Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 39145 

22 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. 

4The Exchange initially filed the proposed fee 

changes on June 1, 2022 (SR–CBOE–2022–026). On 

June 10, 2022, the Exchange withdrew that filing 

and submitted this filing. 

5Pursuant to the Booth Pass-Through Fee, TPHs 

bear responsibility for all costs associated with any 

modifications and alterations to any trading floor 

Booths leased by the TPH (or TPH organization) and 

must reimburse the Exchange for all costs incurred 

in connection therewith. 

6See Securities Exchange Act Release No. 33972 

(April 28, 1994), 59 FR 23242 (May 5, 1994). 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.22

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–13960 Filed 6–29–22; 8:45 am] 

BILLING CODE 8011–01–P 

SECURITIES AND EXCHANGE 

COMMISSION 

[Release No. 34–95155; File No. SR–CBOE– 

2022–029] 

Self-Regulatory Organizations; Cboe 

Exchange, Inc.; Notice of Filing and 

Immediate Effectiveness of a Proposed 

Rule Change To Amend Its Facility 

Fees Section in the Fees Schedule in 

Connection With the Exchange’s New 

Trading Floor 

June 24, 2022. 

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 10, 

2022, Cboe Exchange, Inc. (the 

‘‘Exchange’’ or ‘‘Cboe Options’’) 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 Exchange. 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 

Cboe Exchange, Inc. (the ‘‘Exchange’’ 

or ‘‘Cboe Options’’) proposes to amend 

its Facility Fees section in the Fees 

Schedule in connection with the 

Exchange’s new trading floor. The text 

of the proposed rule change is provided 

in Exhibit 5. 

The text of the proposed rule change 

is also available on the Exchange’s 

website (http://www.cboe.com/ 

AboutCBOE/CBOELegal

RegulatoryHome.aspx), at the 

Exchange’s Office of the Secretary, 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 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 proposes to amend its 

Fees Schedule in connection with the 

opening of a new trading floor. 

Currently, the Exchange conducts open 

outcry trading at 400 S. LaSalle, 

Chicago, Illinois. On or about June 6, 

2022, the Exchange intends to move its 

open outcry trading operations to a new 

trading floor located at 141 W Jackson 

Blvd., Chicago, Illinois. As a result of 

this transition, certain infrastructure 

and technology on the current trading 

floor will be rendered obsolete and the 

new trading floor will have new 

infrastructure and offer new technology. 

Accordingly, the Exchange proposes to 

adopt new, and/or update current, 

facility fees with respect to the new 

trading floor, as well as eliminate 

obsolete facility fees that are only 

applicable to the Exchange’s current 

facility and trading floor which will no 

longer be in use as of June 6, 2022.4

Booth Fees 

The Exchange currently assesses 

monthly fees for ‘‘standard Booths’’, 

which refers to a portion of designated 

space on the trading floor of the 

Exchange adjacent to or in particular 

trading crowds, which may be occupied 

by a Trading Permit Holder (‘‘TPH’’), 

clerks, runners, or other support staff for 

operational and other business-related 

activities. The Exchange assesses a 

monthly fee of $195 for standard Booths 

located along the perimeter of the 

trading floor, and $550 for standard 

Booths located in the OEX, Dow Jones, 

MNX and VIX trading crowds. The 

Exchange also assesses monthly fees for 

‘‘nonstandard Booths’’, which refers to 

space on the trading floor of the 

Exchange that is set off from a trading 

crowd, which may be rented by a TPH 

for whatever support, office, back-office, 

or any other business-related activities 

for which the TPH may choose to use 

the space. A TPH that rents nonstandard booth space on the floor of the 

Exchange is subject to a base nonstandard booth rental fee of $1,250 per 

month in addition to a square footage 

fee of $1.70 per square foot per month 

based on the size of the TPH’s nonstandard booth. The Exchange proposes 

to modify and simplify its fees assessed 

for booth rentals. First, the Exchange 

proposes to eliminate the distinction 

between standard and non-standard 

Booths. The Exchange also proposes to 

adopt a tiered pricing schedule for 

Booths based on the number of Booths 

rented by a TPH. Particularly, the 

Exchange proposes to adopt the 

following fees for Booths that are set off 

from a trading crowd: 

Quantity of booths Monthly fee 

1–2 ........................................ $400 

3–6 ........................................ $300 

7–10 ...................................... $200 

11 or more ............................ $100 

The proposed tiered pricing provides 

discounted pricing for additional 

Booths. For example, if a TPH rented 4 

Booths, the TPH would be assessed 

$1,400 a month (2 Booths at $400 and 

2 Booths at $300). The Exchange also 

proposes to adopt a monthly fee of $750 

per booth for any booth located in a 

trading crowd. The Booth Pass-Through 

Fee would remain unchanged.5 The 

Exchange notes that use of Booths, 

whether or located away from or in a 

trading crowd are optional and not 

necessary in order to conduct open 

outcry trading on the trading floor. 

Booth spaces are also uniform and 

nearly identical in size. The Exchange 

also notes that at this time, the 

Exchange has ample space on its new 

trading floor for booth space. 

Policy 

The Exchange also proposes to update 

the Exchange’s policy (‘‘Policy’’) 

regarding the rental and use of booth 

space on its trading floor by TPH 

organizations. The Exchange 

memorialized the Policy and filed it 

with the Commission in 1994.6 The 

Exchange proposes to update the Policy 

in a few respects. First, the Exchange 

proposes to change references to 

‘‘Chicago Board Options Exchange, 

Incorporated’’ and ‘‘CBOE’’ to ‘‘Cboe 


jspears on DSK121TN23PROD with NOTICES1
39146 Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 

7The Agreement is non-negotiable and its terms 

are the same for every TPH organization. 

8See Securities Exchange Act Release No. 33972 

(April 28, 1994), 59 FR 23242 (May 5, 1994). 

9See Securities Exchange Act Release No. 66727 

(April 9, 2012), 77 FR 21134 (April 3, 2012) (SR– 

CBOE–2012–025). 10See Cboe Options Fees Schedule, Lines Table. 

11See Cboe Options Fees Schedule, 

Communications Table, Exchangefone and 

Miscellaneous Table, Market-Maker Handheld 

Terminal Tethering Services. 

12See Cboe Options Fees Schedule, Lines Table, 

Lines Direct from Local Carrier to Trading Floor and 

Lines Between Communication Center and Trading 

Floor. 

13The term ‘‘U’’ is used to indicate an equipment 

unit 1.75’’ high with a maximum power of 125 

watts per U space. Per the Fees Schedule, CoLocation fees are charged in increments of 4 ‘‘U’’ 

(7 inches). 

14See Cboe Options Rule 3.60. 

Exchange, Inc.,’’ and ‘‘Cboe Options’’, 

respectively to reflect the Exchange’s 

current legal name which has been 

updated since the last update to the 

Policy. The Exchange also proposes to 

update the rule reference relating to the 

Appeals process from Chapter ‘‘19’’ to 

Chapter ‘‘15’’ to reflect recent updates to 

the Exchange’s rulebook. 

