Self-Regulatory Organizations; National Securities Clearing Corporation; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Establish Implementation Date of National Securities Clearing Corporation's Enhancements to the Haircut-Based Volatility Charge Applicable to Municipal Bonds, 14511-14512 [2020-05029]
Download as PDF
<![CDATA[
14511
Federal Register / Vol. 85, No. 49 / Thursday, March 12, 2020 / Notices
railroad employer to provide
information on the value of NQSOs and
any ratification payments from the
railroad employer separately from a
railroad worker’s reported RRTA
compensation to determine the payroll
taxes due to the Social Security
Administration (SSA) and CMS and
administer transfer of funds between the
RRB, SSA and CMS accordingly.
The payroll information collected
from the BA–15 is essential for the
calculation of payroll taxes and benefits
used by the FI. Failure to collect NQSOs
and ratification payment information
will result in understating the payroll
taxes that should have been collected
and the benefit amounts that would
have been payable under the Social
Security Act for FI purposes. Accurate
compensation file tabulations are also
an integral part of the data needed to
estimate future tax revenues and
corresponding FI amounts. Without
information on NQSOs and ratification
payments, the amount of funds to be
transferred between the RRB, SSA and
CMS cannot be determined.
The RRB will use Form BA–15,
Report of Stock Options and Other
Payments, to request employer
information and report identifying
information as well as each employee’s
social security number, name, and
compensation information, which will
be reported annually in a quarterly
breakdown. The RRB plans to receive
Form BA–15 by secure Email, File
Transfer Protocol (FTP), or via CD–
ROM.
ESTIMATE OF ANNUAL RESPONDENT BURDEN
Annual
responses
Form No.
Burden
(hours)
BA–15 (by secure E-mail, FTP, or CD–ROM)—Positive ............................................................
BA–15 (by secure E-mail, FTP, or CD–ROM)—Negative ..........................................................
50
550
300
15
250
137.5
Total ......................................................................................................................................
600
........................
387.5
Additional Information or Comments:
To request more information or to
obtain a copy of the information
collection justification, forms, and/or
supporting material, contact Kennisha
Tucker at (312) 469–2591 or
Kennisha.Tucker@rrb.gov. Comments
regarding the information collection
should be addressed to Brian Foster,
Railroad Retirement Board, 844 North
Rush Street, Chicago, Illinois 60611–
1275 or emailed to Brian.Foster@rrb.gov.
Written comments should be received
within 60 days of this notice.
Brian Foster,
Clearance Officer.
[FR Doc. 2020–05034 Filed 3–11–20; 8:45 am]
BILLING CODE 7905–01–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–88343; File No. SR–NSCC–
2020–006]
khammond on DSKJM1Z7X2PROD with NOTICES
Time
(minutes)
Self-Regulatory Organizations;
National Securities Clearing
Corporation; Notice of Filing and
Immediate Effectiveness of a Proposed
Rule Change To Establish
Implementation Date of National
Securities Clearing Corporation’s
Enhancements to the Haircut-Based
Volatility Charge Applicable to
Municipal Bonds
March 6, 2020.
Pursuant to Section 19(b)(1) of the
Securities Exchange Act of 1934
(‘‘Act’’),1 and Rule 19b–4 thereunder,2
1 15
2 17
U.S.C. 78s(b)(1).
CFR 240.19b–4.
VerDate Sep<11>2014
16:31 Mar 11, 2020
Jkt 250001
notice is hereby given that on March 3,
2020, National Securities Clearing
Corporation (‘‘NSCC’’) filed with the
Securities and Exchange Commission
(‘‘Commission’’) the proposed rule
change as described in Items I, II and III
below, which Items have been prepared
by the clearing agency. NSCC filed the
proposed rule change pursuant to
Section 19(b)(3)(A) 3 of the Act and
subparagraph (f)(4) 4 of Rule 19b–4
thereunder. The Commission is
publishing this notice to solicit
comments on the proposed rule change
from interested persons.
