30808 Federal Register / Vol. 83, No. 126 / Friday, June 29, 2018 / Notices 

19 17 CFR 200.30–3(a)(12). 

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

2 15 U.S.C. 78a. 

3 17 CFR 240.19b–4. 

4See Securities Exchange Act Release No. 82358 

(December 19, 2017), 82 FR 61054 (December 26, 

2017) (SR–NYSEAMER–2017–38). 

5The month immediately preceding a 

replacement class’s addition to the Pilot Program 

(i.e., June) would not be used for purposes of the 

analysis for determining the replacement class. 

Thus, a replacement class to be added on the 

second trading day following July 1, 2018 would be 

identified based on The Option Clearing 

Corporation’s trading volume data from December 

1, 2017 through May 31, 2018. The Exchange will 

announce the replacement issues to the Exchange’s 

membership through a Trader Update. 

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

7 15 U.S.C. 78f(b)(5). 

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– 

DTC–2018–005 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–DTC–2018–005. 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 DTC and on DTCC’s website 

(http://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–DTC– 

2018–005 and should be submitted on 

or before July 20, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.19

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–13980 Filed 6–28–18; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–83507; File No. SR– 

NYSEAMER–2018–33] 

Self-Regulatory Organizations; NYSE 

American LLC; Notice of Filing and 

Immediate Effectiveness of Proposed 

Rule Change To Amend Commentary 

.02 to Rule 960NY in Order To Extend 

the Penny Pilot in Options Classes in 

Certain Issues Through December 31, 

2018 

June 25, 2018. 

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

Securities Exchange Act of 1934 (the 

‘‘Act’’) 2 and Rule 19b–4 thereunder,3

notice is hereby given that on June 21, 

2018, NYSE American LLC (the 

‘‘Exchange’’ or ‘‘NYSE American’’) filed 

with the Securities and Exchange 

Commission (the ‘‘Commission’’) the 

proposed rule change as described in 

Items I and II below, which Items have 

been prepared by the self-regulatory 

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 amend 

Commentary .02 to Rule 960NY in order 

to extend the Penny Pilot in options 

classes in certain issues (‘‘Pilot 

Program’’) previously approved by the 

Securities and Exchange Commission 

(‘‘Commission’’) through December 31, 

2018. The Pilot Program is currently 

scheduled to expire on June 30, 2018. 

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 hereby proposes to 

amend Commentary .02 to Rule 960NY 

to extend the time period of the Pilot 

Program,4 which is currently scheduled 

to expire on June 30, 2018, through 

December 31, 2018. The Exchange also 

proposes that the date to replace issues 

in the Pilot Program that have been 

delisted be revised to the second trading 

day following July 1, 2018.5 The 

Exchange believes that extending the 

Pilot would allow for further analysis of 

the Pilot Program and a determination 

of how the Pilot Program should be 

structured in the future. 

This filing does not propose any 

substantive changes to the Pilot 

Program: All classes currently 

participating will remain the same and 

all minimum increments will remain 

unchanged. The Exchange believes the 

benefits to public customers and other 

market participants who will be able to 

express their true prices to buy and sell 

options have been demonstrated to 

outweigh the increase in quote traffic. 

2. Statutory Basis 

The proposed rule change is 

consistent with Section 6(b) 6 of the 

Securities Exchange Act of 1934 (the 

‘‘Act’’), in general, and furthers the 

objectives of Section 6(b)(5),7 in 

particular, in that 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 


sradovich on DSK3GMQ082PROD with NOTICES
Federal Register / Vol. 83, No. 126 / Friday, June 29, 2018 / Notices 30809 

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

9 17 CFR 240.19b–4(f)(6). 

10 15 U.S.C. 78s(b)(3)(A). 

