[Federal Register Volume 82, Number 121 (Monday, June 26, 2017)]
[Rules and Regulations]
[Pages 28763-28770]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2017-13243]


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COMMODITY FUTURES TRADING COMMISSION

17 CFR Parts 5, 11, 16, 17, 18, 19, 20, 21, 48, 140, and 150

RIN 3038-AE42


Commission Delegated Authority Provisions and Technical 
Amendments

AGENCY: Commodity Futures Trading Commission.

ACTION: Final rule.

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SUMMARY: The Commodity Futures Trading Commission (the ``Commission'' 
or ``CFTC'') is adopting final rules to establish new and amend certain 
existing delegations of authority to Commission staff. The Commission 
is also adopting amendments to update statutory authority citations and 
correct limited typographical and technical errors in certain rules.

DATES: This rule is effective June 26, 2017.

FOR FURTHER INFORMATION CONTACT: David Van Wagner, Chief Counsel, 
Division of Market Oversight, (202) 418-5481, [email protected]; 
Jeanette Curtis, Special Counsel, Division of Market Oversight, (202) 
418-5669, [email protected]; Gretchen L. Lowe, Chief Counsel, Division 
of Enforcement, (202) 418-5379, [email protected]; or Edward Wehner, IT 
Specialist, Office of Data and Technology, (202) 418-6764, 
[email protected].

SUPPLEMENTARY INFORMATION:

I. Background

A. Commission Delegations of Authority

    The Commission is adopting final rules to establish new and amend 
certain existing delegations of authority to Commission staff. 
Previously, the Commission delegated, to the Director of the Division 
of Market Oversight (``DMO''), various authorities for implementing 
certain Commission regulations.\1\ Many of these delegated authorities 
have been carried out by staff in DMO's Surveillance Branch. However, 
as a result of the recent Commission organizational restructuring, 
which moved DMO's Surveillance Branch to the Division of Enforcement 
(``DOE''), the Commission has completed a full review of DMO delegated 
authorities and decided to remove certain delegated authorities from 
the DMO Director, other division directors, and certain Commission 
staff. The Commission is delegating such authorities to the Director of 
DOE or the Director of the Office of Data and Technology (``ODT''). In 
addition, the Commission is adding new delegations of authority to 
certain of the part 48 provisions that govern the registration of 
Foreign Boards of Trade (``FBOT'').
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    \1\ 17 CFR 5.20(d), 11.2(a), 16.07, 18.03, 19.00(a)(3), 20.8, 
21.05, 140.72(a), 140.73, 140.74, 140.97, 150.3(b), and 150.4(e) 
(Commission delegations of authority to the DMO Director prior to 
this final rule).
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B. Statutory Authority Citations and Technical Corrections

    For certain regulations, the Commission is revising the statutory 
authority citations to reflect the most current citation. On July 21, 
2010, President Obama signed the Wall Street Reform and Consumer 
Protection Act (the ``Dodd-Frank Act'') into law.\2\ Title VII of the 
Dodd-Frank Act amended provisions of the Commodity Exchange Act 
(``CEA'') \3\ to establish a comprehensive framework for the regulation 
of swaps and security-based swaps. However, according to the Federal 
Register drafting handbook, it is recommended that the Commission only 
list the current United States Code (``U.S.C.'') citation when it is 
available.\4\ As such, the Commission need only cite the Dodd-Frank Act 
as the amending statutory authority for each rule part until such 
amendments are codified in the U.S.C. Since the Dodd-Frank Act 
provisions have been codified in the U.S.C., the Commission is revising 
the citation authority preceding certain Commission regulations to 
reflect the current U.S.C. citations.
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    \2\ Public Law 111-203, 124 Stat. 1376 (July 21, 2010).
    \3\ 7 U.S.C. 1 et seq. (2012).
    \4\ See National Archives and Records Administration, Office of 
the Federal Register, Document Drafting Handbook, section 3.12 
(Authority citations), 3-26 (May 2017 update, Revision 2, June 7, 
2017).
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    In addition, the Commission is amending certain of its regulations 
to revise a limited number of typographical and formatting errors, and 
to delete a duplicate regulation.

II. Amended Regulations

A. Part 5

    Part 5 of the Commission's regulations governs off-exchange foreign 
currency transactions. Section 5.20(d) covers Commission delegated 
authority to the DMO Director to make special calls for information on 
controlled accounts from retail foreign exchange dealers, futures 
commission merchants (``FCMs'') and introducing brokers (``IBs''), and 
to make special calls for information on open contracts in accounts 
carried or introduced by FCMs, IBs, and foreign brokers. The Commission 
is amending its delegation of authority in Sec.  5.20(d) to remove the 
DMO Director from its list of delegates and to delegate such authority 
to the DOE Director, or such other employee or employees as the 
Director may designate from time to time. The Commission is also 
deleting the Dodd-Frank Act reference from the part 5 statutory 
authority citation.

B. Part 11

    Part 11 of the Commission's regulations establishes rules relating 
to investigations. Section 11.2(a) delegates authority to the DOE 
Director, the Director of the Division of Swap Dealer and Intermediary 
Oversight (``DSIO''), the Director of the Division of Clearing and Risk 
(``DCR''), the Director of DMO, the Chief Economist, and members of 
their staffs acting within the scope of their respective 
responsibilities, to

[[Page 28764]]

conduct investigations in particular matters. The Commission has 
decided to delegate such investigatory authority to the DOE Director 
and members of Commission staff acting pursuant to the Director's 
authority and under the Director's direction to conduct investigations. 
The Commission is amending its delegation of authority in Sec.  11.2(a) 
to remove the Chief Economist and the Directors of DSIO, DCR and DMO 
and their staff from its list of delegates. The Commission is also 
updating the part 11 statutory authority citation to reflect the 
correct numerical ordering of the statutory provisions cited.

