Self-Regulatory Organizations; Philadelphia Stock Exchange, Incorporated; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change Relating to a Session Fee Increase for the Regulatory Element of the Continuing Education Program, 5394-5396 [E6-1305]
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5394
Federal Register / Vol. 71, No. 21 / Wednesday, February 1, 2006 / Notices
employed.16 Accordingly, NYSE filed
Amendment No. 1 to the proposed rule
change to provide that ‘‘if a person
holding the AML Officer designation is
to be replaced by another person, and
the structure of the arrangement has
been previously approved by the
Exchange, then notice to the Exchange
of the designation change would be
sufficient if the previously approved
arrangement remained substantively
unchanged.’’ 17
IV. Solicitation of Comments
Interested persons are invited to
submit written data, views, and
arguments concerning Amendment No.
1, including whether Amendment No. 1
is consistent with the Act. Comments
may be submitted by any of the
following methods:
cchase on PROD1PC60 with NOTICES
Electronic Comments
• Use the Commission’s Internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send e-mail to rulecomments@sec.gov. Please include File
Number SR–NYSE–2005–36 on the
subject line.
Paper Comments
• Send paper comments in triplicate
to Nancy M. Morris, Secretary,
Securities and Exchange Commission,
100 F Street, NE., Washington, DC
20549–9303.
All submissions should refer to File
Number SR–NYSE–2005–36. This file
number should be included on the
subject line if e-mail 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 (https://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 inspection and copying in
the Commission’s Public Reference
Room. Copies of such filing also will be
available for inspection and copying at
the principal office of the NYSE. All
comments received will be posted
without change; the Commission does
not edit personal identifying
16 Id.
17 Id.
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17:49 Jan 31, 2006
Jkt 208001
information from submissions. You
should submit only information that
you wish to make available publicly. All
submissions should refer to File
Number SR–NYSE–2005–36 and should
be submitted on or before February 22,
2006.
V. Discussion and Findings
After careful review, the Commission
finds that the proposed rule change is
consistent with the requirements of the
Exchange Act and the rules and
regulations thereunder applicable to a
national securities exchange, and in
particular, with the requirements of
sections 6(b)(5) 18 of the Exchange Act.19
Section 6(b)(5) requires, among other
things, that the rules of an exchange be
designed to promote just and equitable
principles of trade, to remove
impediments to and perfect the
mechanism of a free and open market
and national market system, and in
general, to protect investors and the
public interest. The Commission
believes that the proposed rule change
is designed to accomplish these ends by
requiring members to conduct periodic
tests of their AML compliance
programs, preserve the independence of
their testing personnel, and ensure the
accuracy of their AML compliance
program.
Accelerated Approval of Amendment
No. 1
The Commission finds good cause for
approving Amendment No. 1 to the
proposed rule change prior to the
thirtieth day after the amendment is
published for comment in the Federal
Register pursuant to section 19(b)(2) of
the Act. Amendment No. 1 provides that
notice to the Exchange, as opposed to
approval by the Exchange, is required if
a person holding the AML Officer
designation (employed by an entity that
directly or indirectly controls, or is
controlled by, or is under common
control with the member or member
organization), is replaced by another
person and the structure of the
arrangement has been previously
approved by the Exchange. Permitting
Exchange members to submit a notice
instead of seeking prior approval, in
circumstances where the structure of the
arrangement in which an outside AML
Officer is employed has not changed,
will permit the Exchange to monitor
compliance while minimizing any
regulatory burden on members.
Accordingly, the Commission believes
18 15
U.S.C. 78f(b)(5).
19 In approving this proposal, the Commission has
considered the proposed rule’s impact on
efficiency, competition, and capital formation. See
15 U.S.C. 78c(f).
PO 00000
Frm 00163
Fmt 4703
Sfmt 4703
that accelerated approval of
Amendment No. 1 is appropriate.
VI. Conclusions
It is therefore ordered, pursuant to
section 19(b)(2) of the Act,20 that the
proposed rule change, as amended (SR–
NYSE–2005–36), be, and hereby is,
approved.
For the Commission, by the Division of
Market Regulation, pursuant to delegated
authority.21
Nancy M. Morris,
Secretary.
