Federal Register / Vol. 69, No. 25 / Friday, February 6, 2004 / Notices 5881

1On January 1, 2003, MBSCC was merged into 

the Government Securities Clearing Corporation 

(‘‘GSCC’’) and GSCC was renamed the Fixed Income 

Clearing Corporation. Securities Exchange Act 

Release No. 47015 (December 17, 2002), 67 FR 

78531 (December 24, 2002) (File Nos. SR–GSCC–

2002–10 and MBSCC–2002–01).

2 15 U.S.C. 78s(b)(1).

3Securities Exchange Act Release No. 45604 

(March 20, 2002), 67 FR 14755.

4The August 21, 2002, amendment modified the 

proposed rule change with respect to MBSCC’s 

acceptance of financial statements prepared in 

accordance with a non-domestic participant’s home 

country generally accepted accounting principles. 

This portion of the proposed rule change was 

subsequently withdrawn. See supra note 7.

5The October 22, 2002, amendment made it clear 

that the requirement for participants to submit 

regulatory notices relating to declines in capital 

applies to all MBSCC members.

6The proposed rule change as originally filed 

established a formal surveillance status mechanism. 

The amendment filed on February 25, 2003, 

withdrew that portion of the proposed rule change.

7The amendment filed on April 10, 2003, 

withdrew the portion of the proposed rule change 

that would have allowed non-domestic participants 

to submit financial statements prepared in 

accordance with their home country generally 

accepted accounting principles.

8 In the amendment filed on October 10, 2003, 

MBSCC corrected the date the proposed rule change 

was approved by MBSCC’s board of directors and 

changed the person to contact regarding questions 

and comments about the proposed rule change.

9Republication of the notice is not necessary 

because the August 21, 2002, amendment made a 

change to the proposed rule change that was later 

withdrawn, the February 25, 2003, and April 10, 

2003, amendments withdrew portions of the 

proposed rule change, the October 22, 2003, 

amendment made a change to clarify a portion of 

the proposed rule change, and the October 10, 2003, 

amendment made technical changes to the 

proposed rule change.

organizations, and individuals to submit 

comments or suggestions on the 

environmental issues or the proposed 

scope of the supplement to the GEIS. 

Additionally, the NRC staff will host 

informal discussions one hour before 

the start of each session at the Lake 

Charter Township Hall. No formal 

comments on the proposed scope of the 

supplement to the GEIS will be accepted 

during the informal discussions. To be 

considered, comments must be provided 

either at the transcribed public meetings 

or in writing, as discussed below. 

Persons may register to attend or present 

oral comments at the meetings on the 

scope of the NEPA review by contacting 

Mr. Robert Schaaf, by telephone at 1–

800–368–5642, extension 1312, or by 

Internet to the NRC at CookEIS@nrc.gov

no later than March 3, 2004. Members 

of the public may also register to speak 

at the meeting within 15 minutes of the 

start of each session. Individual oral 

comments may be limited by the time 

available, depending on the number of 

persons who register. Members of the 

public who have not registered may also 

have an opportunity to speak, if time 

permits. Public comments will be 

considered in the scoping process for 

the supplement to the GEIS. Mr. Schaaf 

will need to be contacted no later than 

March 1, 2004, if special equipment or 

accommodations are needed to attend or 

present information at the public 

meeting, so that the NRC staff can 

determine whether the request can be 

accommodated. 

Members of the public may send 

written comments on the environmental 

scope of the CNP license renewal review 

to the Chief, Rules and Directives 

Branch, Division of Administrative 

Services, Office of Administration, 

Mailstop T–6D59, U.S. Nuclear 

Regulatory Commission, Washington, 

DC 20555–0001, and should cite the 

publication date and page number of 

this Federal Register notice. Comments 

may also be delivered to the NRC, Room 

T–6D59, Two White Flint North, 11545 

Rockville Pike, Rockville, Maryland, 

from 7:30 a.m. to 4:15 p.m. during 

Federal workdays. To be considered in 

the scoping process, written comments 

should be postmarked by April 6, 2004. 

Electronic comments may be sent by the 

Internet to the NRC at CookEIS@nrc.gov

and should be sent no later than April 

6, 2004, to be considered in the scoping 

process. Comments will be available 

electronically and accessible through 

ADAMS at http://www.nrc.gov/readingrm/adams.html.

Participation in the scoping process 

for the supplement to the GEIS does not 

entitle participants to become parties to 

the proceeding to which the supplement 

to the GEIS relates. Notice of 

opportunity for a hearing regarding the 

renewal application was the subject of 

the aforementioned Federal Register

notice (68 FR 62640). Matters related to 

participation in any hearing are outside 

the scope of matters to be discussed at 

this public meeting. 

