28472 Federal Register / Vol. 83, No. 118 / Tuesday, June 19, 2018 / Notices 

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

2 17 CFR 240.19b–4. 

(3) Publish notice of the computer 

matching program in the Federal 

Register; 

(4) Furnish detailed reports about 

matching programs to Congress and 

OMB; 

(5) Notify applicants and beneficiaries 

that their records are subject to 

matching; and 

(6) Verify match findings before 

reducing, suspending, terminating, or 

denying a person’s benefits or 

payments. The last notice for this 

matching program was published in the 

Federal Register on November 9, 2015 

(80 FR 69253). 

Participating agencies: Railroad 

Retirement Board (RRB) and the Social 

Security Administration (SSA), Match 

#1007. 

Authority for conducting the 

matching program: Section 7(b)(7) of the 

Railroad Retirement Act (45 U.S.C. 

231f(b)(7)) provides that the Social 

Security Administration shall supply 

information necessary to administer the 

Railroad Retirement Act. Sections 202, 

205(o) and 215(f) of the Social Security 

Act (42 U.S.C. 402, 405(o) and 415(f)) 

relate to benefit provisions, inclusion of 

railroad compensation together with 

wages for payment of benefits under 

certain circumstances, and the recomputation of benefits. 

Purposes 

1. Daily exchanges: 

a. The RRB will obtain from SSA a 

record of the wages reported to SSA for 

persons who have applied for benefits 

under the Railroad Retirement Act and 

a record of the amount of benefits paid 

by that agency to persons who are 

receiving or have applied for benefits 

under the Railroad Retirement Act. The 

wage information is needed to compute 

the amount of the tier I annuity 

component provided by sections 3(a), 

4(a) and 4(f) of the Railroad Retirement 

Act (45 U.S.C. 231b(a), 45 U.S.C. 231c(a) 

and 45 U.S.C. 231c(f)). The benefit 

information is needed to adjust the tier 

I annuity component for the receipt of 

the Social Security benefit. This 

information is available from no other 

source. 

b. The RRB will receive from SSA the 

amount of certain social security 

benefits which the RRB pays on behalf 

of SSA. Section 7(b)(2) of the Railroad 

Retirement Act (45 U.S.C. 231f(b)(2)) 

provides that the RRB shall make the 

payment of certain social security 

benefits. The RRB also requires this 

information in order to adjust the 

amount of any annuity due to the 

receipt of a social security benefit. 

Section 10(a) of the Railroad Retirement 

Act (45 U.S.C. 231i(a)) permits the RRB 

to recover any overpayment from the 

accrual of social security benefits. This 

information is not available from any 

other source. 

c. The SSA will receive from RRB 

earnings information on selected 

individuals. The transfer of information 

may be initiated either by RRB or by 

SSA. SSA needs this information to 

determine eligibility to Social Security 

benefits and, if eligibility is met, to 

determine the benefit amount payable. 

Section 18 of the Railroad Retirement 

Act (45 U.S.C. 231q(2)) requires that 

earnings considered as compensation 

under the Railroad Retirement Act be 

considered as wages under the Social 

Security Act for the purposes of 

determining entitlement under the 

Social Security Act if the person has 

less than 10 years of railroad service or 

has 10 or more years of service but does 

not have a current connection with the 

railroad industry at the time of his/her 

death. 

2. Weekly exchange: The SSA will 

receive from the RRB earnings 

information for all railroad employees. 

SSA will match the identifying 

information of the records furnished by 

the RRB against the identifying 

information contained in its Master 

Benefit Record and its Master Earnings 

File. If there is a match, SSA will use 

the RRB earnings to adjust the amount 

of Social Security benefits in its Annual 

Earnings Reappraisal Operation. This 

information is available from no other 

source. 

Yearly exchange: The RRB will 

receive from SSA a copy of SSA’s 

Master Benefit Record for earmarked 

RRB annuitants. Section 7(b)(7)) of the 

Railroad Retirement Act (45 U.S.C. 

231f(b)(7)) requires that SSA provide the 

requested information. The RRB needs 

this information to make the necessary 

cost-of-living computation adjustments 

quickly and accurately for those RRB 

annuitants who are also SSA 

beneficiaries. 

Categories of individuals: All 

applicants for benefits under the 

Railroad Retirement Act and current 

beneficiaries will have a record of any 

social security wages and the amount of 

any social security benefits furnished to 

the RRB by SSA. In addition, all persons 

who ever worked in the railroad 

industry after 1936 will have a record of 

their service and compensation 

furnished to SSA by RRB. 