[FR Doc. E6–1227 Filed 1–31–06; 8:45 am]
BILLING CODE 8010–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–53180; File No. SR–Phlx–
2005–90]
Self-Regulatory Organizations;
Philadelphia Stock Exchange,
Incorporated; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change Relating to a Session Fee
Increase for the Regulatory Element of
the Continuing Education Program
January 26, 2006.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’)1, and Rule 19b–4 thereunder,2
notice is hereby given that on December
23, 2005, the Philadelphia Stock
Exchange, Inc. (‘‘Phlx’’ or ‘‘Exchange’’)
filed with the Securities and Exchange
Commission (‘‘SEC’’ or ‘‘Commission’’)
the proposed rule change as described
in Items I, II, and III below, which Items
have been prepared by Phlx. The
Exchange has designated this proposal
as one establishing or changing a due,
fee, or other charge imposed by Phlx
under Section 19(b)(3)(A)(ii) of the Act,3
and Rule 19b–4(f)(2) thereunder,4 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.
I. Self-Regulatory Organization’s
Statement of the Terms of Substance of
the Proposed Rule Change
The Phlx proposes to amend its
schedule of fees to increase the
Regulatory Element Session fee from
$60 to $75 effective January 1, 2006. The
text of this proposed rule change is
20 15
U.S.C. 78s(b)(2).
CFR 200.30–3(a)(12).
1 15 U.S.C. 78s(b)(1).
2 17 CFR 240.19b–4.
3 15 U.S.C. 78s(b)(3)(A)(ii).
4 17 CFR 240.19b–4(f)(2).
21 17
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Federal Register / Vol. 71, No. 21 / Wednesday, February 1, 2006 / Notices
available on the Exchange’s Web site
(https://www.phlx.com), at the Phlx, and
at the Commission’s Public Reference
Room.
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
Phlx 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 Phlx 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
cchase on PROD1PC60 with NOTICES
1. Purpose
The proposed rule change provides
notice to the Exchange’s membership of
the recent increase to the Regulatory
Element Session fee from $60 to $75
effective January 1, 2006. The
Regulatory Element, a computer-based
education program administered by the
National Association of Securities
Dealers, Inc. (‘‘NASD’’) to help ensure
that registered persons are kept up-todate on regulatory, compliance, and
sales practice matters in the industry, is
a component of the Securities Industry
Continuing Education Program
(‘‘Program’’). The Securities Industry/
Regulatory Council on Continuing
Education (‘‘Council’’)5 was organized
in 1995 to facilitate cooperative
industry/regulatory coordination of the
administration and future development
of the Program in keeping with
applicable industry regulations and
changing industry needs. Its roles
include recommending and helping
develop specific content and questions
for the Regulatory Element, defining
minimum core curricula for the Firm
Element component of the Program, and
developing and updating information
about the Program for industry-wide
dissemination.
It is the Council’s responsibility to
maintain the Program on a revenue
neutral basis while maintaining
adequate reserves for unanticipated
5 The Council currently consists of 20
individuals, 14 of whom are securities industry
professionals associated with NASD member firms,
and six of whom represent self-regulatory
organizations (the American Stock Exchange LLC,
the Chicago Board Options Exchange, Inc., the
Municipal Securities Rulemaking Board, NASD, the
New York Stock Exchange, Inc., and the Phlx).
VerDate Aug<31>2005
17:49 Jan 31, 2006
Jkt 208001
future expenditures.6 In December 2003,
the Council voted to reduce the
Regulatory Element session fee from $65
to $60 effective January 1, 2004, in order
to reduce the reserves to a level
necessary to support current and
expected programs and expenses. The
Council decided to review the reserve
level and evaluate the Regulatory
Element session fee on an annual basis.
The 2004 financial review and
evaluation produced no change in the
Regulatory Element session fee. In
September 2005, the Council’s annual
financial review and evaluation
revealed that unless the Regulatory
Element session fee were adjusted, the
Council’s reserves were likely to be
insufficient in 2006. The reasons for the
declining surplus are: (1) Lower than
projected session volume resulting in a
significant decrease in actual revenue
over projected revenue; (2) higher
delivery-related expenses beginning in
2006; and (3) costs associated with the
rebuilding of PROCTOR.7 At its
September 2005 meeting, the Council
voted unanimously to increase the
Regulatory Element session fee from $60
to $75, effective January 1, 2006, in
order to meet costs and maintain an
adequate reserve in 2006.
