[Federal Register Volume 76, Number 196 (Tuesday, October 11, 2011)]
[Notices]
[Pages 62873-62876]
[FR Doc No: 2011-26135]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-65468; File No. SR-NYSEArca-2011-51]

Self-Regulatory Organizations; NYSE Arca, Inc.; Order Granting
Approval of Proposed Rule Change To List and Trade Managed Fund Shares
of TrimTabs Float Shrink ETF Under NYSE Arca Equities Rule 8.600

October 3, 2011.

I. Introduction

    On July 29, 2011, NYSE Arca, Inc. (``Exchange'' or ``NYSE Arca'')
filed with the Securities and Exchange Commission (``Commission''),
pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'') \1\ and Rule 19b-4 thereunder,\2\ a proposed rule change to
list and trade shares (``Shares'') of TrimTabs Float Shrink ETF
(``Fund'') under NYSE Arca Equities Rule 8.600. The proposed rule
change was published for comment in the Federal Register on August 18,

2011.\3\ The Commission received no comments on the proposal [CONFIRM].
This order grants approval of the proposed rule change.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ See Securities Exchange Act Release No. 65126 (August 12,
2011), 76 FR 51442 (``Notice'').
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II. Description of the Proposed Rule Change

    The Exchange proposes to list and trade the Shares of the Fund
pursuant to NYSE Arca Equities Rule 8.600, which governs the listing
and trading of Managed Fund Shares on the Exchange. The Shares will be
offered by AdvisorShares Trust (``Trust''), a statutory trust organized
under the laws of the State of Delaware and registered with the
Commission as an open-end management investment company.\4\ The
investment adviser to the Fund is AdvisorShares Investments, LLC
(``Adviser''). Trim Tabs Asset Management, LLC (``TrimTabs'' or ``Sub-
Adviser'') is the Fund's sub-adviser and provides day-to-day portfolio
management of the Fund. Foreside Fund Services, LLC is the principal
underwriter and distributor of the Fund's Shares. The Exchange states
that neither the Adviser nor the Sub-Adviser is affiliated with a
broker-dealer.\5\
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    \4\ The Trust is registered under the Investment Company Act of
1940 (``1940 Act''). On January 19, 2011, the Trust filed with the
Commission Form N-1A under the Securities Act of 1933 (15 U.S.C.
77a) and under the 1940 Act relating to the Fund (File Nos. 333-
157876 and 811-22110) (``Registration Statement''). In addition, the
Commission has issued an order granting certain exemptive relief to
the Trust under the1940 Act. See Investment Company Act Release No.
29291 (May 28, 2010) (File No. 812-13677) (``Exemptive Order'').
    \5\ See Commentary .06 to NYSE Arca Equities Rule 8.600. The
Exchange represents that in the event (a) The Adviser or the Sub-
Adviser becomes newly affiliated with a broker-dealer, or (b) any
new adviser or sub-adviser becomes affiliated with a broker-dealer,
it will implement a fire wall with respect to such broker-dealer
regarding access to information concerning the composition and/or
changes to the portfolio, and will be subject to procedures designed
to prevent the use and dissemination of material non-public
information regarding such portfolio.
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Description of the Fund

    The Fund is an actively-managed exchange-traded fund that seeks to
achieve its investment objective primarily by investing in the broad
U.S. equity market, as represented by the Russell 3000[supreg] Index
(``Index''). The Fund seeks to achieve this goal by investing in stocks
with liquidity and fundamental characteristics that are historically
associated with superior long-term performance. The Sub-Adviser
designed the following quantitative stock selection rules to make
allocation decisions and to protect against dramatic over or under
weighting of individual securities in the Fund's portfolio.
    The Sub-Adviser will rank stocks in the Index based on the
following criteria:
    I. The decrease in their outstanding shares over approximately the
past 120 days (``float shrink'');
    II. The increase in free cash flow (the money available to the
company that is not used to pay for its daily operations) over
approximately the past 120 days; and
    III. The decrease in leverage over approximately the past 120 days.
Leverage is measured as the ratio of total liabilities to total assets.
The Sub-Adviser will use the relative decrease in leverage, rather than
amount of leverage itself, as a criterion because the degree of
leverage varies across industries.
    The top decile of each respective ranking will consist of the
stocks of the companies with (I) the strongest reduction in shares
outstanding, (II) the strongest growth in free cash flow, and (III) the
largest decrease in leverage, respectively.

Stock Selection Algorithm

    The Sub-Adviser will use an algorithm to give a relative weight to
the three decile rankings, combining them in a single ranking (combined
ranking). The algorithm will place a higher weight on the float shrink
ranking, followed by the free cash flow ranking, followed by the
leverage ranking. The Fund, under normal circumstances,\6\ will invest
in 80 to 120 stocks from among the top 10% of stocks in the combined
ranking. The Sub-Adviser's investment process is quantitative. The Sub-
Adviser designed the following stock selection rules, which involve
liquidity, weighting, rebalancing, and trading considerations:
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    \6\ The term ``under normal market circumstances'' includes, but
is not limited to, the absence of extreme volatility or trading
halts in the fixed income markets or the financial markets
generally; operational issues causing dissemination of inaccurate
market information; or force majeure type events such as systems
failure, natural or man-made disaster, act of God, armed conflict,
act of terrorism, riot or labor disruption or any similar
intervening circumstance.
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Liquidity Screening

    Before trading, the Fund will estimate the liquidity impact of its
suggested trades. Specifically, the Fund will avoid stocks whose
average trading volume over the past 30 days would be less than 50% of
the size of the Fund's proposed trades. As a result, the Fund will not
invest in stocks that meet its investment criteria in terms of float
shrink, free cash flow growth, and leverage if their trading volume is
below such levels. As such, the Fund will not invest in stocks that it
deems to be illiquid.

Weighting and Sector Allocation

    Although the Fund initially will invest an equal dollar amount in
the stocks that meet its investment criteria, the Fund is not market
capitalization weighted. Thus, the Fund will overweight small-cap
stocks and mid-cap stocks relative to traditional, market cap weighted
indices.\7\
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    \7\ Mid-sized companies may be more volatile than large-
capitalization companies, and returns on investments in stocks of
mid-sized companies could trail the returns on investments in stocks
of larger or smaller companies. Stock prices of small capitalization
companies may be more volatile than those of larger companies and,
therefore, the Fund's Share price may be more volatile than those of
funds that invest a larger percentage of their assets in stocks
issued by larger-capitalization companies.
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    The relative weights of the sectors in the Fund may vary
significantly from those of traditional, market cap weighted indices.
Stocks with favorable liquidity characteristics may be concentrated in
certain sectors. Sector concentration might increase the Fund's
volatility over the short term. The Fund will not correct these sector
effects because the Sub-Adviser's research shows that historically they
are a source of long-term outperformance.

Other Investments

    To respond to adverse market, economic, political, or other
conditions, the Fund may invest 100% of its total assets, without
limitation, in short-term, high-quality debt securities and money
market instruments. The Fund may invest in these instruments for
extended periods, depending on the Sub-Adviser's assessment of market
conditions. These debt securities and money market instruments include
shares of other mutual funds, commercial paper, certificates of
deposit, bankers' acceptances, U.S. Government securities, including
U.S. Treasury zero-coupon bonds, repurchase and reverse repurchase
agreements,\8\ and bonds that are BBB or higher.
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    \8\ The Fund may enter into repurchase agreements with financial
institutions, which may be deemed to be loans. The Fund follows
certain procedures designed to minimize the risks inherent in such
agreements. These procedures include effecting repurchase
transactions only with large, well-capitalized and well-established
financial institutions whose condition will be continually monitored
by the Sub-Adviser. The Fund may enter into reverse repurchase
agreements without limit as part of the Fund's investment strategy.
Reverse repurchase agreements involve sales by the Fund of portfolio
assets concurrently with an agreement by the Fund to repurchase the
same assets at a later date at a fixed price.
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    The Fund will seek to qualify for treatment as a Regulated
Investment Company under Subchapter M of the

