[Federal Register Volume 77, Number 100 (Wednesday, May 23, 2012)]
[Notices]
[Pages 30566-30570]
[FR Doc No: 2012-12441]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-67009; File No. SR-BX-2012-036]

Self-Regulatory Organizations; NASDAQ OMX BX, Inc.; Notice of
Filing and Immediate Effectiveness of a Proposed Rule Change To Amend
the Grandfathered Rules, BOX Trading Rules, BX By-Laws, BX Rules and
Remove the BOXR Operating Agreement and By-Laws

May 17, 2012.
    Pursuant to Section 19(b)(1) under the Securities Exchange Act of
1934 (the ``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice is hereby
given that on May 14, 2012, NASDAQ OMX BX (``BX'' or the ``Exchange'')
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 the Exchange. The Exchange has designated
the proposed rule change as constituting a non-controversial rule
change under Rule 19b-4(f)(6) under the Act,\3\ which renders the
proposal effective upon filing with the Commission. The Commission is
publishing this notice to solicit comments on the proposed rule change
from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
    \3\ 17 CFR 240.19b-4(f)(6).
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I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change

    The Exchange proposes to amend proposal [sic] to amend the
Grandfathered Rules, the Boston Options Exchange Group LLC (``BOX'')
Trading Rules, remove the Boston Options Exchange Regulation LLC
(``BOXR'') By-Laws and the Amended and Restated Limited Liability
Company Agreement (``BOXR Operating Agreement''), and amend the BX By-
Laws and the BX Rules. The text of the proposed rule change is
available from the principal office of the Exchange, at the
Commission's Public Reference Room and also on the Exchange's Internet
Web site at http://nasdaqomxbx.cchwallstreet.com/NASDAQOMXBX/Filings/.

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 aspects of such statements.

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

1. Purpose
    Boston Options Exchange LLC (``BOX'') is ceasing to operate as an
options trading facility of the Exchange.\4\ BX and BOX have entered
into a Regulatory Services Agreement which specifies, among other
matters, that BX will terminate its responsibility for fulfilling
certain obligations and cease performing certain regulatory functions
as of the effective date of June 1, 2012, or sooner if BOX satisfies
all of the conditions required for BOX to operate as a national
securities exchange (``the facility termination effective date'').\5\
As proposed, the BOX Trading Rules will no longer be operative to
permit options trading on BX as of the facility termination effective
date. If BOX meets the requirements and operates as an exchange, it
will be a self-regulatory organization responsible for the activities
occurring on BOX after the facility termination effective date. BX is
not the Designated Options Examining Authority (``DOEA'') for any BOX
Options Participant.
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    \4\ Currently, BOX is a facility of the Exchange under Section
3(a)(2) of the Act. See Securities Exchange Act Release Nos. 49066
(January 13, 2004), 69 FR 2773 (January 20, 2004) (SR-BSE-2003-17);
49065 (January 13, 2004), 69 FR 2768 (January 20, 2004) (SR-BSE-
2003-04) (``BOXR Order''); and 49068 (January 13, 2004), 69 FR 2775
(January 20, 2004) (SR-BSE-2002-15). See also Release No. 34-58324;
73 FR 46936 (August 7, 2008) (File Nos. SR-BSE-2008-02; SR-BSE-2008-
23; SR-BSE-2008-25; SR-BSECC-2008-01) (``Order approving the
Acquisition of the Boston Stock Exchange, Incorporated by The NASDAQ
OMX Group, Inc.'').
    \5\ BOX has filed an application with the Commission for
registration as a national securities exchange under Section 6 of
Act. See Securities Exchange Act Release No. 66242 (January 26,
2012), 77 FR 4841 (January 31, 2012). The application has been
granted and is conditioned on the satisfaction of certain
requirements. See Securities Exchange Act Release No. 66871 (April
27, 2012), 77 FR 86 (May 3, 2012).
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    BX will continue to have certain responsibility for the trading
activities and the actions of the BOX Options Participants for the time
period during which BOX was operating as a facility of the Exchange
(``BOX legacy matters'').\6\ BX has always retained the ultimate
authority and responsibility for the rules and regulations and the
activities of the BOX facility. However, BX had delegated to BOXR the
authority to act on behalf of the Exchange regarding regulatory matters
relating to the BOX facility. The sole purpose of BOXR has been to
regulate the BOX facility. As such, after BOX ceases to be a facility
of the Exchange, the delegation of regulatory authority to BOXR will be
terminated and BX will retain all such responsibilities for BOX legacy
matters. Currently, for matters pertaining to BOX Options Participants,
BOXR utilizes procedural rules regarding discipline and arbitration
found in the ``Grandfathered Rules,'' which will be defined below. As
proposed, rather than have two sets of procedural rules for discipline
and arbitration, BX will utilize the procedural rules governing
disciplinary matters and arbitrations which currently exist in the BX
Rules \7\ and are used for the Equity market. Currently, there are no
formal disciplinary proceedings or arbitrations pending against BOX
Options Participants.\8\ As such, there is no need for temporary rules
to be implemented.\9\ All formal proceedings, if any are commenced,
will utilize the new procedural rules.
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    \6\ For example, potential BOX legacy matters may include
disciplinary matters and arbitrations.
    \7\ These Rules are also known as the Equity Rules. The
definition of Equity Rules is found at BX Rule 0120(p).
    \8\ Currently, formal proceedings are commenced by a notice of
specific charges set forth in a charge memorandum. See current
Grandfathered Rules, Chapter XXX, Section 2(a). See also BX Rule
9211. A disciplinary proceeding shall begin when the complaint is
served and filed. Although there are currently no formal proceedings
that have been commenced, there is one Options Participant reviewing
a Letter of Acceptance, Waiver and Consent. See Chapter XXX, Section
10 and Chapter XXXIV.
    \9\ Compare to American Stock Exchange (``AMEX''), which
implemented temporary rules to avoid potential confusion to
respondents where formal proceedings had commenced by AMEX and were
still pending at the Transaction date, on which date new procedural
disciplinary rules were to be effective. See Securities Exchange Act
Release Nos. 58286 (August 1, 2008), 73 FR 46097 (August 7, 2008);
and 35678 (September 29, 2008), 73 FR 57705 (October 3, 2008) (SR-
Amex-2008-64) (``Amex Proposal'').
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    These proposed changes are not intended to change any underlying
rules, rather these proposed changes and the reliance on existing BX
Rules are intended to permit the use of BX's current discipline and
arbitration procedures for BOX legacy matters. These procedures are
substantially similar to those in the Grandfathered Rules. These BX
disciplinary procedures provide fair procedures for the discipline of
the former BOX Options Participants and persons who were associated
persons of former BOX Options Participants and for arbitration
proceedings stemming from activities which occurred while BOX was a
facility of the Exchange.
    There are also some amendments updating outdated references.
Finally, references to BOX and BOX related matters (i.e. BOX, BOXR)
which are no longer needed in the BX By-Laws and Rules, once BOX is no
longer a facility of the Exchange, are being removed. For these
reasons, as will be explained more fully below, BX proposes to amend
the Grandfathered Rules and the BOX Trading Rules, and to remove the
BOXR By-Laws and BOXR Operating Agreement, in their entirety, and the
BX By-Laws, the BX Rules, with an effective date of the facility
termination effective date.
Grandfathered Rules
    First, BX is proposing to amend the ``Grandfathered Rules.'' The
Grandfathered Rules are the Rules of Board of Governors of the Boston
Stock Exchange as in effect on the date of the closing of the
acquisition of the Exchange by The NASDAQ OMX Group, Inc. Currently, as
set forth in BX Rules 0210(r), the Grandfathered Rules are operative to
the extent that such rules are applicable to BOX and to Options
Participants and to activities of members, members organizations,
persons associated with members, and other persons subject to the
jurisdiction of the Exchange that occurred prior to the adoption of the
Equity Rules. As proposed, the Grandfathered Rules will be amended, as
explained below, to apply to the activities of BOX and the BOX Options
Participants and associated persons subject to the jurisdiction of the
Exchange. These rules, however, will not be operative to permit
trading.
    The Grandfathered Rules currently consist of two sections: The
Provisions of the Former Constitution of the Boston Stock Exchange,
Inc. That Have Been Incorporated Into the Grandfathered Rules; and the
Rules of the Board of Governors. A heading will be added to refer to
these as the Grandfathered BSE Rules. As will be described more fully
below, BX also proposes to incorporate the BOX Trading Rules, as
amended in the manner described below, (``The Grandfathered BOX
Rules'') into the Grandfathered Rules. For this new third section, a
heading will be added to refer to these as the Grandfathered Trading
Rules of the Boston Options Exchange Group, LLC. The Grandfathered
Rules will remain posted on the BX Web site.

