81 FR 14152 - Proposed Collection; Comment Request

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 51 (March 16, 2016)

Page Range		14152-14153
FR Document		2016-05857

Federal Register, Volume 81 Issue 51 (Wednesday, March 16, 2016)

[Federal Register Volume 81, Number 51 (Wednesday, March 16, 2016)]
[Notices]
[Pages 14152-14153]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-05857]


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SECURITIES AND EXCHANGE COMMISSION

[SEC File No. 270-292, OMB Control No. 3235-0330]


Proposed Collection; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of FOIA Services, 100 F Street NE., Washington, DC 
20549-2736.

Extension:
    Form N-SAR.

    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 (the ``Commission'') is soliciting comments on the 
collection of information summarized below. The Commission plans to 
submit this existing collection of information to the Office of 
Management and Budget (``OMB'') for extension and approval.
    Form N-SAR (OMB Control No. 3235-0330, 17 CFR 249.330) is the form 
used by all registered investment companies with the exception of face 
amount certificate companies, to comply with the periodic filing and 
disclosure requirements imposed by Section 30 of the Investment Company 
Act of 1940 (15 U.S.C. 80a-1 et seq.) (``Investment Company Act''), and 
of rules 30a-1 and 30b1-1 thereunder (17 CFR 270.30a-1 and 17 CFR 
270.30b1-1). The information required to be filed with the Commission 
assures the public availability of the information and permits 
verification of compliance with Investment Company Act requirements. 
Registered unit investment trusts are required to provide this 
information on an annual report filed with the Commission on Form N-SAR 
pursuant to rule 30a-1 under the Investment Company Act, and registered 
management investment companies must submit the required information on 
a semi-annual report on Form N-SAR pursuant to rule 30b1-1 under the 
Investment Company Act.
    The Commission estimates that the total number of respondents is 
3,168 and the total annual number of responses is 5,564 ((2,396 
management investment company respondents x 2 responses per year) + 
(772 unit investment trust respondents x 1 response per year)). The 
Commission estimates that each registrant filing a report on Form N-SAR 
would spend, on average, approximately 14.21 hours in preparing and 
filing reports on Form N-SAR and that the total hour burden for all 
filings on Form N-SAR would be 79,064 hours.
    The collection of information under Form N-SAR is mandatory. 
Responses to the collection of information will not be kept 
confidential. 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.
    Written comments are invited on: (a) Whether the proposed 
collection of information is necessary for the proper performance of 
the functions of the agency, including whether the information will 
have practical utility; (b) the accuracy of the agency's estimate of 
the burden of the collection of information; (c) ways to enhance the 
quality, utility, and clarity of the information 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 Pamela Dyson, Director/Chief 
Information Officer, Securities and Exchange Commission, C/O Remi 
Pavlik-Simon, 100 F Street NE.,

[[Page 14153]]

Washington, DC 20549; or send an email to: [email protected].

    Dated: March 10, 2016.
Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-05857 Filed 3-15-16; 8:45 am]
 BILLING CODE 8011-01-P