C. Part 16

    Part 16 of the Commission's regulations governs reports by 
designated contract markets and swap execution facilities. Section 
16.07(a) delegates authority to the DMO Director to determine the form, 
manner and time of filing reports required in Sec. Sec.  16.00(b) and 
16.01(d). Section 16.07(b) delegates authority to the DMO Director to 
determine the format, coding structure and electronic data transmission 
procedures used by reporting markets pursuant to Sec. Sec.  
16.00(b)(1), 16.01(d)(1) and 16.06. The Commission is amending its 
delegations of authority in Sec.  16.07(a) and (b) to remove the DMO 
Director from its list of delegates and to delegate such authority to 
the ODT Director, with the concurrence of the DMO Director, or such 
other employee or employees as the Directors each may designate from 
time to time. The Commission is also deleting the Dodd-Frank Act 
reference from the part 16 statutory authority citation and updating 
the part 16 statutory authority citation to reflect the correct 
numerical ordering of the statutory provisions cited. The Commission is 
also amending the outline formatting of Sec.  16.07.

D. Part 17

    Part 17 of the Commission's regulations governs reports by 
reporting markets, futures commission merchants, clearing members, and 
foreign brokers. In Sec.  17.03, the Commission is adding a delegation 
of authority, pursuant to Sec.  17.01(e), to the ODT Director, in 
consultation with the DMO Director, or such other employee or employees 
as the Directors each may designate from time to time, to issue 
requests for Forms 102 and 71. The Commission is also making 
typographical corrections to the time formatting in Sec.  17.02, and 
deleting the Dodd-Frank Act reference from the part 17 statutory 
authority citation.

E. Part 18

    Part 18 of the Commission's regulations governs reports by certain 
traders. Section 18.03 governs Commission delegated authority to the 
DMO Director to issue special calls for certain reports and information 
to be furnished by traders, and to request information related to the 
maintenance of books and records. The Commission is amending its 
delegation of authority in Sec.  18.03 to remove the DMO Director from 
its list of delegates for issuing special calls for information 
pursuant to Sec. Sec.  18.00 and 18.05, and to delegate such authority 
to the DOE Director, or such other employee or employees as the 
Director may designate from time to time. The Commission is also 
amending its delegation of authority in Sec.  18.03 to remove the DMO 
Director from its list of delegates for issuing special calls for 
information pursuant to Sec.  18.04, and to delegate such authority to 
the ODT Director, in consultation with the DMO Director, or such other 
employee or employees as the Directors each may designate from time to 
time. Finally, the Commission is deleting the Dodd-Frank Act reference 
from the part 18 statutory authority citation.

F. Part 19

    Part 19 of the Commission's regulations governs reports by persons 
holding bona fide hedge positions, and by merchants and dealers in 
cotton. Section 19.00(a)(3) governs Commission delegated authority to 
the DMO Director to issue special calls for Series `04 reports (cash 
market positions of large traders in cotton and grains). The Commission 
is amending its delegation of authority in Sec.  19.00(a)(3) to remove 
the DMO Director from its list of delegates and to delegate such 
authority to the DOE Director, or such other employee or employees as 
the Director may designate from time to time. The Commission is also 
deleting the Dodd-Frank Act reference from the part 19 statutory 
authority citation.

G. Part 20

    Part 20 of the Commission's regulations governs large trader 
reporting for physical commodity swaps. Section 20.8 governs Commission 
delegated authority to the DMO Director to: Issue special calls for 
certain forms, books and records; determine the form and manner of 
reporting; and determine compliance schedules. The Commission is 
amending its delegation of authority in Sec.  20.8 to remove the DMO 
Director as its delegate for issuing Sec.  20.6(d) special calls for 
books and records, and to delegate such authority to the DOE Director, 
or such other employee or employees as the Director may designate from 
time to time. The Commission is also amending its Sec.  20.8 delegation 
of authority to remove the DMO Director as its delegate for issuing 
Sec.  20.5 requests for 102S and 40S filings, and to delegate such 
authority to the ODT Director, in consultation with the DMO Director, 
or such other employee or employees as the Directors each may designate 
from time to time. Finally, the Commission is amending its Sec.  20.8 
delegation of authority to remove the DMO Director as its delegate for 
determining the form and coding structure of reporting in Sec.  20.7, 
and will delegate such authority to the ODT Director, with the 
concurrence of the DMO Director, or such other employee or employees as 
the Directors each may designate from time to time. Finally, the 
Commission is also making typographical corrections to the time 
formatting in Sec.  20.5, and deleting the Dodd-Frank Act reference 
from the part 20 statutory authority citation.

H. Part 21

    Part 21 of the Commission's regulations governs various types of 
Commission special calls. Section 21.05 particularly governs Commission 
delegated authority to the DMO Director to issue special calls for 
information on certain controlled accounts and open interest contracts 
in certain accounts. The Commission is amending its delegation of 
authority in Sec.  21.05 to remove the DMO Director from its list of 
delegates and to delegate such authority to the DOE Director, or such 
other employee or employees as the Director may designate from time to 
time. The Commission is also deleting the Dodd-Frank Act reference from 
the part 21 statutory authority citation.

I. Part 48

    Part 48 of the Commission's regulations governs the registration of 
FBOTs. The Commission is amending the part 48 rules to add a new Sec.  
48.11 that addresses delegations of authority to DMO. Section 48.11 
will address delegations with respect to the following provisions:
    1. Section 48.7 governs FBOT requirements for registration. The 
Commission is delegating authority, pursuant to Sec.  48.7, for the DMO 
Director and his designated staff to request additional information and 
documentation in connection with an application for registration.
    2. Section 48.9 governs the revocation of an FBOT's registration. 
The Commission is delegating authority,