The Exchange notes the Policy 

includes a section that sets forth the 

requirement that all TPH organizations 

renting Booths execute a ‘‘Trading Floor 

Booth Rental Agreement’’ (hereinafter, 

‘‘Agreement’’) which sets forth the 

contractual terms, conditions and 

restrictions governing rental and use of 

Booths by TPH organizations.7 A copy 

of the Agreement was included in the 

Exchange’s 1994 rule filing noted above 

for the Commission’s information.8 The 

Agreement specifically sets forth the 

details of the parties’ contractual 

relationship regarding rental and use of 

the Booths. Among other provisions, the 

Agreement includes specific provisions 

delineating the termination rights of 

both the TPH organization and the 

Exchange and sets forth a procedure for 

adding Booths to and deleting Booths 

from the Agreement. The Agreement 

also spells out requirements respecting 

the TPH’s use of the Booths, such as 

those governing the installation of 

equipment, the conduct of business, and 

access of persons to the Booths. 

The Exchange has updated the 

Agreement (which is now referred to as 

the Agreement for ‘‘standard Booths’’). 

In 2012, the Exchange also created a 

separate form of the Agreement for nonstandard Booths.9 In connection with 

the proposal to eliminate non-standard 

Booths, the Exchange proposes to 

eliminate use of that agreement. A copy 

of the standard form of Agreement is 

included with this filing in Exhibit 3. 

The Exchange proposes to update this 

section of the Policy to eliminate 

references to the non-standard booth 

agreement. The Exchange also proposes 

to update the Agreement to (i) change 

references to ‘‘Chicago Board Options 

Exchange, Incorporated’’ and ‘‘CBOE’’ to 

‘‘Cboe Exchange, Inc.,’’ and ‘‘Cboe 

Options’’, respectively; (ii) update the 

link to where the Cboe Options Fees 

Schedule can be found; (iii) eliminate 

the requirement for Cboe to provide 

TPH organizations with a copy of TPH 

Organization’s current booth 

assignments, as it no longer believes 

such record is necessary or desired by 

TPHs; and (iv) eliminate Section 13, 

which prohibits TPH Organizations 

leasing SPX arbitrage Booths from 

installing data equipment in such 

Booths, as the Exchange does not intend 

to provide such Booths and to the extent 

it determines to do so in the future does 

not anticipate maintaining such 

prohibition. The Exchange will 

disseminate the updated Policy and 

forms of the Agreement to Trading 

Permit Holders by posting them on the 

Trading Permit Holder portion of the 

Cboe website. 

Line to Cboe Floor Network 

On the current trading floor, TPHs use 

various lines and telecommunications 

(‘‘telco’’) circuits to connect to the 

trading floor. Independent wiring must 

be used for each line or telco circuit, 

which means firms may need to relocate 

their lines or telco circuits if they move 

into, or relocate to, a new trading space 

or Booth. These telco circuits are also on 

a per device basis. The new trading floor 

will utilize a single floor network (i.e., 

‘‘Cboe Floor Network’’) for TPHs’ 

devices consisting of both wired jacks 

and wireless network access located at 

kiosks, in trading pits, and in Booths 

throughout the new trading floor. As 

such, unlike the current trading floor 

infrastructure, TPHs will not need to 

order lines from the Exchange to 

specific locations on the floor. Rather, a 

TPH only needs to order one Ethernet 

port (‘‘Line’’) (or a pair for redundancy) 

to connect to the Cboe Floor Network 

and will be able to connect their devices 

to the Exchange’s network anywhere on 

the trading floor through wired jack 

ports or the wireless network. 

Additionally, firms will no longer need 

to provide network equipment to 

support dedicated lines to the floor, as 

on the new trading floor the Exchange 

will be providing the network switches 

and local area network (LAN) lines for 

all firms. 

The Exchange believes the new 

trading floor will provide TPHs more 

flexibility to move and relocate as 

needed, as compared to the current 

trading floor. If a TPH wishes to relocate 

trading spaces or trading booths on the 

current trading floor, it could trigger 

installation, relocation and removal of 

various lines and circuits, which 

subsequently triggers various 

installation, relocation and removal 

fees.10 For example, on the current 

trading floor, if a Market-Maker were to 

move to a new trading space, it may 

need relocate the lines or circuits from 

its current space to the new space and 

would be subject to relocation fees such 

as $129 relocation fee to relocate any 

Exchangefones and $200 relocation fee 

for relocation of any Market-Maker 

Handheld Terminal.11 As another 

example, if a TPH were to relocate to a 

new Booth, they may be subject to 

relocation fees of $625 for relocating 

lines from the trading floor to local 

carriers or the Communications 

Center.12 Since all network access will 

be wireless or plug and play at any 

location on the new trading floor, the 

new infrastructure eliminates the need 

for installation of multiple lines, as well 

as relocation and removal of 

connectivity lines to devices and also 

renders the following Lines fees 

(including fees relating to installation, 

relocation and removal) obsolete: IntraFloor, Voice Circuits, Appearances, Data 

Circuits at Local Carrier, and Data 

Circuits at In-House Frame. The 

Exchange therefore proposes to instead 

adopt a monthly fee of $350 per Line 

and notes it does not expect TPHs to 

purchase more than one Line and one 

redundant Line. The Exchange also 

proposes to adopt a one-time $500 

installation fee for the installation of the 

line to the Cboe Floor Network. The 

proposed $500 installation fee would 

include installation of a redundant line 

at no additional cost and allows the 

Exchange to recoup the costs it incurs 

from third-party vendors for the 

installation of the Lines. 

Co-Location and Meet-Me-Room 

For a monthly fee, the Exchange 

currently provides TPHs (and thirdparty vendors, collectively ‘‘firms’’) 

with cabinet space in its building for 

placement of network and server 

hardware. Particularly, TPHs are 

charged a monthly fee of $50 per ‘‘U’’ 

of shelf space 13 and Sponsored Users 14

are assessed a monthly fee of $100 per 

‘‘U’’. Fees are charged in increments of 

4 ‘‘U’’ (i.e., a minimum of $200 per 4 

‘‘U’’ is charged or, for Sponsored Users, 

a minimum of $400 per 4 ‘‘U’’ is 

charged). A firm also receives power, 

cooling, security and assistance with 

installation and connection of the 


jspears on DSK121TN23PROD with NOTICES1
Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 39147 

15To the extent the Exchange has Sponsored 

Users in the future, such participants will be 

assessed the same rate as all other firms (i.e., $50 

per ‘‘U’’, billed in minimum increments of 4 ‘‘U’’). 

16The Exchange offers fiber cross connect. The 

cross connects may run between a firm’s hardware 

to a third-party telecommunications service or the 

Cboe Floor Network switches that will service the 

trading floor. 

17See Cboe Options Fees Schedule, Vendor 

Services, Technical Support Outside Normal Hours, 

and Miscellaneous, IPC (vendor) Time & Material, 

IPC (vendor) Time & Material Overtime, After Hours 

Technician Service, Market-Maker Handheld 

Tethering Services, and Market-Maker Handheld 

Tethering Services For Indexes. 

18The Exchange proposes to rename this section 

‘‘Trading Floor Device Fees’’. 

19The Exchange proposes to replace the reference 

to ‘‘PAR Workstation’’ to ‘‘PAR Access’’. 

Particularly, the current version of PAR is no longer 

a physical touch screen terminal (i.e., workstation) 

but an order management tool that can be accessed 

on a tablet such as a Surface. 

