Rule 204

Forms and Documents

Document Name	Status
Rule 204- Supporting Statement - 2009.doc Supporting Statement A	2009-09-23

IC Document Collections

IC ID	Document Title	Status
190781	Exchange Act Rule 204	New
190780	Exchange Act Rule 204	New
190779	Exchange Act Rule 204	New
190778	Exchange Act Rule 204	New
186911	Exchange Act Rule 204	Modified

ICR Details

OMB Control No: 3235-0647	ICR Reference No: 200909-3235-010
Status: Historical Active	Previous ICR Reference No: 200904-3235-016
Agency/Subagency: SEC	Agency Tracking No: TM-270-586
Title: Rule 204
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: 11/12/2009
	Date Received in OIRA: 10/09/2009
Terms of Clearance: Changes in the collection warrant this ICR being classified as a revision.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	11/30/2012	36 Months From Approved	11/30/2009
Responses	11,569,341	0	13,264,252
Time Burden (Hours)	1,851,093	0	2,122,280
Cost Burden (Dollars)	0	0	0

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Abstract: Rule 204 is intended to help further the Commission’s goal of reducing fails to deliver by maintaining the reductions in fails to deliver achieved by the adoption of temporary Rule 204T, as well as other actions taken by the Commission. In addition, Rule 204 is intended to help further the Commission’s goal of addressing abusive ‘‘naked’’ short selling in all equity securities. The information collected will continue to assist the Commission and self-regulatory organizations in monitoring whether or not participants of a registered clearing agency, and the broker-dealers from which they receive trades for clearance and settlement, are complying with the close-out and borrowing requirements of the rule.

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Authorizing Statute(s): US Code: 15 USC 78b, 78i(h), 78j, 78k-1, 78o, Name of Law: Sections 2, 9(h), 10, 11A, 15, 17, 17A, 19 and 23(a) of the Exchange Act
   US Code: 15 USC 78q, 78q-1, 78w(a) Name of Law: null
  

Citations for New Statutory Requirements: US Code: 15 USC 78b, 78c(b), 78f, 78i(h), 78j Name of Law: Sections 2, 3(b), 6, 9(h), 10 of the Securities Exchange Act of 1934
US Code: 15 USC 78k-1, 78o, 78o-3, 78q, 78q-1 Name of Law: Sections 11A, 15, 15A, 17, 17A of the Securities Exchange Act of 1934
US Code: 15 USC 78s and 78w(a) Name of Law: Sections 19 and 23(a) of the Securities Exchange Act of 1934

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
3235-AK22	Final or interim final rulemaking	74 FR 38266	07/31/2009

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	74 FR 38676	08/04/2009
30-day Notice:	Federal Register Citation:	Citation Date:
	74 FR 52276	10/09/2009
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 5

IC Title	Form No.	Form Name
Exchange Act Rule 204
Exchange Act Rule 204
Exchange Act Rule 204
Exchange Act Rule 204
Exchange Act Rule 204

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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	11,569,341	13,264,252	0	-1,694,911	0	0
Annual Time Burden (Hours)	1,851,093	2,122,280	0	-271,187	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

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

Burden Increase Due to: Miscellaneous Actions

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

Burden Reduction Due to: Miscellaneous Actions

Short Statement: All collections of information from temporary Rule 204T have been incorporated into Rule 204 without modification, with the exception of the elimination in Rule 204 of the exception in temporary Rule 204T(b)(2) for market makers from the borrowing requirement in Rule 204(b). Such exception is no longer necessary under Rule 204(b) because, as with other broker-dealers, a market maker is excepted from the borrowing requirements of Rule 204(b) if it timely certifies to the participant that it has not incurred a fail to deliver position on settlement date for a long or short sale in an equity security for which the participant has a fail to deliver position at a registered clearing agency or that it is in compliance with the requirements of Rule 204(e). Because Rule 204(b) includes an exception applicable to all broker-dealers, including market makers, it was not necessary to maintain a separate exception applicable only to market makers.

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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)? No

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: 10/09/2009

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