing participation requirements
that Applicants and Participants must meet for access to DTC's
services, including but not limited to participation in its settlement
service, by (i) adding the Minimum Financial Requirements and the Legal
Opinion Requirement to the Policy Statement and (ii) adding a cross-
reference within Rule 2 to the Policy Statement, as discussed above.
Collectively, the proposed changes would enhance the transparency and
clarity of the Rules, which would enable stakeholders to readily
understand DTC's access requirements. Therefore, by providing
stakeholders with enhanced transparency and clarity with regard to
existing participation requirements that Applicants and Participants
must meet for access to DTC's services, including but not limited to
participation in its settlement service, DTC believes that the proposed
rule changes would promote the prompt and accurate clearance and
settlement of securities transactions consistent with Section
17A(b)(3)(F) of the Act.
---------------------------------------------------------------------------

    \17\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------

    Rule 17Ad-22(d)(2) under the Act requires a clearing agency to
establish, implement, maintain and enforce written policies and
procedures reasonably designed to, as applicable, require participants
to have sufficient financial resources and robust operational capacity
to meet obligations arising from participation in the clearing agency;
have procedures in place to monitor that participation requirements are
met on an ongoing basis; and have participation requirements that are
objective and publicly disclosed, and permit fair and open access.\18\
As mentioned above, the proposed rule change would provide transparency
in the Rules regarding existing DTC participation requirements by (i)
adding the Minimum Financial Requirements and the Legal Opinion
Requirement to the Policy Statement and (ii) adding a cross-reference
within Rule 2 to the Policy Statement, as discussed above. Therefore,
by providing stakeholders with greater transparency with regard to
existing participation requirements by providing an additional source
of public disclosure in this regard through the Policy Statement, DTC
believes that the proposed rule change is consistent with Rule 17Ad-
22(d)(2) promulgated under the Act cited above.
---------------------------------------------------------------------------

    \18\ 17 CFR 240.17Ad-22(d)(2).
---------------------------------------------------------------------------

    The proposed rule change is also designed to be consistent with
Rule 17Ad-22(e)(18) of the Act, which was recently adopted by the
Commission.\19\ Rule 17Ad-22(e)(18) will require DTC, inter alia, to
establish, implement, maintain and enforce written policies and
procedures reasonably designed to, as applicable, establish objective,
risk-based, and publicly disclosed criteria for participation, which
permit fair and open access by direct and, where relevant, indirect
participants and other financial market utilities, require participants
to have sufficient financial resources and robust operational capacity
to meet obligations arising from participation in the clearing agency,
and monitor compliance with such participation requirements on an
ongoing basis. As mentioned above, the proposed rule change would
provide transparency in the Rules regarding existing DTC participation
requirements by (i) adding the Minimum Financial Requirements and the
Legal Opinion Requirement to the Policy Statement and (ii) adding a
cross-reference within Rule 2 to the Policy Statement, as discussed
above. Therefore, by providing stakeholders with greater transparency
with regard to existing participation requirements by providing an
additional source of public disclosure in this regard through the
Policy Statement, DTC believes that the proposed rule change is
consistent with Rule 17Ad-22(e)(18) promulgated under the Act cited
above.
---------------------------------------------------------------------------

    \19\ 17 CFR 240.17Ad-22(e)(18). As mentioned above, the
Commission adopted amendments to Rule 17Ad-22, including the
addition of new subsection 17Ad-22(e), on September 28, 2016. See
Securities Exchange Act Release No. 78961 (September 28, 2016), 81
FR 70786 (October 13, 2016) (S7-03-14). DTC is a ``covered clearing
agency'' as defined by new Rule 17Ad-22(a)(5) and must comply with
new subsection (e) of Rule 17Ad-22 by April 11, 2017. Id.
---------------------------------------------------------------------------

(B) Clearing Agency's Statement on Burden on Competition

    DTC does not believe that the proposed rule change would have any
impact on competition because the proposed change expressly reflects
existing application criteria and participation requirements applicable
to all Applicants and Participants.

