Sale and Issue of Marketable Book-Entry Treasury Bills, Notes, and Bonds; Customer Confirmation Reporting Requirement Threshold Amount, 47099-47100 [E9-22147]

Download as PDF 47099 Federal Register / Vol. 74, No. 177 / Tuesday, September 15, 2009 / Rules and Regulations Authority: 29 U.S.C. 1301(a), 1302(b)(3), 1341, 1344, 1362. PART 4044—ALLOCATION OF ASSETS IN SINGLE-EMPLOYER PLANS Appendix B to Part 4044—Interest Rates Used To Value Benefits 5. In appendix B to part 4044, a new entry for October–December 2009, as set forth below, is added to the table. * ■ 4. The authority citation for part 4044 continues to read as follows: ■ * * * * The values of it are: For valuation dates occurring in the months— it * * * October–December 2009 ................................................. Issued in Washington, DC, on this 8th day of September 2009. Vincent K. Snowbarger, Acting Director, Pension Benefit Guaranty Corporation. [FR Doc. E9–22129 Filed 9–14–09; 8:45 am] BILLING CODE 7709–01–P DEPARTMENT OF THE TREASURY Fiscal Service 31 CFR Part 356 [Docket No. BPD GSRS 09–02] Sale and Issue of Marketable BookEntry Treasury Bills, Notes, and Bonds; Customer Confirmation Reporting Requirement Threshold Amount srobinson on DSKHWCL6B1PROD with RULES AGENCY: Bureau of the Public Debt, Fiscal Service, Treasury. ACTION: Final rule. SUMMARY: Treasury recently raised the customer confirmation reporting requirement threshold amount from $750 million to $2 billion for all Treasury marketable securities auctions. This final rule amends Treasury’s auction rules to conform to the new $2 billion threshold amount. DATES: Effective Date: Effective September 15, 2009. ADDRESSES: This final rule is available on the Bureau of the Public Debt’s Web site at: http://www.treasurydirect.gov. It is also available for public inspection and copying at the Treasury Department Library, Room 1428, Main Treasury Building, 1500 Pennsylvania Avenue, NW., Washington, DC, 20220. To visit the library, one can call (202) 622–0990 for an appointment. FOR FURTHER INFORMATION CONTACT: Lori Santamorena, Lee Grandy, or Kevin Hawkins, Department of the Treasury, Bureau of the Public Debt, Government VerDate Nov<24>2008 16:49 Sep 14, 2009 Jkt 217001 for t = it for t = 1–20 * 0.0501 >20 * 0.0530 Securities Regulations Staff, (202) 504– 3632. SUPPLEMENTARY INFORMATION: The Department of the Treasury (‘‘Treasury,’’ ‘‘we,’’ or ‘‘us’’) is issuing an amendment to 31 CFR 356.24(d) of the Uniform Offering Circular for the Sale and Issue of Marketable Book-Entry Treasury Bills, Notes, and Bonds (‘‘UOC’’ or ‘‘auction rules’’) 1 to raise the threshold amount for the customer confirmation reporting requirement from $750 million to $2 billion. In a press release on June 25, 2009, we announced that this new threshold amount would be effective beginning with auctions conducted on June 29, 2009.2 Beginning with the Treasury auctions announced on June 25, 2009, we stated the new threshold amount in each Treasury auction offering announcement.3 This final rule amends the UOC to conform to the new $2 billion threshold amount.4 Treasury is also restructuring, without making any substantive changes, the current § 356.24(d) to make clearer which provisions apply to customers and which apply to submitters and intermediaries. Starting in 1992, Treasury required customers 5 that were awarded a par 1 The UOC was published as a final rule on January 5, 1993, at 58 FR 412, and is codified, as amended, at 31 CFR part 356. The UOC, together with the offering announcement for each auction, sets out the terms and conditions for the sale and issuance by Treasury to the public of marketable book-entry Treasury bills, notes, and bonds. 2 Public Debt News Release on June 25, 2009, which is available at the Bureau of the Public Debt’s Web site at: http://www.treasurydirect.gov/instit/ annceresult/press/preanre/2009/ BPD_SPL_20090625_1.pdf. 3 See June 25, 2009 Treasury offering announcements for the 91-day, 182-day, and 364day Treasury bills. As noted in § 356.10, if anything in the auction announcement differs from the UOC, the auction announcement will control. 4 Once this final rule becomes effective, we will no longer include the customer confirmation threshold amount in each specific offering announcement. 