20Silexx is a User-optional order entry and 

management trading platform. The Silexx platform 

consists of a ‘‘front-end’’ order entry and 

management trading platform (also referred to as 

the ‘‘Silexx terminal’’) for listed stocks and options 

that supports both simple and complex orders, and 

a ‘‘back-end’’ platform which provides a connection 

to the infrastructure network. The Silexx front-end 

and back-end platforms are a software application 

that is installed locally on a user’s laptop. 

21Cloud9 is the voice communication solution for 

the new trading floor. Cloud9 is a VoIP cloud-based 

service offering a traditional turret, the Cloud Hub. 

The Cloud Hub will be provided by Cboe and will 

need to connect to a laptop or device provided 

either by the TPH or by Cboe. TPHs may not use 

the same Exchange Tablet for both PAR and Cloud9. 

equipment to the Exchange’s servers, at 

no additional charge. 

The Exchange will continue to 

provide firms cabinet space in the new 

facility (‘‘Meet-me-Room’’) for 

placement of network and server 

hardware at the same rate of $50 per 

‘‘U’’, billed in increments of 4 ‘‘U’’. The 

Exchange proposes however to 

eliminate the separate rate for CoLocation of Equipment Fee for 

Sponsored Users, as the Exchange does 

not currently have any Sponsored Users, 

nor has it had any Sponsored users in 

several years. As such, the Exchange no 

longer believes its necessary to maintain 

a separate rate for Sponsored Users.15

The Exchange also proposes to relocate 

the ‘‘Co-Location’’ section in the Fees 

Schedule to immediately follow the 

‘‘Lines’’ section in the Fees Schedule, as 

it believes such fees are more 

appropriately grouped together and will 

make the Fees Schedule easier to read 

and follow. The Exchange also believes 

it will make the Fees Schedule easier to 

read and follow if it reflects the rate of 

the minimum increment charged, 

instead of a broken-out rate that can 

never be assessed. As noted above, the 

Fees Schedule currently sets forth the 

monthly rate per ‘‘U’’ (i.e., ‘‘$50 per 

‘‘U’’), even though it states it only 

charges in increments of 4 ‘‘U’’ (i.e., fee 

is really $200 per 4 ‘‘U’’). The Exchange 

will continue to charge in increments of 

4 ‘‘U’’ in the new facility and therefore 

proposes to update the fee language in 

the relocated line item to reflect the rate 

for the minimum increment of 4 ‘‘U’’. 

Despite this language change, the 

Exchange reiterates it is not changing 

the amount assessed for the Co-Location 

of Equipment Fee. Within the new 

Meet-me-Room however, the Exchange 

is proposing to limit firms to 8 ‘‘U’’ in 

order to ensure all firms can be 

accommodated in the Meet-me-Room. 

The Exchange next proposes to adopt 

monthly and installation fees for cross 

connects, including telecommunication 

(i.e., telco) and Cboe Floor Network 

cross connects,16 within the Meet-MeRoom. Particularly, each cross connect 

will be subject to a $25 per month per 

cross connect fee. Additionally, firms 

will be subject to a one-time $500 

installation fee for each cross 

connection. The Exchange notes that 

currently it assesses third-party vendors 

a $50 per month fee for ‘‘Data Circuits 

from Local Carrier to Equipment Shelf’’ 

which offers similar cross-connectivity 

from Local Carriers (telco providers) to 

a firm’s equipment shelf in the current 

meet-me-room. The Exchange no longer 

will use data circuits from Local 

Carriers to equipment on the shelf and 

proposes to therefore eliminate this fee 

(currently under the Vendor Services 

section) from the Fee Schedule. 

The Exchange next proposes to adopt 

a fee relating to accessing the Meet-meRoom. Particularly, in order for a firm 

to access the Meet-me-Room (e.g., if 

they need technical support), they must 

request access. The Exchange notes that 

because the Meet-me-Room now resides 

in a facility not owned by the Exchange, 

the Exchange is assessed a fee by a 

third-party for providing firms access to 

the Meet-me-Room. The Exchange 

therefore proposes to adopt a fee to 

recoup fees it is billed for providing this 

access (‘‘Cboe Datacenter Services’’). 

Specifically, the Exchange proposes to 

assess a fee of $100 per half-hour (with 

a 1 hour minimum required). The 

Exchange also proposes to waive this fee 

for the month of June 2022. Particularly, 

the Exchange understands that firms 

may have a greater need during the first 

month of operations on the new trading 

floor to visit the Meet-me-Room. The 

proposed waiver therefore allows firms 

to respond to any potential issues that 

may arise in the Meet-me-Room during 

the first month at no additional cost. 

The Exchange anticipates that firm 

requests for this type of access will be 

infrequent thereafter. The Exchange also 

notes that it similarly assesses fees for 

various third-party technical support or 

vendor services on the current trading 

floor.17 However, these services will no 

longer be available in the new facility 

and the Exchange therefore proposes to 

eliminate the following corresponding 

fees: Technical Support Outside Normal 

Hours, IPC (vendor) Time & Material, 

IPC (vendor) Time & Material Overtime, 

After Hours Technician Service, MarketMaker Handheld Tethering Services, 

and Market-Maker Handheld Tethering 

Services For Indexes. 

Trading Floor Device Fees 

The Exchange currently lists various 

fees under the Trading Floor Terminal 

Rentals section of the Facility Fees 

table.18 For example, TPHs are currently 

assessed $125 per month for ‘‘PAR 

Workstations’’ to help offset hardware 

costs incurred by the Exchange in 

making PAR workstations available to 

TPHs. A PAR (Public Automated 

Routing System) Workstation is an 

Exchange-provided order management 

tool for use on the Exchange’s trading 

floor by TPHs and PAR Officials to 

manually handle orders pursuant to the 

Rules and facilitate open outcry trading. 

Access to PAR is only available on 

Exchange-provided tablets (currently 

Surface Tablets) and the current 

monthly fee covers both the Exchangeprovided tablet and PAR access. In 

connection with the transition to the 

new trading floor, the Exchange 

proposes to modify the way it assesses 

fees for use of PAR 19 and also adopt 

fees for non-Exchange provided tablets 

that connect to the Exchange’s network. 

Particularly, the Exchange proposes to 

adopt a separate monthly Exchange 

Tablet fee of $140 for any tablet 

provided by the Exchange and a 

separate monthly fee of $45 to access 

PAR. TPHs will continue to utilize PAR 

on the new trading floor, which will 

continue to only be available on 

Exchange-provided tablets. Exchange 

tablets used for PAR may also be used 

for access to Silexx.20

The Exchange also proposes to adopt 

a separate Exchange Tablet fee as TPHs 

will have the option of using Exchangeprovided tablets for Cloud9, which is 

the new telecommunication system that 

will be offered by the Exchange on the 

new trading floor.21 The Exchange notes 

that TPHs have the option of using their 

own tablet to access Cloud9 in lieu of 

using an Exchange-provided tablet. 

Such tablets would be subject to the 


jspears on DSK121TN23PROD with NOTICES1
39148 Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 

22For example, a TPH that connects to Cloud9 

using its own laptop would be assessed $100 per 

month for that connection. If that same TPH 

chooses to connect an additional laptop and a 

printer to the network, that TPH will be assessed 

a total of $300 per month (i.e., $100 for each of the 

tablet used for Cloud9, the laptop and the printer). 