    The opening explanatory paragraph to the Grandfathered Rules is
being amended to reflect that the rules apply to activities of former
BOX Options Participants and associated persons subject to the
jurisdiction of the Exchange; in addition, the rules continue to apply
to activities of members, members organizations, persons associated
with members, and other persons subject to the jurisdiction of the
Exchange that occurred prior to the adoption of the post-acquisition
Equity Rules. In Chapter I, Section I, BX is also clarifying that
references to the Board of Governors, where appropriate for the
affected rules, mean the Board of Directors of the Exchange and that
references to the Constitution shall mean the BX By-Laws where
applicable. There are also references to the Constitution that will be
renamed as ``Incorporated Constitution Provision'' to refer to the
provisions of the Former Constitution which were incorporated into the
Grandfathered Rules.\10\ As proposed, in other sections where there is
an applicable rule with a reference to a specific provision of the
former Constitution, sections will be amended to replace the term
Constitution with the term BX By-Laws. For example, Chapter II,
Sections 14 and 25 have references to penalties provided for in Article
XIV, Section 4 of the Constitution. Article XIV, Section 4 was not
incorporated into the rules, as the By-Laws replaced this section of
the former Constitution; this section will now reflect that penalties
are provided for in the BX By-Laws. These amendments do not
substantially alter the rules in their current format, but rather
provide the correct reference.
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    \10\ See e.g., Chapter XXXIII, Section 7 regarding BEACON
Liability.
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    Chapter IA is being removed, because, as noted above and discussed
in more detail in the paragraph below, the procedural rules for
disciplinary proceedings will be the current BX Rule 9000 Series.
Similarly, Section 4 (Imposition of Fines for Minor Violation(s) of
Rule and Floor Decorum Policies) of Chapter XVIII (Conduct) is being
amended to reflect that Chapter XXX is being removed, as described
below, as proceedings involving discipline will be governed by the BX
Rule 9000 Series. In particular, in subsection (a), it will be
referenced that BX Rule 9216 governs when BX imposes a fine for a minor
rule violation. Sections 4(b) through (d) and 4(f) are being removed as
they relate to disciplinary proceedings, which, as proposed, will be
governed by the BX Rule 9000 Series. In addition, a cross reference to
the Grandfathered BOX Rules Chapter X, Section 2 is being added to note
that it will provide for rule violations that may be considered minor
in nature. Section 4(e) is being removed as unnecessary, because it is
almost identical to Chapter X, Section 2(e) of the current BOX Trading
Rules and proposed Grandfathered BOX Rules. Grandfathered Chapter
XVIII, Section 6 is being removed as is it no longer applicable.
    BX is proposing to remove Chapter XXX, Disciplining Members, Denial
of Membership. The Principal Considerations in Determining Sanctions
found in Chapter XXX have been incorporated in the BOXR Sanctioning
Guidelines.\11\ BX will continue to follow the Guidelines. The
remainder of Chapter XXX sets forth the procedural rules to be followed
for disciplining members. As proposed, in its place, BX will utilize
the 9000 Series of the BX Rules,\12\ which is the Code of Procedure
that sets forth the rules regarding disciplining a member or person
associated with a member and will now govern the disciplinary process
for any legacy disciplinary matter. Under Chapter XXX, an explanatory
sentence is being added stating the 9000 Series of BX Rules will now
govern the disciplinary process. BX is removing Chapter XXXII regarding
Arbitration Rules from the Grandfathered Rules because it has proposed
utilizing the BX 10000 Series, which is the Code of Arbitration
Procedure. As proposed, in its place will be a sentence that reflects
that arbitrations will be governed by the BX 10000 Series.
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    \11\ The BOXR Sanctioning Guidelines are not set forth in the
rules, but are part of the policies and procedures that are followed
once a determination has been made that sanctions are to be imposed.
    \12\ Not every section of these procedures may apply to former
BOX Participants. For example, because there will be no on-going
activities, there may be no reason for a former BOX Participant to
avail itself of the 9600 Series regarding exemptions.
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    Chapter XXXIV (Minor Rule Violations) is being amended to add a
reference to Chapter X of the proposed, Grandfathered BOX Trading
Rules. This section provides for rule violations deemed minor in
nature. In addition, for the reasons noted above, references to the
9000 Series governing discipline and BX Rule 9216 regarding Acceptance,
Waiver and Consent are being amended, as appropriate.
    BX is terminating its delegation of authority to BOXR, and as such
is proposing to remove the Delegation of Authority language from the
Grandfathered Rules. Chapter XXXVI of the Grandfathered Rules sets
forth the Rules under which BX has granted BOXR authority to carry out
certain regulatory responsibilities over the BOX facility. BX has
always retained the ultimate regulatory responsibility for the
oversight of the BOX facility with oversight conducted by BX's
Regulatory Oversight Committee. For any BOX legacy matter, all
regulatory responsibilities will be carried out in the manner set forth
in the BX By-Laws and the BX Rules, and with continued oversight by the
BX Regulatory Oversight Committee. Finally, Chapter XXXIX, Affiliation
with NASDAQ OMX Group, Inc., Section 2(c) is being removed, as BOX will
no longer be a facility of the Exchange.
BOX Trading Rules
    BX also proposes to incorporate the Trading Rules of the Boston
Options Exchange Group LLC, with the amendments described below, (``BOX
Trading Rules'') into the Grandfathered Rules and locate them at end of
current Grandfathered Rules by creating a new section of the
Grandfathered Rules called Grandfathered BOX Trading Rules. As stated
above, these rules apply to activities of the BOX Options Participants
and associated persons subject to the jurisdiction of the Exchange,
during the time period that BOX was a facility of the Exchange. As
proposed, a new paragraph will be added to the Grandfathered BOX
Trading Rules section, before the General Provisions, to set forth that
BOX is no longer a facility of the Exchange. These Grandfathered BOX
Trading Rules and the applicable Grandfathered BSE Rules continue to
apply to the activities of BOX and Options Participants and associated
persons subject to the jurisdiction of the Exchange that occurred
during the time that BOX was a facility of the Exchange. Terms below
must be read in context regarding activities which occurred when BOX
was a facility of the Exchange and also regarding activities relating
to continued Exchange jurisdiction, such as disciplinary matters.
    As proposed, certain definitions found in Section 1 of the
Grandfathered BOX Trading Rules will be amended to reflect that BOX is
no longer a facility of the Exchange: (6) The term ``BOX'' will mean
the Boston Options Exchange or Boston Stock Exchange Options Exchange,
formerly an options trading facility of the Exchange under Section
3(a)(2) of the Act; (7) the term ``BOX Rules'' or ``Rules of BOX'' will
mean the Rules of the former Boston Options Exchange Facility. Where
applicable, it may mean Grandfathered BOX Rules, in