Internal Revenue Code. The Fund may not (i) With respect to 75% of its
total assets, purchase securities of any issuer (except securities
issued or guaranteed by the U.S. Government, its agencies or
instrumentalities or shares of investment companies) if, as a result,
more than 5% of its total assets would be invested in the securities of
such issuer; or (ii) acquire more than 10% of the outstanding voting
securities of any one issuer. In addition, the Fund may not invest 25%
or more of its total assets in the securities of one or more issuers
conducting their principal business activities in the same industry or
group of industries (this limitation does not apply to investments in
securities issued or guaranteed by the U.S. Government, its agencies or
instrumentalities, or shares of investment companies). The Fund will
not invest 25% or more of its total assets in any investment company
that so concentrates.
    Pursuant to the terms of the Exemptive Order, the Fund will not
invest in options contracts, futures contracts or swap agreements. The
Fund's investments will be consistent with the Fund's investment
objective and will not be used to enhance leverage. The Fund will not
purchase illiquid securities. In addition, the Fund will not invest in
non-U.S.-registered equity securities, loan participation agreements,
and Rule 144A securities.
    Additional information regarding the Trust, Fund, Shares, Fund's
investment strategies, risks, creation and redemption procedures, fees,
portfolio holdings and disclosure policies, distributions and taxes,
availability of information, trading rules and halts, and surveillance
procedures, among other things, can be found in the Notice and the
Registration Statement, as applicable.\9\
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    \9\ See Notice and Registration Statement, supra notes 3 and 4,
respectively.
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III. Discussion and Commission's Findings

    The Commission has carefully reviewed the proposed rule change and
finds that it is consistent with the requirements of Section 6 of the
Act and the rules and regulations thereunder applicable to a national
securities exchange.\10\ In particular, the Commission finds that the
proposal is consistent with Section 6(b)(5) of the Act,\11\ which
requires, among other things, that the Exchange's rules be designed to
prevent fraudulent and manipulative acts and practices, to promote just
and equitable principles of trade, to foster cooperation and
coordination with persons engaged in 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 Commission notes that
the Shares must comply with the requirements of NYSE Arca Equities Rule
8.600 to be listed and traded on the Exchange.
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    \10\ In approving this proposed rule change, the Commission has
considered the proposed rule's impact on efficiency, competition,
and capital formation. See 15 U.S.C. 78c(f).
    \11\ 17 U.S.C. 78f(b)(5).
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    The Commission finds that the proposal to list and trade the Shares
on the Exchange is consistent with Section 11A(a)(1)(C)(iii) of the
Act,\12\ which sets forth Congress' finding that it is in the public
interest and appropriate for the protection of investors and the
maintenance of fair and orderly markets to assure the availability to
brokers, dealers, and investors of information with respect to
quotations for, and transactions in, securities. Quotation and last-
sale information for the Shares will be available via the Consolidated
Tape Association high-speed line. In addition, the Portfolio Indicative
Value, as defined in NYSE Arca Equities Rule 8.600(c)(3), will be
updated and disseminated by one or more major market data vendors at
least every 15 seconds during the Core Trading Session on the Exchange.
On each business day, before commencement of trading in Shares in the
Core Trading Session on the Exchange, the Fund will disclose on its Web
site the Disclosed Portfolio, as defined in NYSE Arca Equities Rule
8.600(c)(2), that will form the basis for the Fund's calculation of the
net asset value (``NAV'') at the end of the business day.\13\ The Fund
will calculate NAV once each business day as of the regularly scheduled
close of trading on the Exchange (normally 4 p.m. Eastern Time). In
addition, information regarding market price and trading volume of the
Shares is and will be continually available on a real-time basis
throughout the day on brokers' computer screens and other electronic
services, and the previous day's closing price and trading volume
information for the Shares will be published daily in the financial
section of newspapers. The intra-day, closing, and settlement prices of
the portfolio securities are also readily available from the national
securities exchanges trading such securities, automated quotation
systems, published or other public sources, or on-line information
services such as Bloomberg or Reuters. The Fund's website will also
include a form of the prospectus for the Fund, information relating to
NAV, and other quantitative and trading information.
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    \12\ 15 U.S.C. 78k-1(a)(1)(C)(iii).
    \13\ On a daily basis, the Adviser will disclose on the Fund's
Web site for each portfolio security or other financial instrument
of the Fund the following information: Ticker symbol (if
applicable), name of security or financial instrument, number of
shares or dollar value of financial instruments held in the
portfolio, and percentage weighting of the security or financial
instrument in the portfolio. The Web site information will be
publicly available at no charge.
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    The Commission further believes that the proposal to list and trade
the Shares is reasonably designed to promote fair disclosure of
information that may be necessary to price the Shares appropriately and
to prevent trading when a reasonable degree of transparency cannot be
assured. The Commission notes that the Exchange will obtain a
representation from the issuer of the Shares that the NAV per Share
will be calculated daily and that the NAV and the Disclosed Portfolio
will be made available to all market participants at the same time.\14\
In addition, the Exchange will halt trading in the Shares under the
specific circumstances set forth in NYSE Arca Equities Rule
8.600(d)(2)(D), and may halt trading in the Shares if trading is not
occurring in the securities and/or the financial instruments comprising
the Disclosed Portfolio of the Fund, or if other unusual conditions or
circumstances detrimental to the maintenance of a fair and orderly
market are present.\15\ The Exchange will consider the suspension of
trading in or removal from listing of the Shares if the Portfolio
Indicative Value is no longer calculated or available or the Disclosed
Portfolio is not made available to all market participants at the same
time.\16\ The Exchange represents that neither the Adviser nor the Sub-
Adviser is affiliated with a broker-dealer.\17\ The

Commission notes that the Reporting Authority that provides the
Disclosed Portfolio must implement and maintain, or be subject to,
procedures designed to prevent the use and dissemination of material
non-public information regarding the actual components of the
portfolio.\18\
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    \14\ See NYSE Arca Equities Rule 8.600(d)(1)(B).
    \15\ With respect to trading halts, the Exchange may consider
other relevant factors in exercising its discretion to halt or
suspend trading in the Shares of the Fund. Trading in Shares of the
Fund will be halted if the circuit breaker parameters in NYSE Arca
Equities Rule 7.12 have been reached. Trading also may be halted
because of market conditions or for reasons that, in the view of the
Exchange, make trading in the Shares inadvisable.
    \16\ See NYSE Arca Equities Rule 8.600(d)(2)(C)(ii).
    \17\ See supra note 5 and accompanying text. The Commission
notes that an investment adviser to an open-end fund is required to
be registered under the Investment Advisers Act of 1940 (``Advisers
Act''). As a result, the Adviser and Sub-Adviser and their related
personnel are subject to the provisions of Rule 204A-1 under the
Advisers Act relating to codes of ethics. This Rule requires
investment advisers to adopt a code of ethics that reflects the
fiduciary nature of the relationship to clients as well as
compliance with other applicable securities laws. Accordingly,
procedures designed to prevent the communication and misuse of non-
public information by an investment adviser must be consistent with
Rule 204A-1 under the Advisers Act. In addition, Rule 206(4)-7 under
the Advisers Act makes it unlawful for an investment adviser to
provide investment advice to clients unless such investment adviser
has (i) Adopted and implemented written policies and procedures
reasonably designed to prevent violation, by the investment adviser
and its supervised persons, of the Advisers Act and the Commission
rules adopted thereunder; (ii) implemented, at a minimum, an annual
review regarding the adequacy of the policies and procedures
established pursuant to subparagraph (i) Above and the effectiveness
of their implementation; and (iii) designated an individual (who is
a supervised person) responsible for administering the policies and
procedures adopted under subparagraph (i) above.
    \18\ See NYSE Arca Equities Rule 8.600(d)(2)(B)(ii).
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    The Exchange further represents that the Shares are deemed to be
equity securities, thus rendering trading in the Shares subject to the
Exchange's existing rules governing the trading of equity securities.
In support of this proposal, the Exchange has made representations,
including:
    (1) The Shares will conform to the initial and continued listing
criteria under NYSE Arca Equities Rule 8.600.
    (2) The Exchange has appropriate rules to facilitate transactions
in the Shares during all trading sessions.
    (3) The Exchange's surveillance procedures are adequate to properly
monitor Exchange trading of the Shares in all trading sessions and to
deter and detect violations of Exchange rules and applicable federal
securities laws.
    (4) Prior to the commencement of trading, the Exchange will inform
its Equity Trading Permit (``ETP'') Holders in an Information Bulletin
of the special characteristics and risks associated with trading the
Shares. Specifically, the Information Bulletin will discuss the
following: (a) The procedures for purchases and redemptions of Shares
in Creation Unit aggregations (and that Shares are not individually
redeemable); (b) NYSE Arca Equities Rule 9.2(a), which imposes a duty
of due diligence on its ETP Holders to learn the essential facts
relating to every customer prior to trading the Shares; (c) the risks
involved in trading the Shares during the Opening and Late Trading
Sessions when an updated Portfolio Indicative Value will not be
calculated or publicly disseminated; (d) how information regarding the
Portfolio Indicative Value is disseminated; (e) the requirement that
ETP Holders deliver a prospectus to investors purchasing newly issued
Shares prior to or concurrently with the confirmation of a transaction;
and (f) trading information.
    (5) For initial and/or continued listing, the Fund will be in
compliance with Rule 10A-3 under the Act,\19\ as provided by NYSE Arca
Equities Rule 5.3.
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    \19\ See 17 CFR 240.10A-3.
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    (6) The Fund will not invest in non-U.S. equity securities, loan
participation agreements, and Rule 144A securities. In addition,
pursuant to the terms of the Exemptive Order, the Fund will not invest
in options contracts, futures contracts, or swap agreements. The Fund's
investments will be consistent with the Fund's investment objective and
will not be used to enhance leverage. The Fund will not purchase
illiquid securities.
    (7) A minimum of 100,000 Shares of the Fund will be outstanding at
the commencement of trading on the Exchange.