14152 Federal Register / Vol. 81, No. 51 / Wednesday, March 16, 2016 / Notices

organization-wide set of previously Commission. The collection of disclosure requirements imposed by
documented safeguard policies and information required by the safeguard Section 30 of the Investment Company
procedures created by their affiliates. rule is mandatory. Act of 1940 (15 U.S.C. 80a–1 et seq.)
We estimate that these affiliated newly Written comments are invited on: (a) (‘‘Investment Company Act’’), and of
registered covered institutions will Whether the proposed collection of rules 30a–1 and 30b1–1 thereunder (17
incur a significantly reduced hourly information is necessary for the proper CFR 270.30a–1 and 17 CFR 270.30b1–1).
burden in complying with the performance of the functions of the The information required to be filed
safeguards rule, as they will need only agency, including whether the with the Commission assures the public
to review their affiliate’s existing information will have practical utility; availability of the information and
policies and procedures, and identify (b) the accuracy of the agency’s estimate permits verification of compliance with
and adopt the relevant policies for their of the burden of the collection of Investment Company Act requirements.
business. Therefore, we expect that information; (c) ways to enhance the Registered unit investment trusts are
newly registered covered institutions quality, utility, and clarity of the required to provide this information on
with existing affiliates will incur an information collected; and (d) ways to an annual report filed with the
hourly burden of approximately 15 minimize the burden of the collection of Commission on Form N–SAR pursuant
hours in identifying and adopting information on respondents, including to rule 30a–1 under the Investment
safeguard policies and procedures for through the use of automated collection Company Act, and registered
their business, for a total hourly burden techniques or other forms of information management investment companies
for all affiliated new institutions of technology. Consideration will be given must submit the required information
12,600 hours. We expect that half of this to comments and suggestions submitted on a semi-annual report on Form N–
time would be incurred by inside in writing within 60 days of this SAR pursuant to rule 30b1–1 under the
counsel at an hourly rate of $380, and publication. Investment Company Act.
half would be by a compliance officer at Please direct your written comments The Commission estimates that the
an hourly rate of $334, for a total cost to Pamela Dyson, Director/Chief total number of respondents is 3,168
of $4,498,200. Information Officer, Securities and and the total annual number of
Finally, we expect that the 360 newly Exchange Commission, C/O Remi responses is 5,564 ((2,396 management
registered entities that are not affiliated Pavlik-Simon, 100 F St. NE., investment company respondents × 2
with an existing institution will incur a Washington DC, 20549 to: PRA_ responses per year) + (772 unit
significantly higher hourly burden in Mailbox@sec.gov. investment trust respondents × 1
reviewing and documenting their Dated: March 10, 2016. response per year)). The Commission
safeguard policies and procedures. We estimates that each registrant filing a
Robert W. Errett,
expect that virtually all of the newly report on Form N–SAR would spend, on
Deputy Secretary.
registered covered entities that do not average, approximately 14.21 hours in
have an affiliate are likely to be small [FR Doc. 2016–05858 Filed 3–15–16; 8:45 am] preparing and filing reports on Form N–
entities and are likely to have smaller BILLING CODE 8011–01–P SAR and that the total hour burden for
and less complex operations, with a all filings on Form N–SAR would be
correspondingly smaller set of safeguard 79,064 hours.
policies and procedures to document, SECURITIES AND EXCHANGE The collection of information under
compared to other larger existing COMMISSION Form N–SAR is mandatory. Responses
institutions with multiple affiliates. We [SEC File No. 270–292, OMB Control No. to the collection of information will not
estimate that it will take a typical newly 3235–0330] be kept confidential. An agency may not
registered unaffiliated institution conduct or sponsor, and a person is not
approximately 60 hours to review, Proposed Collection; Comment required to respond to a collection of
identify, and document their safeguard Request information unless it displays a
policies and procedures, for a total of Upon Written Request, Copies Available currently valid control number.
21,600 hours for all newly registered Written comments are invited on: (a)
From: Securities and Exchange
unaffiliated entities. We expect that half Whether the proposed collection of
Commission, Office of FOIA Services,
of this time would be incurred by inside information is necessary for the proper
100 F Street NE., Washington, DC
counsel at an hourly rate of $380, and performance of the functions of the
20549–2736.
half would be by a compliance officer at agency, including whether the
an hourly rate of $334, for a total cost Extension: information will have practical utility;
Form N–SAR. (b) the accuracy of the agency’s estimate
of $7,711,200.
Therefore, we estimate that the total Notice is hereby given that, pursuant of the burden of the collection of
annual hourly burden associated with to the Paperwork Reduction Act of 1995 information; (c) ways to enhance the
the safeguards rule is 34,200 hours at a (44 U.S.C. 3501 et seq.), the Securities quality, utility, and clarity of the
total hourly cost of $12,209,400. We also and Exchange Commission (the information collected; and (d) ways to
estimate that all covered institutions ‘‘Commission’’) is soliciting comments minimize the burden of the collection of
will be respondents each year, for a total on the collection of information information on respondents, including
of 20,173 respondents. summarized below. The Commission through the use of automated collection
These estimates of average burden plans to submit this existing collection techniques or other forms of information
hours are made solely for the purposes of information to the Office of technology. Consideration will be given
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of the Paperwork Reduction Act. An Management and Budget (‘‘OMB’’) for to comments and suggestions submitted
agency may not conduct or sponsor, and extension and approval. in writing within 60 days of this
a person is not required to respond to Form N–SAR (OMB Control No. publication.
a collection of information unless it 3235–0330, 17 CFR 249.330) is the form Please direct your written comments
displays a currently valid control used by all registered investment to Pamela Dyson, Director/Chief
number. The safeguard rule does not companies with the exception of face Information Officer, Securities and
require the reporting of any information amount certificate companies, to Exchange Commission, C/O Remi
or the filing of any documents with the comply with the periodic filing and Pavlik-Simon, 100 F Street NE.,