23The Exchange proposes to eliminate a 

corresponding reference in Footnote [sic] 40 to 

Trading Floor Printer Maintenance in light of the 

proposal to eliminate this fee. 

‘‘TPH-Owned Device Authentication 

Fee’’ described more fully below. 

On the new trading floor TPHs will be 

able to use a variety of devices such as 

tablets, laptops, Market-Maker handheld 

devices, printers, and phone systems. 

TPHs will be able to connect these 

devices to the Exchange’s network 

anywhere on the trading floor through 

wired jack ports or the wireless network 

on the trading floor, as long as they are 

onboarded to the Cboe Network 

Authentication System. The Exchange 

proposes to assess a fee for TPH-owned 

devices that connect to the Exchange’s 

network on the new trading floor 

(‘‘TPH-Owned Device Authentication 

Fee’’). Particularly, the Exchange 

proposes to assess a fee of $100 per 

authenticated connection (i.e., when a 

device connects to the wired jack and/ 

or wireless network on the trading 

floor).22 The proposed fee will be based 

on the maximum number of concurrent 

authenticated connections made during 

market hours during the calendar 

month. As discussed above, the 

Exchange believes the new trading floor 

provides TPHs more flexibility to move 

and relocate any of their devices by 

eliminating the need for installation, 

relocation and removal of connectivity 

lines to devices. Consequently, 

corresponding monthly, installation, 

relocation and removal fees will also be 

eliminated on the new trading floor. 

Replacement Fees 

The Exchange currently assesses fees 

related for certain hardware that needs 

to be replaced because of loss or because 

of non-normal wear and tear. 

Particularly, the Exchange assesses the 

following replacement fees: 

Replacement Tablet $1,300 each. 

Replacement Stylus 

Pen.

$100 each. 

Replacement Chargers.$75 each. 

Replacement Adapters and Protective 

Cases.

$50 each 

The Exchange proposes to maintain 

these replacement fees on the new 

trading floor. However, the Exchange 

proposes to increase the fee to replace 

a table from $1,300 per tablet to $1,400 

per tablet to reflect increased costs to 

the Exchange. The Exchange also 

proposes to adopt a new replacement 

fee for lost Access Badges at the rate of 

$100 per badge in order to encourage 

TPHs to hold onto their badges and not 

misplace them. 

Obsolete Fees 

The Exchange next proposes to 

eliminate fees assessed for technology 

and infrastructure and related services 

that will be rendered obsolete upon the 

transition to the new trading floor. 

Particularly, the Exchange proposes to 

eliminate the following fees that have 

not otherwise been discussed above: 

Description Fee 

Arbitrage Phone Positions .................................................................................. $550/month. 

HP Laser Printer Paper ....................................................................................... $5.00 per packet of 500 sheets. 

Zebra Printer Papers ........................................................................................... $19.50 per roll.

Zebra Printer Ink ................................................................................................. $19.50 per roll. 

Forms Storage .................................................................................................... $11. 

Exchangefone ..................................................................................................... $935/installation; $129/relocation; $100/removal. 

Exchangefone—Maintenance ............................................................................. $57/month. 

Exchangefone—With Recorded Coupler Between Booths ................................ $126/relocation. 

Exchangefone—Within Booth ............................................................................. $25/relocation. 

Single Line—Maintenance .................................................................................. $11.50/month 

Phone Rentals—Monthly Fee ............................................................................. $110/month. 

Phone Rentals—Replacement Repairs .............................................................. cost. 

Lines—Intra Floor ................................................................................................ $57.75/per month. 

Lines—Voice Circuits .......................................................................................... $16/month; $52.50/installation; $36.75/removal. 

New Circuits—First ............................................................................................. $120/installation; $50/removal. 

New Circuits—@Additional ................................................................................. $18/installation; $18/removal. 

Existing Line Appearance—First ......................................................................... $50/installation; $25/removal. 

Existing Line Appearance—A Additional ............................................................ $18/installation: $18/removal.

Data Circuits (DC) at Local Carrier (entrance) ................................................... $16/month; $52.50/installation; $36.75 removal. 

DC @In-House Frame—Lines between Local Carrier and Comms Center ...... $12.75/month; $550/installation. 

DC @In-House Frame- Lines Between Comms Center and Trading Floor ...... $12.75/month; $725/installation; $625/relocation. 

DC @In-House Frame—Lines Direct from Local Carrier to Trading Floor ........ $12.75/month; $725/installation; $625/relocation 

Shelf for Equipment ............................................................................................ $100/month. 

Lines from Equipment to Floor ........................................................................... $50/month. 

Handsets ............................................................................................................. $79/installation. 

Headset Jack ...................................................................................................... $131/installation; $58 relocation; $28/removal. 

Recorder Coupler ................................................................................................ $150 new/$50 existing installation; $25/relocation; $25/removal. 

Thomson/Other (Basic Service) .......................................................................... $425/month. 

Satellite TV .......................................................................................................... $50/month. 

Cboe Options Trading Floor Terminal ................................................................ $250/month; $175/installation; $225 relocation; $125/removal. 

Trading Floor Printer Maintenance 23 ................................................................. $75/month. 

The Exchange also proposes to 

eliminate all PULSe Workstation fees as 

PULSe was decommissioned in January 

2021, but the Exchange inadvertently 

did not delete references to PULSerelated fees at that time. 

Temporary Fees 

In June 2020, the Exchange adopted 

Footnote 24 of the Fees Schedule to 

govern pricing changes that would 

apply for the duration of time the 

Exchange trading floor was being 

operated in a modified manner in 

connection with the COVID–19 

pandemic. By way of background, the 

Exchange closed its trading floor on 

March 16, 2020 due to the COVID–19 


jspears on DSK121TN23PROD with NOTICES1
Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 39149 

24See Securities Exchange Act Release No. 62386 

(June 25, 2010), 75 FR 38566 (July 2, 2010) (SR– 

CBOE–2010–060). 

25 15 U.S.C. 78f(b). 

26 15 U.S.C. 78f(b)(5). 

27 Id. 

pandemic and reopened its trading floor 

on June 15, 2020, but with a modified 

configuration of trading crowds in order 

to implement social distancing and 

other measures consistent with local 

and state health and safety guidelines to 

help protect the safety and welfare of 

individuals accessing the trading floor. 

As a result, the Exchange relocated and 

modified the physical area of certain 

trading crowds and also determined and 

reduced how many floor participants 

may access the trading floor. In 

connection with these changes, the 

Exchange proposed a number of 

modified billing changes that would 

remain in place for the duration of the 

time the Exchange operated in a 

modified manner. Particularly, the 

following fees are modified when the 

Exchange is operating in a modified 

state due to the COVID–19 pandemic: 

Trading Permits ........................................................................ Floor trading permit fees are not be assessed on the total number of floor trading 

permits a TPH organization holds, and instead are based on the floor trading 

permits used by nominees of the TPH each day during the month using the 

following formula: (i) the number of floor trading permits that have a nominee 

assigned to it in the Customer Web Portal system (‘‘Portal’’) in a given month, 

multiplied by the number of trading days that the floor is open and that a nominee is assigned to each respective trading permit in that month, divided by (ii) 

the total number of trading days in a month. The Exchange rounds up to determine the total number of trading permits assessed the fees set forth in the 

Floor Trading Permit Sliding Scales. 