This approval order is based on the Exchange's representations.

    For the foregoing reasons, the Commission finds that the proposed
rule change is consistent with Section 6(b)(5) of the Act \20\ and the
rules and regulations thereunder applicable to a national securities
exchange.
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    \20\ 15 U.S.C. 78f(b)(5).
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IV. Conclusion

    It Is Therefore Ordered, pursuant to Section 19(b)(2) of the
Act,\21\ that the proposed rule change (SR-NYSEArca-2011-51) be, and it
hereby is, approved.
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    \21\ 15 U.S.C. 78s(b)(2).
    \22\ 17 CFR 200.30-3(a)(12).

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

Elizabeth M. Murphy,
Secretary.
[FR Doc. 2011-26135 Filed 10-7-11; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 79, Number 177 (Friday, September 12, 2014)]
[Rules and Regulations]
[Pages 54617-54619]
[FR Doc No: 2014-21682]

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ENVIRONMENTAL PROTECTION AGENCY

40 CFR Part 52

[EPA-R02-OAR-2013-0527; FRL-9916-49-Region 2]

Approval and Promulgation of Implementation Plans; New York;
Infrastructure SIP for the 2010 Nitrogen Dioxide Primary Standards

AGENCY: Environmental Protection Agency (EPA).

ACTION: Final rule.

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SUMMARY: The Environmental Protection Agency (EPA) is approving certain
elements of New York's State Implementation Plan (SIP) revisions
submitted to demonstrate that the State meets the requirements of
section 110(a)(1) and (2) of the Clean Air Act (CAA) for the 2010
National Ambient Air Quality Standard (NAAQS) for nitrogen dioxide
(NO2). Section 110(a) of the CAA requires that each state
adopt and submit a SIP for the implementation, maintenance and
enforcement of each NAAQS promulgated by the EPA and is commonly
referred to as an infrastructure SIP.

DATES: This rule is effective on October 14, 2014.

ADDRESSES: EPA has established a docket for this action under Docket ID
No. EPA-R02-OAR-2013-0527. All documents in the docket are listed on
the www.regulations.gov Web site. Although listed in the index, some
information is not publicly available, e.g., CBI or other information
whose disclosure is restricted by statute. Certain other material, such
as copyrighted material, is not placed on the Internet and will be
publicly available only in hard copy form. Publicly available docket
materials are available either electronically through
www.regulations.gov or in hard copy at the Environmental Protection
Agency, Region 2 Office, Air Programs Branch, 290 Broadway, 25th Floor,
New York, New York 10007-1866. The Air Programs Branch dockets are
available from 8:30 a.m. to 4:30 p.m., Monday through Friday, excluding
legal holidays. The Air Programs Branch telephone number is 212-637-
4249.

FOR FURTHER INFORMATION CONTACT: Anthony (Ted) Gardella, Air Programs
Branch, Environmental Protection Agency, Region 2, 290 Broadway, 25th
Floor, New York, New York 10007-1866,<PHONE_NUMBER>, or by email at
<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. What is the background information and purpose of this action?

    Under CAA section 110(a)(1), states are required to submit plans
called state implementation plans (SIPs) that provide for the
implementation, maintenance and enforcement of each NAAQS and are
referred to as infrastructure SIPs. 42 U.S.C. 7410(a)(1). On February
9, 2010, EPA promulgated a new 1-hour primary NAAQS for NO2
(2010 NO2 NAAQS) while retaining the annual primary NAAQS
for NO2 (75 FR 6474). Under CAA section 110(a)(2), the 14
elements required to be addressed in infrastructure SIPs are as
follows: (1) Emission limits and other control measures; (2) ambient
air quality monitoring/data system; (3) program for enforcement of
control measures; (4) interstate transport; (5) adequate resources; (6)
stationary source monitoring system; (7) emergency power; (8) future
SIP revisions; (9) consultation with government officials; (10) public
notification; (11) prevention of significant deterioration (PSD) and
visibility protection; (12) air quality modeling/data; (13) permitting
fees; and (14) consultation/participation by affected local entities.
    EPA is acting on New York's SIP submittal dated May 8, 2013, as
supplemented on May 23, 2013, which addresses the section 110
infrastructure requirements for the 2010 NO2 NAAQS. Two
elements identified in section 110(a)(2) are not governed by the three
year submission deadline of section 110(a)(1) because SIPs
incorporating necessary local nonattainment area controls are not due
within three years after promulgation of a new or revised NAAQS, but
rather due at the time that the nonattainment area plan requirements
are due pursuant to CAA section 191. (See also CAA section 172 for
general nonattainment plan requirements). These requirements are: (1)
Submissions required by section 110(a)(2)(C) to the extent that
subsection refers to a permit program as required in part D Title I of
the CAA, and (2) submissions required by section 110(a)(2)(I) which
pertain to the nonattainment planning requirements of part D, Title I
of the CAA. As a result, this action does not address the nonattainment
area plan requirements related to section 110(a)(2)(C) or 110(a)(2)(I).

II. What comments did EPA receive in response to its proposal?

    EPA received one anonymous adverse comment on the May 2, 2014 (79
FR 25066) rulemaking proposing to approve New York's SIP submittal. EPA
has evaluated the comment as discussed below and has determined that
New York's SIP revision addressing the 2010 NO2 NAAQS is
consistent with the CAA and therefore EPA is approving New York's SIP
revision into the New York SIP. Following is the comment and EPA's
response.
    Comment: The commenter states that EPA cannot approve New York's
interstate transport provision addressed in its 2010 NO2
NAAQS infrastructure SIP revision because, according to the commenter,
the Supreme Court decision in EME Homer City v. EPA ``requires SIPs to
`contain adequate provisions prohibiting any source or emissions
activity within the State from emitting ANY pollutants in amounts which
will contribute to nonattainment in, or interfere with maintenance by,
any other State with respect to any other State with respect to ANY
[NAAQS].' (emphasis on `any').'' The commenter also quotes from EPA's
May 2, 2014 rulemaking which proposes to approve New York's 2010
NO2 infrastructure SIP revision and states that
NOX is a precursor for ozone and PM2.5 and that
NO2 is a component of NOX. The commenter states
that because of the aforementioned Supreme Court decision, EPA must
evaluate New York's 2010 NO2 infrastructure SIP revision
submission, as it relates to interstate transport, with respect to all
NAAQS and not just for the 2010 NO2 NAAQS.
    Response: This comment addresses the requirements of CAA section
110(a)(2)(D)(i)(I). This provision, often referred to as the good
neighbor provision, requires each State Implementation Plan to prohibit
``any source or other type of emissions activity within the State from
emitting any air pollutants in amounts which will . . . contribute
significantly to nonattainment in or interfere with maintenance by, any
other state with respect to any . . . primary or secondary [NAAQS].''
42 U.S.C. 7410(a)(2)(D)(i). The recent Supreme Court decision in
Environmental Protection Agency v. EME Homer City Generation, L.P., 134
S. Ct. 1584 (2014), addressed the requirements of this provision and
reversed the prior DC Circuit decision vacating EPA's Cross-State Air
Pollution Rule. The commenter quotes from the section of the Supreme
Court decision that

