[Code of Federal Regulations]
[Title 17, Volume 1]
[Revised as of April 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 17CFR40.7]

[Page 453-454]
 
              TITLE 17--COMMODITY AND SECURITIES EXCHANGES
 
             CHAPTER I--COMMODITY FUTURES TRADING COMMISSION
 
PART 40_PROVISIONS COMMON TO CONTRACT MARKETS, DERIVATIVES TRANSACTION 
 
Sec.  40.7  Delegations.

    (a) Procedural matters--(1) Review of products or rules. The 
Commission hereby delegates, until it orders otherwise, to the Director 
of the Division of Clearing and Intermediary Oversight and separately to 
the Director of the Division of Market Oversight or to the Director's 
delegatee with the concurrence of the General Counsel or the General 
Counsel's delegatee, authority to request under Sec.  40.3(b)(2) or 
Sec.  40.5(b)(2) that the entity requesting approval amend the proposed 
product, rule or rule amendment or supplement the submission, to notify 
a submitting entity under Sec.  40.3(c) or Sec.  40.5(c) that the time 
for review has been extended, and to notify the submitting entity under 
Sec.  40.3(d) or Sec.  40.5(d) that the Commission is not approving, or 
is unable to approve, the proposed product, rule or rule amendment.
    (2) Emergency rules. The Commission hereby delegates authority to 
the Directors of Division of Market Oversight and Division of Clearing 
and Intermediary Oversight or the delegatees of the Directors, authority 
to receive notification and the required certification of emergency 
rules under Sec.  40.6(a)(2).
    (3) The Commission hereby delegates to the Director of the Division 
of Market Oversight or to the Director's delegate, with the concurrence 
of the General Counsel or the General Counsel's delegate, the authority 
to determine whether a rule change submitted by a DCM for a materiality 
determination under Sec.  40.4(b)(9) is not material (in which case it 
may be reported pursuant to the provisions of Sec.  40.6(c)), or is 
material, in which case he or she shall notify the DCM that the rule 
change must be submitted for the Commission's prior approval.
    (b) Approval authority. The Commission hereby delegates, until the 
Commission orders otherwise, to the Director of the Division of Clearing 
and Intermediary Oversight and separately to the Director of the 
Division of Market Oversight, with the concurrence of the General 
Counsel or the General Counsel's delegatee, to be exercised by either of 
such Directors or by such other employee or employees of the Commission 
under the supervision of

[[Page 454]]

such Directors as may be designated from time to time by the Directors, 
the authority to approve, pursuant to section 5c(c)(3) of the Act and 
Sec.  40.5, rules or rule amendments of a designated contract market, 
registered derivatives transaction execution facility or registered 
derivatives clearing organization that:
    (1) Relate to, but do not substantially change, the quantity, 
quality, or other delivery specifications, procedures, or obligations 
for delivery, cash settlement, or exercise under an agreement, contract 
or transaction approved for trading by the Commission; daily settlement 
prices; clearing position limits; requirements or procedures for 
governance of a registered entity; procedures for transfer trades; 
trading hours; minimum price fluctuations; and maximum price limit and 
trading suspension provisions;
    (2) Reflect routine modifications that are required or anticipated 
by the terms of the rule of a registered entity;
    (3) Establish or amend speculative limits or position accountability 
provisions that are in compliance with the requirements of the Act and 
Commission regulations;
    (4) Are in substance the same as a rule of the same or another 
registered entity which has been approved previously by the Commission 
pursuant to section 5c(c)(3) of the Act;
    (5) Are consistent with a specific, stated policy or interpretation 
of the Commission; or
    (6) Relate to the listing of additional trading months of approved 
contracts.
    (c) The Directors may submit to the Commission for its consideration 
any matter that has been delegated pursuant to paragraph (a) or (b) of 
this section.
    (d) Nothing in this section shall be deemed to prohibit the 
Commission, at its election, from exercising the authority delegated in 
paragraph (a) or (b) of this section to the Directors.

[66 FR 42283, Aug. 10, 2001, as amended at 67 FR 62352, Oct. 7, 2002; 67 
FR 62880, Oct. 9, 2002; 71 FR 1971, Jan. 12, 2006]