SPX Tier Appointment Fee ...................................................... The monthly fee for the SPX/SPXW Floor Market-Maker Tier Appointment Fee 

will be increased to $5,000 per Trading Permit from $3,000 per Trading Permit. 

Inactive Nominee Status (Parking Space) ............................... $300 Parking Space Fees is not applied. 

Inactive Nominee Status Change (Trading Permit Swap) ....... $100 Trading Permit Swap Fee is not applied. 

SPX/SPXW and SPESG Floor Brokerage Fees ...................... SPX/SPXW and SPESG Floor Brokerage Fees are be assessed the rate of 

$0.05 per contract for non-crossed orders and $0.03 per contract for crossed 

order instead of $0.04 and $0.02, respectively. 

Facility Fees ............................................................................. Monthly fees are waived for the following facilities fees: arbitrage phone positions 

and satellite tv. If a TPH is unable to utilize designated facility services while 

the trading floor is operating in a modified state, corresponding fees, including 

for standard and non-standard booth rentals, Exchangefone maintenance, single line maintenance, intra floor lines, voice circuits, data circuits at local carrier (entrance), and data circuits at in-house frame, are waived. 

The Exchange notes that while the 

current floor still utilizes social 

distancing and reconfigured trading 

crowds (and therefore is considered to 

be operating in a modified manner), it 

does not believe it to be necessary to 

implement such safety measures on the 

new trading floor at the time of 

transition given recent developments 

relating to the COVID–19 pandemic. As 

such, upon moving to the new trading 

floor on June 6, 2022, the Exchange will 

no longer be operating in a modified 

manner and Footnote 24 would not 

apply. The Exchange notes that absent 

a proposed rule change however, the 

Exchange would have to apply certain 

billing modifications under Footnote 24 

for the first three business days of the 

calendar month. The Exchange therefore 

proposes to provide in Footnote 24 that 

it will not apply between June 1, 2022 

through June 3, 2022 in order to provide 

seamless billing in the month of June 

2022. Accordingly, effective June 1, 

2022: (1) Floor Trading Permit fees will 

be assessed based on the total number 

of floor trading permits a TPH holds 

each month; (2) Parking Space and 

Trading Swap fees will no longer be 

waived; and (3) SPX/SPXW and SPESG 

Floor Brokerage fees will be assessed 

$0.04 per contract for non-crossed 

orders (instead of $0.05 per contract) 

and $0.02 per contract for crossed 

orders (instead of $0.03 per contract). As 

noted above, arbitrage phone positions, 

satellite tv, Exchangefone maintenance, 

single line maintenance, intra floor 

lines, voice circuits, data circuits at 

local carrier (entrance), and data circuits 

at in-house frame are being eliminated 

as of June 1, 2022 so the Exchange 

proposes to also eliminate references to 

such fees from Footnote 24. The 

Exchange also proposes to maintain the 

current modified rate of $5,000 for the 

SPX Floor Tier Appointment Fee under 

Footnote 24 (i.e., increase the fee from 

$3,000 per permit to $5,000 permit 

regardless of whether the Exchange is 

operating in a modified state due to 

COVID–19 pandemic). The Exchange 

notes that it has not amended the 

original Tier Appointment Fee since its 

inception almost twelve years ago in 

July 2010.24

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.25 Specifically, 

the Exchange believes the proposed rule 

change is consistent with the Section 

6(b)(5) 26 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 

the Section 6(b)(5) 27 requirement that 

the rules of an exchange not be designed 

to permit unfair discrimination between 

customers, issuers, brokers, or dealers. 

As discussed above, the proposed 

changes are prompted by the Exchange’s 

upcoming transition from its current 

trading floor, which it has occupied 

since the 1980s, to a brand new, modern 

and upgraded trading floor in a new 

facility. The Exchange believes the build 

out of a new modern trading floor is 

consistent with its commitment to open 

outcry trading and focus on providing 

the best possible trading experience for 

its customers. Indeed, the new trading 

floor provides a state-of-the-art 


jspears on DSK121TN23PROD with NOTICES1
39150 Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 

28 In 2011, Nasdaq PHLX charged a flat $300 per 

month fee for Trading/Administrative Booth paid 

by floor brokers and clearing firms. See Securities 

Exchange Act Release No. 34–66086 (January 3, 

2012), 77 FR 1111 (January 9, 2012) (SR-Phlx-2011– 

181). NYSE American currently assesses $40 per 

linear foot per month for all booth space utilized 

by such Floor Broker. 

29For example, Nasdaq PHLX assesses a Floor 

Facility Fee of $330 per month for such purpose. 

See Securities Exchange Act Release No 69672 

(June 5, 2013), 78 FR 33873 (May 30, 2013) (SR– 

PHLX–2013–58). Nasdaq PHLX also assesses a 

variety of options trading floor fees including for 

equipment services and relocation requests. See 

Nasdaq PHLX Options 7 Pricing Schedule, Section 

9. Other Member Fees, A. Option Trading Floor 

Fees. See also NYSE America Options Fees 

Schedule, Section IV, Monthly Floor 

Communication, Connectivity, Equipment and 

Booth or Podia Fees and NYSE Price List, 

Equipment Fees. 

30See Nasdaq PHLX Options 7 Pricing Schedule, 

Section 9. Other Member Fees, A. Option Trading 

Floor Fees, Cabinet-to-Cabinet Connectivity and 

Cabinet-to-Cabinet MPOE Connectivity, which are 

both subject to a $50 per month fee. 

environment and technology and more 

efficient use of physical space, which 

the Exchange believes better reflects and 

supports the current trading 

environment. The Exchange also 

believes the new infrastructure provides 

a cost-effective, streamlined, and 

modernized approach to floor 

connectivity. As described above, the 

upcoming transition will render much 

of the Exchange’s current trading floor 

technology and infrastructure obsolete, 

as it will be replaced by new 

infrastructure in a new location (not 

owned by the Exchange). As such, the 

Exchange believes the proposed 

modifications to corresponding facility 

fees are not only necessary, but 

reasonable, equitable and not unfairly 

discriminatory as further discussed 

below. The Exchange also believes the 

proposed rule change results in a 

streamlined and simplified trading floor 

and facility fee structure. 

Booth Fees 

The Exchange believes the proposed 

Booth Fees are reasonable as they are 

not a significant departure from fees 

currently assessed for Booths on the 

current trading floor (and in some 

instances are even lower than currently 

assessed). Additionally, the Booths on 

the new trading floor will be slightly 

larger than the standard Booths 

available on the current trading floor. 

The proposed fees are also in line with 

similar fees charged currently and 

historically at other exchanges with a 

physical trading floor.28 The Exchange 

believes that the proposed booth space 

fee is equitable and not unfairly 

discriminatory because it applies 

uniformly to trading floor participants 

who choose to rent Booths (and all 

booths are uniform and nearly identical 

in size). Moreover, the use of Booths, 

whether located away from or in a 

trading crowd, are optional and not 

necessary in order to conduct open 

outcry trading on the trading floor. 

