Securities Act of 1933, Release No. 9721/February 4, 2015; Securities Exchange Act of 1934, Release No. 74203/February 4, 2015; Order Approving Public Company Accounting Oversight Board Budget and Annual Accounting Support Fee for Calendar Year 2015, 7511-7512 [2015-02637]
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Federal Register / Vol. 80, No. 27 / Tuesday, February 10, 2015 / Notices
relying on section 3(c)(1) or 3(c)(7) of
the Act in excess of the limits contained
in section 12(d)(1)(A) of the Act, except
to the extent permitted by exemptive
relief from the Commission permitting
the Fund to purchase shares of other
investment companies for short-term
cash management purposes.
For the Commission, by the Division of
Investment Management, under delegated
authority.
Brent J. Fields,
Secretary.
[FR Doc. 2015–02660 Filed 2–9–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
rljohnson on DSK3VPTVN1PROD with NOTICES
Sunshine Act Meeting
Notice is hereby given, pursuant to
the provisions of the Government in the
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission will hold a Closed Meeting
on Thursday, February 12, 2015 at 2:00
p.m.
Commissioners, Counsel to the
Commissioners, the Secretary to the
Commission, and recording secretaries
will attend the Closed Meeting. Certain
staff members who have an interest in
the matters also may be present.
The General Counsel of the
Commission, or her designee, has
certified that, in her opinion, one or
more of the exemptions set forth in 5
U.S.C. 552b(c)(3), (5), (7), 9(B) and (10)
and 17 CFR 200.402(a)(3), (5), (7), 9(ii)
and (10), permit consideration of the
scheduled matter at the Closed Meeting.
Commissioner Gallagher, as duty
officer, voted to consider the items
listed for the Closed Meeting in closed
session.
The subject matter of the Closed
Meeting will be:
Institution and settlement of injunctive
actions;
Institution and settlement of
administrative proceedings;
Opinion; and
Other matters relating to enforcement
proceedings.
At times, changes in Commission
priorities require alterations in the
scheduling of meeting items.
For further information and to
ascertain what, if any, matters have been
added, deleted or postponed, please
contact the Office of the Secretary at
(202) 551–5400.
Dated: February 5, 2015.
Brent J. Fields,
Secretary.
SECURITIES AND EXCHANGE
COMMISSION
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting
Securities Act of 1933, Release No.
9721/February 4, 2015; Securities
Exchange Act of 1934, Release No.
74203/February 4, 2015; Order
Approving Public Company
Accounting Oversight Board Budget
and Annual Accounting Support Fee
for Calendar Year 2015
Notice is hereby given, pursuant to
the provisions of the Government in the
Sunshine Act, Public Law 94–409, that
the Securities and Exchange
Commission Investor Advisory
Committee will hold a meeting on
Thursday, February 12, 2015, in MultiPurpose Room LL–006 at the
Commission’s headquarters, 100 F
Street NE., Washington, DC. The
meeting will begin at 10:00 a.m. (ET)
and will be open to the public. Seating
will be on a first-come, first-served
basis. Doors will open at 9:30 a.m.
Visitors will be subject to security
checks. The meeting will be Webcast on
the Commission’s Web site at
www.sec.gov.
On January 21, 2015, the Commission
issued notice of the Committee meeting
(Release No. 33–9707), indicating that
the meeting is open to the public
(except during portions of the meeting
reserved for meetings of the
Committee’s subcommittees), and
inviting the public to submit written
comments to the Committee. This
Sunshine Act notice is being issued
because a quorum of the Commission
may attend the meeting.
The agenda for the meeting includes:
Remarks from Commissioners; a
recommendation of the Market
Structure subcommittee on shortening
the trade settlement cycle; a discussion
of proxy access; an update on the rule
proposal of the Financial Industry
Regulatory Authority (‘‘FINRA’’)
regarding implementation of the
Comprehensive Automated Risk Data
System; an update on Municipal
Securities Rulemaking Board and
FINRA proposals for improved
disclosures for same-day, retail-size
principal transactions in fixed income
securities; and nonpublic subcommittee
meetings.
For further information, please
contact the Office of the Secretary at
(202) 551–5400.
Dated: February 5, 2015.
Brent J. Fields,
Secretary.
[FR Doc. 2015–02795 Filed 2–6–15; 11:15 am]
BILLING CODE 8011–01–P
U.S.C. 7201 et seq.
