48786 Federal Register / Vol. 86, No. 166 / Tuesday, August 31, 2021 / Notices 

1The number of closed-end funds that undertake 

repurchases annually under rule 23c–1 is based on 

information provided in response to Item C.7.i of 

Form N–CEN from January 1, 2020 through 

December 31, 2020. 

consumer is given the opportunity, 

before the time that such information is 

initially disclosed, to direct that such 

information not be disclosed to such 

third party; and the consumer is given 

an explanation of how the consumer can 

exercise that nondisclosure option (‘‘opt 

out notice’’). The Rule applies to brokerdealers, investment advisers registered 

with the Commission, and investment 

companies (‘‘covered entities’’). 

Commission staff estimates that, as of 

June 30, 2021 the Rule’s information 

collection burden applies to 

approximately 21,875 covered entities 

(approximately 3,560 broker-dealers, 

14,381 investment advisers registered 

with the Commission, and 3,934 

investment companies). In view of (a) 

the minimal recordkeeping burden 

imposed by the Rule (since the Rule has 

no recordkeeping requirement and 

records relating to customer 

communications already must be made 

and retained pursuant to other SEC 

rules); (b) the summary fashion in 

which information must be provided to 

customers in the privacy and opt out 

notices required by the Rule (the model 

privacy form adopted by the SEC and 

the other agencies in 2009, designed to 

serve as both a privacy notice and an 

opt out notice, is only two pages); (c) the 

availability to covered entities of the 

model privacy form and online model 

privacy form builder; and (d) the 

experience of covered entities’ staff with 

the notices, SEC staff estimates that 

covered entities will each spend an 

average of approximately 12 hours per 

year complying with the Rule, for a total 

of approximately 262,500 annual 

burden-hours (12 × 21,875 = 262,500). 

SEC staff understands that the vast 

majority of covered entities deliver their 

privacy and opt out notices with other 

communications such as account 

opening documents and account 

statements. Because the other 

communications are already delivered 

to consumers, adding a brief privacy 

and opt out notice should not result in 

added costs for processing or for postage 

and materials. Also, privacy and opt out 

notices may be delivered electronically 

to consumers who have agreed to 

electronic communications, which 

further reduces the costs of delivery. 

Because SEC staff assumes that most 

paper copies of privacy and opt out 

notices are combined with other 

required mailings, the burden-hour 

estimates above are based on resources 

required to integrate the privacy and opt 

notices into another mailing, rather than 

on the resources required to create and 

send a separate mailing. SEC staff 

estimates that, of the estimated 12 

annual burden-hours incurred, 

approximately 8 hours would be spent 

by administrative assistants at an hourly 

rate of $83, and approximately 4 hours 

would be spent by internal counsel at an 

hourly rate of $428, for a total annual 

internal cost of compliance of $2,376 for 

each of the covered entities (8 × $83 = 

$664; 4 × $428 = $1,712; $664 + $1,712 

= $2,376). Hourly cost of compliance 

estimates for administrative assistant 

time are derived from the Securities 

Industry and Financial Markets 

Association’s Office Salaries in the 

Securities Industry 2013, modified by 

SEC staff to account for an 1,800-hour 

work-year and multiplied by 2.93 to 

account for bonuses, firm size, 

employee benefits and overhead. Hourly 

cost of compliance estimates for internal 

counsel time are derived from the 

Securities Industry and Financial 

Markets Association’s Management & 

Professional Earnings in the Securities 

Industry 2013, modified by SEC staff to 

account for an 1,800-hour work-year 

and multiplied by 5.35 to account for 

bonuses, firm size, employee benefits, 

and overhead. Accordingly, SEC staff 

estimates that the total annual internal 

cost of compliance for the estimated 

total hour burden for the approximately 

21,875 covered entities subject to the 

Rule is approximately $51,975,000 

($2,376 × 21,875 = $51,975,000). 

Written comments are invited on: (a) 

Whether the proposed collection of 

information is necessary for the proper 

performance of the functions of the 

Commission, including whether the 

information shall have practical utility; 

(b) the accuracy of the Commission’s 

estimates of the burden of the proposed 

collection of information; (c) ways to 

enhance the quality, utility, and clarity 

of the information collected; and (d) 

ways to minimize the burden of the 

collection of information on 

respondents, including through the use 

of automated collection techniques or 

other forms of information technology. 

Consideration will be given to 

comments and suggestions submitted in 

writing within 60 days of this 

publication. 

An agency may not conduct or 

sponsor, and a person is not required to 

respond to, a collection of information 

under the PRA unless it displays a 

currently valid OMB control number. 