discusses the historical development (from 1963 onward) of EPA's
interstate transport policy (also referred to as the `Good Neighbor'
Provision). The quoted language essentially tracks the statutory text
of CAA Section 110(a)(2)(D)(i)(I), which describes specific elements
that must be included in State Implementation Plans to address
pollution that is transported across state lines. As the Supreme Court
decision in EME Homer City confirmed, pursuant to CAA section
110(a)(1), state plans to address these requirements must be submitted
to the Administrator within three years of the promulgation or revision
of a NAAQS. EME Homer City, 134 S. Ct. at 1600.
    EPA interprets the comment as stating that the 110(a)(2)(D)(i)(I)
provisions of New York's 2010 NO2 infrastructure SIP should
address, in addition to emissions that significantly contribute to
nonattainment or interfere with maintenance of the NO2
NAAQS, any emissions that significantly contribute to nonattainment or
interfere with maintenance of all other NAAQS, particularly the NAAQS
for ozone and PM2.5 since NO2 is a component of
NOX and NOX is a precursor for ozone and
PM2.5. EPA disagrees. Because it is the promulgation or
revision of a NAAQS that triggers the requirement to submit a SIP
addressing the requirements of 110(a)(2)(D)(i)(I), EPA interprets the
CAA as requiring each such SIP to address the 110(a)(2)(D)(i)(I)
requirements only with respect to the specific NAAQS at issue. In other
words, each 110(a)(2)(D)(i)(I) SIP submission need only address the
specific NAAQS which had been promulgated or revised by EPA thereby
triggering the SIP submission requirement. Because New York submitted
this SIP to address the applicable requirements of 110(a)(2) with
respect to the 2010 NO2 NAAQS, it need only demonstrate that
the SIP is adequate to prohibit emissions that significantly contribute
to nonattainment or interfere with maintenance of the 2010
NO2 NAAQS in other states. Any emissions that have such
impacts with respect to other NAAQS must be addressed as appropriate in
the 110(a)(2)(D)(i)(I) SIP submissions for those other NAAQS. In its
May 8, 2013 action, EPA proposed to conclude that New York's May 8,
2013 infrastructure SIP revision, as supplemented on May 23, 2013,
addressed all applicable CAA infrastructure SIP requirements, including
the requirements of 110(a)(2)(D)(i)(I), with respect to the
NO2 NAAQS. 79 FR 25066, 25071-25073. The commenter has
offered no data or evidence to suggest that the submission does not do
so.

III. What is the impact of the June 2014 Supreme Court Green House Gas
decision on New York's infrastructure SIP for the 2010 NO2
NAAQS?

    With respect to Elements C and J, EPA interprets the Clean Air Act
to require each state to make an infrastructure SIP submission for a
new or revised NAAQS that demonstrates that the air agency has a
complete PSD permitting program meeting the current requirements for
all regulated NSR pollutants. The requirements of Element D(i)(II) may
also be satisfied by demonstrating the air agency has a complete PSD
permitting program correctly addressing all regulated NSR pollutants.
New York has shown that it currently has a PSD program in place that
covers all regulated NSR pollutants, including greenhouse gases (GHGs).
    On June 23, 2014, the United States Supreme Court issued a decision
addressing the application of PSD permitting requirements to GHG
emissions. Utility Air Regulatory Group v. Environmental Protection
Agency, 134 S.Ct. 2427. The Supreme Court said that the EPA may not
treat GHGs as an air pollutant for purposes of determining whether a
source is a major source required to obtain a PSD permit. The Court
also said that the EPA could continue to require that PSD permits,
otherwise required based on emissions of pollutants other than GHGs,
contain limitations on GHG emissions based on the application of Best
Available Control Technology (BACT). In order to act consistently with
its understanding of the Court's decision pending further judicial
action to effectuate the decision, the EPA is not continuing to apply
EPA regulations that would require that SIPs include permitting
requirements that the Supreme Court found impermissible. Specifically,
EPA is not applying the requirement that a state's SIP-approved PSD
program require that sources obtain PSD permits when GHGs are the only
pollutant (i) that the source emits or has the potential to emit above
the major source thresholds, or (ii) for which there is a significant
emissions increase and a significant net emissions increase from a
modification (e.g. 40 CFR 51.166(b)(48)(v)). EPA anticipates a need to
revise federal PSD rules in light of the Supreme Court opinion. In
addition, EPA anticipates that many states will revise their existing
SIP-approved PSD programs in light of the Supreme Court's decision. The
timing and content of subsequent EPA actions with respect to the EPA
regulations and state PSD program approvals are expected to be informed
by additional legal process before the United States District Court for
the District of Columbia Circuit. At this juncture, EPA is not
expecting states to have revised their PSD programs for purposes of
infrastructure SIP submissions and is only evaluating such submissions
to assure that the state's program correctly addresses GHGs consistent
with the Supreme Court's decision.
    At present, EPA has determined the New York SIP is sufficient to
satisfy Elements C, D(i)(II), and J with respect to GHGs because the
PSD permitting program previously-approved by EPA into the SIP
continues to require that PSD permits (otherwise required based on
emissions of pollutants other than GHGs) contain limitations on GHG
emissions based on the application of BACT. Although the approved New
York PSD permitting program may currently contain provisions that are
no longer necessary in light of the Supreme Court decision, this does
not render the infrastructure SIP submission inadequate to satisfy
Elements C, D(i)(II), and J. The SIP contains the necessary PSD
requirements at this time, and the application of those requirements is
not impeded by the presence of other previously-approved provisions
regarding the permitting of sources of GHGs that EPA does not consider
necessary at this time in light of the Supreme Court decision.
Accordingly, the Supreme Court decision does not affect EPA's proposed
approval of New York's infrastructure SIP as to the requirements of
Elements C, D(i)(II), and J.

IV. What action is EPA taking?

    EPA is approving New York's submittal as fully meeting the
applicable infrastructure requirements for the 2010 primary
NO2 NAAQS for the following section 110(a)(2) elements: (A),
(B), (C), (D), (E), (F), (G), (H), (J), (K), (L), and (M).
    As stated above, this action does not address the nonattainment
area plan requirements related to sections 110(a)(2)(C) or
110(a)(2)(I). EPA will act on them when they become due and are
submitted.

V. Statutory and Executive Order Reviews

    Under the Clean Air Act, the Administrator is required to approve a
SIP submission that complies with the provisions of the Act and
applicable Federal regulations. 42 U.S.C. 7410(k); 40 CFR 52.02(a).
Thus, in reviewing SIP submissions, EPA's role is to approve state
choices, provided that they meet

the criteria of the Clean Air Act. Accordingly, this action merely
approves state law as meeting Federal requirements and does not impose
additional requirements beyond those imposed by state law. For that
reason, this action:
     Is not a ``significant regulatory action'' subject to
review by the Office of Management and Budget under Executive Order
12866 (58 FR 51735, October 4, 1993);
     does not impose an information collection burden under the
provisions of the Paperwork Reduction Act (44 U.S.C. 3501 et seq.);
     is certified as not having a significant economic impact
on a substantial number of small entities under the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.);
     does not contain any unfunded mandate or significantly or
uniquely affect small governments, as described in the Unfunded
Mandates Reform Act of 1995 (Pub. L. 104-4);
     does not have Federalism implications as specified in
Executive Order 13132 (64 FR 43255, August 10, 1999);
     is not an economically significant regulatory action based
on health or safety risks subject to Executive Order 13045 (62 FR
19885, April 23, 1997);
     is not a significant regulatory action subject to
Executive Order 13211 (66 FR 28355, May 22, 2001);
     is not subject to requirements of Section 12(d) of the
National Technology Transfer and Advancement Act of 1995 (15 U.S.C. 272
note) because application of those requirements would be inconsistent
with the Clean Air Act; and
     does not provide EPA with the discretionary authority to
address, as appropriate, disproportionate human health or environmental
effects, using practicable and legally permissible methods, under
Executive Order 12898 (59 FR 7629, February 16, 1994).