Law 111–203, 124 Stat. 1376 (2010).
3 17 CFR 202.190.
2 Public
BILLING CODE 8011–01–P
15:20 Feb 09, 2015
The Sarbanes-Oxley Act of 2002, as
amended (the ‘‘Sarbanes-Oxley Act’’),1
established the Public Company
Accounting Oversight Board (‘‘PCAOB’’)
to oversee the audits of companies that
are subject to the securities laws, and
related matters, in order to protect the
interests of investors and further the
public interest in the preparation of
informative, accurate and independent
audit reports. The PCAOB is to
accomplish these goals through
registration of public accounting firms
and standard setting, inspection, and
disciplinary programs. The PCAOB is
subject to the comprehensive oversight
of the Securities and Exchange
Commission (the ‘‘Commission’’).
Section 109 of the Sarbanes-Oxley Act
provides that the PCAOB shall establish
a reasonable annual accounting support
fee, as may be necessary or appropriate
to establish and maintain the PCAOB.
Under Section 109(f) of the SarbanesOxley Act, the aggregate annual
accounting support fee shall not exceed
the PCAOB’s aggregate ‘‘recoverable
budget expenses,’’ which may include
operating, capital and accrued items.
The PCAOB’s annual budget and
accounting support fee are subject to
approval by the Commission.
Section 982 of the Dodd-Frank Wall
Street Reform and Consumer Protection
Act (the ‘‘Dodd-Frank Act’’) 2 amended
the Sarbanes-Oxley Act to provide the
PCAOB with explicit authority to
oversee auditors of broker-dealers
registered with the Commission. In
addition, the PCAOB must allocate the
annual accounting support fee among
issuers and among brokers and dealers.
Section 109(b) of the Sarbanes-Oxley
Act directs the PCAOB to establish a
budget for each fiscal year in accordance
with the PCAOB’s internal procedures,
subject to approval by the Commission.
Rule 190 of Regulation P facilitates the
Commission’s review and approval of
PCAOB budgets and annual accounting
support fees.3 This budget rule
provides, among other things, a
timetable for the preparation and
1 15
[FR Doc. 2015–02797 Filed 2–6–15; 11:15 am]
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Jkt 235001
7511
PO 00000
Frm 00110
Fmt 4703
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rljohnson on DSK3VPTVN1PROD with NOTICES
7512
Federal Register / Vol. 80, No. 27 / Tuesday, February 10, 2015 / Notices
submission of the PCAOB budget and
for Commission actions related to each
budget, a description of the information
that should be included in each budget
submission, limits on the PCAOB’s
ability to incur expenses and obligations
except as provided in the approved
budget, procedures relating to
supplemental budget requests,
requirements for the PCAOB to furnish
on a quarterly basis certain budgetrelated information, and a list of
definitions that apply to the rule and to
general discussions of PCAOB budget
matters.
In accordance with the budget rule, in
March 2014 the PCAOB provided the
Commission with a narrative
description of its program issues and
outlook for the 2015 budget year. In
response, the Commission provided the
PCAOB with economic assumptions and
budgetary guidance for the 2015 budget
year. The PCAOB subsequently
delivered a preliminary budget and
budget justification to the Commission.
Staff from the Commission’s Offices of
the Chief Accountant and Financial
Management dedicated a substantial
amount of time to the review and
analysis of the PCAOB’s programs,
projects and budget estimates; reviewed
the PCAOB’s estimates of 2014 actual
spending; and attended several meetings
with management and staff of the
PCAOB to further develop its
understanding of the PCAOB’s budget
and operations. During the course of
this review, Commission staff relied
upon representations and supporting
documentation from the PCAOB. Based
on this review, the Commission issued
a ‘‘pass back’’ letter to the PCAOB. On
November 25, 2014, the PCAOB
approved its 2015 budget during an
open meeting, and subsequently
submitted that budget to the
Commission for approval.
After considering the above, the
Commission did not identify any
proposed disbursements in the 2015
budget adopted by the PCAOB that are
not properly recoverable through the
annual accounting support fee, and the
Commission believes that the aggregate
proposed 2015 annual accounting
support fee does not exceed the
PCAOB’s aggregate recoverable budget
expenses for 2015. The Commission also
acknowledges the PCAOB’s updated
strategic plan and encourages the
PCAOB to continue keeping the
Commission and its staff apprised of
developments throughout the PCAOB’s
implementation of its near-term priority
projects. The Commission looks forward
to providing views to the PCAOB as
future updates are made to the plan.