5 ‘‘Customer’’ is already defined in the UOC as a bidder that directs a depository institution or dealer to submit or forward a bid for a specific amount of PO 00000 Frm 00053 Fmt 4700 Sfmt 4700 it * for t = * N/A N/A amount of $500 million or more in a Treasury auction to provide written confirmation of their awarded bids, including the name of the submitter that submitted the bids on their behalf.6 The confirmation must also include a statement with specific information related to the customer’s net long position.7 The customer must send the confirmation no later than 10 a.m. on the day following the auction. The UOC requires that the confirmation be in writing and signed by the customer or by an authorized representative.8 Treasury established the customer confirmation reporting requirement in order to verify the authenticity of large customer bids that resulted in securities being awarded. Treasury subsequently raised the customer confirmation reporting requirement threshold amount in § 356.24(d) from $500 million to $750 million, effective on January 1, 2007.9 Treasury auction offering amounts, on average, are substantially higher than when we last raised the customer confirmation reporting requirement threshold amount in 2007. For this reason, on June 25, 2009, Treasury again raised the customer confirmation threshold, from $750 million to $2 billion.10 We now amend the UOC to reflect that change. We have restructured § 356.24(d) to make clearer which provisions apply to customers and which apply to submitters and intermediaries. The new subparagraph (d)(1) states the customer securities in a specific auction on the bidder’s behalf. § 356.2. 6 § 356.24(d). See Department of the Treasury, Securities and Exchange Commission and Board of Governors of the Federal Reserve System, Joint Report on the Government Securities Market 7–8. (January 1992). 7 § 356.24(d). 8 If an authorized representative signs the confirmation, it must include the capacity in which the representative is acting. Id. 9 71 FR 76150, December 20, 2006. Treasury also added e-mail as an acceptable method for customers to send confirmations. 10 See note 2, supra. E:\FR\FM\15SER1.SGM 15SER1 47100 Federal Register / Vol. 74, No. 177 / Tuesday, September 15, 2009 / Rules and Regulations requirements, including the new threshold amount in (d)(1)(i). Subparagraph (d)(2) applies to submitters and intermediaries. Also, Treasury is making one change to the text in the new § 356.24(d)(1)(ii)(A), formerly in § 356.24(d)(1), to clarify that the customer must provide a confirmation of all of its awarded bids, including the name of ‘‘each’’ submitter that submitted bids on the customer’s behalf. In other words, if more than one submitter submitted bids for a customer, then that customer must still confirm all of its awarded bids, provided the total amount of the awarded bids is $2 billion or more. We are making an additional change to the language in the new § 356.24(d)(1)(i), formerly in § 356.24(d), to clarify that the customer must provide confirmation of the awarded bid(s) on the ‘‘next business’’ day following the auction.11 srobinson on DSKHWCL6B1PROD with RULES Regulatory Analysis and Review Executive Order 12866. This rule is not a significant regulatory action pursuant to Executive Order 12866. Administrative Procedure Act (APA). Because this rule relates to United States securities, which are contracts between Treasury and the owner of the security, this rule falls within the contract exception to the APA, 5 U.S.C. 553(a)(2). As a result, the notice, public comment, and delayed effective date provisions of the APA are inapplicable to this rule. Regulatory Flexibility Act. The provisions of the Regulatory Flexibility Act, 5 U.S.C. 601 et seq., do not apply to this rule because, pursuant to 5 U.S.C. 553(a)(2), it is not required to be issued with notice and opportunity for public comment. Paperwork Reduction Act (PRA). There is no new collection of information contained in this final rule that would be subject to the PRA, 44 U.S.C. 3501 et seq. Under the PRA, an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid OMB control number. The Office of Management and Budget already has approved all collections of information in 31 CFR part 356, under OMB control number 1535–0112. Congressional Review Act (CRA). This rule is not a major rule pursuant to the CRA, 5 U.S.C. 801 et seq., because it is a minor amendment to the reporting requirements Treasury places on 11 ‘‘Business day’’ is already defined in the UOC as any day on which the Federal Reserve Banks are open for business. § 356.2. VerDate Nov<24>2008 16:49 Sep 14, 2009 Jkt 217001 customers submitting bids in Treasury marketable securities auctions. This rule actually requires less reporting and therefore, is not expected to lead to any of the results listed in 5 U.S.C. 804(2). bids for a customer must notify the customer of the customer confirmation reporting requirement if we award the customer $2 billion or more as a result of those bids. List of Subjects in 31 CFR Part 356 Bonds, Federal Reserve System, Government securities, Securities. ■ For the reasons set forth in the preamble, 31 CFR part 356 is amended as follows: Richard L. Gregg, Acting Fiscal Assistant Secretary. [FR Doc. E9–22147 Filed 9–14–09; 8:45 am] PART 356—SALE AND ISSUE OF MARKETABLE BOOK-ENTRY TREASURY BILLS, NOTES, AND BONDS (DEPARTMENT OF THE TREASURY CIRCULAR, PUBLIC DEBT SERIES NO. 1–93) 1. The authority citation for part 356 continues to read as follows: ■ Authority: 5 U.S.C. 301; 31 U.S.C. 3102 et seq.; 12 U.S.C. 391. 2. Revise § 356.24(d) to read as follows: ■ § 356.24 Will I be notified directly of my awards and, if I am submitting bids for others, do I have to provide confirmations? * * * * * (d) Customer confirmation—(1) Customer requirements—(i) When and how must a customer confirm its awards? Any customer awarded a par amount of $2 billion or more in an auction must send us a confirmation in written form or via e-mail containing the information in paragraph (d)(1)(ii) of this section. The confirmation must be sent no later than 10 a.m. Eastern Time on the next business day following the auction. If sent in written form, the confirmation must be signed by the customer or authorized representative. Confirmations sent by e-mail must be sent by the customer or authorized representative. Confirmations signed or sent by an authorized representative must include the capacity in which the representative is acting. (ii) What must the customer include in its confirmation? The information the customer must provide is: (A) A confirmation of the awarded bid(s), including the name of each submitter that submitted the bid(s) on the customer’s behalf, and (B) A statement indicating whether the customer had a reportable net long position as defined in § 356.13. If a position had to be reported, the statement must provide the amount of the position and the name of the submitter that the customer requested to report the position. (2) Submitter or intermediary requirements. A submitter or intermediary submitting or forwarding PO 00000 Frm 00054 Fmt 4700 Sfmt 4700 BILLING CODE 4810–39–P FEDERAL COMMUNICATIONS COMMISSION 47 CFR Part 25 [IB Docket No. 02–10; FCC 09–63] Procedures To Govern the Use of Satellite Earth Stations on Board Vessels in the 5925–6425 MHz/3700– 4200 MHz Bands and 14.0–14.5 GHz/ 11.7–12.2 GHz Bands AGENCY: Federal Communications Commission. ACTION: Final rule. SUMMARY: In this document, the Federal Communications Commission (Commission) modifies its C-band and Ku-band licensing and service rules for Earth Stations on Board Vessels (ESVs) in order to promote greater ESV operational flexibility without causing harmful interference to the fixed service (FS) and fixed-satellite service (FSS) operators and a limited number of Government operations in those bands. DATES: Effective October 15, 2009, except for §§ 25.221(b)(1)(i) through (iii), 25.222(b)(1)(i) through (iii), 25.221(b)(1)(iv)(A), (B); 25.222(b)(1)(iv)(A), (B), 25.221(b)(2)(i) through (v), 25.222(b)(2)(i) through (v), 25.221(b)(4); 25.222(b)(4), which contain information collection requirements that are not effective until approved by the Office of Management and Budget. The Commission will publish a document in the Federal Register announcing the effective date for those sections. The Commission will send a copy of this Order on Reconsideration in a report to be sent to Congress and the Government Accountability Office pursuant to the Congressional Review Act, see 5 U.S.C. 801(a)(1)(A). FOR FURTHER INFORMATION CONTACT: Jennifer Balatan or Howard Griboff, Policy Division, International Bureau, (202) 418–1460. SUPPLEMENTARY INFORMATION: This is a summary of the Commission’s Order on Reconsideration, adopted on July 30, 2009, and released on July 31, 2009 (FCC 09–63). The full text of this E:\FR\FM\15SER1.SGM 15SER1

