5642 Federal Register / Vol. 69, No. 24 / Thursday, February 5, 2004 / Notices 

1 15 U.S.C. 78s(b)(1).

2 17 CFR 240.19b–4.

3 15 U.S.C. 78s(b)(3)(A)(ii).

4 17 CFR 240.19b–4(f)(2).

5See Securities Exchange Act Release No. 48976 

(December 23, 2003), 68 F.R. 75701 (December 31, 

2003) (SR–PCX–2003–68).

6 15 U.S.C. 78f(b).

7 15 U.S.C. 78f(b)(4).

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–49140; File No. SR–PCX–

2003–72] 

Self-Regulatory Organizations; Notice 

of Filing and Immediate Effectiveness 

of Proposed Rule Change by the 

Pacific Exchange, Inc. Relating to 

Exchange Fees and Charges 

January 28, 2004. 

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 January 2, 

2004, the Pacific Exchange, Inc. (‘‘PCX’’

or ‘‘Exchange’’) filed with the Securities 

and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I, II, and 

III, below, which the PCX has prepared. 

The PCX has designated this proposal as 

one establishing or changing a due, fee 

or other charge imposed by the selfregulatory organization under Section 

19(b)(3)(A)(ii) of the Act 3 and Rule 19b–

4(f)(2) thereunder,4 which renders the 

rule effective upon Commission receipt 

of this filing. 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 PCX proposes to amend the 

Trade-Related Charges portion of its 

Schedule of Fees and Charges 

(‘‘Schedule’’) in order to delete the fee 

relating to its Volume Discount 

Program. 

The text of the proposed rule change 

is below. Proposed deletions are in 

[brackets].

* * * * *

Schedule of Fees and Charges for 

Exchange Services 

PCX Options: Trade-Related Charges 

Transactions

Customer $0.00 per contract side 

Firm $0.10 per contract side for customer facilitation 

Broker/Dealer $0.21 per contract side 

Market share tiers Marg rate Market share tiers Marg rate 

0.00% to 11.00% .............................................................. $0.21 0% to 15% ........................................................................ $0.21

11.00% to 20.00% ............................................................ 0.11 15% to 25% ...................................................................... 0.15

20% to 100.00% ............................................................... .................... 25% to 100% .................................................................... 0.05

Market Maker Marginal Transaction Rates on Top 120 Issues Market Maker Marginal Transaction Rates on Non-Top 120 

Issues. Singly listed issues will be assessed a flat $0.21 

Market Maker transaction charge. 

[VOLUME DISCOUNT PROGRAM 

PCX Quarterly Average Daily Contract Volume Per Contract Reduction in Market Maker Transaction Charge 

For Following Quarter 

449,000 or lower ........................................................................ No reduction 

450,000 to 474,999 ..................................................................... $0.01

475,000 to 499,999 ..................................................................... $0.02

500,000 to 524,999 ..................................................................... $0.03

525,000 or higher ....................................................................... $0.04] 

* * * * *

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 

Exchange 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 

Exchange has prepared summaries, set 

forth in Sections A, B, and C below, of 

the most significant aspects of such 

statements. 

A. Self-Regulatory Organization’s 

Statement of the Purpose of, and 

Statutory Basis for, the Proposed Rule 

Change 

1. Purpose 

The Exchange is proposing to amend 

the Trade-Related Charges portion of its 

Schedule in order to delete the fee 

relating to its Volume Discount 

Program. On December 16, 2003, the 

Exchange submitted a filing with the 

Commission to implement the new 

Incentive Pricing Program for Market 

Maker transaction charges.5 As part of 

its ongoing effort to secure existing 

volumes and attract higher levels of 

liquidity, the PCX proposed a threetiered rate schedule that would lower 

transaction charges for Market Makers 

(including Lead Market Makers) as the 

Exchange attains higher levels of market 

share on individual issues. The 

Incentive Pricing Program became 

effective upon filing. As a result of the 

application of the new Incentive Pricing 

Program, the Exchange no longer has 

need for the Volume Discount Program 

and proposes to eliminate it from the 

Schedule.

2. Statutory Basis 

The Exchange believes that this 

proposal to amend its schedule of dues, 

fees and charges would be an equitable 

allocation of reasonable fees among PCX 

members, and that the proposal is 

consistent with Section 6(b) of the Act 6

and furthers the objectives of Section 

6(b)(4) of the Act.7

Federal Register / Vol. 69, No. 24 / Thursday, February 5, 2004 / Notices 5643

8 15 U.S.C. 78s(b)(3)(A)(ii).

9 17 CFR 240.19b–4(f)(2). 10 17 CFR 200.30–3(a)(12).

B. Self-Regulatory Organization’s 

Statement on Burden on Competition 

PCX does not believe that the 

proposed rule change will impose any 

inappropriate burden on competition. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

PCX neither solicited nor received 

written comments on this proposal. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing proposed rule change 

has been designated as a fee change 

pursuant to Section 19(b)(3)(A)(ii) of the 

Act 8 and Rule 19b–4(f)(2)9 thereunder. 

Accordingly, the proposal has taken 

effect upon filing with the Commission. 

At any time within 60 days after the 

filing of the proposed rule change, the 

Commission may summarily abrogate 

the 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. 