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Federal Register / Vol. 81, No. 51 / Wednesday, March 16, 2016 / Notices 14153

Washington, DC 20549; or send an email (A) Clearing Agency’s Statement of the believes that it can adopt a clearing fee
to: PRA_Mailbox@sec.gov. Purpose of, and Statutory Basis for, the structure that is less complex while
Dated: March 10, 2016. Proposed Rule Change continuing to meet the requirements of
Robert W. Errett, the Capital Plan. Therefore, OCC is
1. Purpose
proposing to adopt a flat, per contract,
Deputy Secretary.
The purpose of this proposed rule clearing fee subjected to a fixed dollar
[FR Doc. 2016–05857 Filed 3–15–16; 8:45 am] change is to amend OCC’s Schedule of cap. OCC believes all users of its
BILLING CODE 8011–01–P Fees in order to simplify OCC’s fee services and the public would benefit by
structure. The proposed changes to the simplicity and transparency that a
OCC’s Schedule of Fees would be flat fee structure with a fixed dollar cap
SECURITIES AND EXCHANGE effective as of May 2, 2016.
COMMISSION would provide. Additionally, OCC
OCC is proposing to simply [sic] its believes that a flat fee with a fixed
[Release No. 34–77336; File No. SR–OCC– fee structure through: (i) The adoption dollar cap would allow users of OCC’s
2016–005] of a flat clearing fee per contract with a services to execute trades without
fixed dollar cap and (ii) the elimination regard to the size of such trades, which
Self-Regulatory Organizations; The of the ‘‘scratch’’ fee.5 would, in turn, promote more open and
Options Clearing Corporation; Notice
Flat Fee Schedule equal access to clearance and settlement
of Filing and Immediate Effectiveness
services provided by OCC.
of Proposed Rule Change To Simplify Currently, OCC utilizes a tiered
the Options Clearing Corporation’s pricing model whereby the clearing fee Elimination of Scratch Fee
Schedule of Fees per contract is reduced as the number of Further, and in order to provide
March 10, 2016. contracts in a given trade increases additional simplicity, OCC would
Pursuant to Section 19(b)(1) of the (subject to a $46 cap for trades equal to eliminate the ‘‘scratch’’ fee. The
Securities Exchange Act of 1934 or greater than 2,001 contracts). OCC ‘‘scratch’’ fee applies to a limited subset
(‘‘Act’’),1 and Rule 19b–4 thereunder,2 recently compared its clearing fee of trades cleared by OCC 8 and OCC
notice is hereby given that on May 2, structure to those of its peer institutions believes that the operational processing
2016, The Options Clearing Corporation (i.e., other clearinghouses) and found associated with the ‘‘scratch’’ fee is
(‘‘OCC’’) filed with the Securities and that OCC’s current fee structure is more unnecessarily complex for both OCC
Exchange Commission (‘‘Commission’’) complex than those of its peers. OCC’s and its clearing members. Therefore,
the proposed rule change as described Capital Plan,6 and specifically the Fee OCC is proposing to eliminate the
in Items I, II, and III below, which Items Policy (which governs the process by ‘‘scratch’’ fee so that OCC and its
have been prepared primarily by OCC. which OCC determines its fee structure members’ operations, as they relate to
OCC filed the proposed rule change and was filed as part of the Capital processing of clearing fees, would be
pursuant to Section 19(b)(3)(A)(ii) 3 of Plan), requires OCC to set clearing fees more streamlined and efficient.
the Act and Rule 19b–4(f)(2) 4 to cover OCC’s operating expenses plus
thereunder so that the proposal was a Business Risk Buffer 7 of 25%. OCC OCC’S REVISED SCHEDULE OF FEES
effective upon filing with the IS SET FORTH BELOW 9
5 The ‘‘scratch’’ fee is charged, per side, when a
Commission. The Commission is market maker buys and sells the same symbol,
publishing this notice to solicit Trades with contracts
series and strike on the same day. Proposed fee
of:
comments on the rule change from 6 In 2015, the Commission approved (‘‘Approval