(C) Clearing Agency's Statement on Comments on the Proposed Rule Change
Received From Members, Participants, or Others

    DTC has not solicited and does not intend to solicit comments
regarding the proposed rule change. DTC has not received any
unsolicited written comments from interested parties. To the extent DTC
receives written comments on the proposed rule change, DTC will forward
such comments to the Commission.

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

    The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) \20\ of the Act and paragraph (f) of Rule 19b-4 \21\
thereunder. 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.
---------------------------------------------------------------------------

    \20\ 15 U.S.C. 78s(b)(3)(A).
    \21\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------

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-DTC-2017-006 on the subject line.

Paper Comments

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

All submissions should refer to File Number SR-DTC-2017-006. This file
number should be included on the subject line if email is used. To help
the Commission process and review your comments more efficiently,
please use only one method. The Commission will post all comments on
the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments, all
written statements with respect to the proposed rule change that are
filed with the Commission, and all written communications relating to
the proposed rule change between the Commission and any person, other
than those that may be withheld from the public in accordance with the
provisions of 5 U.S.C. 552, will be available for Web site viewing and
printing in the Commission's Public Reference Room, 100 F Street NE.,
Washington, DC 20549 on official business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the filing also will be available
for inspection and copying at the principal office of DTC and on DTCC's
Web site (http://dtcc.com/legal/sec-rule-filings.aspx). 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-DTC-2017-006 and
should be submitted on or before May 10, 2017.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\22\
---------------------------------------------------------------------------

    \22\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Brent J. Fields,
Secretary.
[FR Doc. 2017-07875 Filed 4-18-17; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register Volume 84, Number 238 (Wednesday, December 11, 2019)]
[Notices]
[Pages 67763-67764]
[FR Doc No: 2019-26627]

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SECURITIES AND EXCHANGE COMMISSION

Proposed Collection; Comment Request

Upon Written Request Copies Available From: Securities and Exchange
Commission, Office of FOIA Services, 100 F Street, NE, Washington, DC
20549-2736.

Extension:

    Rule 147(f)(1)(iii) Written Representation as to Purchaser
Residency, SEC File No. 270-805, OMB Control No. 3235-0756

    Notice is hereby given that, pursuant to the Paperwork Reduction
Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange
Commission (``Commission'') is soliciting comments on the collection of
information summarized below. The Commission plans to submit this
existing collection of information to the Office of Management and
Budget for extension and approval.
    Rule 147 is a safe harbor under the Securities Act Section
3(a)(11)(15 U.S.C. 77c(a)(11)) exemption from registration. To qualify
for the safe harbor, Rule 147(f)(1)(iii) (17 CFR 230.147) will require
the issuer to obtain from the purchaser a written representation as to
the purchaser's residency. Under Rule 147, the purchaser in the
offering must be a resident of the same state or territory in which the
issuer is a resident. While the formal representation of residency by
itself is not sufficient to establish a reasonable belief that such
purchasers are in-state residents, the representation requirement,
together with the reasonable belief standard, may result in better
compliance with the rule and maintaining appropriate investor
protections. The representation of residency is not provided to the
Commission. Approximately 700 respondents provide the information
required by Rule 147(f)(1)(iii) at an estimated 2.75 hours per response
for a total annual reporting burden of 1,925 hours (2.75 hours x 700
responses).
    Written comments are invited on: (a) Whether this proposed
collection of information is necessary for the performance of the
functions of the agency, including whether the information will have
practical utility; (b) the accuracy of the agency's estimate of the
burden imposed by the collection of information; (c) ways to enhance
the quality, utility, and clarity of the information collected; and (d)
ways to minimize the burden of the collection of information on
respondents, including through the use of automated collection
techniques or other forms of information technology. Consideration will
be given to comments and suggestions submitted in writing within 60
days of this publication.
    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 control number.
    Please direct your written comment to Charles Riddle, Acting
Director/Chief Information Officer, Securities and Exchange Commission,
c/o Cynthia Roscoe, 100 F Street NE, Washington, DC 20549 or send an
email to<EMAIL_ADDRESS>
    Dated: December 5, 2019.
Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-26627 Filed 12-10-19; 8:45 am]
 BILLING CODE 8011-01-P