The Exchange believes the proposed 

rule changes to the Booth Policy and 

Agreement make non-substantive 

changes that merely clarify the Policy 

and Agreement, make it more accurate, 

and alleviate potential confusion, 

thereby removing impediments to and 

perfecting the mechanism of a free and 

open market and a national market 

system, and, in general, protecting 

investors and the public interest. The 

Exchange believes that notwithstanding 

any of the proposed changes, the Booth 

Policy and Agreement continues to 

ensure that trading floor Booths are 

leased to TPH organizations on equal 

and non-discriminatory terms. 

Line to Cboe Floor Network 

The Exchange believes the proposed 

Line to Cboe Floor Network fee is 

reasonable as TPHs will not be subject 

to the current lines and circuit fees set 

forth in the Fees Schedule, including for 

relocation and removal, that are 

assessed on the current trading floor for 

similar connectivity to the trading floor 

network. Additionally, unlike the 

current floor which requires 

independent wiring be used for each 

line or circuit and on a per device basis, 

the new trading floor will allow TPHs 

to maintain one Line (or 2 for 

redundancy purposes). Moreover, as 

discussed above, firms will no longer 

need to provide network equipment to 

support dedicated lines to the floor, as 

on the new trading floor, the Exchange 

will be providing the network switches 

and local area network (LAN) lines for 

all firms. Accordingly, the new trading 

floor will provide TPHs more flexibility 

to move and relocate as needed and be 

able to do so without incurring 

additional relocation and removal fees. 

The Exchange also notes other 

exchanges assess a variety of facility 

fees relating to connectivity and 

equipment in order to maintain their 

trading floor facilities.29 The Exchange 

believes the proposed installation fee is 

also reasonable as the Exchange is 

recouping costs it incurs from a third 

party with respect to the installation of 

such Lines. The proposed fee also 

includes a redundant Line at no 

additional cost. The Exchange believes 

the proposed monthly and installation 

Line fees are equitable and not unfairly 

discriminatory as they will apply 

uniformly to all trading floor 

participants. 

Co-Location and Meet-Me-Room 

The Exchange believes it is reasonable 

to cap all TPHs and non-TPHs to 8 ‘‘U’’ 

because the Exchange no longer owns 

the premises in which the Meet-meRoom resides and there is finite amount 

of space. The proposed cap however 

applies to all TPHs and non-TPHs 

uniformly. Additionally, the Exchange 

believes 8 ‘‘U’’ should be sufficient 

amount of space for any TPH or nonTPH and that with such cap in place 

there is sufficient space to accommodate 

all TPHs or non-TPHs who request colocation service. The Exchange believes 

it’s reasonable, equitable and not 

unfairly discriminatory to eliminate the 

Co-Location of Equipment Fee for 

Sponsored Users as it has not had any 

Sponsored Users in several years. If the 

Exchange were to approve a Sponsored 

User, such participant would merely be 

subject to the remaining (and lower) CoLocation of Equipment Fee (i.e., $200 

per 4 ‘‘U’’). The Exchange believes the 

proposed relocation and language 

updates to the current Co-Location fee 

are reasonable as the Exchange is not 

proposing to change the amount 

assessed but is merely updating and 

simplifying the Fees Schedule and 

making it easier to read. 

The Exchange believes the proposed 

$25 per cross-connect monthly fee is 

reasonable as it is a modest fee that is 

a pass-through of the fee the Exchange 

is assessed by a third-party to maintain 

such cross connect. Additionally, the 

Exchange notes third-party vendors 

such as telecommunication providers 

will no longer be subject to the $50 per 

month fee for ‘‘Data Circuits from Local 

Carrier to Equipment Shelf’’. 

Additionally, the Exchange believes the 

proposed amount is in line (and lower 

than) the amount assessed by another 

exchange for similar cross connects.30

The proposed cross connect installation 

fee is also reasonable as it is intended 

to recoup the fees incurred by the 

Exchange by third-party vendors for 

establishing the cross connects. The 

Exchange believes the proposed 

monthly and installation cross connect 

fees are also reasonable, equitable and 

not unfairly discriminatory as they 

apply uniformly to similarly situated 

market participants. 

The Exchange believes the proposed 

Cboe Datacenter Services fee is 

reasonable as it recoups the costs the 

Exchange incurs for providing access to 

the Meet-me-Room for firms for 

purposes such as on-site support. 


jspears on DSK121TN23PROD with NOTICES1
Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 39151 

31See Securities Exchange Act Release No. 63701 

(January 11, 2011), 76 FR 2934 (January 18, 2011) 

(SR–CBOE–2010–116). 

32See also NYSE America Options Fees 

Schedule, Section IV, Monthly Floor 

Communication, Connectivity, Equipment and 

Booth or Podia Fees. 

33See Cboe Options Fee Schedule, 

Communications Fees. 

34The Exchange proposes to eliminate this 

language from Footnote 24 as it will no longer be 

considered a ‘‘modified’’ rate, and instead update 

the rate reflected in the Market-Maker Tier 

Appointment Fees table. 

Additionally, the Exchange proposes to 

waive the fee for the month of June 

2022, so that visits to the Meet-meRoom to address any onboarding 

questions or issues that may arise 

during the first month in the new 

facility are free of charge. Moreover, as 

noted above, the Exchange does not 

anticipate that access to the Meet-meRoom will be needed on a frequent 

basis. The Exchange believes the 

proposed fee is also equitable and not 

unfairly discriminatory as it will apply 

uniformly to all market participants that 

request this service, and the fee will be 

waived for all market participants for 

the month of June 2022. 

Trading Floor Devices 

The Exchange believes the proposed 

changes related to the PAR fee are 

reasonable as the combined proposed 

fees for using PAR (i.e., Exchange Tablet 

fee and PAR Access fee) are modestly 

higher than the fee TPHs are currently 

assessed for use of PAR. The Exchange 

notes that although TPHs that use PAR 

will be subject to a modestly higher fee, 

the PAR Workstation fee has remained 

unchanged for over eleven years, 

notwithstanding technology changes 

and improvements over the last decade, 

including for example, the ability to also 

access Silexx from the same tablet on 

which PAR is accessed.31 Moreover, the 

Exchange notes the proposed fee is still 

lower than fees assessed at other 

exchanges for trading floor terminals. 

For example, NYSE American assesses 

$450 per device per month for Floor 

Broker Handheld and an additional 

$215 per month per Exchange 

sponsored Floor Broker order entry 

system.32 The Exchange believes the 

proposed Exchange Tablet fee is also 

reasonable as TPHs may, but do not 

have to, use an Exchange Tablet to 

access Cloud9. Indeed, they may use 

their own TPH-owned device for 

purposes of accessing Cloud9 and be 

subject to the alternative, and lower, 

TPH-Owned Device Authentication Fee. 

The Exchange believes the proposed 

PAR Access fee is equitable and not 

unfairly discriminatory as it applies to 

all TPHs using PAR. Moreover, the 

proposed changes enable the Exchange 

to offer Exchange-provided tablets for a 

separate monthly fee to TPHs that wish 

to use them for Cloud9, which is the 

Exchange’s new telecommunications 

system that it will offer on the new 

trading floor. Currently, TPHs are 

subject to various communication fees 

including monthly fees, installation 

fees, relocation fees and removal fees 

which will no longer be assessed by the 

Exchange as the Exchange’s current 

communications offerings will be 

rendered obsolete upon the transition to 

the new trading floor.33

The Exchange believes the proposed 

TPH-Owned Device Authentication Fee 

is reasonable as the proposed fee is 

lower than the proposed fee assessed for 

Exchange Tablets which may 

alternatively be used if a TPH is looking 

to access Silexx or Cloud9. 