context, but it may also mean the rules in place while BOX was a
facility of the Exchange; (9) the term ``BOXR'' or ``BOX Regulation''
will mean Boston Options Exchange Regulation LLC, which was a wholly-
owned subsidiary of the Exchange; where applicable for the
Grandfathered BOX Rules, it may mean the Exchange; (10) the term ``BSE
Rules'' will mean the Grandfathered Rules; (24) the term ``Exchange''
will mean the Boston Stock Exchange, now known as NASDAQ OMX BX, Inc.;
(42) the term ``Options Participant'' or ``Participant'' or ``Former
BOX Options Participant'' is being amended to reflect that the
Participants were registered with the Exchange pursuant to the BOX
Trading Rules; (61) the term ``Rules of the Exchange'' will mean the BX
By-Laws, where applicable, the BX Rules and the Grandfathered Rules,
including these Grandfathered BOX Rules.
    Prior to being granted BOX Options Participant status, by executing
the Options Market Participation Agreement, every Participant
acknowledged that the Participant and its associated persons are
subject to the oversight and jurisdiction of the Exchange. Rather than
solely relying upon an open ended contractual jurisdiction provision,
as proposed Chapter II, Section I (h) is being added to codify that
acknowledgment in the Rules and add a two year provision for filing a
complaint that is similar to that set forth in the BX Rules, providing
as follows: ``A Participant or an person associated with a Participant
that has had its Participant status terminated or revoked shall
continue to be subject to the filing of a complaint under these Rules
based upon conduct that commenced prior to the effective date of the
Participant's termination of its Participation. Any such complaint,
however, shall be filed within two years after the effective date of
resignation, cancellation, or revocation.'' This provision is similar
to that found in BX Rules 1012 and 1031.
    Outdated references to the specific sections of the Constitution
that are unnecessary are being removed. To avoid confusion, now that
certain sections of the BX Rules are being relied upon, certain
references to the ``Rules of the Exchange'' will be referred to as the
BSE Rules. For the reasons described above, references to Grandfathered
BSE Chapter XXX will be removed and instead the BX Rule 9000 Series
will apply.\13\ References to Grandfathered BSE Rules, Chapter XXX in
proposed Grandfathered BOX Trading Rules, Chapter X, Section 1,
regarding the procedures to be followed for imposing a Minor Rule
Violation Plan fine will be replaced by BX Rule 9216, and, where
appropriate, BX Rule 9000 Series, which will govern this process going
forward. The Minor Rule Violation penalties and the references to
underlying Grandfathered BOX Trading Rules governed by the Minor Rule
Violation Plan will remain in the proposed Grandfathered BOX Trading
Rules, Chapter X, Section 2 and will not be added into the BX Rules.
Similarly, procedures to be followed for letters of Acceptance, Waiver
and Consent will be set forth in BX Rule 9216; therefore, the section
regarding Acceptance, Waiver and Consent procedures found in
Grandfathered BOX Trading Rules, Chapter X, Section 3 is being removed.
In addition, the Appendix is being amended to reflect that BOX will no
longer be facility of the Exchange, to remove outdated references to
the former Constitution, to refer to the the former Incorporated
Constitution Provisions where appropriate, and to reflect that the
disciplinary and arbitration procedures will be found in the 9000 and
1000 Series of the BX Rules.
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    \13\ See Proposed Grandfathered BOX Trading Rules, Chapter III,
Sections 8(c) and 13, Chapter VI, Section 4, and Chapter VIII,
Section 5.
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BOXR Operating Agreement and BOXR By-Laws
    BX is proposing to eliminate the BOXR By-Laws and Operating
Agreement in their entirety. As stated above, once BOX ceases to be a
facility of the Exchange, BOXR will no longer have a purpose, as BOXR's
sole purpose was to regulate the BOX facility. BOXR LLC will be merged
into its parent, BX.
NASDAQ OMX BX Rules and By-Laws
    In addition, BX proposes to amend the Rules of BX. Specifically,
Rule 0015 (b) provides that the Options Rules (including the
Grandfathered Rules) shall apply to all Options Participants, and will
be amended to: (i) Remove the reference to Options Rules as there will
no longer be a set of rules called Options Rules; (ii) reflect that the
9000 Series and the 10000 Series of these Rules (meaning the BX Rules)
and the Grandfathered Rules shall apply to former BOX Options
Participants and associated persons for activities that occurred during
the time that BOX was a facility of the Exchange; and (iii) remove the
provision that ``[t]he Equity Rules shall apply to Options Participants
only if they are also members of the Exchange,'' because, as will be
explained below, as proposed, the term Options Participant is being
removed from the rules.
    As proposed, the following definitions found in Rule 0120 will be
amended. Specifically, Definition (q) ``Options Rules'' will be
reserved. Definition (r) ``Grandfathered Rules'' will be amended to
mean the Rules of the Board of Governors of the Boston Stock Exchange,
as in effect on the date of the closing of the acquisition of the
Exchange by The NASDAQ OMX Group, Inc. and as such rules may be
subsequently amended, to the extent that such rules are applicable to
BOX and to Options Participants that occurred while BOX was a facility
of the Exchange. The Grandfathered Rules shall also apply to activities
of members, members organizations, persons associated with members, and
other persons subject to the jurisdiction of the Exchange that occurred
prior to the adoption of the Equity Rules. Definitions (s) Options
Participant, (t) BOXR, (u) BOX LLC, (v) BOX and (w) BOX Rules will be
reserved, because BOX will no longer be a facility of the Exchange.
Similarly, as proposed, Article I of the BX By-Laws will be amended to
reflect that BOX will no longer be a facility of the Exchange.
Specifically, Sections (d) through (h) will now be reserved, as these
definitions are no longer needed once BOX ceases to be a facility of
BX. Section 4.3(a) regarding qualifications for the Board of Directors
will be amended to remove the requirement that one Industry Director
shall represent BOX Participants as that is no longer needed.
Subsection (b) will be removed as it references actions which occurred
after the adoption of the By-Laws after the NASDAQ OMX Group, Inc.
acquired the Boston Stock Exchange. Finally, Section 4.14, Committees
Not Composed Solely of Directors, will be amended to remove the manner
in which an Industry Director who is a representative of BOX
Participants is nominated to the Board as it is no longer needed.
2. Statutory Basis
    The Exchange believes that the proposal is consistent with the
requirements of Section 6(b) of the Act,\14\ in general, and Section
6(b)(5) of the Act,\15\ in particular, in that it is designed to
promote just and equitable principles of trade, to foster cooperation
and coordination with persons engaged in regulating, clearing,
settling, processing information with respect to, and facilitating
transactions in securities, to remove impediments to and perfect the
mechanism for a free