Please direct your written comments 

to: David Bottom, Director/Chief 

Information Officer, Securities and 

Exchange Commission, c/o Cynthia 

Roscoe, 100 F Street NE, Washington, 

DC 20549, or send an email to: PRA_

Mailbox@sec.gov. 

Dated: August 25, 2021. 

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2021–18699 Filed 8–30–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–253; OMB Control No. 

3235–026] 

Proposed Collection; Comment 

Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736. 

Extension: 

Rule 23c–1 

Notice is hereby given that, pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 350l–3520), the Securities 

and Exchange Commission (the 

‘‘Commission’’) is soliciting comments 

on the collection of information 

summarized below. The Commission 

plans to submit this existing collection 

of information to the Office of 

Management and Budget for extension 

and approval. 

Rule 23c–1(a) under the Investment 

Company Act (17 CFR 270.23c–1(a)) 

permits a closed-end fund to repurchase 

its securities for cash if, in addition to 

the other requirements set forth in the 

rule, the following conditions are met: 

(i) Payment of the purchase price is 

accompanied or preceded by a written 

confirmation of the purchase (‘‘written 

confirmation’’); (ii) the asset coverage 

per unit of the security to be purchased 

is disclosed to the seller or his agent 

(‘‘asset coverage disclosure’’); and (iii) if 

the security is a stock, the fund has, 

within the preceding six months, 

informed stockholders of its intention to 

purchase stock (‘‘six month notice’’). 

Commission staff estimates that 56 

closed-end funds undertake a total of 

224 repurchases annually under rule 

23c–1.1 Staff estimates further that, with 

respect to each repurchase, each fund 

spends 2.5 hours to comply with the 

rule’s written confirmation, asset 

coverage disclosure and six month 

notice requirements. Thus, Commission 

staff estimates the total annual 

respondent reporting burden is 560 


khammond on DSKJM1Z7X2PROD with NOTICES
Federal Register / Vol. 86, No. 166 / Tuesday, August 31, 2021 / Notices 48787 

2This estimate is based on the following 

calculation: 224 repurchases × 2.5 hours per 

repurchase = 560 hours. 

3The $373/hour figure for a compliance attorney 

is from SIFMA’s Management & Professional 

Earnings in the Securities Industry 2013, updated 

for 2021, modified by Commission staff to account 

for an 1,800-hour work-year and inflation, and 

multiplied by 5.35 to account for bonuses, firm size, 

employee benefits and overhead. 

4The $72/hour figure for a compliance clerk is 

from SIFMA’s Office Salaries in the Securities 

Industry 2013, updated for 2021, modified by 

Commission staff to account for an 1,800-hour 

work-year and inflation, and multiplied by 2.93 to 

account for bonuses, firm size, employee benefits 

and overhead. 

5This estimate is based on the following 

calculation: 560 repurchases × $330.5 per 

repurchase = $185,080. 

6 In addition, Item 9 of Form N–CSR requires 

closed-end funds to disclose information similar to 

the information that was required in Form N–23C– 

1, which was discontinued in 2004. 

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

2 17 CFR 240.19b–4. 

3Securities Exchange Act Release No. 92334 

(June 25, 2021), 86 FR 36815 (July 13, 2021) (File 

No. SR–NSCC–2021–007) (‘‘Notice of Filing’’). 

4Specifically, the Commission received a 

comment letter on a proposed rule change filed by 

NSCC’s affiliate, the Depository Trust Company 

(‘‘DTC’’), regarding parallel changes to DTC’s Rules. 

See Securities Exchange Act Release No. 92342 

(June 25, 2021), 86 FR 36833 (July 13, 2021) (File 

No. SR–DTC–2021–011). The comment letter is 

available on the Commission’s website at https://

www.sec.gov/comments/sr-dtc-2021-011/ 

srdtc2021011.htm. Because the comment addresses 

issues that also appear in this Proposed Rule 

Change, the Commission will consider it in 

connection with NSCC’s proposal as well. 

5 15 U.S.C. 78s(b)(2). 

6 Id. 

7 17 CFR 200.30–3(a)(31). 

hours.2 Commission staff further 

estimates that the cost of the hourly 

burden per repurchase is approximately 

$330.50 (one half hour of a compliance 

attorney’s time at $373 per hour,3 and 

two hours of clerical time at $72 per 

hour).4 The total annual cost for all 

funds is estimated to be $185,080.5

In addition, the fund must file with 

the Commission a copy of any written 

solicitation to purchase securities given 

by or on behalf of the fund to 10 or more 

persons. The copy must be filed as an 

exhibit to Form N–CSR (17 CFR 

249.331and 274.128).6 The burden 

associated with filing Form N–CSR is 

addressed in the submission related to 

that form. 