Additionally, the Exchange believes it’s 

reasonable to assess TPHs a monthly fee 

for access to its network. Moreover, the 

Exchange believes the new trading floor 

provides TPHs more flexibility to move 

and relocate any of their devices by 

eliminating the need for installation, 

relocation and removal of connectivity 

lines to devices and consequently, 

corresponding monthly, installation, 

relocation and removal fees. The 

proposed fee also applies to all TPHs 

accessing the Cboe floor Network from 

their own device. 

Replacement Items 

The Exchange believes the proposed 

change to increase the tablet 

replacement fee is reasonable as the 

proposed amount better reflects the 

approximate cost to the Exchange to 

provide a replacement tablet to TPHs. 

Additionally, the Exchange believes 

adopting a $100 fee for replaced access 

badges is reasonable as the Exchange 

believes it will incentivize TPHs to keep 

track of their access badges and reduce 

the need for the Exchange to expend 

resources to print additional 

replacement badges. The Exchange 

believes these changes are also 

reasonable, equitable and not unfairly 

discriminatory because TPHs that lose 

these items or damage these items from 

non-normal wear or tear should be 

responsible for the cost of replacement. 

The Exchange believes the proposed 

fees will encourage TPHs to take proper 

care and track of these items. 

Additionally, the Exchange notes that it 

will not charge TPHs to replace 

defective items (that were not the result 

of non-normal wear and tear). 

Obsolete Fees 

The Exchange believes eliminating 

the facility fees discussed above is 

reasonable as such corresponding 

services and architecture will be 

rendered obsolete upon transitioning to 

the new trading floor. Additionally, the 

Exchange believes the proposed new fee 

structure as compared to the fees being 

eliminated provides for a more 

streamlined and simplified approach to 

facility fees. The Exchange believes the 

proposed elimination of these fees is 

equitable and not unfairly 

discriminatory as it will apply 

uniformly to all TPHs. The proposal to 

eliminate references to these fees in 

Footnote 12, 24 and 50 also maintains 

clarity in the Fees Schedule and avoids 

potential confusion. 

Footnote 24 

The Exchange believes it’s reasonable 

to provide that Footnote 24 will not 

apply during the period of June 1–June 

3, 2022 in order to provide seamless 

billing in the month of June 2022. 

Particularly, as discussed above, on June 

6, 2022, the Exchange will no longer be 

operating in a modified state due to the 

COVID–19 pandemic as the Exchange 

will no longer be maintaining a 

modified configuration of trading 

crowds to implement social distancing 

nor will it reduce or limit how many 

floor participants may access the trading 

floor. Accordingly, because the 

Exchange will not be considered to be 

operating in a modified configuration as 

of June 6, 2022, Footnote 24 will no 

longer be applicable and the modified 

billing practices will revert back to 

original billing. However, because the 

Exchange will be operating in a 

modified state between June 1–June 3, 

2022, absent a proposed rule change, 

Footnote 24 would still apply thereby 

subjecting TPHs to disparate billing for 

only three trading days of the month. 

The Exchange therefore believes the 

proposed change is reasonable, 

especially given the short amount of 

time Footnote 24 would otherwise 

apply. The Exchange believes its 

proposal to maintain the current 

modified rate of $5,000 for the SPX 

Floor Tier Appointment Fee under 

Footnote 24 (i.e., increase the fee from 

$3,000 per permit to $5,000 permit 

regardless of whether the Exchange is 

operating in a modified state due to 

COVID–19 pandemic) 34 is reasonable 

because the proposed amount is not 

significantly higher than was previously 

assessed. Additionally, the Exchange 

notes that it has not amended the 

Market-Maker SPX Tier Appointment 

Fee since such fee was adopted nearly 


jspears on DSK121TN23PROD with NOTICES1
39152 Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 

35See Securities Exchange Act Release No. 62386 

(June 25, 2010), 75 FR 38566 (July 2, 2010) (SR– 

CBOE–2010–060). 

36See Cboe Global Markets, U.S. Options Market 

Volume Summary by Month (May 31, 2022), 

available at http://markets.cboe.com/us/options/ 

market_share/. 

37See Securities Exchange Act Release No. 51808 

(June 9, 2005), 70 FR 37496, 37499 (June 29, 2005). 

38NetCoalition v. SEC, 615 F.3d 525, 539 (D.C. 

Cir. 2010) (quoting Securities Exchange Act Release 

No. 59039 (December 2, 2008), 73 FR 74770, 74782– 

83 (December 9, 2008) (SR–NYSEArca–2006–21)). 

39 15 U.S.C. 78s(b)(3)(A). 

40 17 CFR 240.19b–4(f)(2). 

41 15 U.S.C. 78s(b)(2)(B). 

twelve years ago in July 2010.35 The 

proposed change also is equitable and 

not unfairly discriminatory as it applies 

to all similarly situated TPHs. 

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. The 

Exchange does not believe that the 

proposed rule changes will impose any 

burden on intramarket competition that 

is not necessary or appropriate in 

furtherance of the purposes of the Act 

because the proposed changes would be 

applied in the same manner to all 

similarly situated participants and as 

such, would not impose a disparate 

burden on competition among the same 

classes of market participants. As 

described in further detail above, the 

proposed fees are also applicable only to 

market participants that choose to avail 

themselves to the corresponding facility 

services. For example, only firms that 

choose to rent Booths (which are 

optional and not required for openoutcry trading) will be subject to the 

proposed Booth Fees. Similarly, only 

firms that choose to purchase Exchangeprovided tablets are subject to the tablet 

fee, and firms may otherwise choose to 

purchase and provide their own tablets. 

The Exchange does not believe that 

the proposed rule change will impose 

any burden on intermarket competition 

that is not necessary or appropriate in 

furtherance of the purposes of the Act 

because the proposed rule changes 

apply only to fees relating to the 

Exchange’s floor facility. Further, as 

described in detail above, the Exchange 

believes its proposed facilities fees are 

in line with facility fees assessed at 

other exchanges that maintain physical 

trading floors. Additionally, the 

Exchange notes it operates in a highly 

competitive market. In addition to Cboe 

Options, TPHs have numerous 

alternative venues that they may 

participate on and director their order 

flow, including 15 other options 

exchanges (four of which also maintain 

physical trading floors), as well as offexchange venues, where competitive 

products are available for trading. Based 

on publicly available information, no 

single options exchange has more than 

16% of the market share of executed 

volume of options trades.36 Therefore, 

no exchange possesses significant 

pricing power in the execution of option 

order flow. Moreover, the Commission 

has repeatedly expressed its preference 

for competition over regulatory 

intervention in determining prices, 

products, and services in the securities 

markets. Specifically, in Regulation 

NMS, the Commission highlighted the 

importance of market forces in 

determining prices and SRO revenues 

and, also, recognized that current 

regulation of the market system ‘‘has 

been remarkably successful in 

promoting market competition in its 

broader forms that are most important to 

investors and listed companies.’’ 37 The 

fact that this market is competitive has 

also long been recognized by the courts. 