I. Clearing Agency’s Statement of the
Terms of Substance of the Proposed
Rule Change
The proposed rule change consists of
amendments to the NSCC Rules &
Procedures (the ‘‘Rules’’) 5 in order to
establish the implementation date 6 of
rule changes (‘‘Approved Rule Change’’)
submitted pursuant to rule filing SR–
NSCC–2019–004 (‘‘Rule Filing’’) 7 and
advance notice SR–NSCC–2019–801
(‘‘Advance Notice’’).8 Pursuant to the
proposed rule change, the Rules would
3 15
U.S.C. 78s(b)(3)(A).
CFR 240.19b–4(f)(4).
5 Capitalized terms not defined herein are defined
in the Rules, available at https://dtcc.com/∼/media/
Files/Downloads/legal/rules/nscc_rules.pdf.
6 The implementation date was previously set for
February 28, 2020 pursuant to rule filing NSCC–
2020–004. See Securities Exchange Act Release No.
88260 (February 21, 2020), 85 FR 11425 (February
27, 2020) (SR–NSCC–2020–004).
7 See Securities Exchange Act Release No. 87858
(December 26, 2019), 85 FR 149 (January 2, 2020)
(SR–NSCC–2019–004).
8 See Securities Exchange Act Release No. 87911
(January 8, 2020), 85 FR 2197 (January 14, 2020)
(File No. SR–NSCC–2019–801).
4 17
PO 00000
Frm 00060
Fmt 4703
Sfmt 4703
be amended to state that the Approved
Rule Change will be implemented by
March 27, 2020, as discussed below.
II. Clearing Agency’s Statement of the
Purpose of, and Statutory Basis for, the
Proposed Rule Change
In its filing with the Commission, the
clearing agency 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
clearing agency has prepared
summaries, set forth in sections A, B,
and C below, of the most significant
aspects of such statements.
(A) Clearing Agency’s Statement of the
Purpose of, and Statutory Basis for, the
Proposed Rule Change
1. Purpose
On February 13, 2020, the
Commission issued an order approving
the Rule Filing,9 which was filed by
NSCC pursuant to Section 19(b)(2) of
Act’’).10 The Commission also issued a
notice of no objection to the Advance
Notice,11 which was filed with the
Commission pursuant to Section
806(e)(1) of Title VIII of the Dodd-Frank
Wall Street Reform and Consumer
Protection Act entitled the Payment,
Clearing, and Settlement Supervision
9 See Securities Exchange Act Release No. 88191
(February 13, 2020), 85 FR 9843 (February 20, 2020)
(SR–NSCC–2019–004).
10 15 U.S.C. 78s(b)(2).
11 See Securities Exchange Act Release No. 88162
(February 11, 2020), 85 FR 8798 (February 18, 2020)
(SR–NSCC–2019–801).
E:\FR\FM\12MRN1.SGM
12MRN1
14512
Federal Register / Vol. 85, No. 49 / Thursday, March 12, 2020 / Notices
Act of 2010 12 and Rule 19b–4(n)(1)(i) of
the Act.13
The purpose of the Approved Rule
Change is to amend the Rules to
enhance the methodology NSCC uses for
calculating the haircut-based margin
charge applicable to municipal bonds.
NSCC is filing this proposed rule
change to establish that the Approved
Rule Change submitted pursuant to the
Rule Filing and the Advance Notice will
be implemented by March 27, 2020.
Specifically, NSCC would add a legend
to Procedure XV (Clearing Fund
Formula and Other Matters) of the Rules
(‘‘Procedure XV’’) 14 to state that the rule
changes submitted pursuant to the Rule
Filing and the Advance Notice have
been approved and not objected to,
respectively, but are not yet
implemented. The legend would
provide that these rule changes would
be implemented by March 27, 2020 and
include the file numbers of the Rule
Filing and the Advance Notice. The
legend would also state that when the
rule changes are implemented, NSCC
will announce the implementation by
important notice and the legend would
automatically be removed from
Procedure XV.
khammond on DSKJM1Z7X2PROD with NOTICES
2. Statutory Basis
Section 17A(b)(3)(F) of the Act
requires, in part, that the Rules be
designed to (i) promote the prompt and
accurate clearance and settlement of
securities transactions and (ii) remove
impediments to and perfect the
mechanism of a national system for the
prompt and accurate clearance and
settlement of securities transactions,
and, in general, to protect investors and
the public interest.15 The proposed rule
change would establish that the
Approved Rule Change would be
implemented by March 27, 2020 and
provide Members with an
understanding of when the Approved
Rule Change will begin to affect them.