The estimate of average burden hours 

is made solely for the purposes of the 

Paperwork Reduction Act, and is not 

derived from a comprehensive or even 

a representative survey or study of the 

costs of Commission rules and forms. 

Written comments are invited on: (a) 

Whether the collection of information is 

necessary for the proper performance of 

the functions of the Commission, 

including whether the information has 

practical utility; (b) the accuracy of the 

Commission’s estimate of the burden of 

the collection of information; (c) ways to 

enhance the quality, utility, and clarity 

of the information collected; and (d) 

ways to minimize the burden of the 

collection of information on 

respondents, including through the use 

of automated collection techniques or 

other forms of information technology. 

Consideration will be given to 

comments and suggestions submitted in 

writing within 60 days of this 

publication. 

Please direct your written comments 

to David Bottom, Director/Chief 

Information Officer, Securities and 

Exchange Commission, C/O Cynthia 

Roscoe, 100 F Street NE, Washington, 

DC 20549; or send an email to: PRA_

Mailbox@sec.gov. 

Dated: August 25, 2021. 

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2021–18697 Filed 8–30–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–92750; File No. SR–NSCC– 

2021–007] 

Self-Regulatory Organizations; 

National Securities Clearing 

Corporation; Notice of Designation of 

Longer Period for Commission Action 

on Proposed Rule Change Relating to 

Confidential Information, Market 

Disruption Events, Systems 

Disconnect, and Other Changes 

August 25, 2021. 

I. Introduction 

On June 25, 2021, National Securities 

Clearing Corporation (‘‘NSCC’’) filed 

with the Securities and Exchange 

Commission (‘‘Commission’’) proposed 

rule change SR–NSCC–2021–007 (the 

‘‘Proposed Rule Change’’) pursuant to 

Section 19(b)(1) of the Securities 

Exchange Act of 1934 (‘‘Act’’) 1 and Rule 

19b–4 thereunder 2 to amend NSCC’s 

rules relating to confidentiality 

requirements, market disruption events, 

systems disconnect, and other changes. 

The Proposed Rule Change was 

published for comment in the Federal 

Register on July 13, 2021,3 and the 

Commission received a comment, which 

addresses issues that also appear in this 

Proposed Rule Change.4

Section 19(b)(2) of the Act 5 provides 

that within 45 days of the publication of 

notice of the filing of a proposed rule 

change, or within such longer period up 

to 90 days as the Commission may 

designate if it finds such longer period 

to be appropriate and publishes its 

reasons for so finding or as to which the 

self-regulatory organization consents, 

the Commission shall either approve the 

proposed rule change, disapprove the 

proposed rule change, or institute 

proceedings to determine whether the 

proposed rule change should be 

disapproved. The 45th day after 

publication of the notice for the 

Proposed Rule Change is effectively 

Friday, August 27, 2021. 

The Commission is extending the 45- 

day review period for Commission 

action on the Proposed Rule Change. In 

order to provide the Commission with 

sufficient time to consider the Proposed 

Rule Change, the Commission finds that 

it is appropriate to designate a longer 

period within which to take action on 

the Proposed Rule Change. 

Accordingly, pursuant to Section 

19(b)(2) of the Act 6 and for the reasons 

stated above, the Commission 

designates Friday, October 8, 2021, as 

the date by which the Commission shall 

either approve, disapprove, or institute 

proceedings to determine whether to 

disapprove the Proposed Rule Change 

(File No. SR–NSCC–2021–007). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.7

Jill M. Peterson, 

Assistant Secretary. 

[FR Doc. 2021–18672 Filed 8–30–21; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[SEC File No. 270–233, OMB Control No. 

3235–0223] 

Proposed Collection; Comment 

Request 

Upon Written Request, Copies Available 

From: Securities and Exchange 

Commission, Office of FOIA Services, 

100 F Street NE, Washington, DC 

20549–2736. 

Extension: 

Rule 17f–2 

Notice is hereby given that, pursuant 

to the Paperwork Reduction Act of 1995 

(44 U.S.C. 350l et seq.), the Securities 

and Exchange Commission (the 

‘‘Commission’’) is soliciting comments 

on the collection of information 

summarized below. The Commission 

plans to submit this existing collection 

of information to the Office of 

Management and Budget for extension 

and approval. 

Rule 17f–2 (17 CFR 270.17f–2), 

entitled ‘‘Custody of Investments by 


khammond on DSKJM1Z7X2PROD with NOTICES