[Federal Register Volume 76, Number 125 (Wednesday, June 29, 2011)]
[Notices]
[Pages 38223-38225]
[FR Doc No: 2011-16223]

=======================================================================
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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-64728; File No. SR-NYSEAmex-2011-39]

Self-Regulatory Organizations; NYSE Amex LLC; Notice of Filing
and Immediate Effectiveness of Proposed Rule Change Amending Rule 17--
NYSE Amex Equities To Codify Inbound Routing Functions Performed by Its
Affiliate Broker-Dealer, Archipelago Securities LLC

June 23, 2011.
    Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby given
that, on June 16, 2011, NYSE Amex LLC (the ``Exchange'' or ``NYSE
Amex'') filed with the Securities and Exchange Commission (the
``Commission'') the proposed rule change as described in Items I and II
below, which Items have been prepared by NYSE Amex. The Commission is
publishing this notice to solicit comments on the proposed rule change
from interested persons.
---------------------------------------------------------------------------

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

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

    The Exchange proposes to amend Rule 17--NYSE Amex Equities to
codify inbound routing functions performed by its affiliate broker-
dealer, Archipelago Securities LLC (``Arca Securities''). The text of
the proposed rule change is available at the Exchange's principal
office, at http://www.nyse.com, at the Commission's Public Reference
Room, and at the Commission's Web site at http://www.sec.gov.

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 self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.

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

1. Purpose
    The Exchange proposes to amend Rule 17--NYSE Amex Equities to
codify inbound routing functions performed by its affiliate broker-
dealer, Arca Securities, which have previously been approved by the
Commission.\3\
---------------------------------------------------------------------------

    \3\ The Exchange's affiliates, New York Stock Exchange, LLC
(``NYSE'') and NYSE Arca, Inc. (``NYSE Arca''), are proposing
substantially similar rule changes. See SR-NYSE-2011-24 and SR-
NYSEArca-2011-38.
---------------------------------------------------------------------------

Background--Arca Securities Functions as Routing Broker
    Arca Securities currently is the primary outbound and inbound
routing broker for NYSE Amex. The outbound routing function for NYSE
Amex is governed by Rules 13 and 17--NYSE Amex Equities.\4\ These rules
permit NYSE Amex to utilize Arca Securities to route orders to an away
market center for execution whenever such routing is required by
Exchange Rules and Federal securities laws.\5\
---------------------------------------------------------------------------

    \4\ See Securities Exchange Act Release No. 58705 (October 1,
2008), 73 FR 58995 (October 8, 2008) (SR-Amex-2008-63). Rules 13 and
17--NYSE Amex Equities permit not only Arca Securities but also
unaffiliated third-party broker-dealers to perform the outbound
routing function, which serves as a risk management function in the
event of a system malfunction or failure. As such, Rule 17 currently
refers generically to ``Routing Broker(s),'' rather than just Arca
Securities.
    \5\ See Securities Exchange Act Release No. 59009 (November 24,
2008), 73 FR 73363 (December 2, 2008) (SR-NYSEALTR-2008-07).
---------------------------------------------------------------------------

    The inbound routing function of Arca Securities currently is
governed by a pilot program established to permit Arca Securities to
route orders from NYSE and NYSE Arca to NYSE Amex.\6\ The pilot was
extended and is currently scheduled to expire on September 30, 2011.\7\
The terms of the inbound routing pilot are generally set forth in the
Commission's approval orders, rather than rule text (except as noted
below).\8\ The terms of the pilots are as follows:
---------------------------------------------------------------------------

