Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of Filing and Immediate Effectiveness of Proposed Rule Change To Amend the Connectivity Fee Schedule, 61374-61376 [2022-21987]
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61374
Federal Register / Vol. 87, No. 195 / Tuesday, October 11, 2022 / Notices
POSTAL REGULATORY COMMISSION
[Docket Nos. CP2021–131; MC2023–1 and
CP2023–1; MC2023–2 and CP2023–2;
MC2023–3 and CP2023–3; MC2023–4 and
CP2023–4; MC2023–5 and CP2023–5]
New Postal Products
Postal Regulatory Commission.
Notice.
AGENCY:
ACTION:
The Commission is noticing a
recent Postal Service filing for the
Commission’s consideration concerning
a negotiated service agreement. This
notice informs the public of the filing,
invites public comment, and takes other
administrative steps.
DATES: Comments are due: October 12,
2022.
ADDRESSES: Submit comments
electronically via the Commission’s
Filing Online system at https://
www.prc.gov. Those who cannot submit
comments electronically should contact
the person identified in the FOR FURTHER
INFORMATION CONTACT section by
telephone for advice on filing
alternatives.
SUMMARY:
FOR FURTHER INFORMATION CONTACT:
David A. Trissell, General Counsel, at
202–789–6820.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Introduction
II. Docketed Proceeding(s)
khammond on DSKJM1Z7X2PROD with NOTICES
I. Introduction
The Commission gives notice that the
Postal Service filed request(s) for the
Commission to consider matters related
to negotiated service agreement(s). The
request(s) may propose the addition or
removal of a negotiated service
agreement from the market dominant or
the competitive product list, or the
modification of an existing product
currently appearing on the market
dominant or the competitive product
list.
Section II identifies the docket
number(s) associated with each Postal
Service request, the title of each Postal
Service request, the request’s acceptance
date, and the authority cited by the
Postal Service for each request. For each
request, the Commission appoints an
officer of the Commission to represent
the interests of the general public in the
proceeding, pursuant to 39 U.S.C. 505
(Public Representative). Section II also
establishes comment deadline(s)
pertaining to each request.
The public portions of the Postal
Service’s request(s) can be accessed via
the Commission’s website (https://
www.prc.gov). Non-public portions of
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17:37 Oct 07, 2022
Jkt 259001
the Postal Service’s request(s), if any,
can be accessed through compliance
with the requirements of 39 CFR
3011.301.1
The Commission invites comments on
whether the Postal Service’s request(s)
in the captioned docket(s) are consistent
with the policies of title 39. For
request(s) that the Postal Service states
concern market dominant product(s),
applicable statutory and regulatory
requirements include 39 U.S.C. 3622, 39
U.S.C. 3642, 39 CFR part 3030, and 39
CFR part 3040, subpart B. For request(s)
that the Postal Service states concern
competitive product(s), applicable
statutory and regulatory requirements
include 39 U.S.C. 3632, 39 U.S.C. 3633,
39 U.S.C. 3642, 39 CFR part 3035, and
39 CFR part 3040, subpart B. Comment
deadline(s) for each request appear in
section II.
II. Docketed Proceeding(s)
1. Docket No(s).: CP2021–131; Filing
Title: Notice of the United States Postal
Service of Filing Modification One to
Global Reseller Expedited Package 2
Negotiated Service Agreement; Filing
Acceptance Date: October 3, 2022;
Filing Authority: 39 CFR 3035.105;
Public Representative: Christopher C.
Mohr; Comments Due: October 12, 2022.
2. Docket No(s).: MC2023–1 and
CP2023–1; Filing Title: USPS Request to
Add Priority Mail Express International,
Priority Mail International & First-Class
Package International Service Contract 6
to Competitive Product List and Notice
of Filing Materials Under Seal; Filing
Acceptance Date: October 3, 2022;
Filing Authority: 39 U.S.C. 3642, 39 CFR
3040.130 through 3040.135, and 39 CFR
3035.105; Public Representative:
Jennaca D. Upperman; Comments Due:
October 12, 2022.
