Document ID: SEC-2016-1415-0001
Agency: sec
Document Type: Notice
Title: Self-Regulatory Organizations; Proposed Rule Changes: Miami International Securities Exchange LLC
Posted Date: 2016-08-12T04:00Z

[Federal Register Volume 81, Number 156 (Friday, August 12, 2016)]
[Notices]
[Pages 53527-53529]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-19174]

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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-78505; File No. SR-MIAX-2016-23]

Self-Regulatory Organizations; Miami International Securities 
Exchange LLC; Notice of Filing and Immediate Effectiveness of a 
Proposed Rule Change To Amend Its Fee Schedule

August 8, 2016
    Pursuant to the provisions of Section 19(b)(1) of the Securities 
Exchange Act of 1934 (``Act'') \1\ and Rule 19b-4 thereunder,\2\ notice 
is hereby given that on August 1, 2016, Miami International Securities 
Exchange LLC (``MIAX'' or ``Exchange'') filed with the Securities and 
Exchange Commission (``Commission'') a proposed rule change as 
described in Items I, II, and III below, which Items have been prepared 
by the Exchange. The Commission is publishing this notice to solicit 
comments on the proposed rule change from interested persons.
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    \1\ 15 U.S.C. 78s(b)(1).
    \2\ 17 CFR 240.19b-4.
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I. Self-Regulatory Organization's Statement of the Terms of Substance 
of the Proposed Rule Change

    The Exchange is filing a proposal to amend the MIAX Options Fee 
Schedule (``Fee Schedule'') to eliminate certain Web CRD Fees in order 
to address the transition of the Regulatory Element of Continuing 
Education (``CE'') to the FINRA CE Online System[supreg].
    The text of the proposed rule change is available on the Exchange's 
Web site at http://www.miaxoptions.com/filter/wotitle/rule_filing, at 
MIAX's principal office, 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.

[[Page 53528]]

A. Self-Regulatory Organization's Statement of the Purpose of, and 
Statutory Basis for, the Proposed Rule Change

1. Purpose
    The purpose of the proposed rule change is to amend Section 2(c) of 
the Regulatory Fees section of the Fee Schedule, Web CRD Fees, to (1) 
delete the $100 Continuing Education Fee for All Registrations, which 
relates to test center delivery of the Regulatory Element of CE, and 
(2) clarify that the $55 Continuing Education Fee for All Registrations 
if Web-based shall apply to all registrations without regard to mode of 
session delivery.
    Specifically, the Exchange proposes to (1) delete the $100 CE Fee 
in its entirety, and (2) with respect to the $55 CE Fee, delete 
reference to Web-based delivery and specify that it is a ``session'' 
fee.
    MIAX is proposing such Fee Schedule amendments in conjunction with 
FINRA's transition to CE Online and its phase out of test center 
delivery of the CE Regulatory Element.\3\
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    \3\ See Securities Exchange Act Release No. 78281 (July 11, 
2016), 81 FR 46133 (July 15, 2016) (SR-FINRA-2016-025) (Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change 
Relating to the Fee for the Regulatory Element of Continuing 
Education). See also Securities Exchange Act Release No. 75581 (July 
31, 2015), 80 FR 47018 (August 6, 2015) (SR-FINRA-2015-015) (Notice 
of Filing and Immediate Effectiveness of a Proposed Rule Change to 
Provide a Web-based Delivery Method for Completing the Regulatory 
Element of the Continuing Education Requirements), Regulatory Notice 
15-28 (August 2015) and Information Notice, May 16, 2016 
(Elimination of Continuing Education Delivery at Testing Centers).
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Background
    On July 31, 2015, the Commission approved [sic] SR-FINRA-2015-015 
relating to proposed changes to FINRA Rules to provide for Web-based 
delivery completion of the Regulatory Element of CE requirements. 
Pursuant to the rule change, the Regulatory Element of CE programs is 
administered through Web-based delivery via the FINRA CE Online System 
as of January 4, 2016. Pursuant to the rule change, the Regulatory 
Element of CE programs also continued to be offered at test centers 
until no later than six months after January 4, 2016. Test-center 
delivery of the Regulatory Element has been phased out effective July 
1, 2016.\4\ On July 11, 2016, the Commission approved SR-FINRA-2016-025 
relating to proposed changes to FINRA Fees for the Regulatory Element 
of CE.
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    \4\ See Information Notice, May 16, 2016 (Elimination of 
Continuing Education Delivery at Testing Centers). Notwithstanding 
such test center phase out, participants who may need accommodations 
in completing their CE session due to a disability pursuant to the 
Americans with Disabilities Act of 1990, Public Law 101-336, 104 
Stat. 328 (1990) (``ADA'') may apply for an accommodation and 
complete their CE Regulatory Element session at a test center. See 
FINRA's CE Online Delivery Accommodation Web page, available at 
http://www.finra.org/industry/accommodations-continuing-education-ce-online-participants.
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    In January 2016 the Exchange amended its Rules,\5\ in consultation 
with FINRA and the other exchanges, to provide for Web-based delivery 
of the CE Regulatory Element for registered persons.
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    \5\ See Securities Exchange Act Release No. 76892 (January 13, 
2016), 81 FR 3206 (January 20, 2016) (SR-MIAX-2016-01).
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Proposal