In addition, this rule does not have tribal implications as specified
by Executive Order 13175 (65 FR 67249, November 9, 2000), because the
SIP is not approved to apply in Indian country located in the state,
and EPA notes that it will not impose substantial direct costs on
tribal governments or preempt tribal law.
    The Congressional Review Act, 5 U.S.C. 801 et seq., as added by the
Small Business Regulatory Enforcement Fairness Act of 1996, generally
provides that before a rule may take effect, the agency promulgating
the rule must submit a rule report, which includes a copy of the rule,
to each House of the Congress and to the Comptroller General of the
United States. EPA will submit a report containing this action and
other required information to the U.S. Senate, the U.S. House of
Representatives, and the Comptroller General of the United States prior
to publication of the rule in the Federal Register. A major rule cannot
take effect until 60 days after it is published in the Federal
Register. This action is not a ``major rule'' as defined by 5 U.S.C.
804(2).
    Under section 307(b)(1) of the Clean Air Act, petitions for
judicial review of this action must be filed in the United States Court
of Appeals for the appropriate circuit by November 12, 2014. Filing a
petition for reconsideration by the Administrator of this final rule
does not affect the finality of this action for the purposes of
judicial review nor does it extend the time within which a petition for
judicial review may be filed, and shall not postpone the effectiveness
of such rule or action. This action may not be challenged later in
proceedings to enforce its requirements. (See section 307(b)(2).)

List of Subjects in 40 CFR Part 52

    Environmental protection, Air pollution control, Incorporation by
reference, Intergovernmental relations, Nitrogen dioxide, Ozone,
Particulate matter, Reporting and recordkeeping requirements, Volatile
organic compounds.

    Dated: September 2, 2014.
Judith A. Enck,
Regional Administrator, Region 2.

    Part 52, chapter I, title 40 of the Code of Federal Regulations is
amended as follows:

PART 52--APPROVAL AND PROMULGATION OF IMPLEMENTATION PLANS

0
1. The authority citation for part 52 continues to read as follows:

    Authority:  42 U.S.C. 7401 et seq.

Subpart HH--New York

0
2. Section 52.1670 is amended by adding a new entry to the end of the
table in paragraph (e) to read as follows:

Sec.  52.1670  Identification of plan.

* * * * *
    (e) * * *

                       Epa-Approved New York Nonregulatory and Quasi-Regulatory Provisions
----------------------------------------------------------------------------------------------------------------
                                     Applicable
                                   geographic or         New York
       Action/SIP element          nonattainment      submittal date   EPA approval date        Explanation
                                        area
----------------------------------------------------------------------------------------------------------------

                                                  * * * * * * *
Section 110(a)(2)                Statewide........  5/08/13, and       9/12/14 [Insert    This action addresses
 Infrastructure Requirements                         supplemented on    Federal Register   the following CAA
 for the 2010 Primary Nitrogen                       5/23/13.           citation].         elements:
 Dioxide NAAQS.                                                                            110(a)(2)(A), (B),
                                                                                (C), (D), (E), (F),
                                                                                (G), (H), (J), (K),
                                                                                (L), and (M).
----------------------------------------------------------------------------------------------------------------

[FR Doc. 2014-21682 Filed 9-11-14; 8:45 am]
BILLING CODE 6560-50-P


[Federal Register Volume 88, Number 95 (Wednesday, May 17, 2023)]
[Rules and Regulations]
[Pages 31475-31476]
[FR Doc No: 2023-10489]

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

DEPARTMENT OF HOMELAND SECURITY

Coast Guard

33 CFR Part 100

[Docket No. USCG-2023-0311]

Special Local Regulation; Marine Events Within the Eleventh Coast
Guard District--Great Western Tube Float

AGENCY: Coast Guard, DHS.

ACTION: Notification of enforcement of regulation.

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

SUMMARY: The Coast Guard will enforce the Great Western Tube Float
special local regulation on the waters of Parker, Arizona on June 10,
2023. This special local regulation is necessary to provide for the
safety of the participants, crew, sponsor vessels, and general users of
the waterway. During the enforcement period, persons and vessels are
prohibited from entering into, transiting through, or anchoring within
this regulated area unless authorized by the Captain of the Port, or
his designated representative.

DATES: The regulations in 33 CFR 100.1102 will be enforced from 8 a.m.
until 5 p.m., on June 10, 2023 for the location described in Item No. 9
in Table 1 to Sec.  100.1102.

FOR FURTHER INFORMATION CONTACT: If you have questions about this
notification of enforcement, call or email Lieutenant Junior Grade
Shera Kim, Waterways Management, U.S. Coast Guard Sector San Diego, CA;
telephone<PHONE_NUMBER>, email [email protected].

SUPPLEMENTARY INFORMATION: The Coast Guard will enforce the special
local regulations in 33 CFR 100.1102 for the

Great Western Tube Float in Parker, AZ for the location described in
Table No. 1 to Sec.  100.1102, Item No. 9 of that section, from 8 a.m.
to 5 p.m. on June 10, 2023. This action is being taken to provide for
the safety of life on the navigable waterway during the race. Our
regulation for recurring marine events on the Colorado River, between
Davis Dam (Bullhead City, Arizona) and Headgate Dam (Parker, Arizona),
Sec.  100.1102, Table 1 to Sec.  100.1102, Item No. 9, specifies the
location of the regulated area for the Great Western Tube Float, which
encompasses portions of the Colorado River. Under the provisions of
Sec.  100.1102, persons and vessels are prohibited from entering into,
transiting through, or anchoring within this regulated area unless
authorized by the Captain of the Port, or his designated
representative. The Coast Guard may be assisted by other Federal,
State, or local law enforcement agencies in enforcing this regulation.
    In addition to this document in the Federal Register, the Coast
Guard will provide the maritime community with advance notification of
this enforcement period via the Local Notice to Mariners and local
advertising by the event sponsor.
    If the Captain of the Port Sector San Diego or his designated
representative determines that the regulated area need not be enforced
for the full duration stated on this document, he or she may use a
Broadcast Notice to Mariners or other communications coordinated with
the event sponsor to grant general permission to enter the regulated
area.

    Dated: April 12, 2023.
J.W. Spitler,
Captain, U.S. Coast Guard, Captain of the Port San Diego.
[FR Doc. 2023-10489 Filed 5-16-23; 8:45 am]
BILLING CODE 9110-04-P


Section 605(b), the Commission preliminarily believes that proposed
Rule 13h-1 and Form 13H would not, if adopted, have a significant
economic impact on a substantial number of small entities.
---------------------------------------------------------------------------

    \205\ 17 CFR 240.0-10(a). Investment companies are small
entities when the investment company, together with other investment
companies in the same group of related investment companies, has net
assets of $50 million or less at the end of its most recent fiscal
year. 17 CFR 270.0-10(a).
---------------------------------------------------------------------------

    Proposed Rule 13h-1 and Form 13H would require self-identification
by large traders, which is a term that, as discussed below, would
implicate persons and entities with the resources and capital necessary
to transact securities in substantial volumes relative to overall
market volume in publicly traded securities. Specifically, the proposed
rule defines ``large trader'' as a person that effects transactions in
an ``identifying activity level'' of: (1) 2 million shares, or shares
with a fair market value of $20 million, effected during a calendar
day; or (2) 20 million shares, or shares with a fair market value of
$200 million, effected during a calendar month.
    The Commission anticipates that the types of entities that would
identify as large traders would include, for example, broker-dealers,
financial holding companies, investment advisers, and firms that trade
for their own account. The Commission does not believe that any small
entities would be engaged in the business of trading, over the course
of the applicable measuring period, in a volume that approaches the
threshold levels. Because the proposed rule focuses on parent companies
and is designed to identify the largest market participants by volume
or fair market value of trading, the Commission believes that a large
trader that trades in such substantial volumes would necessarily have
considerable assets (beyond the level of a small entity) to be able to
conduct such trading.
    In addition, proposed Rule 13h-1 would apply to registered broker-
dealers that serve large trader customers. The Commission believes
that, given the considerable volume in which a large trader as defined
in the proposed rule would effect transactions, particularly in the
case of high-frequency traders, registered broker-dealers servicing
large trader customers or broker-dealers that are large traders
themselves likely would be larger entities, with total capital greater
than $500,000, that have systems and capacities capable of handling the
trading associated with such accounts. Further, because the trading
capacities of large traders will typically necessitate the services of
sophisticated broker-dealers likely to be well capitalized entities or
affiliated with well capitalized entities, the Commission does not
believe that any broker-dealer that maintains large trader customers
would be ``not affiliated with any person that is not a small business
or small organization'' under Rule 0-10.
    The Commission solicits comment as to whether proposed Rule 13h-1
and Form 13H would have a significant economic impact on a substantial
number of small entities. The Commission requests that commenters
describe the nature of any impact on small entities and provide
empirical data to support the extent of such impact.