3. Docket No(s).: MC2023–2 and
CP2023–2; Filing Title: USPS Request to
Add Priority Mail Express, Priority
Mail, First-Class Package Service &
Parcel Select Contract 57 to Competitive
Product List and Notice of Filing
Materials Under Seal; Filing Acceptance
Date: October 3, 2022; Filing Authority:
39 U.S.C. 3642, 39 CFR 3040.130
through 3040.135, and 39 CFR 3035.105;
Public Representative: Kenneth R.
Moeller; Comments Due: October 12,
2022.
4. Docket No(s).: MC2023–3 and
CP2023–3; Filing Title: USPS Request to
Add Parcel Select Contract 53 to
Competitive Product List and Notice of
Filing Materials Under Seal; Filing
1 See Docket No. RM2018–3, Order Adopting
Final Rules Relating to Non-Public Information,
June 27, 2018, Attachment A at 19–22 (Order No.
4679).
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Sfmt 4703
Acceptance Date: October 3, 2022;
Filing Authority: 39 U.S.C. 3642, 39 CFR
3040.130 through 3040.135, and 39 CFR
3035.105; Public Representative: Jethro
Dely; Comments Due: October 12, 2022.
5. Docket No(s).: MC2023–4 and
CP2023–4; Filing Title: USPS Request to
Add Priority Mail Express, Priority
Mail, First-Class Package Service &
Parcel Select Contract 58 to Competitive
Product List and Notice of Filing
Materials Under Seal; Filing Acceptance
Date: October 3, 2022; Filing Authority:
39 U.S.C. 3642, 39 CFR 3040.130
through 3040.135, and 39 CFR 3035.105;
Public Representative: Kenneth R.
Moeller; Comments Due: October 12,
2022.
6. Docket No(s).: MC2023–5 and
CP2023–5; Filing Title: USPS Request to
Add Priority Mail Express, Priority
Mail, First-Class Package Service &
Parcel Select Contract 59 to Competitive
Product List and Notice of Filing
Materials Under Seal; Filing Acceptance
Date: October 3, 2022; Filing Authority:
39 U.S.C. 3642, 39 CFR 3040.130
through 3040.135, and 39 CFR 3035.105;
Public Representative: Kenneth R.
Moeller; Comments Due: October 12,
2022.
This Notice will be published in the
Federal Register.
Erica A. Barker,
Secretary.
[FR Doc. 2022–21953 Filed 10–7–22; 8:45 am]
BILLING CODE 7710–FW–P
SECURITIES AND EXCHANGE
COMMISSION
[Release No. 34–95971; File No. SR–
NYSECHX–2022–22]
Self-Regulatory Organizations; NYSE
Chicago, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Amend the
Connectivity Fee Schedule
October 4, 2022.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934
(‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on
September 21, 2022, the NYSE Chicago,
Inc. (‘‘NYSE Chicago’’ or the
‘‘Exchange’’) filed with the Securities
and Exchange Commission (the
‘‘Commission’’) the proposed rule
change as described in Items I, II, and
III below, which Items have been
prepared by the self-regulatory
organization. The Commission is
1 15
U.S.C. 78s(b)(1).
U.S.C. 78a.
3 17 CFR 240.19b–4.
2 15
E:\FR\FM\11OCN1.SGM
11OCN1
Federal Register / Vol. 87, No. 195 / Tuesday, October 11, 2022 / Notices
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 Exchange proposes to amend the
Connectivity Fee Schedule related to
colocation to remove obsolete text. The
proposed rule change is available on the
Exchange’s website at www.nyse.com, at
the principal office of the Exchange, 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
self-regulatory organization 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 those statements may be examined at
the places specified in Item IV below.
The Exchange has prepared summaries,
set forth in sections A, B, and C below,
of the most significant parts of such
statements.