    \6\ See Securities Exchange Act Release No. 58673 (September 29,
2008), 73 FR 57707, 57716 (October 3, 2008) (SR-Amex-2008-62). See
also Securities Exchange Act Release No. 58705 (October 1, 2008), 73
FR 58995 (October 8, 2008) (SR-Amex-2008-63).
    \7\ See Securities Exchange Act Release Nos. 60751 (September
30, 2009), 74 FR 51630 (October 7, 2009) (SR-NYSEAmex-2009-67)
(extending pilot from September 29, 2009 to December 31, 2009);
61269 (December 31, 2009), 75 FR 1097 (January 8, 2010) (SR-
NYSEAmex-2009-91) (extending pilot from December 31, 2009 to March
31, 2010); 61815 (March 31, 2010), 75 FR 17813 (April 7, 2010) (SR-
NYSEAmex-2010-32) (extending pilot from March 31, 2010 to September
30, 2010); 62831 (September 2, 2010), 75 FR 55388 (September 10,
2010) (SR-NYSEAmex-2010-91) (extending pilot from September 30, 2010
to March 31, 2011); and 64014 (March 2, 2011), 76 FR 12733 (March 8,
2011) (SR-NYSEAmex-2011-10) (extending pilot from March 31, 2011 to
September 30, 2011).
    \8\ See supra note 4.
---------------------------------------------------------------------------

    The Exchange and the Financial Industry Regulatory Authority
(``FINRA'') have entered into a Rule 17d-2 agreement pursuant to which
FINRA is allocated regulatory responsibilities to review Arca
Securities' compliance with certain Exchange rules. The Exchange,
however, retains ultimate responsibility for enforcing its rules with
respect to Arca Securities.
    NYSE Regulation monitors Arca Securities for compliance with the
Exchange's trading rules and collects and maintains certain related
information. Specifically, NYSE Regulation collects and maintains the
following information of which NYSE Regulation staff becomes aware--
namely, all alerts, complaints, investigations and enforcement actions
where Arca Securities is identified as a participant that has
potentially violated Exchange or applicable SEC rules--in an easily
accessible manner so as to facilitate any review conducted by the SEC's
Office of Compliance Inspections and Examination.
    NYSE Regulation has agreed with the Exchange that it will provide a
report to the Exchange's Chief Regulatory Officer, on a quarterly
basis, that (i) Quantifies all alerts (of which NYSE Regulation is
aware) that identify Arca Securities as a participant that has
potentially violated Exchange or SEC rules, and (ii) quantifies the
number of all investigations that identify Arca Securities as a
participant that has potentially violated Exchange or Commission rules.
    NYSE Euronext, as parent of the Exchange, was obligated to adopt a
rule requiring it to establish and maintain procedures and internal
controls reasonably designed to ensure that Arca Securities does not
develop or implement changes to its system, based on non-public
information obtained regarding planned changes to the Exchange's
systems as a result of its affiliation with the Exchange, until such
information is available generally to similarly situated members of the
Exchange.\9\
---------------------------------------------------------------------------

    \9\ See supra note 4. See also Rule 2B--NYSE Amex Equities.
---------------------------------------------------------------------------

    Since the initiation of the inbound routing pilot in 2008, the
Exchange in 2010 entered into a comprehensive

Regulatory Services Agreement (``RSA'') with FINRA that, among other
things, allocated to FINRA responsibility for the functions noted above
that NYSE Regulation previously performed with respect to Arca
Securities (e.g., monitoring Arca Securities' compliance with the
Exchange's trading rules).\10\ As a result of this RSA and the Rule
17d-2 agreement, the only regulatory functions related to Arca
Securities that remain with NYSE Regulation are the provision to FINRA
of the exceptions noted above of which NYSE Regulation becomes aware
(e.g., alerts involving Arca Securities) and the receipt of the
quarterly report noted above, which is now produced by FINRA.
---------------------------------------------------------------------------

    \10\ The Exchange notes that FINRA reviews both inbound and
outbound routing via Arca Securities pursuant to the 17d-2 agreement
and the RSA. The Exchange will review the terms of the RSA in
connection with this proposed rule change, and will amend it to
reflect the specific terms of this filing.
---------------------------------------------------------------------------

    Arca Securities was also previously engaged in certain odd-lot and
sub-penny transactions as part of its routing function for the
Exchange.\11\ These functions were implemented on a permanent basis as
part of the same proposed rule change implementing the outbound routing
functions.\12\ As a result of subsequent rule changes, however, Arca
Securities no longer performs these functions.\13\
---------------------------------------------------------------------------