[[Page 28765]]

pursuant to Sec.  48.9(a)(1) and (c), for the DMO Director and his 
designated staff to: (i) Notify an FBOT that, pursuant to Sec.  
48.9(a)(1), the registered FBOT or the clearing organization has failed 
to satisfy any registration requirements or conditions for 
registration; and (ii) pursuant to Sec.  48.9(c), request that the FBOT 
file a written demonstration, containing such supporting data, 
information, and documents, in such form and manner and within such 
timeframe as the Commission may specify, that the foreign board of 
trade or clearing organization is in compliance with the registration 
requirements and/or conditions for registration.
    3. Section 48.10 requires that FBOTs that wish to make additional 
contracts available to trade by members or participants located in the 
United States with direct access to the FBOT's trade-matching system 
must submit to the Commission a written request before offering the 
additional contracts in the U.S. The FBOT can offer the additional 
contracts for trading 10 business days after the Commission receives 
the FBOT's written request unless the Commission notifies the FBOT that 
additional time is needed to complete its review of policy or other 
issues pertinent to the additional contracts. The Commission is 
delegating authority, under Sec.  48.10, for the DMO Director and his 
designated staff to, within the 10-day review period, notify an FBOT 
whether additional time is needed to complete its review of policy or 
other issues pertinent to the additional contracts, or that the 
contract can be made available for trading by direct access.

J. Part 140

    Part 140 of the Commission's regulations governs organization, 
functions and procedures of the Commission. The Commission is making 
the following amendments to the part 140 regulations.
    1. Section 140.72, pertaining to delegation of authority to 
disclose confidential information to a registered entity, swap 
execution facility, swap data repository, registered futures 
association or self-regulatory organization.
    Currently, Sec.  140.72 delegates authority directly to the various 
Commission Division directors and certain identified senior staff 
positions to disclose confidential information. The Commission is 
amending its delegation of authority in Sec.  140.72(a) to delegate 
authority to Division directors and their designated staff members.
    2. Section 140.73, pertaining to delegation of authority to 
disclose information to United States, states, and foreign government 
agencies and foreign futures authorities.
    Currently, Sec.  140.73 delegates authority directly to the various 
Commission Division directors and certain identified senior staff 
positions to disclose confidential information. The Commission is 
amending its delegation of authority in Sec.  140.72(a) to delegate 
authority to Division directors and their designated staff members.
    3. Section 140.74, pertaining to delegation of authority to issue 
special calls for series 03 reports and Form 40.
    The Commission is amending Sec.  140.74 to remove the delegation of 
authority to the DMO Director, and to delegate such authority to the 
DOE Director, or such other employee or employees as the Director may 
designate from time to time, for issuing special calls for series 03 
reports. The Commission is also amending Sec.  140.74 to delete a 
duplicate rule provision regarding authority to issue special calls for 
Form 40.
    4. Section 140.97, pertaining to delegation of authority regarding 
requests for classification of positions as bona fide hedging.
    The Commission is amending Sec.  140.97 to remove the delegation of 
authority to the DMO Director, and to delegate such authority to the 
DOE Director, or such other employee or employees as the Director may 
designate from time to time.

K. Part 150

    Part 150 of the Commission's regulations governs limits on 
positions. Sections 150.3(b) and 150.4(e) govern Commission delegated 
authority to the DMO Director to issue calls for information related to 
claims of exemptions from positions limits, certain position, trading 
and business relationship information, and to determine the form, 
coding structure and transmission procedures for submitting data. The 
Commission is amending its special call delegation of authority in 
Sec. Sec.  150.3(b) and 150.4(e) to remove the DMO Director from its 
list of delegates and to delegate such authority to the DOE Director, 
or such other employee or employees as the Director may designate from 
time to time. The Commission is also amending its form and manner 
delegation of authority in Sec.  150.4(e) to remove the DMO Director 
from its list of delegates and to delegate such authority to the ODT 
Director, with the concurrence of the DOE Director, or such other 
employee or employees as the Directors each may designate from time to 
time. The Commission is also deleting the Dodd-Frank Act reference from 
the part 150 statutory authority citation.

III. Administrative Compliance

A. Administrative Procedure Act

    The Administrative Procedure Act (``APA'') \5\ generally requires a 
Federal agency to publish notice of a proposed rulemaking in the 
Federal Register and to allow opportunity for public comment before 
promulgating a final rule.\6\ This requirement does not apply, however, 
to ``rules of agency organization, procedure, or practice.'' \7\ This 
final rule makes conforming amendments to various Commission 
regulations to reflect the recent organizational restructuring at the 
Commission, including corresponding updates to Commission delegations 
of authority to staff, which changes fit squarely into the category of 
``rules of agency organization, procedure, or practice.'' \8\ This 
final rule also corrects typographical errors and outdated statutory 
references, which have no impact on substantive rights or obligations 
under the CEA and are entirely ministerial and procedural in nature. 
Therefore, this rulemaking is excepted from the public rulemaking 
provisions of the APA.\9\ Conforming amendments to certain delegations 
of authority to reflect organizational changes, updating of relevant 
statutory authority and other technical corrections, will not cause any 
party to undertake new or additional efforts to comply with the 
regulations as revised. This final rule shall become effective upon 
publication in the Federal Register.
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    \5\ 5 U.S.C. 551 et seq.
    \6\ 5 U.S.C. 553.
    \7\ 5 U.S.C. 553(b)(A). Notice or hearing is not required in 
these circumstances by the Commodity Exchange Act, 7 U.S.C. 1 et 
seq.
    \8\ Id.
    \9\ 5 U.S.C. 553(b).
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B. Regulatory Flexibility Act

    The Regulatory Flexibility Act requires the Commission to consider 
whether the regulations it adopts will have a significant economic 
impact on a substantial number of small entities.\10\ The Commission is 
obligated to conduct a regulatory flexibility analysis for any rule for 
which the agency publishes a general notice of proposed rulemaking 
pursuant to section 553(b) of the APA.\11\ However, this rulemaking is 
excepted from the public rulemaking provisions

[[Page 28766]]

of the APA.\12\ Accordingly, the Commission is not obligated to conduct 
a regulatory flexibility analysis for this rulemaking.
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    \10\ See 5 U.S.C. 601 et seq.
    \11\ 5 U.S.C. 601(2).
    \12\ 5 U.S.C. 553(b)(A) (``rules of agency organization, 
procedure, or practice''); 5 U.S.C. 553(b)(B) (``agency for good 
cause finds . . . that notice and public procedure thereon are . . . 
unnecessary . . . .'').
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C. Paperwork Reduction Act