interested persons. Order’’) OCC’s plan for raising additional capital 0–1370 .......................... $0.041/contract.
(‘‘Capital Plan’’), which was put in place in light of
I. Clearing Agency’s Statement of the proposed regulatory capital requirements applicable
>1370 ........................... $55 per trade.
Terms of Substance of the Proposed to systemically important financial market utilities,
Rule Change such as OCC. See Securities Exchange Act Release The new fee structure is designed to be
No. 74452 (March 6, 2015) 80 FR 13058 (March 12, revenue neutral when compared to its
The purpose of this proposed rule 2015) (SR–OCC–2015–02). OCC also filed proposals existing fee structure.10
change by (‘‘OCC’’) is to amend OCC’s in the Capital Plan filing as an advance notice
under Section 806(e)(1) of the Payment, Clearing,
OCC will publish an Information
Schedule of Fees in order to simplify and Settlement Supervision Act of 2010. 12 U.S.C. Memo on its public Web site to inform
OCC’s fee structure. 5465(e)(1). On February 26, 2015, the Commission clearing members, exchanges and the
issued a notice of no objection to the advance notice public of the changes to OCC’s Schedule
II. Clearing Agency’s Statement of the filing. See Securities Exchange Act Release No.
Purpose of, and Statutory Basis for, the 74387 (February 26, 2015), 80 FR 12215 (March 6,
of Fees that would become effective
Proposed Rule Change 2015) (SR–OCC–2014–813). Following petitions for May 2, 2016. OCC is not aware of any
review of the approval order of the proposed rule clearing member concerns or issues
In its filing with the Commission, change filed by BATS Global Markets, Inc., BOX with the proposed changes to OCC’s
OCC included statements concerning Options Exchange LLC, KCG Holdings, Inc., Miami
the purpose of and basis for the International Securities Exchange, LLC, and
Susquehanna International Group, LLP, the subsequent proposed rule change filed with the
proposed rule change and discussed any Commission set aside the approval order of the Commission.
comments it received on the proposed proposed rule change, reviewed the record de novo, 8 Approximately 2.6% of trades cleared by OCC

rule change. The text of these statements and issued another approval of the Capital Plan on are market maker scratch trades.
February 11, 2016. See Securities Exchange Act 9 These changes are also reflected in Exhibit 5.
may be examined at the places specified
Release No. 77112 (February 11, 2016), 81 FR 8294 10 In accordance with its Fee Policy, OCC
in Item IV below. OCC has prepared (February 18, 2016) (SR–OCC–2015–02). monitors projected revenue (based on anticipated
mstockstill on DSK4VPTVN1PROD with NOTICES

summaries, set forth in sections (A), (B), 7 Business Risk Buffer is equal to net income cleared contract volume) and operating expenses to
and (C) below, of the most significant before refunds, dividends and taxes/total revenue. determine if revisions to OCC’s Schedule of Fees
aspects of these statements. In accordance with its Fee Policy, OCC monitors are required so that monies received from clearing
cleared contract volume and operating expenses to fees cover OCC’s operating expenses plus the
1 15
determine if revisions to OCC’s Schedule of Fees Business Risk Buffer. Assuming the same
U.S.C. 78s(b)(1). are required so that monies received from clearing anticipated cleared contract volume, OCC would
2 17 CFR 240.19b–4. fees cover OCC’s operating expenses [sic] this accumulate the same amount of revenue under the
3 15 U.S.C. 78s(b)(3)(A)(ii).
Business Risk Buffer. Any subsequent changes to proposed fee structure when compared to the
4 17 CFR 240.19b–4(f)(2). OCC’s Schedule of Fees would be the subject of a existing fee structure.

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Document Created: 2016-03-15 23:43:44
Document Modified: 2016-03-15 23:43:44

Category		Regulatory Information
Collection		Federal Register
sudoc Class		AE 2.7: GS 4.107: AE 2.106:
Publisher		Office of the Federal Register, National Archives and Records Administration
Section		Notices
FR Citation		81 FR 14152