Systems of records: The applicable 

RRB Privacy Act Systems of Records 

and their Federal Register citation used 

in the matching program are: 

1. RRB–5, Master File of Railroad 

Employees’ Creditable Compensation, 

September 30, 2014 (79 FR 58877) 

2. RRB–22, Railroad Retirement, 

Survivor, and Pensioner Benefit System, 

May 15, 2015 (80 FR 28018) 

The applicable SSA Privacy Act 

Systems of Records used and their 

Federal Register citation used in the 

matching program are: 

1. SSA 60–0058, Master Files of 

Social Security Number (SSN) Holders 

and SSN Applications (the Enumeration 

System), last published on December 29, 

2010 (75 FR 82121), July 5, 2013 (78 FR 

40542), and February 13, 2014 (79 FR 

8780). 

2. SSA/OS, 60–0059, Earnings 

Recording and Self-Employment Income 

System (MEF), last published on 

January 11, 2006 (71 FR 1819), July 5, 

2013 (78 FR 40542). 

3. SSA/ORSIS 60–0090, Master 

Beneficiary Record (MBR), last 

published on January 11, 2006 (71 FR 

1826), December 10, 2007 (72 FR 

69723), and July 5, 2013 (78 FR 40542). 

4. SSA/ODISSIS 60–103, 

Supplemental Security Income Record 

and Special Veteran Benefits last 

published on January 11, 2006 (71 FR 

1830), December 10, 2007 (72 FR 

69723). 

5. SSA/OPB 60–0269, Prisoner 

Update Processing System (PUPS), last 

published on March 8, 1999 (64 FR 

11076), December 10, 2007 (72 FR 

69723), and July 5, 2013 (78 FR 40542). 

Dated: June 14, 2018. 

By authority of the Board. 

Martha Rico-Parra, 

Secretary to the Board. 

[FR Doc. 2018–13103 Filed 6–18–18; 8:45 am] 

BILLING CODE 7905–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83426; File No. SR– 

CboeBYX–2018–007] 

Self-Regulatory Organizations; Cboe 

BYX Exchange, Inc.; Notice of Filing 

and Immediate Effectiveness of a 

Proposed Rule Change Related to Fees 

June 13, 2018. 

Pursuant to Section 19(b)(1) of the 

Securities Exchange Act of 1934,1 and 

Rule 19b–4 thereunder,2 notice is 

hereby given that on June 1, 2018, Cboe 

BYX Exchange, Inc. (‘‘Exchange’’ or 

‘‘BYX’’) 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 Exchange. 

The Exchange has designated the 


daltland on DSKBBV9HB2PROD with NOTICES
Federal Register / Vol. 83, No. 118 / Tuesday, June 19, 2018 / Notices 28473 

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

4 17 CFR 240.19b–4(f)(2). 

5The term ‘‘Member’’ is defined as ‘‘any 

registered broker or dealer that has been admitted 

to membership in the Exchange.’’ See Exchange 

Rule 1.5(n). 

6 ‘‘ADAV’’ means average daily volume calculated 

as the number of shares added per day. ADAV is 

calculated on a monthly basis. See BYX Equities 

Exchange Fee Schedule. 

7 ‘‘TCV’’ means total consolidated volume 

calculated as the volume reported by all exchanges 

and trade reporting facilities to a consolidated 

transaction reporting plan for the month for which 

the fees apply. See BYX Equities Exchange Fee 

Schedule. 

8 ‘‘Step-Up ADAV’’ means ADAV in the relevant 

baseline month subtracted from current ADAV. See 

BYX Equities Exchange Fee Schedule. 

9 ‘‘Step-Up Remove TCV’’ means remove ADV as 

a percentage of TCV in the relevant baseline month 

subtracted from current remove ADV as a 

percentage of TCV. See BYX Equities Exchange Fee 

Schedule. 

10 ‘‘ADV’’ means average daily volume calculated 

as the number of shares added or removed, 

combined, per day. ADV is calculated on a monthly 

basis. See BYX Equities Exchange Fee Schedule. 

11 15 U.S.C. 78f(b). 

12 15 U.S.C. 78f(b)(5). 