    The Commission may not conduct or sponsor, and a respondent is not 
required to respond to, a collection of information contained in a 
rulemaking unless the information collection displays a currently valid 
control number issued by the Office of Management and Budget (``OMB'') 
pursuant to the Paperwork Reduction Act.\13\ This rulemaking contains 
no collection of information that obligates the Commission to obtain a 
control number from OMB.
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    \13\ See 44 U.S.C. 3501 et seq.
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D. Cost-Benefit Considerations

1. Introduction
    Section 15(a) of the CEA requires the Commission to consider the 
costs and benefits of its actions before promulgating a regulation 
under the CEA or issuing certain orders.\14\ Section 15(a) further 
specifies that the costs and benefits shall be evaluated in light of 
five broad areas of market and public concern: (1) Protection of market 
participants and the public; (2) efficiency, competitiveness, and 
financial integrity of futures markets; (3) price discovery; (4) sound 
risk management practices; and (5) other public interest 
considerations. The Commission considers the costs and benefits 
resulting from its discretionary determinations with respect to the 
section 15(a) factors.
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    \14\ 7 U.S.C. 19(a).
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    The Commission is amending its delegations of authority in 
Sec. Sec.  5.20(d), 11.2(a), 16.07, 18.03, 19.00(a)(3), 20.8, 21.05, 
140.72(a), 140.73, 140.74, 140.97, 150.3(b) and 150.4(c), and in part 
48. The Commission is also amending certain statutory citations in, and 
making limited technical and typographical corrections to parts 5, 11, 
16, 18, 19, 20, 21, 140, and 150. For assessing whether and to what 
extent costs or benefits are likely to flow from the amendments, the 
Commission is using the CEA and related regulations that currently 
instruct market participants as to which delegated authorities may ask 
for and receive requested information. The proposed amendments do not 
change the status quo.
2. Costs
    There are no costs to the industry or the public associated with 
the amendments to certain Commission delegations of authority, 
regulation statutory citations, or typographical errors in the 
regulations.
3. Benefits
    The Commission believes that market participants and the public 
will benefit from these ministerial rule amendments since the updated 
delegations of authority will reflect the Commission's ``mission to 
identify and prosecute violations of law and regulation'' and ``foster 
increased efficiencies through knowledge sharing and cross training 
under unified leadership; thus benefitting the Commission's 
surveillance mission and enforcement responsibilities.'' \15\ The 
amendments will also benefit market participants and the public by 
eliminating outdated statutory authority references in the regulation 
text and making limited technical and typographical corrections.
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    \15\ See Remarks of Acting Chairman J. Christopher Giancarlo 
before the 42nd Annual International Futures Industry Conference in 
Boca Raton, FL, CFTC: A New Direction Forward (March 15, 2017) 
available at http://www.cftc.gov/PressRoom/SpeechesTestimony/opagiancarlo-20.
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4. Section 15(a) Factors
    Protection of market participants and the public. The Commission 
believes that correcting minor technical and typographical errors in 
certain parts of its rules and updating certain delegations of 
authority to accurately reflect recent organizational changes advances 
its mission to protect market participants and the public.
    Efficiency, competitiveness, and financial integrity of futures 
markets. The Commission believes that the amendments will not 
materially affect the efficiency, competitiveness, and financial 
integrity of futures markets because the rule changes are ministerial 
and do not affect the operations of markets.
    Price discovery. The Commission believes that the amendments will 
not materially affect the price discovery process because the rule 
changes are ministerial and do not affect the operations of markets.
    Sound risk management practices. The Commission believes that the 
amendments will not materially affect sound risk management practices 
because the rule changes are ministerial and do not affect how market 
participants conduct risk management.
    Other public interest considerations. The Commission has not 
identified any other public interest consideration.

List of Subjects

17 CFR Part 5

    Commodity futures, Consumer protection, Foreign currencies, Off-
exchange transactions, Reporting and recordkeeping requirements, 
Securities, Trade practices.

17 CFR Part 11

    Administrative practice and procedure, Investigations.

17 CFR Part 16

    Contract markets, Reporting and recordkeeping requirements, Swap 
execution facilities.

17 CFR Part 17

    Brokers, Clearing members, Foreign brokers, Futures commission 
merchants, Reporting and recordkeeping requirements, Reporting markets.

17 CFR Part 18

    Reporting and recordkeeping requirements, Traders.

17 CFR Part 19

    Bona fide hedge positions, Cotton, Grains, Merchants and dealers, 
Reporting and recordkeeping requirements.

17 CFR Part 20

    Administrative practice and procedure, Large traders, Physical 
commodity swaps, Reporting and recordkeeping requirements.

17 CFR Part 21

    Brokers, Reporting and recordkeeping requirements, Special calls.

17 CFR Part 48

    Foreign boards of trade, Registration requirements, Reporting and 
recordkeeping requirements.

17 CFR Part 140

    Authority delegations (government agencies), Conflicts of interest, 
Organization and functions (government agencies).

17 CFR Part 150

    Cotton, Grains, Position limits.

    For the reasons stated in the preamble, the Commodity Futures 
Trading Commission amends 17 CFR chapter I as set forth below:

PART 5--OFF-EXCHANGE FOREIGN CURRENCY TRANSACTIONS

0
1. The authority citation for part 5 is revised to read as follows:

    Authority: 7 U.S.C. 1a, 2, 6, 6a, 6b, 6c, 6d, 6e, 6f, 6g, 6h, 
6i, 6k, 6m, 6n, 6o, 8, 9, 9a, 12, 12a, 13b, 13c, 16a, 18, 19, 21, 
and 23.


[[Page 28767]]



0
2. In Sec.  5.20, revise paragraph (d) to read as follows:


Sec.  5.20   Special calls for account and transaction information.

