3235-0045 Supporting Statement (2025) Final

3235-0045 Supporting Statement (2025) Final.pdf

Rule 19b-4 Filings with Respect to Securities-Based Swap Submissions, Advance Notices and Proposed Rule Changes by Self-Regulatory Organizations and the Security-Based Swap Stay of Clearing Requiremen

OMB: 3235-0045

Document [pdf]

Download: pdf | pdf

SUPPORTING STATEMENT
For the Paperwork Reduction Act Information Collection Submission for
Rule 19b-4 Filings with Respect to Proposed Rule Changes, Securities-Based Swap
Submissions, and Advance Notices by Self-Regulatory Organizations
and the Security-Based Swap Stay of Clearing Requirement
OMB Number 3235-0045
Partial Revision
A.

JUSTIFICATION
1.

Information Collection Necessity
a.

Rule 19b-4 and Form 19b-4

The Securities Exchange Act of 1934 (“Exchange Act”) provides a framework for selfregulation within which national securities exchanges, national securities associations, and
registered clearing agencies have primary responsibility for regulating their members or participants,
and persons associated therewith, and the Municipal Securities Rulemaking Board is responsible for
establishing rules for certain transactions in municipal securities. The Exchange Act charges the
Securities and Exchange Commission (“Commission”) with supervising each of these organizations
(generally referred to as self-regulatory organizations or “SROs”) and with assuring that each
complies with and advances the policies of the Exchange Act. As part of its oversight
responsibilities, the Commission is required to review changes in the rules of the various SROs.
Section 19(b) of the Exchange Act, as amended, requires each SRO to file with the
Commission, in accordance with such rules as the Commission may prescribe, copies of any
proposed rule, or any proposed change in, addition to, or deletion from the rules of such SRO
(collectively, a “proposed rule change”) accompanied by a concise general statement of the basis
and purpose of such proposed rule change. Rule 19b-4 requires an SRO to submit each proposed
rule change on Form 19b-4. Form 19b-4 currently requires a description of the terms of a
proposed rule change, the proposed rule change’s impact on various market segments, and the
relationship between the proposed rule change and the SRO’s existing rules. Form 19b-4 also
requires an accurate statement of the authority and statutory basis for, and purpose of, the
proposed rule change, the proposal’s impact on competition, and a summary of any written
comments received by the SRO. An SRO is required to submit Form 19b-4 to the Commission
electronically, post a copy of the proposed rule change on its public website within two business
days of its filing, and post and maintain a current and complete set of its rules on its website. In
the event that an SRO does not post its proposal on its website on the same day that it files the
proposal with the Commission, then the SRO must inform the Commission of the date on which it
posted such proposal on its website. This requirement allows the Commission to comply with
Section 19(b)(2)(E) of the Exchange Act, which provides that the “publication date” of a proposed
rule change is the date of Federal Register publication as long as the Commission sends the notice to

2
the Federal Register for publication within 15 days of the date on which the SRO publishes the
proposal on its website.
The Commission is required to publish a notice in the Federal Register of each proposed rule
change filing (such notices are prepared by the SROs themselves) to give interested persons an
opportunity to submit written data, views, and arguments concerning such proposed rule change.
Certain proposals are subject to Commission approval before they can become effective (such
proposals are filed under Section 19(b)(2) of the Exchange Act), while others become immediately
effective upon filing with the Commission (such proposals, which are outlined under Rule 19b-4(f),
are filed under Section 19(b)(3)(A) of the Exchange Act). The comment period is generally 21 days.
For those filings that are subject to approval, the Commission may not approve such a
proposed rule change prior to 30 days after publication of the notice in the Federal Register unless it
finds good cause for doing so and publishes its reasons. The Commission must either approve or
disapprove a proposed rule change, or institute proceedings to consider whether a proposal should
be disapproved, within 45 days after the date of publication of the notice in the Federal Register.
Either the Commission or the SRO may extend the 45-day period by up to an additional 45 days.
The Commission may extend the period only if the Commission determines that a longer period is
appropriate and publishes the reasons for such determination. In order to approve a proposed rule
change, the Commission must publish a release that makes affirmative findings that the proposed
rule change is consistent with the Exchange Act and the rules thereunder applicable to the SRO. If it
cannot make such findings, then the Commission must publish a release that disapproves the
proposal.
Filings that are not subject to Commission approval instead become effective upon filing
with the Commission, subject to the Commission’s authority to summarily temporarily suspend
such proposed rule changes within 60 days of the filing date. In addition, one category of
immediately effective filings (those submitted pursuant to Rule 19b-4-(f)(6)) is subject to a 30day operative delay, which period may be shortened by the Commission if consistent with the
protection of investors and the public interest.
On July 21, 2010, the Dodd-Frank Wall Street Reform and Consumer Protection Act
(“Dodd-Frank Act”) 1 was enacted to, among other purposes, promote the financial stability of the
United States by improving accountability and transparency in the financial system and by
providing for enhanced regulation and oversight of institutions designated as systemically
important. 2 Titles VII and VIII of the Dodd-Frank Act were intended to further these goals and
mitigate systemic risk in part by imposing new requirements with respect to clearing agencies. As
noted above, registered clearing agencies are SROs under the Exchange Act and must file proposed
rule changes with the Commission on Form 19b-4.
1

The Dodd-Frank Wall Street Reform and Consumer Protection Act (Pub. L. No. 111203, H.R. 4173).