In NetCoalition v. Securities and 

Exchange Commission, the D.C. Circuit 

stated as follows: ‘‘[n]o one disputes 

that competition for order flow is 

‘fierce.’ . . . As the SEC explained, ‘[i]n 

the U.S. national market system, buyers 

and sellers of securities, and the brokerdealers that act as their order-routing 

agents, have a wide range of choices of 

where to route orders for execution’; 

[and] ‘no exchange can afford to take its 

market share percentages for granted’ 

because ‘no exchange possesses a 

monopoly, regulatory or otherwise, in 

the execution of order flow from broker 

dealers’. . . .’’.38 Accordingly, the 

Exchange does not believe its proposed 

changes to the incentive programs 

impose any burden on competition that 

is not necessary or appropriate in 

furtherance of the purposes of the Act. 

C. Self-Regulatory Organization’s 

Statement on Comments on the 

Proposed Rule Change Received From 

Members, Participants, or Others 

The Exchange neither solicited nor 

received comments on the proposed 

rule change. 

III. Date of Effectiveness of the 

Proposed Rule Change and Timing for 

Commission Action 

The foregoing rule change is effective 

upon filing pursuant to Section 

19(b)(3)(A) 39 of the Act and 

subparagraph (f)(2) of Rule 19b–4 40

thereunder, because it establishes a due, 

fee, or other charge imposed by the 

Exchange. 

At any time within 60 days of the 

filing of such 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. If the 

Commission takes such action, the 

Commission shall institute proceedings 

under Section 19(b)(2)(B) 41 of the Act to 

determine whether the proposed rule 

change should be approved or 

disapproved. 

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– 

CBOE–2022–029 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–CBOE–2022–029. 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 


jspears on DSK121TN23PROD with NOTICES1
Federal Register / Vol. 87, No. 125 / Thursday, June 30, 2022 / Notices 39153 

42 17 CFR 200.30–3(a)(12). 

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–CBOE–2022–029, and 

should be submitted on or before July 

21, 2022. 

For the Commission, by the Division of 

Trading and Markets, pursuant to delegated 

authority.42

J. Matthew DeLesDernier, 

Assistant Secretary. 

[FR Doc. 2022–13943 Filed 6–29–22; 8:45 am] 

BILLING CODE 8011–01–P 

SOCIAL SECURITY ADMINISTRATION 

[Docket No: SSA–2022–0030] 

Agency Information Collection 

Activities: Proposed Request 

The Social Security Administration 

(SSA) publishes a list of information 

collection packages requiring clearance 

by the Office of Management and 

Budget (OMB) in compliance with 

Public Law 104–13, the Paperwork 

Reduction Act of 1995, effective October 

1, 1995. This notice includes revisions 

and one extension of OMB-approved 

information collections. 

SSA is soliciting comments on the 

accuracy of the agency’s burden 

estimate; the need for the information; 

its practical utility; ways to enhance its 

quality, utility, and clarity; and ways to 

minimize burden on respondents, 

including the use of automated 

collection techniques or other forms of 

information technology. Mail, email, or 

fax your comments and 

recommendations on the information 

collection(s) to the OMB Desk Officer 

and SSA Reports Clearance Officer at 

the following addresses or fax numbers. 

(OMB) Office of Management and 

Budget, Attn: Desk Officer for SSA, 

Comments: https://www.reginfo.gov/ 

public/do/PRAMain. Submit your 

comments online referencing Docket ID 

Number [SSA–2022–0030]. 

(SSA) Social Security Administration, 

OLCA, Attn: Reports Clearance Director, 

3100 West High Rise, 6401 Security 

Blvd., Baltimore, MD 21235, Fax: 410– 

966–2830, Email address: 

OR.Reports.Clearance@ssa.gov. 

Or you may submit your comments 

online through https://www.reginfo.gov/ 

public/do/PRAMain, referencing Docket 

ID Number [SSA–2022–0030]. 

The information collections below are 

pending at SSA. SSA will submit them 

to OMB within 60 days from the date of 

this notice. To be sure we consider your 

comments, we must receive them no 

later than August 29, 2022. Individuals 

can obtain copies of the collection 

instruments by writing to the above 

email address. 

1. Application for Lump Sum Death 

Payment—20 CFR 404.390–404.392— 

0960–0013. SSA uses Form SSA–8 to 

collect information needed to authorize 

payment of the lump sum death 

payment (LSDP) to a widow, widower, 

or children as defined in section 202(i) 

of the Social Security Act (Act). 

Respondents complete the application 

for this one-time payment through use 

of the paper form, or personal interview 

with an SSA employee either via 

telephone, or in a field office. For all 

personal interviews (either telephone or 

in-person), we collect the information 

via our electronic Modernized Claim 

System (MCS) screens. When a 

respondent completes the paper Form 

SSA–8, they mail it back to SSA. 

Respondents are applicants for the 

LSDP. 

Type of Request: Revision of an OMBapproved information collection. 

Modality of completion Number of 

respondents 

Frequency 

of response 

Average 

burden per 

response 

(minutes) 

Estimated 

total annual 

burden 

(hours) 

Average 

theoretical 

hourly cost 

amount 

(dollars) * 

Average wait 

time in field 

office or for 

teleservice 

centers 

(minutes) ** 

Total annual 

opportunity cost 

(dollars) *** 

SSA–8—(MCS Version) ............................ 733,254 1 9 109,988 * $28.01 ** 21 *** $10,269,222 

SSA–8 –(Paper Version) ........................... 5,747 1 10 958 * $28.01 ........................ *** $26,834 

Totals ................................................. 739,001 ........................ ........................ 110,946 ........................ ........................ *** $10,296,056 

* We based this figure on the average U.S. worker’s hourly wages, as reported by Bureau of Labor Statistics data (https://www.bls.gov/oes/current/oes_nat.htm). 

** We based this figure by averaging the average FY 2022 wait times for field offices and teleservice centers, based on SSA’s current management information 

data. 

*** This figure does not represent actual costs that SSA is imposing on recipients of Social Security payments to complete this application; rather, these are theoretical opportunity costs for the additional time respondents will spend to complete the application. There is no actual charge to respondents to complete the 

application. 

2. Representative Payee Evaluation 

Report—20 CFR 404.2065 & 416.665— 

0960–0069. Sections 205(j) and 

1631(a)(2) of the Act state that SSA may 

authorize payment of Social Security 

benefits or Supplemental Security 

Income (SSI) payments to a 

representative payee on behalf of 

individuals unable to manage, or direct 

the management of, those funds 

themselves. SSA requires certain 

appointed representative payees to 

report once each year on how they used 

or conserved those funds. Some 

representative payees, such as natural or 

adoptive parents of minor children or 

spouses of beneficiaries, are generally 

not required to complete this report. 

When a representative payee fails to 

adequately report to SSA, SSA conducts 

a face-to-face interview with the payee 

and completes Form SSA–624–F5, 

Representative Payee Evaluation Report, 

to determine the continued suitability of 

the representative payee to serve as a 

payee. In addition to interviewing the 

representative payee, we also interview 

the recipient, and custodian (if other 

than the payee), to confirm the 

information the payee provides, and to 

ensure the payee is meeting the 

recipient’s current needs. However, we 

do not require the interviews to be faceto-face with non-representative payees. 

The respondents are individuals or 

organizations serving as representative 


jspears on DSK121TN23PROD with NOTICES1