* * * * *
    (d) Delegation of authority to the Director of the Division of Swap 
Dealer and Intermediary Oversight and the Director of the Division of 
Enforcement. The Commission hereby delegates, until the Commission 
orders otherwise, to the Director of the Division of Swap Dealer and 
Intermediary Oversight and the Director of the Division of Enforcement, 
or to the respective Director's designees, the authority set forth in 
this section to make special calls for information on controlled 
accounts from retail foreign exchange dealers, futures commission 
merchants and from introducing brokers, and to make special calls for 
information on open contracts in accounts carried or introduced by 
futures commission merchants, introducing brokers, and foreign brokers. 
Either Director may submit to the Commission for its consideration any 
matter that has been delegated pursuant to this section. Nothing in 
this section shall be deemed to prohibit the Commission, at its 
election, from exercising the authority delegated in this section to 
the Directors.

PART 11--RULES RELATING TO INVESTIGATIONS

0
3. The authority citation for part 11 is revised to read as follows:

    Authority: 7 U.S.C. 4a(j), 9, 12, 12a(5) and 15.


0
4. In Sec.  11.2, revise paragraph (a) to read as follows:


Sec.  11.2   Authority to conduct investigations.

    (a) The Director of the Division of Enforcement and members of the 
Commission staff acting pursuant to his authority and under his 
direction may conduct such investigations as he deems appropriate to 
determine whether any persons have violated, are violating, or are 
about to violate the provisions of the Commodity Exchange Act, as 
amended, or the rules, regulations or orders adopted by the Commission 
pursuant to that Act, or, in accordance with the provisions of section 
12(f) of the Act, whether any persons have violated, are violating or 
are about to violate the laws, rules or regulations relating to futures 
or options matters administered or enforced by a foreign futures 
authority, or whether an applicant for registration or designation 
meets the requisite statutory criteria. For this purpose, the Director 
may obtain evidence through voluntary statements and submissions, 
through exercise of inspection powers over boards of trade, reporting 
traders, and persons required by law to register with the Commission, 
or when authorized by order of the Commission, through the issuance of 
subpoenas. The Director shall report to the Commission the results of 
his investigations and recommend to the Commission such enforcement 
action as he deems appropriate.
* * * * *

PART 16--REPORTS BY CONTRACT MARKETS AND SWAP EXECUTION FACILITIES

0
5. The authority citation for part 16 is revised to read as follows:

    Authority: 7 U.S.C. 2, 6a, 6c, 6g, 6i, 7, and 7b-3.


0
6. Revise Sec.  16.07 to read as follows:


Sec.  16.07   Delegation of authority to the Director of the Office of 
Data and Technology and to the Director of the Division of Market 
Oversight.

    (a) The Commission hereby delegates, until the Commission orders 
otherwise, the authority set forth in paragraphs (b) and (c) of this 
section to the Director of the Office of Data and Technology, with the 
concurrence of the Director of the Division of Market Oversight, or 
such other employee or employees as the Directors each may designate 
from time to time. The Commission hereby delegates, until the 
Commission orders otherwise, the authority set forth in paragraph (d) 
of this section to the Director of the Division of Market Oversight, to 
be exercised by such Director or by such other employee or employees of 
such Director as may be designated from time to time by the Director. 
The Directors may submit to the Commission for its consideration any 
matter which has been delegated in this paragraph. Nothing in this 
paragraph prohibits the Commission, at its election, from exercising 
the authority delegated in this paragraph.
    (b) Pursuant to Sec. Sec.  16.00(b) and 16.01(d), as applicable, 
the authority to, with the concurrence of the Director of the Division 
of Market Oversight or the Director's delegate, determine whether 
reporting markets must submit data in hard copy, and the time that such 
data may be submitted where the Director determines that a reporting 
market is unable to meet the requirements set forth in the regulations.
    (c) Pursuant to Sec. Sec.  16.00(b)(1), 16.01(d)(1), and 16.06, the 
authority to, with the concurrence of the Director of the Division 
Market Oversight or the Director's delegate, approve the format, coding 
structure and electronic data transmission procedures used by reporting 
markets.
    (d) Pursuant to Sec.  16.02, the authority to determine the 
specific content of any daily trade and supporting data report, request 
that such reports be accompanied by data that identifies or facilitates 
the identification of each trader for each transaction or order 
included in a submitted trade and supporting data report, and establish 
the time for the submission of and the manner and format of such 
reports.

PART 17--REPORTS BY REPORTING MARKETS, FUTURES COMMISSION 
MERCHANTS, CLEARING MEMBERS, AND FOREIGN BROKERS

0
7. The authority citation for part 17 is revised to read as follows:

    Authority: 7 U.S.C. 2, 6a, 6c, 6d, 6f, 6g, 6i, 6t, 7, 7a, and 
12a.


0
8. In Sec.  17.02, revise paragraphs (b)(2)(i) and (ii) and (c)(2)(i) 
and (ii) to read as follows:


Sec.  17.02   Form, manner and time of filing reports.

* * * * *
    (b) * * *
    (2) * * *
    (i) The applicable reporting party shall submit a completed Form 
102 to the Commission no later than 9 a.m. on the business day 
following the date on which the special account becomes reportable, or 
on such other date as directed by special call of the Commission or its 
designee, and as periodically required thereafter by paragraphs (b)(3) 
and (4) of this section. Such form shall include all required 
information, including the names of the owner(s) and controller(s) of 
each trading account that is not an omnibus account, and that comprises 
a special account reported on the form, provided that, with respect to 
such owners(s) and controller(s), information other than the names of 
such parties may be reported in accordance with the instructions and 
schedule set forth in paragraph (b)(2)(ii) of this section. Unless 
otherwise specified by the Commission or its designee, the stated time 
is Eastern Time for information concerning markets located in that time 
zone, and Central Time for information concerning all other markets.
    (ii) With respect to the owner(s) and controller(s) of each trading 
account that is not an omnibus account, and that comprises a special 
account reported on Form 102, information other than the names of such 
parties must be provided on Form 102 no later than 9 a.m. on the third 
business day following the date on which the special account becomes