    The Exchange now proposes to amend its Fee Schedule to delete the 
$100 CE Fee for All Registrations since the test center delivery option 
for the Regulatory Element will no longer be offered \6\ and the $100 
fee currently charged for administration of non-Web-based CE programs 
is therefore retired.\7\ Therefore, the Exchange proposes to delete 
this fee from its current Fee Schedule.
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    \6\ See supra note 4.
    \7\ See Securities Exchange Act Release No. 78281 (July 11, 
2016), 81 FR 46133 (July 15, 2016) (SR-FINRA-2016-025) (Notice of 
Filing and Immediate Effectiveness of a Proposed Rule Change 
Relating to the Fee for the Regulatory Element of Continuing 
Education).
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    The Exchange further proposes to clarify that the $55 CE Fee will 
now generally apply to all CE sessions without further specifying the 
Web-based delivery mode since there will no longer be more than one 
mode of CE delivery.\8\ Therefore, the Exchange proposes to delete the 
reference to Web-based delivery from Section 2(c) of the Fee Schedule 
and specify that it is a ``session'' fee in order to provide clarity 
and avoid confusion.
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    \8\ With the exception of participants who may need 
accommodations in completing their CE session due to a disability 
pursuant to the ADA and to whom the session fee of $55 for the 
Regulatory Element shall apply regardless of whether the session is 
completed at a test center or through the CE Online System. See 
Securities Exchange Act Release No. 78281 (July 11, 2016), 81 FR 
46133 (July 15, 2016) (SR- FINRA-2016-025) (Notice of Filing and 
Immediate Effectiveness of a Proposed Rule Change Relating to the 
Fee for the Regulatory Element of Continuing Education).
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2. Statutory Basis
    The Exchange believes that its proposal to amend its Fee Schedule 
is consistent with Section 6(b) of the Act \9\ in general, and furthers 
the objectives of Section 6(b)(4) of the Act \10\ in particular, in 
that it is an equitable allocation of reasonable fees and other charges 
among Exchange members and issuers and other persons using its 
facilities.
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    \9\ 15 U.S.C. 78f(b).
    \10\ 15 U.S.C. 78f(b)(4).
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    The Exchange believes that the proposal is fair, equitable and not 
unreasonably discriminatory because the fee change applies equally to 
all Members and persons associated with Members. The Exchange believes 
that the proposal is reasonable because FINRA will administer the CE 
program only through the FINRA CE Online System and will no longer 
offer a testing center CE delivery option, except as specifically noted 
above in which case FINRA has aligned its $55 session fee for all 
participants.\11\ In addition, the Exchange believes this session fee 
is equitable and not unfairly discriminatory as it will apply uniformly 
to all Members and persons associated with the Members who choose to 
participate in the CE program provided through FINRA.
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    \11\ See supra note 7.
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B. Self-Regulatory Organization's Statement on Burden on Competition

    The Exchange does not believe that the proposed rule change will 
result in any burden on competition that is not necessary or 
appropriate in furtherance of the purposes of the Act. The Exchange 
further believes that the proposal does not impose any burden on 
competition because FINRA has made, and the Exchange believes that the 
other exchanges will make, similar changes to their fee schedules.\12\
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    \12\ See id.
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C. Self-Regulatory Organization's Statement on Comments on the Proposed 
Rule Change Received From Members, Participants, or Others

    Written comments were neither solicited nor received.

III. Date of Effectiveness of the Proposed Rule Change and Timing for 
Commission Action

    The foregoing rule change has become effective pursuant to Section 
19(b)(3)(A)(ii) of the Act,\13\ and Rule 19b-4(f)(2) \14\ thereunder. 
At any time within 60 days of the filing of the proposed rule change, 
the Commission summarily may temporarily suspend such rule change if it 
appears to the Commission that such action is necessary or appropriate 
in the public interest, for the protection of investors, or otherwise 
in furtherance of the purposes of the Act. If the Commission takes such 
action, the Commission shall institute proceedings to determine

[[Page 53529]]

whether the proposed rule should be approved or disapproved.
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    \13\ 15 U.S.C. 78s(b)(3)(A)(ii).
    \14\ 17 CFR 240.19b-4(f)(2).
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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 No. SR-MIAX-2016-23 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 No. SR-MIAX-2016-23. 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 Web site (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 Web site 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 MIAX. All 
comments received will be posted without change; the Commission does 
not edit personal identifying information from submissions. You should 
submit only information that you wish to make available publicly. All 
submissions should refer to File No. SR-MIAX-2016-23 and should be 
submitted on or before September 2, 2016.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\15\
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    \15\ 17 CFR 200.30-3(a)(12).
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Robert W. Errett,
Deputy Secretary.
[FR Doc. 2016-19174 Filed 8-11-16; 8:45 am]
 BILLING CODE 8011-01-P