[Federal Register Volume 84, Number 102 (Tuesday, May 28, 2019)]
[Notices]
[Page 24563]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-10997]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-85906; File No. S7-05-18]


Notice Establishing the Commencement and Termination Dates of the 
Pre-Pilot Period of the Transaction Fee Pilot for National Market 
System Stocks

May 21, 2019.

    The Securities and Exchange Commission is hereby designating, 
pursuant to Rule 610T(c)(2) of Regulation NMS, the commencement and 
termination dates of the pre-Pilot period of the Transaction Fee Pilot 
for National Market System stocks (``Pilot'').\1\
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    \1\ 17 CFR 242.610T(c)(2). On December 19, 2018, the Commission 
adopted Rule 610T of Regulation NMS to conduct the Pilot. See 
Securities Exchange Act Release No. 84875 (December 19, 2018), 84 FR 
5202 (February 20, 2019). On February 15, 2019, the New York Stock 
Exchange LLC, the NASDAQ Stock Market, LLC, Cboe BZX Exchange, Inc., 
and other affiliated entities (collectively, the ``petitioners'') 
filed petitions in the United States Court of Appeals for the 
District of Columbia Circuit (``Court of Appeals'') to review the 
validity of Rule 610T. Petitioners also filed with the Commission 
motions to stay implementation of Rule 610T pending resolution of 
their petitions for review. On March 28, 2019, the Commission issued 
an order granting, in part, petitioners' motions for a stay of Rule 
610T pending a decision by the Court of Appeals and further order of 
the Commission. That order stayed the Pilot and post-Pilot periods 
identified in Rule 610T(c)(1)(ii) and (iii) in their entirety, 
stayed the pre-Pilot period's data-reporting and public disclosure 
requirements, see Rule 610T(d), but provided that the remainder of 
Rule 610T--including the pre-Pilot period identified in Rule 
610T(c)(i)(1)--otherwise would become effective in the ordinary 
course and on further notice by the Commission. See In the Matter of 
Rule 610T of Regulation NMS, Order Issuing Stay, Securities Exchange 
Act Release No. 85447 (March 28, 2019) (``Partial Stay Order'').
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    Rule 610T(c)(1) provides that the Pilot shall include, among other 
things, a six month pre-Pilot period.\2\ Rule 610T(c)(2) further 
provides that the Commission shall designate by notice the commencement 
and termination dates of, among other things, the pre-Pilot period.\3\
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    \2\ 17 CFR 242.610T(c)(1).
    \3\ 17 CFR 242.610T(c)(2).
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    Accordingly, the Commission is issuing this notice to designate:
    1. July 1, 2019 as the pre-Pilot period's commencement date, and
    2. December 31, 2019 as the pre-Pilot period's termination date.
    During the pre-Pilot period, national securities exchanges subject 
to Rule 610T are required to comply with the data compilation 
requirements of Rule 610T(d) and (e).\4\ However, pursuant to the 
Commission's Partial Stay Order of March 28, 2019, pending a decision 
by the Court of Appeals regarding the petitions to review Rule 610T's 
validity and further order of the Commission, these exchanges will not 
be required to transmit order routing data to the Commission, or to 
publicly post Exchange Transaction Fee Summaries.\5\
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    \4\ See Partial Stay Order, supra note 1, at 2.
    \5\ See Partial Stay Order at 2; Rule 610T(d), (e). As noted in 
the Partial Stay Order, however, exchanges subject to Rule 610T may 
transmit pre-Pilot data to Commission staff on a voluntary basis for 
quality control purposes during the pendency of the stay. See 
Partial Stay Order at 1.
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    Following a decision by the Court of Appeals regarding the 
petitions for review, the Commission may issue further notices in 
accordance with Rule 610T(b)(1) and (c)(2).\6\
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    \6\ 17 CFR 242.610T(b)(1) (concerning the Initial List of Pilot 
Securities) and (c)(2) (concerning the commencement and termination 
dates of the Pilot and post-Pilot periods), respectively.

    For the Commission, by the Division of Trading and Markets, 
pursuant to delegated authority.\7\
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    \7\ 17 CFR 200.30-3(a)(84).
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Jill M. Peterson,
Assistant Secretary.
[FR Doc. 2019-10997 Filed 5-24-19; 8:45 am]
 BILLING CODE 8011-01-P