    \11\ See supra note 3. No rule text was added to the NYSE Amex
Rules to describe these functions.
    \12\ See id.
    \13\ NYSE Amex has modified its electronic trading system in
order to accommodate away market center executions in odd-lots and
sub-pennies. See Securities Exchange Act Release No. 62578 (July 27,
2010), 75 FR 45185 (August 2, 2010) (SR-NYSEAmex-2010-53) (amending
various NYSE rules to incorporate the receipt and execution of odd-
lot interest into the round lot market and decommission the use of
Odd-lot System); Securities Exchange Act Release No. 60916 (November
3, 2009), 74 FR 57722 (November 9, 2009) (SR-NYSEAmex-2009-78)
(deleting rule text from the Supplementary Material to Rule 62--NYSE
Amex Equities because Exchange technology was modified to quote and
execute bids/offers priced below $1.00 per share in sub-penny
increments of $0.0001).
---------------------------------------------------------------------------

Proposed Rule Change
    In order to provide more clarity and transparency to all of the
functions that Arca Securities performs on behalf of the Exchange, NYSE
Amex proposes to add text to Rule 17--NYSE Amex Equities to describe
the inbound routing functions. By doing so, the Exchange would
establish a single, central location in its Rules describing all
routing broker functions, including both inbound and outbound routing.
    Specifically, the existing text of Rule 17--NYSE Amex Equities
concerning Routing Brokers' outbound routing function, including with
respect to Arca Securities, would be redesignated as new Rule
17(c)(1)--NYSE Amex Equities. The Exchange proposes to add new Rule
17(c)(2)--NYSE Amex Equities to add text describing Arca Securities'
inbound routing functions. The rule text in paragraph (c)(2) would be
substantially the same as the language set forth in the Commission
notices applicable to the Exchange and virtually identical to the
inbound router rule text already implemented for another exchange.\14\
In this regard, the rule text would track the terms of the inbound
routing pilot noted above (and as set forth in the rule filings), with
the following exceptions. First, the rule text would reflect that
certain regulatory functions are now carried out by FINRA on behalf of
NYSE Regulation, rather than by NYSE Regulation directly. Second, the
rule text would require procedures and controls that are reasonably
designed to prevent Arca Securities from receiving any benefit, taking
any action or engaging in any activity, based on non-public information
regarding planned changes to Exchange systems obtained as a result of
its affiliation with the Exchange, until such information is available
generally to similarly situated member organizations of the Exchange,
in connection with the provision of inbound order routing to the
Exchange.\15\ In comparison, the current language from the inbound
routing pilot requires procedures and controls that are reasonably
designed to ensure that Arca Securities does not develop or implement
changes to its system, based on non-public information obtained
regarding planned changes to the Exchange's systems as a result of its
affiliation with the Exchange, until such information is available
generally to similarly situated members of the Exchange.
---------------------------------------------------------------------------

    \14\ See BATS Rule 2.12. See also Securities Exchange Act
Release No. 62901 (September 13, 2010), 75 FR 57097 (September 17,
2010) (SR-BATS-2010-024).
    \15\ The Exchange notes that the text proposed in Rule
17(c)(2)(B)--NYSE Amex Equities would make clear that the Exchange
may furnish to Arca Securities the same information on the same
terms that the Exchange makes available in the normal course of
business to any other member organization.
---------------------------------------------------------------------------