13 15 U.S.C. 78f(b)(4). 

proposed rule change as one 

establishing or changing a member due, 

fee, or other charge imposed by the 

Exchange under Section 19(b)(3)(A)(ii) 

of the Act 3 and Rule 19b–4(f)(2) 

thereunder,4 which renders the 

proposed rule change effective upon 

filing with the Commission. 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 filed a proposal to 

amend the fee schedule applicable to 

Members 5 and non-Members of the 

Exchange pursuant to BYX Rules 15.1(a) 

and (c). 

The text of the proposed rule change 

is available at the Exchange’s website at 

www.markets.cboe.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 

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 parts 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 proposes to amend its 

fee schedule applicable to its equities 

trading platform (‘‘BYX Equities’’) to (i) 

eliminate Add Volume Tier 6 and (ii) 

modify criteria in certain Add and 

Remove Volume Tiers, effective June 1, 

2018. 

By way of background, for orders that 

yield fee codes B, V, and Y, the 

Exchange assesses a standard 

transaction fee of $0.0019 per share for 

orders that add liquidity for securities at 

or above $1.00. The Exchange also 

currently offers six tiers under footnote 

1 that offer reduced fees for orders that 

add liquidity yielding fee codes B, V, 

and Y. The Exchange first proposes to 

eliminate Add Volume Tier 6. Add 

Volume Tier 6 currently provides 

Members a reduced fee of $0.0017 per 

share where a MPID (i) has an ADAV 6

of greater than or equal to 0.10% of the 

TCV 7 and (ii) has a Step-Up ADAV 8 of 

greater or equal to 0.05% of the TCV 

from September 2017 baseline. The 

Exchange no longer wishes to maintain 

this tier level. As such, the Exchange 

proposes to eliminate Add Volume Tier 

6 from the Fees Schedule and renumber 

the subsequent Volume Tiers 

accordingly. 

The Exchange next proposes to 

modify the criteria for Add Volume 

Tiers 2 and 3. Pursuant to Add Volume 

Tier 2, a Member will be assessed a 

reduced fee of $0.0013 per share where 

a Member adds an ADAV greater than 

or equal to 0.40% of the TCV. The 

Exchange proposes to increase the 

ADAV requirement to greater than or 

equal to 0.45% of the TCV. Pursuant to 

Add Volume Tier 3, a Member will be 

assessed a reduced fee of $0.0012 per 

share where a Member adds an ADAV 

greater than or equal to 0.80% of the 

TCV. The Exchange proposes to increase 

the ADAV requirement to greater than 

or equal to 1.00% of the TCV. 

The Exchange next proposes to 

modify the criteria for Remove Volume 

Tiers 8 and 9. Currently, for orders that 

yield fee codes N, W, and BB, the 

Exchange provides a rebate of $0.0005 

per share for orders that remove 

liquidity for securities at or above $1.00. 

The Exchange currently offers four tiers 

under footnote 1 that offer enhanced 

rebates for orders that remove liquidity 

yielding fee codes BB, N, and W. 

Pursuant to Remove Volume Tier 8 

(proposed to be renumbered to Remove 

Volume Tier 7), a Member will receive 

an enhanced rebate of $0.0016 per share 

where a Member (i) has a Step-Up 

Remove 9 TCV from July 2017 greater 

than or equal to 0.05% and (ii) has a 

remove ADV 10 greater than or equal to 

0.20% of TCV. The Exchange proposes 

to modify the second prong to increase 

the ADV requirement to greater than or 

equal to 0.25% of the TCV. 

Pursuant to Remove Volume Tier 9 

(proposed to be renumbered Remove 

Volume Tier 8), a Member will receive 

an enhanced rebate of $0.0017 per share 

where a Member (i) has a Step-Up 

Remove TCV from December 2017 

greater than or equal to 0.075% and (ii) 

has an ADV greater than or equal to 

0.10% of TCV. The Exchange proposes 

to modify the first prong to increase the 

Step-Up Remove TCV from 0.075% to 

0.10% of TCV. The Exchange notes that 

the modification to the first prong 

renders the second prong unnecessary, 

as the second prong criteria will always 

be met if the proposed first prong 

criteria is met. The Exchange therefore 

proposes to eliminate the second prong 

of Remove Volume Tier 9. 

2. Statutory Basis 

The Exchange believes the proposed 

rule change is consistent with the 

Securities Exchange Act of 1934 (the 

‘‘Act’’) and the rules and regulations 

thereunder applicable to the Exchange 

and, in particular, the requirements of 

Section 6(b) of the Act.11 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 12 requirements that the rules of 

an exchange be 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. 

