[Federal Register Volume 75, Number 248 (Tuesday, December 28, 2010)]
[Notices]
[Page 81680]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-32522]
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SECURITIES AND EXCHANGE COMMISSION
Submission for OMB Review; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of Investor Education and Advocacy, Washington, DC
20549-0213.
Extension: Regulation S-AM; SEC File No. 270-548; OMB Control No.
3235-0609.
Notice is hereby given that pursuant to the Paperwork Reduction Act
of 1995 (44 U.S.C. 3501 et seq.) the Securities and Exchange Commission
(``Commission'') has submitted to the Office of Management and Budget a
request for approval of extension of the previously approved collection
of information provided for in Regulation S-AM (17 CFR part 248,
subpart B), under the Fair and Accurate Credit Transactions Act of 2003
(Pub. L. 108-159, Section 214, 117 Stat. 1952 (2003)) (``FACT Act''),
the Securities Exchange Act of 1934 (15 U.S.C. 78a et seq.), the
Investment Company Act of 1940 (15 U.S.C. 80a-1 et seq.), and the
Investment Advisers Act of 1940 (15 U.S.C. 80b-1 et seq.).
Regulation S-AM implements the requirements of Section 214 of the
FACT Act as applied to brokers, dealers, and investment companies, as
well as investment advisers and transfer agents that are registered
with the Commission (collectively, ``Covered Persons''). As directed by
Section 214 of the FACT Act, before a receiving affiliate may make
marketing solicitations based on the communication of certain consumer
financial information from a Covered Person, the Covered Person must
provide a notice to each affected individual informing the individual
of his or her right to prohibit such marketing. The regulation
potentially applies to all of the approximately 21,496 Covered Persons
registered with the Commission, although only approximately 12,038 of
them have one or more corporate affiliates, and the regulation would
require only approximately 2,150 of them to provide consumers with
notice and an opt-out opportunity.
The Commission staff estimates that there are approximately 12,038
Covered Persons having one or more affiliates, and that they would
require an average one-time burden of 1 hour to review affiliate
marketing practices, for a total of 12,038 hours, at a total staff cost
of approximately $2,527,929. The staff also estimates that
approximately 2,150 Covered Persons would be required to provide notice
and opt-out opportunities to consumers, and would incur an average
first-year burden of 18 hours in doing so, for a total estimated first-
year burden of 38,700 hours, at a total staff cost of approximately
$10,294,200. With regard to continuing notice burdens, the staff
estimates that each of the approximately 2,150 Covered Persons required
to provide notice and opt-out opportunities to consumers would incur a
burden of approximately 4 hours per year to create and deliver notices
to new consumers and record any opt outs that are received on an
ongoing basis, for a total of 8,600 hours, at a total staff cost of
approximately $490,200 per year.
Written comments are invited on: (a) Whether the proposed
collection of information is necessary for the proper performance of
the functions of the Commission, including whether the information
shall have practical utility; (b) the accuracy of the Commission's
estimates of the burden of the proposed collection of information; (c)
ways to enhance the quality, utility, and clarity of the information on
respondents; and (d) ways to minimize the burden of the collection of
information on respondents, including through the use of automated
collection techniques or other forms of information technology.
An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information unless it displays a
currently valid control number.
The public may view the background documentation for this
information collection at the following Web site, http://www.reginfo.gov. Comments should be directed to: (i) Desk Officer for
the Securities and Exchange Commission, Office of Information and
Regulatory Affairs, Office of Management and Budget, Room 10102, New
Executive Office Building, Washington, DC 20503, or by sending an e-
mail to: [email protected]; and (ii) Thomas Bayer, Chief
Information Officer, Securities and Exchange Commission, c/o Remi
Pavlik-Simon, 6432 General Green Way, Alexandria, VA 22312 or send an
e-mail to: [email protected]. Comments must be submitted to OMB
within 30 days of this notice.
Dated: December 21, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-32522 Filed 12-27-10; 8:45 am]
BILLING CODE 8011-01-P