[[Page 28768]]

reportable, or on such other date as directed by special call of the 
Commission or its designee, and as periodically required thereafter by 
paragraphs (b)(3) and (4) of this section. Unless otherwise specified 
by the Commission or its designee, the stated time is Eastern Time for 
information concerning markets located in that time zone, and Central 
Time for information concerning all other markets.
* * * * *
    (c) * * *
    (2) * * *
    (i) The clearing member shall submit a completed Form 102 to the 
Commission no later than 9 a.m. on the business day following the date 
on which the volume threshold account becomes reportable, or on such 
other date as directed by special call of the Commission or its 
designee, and as periodically required thereafter by paragraphs (c)(3) 
and (4) of this section. Such form shall include all required 
information, including the names of the owner(s) and controller(s) of 
each volume threshold account reported on the form that is not an 
omnibus account, provided that, with respect to such owners(s) and 
controller(s), information other than the names of such parties may be 
reported in accordance with the instructions and schedule set forth in 
paragraph (c)(2)(ii) of this section. Unless otherwise specified by the 
Commission or its designee, the stated time is Eastern Time for 
information concerning markets located in that time zone, and Central 
Time for information concerning all other markets.
    (ii) With respect to the owner(s) and controller(s) of each volume 
threshold account reported on Form 102 that is not an omnibus account, 
information other than the names of such parties must be provided on 
Form 102 no later than 9 a.m. on the third business day following the 
date on which the volume threshold account becomes reportable, or on 
such other date as directed by special call of the Commission or its 
designee, and as periodically required thereafter by paragraphs (c)(3) 
and (4) of this section. Unless otherwise specified by the Commission 
or its designee, the stated time is Eastern Time for information 
concerning markets located in that time zone, and Central Time for 
information concerning all other markets.
* * * * *

0
9. In Sec.  17.03, revise paragraphs (e), (f), and (g) and add 
paragraph (h) to read as follows:


Sec.  17.03   Delegation of authority to the Director of the Office of 
Data and Technology or the Director of the Division of Market 
Oversight.

* * * * *
    (e) Pursuant to Sec.  17.01(c), the authority shall be designated 
to the Director of the Office of Data and Technology, in consultation 
with the Director of the Division of Market Oversight, or such other 
employee or employees as the Directors each may designate from time to 
time, to make special calls on Form 71 for omnibus volume threshold 
account originators and omnibus reportable sub-account originators 
information as set forth in Sec.  17.01(c).
    (f) Pursuant to Sec.  17.01(e), the authority shall be designated 
to the Director of the Office of Data and Technology, in consultation 
with the Director of the Division of Market Oversight, or such other 
employee or employees as the Directors each may designate from time to 
time, to request information required to be filed by futures commission 
merchants, clearing members, foreign brokers, and reporting markets as 
set forth in Sec.  17.01.
    (g) Pursuant to Sec.  17.02(b)(4), the authority shall be 
designated to the Director of the Division of Market Oversight to 
determine the date on which each futures commission merchant, clearing 
member, or foreign broker shall update or otherwise resubmit every Form 
102 that it has submitted to the Commission for each of its special 
accounts.
    (h) Pursuant to Sec.  17.02(c)(4), the authority shall be 
designated to the Director of the Division of Market Oversight to 
determine the date on which each clearing member shall update or 
otherwise resubmit every Form 102 that it has submitted to the 
Commission for each of its volume threshold accounts.

PART 18--REPORTS BY TRADERS

0
10. The authority citation for part 18 is revised to read as follows:

    Authority: 7 U.S.C. 2, 4, 5, 6a, 6c, 6f, 6g, 6i, 6k, 6m, 6n, 6t, 
12a, and 19.


0
11. Revise Sec.  18.03 to read as follows:


Sec.  18.03   Delegation of authority.

    (a) The Commission hereby delegates, until the Commission orders 
otherwise, the authority to make special calls on traders for 
information as set forth in Sec. Sec.  18.00 and 18.05 to the Director 
of the Division of Enforcement, or such other employee or employees as 
the Director may designate from time to time.
    (b) The Commission hereby delegates, until the Commission orders 
otherwise, the authority to make special calls for information as set 
forth in Sec.  18.04 to the Director of the Office of Data and 
Technology to be exercised by the Director, in consultation with the 
Director of the Division of Market Oversight, or such other employee or 
employees as the Directors each may designate from time to time.
    (c) The Directors of the Division of Enforcement and Office of Data 
and Technology may submit to the Commission for its consideration any 
matter which has been delegated in this section.
    (d) Nothing in this section prohibits the Commission, at its 
election, from exercising the authority delegated in this section.

PART 19--REPORTS BY PERSONS HOLDING BONA FIDE HEDGE POSITIONS 
PURSUANT TO Sec.  1.3(z) OF THIS CHAPTER AND BY MERCHANTS AND 
DEALERS IN COTTON

0
12. The authority citation for part 19 is revised to read as follows:

    Authority: 7 U.S.C. 6g(a), 6i, and 12a(5).

0
13. In Sec.  19.00, revise paragraph (a)(3) to read as follows:


Sec.  19.00   General provisions.

    (a) * * *
    (3) All persons holding or controlling positions for future 
delivery that are reportable pursuant to Sec.  15.00(p)(1) of this 
chapter who have received a special call for series `04 reports from 
the Commission or its designee. Filings in response to a special call 
shall be made within one business day of receipt of the special call 
unless otherwise specified in the call. For the purposes of this 
paragraph, the Commission hereby delegates to the Director of the 
Division of Enforcement, or such other employee or employees as the 
Director may designate from time to time, authority to issue calls for 
series `04 reports.
* * * * *

PART 20--LARGE TRADER REPORTING FOR PHYSICAL COMMODITY SWAPS

0
14. The authority citation for part 20 is revised to read as follows:

    Authority: 7 U.S.C. 1a, 2, 5, 6, 6a, 6c, 6f, 6g, 6t, 12a, 19.