Pursuant to Exchange Rule 640, each
registered person is required to
complete the Regulatory Element of the
continuing education program.8 The
Regulatory Element Session fee
continues to be payable directly to the
NASD. A notice will be provided to the
Exchange’s membership of the increase
in the fee and the effective date of the
increase.
6 The Regulatory Element session fee was initially
set at $75 when NASD established the continuing
education requirements in 1995. The fee was
reduced in 1999 to $65 and again in 2004 to $60.
The proposed fee increase returns the Regulatory
Element session fee to its original level.
7 PROCTOR is a technology system that supports
computer-based testing and training. The
Regulatory Element program uses PROCTOR to
package content, deliver, score and report results,
and maintain and generate statistical data related to
the Program.
8 See Exchange Rule 640(a)(1) which states, ‘‘Each
registered person shall complete the Regulatory
Element of the continuing education program on
the occurrence of their second registration
anniversary date(s), and every three years thereafter
or as otherwise prescribed by the Exchange. On
each occasion, the Regulatory Element must be
completed within 120 days after the person’s
registration anniversary date. A person’s initial
registration date, also known as the ‘‘base date,’’
shall establish the cycle of anniversary dates for
purposes of this Rule. The content of the Regulatory
Element of the program shall be determined by the
Exchange for each registration category of persons
subject to the rule.’’
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Fmt 4703
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5395
2. Statutory Basis
The Exchange believes this is
consistent with Section 6(b) of the Act,9
in general, and furthers the objectives of
Section 6(b)(4)10 and 6(b)(5)11 of the
Act, in particular, in that it is an
equitable allocation of reasonable dues,
fees, and other charges among Phlx
members and other persons using its
facilities, and that Phlx rules must be
designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, and, in general, to protect
investors and the public interest. Phlx
believes that the proposed rule change
is designed to accomplish these ends by
enabling the Program to be maintained
on a revenue neutral basis while
maintaining adequate reserves for
unanticipated future expenditures.
B. Self-Regulatory Organization’s
Statement on Burden on Competition
The Phlx does not believe that the
proposed rule change will impose any
burden on competition that is 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 proposed rule change
has been designated as a fee change
pursuant to Section 19(b)(3)(A)(ii) of the
Act 12 and Rule 19b–4(f)(2)
thereunder,13 because it establishes or
changes a due, fee or other charge
imposed by the Exchange. Accordingly,
the proposal will take effect upon filing
with the Commission. At any time
within 60 days of the filing of the
proposed rule change, the Commission
may summarily abrogate 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,
9 15
U.S.C. 78f(b).
U.S.C. 78f(b)(4).
11 15 U.S.C. 78f(b)(5).
12 15 U.S.C. 78s(b)(3)(A)(ii).
13 17 CFR 240.19b–4(f)(2).
10 15
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5396
Federal Register / Vol. 71, No. 21 / Wednesday, February 1, 2006 / Notices
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 (https://www.sec.gov/
rules/sro.shtml); or
• Send an e-mail to rulecomments@sec.gov. Please include File
Number SR–Phlx–2005–90 on the
subject line.
SOCIAL SECURITY ADMINISTRATION
Privacy Act of 1974 as Amended;
Computer Matching Program (SSA/
Internal Revenue Service (IRS)—Match
Number 1016)
AGENCY:
Social Security Administration
(SSA).
Notice of the renewal of an
existing computer matching program,
which is scheduled to expire on
December 31, 2005.
ACTION:
SUMMARY: In accordance with the
provisions of the Privacy Act, as
amended, this notice announces the
• Send paper comments in triplicate
renewal of an existing computer
to Nancy M. Morris, Secretary,
matching program that SSA is currently
Securities and Exchange Commission,
conducting with the IRS.
100 F Street, NE., Washington, DC
DATES: IRS will file a report of the
20549–9303.
subject matching program with the
Committee on Homeland Security and
All submissions should refer to File
Governmental Affairs of the Senate, the
Number SR–Phlx–2005–90. This file
Committee on Government Reform of
number should be included on the
subject line if e-mail is used. To help the the House of Representatives, and the
Office of Information and Regulatory
Commission process and review your
Affairs, Office of Management and
comments more efficiently, please use
only one method. The Commission will Budget (OMB). The renewal of the
post all comments on the Commission’s matching program will be effective as
indicated below.