and open market and a national market system and, in general, to
protect investors and the public interest. Further, BX believes that
the proposal is consistent with Sections 6(b)(1) of the Act, which
requires, among other things, that a national securities exchange be so
organized and have the capacity to carry out the purposes of the Act,
and to comply and enforce compliance by its members and persons
associated with its members, with the provisions of the Act, the rules
and regulation thereunder, and the rules of the exchange. Specifically,
the proposal is intended to address the relationship between BX and the
former BOX Participants that will exist for BOX legacy matters once BOX
is no longer a facility of BX. The disciplinary procedures provide for
fair procedures for the discipline of the former BOX Participants and
persons who were associated persons of former BOX Participants for
activities which occurred while BOX was a facility of the Exchange,
consistent with Section 6(b)(7) of the Act.\16\ BX believes that with
the removal of the BOX-related provisions the composition and selection
of the BX Board of Directors will continue to satisfy the requirement
in Section 6(b)(3) of the Act \17\ that the rules of the Exchange
provide for the fair representation of members in the selection of
directors and administration of the Exchange.
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    \14\ 15 U.S.C. 78f(b).
    \15\ 15 U.S.C. 78f(b)(5).
    \16\ 15 U.S.C. 78f(b)(7).
    \17\ 15 U.S.C. 78f(b)(7).
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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 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 either solicited or received.

