[Federal Register Volume 68, Number 102 (Wednesday, May 28, 2003)]
[Notices]
[Pages 31737-31738]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 03-13201]


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SECURITIES AND EXCHANGE COMMISSION


Submission for Review by Office of Management and Budget

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of Filings and Information Services, 450 Fifth 
Street, NW., Washington, DC 20549.
Extension:
    Rule 17f-1; File No. 270-236; OMB Control No. 3235-0222.
    Form N-17f-1; File No. 270-316; OMB Control No. 3235-0359.

    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 request for extension of the previously approved collection 
of information discussed below.
    Rule 17f-1 OMB Control No.-3235-0222 is entitled: ``Custody of 
Securities with Members of National Securities Exchanges.'' Rule 17f-1 
provides that

[[Page 31738]]

any registered management investment company (``fund'') that wishes to 
place its assets in the custody of a national securities exchange 
member may do so only under a written contract that must be ratified 
initially and approved annually by a majority of the fund's board of 
directors. The written contract also must contain certain specified 
provisions. In addition, the rule requires an independent public 
accountant to examine the fund's assets in custody with the exchange 
member at least three times during the fund's fiscal year. The rule 
requires the written contract and the certificate of each examination 
to be transmitted to the Commission. The purpose of the rule is to 
ensure the safekeeping of fund assets.
    Commission staff estimates that approximately 10 funds maintain 
their assets with a national securities exchange member.\1\ The annual 
burden of the rule's requirements is estimated to be approximately 4.5 
hours for each of these funds.\2\ Commission staff estimates the total 
annual burden for all funds is 45 hours.
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    \1\ The Commission's records show that 10 funds filed Form N-
17f-1 during calendar year 2002.
    \2\ The Commission staff estimates, based upon the experience of 
staff familiar with the information collection requirements of the 
rule, that each fund spends approximately 4.5 hours annually in 
complying with the rule's requirements: 4 hours of clerical time (1 
hour to prepare the custodial contract for board review and to 
transmit the contract, and 1 hour each of the three times the fund 
transmits the accountant's certificate) and 0.5 hours for the board 
of directors to ratify the custodial contract.
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    Form N-17f-1 OMB Control No--3235-0359 is entitled: ``Certificate 
of Accounting of Securities and Similar Investments of a Management 
Investment Company in the Custody of Members of National Securities 
Exchanges.'' Form N-17f-1 is the cover sheet for accountant examination 
certificates filed under rule 17f-1 of the Act. Rule 17f-1 requires the 
accountant's certificate of each examination be attached to form N-17f-
1 and transmitted to the Commission promptly after each examination. 
The form facilitates the filing of the accountant's certificate, and 
increases the accessibility of the certificate to both Commission's 
staff and interested investors. The annual burden of the rule's 
requirements is estimated to be approximately 27 minutes for each of 
the 10 funds estimated to maintain their assets with a national 
securities exchange member.\3\ The total annual burden for all funds 
therefore is estimated to be 4.5 hours.
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    \3\ Commission staff estimates that it takes approximately nine 
minutes of clerical time to prepare each Form N-17f-1. This estimate 
is based on Commission staff members filling out the form. Each fund 
is required to file Form N-17f-1 three times annually, for an 
average hour burden per fund of 27 minutes.
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    The estimate of average burden hours is made solely for the 
purposes of the Paperwork Reduction Act, and is not derived from a 
comprehensive or even a representative survey or study of the costs of 
Commission rules. Compliance with the collections of information 
required by rule 17f-1 and Form N-17f-1 is mandatory for funds that 
place their assets in the custody of a national securities exchange 
member. Responses will not be kept confidential. 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.
    General written comments regarding the estimated burden hours 
should be directed to the Desk Officer for the Securities and Exchange 
Commission at the address below. Any comments concerning the accuracy 
of the estimated average burden hours for compliance with Commission 
rules and forms should be directed to Kenneth A. Fogash, Acting 
Associate Executive Director/CIO, Office of Information Technology, 
Securities and Exchange Commission, 450 Fifth Street, NW., Washington, 
DC 20549 and 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. Comments must be submitted to OMB within 30 days of this notice.

    Dated: May 16, 2003.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 03-13201 Filed 5-27-03; 8:45 am]
BILLING CODE 8010-01-P