Rule 605 of Regulation NMS (f/k/a Rule 11Ac1-5)

Forms and Documents

Document	Type	Status	Availability
PRA Supporting Statement amended Rule 605 (FINAL RULE 11.19.2018).pdf	Supporting Statement A	Uploaded 2018-11-20	Available

IC Document Collections

IC ID	Collection	Type	Status	Form
35358	Rule 605 of Regulation NMS (f/k/a Rule 11Ac1-5)		Modified

ICR Details

OMB Control No: 3235-0542	ICR Reference No: 201810-3235-043
Status: Active	Previous ICR Reference No: 201601-3235-010
Agency/Subagency: SEC	Agency Tracking No: TM-270-488
Title: Rule 605 of Regulation NMS (f/k/a Rule 11Ac1-5)
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 02/25/2019
	Date Received in OIRA: 11/20/2018
Terms of Clearance:

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	02/28/2022	36 Months From Approved	08/31/2019
Responses	4,572	0	1,584
Time Burden (Hours)	27,432	0	9,504
Cost Burden (Dollars)	13,615,416	0	4,717,152

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Abstract: The information disclosed under Rule 605 of Regulation NMS will be used by investors, broker-dealers, and market centers to help analyze order execution practices and evaluate different market centers. Respondents will be market centers. The Commission recently adopted amendments to Regulation NMS to require new disclosures by broker-dealers relating to their handling of certain categories of orders and enhance existing disclosures relating to their handling to certain other categories of orders and solicited public comment. As part of this, the Commission also amended Rule 605(a)(2) to require market centers to keep reports required pursuant to Rule 605(a)(1) posted on an Internet Web site that is free of charge and readily accessible to the public for a period of three years from the initial date of posting on the Internet Web site. This amendment does not impose a burden because Rule 605 as previously adopted required that reports to be posted to an Internet Web site and the amendment merely prescribes a minimum period of time that the reports shall remain posted. We are adjusting the burden for Rule 605, however, because we have increased our estimate of the number of respondents.

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Authorizing Statute(s): US Code: 15 USC 17k-1 Name of Law: Securities Exchange Act of 1934
   US Code: 15 USC 78q Name of Law: Securities Exchange Act of 1934
  

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
3235-AL67	Final or interim final rulemaking	83 FR 58338	11/19/2018

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
Rule 605 of Regulation NMS (f/k/a Rule 11Ac1-5)

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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	4,572	1,584	0	0	2,988	0
Annual Time Burden (Hours)	27,432	9,504	0	0	17,928	0
Annual Cost Burden (Dollars)	13,615,416	4,717,152	0	0	8,898,264	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: No

Burden Reduction Due to:

Short Statement: The total annual hourly and cost burden increased from 9,504 hours and $4,717,152, respectively, to 27,432 hours and $13,615,416, respectively due to an increase in the number of respondents from 132 to 381 since the most recent renewal. This increase was due to the inclusion of OTC market makers among the respondents, which had erroneously been omitted in the 2016 renewal.

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Does this ICR request any personally identifiable information (see OMB Circular No. A-130 for an explanation of this term)? Please consult with your agency's privacy program when making this determination.     No

Does this ICR include a form that requires a Privacy Act Statement (see 5 U.S.C. §552a(e)(3))? Please consult with your agency's privacy program when making this determination.     No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? No

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? No

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: 11/20/2018

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