VerDate Sep<11>2014
15:20 Feb 09, 2015
Jkt 235001
The Commission is aware that some
of the projects on the PCAOB’s standard
setting agenda to update auditing and
quality control standards have been
slow to advance. The Commission also
understands that the Board intends to
undertake a review of performance and
management of the standard setting
agenda. The Commission directs the
PCAOB during 2015 to provide timely
updates to the Commission’s staff on the
Board’s evaluation of all aspects of its
standard setting process including
performance and management of the
process and the potential actions being
considered by the Board for process
improvements. The Commission also
directs the PCAOB, upon its finalization
of a process improvement plan for the
standard setting agenda, to include in its
quarterly reports to the Commission
updates on the Board’s assessment of
the improvements in the performance
and management of the standard setting
agenda.
Similarly, as part of its review of the
2015 budget, the Commission notes that
the Center for Economic Analysis
(‘‘Center’’), established in 2014, requires
continued Board oversight to align its
activities with the PCAOB’s mission.
The Commission directs the PCAOB
during 2015 to provide timely updates
to the Commission’s staff on the
activities of the Center, including with
respect to defining its role and aligning
its activities with the Board’s mission.
The Commission also directs the
PCAOB to include in its quarterly
reports to the Commission, updates on
the Board’s assessment of the
performance of the Center.
The Commission understands that in
recent years the PCAOB has taken
significant and productive steps to
improve its information technology
(‘‘IT’’) program. These steps include IT
staffing changes, implementing stronger
IT governance structures, and
strengthening Board oversight of its IT
program. Based upon updates provided
by the PCAOB, the Commission also
understands that these efforts are
ongoing; and directs the Board to
continue to provide in its quarterly
reports to the Commission detailed
information about the state of the
PCAOB’s IT program, including
planned, estimated, and actual costs for
IT projects, and the level of involvement
of consultants. These reports also
should continue to include: (a) A
discussion of the Board’s assessment of
the progress and implementation of the
Board actions mentioned above; and (b)
the quarterly IT report that is prepared
by PCAOB staff and submitted to the
Board.
PO 00000
Frm 00111
Fmt 4703
Sfmt 4703
The Commission also directs the
PCAOB during 2015 to continue to
include in its quarterly reports to the
Commission information about the
PCAOB’s inspections program. Such
information is to include: (a) Statistics
relative to the numbers and types of
firms budgeted and expected to be
inspected in 2015, including by location
and by year the inspections are required
to be conducted in accordance with the
Sarbanes-Oxley Act and PCAOB rules;
(b) information about the timing of the
issuance of inspections reports for
domestic and non-U.S. inspections; and
(c) updates on the PCAOB’s efforts to
establish cooperative arrangements with
respective non-U.S. authorities for
inspections required in those countries.
The Commission understands that the
Office of Management and Budget
(‘‘OMB’’) has determined the 2015
budget of the PCAOB to be sequestrable
under the Budget Control Act of 2011.4
Unless legislation occurs that avoids
sequestration, we expect the PCAOB
will have approximately $1 million in
excess funds available from the 2014
sequestration for spending in 2015. As
such, the PCAOB has reduced its
accounting support fee for 2015 by
approximately $1 million.
The Commission has determined that
the PCAOB’s 2015 budget and annual
accounting support fee are consistent
with Section 109 of the Sarbanes-Oxley
Act. Accordingly,
It is ordered, pursuant to Section 109
of the Sarbanes-Oxley Act, that the
PCAOB budget and annual accounting
support fee for calendar year 2015 are
approved.
By the Commission.
Brent J. Fields,
Secretary.
[FR Doc. 2015–02637 Filed 2–9–15; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–74201; File No. SR–BOX–
2015–08]
Self-Regulatory Organizations; BOX
Options Exchange LLC; Notice of
Filing and Immediate Effectiveness of
a Proposed Rule Change Relating to
the Options Regulatory Fee
February 4, 2015.