Additionally, the Exchange believes the 

proposed rule change is consistent with 

Section 6(b)(4) of the Act,13 which 

requires that Exchange rules provide for 

the equitable allocation of reasonable 

dues, fees, and other charges among its 

Members and other persons using its 

facilities. 

The Exchange believes that the 

proposal to eliminate Add Volume Tier 

6 is reasonable, fair, and equitable 

because the current tier is not providing 

the desired result of incentivizing 


daltland on DSKBBV9HB2PROD with NOTICES
28474 Federal Register / Vol. 83, No. 118 / Tuesday, June 19, 2018 / Notices 

14 15 U.S.C. 78s(b)(3)(A). 

15 17 CFR 240.19b–4(f). 

16 17 CFR 200.30–3(a)(12). 

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

2 17 CFR 240.19b–4. 

Members to increase their participation 

in BYX Equities. Therefore, eliminating 

the tier will have a negligible effect on 

order flow and market behavior. The 

Exchange believes the proposed change 

is not unfairly discriminatory because it 

will apply equally to all Members. 

The Exchange next notes that volumebased discounts such as those currently 

maintained on the Exchange have been 

widely adopted by exchanges and are 

equitable and non-discriminatory 

because they are open to all Members on 

an equal basis and provide additional 

benefits or discounts that are reasonably 

related to the value of an exchange’s 

market quality associated with higher 

levels of market activity, such as higher 

levels of liquidity provision and/or 

growth patterns, and introduction of 

higher volumes of orders into the price 

and volume discovery processes. While 

the proposed modification to Add/ 

Remove Volume Tiers 2, 3, 8 and 9 

makes such tiers slightly more difficult 

to attain, it is intended to incentivize 

Members to send additional volume to 

the Exchange in an effort to qualify or 

continue to qualify for the reduced fees 

and enhanced rebates, as applicable, 

made available by the tiers. As such, the 

Exchange also believes that the 

proposed changes are reasonable. The 

Exchange notes that increased volume 

on the Exchange provides greater 

trading opportunities for all market 

participants. 

(B) Self-Regulatory Organization’s 

Statement on Burden on Competition 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on competition not 

necessary or appropriate in furtherance 

of the purposes of the Act. The 

Exchange does not believe that any of 

the proposed change to the Exchange’s 

tiered pricing structure burden 

competition, but instead, that they 

enhance competition as they are 

intended to increase the 

competitiveness of BYX by modifying 

pricing incentives in order to attract 

order flow and incentivize participants 

to increase their participation on the 

Exchange. The Exchange notes that it 

operates in a highly competitive market 

in which market participants can 

readily direct order flow to competing 

venues if they deem fee structures to be 

unreasonable or excessive. The 

Exchange does not believe the proposed 

amendments would burden intramarket 

competition as they would be available 

to all Members uniformly. 

(C) Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants or Others 

The Exchange has not solicited, and 

does not intend to solicit, comments on 

this proposed rule change. The 

Exchange has not received any 

unsolicited written comments from 

Members or other interested parties. 

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) 

of the Act 14 and paragraph (f) of Rule 

19b–4 thereunder.15 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: 

Electronic Comments 

• Use the Commission’s internet 

comment form (http://www.sec.gov/ 

rules/sro.shtml); or 

• Send an email to rule-comments@

sec.gov. Please include File Number SR– 

CboeBYX–2018–007 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–CboeBYX–2018–007. 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 (http://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–CboeBYX–2018–007 and 

should be submitted on or before July 

10, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–13085 Filed 6–18–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83421; File No. SR– 

NASDAQ–2018–044] 

Self-Regulatory Organizations; The 

Nasdaq Stock Market LLC; Notice of 

Filing and Immediate Effectiveness of 

Proposed Rule Change To Amend The 

Nasdaq Options Market LLC (‘‘NOM’’) 

Rules at Supplementary Material to 

Chapter III, Section 7, Entitled 

‘‘Position Limits,’’ and Section 9, 

Entitled ‘‘Exercise Limits’’ 

June 13, 2018. 

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 June 11, 

2018, The Nasdaq Stock Market LLC 

(‘‘Nasdaq’’ or ‘‘Exchange’’) 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 Exchange. The 

Commission is publishing this notice to 

solicit comments on the proposed rule 

change from interested persons. 


daltland on DSKBBV9HB2PROD with NOTICES