Document ID: SEC-2010-1096-0001
Agency: sec
Document Type: Notice
Title: Agency Information Collection Activities; Proposals, Submissions, and Approvals
Posted Date: 2010-07-20T04:00Z

[Federal Register: July 20, 2010 (Volume 75, Number 138)]
[Notices]               
[Page 42175-42176]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr20jy10-112]                         

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SECURITIES AND EXCHANGE COMMISSION

 
Submission for OMB Review; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of Investor Education and Advocacy, Washington, DC 
20549-0213.

Extension:
    Rule 19b-5 and Form PILOT, SEC File No. 270-448, OMB Control No. 
3235-0507.

    Notice is hereby given that, pursuant to the Paperwork Reduction 
Act of 1995 (44 U.S.C. 3501 et seq.), the Securities and Exchange 
Commission (``Commission'') has submitted to the Office of Management 
and Budget a request for approval of extension of the previously 
approved collection of information provided for in Rule 19b-5 (17 CFR 
240.19b-5) and Form PILOT (17 CFR 249.821) under the Securities 
Exchange Act of 1934, as amended (``Act'') (15 U.S.C. 78a et seq.).
    Rule 19b-5 provides a temporary exemption from the rule-filing 
requirements of Section 19(b) of the Act (15 U.S.C. 78s(b)) to self-
regulatory organizations (``SROs'') wishing to establish and operate 
pilot trading systems. Rule 19b-5 permits an SRO to develop a pilot 
trading system and to begin operation of such system shortly after 
submitting an initial report on Form PILOT to the Commission. During 
operation of any such pilot trading system, the SRO must submit 
quarterly reports of the system's operation to the Commission, as well 
as timely amendments describing any material changes to the system. 
After two years of operating such pilot trading system under the 
exemption afforded by Rule 19b-5, the SRO must submit a rule filing 
pursuant to Section 19(b)(2) of the Act (15 U.S.C. 78s(b)(2)) in order 
to obtain permanent approval of the pilot trading system from the 
Commission.
    The collection of information is designed to allow the Commission 
to maintain an accurate record of all new pilot trading systems 
operated by SROs and to determine whether an SRO has properly availed 
itself of the exemption afforded by Rule 19b-5, is operating a pilot 
trading system in compliance with the Act, and is carrying out its 
statutory oversight obligations under the Act.
    The respondents to the collection of information are national 
securities exchanges and national securities associations.
    While there are 14 national securities exchanges and national 
securities associations that may avail themselves of the exemption 
under Rule 19b-5 and the use of Form PILOT, it is estimated that 
approximately three respondents will file a total of 3 initial reports 
(for a 72 hour estimated annual burden), 12 quarterly reports (for a 36 
hour estimated annual burden), and 6 amendments (for an 18 hour 
estimated annual burden) on Form PILOT per year, with an estimated 
total annual response burden of 126 hours. At an average hourly cost of 
$307.74, the aggregate related cost of compliance with Rule 19b-5 for 
all respondents is $38,775 per year (126 burden hours multiplied by 
$307.74/hour = $38,775).
    Although Rule 19b-5 does not in itself impose recordkeeping burdens 
on SROs, it relies on existing requirements imposed by Rule 17a-1 under 
the Act (17 CFR 240.17a-1) to require SROs to retain all the rules and 
procedures relating to each pilot trading system operating pursuant to 
Rule 19b-5, and to make such records available for Commission 
inspection for a period of not less than five years, the first two 
years in an easily accessible place.
    The filing of a Form PILOT is mandatory for any SRO seeking a 
temporary exemption under Rule 19b-5 from the rule filing requirements 
of Section 19(b) of the Act in connection with the operation of a pilot 
trading system. It is also mandatory that an SRO operating a pilot 
trading system file with the Commission notices of material systems 
changes and quarterly transaction reports on Form PILOT. Information 
provided on Form PILOT is deemed confidential and shall be available 
only for examination by the Commission, other agencies of the federal 
government and state securities authorities.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid control number.
    Comments should be directed to: (i) Desk Officer for the Securities 
and Exchange Commission, Office of Information and Regulatory Affairs, 
Office of Management and Budget, Room 10102, New Executive Office 
Building, Washington, DC 20503, or by sending an e-mail to: Shagufta_
Ahmed@omb.eop.gov; and (ii) Charles Boucher, Director/Chief Information 
Officer, Securities and Exchange Commission, c/o Shirley Martinson, 
6432 General Green Way, Alexandria, VA 22312 or send an e-mail to: 
PRA_Mailbox@sec.gov. Comments must be submitted within 30 days of this 
notice.

[[Page 42176]]

    Dated: July 14, 2010.
Florence E. Harmon,
Deputy Secretary.
[FR Doc. 2010-17642 Filed 7-19-10; 8:45 am]
BILLING CODE 8010-01-P