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) \18\ of the Act and Rule 19b-4(f)(6) \19\ thereunder. The
proposed rule change effects a change that (A) does not significantly
affect the protection of investors or the public interest; (B) does not
impose any significant burden on competition; and (C) by its terms,
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; provided that the
self-regulatory organization has given 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.\20\
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    \18\ 15 U.S.C. 78s(b)(3)(A).
    \19\ 17 CFR 240.19b-4(f)(6).
    \20\ 17 CFR 240.19b-4(f)(6)(iii). BX provided 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 on which the Exchange
filed the proposed rule change, or such shorter time as designated
by the Commission.
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    The Exchange has requested that the Commission waive the 30-day
operative delay so that the proposal may become operative upon the
facility termination effective date. The Exchange believes that it will
avoid potential confusion for BOX Options Participants that may result
from a new set of rules pertaining to the new BOX Exchange, to have to
the changes described above in effect on the facility termination
effective date.
    Because the new BOX Exchange is now operating as a national
securities exchange and BOX is now a facility of the new BOX Exchange
and not of BX,\21\ the Commission believes it is consistent with the
protection of investors and the public interest to waive the 30-day
operative delay, and allow the Exchange to reflect this change in its
rules on the facility termination effective date.\22\
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    \21\ See supra note 5. The new BOX Exchange became operational
on May 14, 2012.
    \22\ For the purposes only of waiving the operative date of this
proposal, the Commission has considered the proposed rule's impact
on efficiency, competition, and capital formation. See 15 U.S.C.
78c(f).
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    At any time within 60 days of the filing of such proposed rule
change, the Commission summarily may temporarily suspend such rule
change if it appears to the Commission that such action is necessary or
appropriate in the public interest, for the protection of investors, or
otherwise in furtherance of the purposes of the Act.

IV. Solicitation of Comments

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

Electronic Comments

     Use the Commission's Internet comment form (http://www.sec.gov/rules/sro.shtml); or
     Send an email to<EMAIL_ADDRESS>Please
include File Number SR-BX-2012-036 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-BX-2012-036. 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 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-BX-2012-036 and should be
submitted on or before June 13, 2012.

    For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\23\
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    \23\ 17 CFR 200.30-3(a)(12).
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Kevin M. O'Neill,
Deputy Secretary.
[FR Doc. 2012-12441 Filed 5-22-12; 8:45 am]
BILLING CODE 8011-01-P


[Federal Register Volume 76, Number 118 (Monday, June 20, 2011)]
[Notices]
[Pages 35882-35884]
[FR Doc No: 2011-15254]

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DEPARTMENT OF ENERGY

Federal Energy Regulatory Commission

[Docket No. CP11-485-000]

Distrigas of Massachusetts LLC; Notice of Intent To Prepare an
Environmental Assessment for the Proposed Heating Value and Wobbe Index
Reduction Project and Request for Comments on Environmental Issues

    The staff of the Federal Energy Regulatory Commission (FERC or
Commission) will prepare an environmental assessment (EA) that will
discuss the environmental impacts of the Heating Value and Wobbe Index
Reduction Project (Project) involving construction and operation of
facilities by Distrigas of Massachusetts LLC (DOMAC) in Everett,
Massachusetts. This EA will be used by the Commission in its decision-
making process to determine whether the project is in the public
convenience and necessity.
    This notice announces the opening of the scoping process the
Commission will use to gather input from the public and interested
agencies on the Project. Your input will help the Commission staff
determine what issues need to be evaluated in the EA. Please note that
the scoping period will close on July 14, 2011.
    This notice is being sent to the Commission's current environmental
mailing list for this project. State and local government
representatives are asked to notify their constituents of this planned
project and encourage them to comment on their areas of concern.
    A fact sheet prepared by the FERC entitled ``An Interstate Natural
Gas Facility On My Land? What Do I Need To Know?'' was attached to the
project notice DOMAC provided to landowners. This fact sheet addresses
a number of typically-asked questions, including the use of eminent
domain and how to participate in the Commission's proceedings. It is
also available for viewing on the FERC Web site (http://www.ferc.gov).