0
15. In Sec.  20.5, revise paragraphs (a)(4) and (b) to read as follows:


Sec.  20.5   Series S filings.

    (a) * * *
    (4) Change updates. If any change causes the information filed by a 
clearing member or swap dealer on a Form 102 for a consolidated account 
to

[[Page 28769]]

no longer be accurate, then such clearing member or swap dealer shall 
file an updated Form 102 with the Commission no later than 9 a.m. on 
the business day after such change occurs, or on such other date as 
directed by special call of the Commission, provided that, a clearing 
member or swap dealer may stop providing change updates for a Form 102 
that it has submitted to the Commission for any consolidated account 
upon notifying the Commission or its designee that the account in 
question is no longer reportable as a consolidated account and has not 
been reportable as a consolidated account for the past six months. 
Unless otherwise specified by the Commission or its designee, the 
stated time is Eastern Time for information concerning markets located 
in that time zone, and Central Time for information concerning all 
other markets.
* * * * *
    (b) 40S filing. Every person subject to books or records 
requirement under Sec.  20.6 shall after a special call upon such 
person by the Commission file with the Commission a 40S filing at such 
time and place as directed in the call. A 40S filing shall consist of 
the submission of a Form 40, which shall be completed by such person as 
if any references to futures or option contracts were references to 
paired swaps or swaptions as defined in Sec.  20.1.

0
16. Revise Sec.  20.8 to read as follows:


Sec.  20.8   Delegation of authority.

    (a) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Division of Enforcement, or such other employee or 
employees as the Director may designate from time to time, the 
authority in Sec.  20.6(d) for issuing a special call.
    (b) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Division of Market Oversight or such other employee 
or employees as the Director may designate from time to time, the 
authority in Sec.  20.10 for determining the described compliance 
schedules.
    (c) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Office of Data and Technology, in consultation with 
the Director of the Division of Market Oversight, or such other 
employee or employees as the Directors each may designate from time to 
time, the authority:
    (1) In Sec.  20.5(a)(3) for issuing a special call for a 102S 
filing; and
    (2) In Sec.  20.5(b) for issuing a special call for a 40S filing.
    (d) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Office of Data and Technology, with the concurrence 
of the Director of the Division of Market Oversight, or such other 
employee or employees as the Directors each may designate from time to 
time, the authority, in Sec.  20.7, for providing instructions or 
determining the format, coding structure, and electronic data 
transmission procedures for submitting data records and any other 
information required under this part.
    (e) The Directors of the Division of Enforcement, Division of 
Market Oversight, and the Office of Data and Technology may submit to 
the Commission for its consideration any matter which has been 
delegated in this section.
    (f) Nothing in this section prohibits the Commission, at its 
election, from exercising the authority delegated in this section.

PART 21--SPECIAL CALLS

0
17. The authority citation for part 21 is revised to read as follows:

    Authority: 7 U.S.C. 1a, 2, 2a, 4, 6a, 6c, 6f, 6g, 6i, 6k, 6m, 
6n, 7, 7a, 12a, 19 and 21.


0
18. Revise Sec.  21.05 to read as follows:


Sec.  21.05   Delegation of authority.

    The Commission hereby delegates, until the Commission orders 
otherwise, the special call authority set forth in Sec. Sec.  21.01 and 
21.02 to the Director of the Division of Enforcement, or such other 
employee or employees as the Director may designate from time to time. 
The Director of the Division of Enforcement may submit to the 
Commission for its consideration any matter which has been delegated in 
this paragraph. Nothing in this section shall be deemed to prohibit the 
Commission, at its election, from exercising the authority delegated in 
this section.

PART 48--REGISTRATION OF FOREIGN BOARDS OF TRADE

0
19. The authority citation for part 48 continues to read as follows:

    Authority: 7 U.S.C. 5, 6 and 12a, unless otherwise noted.


0
20. Add Sec.  48.11 to read as follows:


Sec.  48.11   Delegation of authority.

    (a) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Division of Market Oversight, or such other 
employee or employees as the Director may designate from time to time, 
the authority:
    (1) In Sec.  48.7, to request additional information and 
documentation in connection with an application for registration;
    (2) In Sec.  48.9(a)(1), to notify a registered foreign board of 
trade that it or the clearing organization has failed to satisfy any 
registration requirements or conditions for registration;
    (3) In Sec.  48.9(c), to request that a registered foreign board of 
trade file with the Commission a written demonstration, containing such 
supporting data, information, and documents, in such form and manner 
and within such timeframe as the Commission may specify, that the 
foreign board of trade or clearing organization is in compliance with 
the registration requirements and/or conditions for registration; and
    (4) In Sec.  48.10, to notify a foreign board of trade whether 
additional time is needed for staff to complete its review of policy or 
other issues pertinent to the additional contracts, or that the 
contract can be made available for trading by direct access.
    (b) The Director of the Division of Market Oversight may submit to 
the Commission for its consideration any matter which has been 
delegated in this section.
    (c) Nothing in this section prohibits the Commission, at its 
election, from exercising the authority delegated in this section.

PART 140--ORGANIZATION, FUNCTIONS, AND PROCEDURES OF THE COMMISSION

0
21. The authority citation for part 140 continues to read as follows:

    Authority: 7 U.S.C. 2(a)(12), 12a, 13(c), 13(d), 13(e), and 
16(b).

0
22. In Sec.  140.72, revise paragraph (a) to read as follows:


Sec.  140.72   Delegation of authority to disclose confidential 
information to a registered entity, swap execution facility, swap data 
repository, registered futures association or self-regulatory 
organization.

