Order Protection Rule - Rule 611 of Regulation NMS

Forms and Documents

Document Name	Status
Rule 611 PRA Update Supporting Statement (2).doc Supporting Statement A	2008-04-09

IC Document Collections

IC ID	Document Title	Status
35463	Order Protection Rule - Rule 611 of Regulation NMS	Modified

ICR Details

OMB Control No: 3235-0600	ICR Reference No: 200802-3235-021
Status: Historical Active	Previous ICR Reference No: 200412-3235-034
Agency/Subagency: SEC	Agency Tracking No: 270-540
Title: Order Protection Rule - Rule 611 of Regulation NMS
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 06/05/2008
	Date Received in OIRA: 04/09/2008
Terms of Clearance: In its next submission, the agency should ensure that the cost burdens are not a monetization of the burden hours. The agency is reminded to avoid such double-counting of burden.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	06/30/2011	36 Months From Approved	06/30/2008
Responses	788	0	609
Time Burden (Hours)	47,280	0	134,520
Cost Burden (Dollars)	0	0	9,135,000

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Abstract: Rule 611, adopted June 29, 2005, effective August 29, 2005 (see 70FR 37495), requires a trading center (which includes national securities exchanges, exchange specialists, ATSs, OTC market makers, and block positioners) to establish, maintain, and enforce policies and procedures that are reasonably designed to prevent trade-throughs of protected quotations and, if relying on an exception, that are reasonably designed to assure compliance with the terms of the exception.

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Authorizing Statute(s): US Code: 15 USC 78b, 78c(b), 78e, 78f, 78k-1, Name of Law: Sections 2, 3(b), 5, 6, 11,11A, 15, 15A, 17(a) and (b), 19, 23(a) and 36
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	73 FR 5600	01/30/2008
30-day Notice:	Federal Register Citation:	Citation Date:
	73 FR 19269	04/09/2008
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Order Protection Rule - Rule 611 of Regulation NMS

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	788	609	0	179	0	0
Annual Time Burden (Hours)	47,280	134,520	0	-87,240	0	0
Annual Cost Burden (Dollars)	0	9,135,000	0	-9,135,000	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: Yes

Burden Reduction Due to: Miscellaneous Actions

Short Statement: The one-time hour burden associated with developing the required policies and procedures is no longer applicable. With respect to the estimated annual hour burden, the number of respondents reflects an increase in the number of automated trading systems and firms that were registered equity market makers or specialists at year-end 2006, and an increase in the number of national securities exchanges that trade NMS stocks. Additionally, the total cost of compliance for the annual hour burden has been revised to reflect updated estimated cost figures for an in-house attorney and an assistant compliance director. The estimate of the annualized cost burden originally consisted of one-time startup costs that are no longer applicable.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? Uncollected

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Uncollected

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? Uncollected

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 04/09/2008

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