Pursuant to Section 19(b)(1) under the
Securities Exchange Act of 1934 (the
4 See ‘‘OMB Report to the Congress on the Joint
Committee Reductions for Fiscal Year 2015’’,
Appendix page 17 of 17 at: https://
www.whitehouse.gov/sites/default/files/omb/assets/
legislative_reports/sequestration_order_report_
march2014.pdf
E:\FR\FM\10FEN1.SGM
10FEN1
]]>Agencies
[Federal Register Volume 80, Number 27 (Tuesday, February 10, 2015)]
[Notices]
[Pages 7511-7512]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-02637]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Securities Act of 1933, Release No. 9721/February 4, 2015;
Securities Exchange Act of 1934, Release No. 74203/February 4, 2015;
Order Approving Public Company Accounting Oversight Board Budget and
Annual Accounting Support Fee for Calendar Year 2015
The Sarbanes-Oxley Act of 2002, as amended (the ``Sarbanes-Oxley
Act''),\1\ established the Public Company Accounting Oversight Board
(``PCAOB'') to oversee the audits of companies that are subject to the
securities laws, and related matters, in order to protect the interests
of investors and further the public interest in the preparation of
informative, accurate and independent audit reports. The PCAOB is to
accomplish these goals through registration of public accounting firms
and standard setting, inspection, and disciplinary programs. The PCAOB
is subject to the comprehensive oversight of the Securities and
Exchange Commission (the ``Commission'').
---------------------------------------------------------------------------
\1\ 15 U.S.C. 7201 et seq.
---------------------------------------------------------------------------
Section 109 of the Sarbanes-Oxley Act provides that the PCAOB shall
establish a reasonable annual accounting support fee, as may be
necessary or appropriate to establish and maintain the PCAOB. Under
Section 109(f) of the Sarbanes-Oxley Act, the aggregate annual
accounting support fee shall not exceed the PCAOB's aggregate
``recoverable budget expenses,'' which may include operating, capital
and accrued items. The PCAOB's annual budget and accounting support fee
are subject to approval by the Commission.
Section 982 of the Dodd-Frank Wall Street Reform and Consumer
Protection Act (the ``Dodd-Frank Act'') \2\ amended the Sarbanes-Oxley
Act to provide the PCAOB with explicit authority to oversee auditors of
broker-dealers registered with the Commission. In addition, the PCAOB
must allocate the annual accounting support fee among issuers and among
brokers and dealers.
---------------------------------------------------------------------------
\2\ Public Law 111-203, 124 Stat. 1376 (2010).
---------------------------------------------------------------------------
Section 109(b) of the Sarbanes-Oxley Act directs the PCAOB to
establish a budget for each fiscal year in accordance with the PCAOB's
internal procedures, subject to approval by the Commission. Rule 190 of
Regulation P facilitates the Commission's review and approval of PCAOB
budgets and annual accounting support fees.\3\ This budget rule
provides, among other things, a timetable for the preparation and
[[Page 7512]]
submission of the PCAOB budget and for Commission actions related to
each budget, a description of the information that should be included
in each budget submission, limits on the PCAOB's ability to incur
expenses and obligations except as provided in the approved budget,
procedures relating to supplemental budget requests, requirements for
the PCAOB to furnish on a quarterly basis certain budget-related
information, and a list of definitions that apply to the rule and to
general discussions of PCAOB budget matters.
---------------------------------------------------------------------------
\3\ 17 CFR 202.190.
---------------------------------------------------------------------------
In accordance with the budget rule, in March 2014 the PCAOB
provided the Commission with a narrative description of its program
issues and outlook for the 2015 budget year. In response, the
Commission provided the PCAOB with economic assumptions and budgetary
guidance for the 2015 budget year. The PCAOB subsequently delivered a
preliminary budget and budget justification to the Commission. Staff
from the Commission's Offices of the Chief Accountant and Financial
Management dedicated a substantial amount of time to the review and
analysis of the PCAOB's programs, projects and budget estimates;
reviewed the PCAOB's estimates of 2014 actual spending; and attended
several meetings with management and staff of the PCAOB to further
develop its understanding of the PCAOB's budget and operations. During
the course of this review, Commission staff relied upon representations
and supporting documentation from the PCAOB. Based on this review, the
Commission issued a ``pass back'' letter to the PCAOB. On November 25,
2014, the PCAOB approved its 2015 budget during an open meeting, and
subsequently submitted that budget to the Commission for approval.
