Exchange Regulatory Improvement Act of 2022

Bill: 117-hr-8617
Sponsor: full_name: Rep. Loudermilk, Barry [R-GA-11]
Introduced: 2022-07-29
Policy area: Finance and Financial Sector
Latest action: action_date: 2022-07-29
text: Referred to the House Committee on Financial Services.

Summaries:
action_date: 2022-07-29
action_desc: Introduced in House
text: <p><b>Exchange Regulatory Improvement Act of 2022</b></p> <p>This bill revises the definition of <em>facility</em> for purposes of regulation under the Securities Exchange Act of 1934. Specifically, the bill provides that a facility does not include any service that can legally be offered by a person or entity that is not a registered exchange.</p>

tv_txt: I 117th CONGRESS 2d Session H. R. 8617 IN THE HOUSE OF REPRESENTATIVES July 29, 2022 Mr. Loudermilk (for himself and Mr. David Scott of Georgia ) introduced the following bill; which was referred to the Committee on Financial Services A BILL To amend the Securities Exchange Act of 1934 to revise the definition of a facility.

1. Short title This Act may be cited as the Exchange Regulatory Improvement Act of 2022 . 2. Definition of a facility Paragraph (2) of section 3(a) of the Securities Exchange Act of 1934 ( 15 U.S.C. 78c(a) ) is amended to read as follows: (2) Facility (A) In general The term facility , when used with respect to an exchange, means— (i) the exchange’s trading systems, which are— (I) the hardware, software, and related network infrastructure an exchange uses to receive, acknowledge, rank, match, and execute orders in securities traded on that exchange; and (II) the hardware, software, and related network infrastructure an exchange uses to function as the exclusive processor of market data created by the exchange trading systems; (ii) any premises or services made available to an exchange member or other person for the purpose of providing physical space and equipment to enable such member or other person to locate the equipment of the member or other person in close physical proximity to the exchange’s trading systems; and (iii) any premises or services made available by the exchange to an exchange member or persons associated with members that exclusively connects such members and persons associated with members to exchange trading systems for the purpose of effecting or reporting a transaction on the exchange. (B) Exception The term facility , when used with respect to an exchange, does not include any service that— (i) does not fall within the scope of clauses (i) through (iii) of subparagraph (A); and (ii) can legally be offered by a person or entity that is not an exchange registered under section 6. .