11 17 CFR 240.19b–4(f)(6). In addition, Rule 19b– 

4(f)(6)(iii) requires the Exchange to give the 

Commission written notice of the Exchange’s intent 

to file the proposed rule change along with a brief 

description and the text of the proposed rule 

change, at least five business days prior to the date 

of filing of the proposed rule change, or such 

shorter time as designated by the Commission. The 

Exchange has satisfied this pre-filing requirement. 

12 17 CFR 240.19b–4(f)(6). 

13 17 CFR 240.19b–4(f)(6). 

14 17 CFR 240.19b–4(f)(6)(iii). 

15For purposes only of waiving the operative 

delay for this proposal, the Commission has 

considered the proposed rule’s impact on 

efficiency, competition, and capital formation. See 

15 U.S.C. 78c(f). 

persons engaged in facilitating 

transactions in securities, and to remove 

impediments to and perfect the 

mechanisms of a free and open market 

and a national market system. 

In particular, the proposed rule 

change, which extends the Penny Pilot 

Program for six months, allows the 

Exchange to continue to participate in a 

program that has been viewed as 

beneficial to traders, investors and 

public customers and viewed as 

successful by the other options 

exchanges participating in it. 

Accordingly, the Exchange believes that 

the proposal is consistent with the Act 

because it will allow the Exchange to 

extend the Pilot Program prior to its 

expiration on June 30, 2018. The 

Exchange notes that this proposal does 

not propose any new policies or 

provisions that are unique or unproven, 

but instead relates to the continuation of 

an existing program that operates on a 

pilot basis. 

The Exchange believes that the Pilot 

Program promotes just and equitable 

principles of trade by enabling public 

customers and other market participants 

to express their true prices to buy and 

sell options to the benefit of all market 

participants. 

The proposal to extend the Pilot 

Program is designed to promote just and 

equitable principles of trade, to foster 

cooperation and coordination with 

persons engaged in facilitating 

transactions in securities, and to remove 

impediments to and perfect the 

mechanisms of a free and open market 

and a national market system, by 

allowing the Exchange and the 

Commission additional time to analyze 

the impact of the Pilot Program while 

also allowing the Exchange to continue 

to compete for order flow with other 

exchanges in option issues trading as 

part of the Pilot Program. 

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 that is not 

necessary or appropriate in furtherance 

of the purposes of the Act. Specifically, 

the Exchange believes that, by extending 

the expiration of the Pilot Program, the 

proposed rule change will allow for 

further analysis of the Pilot Program and 

a determination of how this Program 

should be structured in the future. In 

doing so, the proposed rule change will 

also serve to promote regulatory clarity 

and consistency, thereby reducing 

burdens on the marketplace and 

facilitating investor protection. The 

Pilot Program is an industry-wide 

initiative supported by all other option 

exchanges. The Exchange believes that 

extending the Pilot Program will allow 

for continued competition between 

Exchange market participants trading 

similar products as their counterparts 

on other exchanges, while at the same 

time allowing the Exchange to continue 

to compete for order flow with other 

exchanges in option issues trading as 

part of the Pilot Program. 

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 8 and Rule 

19b–4(f)(6) thereunder.9 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 10 and 

Rule 19b–4(f)(6)(iii) thereunder.11

A proposed rule change filed under 

Rule 19b–4(f)(6) 12 normally does not 

become operative prior to 30 days after 

the date of the filing.13 However, 

pursuant to Rule 19b–4(f)(6)(iii),14 the 

Commission may designate a shorter 

time if such action is consistent with the 

protection of investors and the public 

interest. Without a waiver of 30-day 

operative delay, the Exchange’s Pilot 

Program will expire before the extension 

of the Pilot Program is operative. The 

Commission believes that waiving the 

30-day operative delay for the instant 

filing is consistent with the protection 

of investors and the public interest 

because doing so will allow the Pilot 

Program to continue without 

interruption in a manner that is 

consistent with the Commission’s prior 

approval of the extension and expansion 

of the Pilot Program and will allow the 

Exchange and the Commission 

additional time to analyze the impact of 

the Pilot Program. Accordingly, the 

Commission designates the proposed 

rule change as operative upon filing 

with the Commission.15

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– 

NYSEAMER–2018–33 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–NYSEAMER–2018–33. 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 20549–1090 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 


sradovich on DSK3GMQ082PROD with NOTICES
30810 Federal Register / Vol. 83, No. 126 / Friday, June 29, 2018 / Notices 

16 17 CFR 200.30–3(a)(12). 