At the conclusion of the scoping 

process, the NRC will prepare a concise 

summary of the determination and 

conclusions reached, including the 

significant issues identified, and will 

send a copy of the summary to each 

participant in the scoping process. The 

summary will also be available for 

inspection in ADAMS at http://

www.nrc.gov/reading-rm/adams.html.

The staff will then prepare and issue for 

comment the draft supplement to the 

GEIS, which will be the subject of 

separate notices and separate public 

meetings. Copies will be available for 

public inspection at the abovementioned addresses, and one copy per 

request will be provided free of charge. 

After receipt and consideration of the 

comments, the NRC will prepare a final 

supplement to the GEIS, which will also 

be available for public inspection. 

Information about the proposed 

action, the supplement to the GEIS, and 

the scoping process may be obtained 

from Mr. Schaaf at the aforementioned 

telephone number or e-mail address.

Dated in Rockville, Maryland, this 29th 

day of January, 2004.

For the Nuclear Regulatory Commission. 

Pao-Tsin Kuo, 

Program Director, License Renewal and 

Environmental Impacts Program, Division of 

Regulatory Improvement Programs, Office of 

Nuclear Reactor Regulation.

[FR Doc. 04–2620 Filed 2–5–04; 8:45 am] 

BILLING CODE 7590–01–P

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–49156; File No. SR–

MBSCC–2001–06] 

Self-Regulatory Organizations; MBS 

Clearing Corporation; Order Granting 

Approval of a Proposed Rule Change 

Regarding the Monitoring of MBSCC 

Participants’ Financial Condition and 

Activities 

January 30, 2004. 

I. Introduction 

On November 27, 2001, MBS Clearing 

Corporation (‘‘MBSCC’’) 1 filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) proposed rule change 

SR-MBSCC–2001–06 pursuant to 

section 19(b)(1) of the Securities 

Exchange Act of 1934 (‘‘Act’’).2 On 

December 26, 2001, MBSCC filed an 

amendment to the proposed rule 

change. Notice of the proposal was 

published in the Federal Register on 

March 27, 2002.3 On August 21, 2002,4

October 22, 2002,5 February 25, 2003,6

April 10, 2003,7 and October 10, 2003,8

MBSCC filed amendments to the 

proposed rule change.9 No comment 

letters were received. For the reasons 

discussed below, the Commission is 

granting approval of the proposed rule 

change.

II. Description 

To strengthen MBSCC’s monitoring of 

participants’ financial condition and 

activities, as well as to conform its rules 

to its standard practices, MBSCC is 

amending its rules to (i) add a 

requirement that registered brokers and 

dealers submit copies to MBSCC of 

supplemental reports filed with the 

Commission pursuant to Rule 17a–11 

and that all participants submit to 

MBSCC copies of any similar types of 

regulatory notifications and (ii) expand 

the financial criteria used by MBSCC for 

5882 Federal Register / Vol. 69, No. 25 / Friday, February 6, 2004 / Notices 

10 15 U.S.C. 78q–1(b)(3)(F).

11 17 CFR 200.30–3(a)(12).

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

2 17 CFR 240.19b–4.

3See letter from Steven B. Matlin, Senior 

Counsel, Regulatory Policy, PCX to Nancy Sanow, 

Assistant Director, Commission, dated January 29, 

2004 (‘‘Amendment No. 1’’). In Amendment No. 1, 

the Exchange proposes to make technical 

corrections to the Schedule of Fees and Charges for 

Exchange Services, originally submitted as Exhibit 

A to the proposed rule change.

4See Securities Exchange Act Release No. 47786 

(May 2, 2003), 68 FR 24779 (May 8, 2003) (SR–

PCX–2003–08) (order approving pilot program).

5 15 U.S.C. 78f(b).

6 15 U.S.C. 78f(b)(4).

calculating a participant’s financial 

ability. 

The first modification to the rules 

requires broker-dealer participants to 

submit copies of supplemental reports 

filed pursuant to Rule 17a–11 to MBSCC 

concurrently with their submission to 

the Commission. Rule 17a–11 requires 

registered broker-dealers to notify the 

Commission of a decline in net capital 

below minimum requirements. In 

addition, MBSCC’s participants may 

have other similar regulatory 

notification requirements imposed by 

the SEC, another regulator, or other 

similar authority when their capital 

levels or other financial requirements 

fall below certain levels. This rule 

change also requires participants to 

submit such notifications to MBSCC 

concurrently with their submission to 

the relevant regulatory authority. Such 

notices should provide MBSCC with an 

early warning of potential financial 

problems with respect to its 

participants. 