Internet Web site (https://www.sec.gov/
rules/sro.shtml). Copies of the
ADDRESSES: Interested parties may
submission, all subsequent
comment on this notice by either telefax
amendments, all written statements
to (410) 965–8582 or writing to the
Associate Commissioner, Office of
with respect to the proposed rule
Income Security Programs, 252
change that are filed with the
Altmeyer Building, 6401 Security
Commission, and all written
Boulevard, Baltimore, MD 21235–6401.
communications relating to the
All comments received will be available
proposed rule change between the
Commission and any person, other than for public inspection at this address.
those that may be withheld from the
FOR FURTHER INFORMATION CONTACT: The
public in accordance with the
Associate Commissioner for Income
provisions of 5 U.S.C. 552, will be
Security Programs as shown above.
available for inspection and copying in
SUPPLEMENTARY INFORMATION:
the Commission’s Public Reference
A. General
Room. Copies of the filing also will be
available for inspection and copying at
The Computer Matching and Privacy
the principal offices of the Phlx. All
Protection Act of 1988 (Public Law
comments received will be posted
(Pub. L.) 100–503), amended the Privacy
without change; the Commission does
Act (5 U.S.C. 552a) by describing the
not edit personal identifying
manner in which computer matching
information from submissions. You
involving Federal agencies could be
should submit only information that
performed and adding certain
you wish to make available publicly. All protections for individuals applying for,
submissions should refer to File
and receiving, Federal benefits. Section
Number SR–Phlx–2005–90 and should
7201 of the Omnibus Budget
be submitted on or before February 22,
Reconciliation Act of 1990 (Pub. L. 101–
2006.
508) further amended the Privacy Act
regarding protections for such
For the Commission, by the Division of
individuals.
Market Regulation, pursuant to delegated
The Privacy Act, as amended,
authority.14
regulates the use of computer matching
Nancy M. Morris,
by Federal agencies when records in a
Secretary.
system of records are matched with
[FR Doc. E6–1305 Filed 1–31–06; 8:45 am]
other Federal, State, or local government
BILLING CODE 8010–01–P
records. It requires Federal agencies
involved in computer matching
14 17 CFR 200.30–3(a)(12).
programs to:
cchase on PROD1PC60 with NOTICES
Paper Comments
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17:49 Jan 31, 2006
Jkt 208001
PO 00000
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Fmt 4703
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(1) Negotiate written agreements with
the other agency, or agencies,
participating in the matching programs;
(2) Obtain the Data Integrity Boards’
approval of the match agreements;
(3) Publish notice of the computer
matching program in the Federal
Register;
(4) Furnish detailed reports about
matching programs to Congress and
OMB;
(5) Notify applicants and beneficiaries
that their records are subject to
matching; and
(6) Verify match findings before
reducing, suspending, terminating, or
denying an individual’s benefits or
payments.
B. SSA Computer Matches Subject to
the Privacy Act
We have taken action to ensure that
all of SSA’s computer matching
programs comply with the requirements
of the Privacy Act, as amended.
Dated: December 7, 2005.
Martin H. Gerry,
Deputy Commissioner for Disability and
Income Security Programs.
Notice of Computer Matching Program,
Social Security Administration (SSA)
With Internal Revenue Service (IRS)
A. Participating Agencies
SSA and IRS.
B. Purpose of the Matching Program
The purpose of this matching program
is to establish conditions under which
IRS agrees to disclose to SSA certain
return information for use in verifying
eligibility for, and/or the correct amount
of, benefits provided under title XVI of
the Social Security Act, to qualified
aged, blind and disabled individuals,
and federally administered
supplementary payments of the type
described in section 1616(a) of such Act
(including payments pursuant to an
agreement entered into under section
212(a) of Pub. L. 93–66, 87 Stat. 152).
C. Authority for Conducting the
Matching Program
Section 6103(1)(7) of the Internal
Revenue Code (26 U.S.C. 6103(1)(7))
authorizes the IRS to disclose return
information with respect to unearned
income to Federal, State, and local
agencies administering certain benefit
programs under the Social Security Act.