1PARRiS refers to the specific risk components 

reviewed for 7(a) Lenders: (i) Portfolio Performance; 

(ii) Asset Management; (iii) Regulatory Compliance; 

(iv) Risk Management; and (v) Special Items. 

2SMART refers to the specific risk components 

reviewed for Certified Development Companies: (i) 

Solvency and Financial Condition; (ii) Management 

and Board Governance; (iii) Asset Quality and 

Servicing; (iv) Regulatory Compliance; and (v) 

Technical Issues and Mission. 

3SBLCs and NFRLs are defined in 15 U.S.C. 

632(r) and 13 CFR 120.10. 

4Safety and Soundness Examinations are only 

performed on SBA Supervised Lenders in the 7(a) 

program. SBA Supervised Lenders include SBA 

licensed Small Business Lending Companies and 

Non-Federally Regulated Lenders as defined in 13 

CFR 120.10. Analytical Reviews and Full Reviews 

are performed on 7(a) Lenders and CDCs. 

5For purposes of this notice, Third-party vendors 

include, for example, Loan Agents (e.g., Packagers 

and Lender Service Providers) and Professional 

Managers with management contracts. 

6FTA refers to SBA’s Fiscal and Transfer Agent. 

7(a) Lenders that sell SBA loans in the Secondary 

Market are required by the terms of the Form 1086, 

Secondary Participation Guaranty Agreement, to 

deposit the guaranteed portion of loan payments in 

a segregated account for the benefit of investors. 

7SBA Supervised Lenders are a relatively small 

subset of 7(a) Lenders. 7(a) Lenders include SBA 

Supervised Lenders and Federally Regulated 7(a) 

Lenders (i.e., those lenders regulated by the federal 

bank regulators—Federal Deposit Insurance 

Corporation, the Office of the Comptroller of the 

Currency, the Federal Reserve Board, the National 

Credit Union Administration, and the Farm Credit 

Administration). 

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–NYSEAMER–2018–33 and 

should be submitted on or before July 

20, 2018. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.16

Eduardo A. Aleman, 

Assistant Secretary. 

[FR Doc. 2018–13979 Filed 6–28–18; 8:45 am] 

BILLING CODE 8011–01–P 

SMALL BUSINESS ADMINISTRATION 

Data Collection Available for Public 

Comments 

ACTION: 60-Day notice and request for 

comments. 

SUMMARY: The Paperwork Reduction Act 

(PRA) requires federal agencies to 

publish a notice in the Federal Register 

concerning each proposed collection of 

information before submitting it to OMB 

for approval, and to allow 60 days for 

public comment in response to the 

notice. SBA initially published this 

required notice on April 2, 2018. SBA 

is republishing the notice to address the 

two comments it received requesting 

greater detail on the information to be 

collected and to provide an additional 

60 days for public comment. 

DATES: Submit comments on or before 

August 28, 2018. 

ADDRESSES: Send all comments to 

Adrienne Grierson, Deputy Director, 

Office of Credit Risk Management, 

Small Business Administration, at 

lender.oversight@sba.gov. 

FOR FURTHER INFORMATION CONTACT: 

Adrienne Grierson, Deputy Director, 

Office of Credit Risk Management at 

lender.oversight@sba.gov or 202–205– 

6573, or Curtis B. Rich, Management 

Analyst, 202–205–7030, curtis.rich@

sba.gov. 