Summary of the Proposed Project

    DOMAC proposes to design, construct, operate, and maintain a liquid
nitrogen injection facility at its liquefied natural gas (LNG) Import
Terminal in Everett, Massachusetts. The Project would allow DOMAC to
retain its capability to adjust the heating value and Wobbe Index of
regasified LNG while complying with the gas quality and
interchangeability specifications of applicable FERC Gas Tariffs. The
liquid nitrogen injection facility would replace DOMAC's limited air
injection system for all of its regasified LNG send-out. Following
completion of the Project, DOMAC would decommission and remove the air
injection system. Liquid nitrogen would be supplied by truck to the
Terminal at the liquid nitrogen truck offloading station for storage in
the two proposed storage tanks. DOMAC anticipates construction of the
Project to begin in April 2012 with an expected in-service date of
October 1, 2012.
    The Project would consist of the following facilities:
     Two liquid nitrogen storage tanks, each with a nominal
capacity of 120,000 gallons;
     Associated piping support systems and ancillary systems;
and

     A liquid nitrogen truck offloading station.
    The general location of the project facilities is shown in appendix
1.\1\
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    \1\ The appendices referenced in this notice are not being
printed in the Federal Register. Copies of appendices were sent to
all those receiving this notice in the mail and are available at
http://www.ferc.gov using the link called ``eLibrary'' or from the
Commission's Public Reference Room, 888 First Street NE.,
Washington, DC 20426, or call<PHONE_NUMBER>. For instructions on
connecting to eLibrary, refer to the last page of this notice.
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Land Requirements for Construction

    The site of the Project would be located on a 4.69-acre parcel
entirely within the DOMAC LNG Import Terminal and immediately adjacent
to DOMAC's existing LNG truck loading area. Following construction,
0.69 acre would be maintained permanently for operation of the liquid
nitrogen injection facility.

The EA Process

    The National Environmental Policy Act (NEPA) requires the
Commission to take into account the environmental impacts that could
result from an action whenever it considers the issuance of a
Certificate of Public Convenience and Necessity. NEPA also requires us
\2\ to discover and address concerns the public may have about
proposals. This process is referred to as ``scoping''. The main goal of
the scoping process is to focus the analysis in the EA on the important
environmental issues. By this notice, the Commission requests public
comments on the scope of the issues to address in the EA. All comments
received will be considered during the preparation of the EA.
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    \2\ ``We,'' ``us,'' and ``our'' refer to the environmental staff
of the Commission's Office of Energy Projects.
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    In the EA we will discuss impacts that could occur as a result of
the construction and operation of the proposed project under these
general headings:
     Geology and soils;
     Land use;
     Water resources, fisheries, and wetlands;
     Cultural resources;
     Vegetation and wildlife;
     Air quality and noise;
     Endangered and threatened species; and
     Public safety.
    We will also evaluate reasonable alternatives to the proposed
project or portions of the project, and make recommendations on how to
lessen or avoid impacts on the various resource areas.
    Our independent analysis of the issues will be presented in the EA.
The EA will be placed in the public record and, depending on the
comments received during the scoping process, may be published and
distributed to the public. A comment period will be allotted if the EA
is published for review. We will consider all comments on the EA before
we make our recommendations to the Commission. To ensure your comments
are considered, please carefully follow the instructions in the Public
Participation section on this page.
    With this notice, we are asking agencies with jurisdiction and/or
special expertise with respect to environmental issues to formally
cooperate with us in the preparation of the EA. These agencies may
choose to participate once they have evaluated the proposal relative to
their responsibilities. Agencies that would like to request cooperating
agency status should follow the instructions for filing comments
provided under the Public Participation section of this notice.

Public Participation

    You can make a difference by providing us with your specific
comments or concerns about the Project. Your comments should focus on
the potential environmental effects, reasonable alternatives, and
measures to avoid or lessen environmental impacts. The more specific
your comments, the more useful they will be. To ensure that your
comments are timely and properly recorded, please send your comments so
that they will be received in Washington, DC on or before July 14,
2011.
    For your convenience, there are three methods which you can use to
submit your comments to the Commission. In all instances please
reference the project docket number (CP11-485-000) with your
submission. The Commission encourages electronic filing of comments and
has expert eFiling staff available to assist you at<PHONE_NUMBER> or
<EMAIL_ADDRESS>    (1) You may file your comments electronically by using the eComment
feature, which is located on the Commission's Web site at http://www.ferc.gov under the link to Documents and Filings. An eComment is an
easy method for interested persons to submit brief, text-only comments
on a project;
    (2) You may file your comments electronically by using the eFiling
feature, which is located on the Commission's Web site at http://www.ferc.gov under the link to Documents and Filings. With eFiling, you
can provide comments in a variety of formats by attaching them as a
file with your submission. New eFiling users must first create an
account by clicking on ``eRegister.'' You will be asked to select the
type of filing you are making. A comment on a particular project is
considered a ``Comment on a Filing;'' or
    (3) You may file a paper copy of your comments at the following
address: Kimberly D. Bose, Secretary, Federal Energy Regulatory
Commission, 888 First Street, NE., Room 1A, Washington, DC 20426.

Environmental Mailing List

    The environmental mailing list includes Federal, State, and local
government representatives and agencies; elected officials;
environmental and public interest groups; Native American Tribes; other
interested parties; and local libraries and newspapers. This list also
includes all affected landowners (as defined in the Commission's
regulations) who own homes within certain distances of aboveground
facilities and anyone who submits comments on the Project. We will
update the environmental mailing list as the analysis proceeds to
ensure that we send the information related to this environmental
review to all individuals, organizations, and government entities
interested in and/or potentially affected by the proposed Project.
    If the EA is published for distribution, copies will be sent to the
environmental mailing list for public review and comment. If you would
prefer to receive a paper copy of the document instead of the CD
version or would like to remove your name from the mailing list, please
return the attached Information Request (appendix 2).