After considering the above, the Commission did not identify any
proposed disbursements in the 2015 budget adopted by the PCAOB that are
not properly recoverable through the annual accounting support fee, and
the Commission believes that the aggregate proposed 2015 annual
accounting support fee does not exceed the PCAOB's aggregate
recoverable budget expenses for 2015. The Commission also acknowledges
the PCAOB's updated strategic plan and encourages the PCAOB to continue
keeping the Commission and its staff apprised of developments
throughout the PCAOB's implementation of its near-term priority
projects. The Commission looks forward to providing views to the PCAOB
as future updates are made to the plan.
The Commission is aware that some of the projects on the PCAOB's
standard setting agenda to update auditing and quality control
standards have been slow to advance. The Commission also understands
that the Board intends to undertake a review of performance and
management of the standard setting agenda. The Commission directs the
PCAOB during 2015 to provide timely updates to the Commission's staff
on the Board's evaluation of all aspects of its standard setting
process including performance and management of the process and the
potential actions being considered by the Board for process
improvements. The Commission also directs the PCAOB, upon its
finalization of a process improvement plan for the standard setting
agenda, to include in its quarterly reports to the Commission updates
on the Board's assessment of the improvements in the performance and
management of the standard setting agenda.
Similarly, as part of its review of the 2015 budget, the Commission
notes that the Center for Economic Analysis (``Center''), established
in 2014, requires continued Board oversight to align its activities
with the PCAOB's mission. The Commission directs the PCAOB during 2015
to provide timely updates to the Commission's staff on the activities
of the Center, including with respect to defining its role and aligning
its activities with the Board's mission. The Commission also directs
the PCAOB to include in its quarterly reports to the Commission,
updates on the Board's assessment of the performance of the Center.
The Commission understands that in recent years the PCAOB has taken
significant and productive steps to improve its information technology
(``IT'') program. These steps include IT staffing changes, implementing
stronger IT governance structures, and strengthening Board oversight of
its IT program. Based upon updates provided by the PCAOB, the
Commission also understands that these efforts are ongoing; and directs
the Board to continue to provide in its quarterly reports to the
Commission detailed information about the state of the PCAOB's IT
program, including planned, estimated, and actual costs for IT
projects, and the level of involvement of consultants. These reports
also should continue to include: (a) A discussion of the Board's
assessment of the progress and implementation of the Board actions
mentioned above; and (b) the quarterly IT report that is prepared by
PCAOB staff and submitted to the Board.
The Commission also directs the PCAOB during 2015 to continue to
include in its quarterly reports to the Commission information about
the PCAOB's inspections program. Such information is to include: (a)
Statistics relative to the numbers and types of firms budgeted and
expected to be inspected in 2015, including by location and by year the
inspections are required to be conducted in accordance with the
Sarbanes-Oxley Act and PCAOB rules; (b) information about the timing of
the issuance of inspections reports for domestic and non-U.S.
inspections; and (c) updates on the PCAOB's efforts to establish
cooperative arrangements with respective non-U.S. authorities for
inspections required in those countries.
The Commission understands that the Office of Management and Budget
(``OMB'') has determined the 2015 budget of the PCAOB to be
sequestrable under the Budget Control Act of 2011.\4\ Unless
legislation occurs that avoids sequestration, we expect the PCAOB will
have approximately $1 million in excess funds available from the 2014
sequestration for spending in 2015. As such, the PCAOB has reduced its
accounting support fee for 2015 by approximately $1 million.
---------------------------------------------------------------------------
\4\ See ``OMB Report to the Congress on the Joint Committee
Reductions for Fiscal Year 2015'', Appendix page 17 of 17 at: https://www.whitehouse.gov/sites/default/files/omb/assets/legislative_reports/sequestration_order_report_march2014.pdf
---------------------------------------------------------------------------
The Commission has determined that the PCAOB's 2015 budget and
annual accounting support fee are consistent with Section 109 of the
Sarbanes-Oxley Act. Accordingly,
It is ordered, pursuant to Section 109 of the Sarbanes-Oxley Act,
that the PCAOB budget and annual accounting support fee for calendar
year 2015 are approved.
By the Commission.
Brent J. Fields,
Secretary.
[FR Doc. 2015-02637 Filed 2-9-15; 8:45 am]
BILLING CODE 8011-01-P