Agencies

[Federal Register Volume 74, Number 177 (Tuesday, September 15, 2009)]
[Rules and Regulations]
[Pages 47099-47100]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-22147]


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DEPARTMENT OF THE TREASURY

Fiscal Service

31 CFR Part 356

[Docket No. BPD GSRS 09-02]


Sale and Issue of Marketable Book-Entry Treasury Bills, Notes, 
and Bonds; Customer Confirmation Reporting Requirement Threshold Amount

AGENCY: Bureau of the Public Debt, Fiscal Service, Treasury.

ACTION: Final rule.

-----------------------------------------------------------------------

SUMMARY: Treasury recently raised the customer confirmation reporting 
requirement threshold amount from $750 million to $2 billion for all 
Treasury marketable securities auctions. This final rule amends 
Treasury's auction rules to conform to the new $2 billion threshold 
amount.

DATES: Effective Date: Effective September 15, 2009.

ADDRESSES: This final rule is available on the Bureau of the Public 
Debt's Web site at: http://www.treasurydirect.gov. It is also available 
for public inspection and copying at the Treasury Department Library, 
Room 1428, Main Treasury Building, 1500 Pennsylvania Avenue, NW., 
Washington, DC, 20220. To visit the library, one can call (202) 622-
0990 for an appointment.

FOR FURTHER INFORMATION CONTACT: Lori Santamorena, Lee Grandy, or Kevin 
Hawkins, Department of the Treasury, Bureau of the Public Debt, 
Government Securities Regulations Staff, (202) 504-3632.

SUPPLEMENTARY INFORMATION: The Department of the Treasury 
(``Treasury,'' ``we,'' or ``us'') is issuing an amendment to 31 CFR 
356.24(d) of the Uniform Offering Circular for the Sale and Issue of 
Marketable Book-Entry Treasury Bills, Notes, and Bonds (``UOC'' or 
``auction rules'') \1\ to raise the threshold amount for the customer 
confirmation reporting requirement from $750 million to $2 billion. In 
a press release on June 25, 2009, we announced that this new threshold 
amount would be effective beginning with auctions conducted on June 29, 
2009.\2\ Beginning with the Treasury auctions announced on June 25, 
2009, we stated the new threshold amount in each Treasury auction 
offering announcement.\3\ This final rule amends the UOC to conform to 
the new $2 billion threshold amount.\4\ Treasury is also restructuring, 
without making any substantive changes, the current Sec.  356.24(d) to 
make clearer which provisions apply to customers and which apply to 
submitters and intermediaries.
---------------------------------------------------------------------------