Becoming an Intervenor

    In addition to involvement in the EA scoping process, you may want
to become an ``intervenor'' which is an official party to the
Commission's proceeding. Intervenors play a more formal role in the
process and are able to file briefs, appear at hearings, and be heard
by the courts if they choose to appeal the Commission's final ruling.
An intervenor formally participates in the proceeding by filing a
request to intervene. Instructions for becoming an intervenor are
included in the User's Guide under the ``e-filing'' link on the
Commission's Web site.

Additional Information

    Additional information about the project is available from the
Commission's Office of External Affairs, at (866) 208-FERC, or on the
FERC Web site at http://www.ferc.gov using the

``eLibrary'' link. Click on the eLibrary link, click on ``General
Search'' and enter the docket number, excluding the last three digits
in the Docket Number field (i.e., CP11-485). Be sure you have selected
an appropriate date range. For assistance, please contact FERC Online
Support at<EMAIL_ADDRESS>or toll free at<PHONE_NUMBER>,
or for TTY, contact<PHONE_NUMBER>. The eLibrary link also provides
access to the texts of formal documents issued by the Commission, such
as orders, notices, and rulemakings.
    In addition, the Commission now offers a free service called
eSubscription which allows you to keep track of all formal issuances
and submittals in specific dockets. This can reduce the amount of time
you spend researching proceedings by automatically providing you with
notification of these filings, document summaries, and direct links to
the documents. Go to http://www.ferc.gov/esubscribenow.htm.
    Finally, public meetings or site visits will be posted on the
Commission's calendar located at http://www.ferc.gov/EventCalendar/EventsList.aspx along with other related information.

    Dated: June 14, 2011.
Kimberly D. Bose,
Secretary.
[FR Doc. 2011-15254 Filed 6-17-11; 8:45 am]
BILLING CODE 6717-01-P


[Federal Register Volume 88, Number 46 (Thursday, March 9, 2023)]
[Proposed Rules]
[Pages 14516-14517]
[FR Doc No: 2023-04780]

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DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 71

[Docket No. FAA-2023-0512; Airspace Docket No. 22-AAL-59
RIN 2120-AA66

Revocation of Very High Frequency (VHF) Omnidirectional Range
(VOR) Federal Airway V-489; Galena, AK

AGENCY: Federal Aviation Administration (FAA), DOT.

ACTION: Notice of proposed rulemaking (NPRM).

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SUMMARY: This action proposes to revoke Alaskan VOR Federal Airway V-
489. The FAA is taking this action due to automated flight plan
conflicts between New York Air Route Traffic Control Center (ARTCC) and
Anchorage ARTCC when pilots file V-489 in flight plans.

DATES: Comments must be received on or before April 24, 2023.

ADDRESSES: Send comments identified by FAA Docket No. FAA-2023-0512 and
Airspace Docket No. 22-AAL-59 using any of the following methods:
    * Federal eRulemaking Portal: Go to www.regulations.gov and follow
the online instructions for sending your comments electronically.
    * Mail: Send comments to Docket Operations, M-30; U.S. Department
of Transportation, 1200 New Jersey Avenue SE, Room W12-140, West
Building Ground Floor, Washington, DC 20590-0001.
    * Hand Delivery or Courier: Take comments to Docket Operations in
Room W12-140 of the West Building Ground Floor at 1200 New Jersey
Avenue SE, Washington, DC, between 9 a.m. and 5 p.m., Monday through
Friday, except Federal holidays.
    * Fax: Fax comments to Docket Operations at<PHONE_NUMBER>.
    Privacy: In accordance with 5 U.S.C. 553(c), DOT solicits comments
from the public to better inform its rulemaking process. DOT posts
these comments, without edit, including any personal information the
commenter provides, to www.regulations.gov, as described in the system
of records notice (DOT/ALL-14 FDMS), which can be reviewed at
www.dot.gov/privacy.
    Docket: Background documents or comments received may be read at
www.regulations.gov at any time. Follow the online instructions for
accessing the docket or go to the Docket Operations in Room W12-140 of
the West Building Ground Floor at 1200 New Jersey Avenue SE,
Washington, DC, between 9 a.m. and 5 p.m., Monday through Friday,
except Federal holidays.
    FAA Order JO 7400.11G, Airspace Designations and Reporting Points,
and subsequent amendments can be viewed online at www.faa.gov/air_traffic/publications/.

FOR FURTHER INFORMATION CONTACT: Steven Roff, Rules and Regulations
Group, Office of Policy, Federal Aviation Administration, 800
Independence Avenue SW, Washington, DC 20591; telephone: (202) 267-
8783.

SUPPLEMENTARY INFORMATION:

Authority for This Rulemaking

    The FAA's authority to issue rules regarding aviation safety is
found in Title 49 of the United States Code. Subtitle I, Section 106
describes the authority of the FAA Administrator. Subtitle VII,
Aviation Programs, describes in more detail the scope of the agency's
authority. This rulemaking is promulgated under the authority described
in Subtitle VII, Part A, Subpart I, Section 40103. Under that section,
the FAA is charged with prescribing regulations to assign the use of
the airspace necessary to ensure the safety of aircraft and the
efficient use of airspace. This regulation is within the scope of that
authority as it proposes to revoke Alaskan VOR Airway V-489.