A. Self-Regulatory Organization’s
Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule
Change
1. Purpose
The Exchange proposes to amend the
Connectivity Fee Schedule related to
colocation to remove Partial Cabinet
Solution bundles Options A and B as
obsolete.4
The Exchange recently deleted the
service ‘‘LCN Access—1 Gb Circuit’’
from the list of types of services
available in colocation, due to the lack
of User demand for 1 Gb LCN ports.5 In
making that change, the Exchange
explained that the number of 1 Gb LCN
ports purchased by Users had steadily
declined from 4 in 2017, to 2 in 2018,
to 1 in 2021, to zero in 2022. The
Exchange understands that this fall-off
in demand for the 1 Gb LCN port is due
to the fact that market data feeds
continue to increase in bandwidth, such
khammond on DSKJM1Z7X2PROD with NOTICES
4 The
Exchange is an indirect subsidiary of
Intercontinental Exchange, Inc. (‘‘ICE’’). Each of the
Exchange’s affiliates New York Stock Exchange
LLC, NYSE American LLC, NYSE Arca, Inc., and
NYSE National, Inc. (the ‘‘Affiliate SROs’’) has
submitted substantially the same proposed rule
change to propose the changes described herein.
See SR–NYSE–2022–45, SR–NYSEAMER–2022–43,
SR–NYSEARCA–2022–64, and SR–NYSENAT–
2022–22.
5 See Securities Exchange Act Release No. 95361
(July 25, 2022), 87 FR 45811 (July 29, 2022) (SR–
NYSECHX–2022–17).
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that Users prefer to purchase larger port
sizes. Based on this trend, the Exchange
explained that it believes that there is
no remaining User demand for the 1 Gb
LCN port, and discontinued the service
as obsolete.
The same rationale applies equally to
two of the Exchange’s Partial Cabinet
Solution (‘‘PCS’’) bundles: Options A
and B. Options A and B each include
various bundled services, including,
among other things, a 1 Gb LCN
connection. Although Options A and B
have been offered by the Exchange and
its Affiliate SROs since 2016,6 no Users
ever purchased an Option B bundle, and
only one User purchased an Option A
bundle, which it canceled in July 2021.
There are currently no Users purchasing
either an Option A or B bundle.
Accordingly, the Exchange believes that
there is no remaining User demand for
Options A or B, and proposes to
discontinue them as obsolete.
Application and Impact of the Proposed
Changes
The Exchange does not expect that the
proposed changes would have any
impact. As noted above, there was only
ever one User that purchased either an
Option A or B bundle, and that User
canceled its bundled service over a year
ago, in July 2021. There are currently no
purchasers of either Option A or B
bundles.
The proposed changes would not
have any affect on the two remaining
PCS bundles, Options C and D, which
include 10 Gb ports.
In addition, the proposed changes
would not apply differently to distinct
types or sizes of market participants.
Rather, they would apply to all Users 7
equally. As is currently the case, the
purchase of any colocation service is
completely voluntary and the
Connectivity Fee Schedule is applied
uniformly to all Users.
Competitive Environment
The proposed changes are not
otherwise intended to address any other
issues relating to colocation services
and/or related fees, and the Exchange is
not aware of any problems that Users
6 See, e.g., Securities Exchange Act Release No.
77072 (February 5, 2016), 81 FR 7394 (Feb. 11,
2016) (SR–NYSE–2015–53).
7 For purposes of the Exchange’s colocation
services, a ‘‘User’’ means any market participant
that requests to receive colocation services directly
from the Exchange. See Securities Exchange Act
Release No. 87408 (October 28, 2019), 84 FR 58778
at n.6 (November 1, 2019) (SR–NYSECHX–2019–
12). As specified in the Connectivity Fee Schedule,
a User that incurs colocation fees for a particular
colocation service pursuant thereto would not be
subject to colocation fees for the same colocation
service charged by the Affiliate SROs.
PO 00000
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Sfmt 4703
61375
would have in complying with the
proposed change.
