Crowdfunding Rules 400-404 (Funding Portals)

Forms and Documents

Document Name	Status
Form Form Funding Porta IC1 - Form Funding Portal: Application for Funding Portal Registration Form and Instruction	Modified
3235-0727.pdf Supplementary Document	2022-05-20
3235-0727.pdf Supplementary Document	2022-05-20
30 day notice for Rules 400-404.pdf Supplementary Document	2019-02-05
60 day notice for 400-404.pdf Supplementary Document	2019-02-05
Supporting Statement - Crowdfunding Rules 400-404 (Funding Portals) - 2022.pdf Supporting Statement A	2022-03-10
EDGAR PIA 2016.pdf Supplementary Document	2019-02-05

IC Document Collections

IC ID	Document Title	Status
234060	IC12 - Regulation S-ID - Ongoing Burden	Modified
234059	IC10 - Regulation S-AM - Ongoing Burden	Modified
234058	IC7 - Rule 403: Compliance Policies and Procedures - Ongoing Burden	Modified
234057	IC5 - Rule 404: Books and Records to Be Made and Maintained by Funding Portals - Ongoing Burden	Modified
216561	IC11 - Regulation S-ID - Initial Burden	Modified
216560	IC9 - Regulation S-AM - Initial Burden	Modified
216559	IC8 - Regulation S-P	Modified
216558	IC6 - Rule 403: Compliance Policies and Procedures - Initial Burden	Modified
216557	IC13 - Rule 404: Books and Records to Be Made and Maintained by Funding Portals - Initial Burden	Modified
216556	IC4 - Form Funding Portal: Designation of U.S. Agent for Service of Process and Opinion of Counsel for Nonresident	Modified
216555	IC3 - Form Funding Portal-W: Notice of Withdrawal from Registration as a Funding Portal	Modified
216554	IC2 - Form Funding Portal/A: Amendment to Registration	Modified
216552	IC1 - Form Funding Portal: Application for Funding Portal Registration Form and Instruction	Modified

ICR Details

OMB Control No: 3235-0727	ICR Reference No: 202203-3235-007
Status: Received in OIRA	Previous ICR Reference No: 201811-3235-007
Agency/Subagency: SEC	Agency Tracking No: TM-270-773
Title: Crowdfunding Rules 400-404 (Funding Portals)
Type of Information Collection: Extension without change of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular	Date Submitted to OIRA: 05/20/2022

	Requested	Previously Approved
Expiration Date	36 Months From Approved	05/31/2022
Responses	822	661
Time Burden (Hours)	36,775	17,555
Cost Burden (Dollars)	671,793	308,729

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Abstract: Regulation Crowdfunding prescribes rules governing the sale and offer of securities under Section 4(a)(6) of the Securities Act of 1933, and provides a framework for the regulation of registered funding portals and brokers that issuers are required to use as intermediaries in the offer and sale of securities in reliance on Section 4(a)(6).

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Authorizing Statute(s): US Code: 15 USC 78a et seq. Name of Law: Securities Exchange Act of 1934
   US Code: 15 USC 77a et seq. Name of Law: Securities Act of 1933
  

Citations for New Statutory Requirements: PL: Pub.L. 112 - 106 301-305 Name of Law: Jumpstart Our Business Startups Act

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:
	Not associated with rulemaking

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Federal Register Notices & Comments
60-day Notice:	Federal Register Citation:	Citation Date:
	87 FR 14931	03/16/2022
30-day Notice:	Federal Register Citation:	Citation Date:
	87 FR 31021	05/20/2022
Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 13

IC Title	Form No.	Form Name
IC1 - Form Funding Portal: Application for Funding Portal Registration	Form Funding Portal	Form Funding Portal
IC10 - Regulation S-AM - Ongoing Burden
IC11 - Regulation S-ID - Initial Burden
IC12 - Regulation S-ID - Ongoing Burden
IC13 - Rule 404: Books and Records to Be Made and Maintained by Funding Portals - Initial Burden
IC2 - Form Funding Portal/A: Amendment to Registration
IC3 - Form Funding Portal-W: Notice of Withdrawal from Registration as a Funding Portal
IC4 - Form Funding Portal: Designation of U.S. Agent for Service of Process and Opinion of Counsel for Nonresident
IC5 - Rule 404: Books and Records to Be Made and Maintained by Funding Portals - Ongoing Burden
IC6 - Rule 403: Compliance Policies and Procedures - Initial Burden
IC7 - Rule 403: Compliance Policies and Procedures - Ongoing Burden
IC8 - Regulation S-P
IC9 - Regulation S-AM - Initial Burden

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ICR Summary of Burden

	Total Request	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	822	661	0	60	101	0
Annual Time Burden (Hours)	36,775	17,555	0	6	19,214	0
Annual Cost Burden (Dollars)	671,793	308,729	0	0	363,064	0

Burden increases because of Program Change due to Agency Discretion: Yes

Burden Increase Due to: Miscellaneous Actions

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

Burden Reduction Due to:

Short Statement: The burden has increased in terms of both hours and costs. This is because the number of funding portals registered with the Commission has increased from 43 to 74. In addition, based on filings in recent years, the Commission staff estimate that the number of companies that will submit Form Funding Portal each year is 50 (down from the prior estimate of 74) and that the number of successful registrations will increase 25 funding portals per year, from a previous estimate of 5. Because the status quo number (the number of currently funding portals) is larger, and the estimated number of new registrants per year has grown, the overall burden is proportionally larger.

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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.     Yes

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? No

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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: 05/20/2022

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