Knowing when the rule changes will
begin to affect Members would enable
them to timely fulfill their obligations to
NSCC, which would in turn ensure
NSCC’s processes work as intended.
Therefore, NSCC believes that the
proposed rule change would promote
the prompt and accurate clearance and
settlement of securities transactions as
well as remove impediments to and
perfect the mechanism of a national
system for the prompt and accurate
clearance and settlement of securities
12 12
U.S.C. 5465(e)(1).
13 17 CFR 240.19b–4(n)(1)(i).
14 Procedure XV, supra note 5.
15 15 U.S.C. 78q–1(b)(3)(F).
VerDate Sep<11>2014
16:31 Mar 11, 2020
transactions, consistent with Section
17A(b)(3)(F) of the Act cited above.
(B) Clearing Agency’s Statement on
Burden on Competition
NSCC does not believe that the
proposed rule change to establish an
implementation date for the Approved
Rule Change would have any impact, or
impose any burden, on competition
because the proposed rule change is
intended to provide additional clarity in
the Rules with respect to when these
rule changes would be implemented. As
such, the proposed rule change would
not affect the rights or obligations of the
Members or NSCC other than
establishing when the rule changes
described above would begin to impact
the Members.
(C) Clearing Agency’s Statement on
Comments on the Proposed Rule
Change Received From Members,
Participants, or Others
NSCC has not received or solicited
any written comments relating to this
proposal. NSCC will notify the
Commission of any written comments
received by NSCC.
III. Date of Effectiveness of the
Proposed Rule Change, and Timing for
Commission Action
The foregoing rule change has become
effective pursuant to Section
19(b)(3)(A) 16 of the Act and paragraph
(f) 17 of Rule 19b–4 thereunder. At any
time within 60 days of the filing of the
proposed rule change, the Commission
summarily may temporarily suspend
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,
including whether the proposed rule
change is consistent with the Act.
Comments may be submitted by any of
the following methods:
Paper Comments:
• Send paper comments in triplicate
to Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549.
All submissions should refer to File
Number SR–NSCC–2020–006. This file
number should be included on the
subject line if email 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 website (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 website viewing and
printing in the Commission’s Public
Reference Room, 100 F Street NE,
Washington, DC 20549 on official
business days between the hours of
10:00 a.m. and 3:00 p.m. Copies of the
filing also will be available for
inspection and copying at the principal
office of NSCC and on DTCC’s website
(https://dtcc.com/legal/sec-rulefilings.aspx). All comments received
will be posted without change. Persons
submitting comments are cautioned that
we do not redact or edit personal
identifying information from comment
submissions. You should submit only
information that you wish to make
available publicly. All submissions
should refer to File Number SR–NSCC–
2020–006 and should be submitted on
or before April 2, 2020.
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.18
J. Matthew DeLesDernier,
Assistant Secretary.
[FR Doc. 2020–05029 Filed 3–11–20; 8:45 am]
BILLING CODE 8011–01–P
Electronic Comments
• Use the Commission’s internet
comment form (https://www.sec.gov/
rules/sro.shtml); or
• Send an email to rule-comments@
sec.gov. Please include File Number SR–
NSCC–2020–006 on the subject line.
SECURITIES AND EXCHANGE
COMMISSION
Sunshine Act Meeting; Cancellation
FEDERAL REGISTER CITATION OF PREVIOUS
ANNOUNCEMENT: 85 FR 13691, March 9,
2020.
16 15
U.S.C. 78s(b)(3)(A).
17 17 CFR 240.19b–4(f).
Jkt 250001
PO 00000
Frm 00061
Fmt 4703
18 17
Sfmt 4703
E:\FR\FM\12MRN1.SGM
CFR 200.30–3(a)(12).