2. Statutory Basis
The Exchange believes that the
proposed rule change is consistent with
Section 6(b) of the Act,8 in general, and
furthers the objectives of Section 6(b)(5)
of the Act,9 in particular, because it is
designed to prevent fraudulent and
manipulative acts and practices, to
promote just and equitable principles of
trade, to foster cooperation and
coordination with persons engaged in
regulating, clearing, settling, processing
information with respect to, and
facilitating transactions in securities, to
remove impediments to and perfect the
mechanism of a free and open market
and a national market system, and, in
general, to protect investors and the
public interest and because it is not
designed to permit unfair
discrimination between customers,
issuers, brokers, or dealers.
The Exchange believes that
discontinuing offering the Option A and
B PCS bundles would perfect the
mechanisms of a free and open market
and a national market system and, in
general, protect investors and the public
interest. There was only ever one User
that purchased either an Option A or B
bundle, and that User canceled its
bundled service over a year ago, in July
2021. There are currently no purchasers
of either Option A or B bundles. The
Exchange does not expect demand for
Options A and B to rebound given
Users’ overall preference for larger port
sizes to accommodate larger market data
feeds. Removing references to the fees
for these obsolete options from the
Connectivity Fee Schedule would make
the Connectivity Fee Schedule easier to
read, understand, and administer.
The Exchange believes that the
proposed rule change does not
significantly affect the protection of
investors or the public interest. The
proposed rule change would delete
obsolete services from the Connectivity
Fee Schedule in order to enhance
transparency and alleviate potential
customer confusion.
The Exchange believes that deleting
obsolete services from the Connectivity
Fee Schedule would not permit unfair
discrimination between customers,
issuers, brokers, or dealers. The
proposed changes would apply equally
to all Users.
For these reasons, the Exchange
believes that the proposal is consistent
with the Act.
8 15
9 15
E:\FR\FM\11OCN1.SGM
U.S.C. 78f(b).
U.S.C. 78f(b)(5).
11OCN1
61376
Federal Register / Vol. 87, No. 195 / Tuesday, October 11, 2022 / Notices
B. Self-Regulatory Organization’s
Statement on Burden on Competition
change should be approved or
disapproved.
In accordance with Section 6(b)(8) of
the Act,10 the Exchange believes that the
proposed rule change will not impose
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act.
The Exchange believes that the
proposed rule change would not place
any burden on competition that is not
necessary or appropriate in furtherance
of the purposes of the Act. The
proposed rule change is not designed to
address any competitive issues but
rather is designed to enhance the clarity
and transparency of the Connectivity
Fee Schedule and alleviate possible
customer confusion that may arise from
the inclusion of obsolete services.
IV. Solicitation of Comments
C. Self-Regulatory Organization’s
Statement on Comments on the
Proposed Rule Change Received From
Members, Participants, or Others
Paper Comments
No written comments were solicited
or received with respect to the proposed
rule change.
khammond on DSKJM1Z7X2PROD with NOTICES
III. Date of Effectiveness of the
Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed
rule change pursuant to Section
19(b)(3)(A)(iii) of the Act 11 and Rule
19b–4(f)(6) thereunder.12 Because the
proposed rule change does not: (i)
significantly affect the protection of
investors or the public interest; (ii)
impose any significant burden on
competition; and (iii) become operative
prior to 30 days from the date on which
it was filed, or such shorter time as the
Commission may designate, if
consistent with the protection of
investors and the public interest, the
proposed rule change has become
effective pursuant to Section 19(b)(3)(A)
of the Act and Rule 19b–4(f)(6)(iii)
thereunder.
At any time within 60 days of the
filing of such 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. If the
Commission takes such action, the
Commission shall institute proceedings
under Section 19(b)(2)(B) 13 of the Act to
determine whether the proposed rule
10 15
U.S.C. 78f(b)(8).
U.S.C. 78s(b)(3)(A)(iii).
12 17 CFR 240.19b–4(f)(6).
13 15 U.S.C. 78s(b)(2)(B).
11 15
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17:37 Oct 07, 2022
Jkt 259001
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:
For the Commission, by the Division of
Trading and Markets, pursuant to delegated
authority.14
J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022–21987 Filed 10–7–22; 8:45 am]
BILLING CODE 8011–01–P
SECURITIES AND EXCHANGE
COMMISSION
Electronic Comments
[Release No. 34–95976; No. SR–
NYSEARCA–2022–66]
• 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–
NYSECHX–2022–22 on the subject line.