VIII. Consideration of Impact on the Economy

    For purposes of the Small Business Regulatory Enforcement Fairness
Act of 1996, or ``SBREFA,'' \206\ the Commission must advise the OMB as
to whether the proposed regulation constitutes a ``major'' rule. Under
SBREFA, a rule is considered ``major'' where, if adopted, it results or
is likely to result in: (1) An annual effect on the economy of $100
million or more (either in the form of an increase or a decrease); (2)
a major increase in costs or prices for consumers or individual
industries; or (3) significant adverse effect on competition,
investment or innovation. If a rule is ``major,'' its effectiveness
will generally be delayed for 60 days pending Congressional review.
---------------------------------------------------------------------------

    \206\ Public Law 104-121, Title II, 110 Stat. 857 (1996)
(codified in various sections of 5 U.S.C., 15 U.S.C. and as a note
to 5 U.S.C. 601).
---------------------------------------------------------------------------

    The Commission requests comment on the potential impact of the
proposed rule on the economy on an annual basis, on the costs or prices
for consumers or individual industries, and on competition, investment,
or innovation. Commenters are requested to provide empirical data and
other factual support for their views to the extent possible.

IX. Statutory Authority

    Pursuant to the Exchange Act and particularly, sections 13(h) and
23(a) thereof, 15 U.S.C. 78m and 78w, the Commission proposes new Rule
13h-1 under the Exchange Act that would implement a large trader
reporting system to provide the Commission with a mechanism to identify
large traders, and the affiliates, accounts, and transactions of large
traders.

List of Subjects in 17 CFR Parts 240 and 249

    Reporting and recordkeeping requirements; Securities.
    In accordance with the foregoing, Title 17, Chapter II of the Code
of Federal Regulations is proposed to be amended as follows:

PART 240--GENERAL RULES AND REGULATIONS, SECURITIES EXCHANGE ACT OF
1934

    1. The authority citation for Part 240 continues to read in part as
follows:

    Authority: 15 U.S.C. 77c, 77d, 77g, 77j, 77s, 77z-2, 77z-3,
77eee, 77ggg, 77nnn, 77sss, 77ttt, 78c, 78d, 78e, 78f, 78g, 78i,
78j, 78j-1, 78k, 78k-1, 78l, 78m, 78n, 78o, 78p, 78q, 78s, 78u-5,
78w, 78x, 78ll, 78mm, 80a-20, 80a-23, 80a-29, 80a-37, 80b-3, 80b-4
and 80b-ll, and 7201 et seq.; and 18 U.S.C. 1350, unless otherwise
noted.
* * * * *
    2. Add Sec.  240.13h-1 to read as follows:

Sec.  240.13h-l  Large trader reporting system.

    (a) Definitions.--For purposes of this section:
    (1) The term large trader means any person that directly or
indirectly, including through other persons controlled by such person,
exercises investment discretion over one or more accounts and effects
transactions for the purchase or sale of any NMS security for or on
behalf of such accounts, by or through one or more registered broker-
dealers, in an aggregate amount equal to or greater than the
identifying activity level.
    (2) The term person has the same meaning as in Section 13(h)(8)(E)
of the Securities Exchange Act of 1934.
    (3) The term control (including the terms controlling, controlled
by and under common control with) means the possession, direct or
indirect, of the power to direct or cause the direction of the
management and policies of a person, whether through the ownership of
securities, by contract, or otherwise. Any person that directly or
indirectly has the right to vote or direct the vote of 25% or more of a
class of voting securities of an entity or has the power to sell or
direct the sale of 25% or more of a class of voting securities of such
entity, or in the case of a partnership, has the right to receive, upon
dissolution, or has contributed, 25% or more of the capital, is
presumed to control that entity.
    (4) The term investment discretion has the same meaning as in
Section 3(a)(35) of the Securities Exchange Act of 1934. A person's
employees who exercise investment discretion within the scope of their
employment are deemed to do so on behalf of such person.

    (5) The term NMS security has the meaning provided for in Rule
600(b)(46) under the Securities Exchange Act of 1934.
    (6) The term transaction or transactions means all transactions in
NMS securities, including exercises or assignments of option contracts,
except for the following transactions:
    (i) Any journal or bookkeeping entry made to an account in order to
record or memorialize the receipt or delivery of funds or securities
pursuant to the settlement of a transaction;
    (ii) Any transaction that is part of an offering of securities by
or on behalf of an issuer, or by an underwriter on behalf of an issuer,
or an agent for an issuer, whether or not such offering is subject to
registration under the Securities Act of 1933, provided, however, that
this exemption shall not include an offering of securities effected
through the facilities of a national securities exchange;
    (iii) Any transaction that constitutes a gift;
    (iv) Any transaction effected by a court appointed executor,
administrator, or fiduciary pursuant to the distribution of a
decedent's estate;
    (v) Any transaction effected pursuant to a court order or judgment;
    (vi) Any transaction effected pursuant to a rollover of qualified
plan or trust assets subject to Section 402(a)(5) of the Internal
Revenue Code; or
    (vii) Any transaction between an employer and its employees
effected pursuant to the award, allocation, sale, grant or exercise of
a NMS security, option or other right to acquire securities at a pre-
established price pursuant to a plan which is primarily for the purpose
of an issuer benefit plan or compensatory arrangement.
    (7) The term identifying activity level means: aggregate
transactions in NMS securities that are equal to or greater than:
    (i) During a calendar day, either two million shares or shares with
a fair market value of $20 million; or
    (ii) During a calendar month, either twenty million shares or
shares with a fair market value of $200 million.
    (8) The term reporting activity level means:
    (i) Each transaction in NMS securities, effected in a single
account during a calendar day, that is equal to or greater than 100
shares;
    (ii) Any other transaction in NMS securities, effected in a single
account during a calendar day, that a registered broker-dealer may deem
appropriate; or
    (iii) Such other amount that may be established by order of the
Commission from time to time.
    (9) The term Unidentified Large Trader means each person who has
not complied with the identification requirements of paragraphs (b)(1)
and (b)(2) of this section that a registered broker-dealer knows or has
reason to know is a large trader. A registered broker-dealer has reason
to know whether a person is a large trader based on the transactions in
NMS securities effected by or through such broker-dealer.
    (b) Identification requirements for large traders.
    (1) Form 13H. Except as provided in paragraph (b)(3) of this
section, each large trader shall file electronically Form 13H (17 CFR
249.327) with the Commission, in accordance with the instructions
contained therein:
    (i) Promptly after first effecting aggregate transactions, or after
effecting aggregate transactions subsequent to becoming inactive
pursuant to paragraph (b)(3) of this rule, equal to or greater than the
identifying activity level;
    (ii) Within 45 days after the end of each full calendar year; and
    (iii) Promptly following the end of a calendar quarter in the event
that any of the information contained in a Form 13H filing becomes
inaccurate for any reason.
    (2) Disclosure of large trader status. Each large trader shall
disclose to the registered broker-dealers effecting transactions on its
behalf its large trader identification number and each account to which
it applies. Each large trader also shall disclose its large trader
identification number to all others with whom it collectively exercises
investment discretion.
    (3) Filing requirement.
    (i) Compliance by controlling person. A large trader shall not be
required to separately comply with the requirements of paragraph (b) of
this section if a person who controls the large trader complies with
all of the requirements under paragraphs (b)(1), (b)(2), and (b)(4) of
this section applicable to such large trader with respect to all of its
accounts.
    (ii) Compliance by controlled person. A large trader shall not be
required to separately comply with the requirements of paragraph (b) if
one or more persons controlled by such large trader collectively comply
with all of the requirements under paragraphs (b)(1), (b)(2), and
(b)(4) of this section applicable to such large trader with respect to
all of its accounts.
    (iii) Inactive status. A large trader that has not effected
aggregate transactions at any time during the previous full calendar
year in an amount equal to or greater than the identifying activity
level at any time during the year shall become inactive upon filing a
Form 13H and thereafter shall not be required to file Form 13H or
disclose its large trader status unless and until its transactions
again are equal to or greater than the identifying activity level. A
large trader that has ceased operations may elect to become inactive by
filing an amended Form 13H to indicate its terminated status.
    (4) Other information. Upon request, a large trader must promptly
provide additional descriptive or clarifying information that would
allow the Commission to further identify the large trader and all
accounts through which the large trader effects transactions.
    (c) Aggregation.
    (1) Transactions. For the purpose of determining whether a person
is a large trader, the following shall apply:
    (i) The volume or fair market value of transactions in equity
securities and the volume or fair market value of the equity securities
underlying transactions in options on equity securities, purchased and
sold only, shall be aggregated;
    (ii) The fair market value of transactions in options on a group or
index of equity securities (or based on the value thereof), purchased
and sold only, shall be aggregated; and
    (iii) Under no circumstances shall a person be permitted to
subtract, offset, or net purchase and sale transactions, in equity
securities or option contracts, and among or within accounts, when
aggregating the volume or fair market value of transactions effected
under this rule.
    (2) Accounts. Under no circumstances shall a person be permitted to
disaggregate accounts to avoid the identification requirements of this
rule.
    (d) Recordkeeping requirements for broker and dealers.
    (1) Generally. Every registered broker-dealer shall maintain
records of all information required under paragraphs (d)(2) and (d)(3)
of this section for all transactions effected directly or indirectly by
or through:
    (i) An account such broker-dealer carries for a large trader or an
Unidentified Large Trader,
    (ii) An account over which such broker-dealer exercises investment
discretion together with a large trader or an Unidentified Large
Trader, or (iii) if the broker-dealer is a large trader, any
proprietary or other account over which such broker-dealer exercises
investment discretion. Additionally, where a non-broker-dealer carries
an account for a large trader or an Unidentified Large Trader, the
broker-dealer effecting