12MRN1
]]>Agencies
[Federal Register Volume 85, Number 49 (Thursday, March 12, 2020)]
[Notices]
[Pages 14511-14512]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-05029]
=======================================================================
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-88343; File No. SR-NSCC-2020-006]
Self-Regulatory Organizations; National Securities Clearing
Corporation; Notice of Filing and Immediate Effectiveness of a Proposed
Rule Change To Establish Implementation Date of National Securities
Clearing Corporation's Enhancements to the Haircut-Based Volatility
Charge Applicable to Municipal Bonds
March 6, 2020.
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 March 3, 2020, National Securities Clearing Corporation (``NSCC'')
filed with the Securities and Exchange Commission (``Commission'') the
proposed rule change as described in Items I, II and III below, which
Items have been prepared by the clearing agency. NSCC filed the
proposed rule change pursuant to Section 19(b)(3)(A) \3\ of the Act and
subparagraph (f)(4) \4\ of Rule 19b-4 thereunder. 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).
\4\ 17 CFR 240.19b-4(f)(4).
---------------------------------------------------------------------------
I. Clearing Agency's Statement of the Terms of Substance of the
Proposed Rule Change
The proposed rule change consists of amendments to the NSCC Rules &
Procedures (the ``Rules'') \5\ in order to establish the implementation
date \6\ of rule changes (``Approved Rule Change'') submitted pursuant
to rule filing SR-NSCC-2019-004 (``Rule Filing'') \7\ and advance
notice SR-NSCC-2019-801 (``Advance Notice'').\8\ Pursuant to the
proposed rule change, the Rules would be amended to state that the
Approved Rule Change will be implemented by March 27, 2020, as
discussed below.
---------------------------------------------------------------------------
\5\ Capitalized terms not defined herein are defined in the
Rules, available at https://dtcc.com/~/media/Files/Downloads/legal/
rules/nscc_rules.pdf.
\6\ The implementation date was previously set for February 28,
2020 pursuant to rule filing NSCC-2020-004. See Securities Exchange
Act Release No. 88260 (February 21, 2020), 85 FR 11425 (February 27,
2020) (SR-NSCC-2020-004).
\7\ See Securities Exchange Act Release No. 87858 (December 26,
2019), 85 FR 149 (January 2, 2020) (SR-NSCC-2019-004).
\8\ See Securities Exchange Act Release No. 87911 (January 8,
2020), 85 FR 2197 (January 14, 2020) (File No. SR-NSCC-2019-801).
---------------------------------------------------------------------------
II. Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
In its filing with the Commission, the clearing agency 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 clearing agency has prepared summaries,
set forth in sections A, B, and C below, of the most significant
aspects of such statements.
(A) Clearing Agency's Statement of the Purpose of, and Statutory Basis
for, the Proposed Rule Change
1. Purpose
On February 13, 2020, the Commission issued an order approving the
Rule Filing,\9\ which was filed by NSCC pursuant to Section 19(b)(2) of
Act'').\10\ The Commission also issued a notice of no objection to the
Advance Notice,\11\ which was filed with the Commission pursuant to
Section 806(e)(1) of Title VIII of the Dodd-Frank Wall Street Reform
and Consumer Protection Act entitled the Payment, Clearing, and
Settlement Supervision
[[Page 14512]]
Act of 2010 \12\ and Rule 19b-4(n)(1)(i) of the Act.\13\
---------------------------------------------------------------------------
\9\ See Securities Exchange Act Release No. 88191 (February 13,
2020), 85 FR 9843 (February 20, 2020) (SR-NSCC-2019-004).
\10\ 15 U.S.C. 78s(b)(2).
\11\ See Securities Exchange Act Release No. 88162 (February 11,
2020), 85 FR 8798 (February 18, 2020) (SR-NSCC-2019-801).
\12\ 12 U.S.C. 5465(e)(1).
\13\ 17 CFR 240.19b-4(n)(1)(i).
---------------------------------------------------------------------------
The purpose of the Approved Rule Change is to amend the Rules to
enhance the methodology NSCC uses for calculating the haircut-based
margin charge applicable to municipal bonds.
