[Federal Register Volume 84, Number 88 (Tuesday, May 7, 2019)]
[Notices]
[Page 19985]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-09277]
[[Page 19985]]
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SECURITIES AND EXCHANGE COMMISSION
[SEC File No. 270-363, OMB Control No. 3235-0413]
Submission for OMB Review; Comment Request
Upon Written Request, Copies Available From: Securities and Exchange
Commission, Office of FOIA Services, 100 F Street NE, Washington, DC
20549-2736
Extension:
Rule 17Ad-16
Notice is hereby given that pursuant to the Paperwork Reduction Act
of 1995 (44 U.S.C. 3501 et seq.) (`PRA''), the Securities and Exchange
Commission (``Commission'') has submitted to the Office of Management
and Budget (``OMB'') a request for approval of extension of the
existing collection of information provided for in Rule 17Ad-16 (17 CFR
240.17Ad-16) under the Securities Exchange Act of 1934 (15 U.S.C. 78a
et seq.).
Rule 17Ad-16 requires a registered transfer agent to provide
written notice to the appropriate qualified registered securities
depository when assuming or terminating transfer agent services on
behalf of an issuer or when changing its name or address. In addition,
transfer agents that provide such notice shall maintain such notice for
a period of at least two years in an easily accessible place. This rule
addresses the problem of certificate transfer delays caused by transfer
requests that are directed to the wrong transfer agent or the wrong
address.
We estimate that the transfer agent industry submits approximately
11,006 Rule 17Ad-16 notices per year to appropriate qualified
registered securities depositories. The staff estimates that the
average amount of time necessary to create and submit each notice is
approximately 15 minutes per notice. Accordingly, the estimated total
industry burden is 2,752 hours per year (15 minutes multiplied by
11,006 filed annually rounded up from 2,751.5 to 2,752).
Because the information needed by transfer agents to properly
notify the appropriate registered securities depository is readily
available to them and the report is simple and straightforward, the
cost is relatively minimal. The average internal compliance cost to
prepare and send a notice is approximately $70.75 (15 minutes at $283
per hour).\1\ This yields an industry-wide internal compliance cost
estimate of $778,675 (11,006 notices multiplied by $70.75 per notice
rounded up from $778,674.5 to $778,675).
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\1\ The estimated hourly wages used in this analysis were
derived from reports prepared by the Securities Industry and
Financial Markets Association. See Securities Industry and Financial
Markets Association, Office Salaries in the Securities Industry--
2013 (2013), modified to account for an 1800-hour work year and
multiplied by 5.35 to account for bonuses, firm size, employee
benefits and overhead.
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An agency may not conduct or sponsor, and a person is not required
to respond to, a collection of information under the PRA unless it
displays a currently valid OMB control number.
The public may view background documentation for this information
collection at the following website: www.reginfo.gov. Comments should
be directed to: (i) 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, or by sending an email to:
[email protected]; and (ii) Charles Riddle,
Director/Chief Information Officer, Securities and Exchange
Commission, c/o Candace Kenner, 100 F Street NE, Washington, DC 20549,
or by sending an email to: [email protected]. Comments must be
submitted to OMB within 30 days of this notice.
Dated: May 2, 2019.
Vanessa A. Countryman,
Acting Secretary.
[FR Doc. 2019-09277 Filed 5-6-19; 8:45 am]
BILLING CODE 8011-01-P