    (a) Pursuant to the authority granted under sections 2(a)(11), 
8a(5) and 8a(6) of the Act, the Commission hereby delegates, until such 
time as the Commission orders otherwise, to the Executive Director, the 
Director of the Division of Swap Dealer and Intermediary Oversight, the 
Director of the Division of Clearing and Risk, the Chief Accountant, 
the General Counsel, the Director of the Division of Market Oversight, 
the Director of the Division of Enforcement, the Chief Economist of the 
Office of the Chief Economist, the Director of the Office of 
International Affairs, or such other employee or employees as the 
General Counsel, Directors, Chief Accountant or Chief Economist each 
may designate from

[[Page 28770]]

time to time, the authority to disclose to an official of any 
registered entity, swap execution facility, swap data repository, 
registered futures association, or self-regulatory organization as 
defined in section 3(a)(26) of the Securities Exchange Act of 1934, any 
information necessary or appropriate to effectuate the purposes of the 
Act, including, but not limited to, the full facts concerning any 
transaction or market operation, including the names of the parties 
thereto. This authority to disclose shall be based on a determination 
that the transaction or market operation disrupts or tends to disrupt 
any market or is otherwise harmful or against the best interests of 
producers, consumers, or investors or that disclosure is necessary or 
appropriate to effectuate the purposes of the Act.
* * * * *

0
23. In Sec.  140.73, revise paragraph (a) introductory text to read as 
follows:


Sec.  140.73   Delegation of authority to disclose information to 
United States, States, and foreign government agencies and foreign 
futures authorities.

    (a) Pursuant to sections 2(a)(11), 8a(5) and 8(e) of the Act, the 
Commission hereby delegates, until such time as the Commission orders 
otherwise, to the General Counsel, the Director of the Division of 
Enforcement, the Director of the Division of Market Oversight, the 
Director of the Division of Swap Dealer and Intermediary Oversight, the 
Director of the Division of Clearing and Risk, the Chief Economist of 
the Office of the Chief Economist, the Director of the Office of 
International Affairs, or such other employee or employees as the 
General Counsel, Chief Economist or Directors listed in this section 
each may designate from time to time the authority to furnish 
information in the possession of the Commission obtained in connection 
with the administration of the Act, upon written request, to:
* * * * *

0
24. Revise Sec.  140.74 to read as follows:


Sec.  140.74   Delegation of authority to issue special calls for 
Series 03 Reports.

    (a) The Commodity Futures Trading Commission hereby delegates, 
until such time as the Commission orders otherwise, to the Director of 
the Division of Enforcement, or such other employee or employees as the 
Director may designate from time to time, the authority to issue 
special calls for series 03 reports under Sec.  18.00 of this chapter.
    (b) The Director of the Division of Enforcement may submit any 
matter which has been delegated to the Director under this section to 
the Commission for its consideration.
    (c) Nothing in this section may prohibit the Commission, at its 
election, from exercising the authority delegated to the Director of 
the Division of Enforcement under paragraph (a) of this section.

0
25. Revise Sec.  140.97 to read as follows:


Sec.  140.97   Delegation of authority regarding requests for 
classification of positions as bona fide hedging.

    (a) The Commodity Futures Trading Commission hereby delegates, 
until such time as the Commission orders otherwise, to the Director of 
the Division of Enforcement, or such other employee or employees as the 
Director may designate from time to time, all functions reserved to the 
Commission in Sec. Sec.  1.47 and 1.48 of this chapter.
    (b) The Director of the Division of Enforcement may submit any 
matter which has been delegated to the Director under paragraph (a) of 
this section to the Commission for its consideration.
    (c) Nothing in this section may prohibit the Commission, at its 
election, from exercising the authority delegated to the Director of 
the Division of Enforcement under paragraph (a) of this section.

PART 150--LIMITS ON POSITIONS

0
26. The authority citation for part 150 is revised to read as follows:

    Authority: 7 U.S.C. 6a, 6c, and 12a(5).


0
27. In Sec.  150.3, revise paragraph (b) to read as follows:


Sec.  150.3   Exemptions.

* * * * *
    (b) Call for information. Upon call by the Commission or the 
Director of the Division of Enforcement, or such other employee or 
employees as the Director may designate from time to time, any person 
claiming an exemption from speculative position limits under this 
section must provide to the Commission or the Division of Enforcement 
such information as specified in the call relating to the positions 
owned or controlled by that person; trading done pursuant to the 
claimed exemption; the futures, options or cash market positions which 
support the claim of exemption; and the relevant business relationships 
supporting a claim of exemption.

0
28. In Sec.  150.4, revise paragraph (e) to read as follows:


Sec.  150.4   Aggregation of positions.

* * * * *
    (e) Delegation of authority. (1) The Commission hereby delegates, 
until it orders otherwise, to the Director of the Division of 
Enforcement, or such other employee or employees as the Director may 
designate from time to time, the authority:
    (i) In paragraph (b)(8)(iv) of this section to call for additional 
information from a person claiming the exemption in paragraph (b)(8) of 
this section.
    (ii) In paragraph (c)(3) of this section to call for additional 
information from a person claiming an aggregation exemption under this 
section.
    (2) The Commission hereby delegates, until it orders otherwise, to 
the Director of the Office of Data and Technology, with the concurrence 
of the Director of the Division of Enforcement, or such other employee 
or employees as the Directors each may designate from time to time, the 
authority in paragraph (d) of this section to provide instructions or 
determine the format, coding structure, and electronic data 
transmission procedures for submitting data records and any other 
information required under this part.
    (3) The Directors of the Division of Enforcement and the Office of 
Data and Technology may submit to the Commission for its consideration 
any matter which has been delegated in this section.
    (4) Nothing in this section prohibits the Commission, at its 
election, from exercising the authority delegated in this section.

    Issued in Washington, DC, on June 20, 2017, by the Commission.
Christopher J. Kirkpatrick,
Secretary of the Commission.

    Note:  The following appendix will not appear in the Code of 
Federal Regulations.

Appendix to Commission Delegated Authority Provisions and Technical 
Amendments--Commission Voting Summary

    On this matter, Acting Chairman Giancarlo and Commissioner Bowen 
voted in the affirmative. No Commissioner voted in the negative.

[FR Doc. 2017-13243 Filed 6-23-17; 8:45 am]
 BILLING CODE 6351-01-P