Section 1631(e)(1)(B) of the Social
Security Act (42 U.S.C. 1383(e)(1)(B))
requires verification of Supplemental
Security Income (SSI) eligibility and
benefit amounts with independent or
collateral sources.
E:\FR\FM\01FEN1.SGM
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]]>Agencies
[Federal Register Volume 71, Number 21 (Wednesday, February 1, 2006)]
[Notices]
[Pages 5394-5396]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E6-1305]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-53180; File No. SR-Phlx-2005-90]
Self-Regulatory Organizations; Philadelphia Stock Exchange,
Incorporated; Notice of Filing and Immediate Effectiveness of a
Proposed Rule Change Relating to a Session Fee Increase for the
Regulatory Element of the Continuing Education Program
January 26, 2006.
Pursuant to Section 19(b)(1) of the Securities Exchange Act of 1934
(``Act'')\1\, and Rule 19b-4 thereunder,\2\ notice is hereby given that
on December 23, 2005, the Philadelphia Stock Exchange, Inc. (``Phlx''
or ``Exchange'') filed with the Securities and Exchange Commission
(``SEC'' or ``Commission'') the proposed rule change as described in
Items I, II, and III below, which Items have been prepared by Phlx. The
Exchange has designated this proposal as one establishing or changing a
due, fee, or other charge imposed by Phlx under Section 19(b)(3)(A)(ii)
of the Act,\3\ and Rule 19b-4(f)(2) thereunder,\4\ 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.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 17 CFR 240.19b-4.
\3\ 15 U.S.C. 78s(b)(3)(A)(ii).
\4\ 17 CFR 240.19b-4(f)(2).
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Phlx proposes to amend its schedule of fees to increase the
Regulatory Element Session fee from $60 to $75 effective January 1,
2006. The text of this proposed rule change is
[[Page 5395]]
available on the Exchange's Web site (https://www.phlx.com), at the
Phlx, and at the Commission's Public Reference Room.
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 Phlx 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 Phlx 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
The proposed rule change provides notice to the Exchange's
membership of the recent increase to the Regulatory Element Session fee
from $60 to $75 effective January 1, 2006. The Regulatory Element, a
computer-based education program administered by the National
Association of Securities Dealers, Inc. (``NASD'') to help ensure that
registered persons are kept up-to-date on regulatory, compliance, and
sales practice matters in the industry, is a component of the
Securities Industry Continuing Education Program (``Program''). The
Securities Industry/Regulatory Council on Continuing Education
(``Council'')\5\ was organized in 1995 to facilitate cooperative
industry/regulatory coordination of the administration and future
development of the Program in keeping with applicable industry
regulations and changing industry needs. Its roles include recommending
and helping develop specific content and questions for the Regulatory
Element, defining minimum core curricula for the Firm Element component
of the Program, and developing and updating information about the
Program for industry-wide dissemination.
---------------------------------------------------------------------------
\5\ The Council currently consists of 20 individuals, 14 of whom
are securities industry professionals associated with NASD member
firms, and six of whom represent self-regulatory organizations (the
American Stock Exchange LLC, the Chicago Board Options Exchange,
Inc., the Municipal Securities Rulemaking Board, NASD, the New York
Stock Exchange, Inc., and the Phlx).
---------------------------------------------------------------------------
It is the Council's responsibility to maintain the Program on a
revenue neutral basis while maintaining adequate reserves for
unanticipated future expenditures.\6\ In December 2003, the Council
voted to reduce the Regulatory Element session fee from $65 to $60
effective January 1, 2004, in order to reduce the reserves to a level
necessary to support current and expected programs and expenses. The
Council decided to review the reserve level and evaluate the Regulatory
Element session fee on an annual basis. The 2004 financial review and
evaluation produced no change in the Regulatory Element session fee. In
September 2005, the Council's annual financial review and evaluation
revealed that unless the Regulatory Element session fee were adjusted,
the Council's reserves were likely to be insufficient in 2006. The
reasons for the declining surplus are: (1) Lower than projected session
volume resulting in a significant decrease in actual revenue over
projected revenue; (2) higher delivery-related expenses beginning in
2006; and (3) costs associated with the rebuilding of
PROCTOR[supreg].\7\ At its September 2005 meeting, the Council voted
unanimously to increase the Regulatory Element session fee from $60 to
$75, effective January 1, 2006, in order to meet costs and maintain an
adequate reserve in 2006.