    Additionally, the Exchange proposes certain technical changes to
Rule 17(c)--NYSE Amex Equities, which governs Arca Securities' outbound
routing functions, to align it with the changes proposed herein. The
Exchange also proposes to include specific rule text to codify the
current date upon which the inbound routing pilots are set to expire--
September 30, 2011.
2. Statutory Basis
    The proposed rule change is consistent with Section 6(b)\16\ of the
Act, in general, and furthers the objectives of Section 6(b)(5),\17\ in
particular, in that it is designed to prevent fraudulent and
manipulative acts and practices, to promote just and equitable
principles of trade, to foster cooperation and coordination with
persons engaged in facilitating transactions in securities, to remove
impediments to and perfect the mechanism of a free and open market and
a national market system and, in general, to protect investors and the
public interest. The Exchange believes that the proposed rule change,
which would add specific rule text for routing functionality that has
already been approved in substance by the Commission for the Exchange,
would enhance the clarity and transparency surrounding such
functionality, including the responsibilities and obligations attendant
therewith, while also reflecting the Exchange's ongoing efforts to
effectively address the concerns previously identified by the
Commission regarding the potential for informational advantages
favoring Arca Securities vis-[agrave]-vis other non-affiliated Exchange
members. The Exchange also believes that the proposed rule change would
support the principles of Section 11A(a)(1) of the Act \18\ in that it
seeks to assure economically efficient execution of securities
transactions.
---------------------------------------------------------------------------

    \16\ 15 U.S.C. 78f(b).
    \17\ 15 U.S.C. 78f(b)(5).
    \18\ 15 U.S.C. 78k-1(a)(1).
---------------------------------------------------------------------------

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

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

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

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

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

    Because the proposed rule change: (i) Does not significantly affect
the protection of investors or the public interest; (ii) does not
impose any significant burden on competition; and (iii) does not become
operative for 30 days after the date of the filing, or such

shorter time as the Commission may designate if consistent with the
protection of investors and the public interest, the proposed rule
change has become effective pursuant to Section 19(b)(3)(A) of the Act
\19\ and Rule 19b-4(f)(6) thereunder.\20\
---------------------------------------------------------------------------

    \19\ 15 U.S.C. 78s(b)(3)(A).
    \20\ 17 CFR 240.19b-4(f)(6).
---------------------------------------------------------------------------

    A proposed rule change filed under 19b-4(f)(6) normally may not
become operative prior to 30 days after the date of filing.\21\
However, Rule 19b-4(f)(6)(iii) \22\ permits the Commission to designate
a shorter time if such action is consistent with the protection of
investors and the public interest. The Exchange requests that the
Commission waive the 30-day operative delay. The Exchange believes that
waiver of the 30-day operative delay would provide more clarity and
transparency in its rule text concerning all of the functions that Arca
Securities performs on behalf of the Exchange without undue delay. In
addition, the Exchange notes that the proposal is consistent with the
rules of another national securities exchange. For these reason, the
Commission believes that waiving the 30-day operative delay is
consistent with the protection of investors and the public interest,
and designates the proposed rule change to be operative upon filing
with the Commission.\23\
---------------------------------------------------------------------------

    \21\ 17 CFR 240.19b-4(f)(6)(iii). In addition, Rule 19b-
4(f)(6)(iii) requires that a self-regulatory organization submit to
the Commission written notice of its intent to file the proposed
rule change, along with a brief description and text of the proposed
rule change, at least five business days prior to the date of filing
of the proposed rule change, or such shorter time as designated by
the Commission. The Exchange has satisfied this requirement.
    \22\ Id.
    \23\ For purposes only of waiving the 30-day operative delay,
the Commission has considered the proposed rule's impact on
efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
---------------------------------------------------------------------------

    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 e-mail to<EMAIL_ADDRESS>Please include
File Number SR-NYSEAmex-2011-39 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-NYSEAmex-2011-39. This
file number should be included on the subject line if e-mail is used.
To help the Commission process and review your comments more
efficiently, please use only one method. The Commission will post all
comments on the Commission's Internet Web site (http://www.sec.gov/rules/sro.shtml). Copies of the submission, all subsequent amendments,
all written statements with respect to the proposed rule change that
are filed with the Commission, and all written communications relating
to the proposed rule change between the Commission and any person,
other than those that may be withheld from the public in accordance
with the provisions of 5 U.S.C. 552, will be available for 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-
NYSEAmex-2011-39 and should be submitted on or before July 20, 2011.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\24\
---------------------------------------------------------------------------

    \24\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------

Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011-16223 Filed 6-28-11; 8:45 am]
BILLING CODE 8011-01-P