See Pub. L. No. 111-203, Preamble.

3
Section 763(a) and Section 806(e) of the Dodd-Frank Act, and the rules adopted by the
Commission to implement Section 763(a) and Section 806(e) of the Dodd-Frank Act, impose
collection of information requirements on registered clearing agencies. These reporting
requirements are in addition to the information previously required by Rule 19b-4 and Form 19b4. In adopting the rules to implement Section 763(a) and Section 806(e) of the Dodd-Frank Act,
the Commission required the information to be collected on Form 19b-4 in order to utilize
existing resources.
Section 763(a) of the Dodd-Frank Act added Section 3C to the Exchange Act (“Exchange
Act Section 3C”). Exchange Act Section 3C requires a clearing agency to submit for Commission
determination whether a security-based swap (or group, category, type, or class of security-based
swap) is required to be cleared (“Security-Based Swap Submissions”) and provide notice to its
members of such submissions. 3 The Commission adopted Rule 19b-4(o) in furtherance of the
requirements set forth in Exchange Act Section 3C. 4 Section 806(e) requires that any financial
market utility designated as systemically important by the Financial Stability Oversight Council
(“Council”), file with the Commission advance notices (“Advance Notices”) of proposed changes
to its rules, procedures, or operations that could, as defined by the rules of each Supervisory
Agency, materially affect the nature or level of risk presented by the financial market utility. 5
Clearing agencies registered with the Commission are financial market utilities as defined in Title
VIII of the Dodd-Frank Act and the Commission may be the Supervisory Agency to a clearing
agency that is designated as systemically important by the Council (“designated clearing
agency”). 6 A designated clearing agency must comply with the notice process as soon as the
Council designates the clearing agency as systemically important. The Commission adopted Rule
19b-4(n) in furtherance of the requirements set forth in Section 806(e).
3

15 U.S.C. 78c-3 et seq.

With respect to the compliance date for Rule 19b-4(o), the Commission recognized that
clearing agencies would require a transition period, and determined that the compliance date
would begin 60 days after the date the Commission issues its first written determination,
pursuant to Section 3C(b)(2)(C)(ii) of the Exchange Act, of whether a security-based swap,
or group, category, type, or class of security-based swaps, is required to be cleared. 77 FR
41602, 41626 (July 13, 2012). As of the date of this publication, the Commission has not
yet issued its written determination pursuant to Section 3C(b)(2)(C)(ii) of Exchange Act.

12 U.S.C. 5465(e).

Pursuant to Section 803(8) of the Dodd-Frank Act, the Commission is the Supervisory
Agency for any financial market utility that is a Commission-registered clearing agency
and the CFTC is the Supervisory Agency for any financial market utility that is a CFTCregistered derivatives clearing organization (“DCO”). To the extent that an entity is both a
Commission-registered clearing agency and a CFTC-registered DCO, the statute requires
the two agencies to agree on one agency to act as the Supervisory Agency, and if the
agencies cannot agree on which agency has primary jurisdiction, the Council shall decide
which agency is the Supervisory Agency for purposes of Title VIII of the Dodd-Frank
Act. 12 U.S.C. 5462(8).

4
The Commission anticipates that in many cases, a clearing agency will be required to
make a Security-Based Swap Submission under Exchange Act Section 3C or file an Advance
Notice under Section 806(e) of the Dodd-Frank Act when it is already required to file a proposed
rule change under Section 19(b) of the Exchange Act. Clearing Agencies can meet one or more of
these filing requirements by submitting a single Form 19b-4.
Exchange Act Section 3C requires that a clearing agency provide as part of the SecurityBased Swap Submission a statement that includes, but is not limited to: (i) how the submission is
consistent with Section 17A of the Exchange Act; (ii) information that will assist the Commission
in the quantitative and qualitative assessment of the factors specified in Exchange Act Section
3C; and (iii) how the rules of the clearing agency meet the criteria for open access.
Section 806(e) of the Dodd-Frank Act requires that the Advance Notice include a
description of the nature of the proposed change and the expected effects on risks to the
designated clearing agency, its participants, or the market and it must provide a description of
how the designated clearing agency will manage any identified risks.
In addition, a clearing agency is required to post certain information on its website. 7
Security-Based Swap Submissions and Advance Notices, and any amendments thereto, must be
posted on a clearing agency’s website within two business days of filing the information with the
Commission. 8 The information generally shall remain posted on the clearing agency’s website
until a determination is made with respect to the Security-Based Swap Submission or until the
Advance Notice becomes effective. A clearing agency also must post notice on its website of the
effectiveness of any change to its rules, procedures, or operations filed as an Advance Notice
within two business days of the effective date determined in accordance with Section 806(e) of
the Dodd-Frank Act. 9
Under Rule 19b-4, Security-Based Swap Submissions and Advance Notices must be
submitted electronically on Form 19b-4. 10 In addition, a clearing agency must indicate whether it
is filing under Exchange Act Section 3C, Section 806(e) of the Dodd-Frank Act, Section 19(b) of
the Exchange Act, or a combination of the three (in order to avoid duplicative filings and to
streamline the process and burden on clearing agencies and the Commission). However, each
filing requirement is distinct and subject to different statutory standards for Commission review.
Rule 19b-4 provides that proposed rule changes that primarily affect products that are not
securities are eligible to become effective upon filing with the Commission pursuant to Section