Comments Invited

    The FAA invites interested persons to participate in this
rulemaking by submitting written comments, data, or views. Comments are
specifically invited on the overall regulatory, aeronautical, economic,
environmental, and energy-related aspects of the proposal. The most
helpful comments reference a specific portion of the proposal, explain
the reason for any recommended change, and include supporting data. To
ensure the docket does not contain duplicate comments, commenters
should submit only one time if comments are filed electronically, or
commenters should send only one copy of written comments if comments
are filed in writing.
    The FAA will file in the docket all comments it receives, as well
as a report summarizing each substantive public contact with FAA
personnel concerning this proposed rulemaking. Before acting on this
proposal, the FAA will consider all comments it receives on or before
the closing date for comments. The FAA will consider comments filed
after the comment period has closed if it is possible to do so without
incurring expense or delay. The FAA may change this proposal in light
of the comments it receives.

Availability of Rulemaking Documents

    An electronic copy of this document may be downloaded through the
internet at www.regulations.gov. Recently published rulemaking
documents can also be accessed through the FAA's web page at
www.faa.gov/air_traffic/publications/airspace_amendments/.
    You may review the public docket containing the proposal, any
comments received and any final disposition in person in the Dockets
Operations office (see ADDRESSES section for address, phone number, and
hours of operations). An informal docket may also be examined during
normal business hours at the office of the Western Service Center,
Federal Aviation, 2200 South 216th St., Des Moines, WA 98198.

Incorporation by Reference

    Alaskan VOR Federal airways are published in paragraph 6010(b) of
FAA Order JO 7400.11, Airspace Designations and Reporting Points, which
is incorporated by reference in 14 CFR 71.1 on an annual basis. This
document proposes to amend the current version of that order, FAA Order
JO 7400.11G, dated August 19, 2022, and effective September 15, 2022.
These updates would be published in the next update to FAA Order JO
7400.11. That order is publicly available as listed in the ADDRESSES
section of this document.
    FAA Order JO 7400.11G lists Class A, B, C, D, and E airspace areas,
air traffic service routes, and reporting points.

Background

    The VOR Federal airway V-489 identifier is used in Alaska and in
the New Jersey/New York area. The Alaskan V-489 is a short segment that
extends between the Galena, AK, VOR/Distance Measuring Equipment (VOR/
DME) and Tanana, AK, VOR/DME navigational aids (NAVAID). The Domestic
V-489 extends between the Sparta, NJ, VOR/Tactical Air Navigation
(VORTAC) and Albany, NY, VORTAC NAVAIDs. Automated flight plans that
include the Domestic V-489 routinely appear in the Anchorage ARTCC
computer system when they are intended for New York ARTCC. As a result,
pilots are unable to activate their flight plan. Correcting the flight
plan conflicts within the computers is not feasible due to the
Anchorage and New York ARTCCs utilizing different computer systems and
flight data processors.

The Proposal

    The FAA proposes to amend 14 CFR part 71 by revoking Alaskan VOR
Federal airway V-489 in its entirety. Revoking the Alaskan V-489 would
eliminate the confusion between the Alaskan V-489 and the Domestic V-
489 and resolve the automated flight plan conflicts the confusion
causes with the Anchorage and New York ARTCCs. The FAA is proposing to
revoke Alaskan VOR Federal airway V-489 in its entirety. The Domestic
VOR Federal airway V-489 would remain unchanged.
    Other existing routes would mitigate the loss of the Alaskan V-489.
Currently, Alaskan the V-489 offers indirect routing between the
Galena, AK, VOR/DME and the Tanana, AK, VOR/DME NAVAIDs; however, two
other routes--Alaskan VOR Federal airway V-488 and Area Navigation
(RNAV) route T-225--offer direct routing between these two NAVAIDs.

Regulatory Notices and Analyses

    The FAA has determined that this proposed regulation only involves
an established body of technical regulations for which frequent and
routine amendments are necessary to keep them operationally current.
It, therefore: (1) is not a ``significant regulatory action'' under
Executive Order 12866; (2) is not a ``significant rule'' under DOT
Regulatory Policies and Procedures (44 FR 11034; February 26, 1979);
and (3) does not warrant preparation of a regulatory evaluation as the
anticipated impact is so minimal. Since this is a routine matter that
will only affect air traffic procedures and air navigation, it is
certified that this proposed rule, when promulgated, will not have a
significant economic impact on a substantial number of small entities
under the criteria of the Regulatory Flexibility Act.

Environmental Review

    This proposal will be subject to an environmental analysis in
accordance with FAA Order 1050.1F, ``Environmental Impacts: Policies
and Procedures'' prior to any FAA final regulatory action.

List of Subjects in 14 CFR Part 71

    Airspace, Incorporation by reference, Navigation (air).

The Proposed Amendment

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

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

0
1. The authority citation for 14 CFR part 71 continues to read as
follows:

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

Sec.  71.1  [Amended]

0
2. The incorporation by reference in 14 CFR 71.1 of FAA Order JO
7400.11G, Airspace Designations and Reporting Points, dated August 19,
2022, and effective September 15, 2022, is amended as follows:

Paragraph 6010(b) Alaskan VOR Federal Airways.

* * * * *

V-489 [Remove]

* * * * *

    Issued in Washington, DC.
Brian Konie,
Acting Manager, Airspace Rules and Regulations.
[FR Doc. 2023-04780 Filed 3-8-23; 8:45 am]
BILLING CODE 4910-13-P