transactions directly or indirectly for such large trader or
Unidentified Large Trader shall maintain records of all of the
information required under paragraphs (d)(2) and (d)(3) of this section
for those transactions.
    (2) Information. The information required to be maintained for all
transactions shall include:
    (i) The clearing house number of the entity maintaining the
information and the clearing house numbers of the entities on the
opposite side of the transaction;
    (ii) Identifying symbol assigned to the security;
    (iii) Date transaction was executed;
    (iv) The number of shares or option contracts traded in each
specific transaction; whether each transaction was a purchase, sale, or
short sale; and, if an option contract, whether the transaction was a
call or put option, an opening purchase or sale, a closing purchase or
sale, or an exercise or assignment;
    (v) Transaction price;
    (vi) Account number;
    (vii) Identity of the exchange or other market center where the
transaction was executed.
    (viii) A designation of whether the transaction was effected or
caused to be effected for the account of a customer of such registered
broker-dealer, or was a proprietary transaction effected or caused to
be effected for the account of such broker-dealer;
    (ix) If part or all of an account's transactions at the registered
broker-dealer have been transferred or otherwise forwarded to one or
more accounts at another registered broker-dealer, an identifier for
this type of transaction; and if part or all of an account's
transactions at the reporting broker-dealer have been transferred or
otherwise received from one or more other registered broker-dealers, an
identifier for this type of transaction;
    (x) If part or all of an account's transactions at the reporting
broker-dealer have been transferred or otherwise received from another
account at the reporting broker-dealer, an identifier for this type of
transaction; and if part or all of an account's transactions at the
reporting broker-dealer have been transferred or otherwise forwarded to
one or more other accounts at the reporting broker-dealer, an
identifier for this type of transaction;
    (xi) If a transaction was processed by a depository institution,
the identifier assigned to the account by the depository institution;
    (xii) The time that the transaction was executed; and
    (xiii) The large trader identification number(s) associated with
the account, unless the account is for an Unidentified Large Trader.
    (3) Information relating to Unidentified Large Traders. With
respect to transactions effected directly or indirectly by or through
the account of an Unidentified Large Trader, the information required
to be maintained for all transactions also shall include: such
Unidentified Large Trader's name, address, date the account was opened,
and tax identification number(s).
    (4) Retention. The records and information required to be made and
kept pursuant to the provisions of this rule shall be kept for such
periods of time as provided in Sec.  240.17a-4(b).
    (5) Availability of information. The records and information
required to be made and kept pursuant to the provisions of this rule
shall be available on the morning after the day the transactions were
effected (including Saturdays and holidays).
    (e) Reporting requirements for brokers and dealers. Upon the
request of the Commission, every registered broker-dealer who is itself
a large trader, exercises investment discretion over an account
together with a large trader or an Unidentified Large Trader, or
carries an account for a large trader or an Unidentified Large Trader
shall electronically report to the Commission, using the infrastructure
supporting 17 CFR 240.17a-25, in machine-readable form and in
accordance with instructions issued by the Commission, all information
required under paragraphs (d)(2) and (d)(3) of this section for all
transactions effected directly or indirectly by or through accounts
carried by such broker-dealer for large traders and Unidentified Large
Traders, equal to or greater than the reporting activity level.
Additionally, where a non-broker-dealer carries an account for a large
trader or an Unidentified Large Trader, the broker-dealer effecting
such transactions directly or indirectly for a large trader shall
electronically report using the infrastructure supporting 17 CFR
240.17a-25, in machine-readable form and in accordance with
instructions issued by the Commission, all information required under
paragraphs (d)(2) and (d)(3) of this section for such transactions
equal to or greater than the reporting activity level. Such reports
shall be submitted to the Commission before the close of business on
the day specified in the request for such transaction information.
    (f) Monitoring safe harbor. For the purposes of this rule, a
registered broker-dealer who either is a large trader, exercises
investment discretion over an account together with a large trader or
an Unidentified Large Trader, carries an account for a large trader or
an Unidentified Large Trader, or effects transactions directly or
indirectly for a large trader where a non-broker-dealer carries the
account shall not be deemed to know or have reason to know that a
person is a large trader if it establishes policies and procedures
reasonably designed to assure compliance with the identification
requirements of this rule and does not have actual knowledge that a
person is a large trader. Policies and procedures shall be deemed to
satisfy this requirement if they include:
    (1) Systems reasonably designed to detect and identify Unidentified
Large Traders based upon transactions effected through an account or a
group of accounts considering account name, tax identification number,
or other information readily available to such broker-dealer; and
    (2) Systems reasonably designed to inform Unidentified Large
Traders of their obligations to file Form 13H and disclose large trader
status under this rule.
    (g) Exemptions. Upon written application or upon its own motion,
the Commission may by order exempt, upon specified terms and conditions
or for stated periods, any person or class of persons or any
transaction or class of transactions from the provisions of this rule
to the extent that such exemption is consistent with the purposes of
the Securities Exchange Act.

PART 249--FORMS, SECURITIES EXCHANGE ACT OF 1934

    3. The authority citation for Part 249 continues to read in part as
follows:

    Authority: 15 U.S.C. 78a, et seq. and 7201 et seq.; and 18
U.S.C. 1350, unless otherwise noted.
* * * * *
    4. Add Sec.  249.327 to read as follows:

Sec.  249.327  Form 13H Information required on large traders pursuant
to Section 13(h) of the Securities Exchange Act of 1934 and rules
thereunder.

    This form shall be used by persons that are large traders required
to furnish identifying information to the Commission pursuant to
section 13(h)(1) of the Securities Exchange Act of 1934 [15 U.S.C.
78m(h)(1)] and Rule 13h-1(b) thereunder [Sec.  240.13h-1(b) of this
chapter].

    Note:  The text of Form 13H does not, and this amendment will
not, appear in the Code of Federal Regulations.

BILLING CODE 8011-01-P

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* * * * *

    By the Commission.