Self-Regulatory Organizations; NYSE
Arca, Inc.; Notice of Filing and
Immediate Effectiveness of Proposed
Rule Change To Modify the NYSE Arca
Options Fee Schedule
• Send paper comments in triplicate
to: Secretary, Securities and Exchange
Commission, 100 F Street NE,
Washington, DC 20549–1090.
All submissions should refer to File
Number SR–NYSECHX–2022–22. 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 the Exchange. 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–NYSECHX–2022–22 and
should be submitted on or before
November 1, 2022.
PO 00000
Frm 00101
Fmt 4703
Sfmt 4703
October 4, 2022.
Pursuant to Section 19(b)(1) 1 of the
Securities Exchange Act of 1934
(‘‘Act’’) 2 and Rule 19b–4 thereunder,3
notice is hereby given that, on
September 30, 2022, NYSE Arca, Inc.
(‘‘NYSE Arca’’ or the ‘‘Exchange’’) filed
with the Securities and Exchange
Commission (the ‘‘Commission’’) the
proposed rule change as described in
Items I, II, and III below, which Items
have been prepared by the selfregulatory organization. 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 Exchange proposes to modify the
NYSE Arca Options Fee Schedule (‘‘Fee
Schedule’’) regarding the discount in
take liquidity fees. The Exchange
proposes to implement the fee change
effective October 3, 2022. The proposed
rule change is available on the
Exchange’s website at www.nyse.com, at
the principal office of the Exchange, 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
self-regulatory organization 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 those statements may be examined at
the places specified in Item IV below.
14 17
CFR 200.30–3(a)(12).
U.S.C. 78s(b)(1).
2 15 U.S.C. 78a.
3 17 CFR 240.19b–4.
1 15
E:\FR\FM\11OCN1.SGM
11OCN1
]]>Agencies
[Federal Register Volume 87, Number 195 (Tuesday, October 11, 2022)]
[Notices]
[Pages 61374-61376]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2022-21987]
=======================================================================
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SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-95971; File No. SR-NYSECHX-2022-22]
Self-Regulatory Organizations; NYSE Chicago, Inc.; Notice of
Filing and Immediate Effectiveness of Proposed Rule Change To Amend the
Connectivity Fee Schedule
October 4, 2022.
Pursuant to Section 19(b)(1) \1\ of the Securities Exchange Act of
1934 (``Act'') \2\ and Rule 19b-4 thereunder,\3\ notice is hereby given
that, on September 21, 2022, the NYSE Chicago, Inc. (``NYSE Chicago''
or the ``Exchange'') filed with the Securities and Exchange Commission
(the ``Commission'') the proposed rule change as described in Items I,
II, and III below, which Items have been prepared by the self-
regulatory organization. The Commission is
[[Page 61375]]
publishing this notice to solicit comments on the proposed rule change
from interested persons.
---------------------------------------------------------------------------
\1\ 15 U.S.C. 78s(b)(1).
\2\ 15 U.S.C. 78a.
\3\ 17 CFR 240.19b-4.
---------------------------------------------------------------------------
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to amend the Connectivity Fee Schedule
related to colocation to remove obsolete text. The proposed rule change
is available on the Exchange's website at www.nyse.com, at the
principal office of the Exchange, 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 self-regulatory organization
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 those statements may be examined at
the places specified in Item IV below. The Exchange has prepared
summaries, set forth in sections A, B, and C below, of the most
significant parts of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and the
Statutory Basis for, the Proposed Rule Change
1. Purpose
The Exchange proposes to amend the Connectivity Fee Schedule
related to colocation to remove Partial Cabinet Solution bundles
Options A and B as obsolete.\4\
---------------------------------------------------------------------------
\4\ The Exchange is an indirect subsidiary of Intercontinental
Exchange, Inc. (``ICE''). Each of the Exchange's affiliates New York
Stock Exchange LLC, NYSE American LLC, NYSE Arca, Inc., and NYSE
National, Inc. (the ``Affiliate SROs'') has submitted substantially
the same proposed rule change to propose the changes described
herein. See SR-NYSE-2022-45, SR-NYSEAMER-2022-43, SR-NYSEARCA-2022-
64, and SR-NYSENAT-2022-22.