The second modification allows 

MBSCC to use net asset value or other 

applicable indicia in calculating a 

participant’s financial ability. MBSCC’s 

rules do not currently specify the types 

of financial indicia that MBSCC may use 

to calculate a participant’s net worth for 

determining whether the participant 

meets MBSCC’s minimum financial 

requirements. MBSCC’s analysts 

currently use the appropriate financial 

indicia for each type of participant. For 

example, shareholders equity is used to 

determine the financial ability of a bank 

whereas net asset value is more 

appropriate for determining the 

financial ability of certain types of 

funds, such as most registered 

investment companies. This rule change 

will expand the language in MBSCC’s 

rules to permit use of the appropriate 

financial indicia. 

III. Discussion 

Section 17A(b)(3)(F) of the Act 

requires that the rules of a clearing 

agency be designed to assure the 

safeguarding of securities and funds 

which are in the custody or control of 

MBSCC.10 The rule change should help 

MBSCC to reduce risk by improving 

MBSCC’s ability to monitor and assess 

the financial condition of its 

participants. Accordingly, the proposed 

rule change should help MBSCC to 

protect the securities and funds in its 

possession or control or for which it is 

responsible. Therefore, the Commission 

finds that the rule change is consistent 

with section 17A(b)(3)(F).

IV. Conclusion 

On the basis of the foregoing, the 

Commission finds that the proposed 

rule change is consistent with the 

requirements of the Act and in 

particular with the requirements of 

section 17A of the Act and the rules and 

regulations thereunder applicable. 

It is therefore ordered, pursuant to 

section 19(b)(2) of the Act, that the 

proposed rule change (File No. SR–

MBSCC–2001–06) as amended be and 

hereby is approved.

For the Commission by the Division of 

Market Regulation, pursuant to delegated 

authority.11

Jill M. Peterson, 

Assistant Secretary.

[FR Doc. 04–2555 Filed 2–5–04; 8:45 am] 

BILLING CODE 8010–01–P

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–49164; File No. SR–PCX–

2004–03] 

Self-Regulatory Organizations; Notice 

of Filing and Order Granting 

Accelerated Approval of Proposed 

Rule Change and Amendment No. 1 

Thereto by the Pacific Exchange, Inc. 

Relating to the Extension of a Linkage 

Fee Pilot Program 

January 30, 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 

28, 2004, the Pacific Exchange, Inc. 

(‘‘Exchange’’ or ‘‘PCX’’) filed with the 

Securities and Exchange Commission 

(‘‘Commission’’) the proposed rule 

change as described in Items I and II 

below, which Items have been prepared 

by the Exchange. On January 30, 2004, 

the PCX filed Amendment No. 1 to the 

proposed rule change.3 The Commission 

is publishing this notice to solicit 

comments on the proposed rule change, 

as amended, from interested persons 

and is approving the proposed rule 

change, as amended, on an accelerated 

basis.

I. Self-Regulatory Organization’s 

Statement of the Terms of Substance of 

the Proposed Rule Change 

The Exchange is proposing to amend 

its Schedule of Fees and Charges For 

Exchange Services to extend until July 

31, 2004 the current pilot program 

regarding transaction fees charged for 

trades executed through the options 

intermarket linkage (‘‘Linkage’’).4

The proposed fee schedule is 

available at the Exchange and at the 

Commission. 

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 

PCX 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 III 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 purpose of this proposed rule 

change is to extend for six months the 

pilot program establishing PCX fees for 

Principal (‘‘P’’) Orders and Principal 

Acting as Agent (‘‘P/A’’) Orders 

executed through Linkage. The fees 

currently are effective for a pilot 

program scheduled to expire on January 

31, 2004, and this filing would extend 

the fees through July 31, 2004. The two 

fees the PCX charges for P and P/A 

Orders are: the $.21 per contract side 

basic execution fees for trading on the 

PCX and a $.05 comparison fee per 

contract side. These are the same fees 

that all Exchange Members pay for noncustomer transactions executed on the 

PCX. The Exchange does not charge for 

the execution of Satisfaction Orders sent 

through Linkage and is not proposing to 

charge for such orders.

2. Statutory Basis 

The Exchange believes that the 

proposal is consistent with Section 6(b) 

of the Act,5 in general, and Section 

6(b)(4)6, in particular, in that it provides 

for the equitable allocation of dues, fees