[Federal Register Volume 76, Number 46 (Wednesday, March 9, 2011)]
[Notices]
[Pages 13001-13002]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-5282]


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SECURITIES AND EXCHANGE COMMISSION


Proposed Collection; Comment Request

Upon Written Request, Copies Available From: U.S. Securities and 
Exchange Commission, Office of Investor Education and Advocacy, 
Washington, DC 20549-0213.

Extension:
    Rule 19b-7 and Form 19b-7; OMB Control No. 3235-0553; SEC File 
No. 270-495.

    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 (``OMB'') a request for approval of extension of the 
existing collection of information provided for in Rule 19b-7 (17 CFR 
240.19b-7) and Form 19b-7--Filings with respect to proposed rule 
changes submitted pursuant to Section 19b(7) under the Securities 
Exchange Act of 1934 (15 U.S.C. 78a et seq.) (``Exchange Act'').

[[Page 13002]]

    The Exchange Act provides a framework for self-regulation under 
which various entities involved in the securities business, including 
national securities exchanges and national securities associations 
(collectively, self-regulatory organizations or ``SROs''), have primary 
responsibility for regulating their members or participants. The role 
of the Commission in this framework is primarily one of oversight: the 
Exchange Act charges the Commission with supervising the SROs and 
assuring that each complies with and advances the policies of the 
Exchange Act.
    The Exchange Act was amended by the Commodity Futures Modernization 
Act of 2000 (``CFMA''). Prior to the CFMA, federal law did not allow 
the trading of futures on individual stocks or on narrow-based stock 
indexes (collectively, ``security futures products''). The CFMA removed 
this restriction and provides that trading in security futures products 
would be regulated jointly by the Commission and the Commodity Futures 
Trading Commission (``CFTC'').
    The Exchange Act requires all SROs to submit to the SEC any 
proposals to amend, add, or delete any of their rules. Certain entities 
(Security Futures Product Exchanges) would be national securities 
exchanges only because they trade security futures products. Similarly, 
certain entities (Limited Purpose National Securities Associations) 
would be national securities associations only because their members 
trade security futures products. The Exchange Act, as amended by the 
CFMA, established a procedure for Security Futures Product Exchanges 
and Limited Purpose National Securities Associations to provide notice 
of proposed rule changes relating to certain matters.\1\ Rule 19b-7 and 
Form 19b-7 implemented this procedure. Effective April 28, 2008, the 
SEC amended Rule 19b-7 and Form 19b-7 to require that Form 19b-7 be 
submitted electronically.\2\
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    \1\ These matters are higher margin levels, fraud or 
manipulation, recordkeeping, reporting, listing standards, or 
decimal pricing for security futures products; sales practices for 
security futures products for persons who effect transactions in 
security futures products; or rules effectuating the obligation of 
Security Futures Product Exchanges and Limited Purpose National 
Securities Associations to enforce the securities laws. See 15 
U.S.C. 78s(b)(7)(A).
    \2\ See Securities Exchange Act Release No. 57526 (March 19, 
2008), 73 FR 16179 (March 27, 2008).
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    The collection of information is designed to provide the Commission 
with the information necessary to determine, as required by the Act, 
whether the proposed rule change is consistent with the Act and the 
rules thereunder. The information is used to determine if the proposed 
rule change should remain in affect or abrogated.
    The respondents to the collection of information are SROs. Five 
respondents file an average total of 12 responses per year. Each 
response takes approximately 13.25 hours to complete, which corresponds 
to an estimated annual response burden of 159 (12 responses x 13.25 
hours) hours. The average cost per response is $4,465.50 (13.25 hours 
multiplied by a weighted average hourly rate of $337.02).\3\
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    \3\ The average cost per response is $4,465.50 (13.25 hours 
multiplied by a weighted average hourly rate of $337.02). The 
resultant total related cost of compliance for these respondents is 
$53,586 per year (12 responses x $4,465.50 per response).
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    Compliance with Rule 19b-7 is mandatory. Information received in 
response to Rule 19b-7 shall not be kept confidential; the information 
collected is public information.
    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 to 
be collected; and (d) ways to minimize the burden of the collection of 
information on respondents, including through the use of automated 
collection techniques or other forms of information technology. 
Consideration will be given to comments and suggestions submitted in 
writing within 60 days of this publication.
    Please direct your written comments to: Thomas Bayer, Chief 
Information Officer, Securities and Exchange Commission, C/O Remi 
Pavlik-Simon, 6432 General Green Way, Alexandria, Virginia 22312 or 
send an e-mail to: [email protected].

    Dated: March 1, 2011.
Cathy H. Ahn,
Deputy Secretary.
[FR Doc. 2011-5282 Filed 3-8-11; 8:45 am]
BILLING CODE 8011-01-P