NSCC is filing this proposed rule change to establish that the
Approved Rule Change submitted pursuant to the Rule Filing and the
Advance Notice will be implemented by March 27, 2020. Specifically,
NSCC would add a legend to Procedure XV (Clearing Fund Formula and
Other Matters) of the Rules (``Procedure XV'') \14\ to state that the
rule changes submitted pursuant to the Rule Filing and the Advance
Notice have been approved and not objected to, respectively, but are
not yet implemented. The legend would provide that these rule changes
would be implemented by March 27, 2020 and include the file numbers of
the Rule Filing and the Advance Notice. The legend would also state
that when the rule changes are implemented, NSCC will announce the
implementation by important notice and the legend would automatically
be removed from Procedure XV.
---------------------------------------------------------------------------
\14\ Procedure XV, supra note 5.
---------------------------------------------------------------------------
2. Statutory Basis
Section 17A(b)(3)(F) of the Act requires, in part, that the Rules
be designed to (i) promote the prompt and accurate clearance and
settlement of securities transactions and (ii) remove impediments to
and perfect the mechanism of a national system for the prompt and
accurate clearance and settlement of securities transactions, and, in
general, to protect investors and the public interest.\15\ The proposed
rule change would establish that the Approved Rule Change would be
implemented by March 27, 2020 and provide Members with an understanding
of when the Approved Rule Change will begin to affect them. Knowing
when the rule changes will begin to affect Members would enable them to
timely fulfill their obligations to NSCC, which would in turn ensure
NSCC's processes work as intended. Therefore, NSCC believes that the
proposed rule change would promote the prompt and accurate clearance
and settlement of securities transactions as well as remove impediments
to and perfect the mechanism of a national system for the prompt and
accurate clearance and settlement of securities transactions,
consistent with Section 17A(b)(3)(F) of the Act cited above.
---------------------------------------------------------------------------
\15\ 15 U.S.C. 78q-1(b)(3)(F).
---------------------------------------------------------------------------
(B) Clearing Agency's Statement on Burden on Competition
NSCC does not believe that the proposed rule change to establish an
implementation date for the Approved Rule Change would have any impact,
or impose any burden, on competition because the proposed rule change
is intended to provide additional clarity in the Rules with respect to
when these rule changes would be implemented. As such, the proposed
rule change would not affect the rights or obligations of the Members
or NSCC other than establishing when the rule changes described above
would begin to impact the Members.
(C) Clearing Agency's Statement on Comments on the Proposed Rule Change
Received From Members, Participants, or Others
NSCC has not received or solicited any written comments relating to
this proposal. NSCC will notify the Commission of any written comments
received by NSCC.
III. Date of Effectiveness of the Proposed Rule Change, and Timing for
Commission Action
The foregoing rule change has become effective pursuant to Section
19(b)(3)(A) \16\ of the Act and paragraph (f) \17\ of Rule 19b-4
thereunder. At any time within 60 days of the filing of the proposed
rule change, the Commission summarily may temporarily suspend 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.
---------------------------------------------------------------------------
\16\ 15 U.S.C. 78s(b)(3)(A).
\17\ 17 CFR 240.19b-4(f).
---------------------------------------------------------------------------
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing, 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 email to [email protected]. Please include
File Number SR-NSCC-2020-006 on the subject line.
Paper Comments:
Send paper comments in triplicate to Secretary, Securities
and Exchange Commission, 100 F Street NE, Washington, DC 20549.
All submissions should refer to File Number SR-NSCC-2020-006. This file
number should be included on the subject line if email 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 website (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 website viewing and printing in
the Commission's Public Reference Room, 100 F Street NE, Washington, DC
20549 on official business days between the hours of 10:00 a.m. and
3:00 p.m. Copies of the filing also will be available for inspection
and copying at the principal office of NSCC and on DTCC's website
(https://dtcc.com/legal/sec-rule-filings.aspx). All comments received
will be posted without change. Persons submitting comments are
cautioned that we do not redact or edit personal identifying
information from comment submissions. You should submit only
information that you wish to make available publicly. All submissions
should refer to File Number SR-NSCC-2020-006 and should be submitted on
or before April 2, 2020.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\18\
J. Matthew DeLesDernier,
Assistant Secretary.
---------------------------------------------------------------------------
\18\ 17 CFR 200.30-3(a)(12).
---------------------------------------------------------------------------
[FR Doc. 2020-05029 Filed 3-11-20; 8:45 am]
BILLING CODE 8011-01-P