---------------------------------------------------------------------------
The Exchange recently deleted the service ``LCN Access--1 Gb
Circuit'' from the list of types of services available in colocation,
due to the lack of User demand for 1 Gb LCN ports.\5\ In making that
change, the Exchange explained that the number of 1 Gb LCN ports
purchased by Users had steadily declined from 4 in 2017, to 2 in 2018,
to 1 in 2021, to zero in 2022. The Exchange understands that this fall-
off in demand for the 1 Gb LCN port is due to the fact that market data
feeds continue to increase in bandwidth, such that Users prefer to
purchase larger port sizes. Based on this trend, the Exchange explained
that it believes that there is no remaining User demand for the 1 Gb
LCN port, and discontinued the service as obsolete.
---------------------------------------------------------------------------
\5\ See Securities Exchange Act Release No. 95361 (July 25,
2022), 87 FR 45811 (July 29, 2022) (SR-NYSECHX-2022-17).
---------------------------------------------------------------------------
The same rationale applies equally to two of the Exchange's Partial
Cabinet Solution (``PCS'') bundles: Options A and B. Options A and B
each include various bundled services, including, among other things, a
1 Gb LCN connection. Although Options A and B have been offered by the
Exchange and its Affiliate SROs since 2016,\6\ no Users ever purchased
an Option B bundle, and only one User purchased an Option A bundle,
which it canceled in July 2021. There are currently no Users purchasing
either an Option A or B bundle. Accordingly, the Exchange believes that
there is no remaining User demand for Options A or B, and proposes to
discontinue them as obsolete.
---------------------------------------------------------------------------
\6\ See, e.g., Securities Exchange Act Release No. 77072
(February 5, 2016), 81 FR 7394 (Feb. 11, 2016) (SR-NYSE-2015-53).
---------------------------------------------------------------------------
Application and Impact of the Proposed Changes
The Exchange does not expect that the proposed changes would have
any impact. As noted above, there was only ever one User that purchased
either an Option A or B bundle, and that User canceled its bundled
service over a year ago, in July 2021. There are currently no
purchasers of either Option A or B bundles.
The proposed changes would not have any affect on the two remaining
PCS bundles, Options C and D, which include 10 Gb ports.
In addition, the proposed changes would not apply differently to
distinct types or sizes of market participants. Rather, they would
apply to all Users \7\ equally. As is currently the case, the purchase
of any colocation service is completely voluntary and the Connectivity
Fee Schedule is applied uniformly to all Users.
---------------------------------------------------------------------------
\7\ For purposes of the Exchange's colocation services, a
``User'' means any market participant that requests to receive
colocation services directly from the Exchange. See Securities
Exchange Act Release No. 87408 (October 28, 2019), 84 FR 58778 at
n.6 (November 1, 2019) (SR-NYSECHX-2019-12). As specified in the
Connectivity Fee Schedule, a User that incurs colocation fees for a
particular colocation service pursuant thereto would not be subject
to colocation fees for the same colocation service charged by the
Affiliate SROs.
---------------------------------------------------------------------------
Competitive Environment
The proposed changes are not otherwise intended to address any
other issues relating to colocation services and/or related fees, and
the Exchange is not aware of any problems that Users would have in
complying with the proposed change.
2. Statutory Basis
The Exchange believes that the proposed rule change is consistent
with Section 6(b) of the Act,\8\ in general, and furthers the
objectives of Section 6(b)(5) of the Act,\9\ in particular, because it
is designed to prevent fraudulent and manipulative acts and practices,
to promote just and equitable principles of trade, to foster
cooperation and coordination with persons engaged in regulating,
clearing, settling, processing information with respect to, and
facilitating transactions in securities, to remove impediments to and
perfect the mechanism of a free and open market and a national market
system, and, in general, to protect investors and the public interest
and because it is not designed to permit unfair discrimination between
customers, issuers, brokers, or dealers.