    Dated: April 14, 2010.
Elizabeth M. Murphy,
Secretary.
[FR Doc. 2010-9025 Filed 4-22-10; 8:45 am]
BILLING CODE 8011-01-C


[Federal Register Volume 86, Number 85 (Wednesday, May 5, 2021)]
[Notices]
[Pages 23962-23963]
[FR Doc No: 2021-09485]

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

ENVIRONMENTAL PROTECTION AGENCY

[EPA-HQ-OPP-2016-0141; FRL-10023-39]

Notice of Requests to Voluntarily Cancel Uses for Dicloran (DCNA)

AGENCY: Environmental Protection Agency (EPA).

ACTION: Notice.

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

SUMMARY: In accordance with the Federal Insecticide, Fungicide, and
Rodenticide Act (FIFRA), EPA is issuing a notice of receipt of requests
by registrants to voluntarily cancel certain dicloran (DCNA)
registrations. EPA intends to grant these requests at the close of the
comment period for this announcement unless the Agency receives
substantive comments within the comment period that would merit its
further review of the requests, or unless the registrants withdraw its
requests. If these requests are granted, any sale, distribution, or use
of products listed in this notice will be permitted after the
registrations have been cancelled only if such sale, distribution, or
use is consistent with the terms as described in the final order.

DATES: Comments must be received on or before June 4, 2021.
    Users of these products who desire continued use on crops or sites
being deleted should contact the applicable registrant on or before
June 4, 2021.

ADDRESSES: Submit your withdrawal request, identified by docket
identification (ID) number EPA-HQ-OPP-2016-0141, by one of the
following methods:
    Federal eRulemaking Portal: http://www.regulations.gov. Follow the
online instructions for submitting comments. Do not submit
electronically any information you consider to be Confidential Business
Information (CBI) or other information whose disclosure is restricted
by statute.
    Mail: OPP Docket, Environmental Protection Agency Docket Center
(EPA/DC), (28221T), 1200 Pennsylvania Ave. NW, Washington, DC 20460-
0001.
    Hand Delivery: To make special arrangements for hand delivery or
delivery of boxed information, please follow the instructions at http://www.epa.gov/dockets/contacts.html.
    Due to the public health concerns related to COVID-19, the EPA
Docket Center (EPA/DC) and Reading Room is closed to visitors with
limited exceptions. The staff continues to provide remote customer
service via email, phone, and webform. For the latest status
information on EPA/DC services and docket access, visit https://www.epa.gov/dockets.

FOR FURTHER INFORMATION CONTACT: Kent Fothergill, Pesticide Re-
Evaluation Division (7508P), Office of Pesticide Programs,
Environmental Protection Agency, 1200 Pennsylvania Ave. NW, Washington,
DC 20460-0001; telephone number:<PHONE_NUMBER>; email address:
<EMAIL_ADDRESS>
SUPPLEMENTARY INFORMATION:

I. General Information

A. Does this action apply to me?

    This action is directed to the public in general, and may be of
interest to a wide range of stakeholders including environmental, human
health, and agricultural advocates; the chemical industry; pesticide
users; and members of the public interested in the sale, distribution,
or use of pesticides.

B. How can I get copies of this document and other related information?

    The docket for this action, identified by docket ID number EPA-HQ-
OPP-2016-0141, is available either electronically through http://www.regulations.gov or in hard copy at the OPP Docket in the
Environmental Protection Agency Docket Center (EPA/DC), West William
Jefferson Clinton Bldg., Rm. 3334, 1301 Constitution Ave. NW,
Washington, DC 20460-0001. Due to the public health concerns related to
COVID-19, the EPA Docket Center (EPA/DC) and Reading Room is closed to
visitors with limited exceptions. The staff continues to provide remote

customer service via email, phone, and webform. For the latest status
information on EPA/DC services and docket access, visit https://www.epa.gov/dockets.

II. What action is the Agency taking?

    This notice announces receipt by the Agency of applications from
registrants to delete uses in certain pesticide registrations. These
registrations are listed in Table 1 of this unit by registration
number, product name, active ingredient, and specific uses deleted.
    Unless a request is withdrawn by the registrant or if the Agency
determines that there are substantive comments that warrant further
review of this request, EPA intends to issue an order in the Federal
Register canceling the affected registrations.

                      Table 1--Product Registrations With Pending Requests for Cancellation
----------------------------------------------------------------------------------------------------------------
         EPA registration No.               Product name            Active ingredient        Delete from label
----------------------------------------------------------------------------------------------------------------
10163-189............................  Botran 75-W Fungicide.  Dicloran..................  Geraniums and
                                                                                hydrangeas.
10163-195............................  Botran Technical......  Dicloran..................  Geraniums and
                                                                                hydrangeas.
10163-226............................  Botran 5F Fungicide...  Dicloran..................  Geraniums and
                                                                                hydrangeas.
10163-329............................  Botran P 5F Fungicide.  Dicloran..................  Geraniums and
                                                                                hydrangeas.
----------------------------------------------------------------------------------------------------------------

    Table 2 of this unit includes the names and addresses of record for
all registrants of the products listed in Table 1 of this unit, in
sequence by EPA company number.

         Table 2--Registrants Requesting Voluntary Cancellation
------------------------------------------------------------------------
          EPA company No.                  Company name and address
------------------------------------------------------------------------
10163..............................  Gowan Company, P.O. Box 5569, Yuma,
                                      AZ 85366-5569.
------------------------------------------------------------------------

III. What is the Agency's authority for taking this action?

    Section 6(f)(1) of FIFRA (7 U.S.C. 136d(f)(1)) provides that a
registrant of a pesticide product may at any time request that any of
its pesticide registrations be amended to delete one or more uses.
FIFRA further provides that, before acting on the request, EPA must
publish a notice of receipt of any such request in the Federal
Register.
    Section 6(f)(1)(B) of FIFRA (7 U.S.C. 136d(f)(1)(B)) requires that
before acting on a request for voluntary cancellation, EPA must provide
a 30-day public comment period on the request for voluntary
cancellation or use termination. In addition, FIFRA section 6(f)(1)(C)
(7 U.S.C. 136d(f)(1)(C)) requires that EPA provide a 180-day comment
period on a request for voluntary cancellation or termination of any
minor agricultural use before granting the request, unless:
    1. The registrants request a waiver of the comment period, or
    2. The EPA Administrator determines that continued use of the
pesticide would pose an unreasonable adverse effect on the environment.
    The registrants listed in Table 2 of Unit II have requested that
EPA waive the 180-day comment period. Accordingly, EPA will provide a
30-day comment period on the proposed requests.

IV. Procedures for Withdrawal of Request

    Registrants who choose to withdraw a request for use deletion must
submit the withdrawal in writing to the person listed under FOR FURTHER
INFORMATION CONTACT using the methods in ADDRESSES. If the products
have been subject to a previous cancellation action, the effective date
of cancellation and all other provisions of any earlier cancellation
action are controlling.

V. Provisions for Disposition of Existing Stocks

    Existing stocks are those stocks of registered pesticide products
that are currently in the United States and that were packaged,
labeled, and released for shipment prior to the effective date of the
cancellation action.
    In any order issued in response to these requests for cancellation
of product registrations EPA proposes to include the following
provisions for the treatment of any existing stocks of the products
listed in Table 1 of Unit II.
    For all voluntary product cancellations, listed in Table 1 of Unit
II, the registrants will be permitted to sell and distribute existing
stocks of voluntarily canceled products for 1 year after the effective
date of the cancellation, which will be the date of publication of the
cancellation order in the Federal Register. Thereafter, registrants
will be prohibited from selling or distributing the products identified
in Table 1 of Unit II, except for export consistent with FIFRA section
17 (7 U.S.C. 136o) or for proper disposal.
    Persons other than the registrant may sell, distribute, or use
existing stocks of the canceled products until supplies are exhausted,
provided that such sale, distribution, or use is consistent with the
terms of the previously approved labeling on, or that accompanied, the
canceled products.

    Authority: 7 U.S.C. 136 et seq.

    Dated: April 28, 2021.
Mary Reaves,
Director, Pesticide Re-Evaluation Division, Office of Pesticide
Programs.
[FR Doc. 2021-09485 Filed 5-4-21; 8:45 am]
BILLING CODE 6560-50-P