Persons making written submissions 

should file six copies thereof with the 

Secretary, Securities and Exchange 

Commission, 450 Fifth Street, NW., 

Washington, DC 20549–0609. 

Comments may also be submitted 

electronically at the following e-mail 

address: rule-comments@sec.gov. All 

comment letters should refer to File No. 

SR–PCX–2003–72. This file number 

should be included on the subject line 

if e-mail is used. To help the 

Commission process and review your 

comments more efficiently, comments 

should be sent in hard copy or by email, but not by both methods. Copies 

of the submission, all subsequent 

amendments, all written statements 

with respect to the proposed rule 

change that are filed with the 

Commission, and all written 

communications relating to the 

proposed rule change between the 

Commission and any person, other than 

those that may be withheld from the 

public in accordance with the 

provisions of 5 U.S.C. 552, will be 

available for inspection and copying in 

the Commission’s Public Reference 

Room. Copies of such filing will also be 

available for inspection and copying at 

the principal office of PCX. All 

submissions should refer to File No. 

SR–PCX–2003–72 and should be 

submitted by February 26, 2004.

For the Commission, by the Division of 

Market Regulation, pursuant to delegated 

authority.10

Jill M. Peterson, 

Assistant Secretary.

[FR Doc. 04–2334 Filed 2–4–04; 8:45 am] 

BILLING CODE 8010–01–P

SOCIAL SECURITY ADMINISTRATION

Supplemental Security Income (SSI) 

Demonstration: Work Incentives for 

Participants in the Florida Freedom 

Initiative

AGENCY: Social Security Administration 

(SSA).

ACTION: Notice.

SUMMARY: The Commissioner of Social 

Security (the Commissioner) will 

exercise her authority under section 

1110(b) of the Social Security Act to 

conduct a demonstration and is 

publishing this notice in accordance 

with regulations at 20 CFR 416.250(e). 

The demonstration, called Work 

Incentives for Participants in the Florida 

Freedom Initiative, will test whether the 

modification of certain SSI program 

rules fosters greater self-sufficiency 

among SSI beneficiaries participating in 

the Florida Freedom Initiative. The 

Florida Freedom Initiative is a 

demonstration being undertaken by the 

Florida Department of Children and 

Families through a Systems Change 

grant from the Department of Health and 

Human Services (DHHS), Centers for 

Medicare & Medicaid Services (CMS).

EFFECTIVE DATES: It is anticipated that 

the Florida Freedom Initiative will 

begin no later than March 1, 2004. 

According to the demonstration plan, 

beneficiaries may participate throughout 

the period of the demonstration for up 

to three years. Thus, the anticipated 

ending date for participation will be no 

later than February 28, 2007. In some 

cases, however, the modified SSI 

program rules that the Commissioner is 

creating relative to individual 

development accounts and plans for 

achieving self-support (see below) may 

continue to apply for a limited time 

after an individual’s participation in the 

Florida Freedom Initiative ends.

FOR FURTHER INFORMATION CONTACT:

Stephen Fear by e-mail at 

steve.fear@ssa.gov, by telephone at (410) 

966–0265, or by mail at Social Security 

Administration, Office of Program 

Development and Research, 3516 Annex 

Building, 6401 Security Boulevard, 

Baltimore, MD 21235.

SUPPLEMENTARY INFORMATION: 

Florida Freedom Initiative and 

Consumer Directed Care Plus 

Demonstrations 

The Florida Freedom Initiative will 

attempt to build on the success of an 

ongoing ‘‘Cash and Counseling’’

demonstration, Consumer Directed Care 

Plus, that the State has been conducting 

with partners that include: CMS, the 

Office of the Assistant Secretary for 

Planning and Evaluation at DHHS, the 

National Program Office at the 

University of Maryland Center on 

Aging, the Robert Wood Johnson 

Foundation, the National Council on 

Aging, and Mathematica Policy 

Research (as the evaluator). 

For Consumer Directed Care Plus, the 

Secretary of DHHS (the Secretary) 

exercised his authority under section 

1115 of the Act to waive certain 

Medicaid program rules. The Medicaid 

waivers permit Medicaid beneficiaries 

using personal-attendant, supportedemployment, or certain other services, 

to receive a cash allowance in lieu of 

those services, along with information 

support that enables them to select and 

purchase the specific services they need 

from providers of their choosing. 

The Commissioner, to enable SSI 

beneficiaries to participate in the 

Consumer Directed Care Plus 

demonstration and to test the effect of 

modified SSI program rules in the 

demonstration’s Medicaid-waiver 

environment, waived SSI rules 

regarding how long an individual can 

retain certain cash received for medical 

and social services before they count 

toward the SSI resources limit. The 

Commissioner also waived SSI rules 

that would require interest earned on 

such retained funds to count as income. 

See 63 FR 58802 (November 2, 1998). 

For the Florida Freedom Initiative, the 

Secretary will expand the types of 

services for which Medicaid 

beneficiaries can receive a cash 

allowance. The demonstration also will 

incorporate, to a greater extent than was 

possible in Consumer Directed Care 

Plus, the principles of selfdetermination, one of which emphasizes 

the generation of personal income 

through work, often through the 

development of a microenterprise. To 

aid in the removal of systemic barriers 

to work that were identified in the 

course of the Consumer Directed Care 

Plus demonstration, the Commissioner