    \1\ The UOC was published as a final rule on January 5, 1993, at 
58 FR 412, and is codified, as amended, at 31 CFR part 356. The UOC, 
together with the offering announcement for each auction, sets out 
the terms and conditions for the sale and issuance by Treasury to 
the public of marketable book-entry Treasury bills, notes, and 
bonds.
    \2\ Public Debt News Release on June 25, 2009, which is 
available at the Bureau of the Public Debt's Web site at: http://www.treasurydirect.gov/instit/annceresult/press/preanre/2009/BPD_SPL_20090625_1.pdf.
    \3\ See June 25, 2009 Treasury offering announcements for the 
91-day, 182-day, and 364-day Treasury bills. As noted in Sec.  
356.10, if anything in the auction announcement differs from the 
UOC, the auction announcement will control.
    \4\ Once this final rule becomes effective, we will no longer 
include the customer confirmation threshold amount in each specific 
offering announcement.
---------------------------------------------------------------------------

    Starting in 1992, Treasury required customers \5\ that were awarded 
a par amount of $500 million or more in a Treasury auction to provide 
written confirmation of their awarded bids, including the name of the 
submitter that submitted the bids on their behalf.\6\ The confirmation 
must also include a statement with specific information related to the 
customer's net long position.\7\ The customer must send the 
confirmation no later than 10 a.m. on the day following the auction. 
The UOC requires that the confirmation be in writing and signed by the 
customer or by an authorized representative.\8\ Treasury established 
the customer confirmation reporting requirement in order to verify the 
authenticity of large customer bids that resulted in securities being 
awarded. Treasury subsequently raised the customer confirmation 
reporting requirement threshold amount in Sec.  356.24(d) from $500 
million to $750 million, effective on January 1, 2007.\9\ Treasury 
auction offering amounts, on average, are substantially higher than 
when we last raised the customer confirmation reporting requirement 
threshold amount in 2007. For this reason, on June 25, 2009, Treasury 
again raised the customer confirmation threshold, from $750 million to 
$2 billion.\10\ We now amend the UOC to reflect that change.
---------------------------------------------------------------------------

    \5\ ``Customer'' is already defined in the UOC as a bidder that 
directs a depository institution or dealer to submit or forward a 
bid for a specific amount of securities in a specific auction on the 
bidder's behalf. Sec.  356.2.
    \6\ Sec.  356.24(d). See Department of the Treasury, Securities 
and Exchange Commission and Board of Governors of the Federal 
Reserve System, Joint Report on the Government Securities Market 7-
8. (January 1992).
    \7\ Sec.  356.24(d).
    \8\ If an authorized representative signs the confirmation, it 
must include the capacity in which the representative is acting. Id.
    \9\ 71 FR 76150, December 20, 2006. Treasury also added e-mail 
as an acceptable method for customers to send confirmations.
    \10\ See note 2, supra.
---------------------------------------------------------------------------

    We have restructured Sec.  356.24(d) to make clearer which 
provisions apply to customers and which apply to submitters and 
intermediaries. The new subparagraph (d)(1) states the customer

[[Page 47100]]

requirements, including the new threshold amount in (d)(1)(i). 
Subparagraph (d)(2) applies to submitters and intermediaries.
    Also, Treasury is making one change to the text in the new Sec.  
356.24(d)(1)(ii)(A), formerly in Sec.  356.24(d)(1), to clarify that 
the customer must provide a confirmation of all of its awarded bids, 
including the name of ``each'' submitter that submitted bids on the 
customer's behalf. In other words, if more than one submitter submitted 
bids for a customer, then that customer must still confirm all of its 
awarded bids, provided the total amount of the awarded bids is $2 
billion or more.
    We are making an additional change to the language in the new Sec.  
356.24(d)(1)(i), formerly in Sec.  356.24(d), to clarify that the 
customer must provide confirmation of the awarded bid(s) on the ``next 
business'' day following the auction.\11\
---------------------------------------------------------------------------

    \11\ ``Business day'' is already defined in the UOC as any day 
on which the Federal Reserve Banks are open for business. Sec.  
356.2.
---------------------------------------------------------------------------