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\8\ 15 U.S.C. 78f(b).
\9\ 15 U.S.C. 78f(b)(5).
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The Exchange believes that discontinuing offering the Option A and
B PCS bundles would perfect the mechanisms of a free and open market
and a national market system and, in general, protect investors and the
public interest. There was only ever one User that purchased either an
Option A or B bundle, and that User canceled its bundled service over a
year ago, in July 2021. There are currently no purchasers of either
Option A or B bundles. The Exchange does not expect demand for Options
A and B to rebound given Users' overall preference for larger port
sizes to accommodate larger market data feeds. Removing references to
the fees for these obsolete options from the Connectivity Fee Schedule
would make the Connectivity Fee Schedule easier to read, understand,
and administer.
The Exchange believes that the proposed rule change does not
significantly affect the protection of investors or the public
interest. The proposed rule change would delete obsolete services from
the Connectivity Fee Schedule in order to enhance transparency and
alleviate potential customer confusion.
The Exchange believes that deleting obsolete services from the
Connectivity Fee Schedule would not permit unfair discrimination
between customers, issuers, brokers, or dealers. The proposed changes
would apply equally to all Users.
For these reasons, the Exchange believes that the proposal is
consistent with the Act.
[[Page 61376]]
B. Self-Regulatory Organization's Statement on Burden on Competition
In accordance with Section 6(b)(8) of the Act,\10\ the Exchange
believes that the proposed rule change will not impose any burden on
competition that is not necessary or appropriate in furtherance of the
purposes of the Act.
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\10\ 15 U.S.C. 78f(b)(8).
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The Exchange believes that the proposed rule change would not place
any burden on competition that is not necessary or appropriate in
furtherance of the purposes of the Act. The proposed rule change is not
designed to address any competitive issues but rather is designed to
enhance the clarity and transparency of the Connectivity Fee Schedule
and alleviate possible customer confusion that may arise from the
inclusion of obsolete services.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received From Members, Participants, or Others
No written comments were solicited or received with respect to the
proposed rule change.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The Exchange has filed the proposed rule change pursuant to Section
19(b)(3)(A)(iii) of the Act \11\ and Rule 19b-4(f)(6) thereunder.\12\
Because the proposed rule change does not: (i) significantly affect the
protection of investors or the public interest; (ii) impose any
significant burden on competition; and (iii) become operative prior to
30 days from the date on which it was filed, or such shorter time as
the Commission may designate, if consistent with the protection of
investors and the public interest, the proposed rule change has become
effective pursuant to Section 19(b)(3)(A) of the Act and Rule 19b-
4(f)(6)(iii) thereunder.
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\11\ 15 U.S.C. 78s(b)(3)(A)(iii).
\12\ 17 CFR 240.19b-4(f)(6).
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At any time within 60 days of the filing of such 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. If the Commission
takes such action, the Commission shall institute proceedings under
Section 19(b)(2)(B) \13\ of the Act to determine whether the proposed
rule change should be approved or disapproved.
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\13\ 15 U.S.C. 78s(b)(2)(B).
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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-NYSECHX-2022-22 on the subject line.
Paper Comments
Send paper comments in triplicate to: Secretary,
Securities and Exchange Commission, 100 F Street NE, Washington, DC
20549-1090.
All submissions should refer to File Number SR-NYSECHX-2022-22. 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 the Exchange. 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-NYSECHX-2022-22 and should be submitted
on or before November 1, 2022.
For the Commission, by the Division of Trading and Markets,
pursuant to delegated authority.\14\
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\14\ 17 CFR 200.30-3(a)(12).
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J. Matthew DeLesDernier,
Deputy Secretary.
[FR Doc. 2022-21987 Filed 10-7-22; 8:45 am]
BILLING CODE 8011-01-P