SUPPLEMENTARY INFORMATION: SBA’s 

Office of Credit Risk Management 

(OCRM) is responsible for the oversight 

and supervision of the SBA operations 

of approximately 4000 7(a) Lenders, 

Certified Development Companies 

(‘‘CDCs’’), and Microloan Intermediaries 

(‘‘Intermediaries’’), that participate in 

SBA’s business loan programs and, for 

enforcement of the applicable rules and 

regulations. Currently, the agency 

guarantees more than $90 billion dollars 

in small business loans through these 

programs. The information collection 

described in detail below helps OCRM 

protect the safety and soundness of the 

business loan programs and taxpayer 

dollars. 

In general, SBA collects information 

in connection with PARRiS 1 reviews for 

7(a) Federally-regulated Lenders, 

SMART2 reviews for CDCs, and PARRiS 

Safety and Soundness Examinations for 

SBA Supervised Lenders including 

Small Business Lending Companies 

(SBLCs) and Non-Federally Regulated 

Lenders (NFRLs).3 SBA also requests 

certain information when it conducts 

Delegated Authority Reviews of 7(a) 

Lenders and CDCs, and Microloan 

Intermediary Site Visits. The discussion 

below identifies the nature of the 

information to be collected for each type 

of lender and the related review or 

examination. In addition, SBA has 

created separate lists, which are also 

discussed below, to clearly identify the 

information to be collected. 

I. 7(a) Lender and CDC PARRIS and 

SMART Analytical and Full Reviews 

and Safety and Soundness Exams 

A. Common Information Collected 

For all Analytical Reviews, Full 

Reviews, and Safety and Soundness 

examinations 4 of 7(a) lenders and CDCs, 

as applicable, in general, SBA requests 

information related to the lender’s or 

CDC’s management and operation, 

eligibility of its SBA loans for SBA 

guaranty, compliance with SBA Loan 

Program Requirements, credit 

administration, and performance of its 

SBA loan portfolio. 

1. Management and Operations: The 

information requested generally 

includes the SBA program organization 

chart with responsibilities, business 

plan, financial and program audits, 

evidence of lender compliance with 

regulatory orders and agreements (if 

applicable and as appropriate), and staff 

training on SBA lending. 

2. Eligibility and Credit 

Administration: In reviewing these 

areas, SBA primarily requests lender’s 

or CDC’s policies, loan sample files; 

independent loan reviews; loan credit 

scoring and risk rating methodologies; 

and information on loans approved as 

exceptions to policy. 

3. Compliance with Loan Program 

Requirements: Here, SBA collects 

information on services and fees 

charged for Third-party vendors,5

lender’s FTA 6 trust account, and 

lender’s use of the System of Awards 

Management to perform agent due 

diligence. 

4. Portfolio Performance: In 

considering lender or CDC portfolio 

performance, SBA requests that lenders 

provide a listing of loans indicating 

those past due, those with servicing 

actions, individual risk ratings, and 

those in liquidation or purchased for 

SBA to compare with SBA data. SBA 

also requests that lenders provide an 

explanation for risks identified (e.g., 

identified by high risk metrics or 

PARRiS flags triggered). 

Further detail on the information SBA 

collects in Analytical and Full Reviews 

and Safety and Soundness Exams is 

contained in the SBA Supervised 

Lender Safety and Soundness 

Examination/Full Review Information 

Request; 7(a) Lender PARRiS Analytical 

Review Information Request; CDC 

SMART Analytical Review Information 

Request; 7(a) Lender PARRiS Full 

Review Information Request; and, CDC 

SMART Full Review Information 

Request. Each Information Request 

document is available upon request. 

B. SBA Supervised Lender 

Supplemental Information for Safety 

and Soundness Exams 

SBA is the primary federal regulator 

for SBA licensed SBLCs and NFRLs that 

participate in the 7(a) program.7


sradovich on DSK3GMQ082PROD with NOTICES