Regulatory Analysis and Review

    Executive Order 12866. This rule is not a significant regulatory 
action pursuant to Executive Order 12866.
    Administrative Procedure Act (APA). Because this rule relates to 
United States securities, which are contracts between Treasury and the 
owner of the security, this rule falls within the contract exception to 
the APA, 5 U.S.C. 553(a)(2). As a result, the notice, public comment, 
and delayed effective date provisions of the APA are inapplicable to 
this rule.
    Regulatory Flexibility Act. The provisions of the Regulatory 
Flexibility Act, 5 U.S.C. 601 et seq., do not apply to this rule 
because, pursuant to 5 U.S.C. 553(a)(2), it is not required to be 
issued with notice and opportunity for public comment.
    Paperwork Reduction Act (PRA). There is no new collection of 
information contained in this final rule that would be subject to the 
PRA, 44 U.S.C. 3501 et seq. Under the PRA, an agency may not conduct or 
sponsor, and a person is not required to respond to, a collection of 
information unless it displays a valid OMB control number. The Office 
of Management and Budget already has approved all collections of 
information in 31 CFR part 356, under OMB control number 1535-0112.
    Congressional Review Act (CRA). This rule is not a major rule 
pursuant to the CRA, 5 U.S.C. 801 et seq., because it is a minor 
amendment to the reporting requirements Treasury places on customers 
submitting bids in Treasury marketable securities auctions. This rule 
actually requires less reporting and therefore, is not expected to lead 
to any of the results listed in 5 U.S.C. 804(2).

List of Subjects in 31 CFR Part 356

    Bonds, Federal Reserve System, Government securities, Securities.


0
For the reasons set forth in the preamble, 31 CFR part 356 is amended 
as follows:

PART 356--SALE AND ISSUE OF MARKETABLE BOOK-ENTRY TREASURY BILLS, 
NOTES, AND BONDS (DEPARTMENT OF THE TREASURY CIRCULAR, PUBLIC DEBT 
SERIES NO. 1-93)

0
1. The authority citation for part 356 continues to read as follows:

    Authority:  5 U.S.C. 301; 31 U.S.C. 3102 et seq.; 12 U.S.C. 391.


0
2. Revise Sec.  356.24(d) to read as follows:


Sec.  356.24  Will I be notified directly of my awards and, if I am 
submitting bids for others, do I have to provide confirmations?

* * * * *
    (d) Customer confirmation--(1) Customer requirements--(i) When and 
how must a customer confirm its awards? Any customer awarded a par 
amount of $2 billion or more in an auction must send us a confirmation 
in written form or via e-mail containing the information in paragraph 
(d)(1)(ii) of this section. The confirmation must be sent no later than 
10 a.m. Eastern Time on the next business day following the auction. If 
sent in written form, the confirmation must be signed by the customer 
or authorized representative. Confirmations sent by e-mail must be sent 
by the customer or authorized representative. Confirmations signed or 
sent by an authorized representative must include the capacity in which 
the representative is acting.
    (ii) What must the customer include in its confirmation? The 
information the customer must provide is:
    (A) A confirmation of the awarded bid(s), including the name of 
each submitter that submitted the bid(s) on the customer's behalf, and
    (B) A statement indicating whether the customer had a reportable 
net long position as defined in Sec.  356.13. If a position had to be 
reported, the statement must provide the amount of the position and the 
name of the submitter that the customer requested to report the 
position.
    (2) Submitter or intermediary requirements. A submitter or 
intermediary submitting or forwarding bids for a customer must notify 
the customer of the customer confirmation reporting requirement if we 
award the customer $2 billion or more as a result of those bids.

Richard L. Gregg,
Acting Fiscal Assistant Secretary.
[FR Doc. E9-22147 Filed 9-14-09; 8:45 am]
BILLING CODE 4810-39-P