---------------------------------------------------------------------------
\6\ The Regulatory Element session fee was initially set at $75
when NASD established the continuing education requirements in 1995.
The fee was reduced in 1999 to $65 and again in 2004 to $60. The
proposed fee increase returns the Regulatory Element session fee to
its original level.
\7\ PROCTOR[supreg] is a technology system that supports
computer-based testing and training. The Regulatory Element program
uses PROCTOR[supreg] to package content, deliver, score and report
results, and maintain and generate statistical data related to the
Program.
---------------------------------------------------------------------------
Pursuant to Exchange Rule 640, each registered person is required
to complete the Regulatory Element of the continuing education
program.\8\ The Regulatory Element Session fee continues to be payable
directly to the NASD. A notice will be provided to the Exchange's
membership of the increase in the fee and the effective date of the
increase.
---------------------------------------------------------------------------
\8\ See Exchange Rule 640(a)(1) which states, ``Each registered
person shall complete the Regulatory Element of the continuing
education program on the occurrence of their second registration
anniversary date(s), and every three years thereafter or as
otherwise prescribed by the Exchange. On each occasion, the
Regulatory Element must be completed within 120 days after the
person's registration anniversary date. A person's initial
registration date, also known as the ``base date,'' shall establish
the cycle of anniversary dates for purposes of this Rule. The
content of the Regulatory Element of the program shall be determined
by the Exchange for each registration category of persons subject to
the rule.''
---------------------------------------------------------------------------
2. Statutory Basis
The Exchange believes this is consistent with Section 6(b) of the
Act,\9\ in general, and furthers the objectives of Section 6(b)(4)\10\
and 6(b)(5)\11\ of the Act, in particular, in that it is an equitable
allocation of reasonable dues, fees, and other charges among Phlx
members and other persons using its facilities, and that Phlx rules
must be designed to prevent fraudulent and manipulative acts and
practices, to promote just and equitable principles of trade, and, in
general, to protect investors and the public interest. Phlx believes
that the proposed rule change is designed to accomplish these ends by
enabling the Program to be maintained on a revenue neutral basis while
maintaining adequate reserves for unanticipated future expenditures.
---------------------------------------------------------------------------
\9\ 15 U.S.C. 78f(b).
\10\ 15 U.S.C. 78f(b)(4).
\11\ 15 U.S.C. 78f(b)(5).
---------------------------------------------------------------------------
B. Self-Regulatory Organization's Statement on Burden on Competition
The Phlx does not believe that the proposed rule change will impose
any burden on competition that is 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 proposed rule change has been designated as a fee
change pursuant to Section 19(b)(3)(A)(ii) of the Act \12\ and Rule
19b-4(f)(2) thereunder,\13\ because it establishes or changes a due,
fee or other charge imposed by the Exchange. Accordingly, the proposal
will take effect upon filing with the Commission. At any time within 60
days of the filing of the proposed rule change, the Commission may
summarily abrogate 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.
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\12\ 15 U.S.C. 78s(b)(3)(A)(ii).
\13\ 17 CFR 240.19b-4(f)(2).
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IV. Solicitation of Comments
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing,
[[Page 5396]]
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 (https://
www.sec.gov/rules/sro.shtml); or
Send an e-mail to rule-comments@sec.gov. Please include
File Number SR-Phlx-2005-90 on the subject line.
Paper Comments
Send paper comments in triplicate to Nancy M. Morris,
Secretary, Securities and Exchange Commission, 100 F Street, NE.,
Washington, DC 20549-9303.
All submissions should refer to File Number SR-Phlx-2005-90. This file
number should be included on the subject line if e-mail 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 (https://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 inspection and
copying in the Commission's Public Reference Room. Copies of the filing
also will be available for inspection and copying at the principal
offices of the Phlx. 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-Phlx-2005-90 and should be submitted on or before February 22, 2006.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12).
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Nancy M. Morris,
Secretary.
[FR Doc. E6-1305 Filed 1-31-06; 8:45 am]
BILLING CODE 8010-01-P