Rule 19b-4(l). See also supra note 4.

Rule 19b-4(n)(3) and Rule 19b-4(o)(5).

Rule 19b-4(n)(4).

Rule 19b-4(o)(2). See also supra note 4.

5
19(b)(3)(A) of the Exchange Act. 11 The content of a rule filing made pursuant to Section
19(b)(3)(A) is virtually identical to that of a filing made pursuant to Section 19(b)(2). A clearing
agency seeking to use the “fair and orderly markets” provision 12 is required to make a separate
filing under Section 19(b)(3)(A) of the Exchange Act in addition to the Section 19(b)(2) filing.
The General Instructions for Form 19b-4 require the respondent clearing agency to cite
the statutory basis for filing a proposed rule change pursuant to Section 19(b)(3)(A) of the
Exchange Act in accordance with Rule 19b-4(f). The Commission does not believe that the
reporting and recordkeeping provisions in Rule 19b-4(f)(4)(ii) contain “collection of information
requirements” within the meaning of the PRA because fewer than ten persons are expected to
rely on Rule 19b-4(f)(4)(ii).
b.

Rule 3Ca-1

Exchange Act Section 3C states that, after making a determination that a security-based
swap (or group, category, type, or class of security-based swap) is required to be cleared, the
Commission, on application of a counterparty to a security-based swap or on the Commission’s
own initiative, may stay the clearing requirement until the Commission completes a review of the
terms of the security-based swap and the clearing arrangement. 13 Pursuant to Rule 3Ca-1, a
counterparty to a security-based swap subject to the clearing requirement wishing to apply for a
stay of the clearing requirement is required to submit a written statement to the Commission that
includes (i) a request for a stay of the clearing requirement, (ii) the identity of the counterparties
to the security-based swap and a contact at the counterparty requesting the stay, (iii) the identity
of the clearing agency clearing the security-based swap, (iv) the terms of the security-based swap
subject to the clearing requirement and a description of the clearing arrangement, and (v) the
reasons a stay should be granted and the security-based swap should not be subject to a clearing
requirement, specifically addressing the same factors a clearing agency must address in its
Security-Based-Swap Submission pursuant to Rule 19b-4(o)(3).
2024 Amendment
The Commission amended Rule 19b-4(j) so that it would no longer require that the
signatory to an electronically submitted Form 19b-4 to manually sign a signature page or other
document authenticating, acknowledging, or otherwise adopting his or her signature that appears
11

Rule 19b-4(f).

See Rule 19b-4(f)(4)(ii), which provides that a proposed rule change may take effect upon
filing with the Commission pursuant to Section 19(b)(3)(A) of the Act if the change affects
an existing service of a registered clearing agency with respect to products that are not
securities, and the change significantly affects the securities clearing operations of the
clearing agency or the rights or obligations of the clearing agency with respect to securities
clearing or persons using such securities-clearing service, but is necessary to maintain fair
and orderly markets for products that are not securities.

See 15 U.S.C. 78c-3(c)(1) (as added by Section 763(a) of the Dodd-Frank Act).

6
in typed form within the electronic filing, execute that document before or at the time the rule
filing is electronically submitted, and retain that document for its records in accordance with Rule
17a-1. 14 In addition, the amended Form 19b-4 and the instructions to Form 19b-4 no longer
require that a duly authorized officer of the SRO manually sign one copy of the completed Form
19b-4 and that the manually signed signature page be maintained pursuant to section 17 of the
Exchange Act. The amendment does not change the estimated burdens for the rule or the
form.
2.

Information Collection Purpose and Use
a.

Proposed Rule Changes Filed by SROs

Rule 19b-4 implements the requirements of Section 19(b) of the Exchange Act by
requiring SROs to file their proposed rule changes electronically on Form 19b-4 15 and by
clarifying which actions taken by SROs are deemed proposed rule changes and so must be filed
pursuant to Section 19(b). Rule 19b-4 and Form 19b-4 were adopted in 1975 pursuant to Sections
2, 3, 6, 11A, 15A, 15B, 17, 19, and 23 of the Exchange Act and were significantly amended in
1980 to clarify and simplify the filing process. Form 19b-4 is designed to provide the
Commission with the information necessary to determine, as required by the Exchange Act,
whether the proposed rule change is consistent with the Exchange Act and the rules thereunder
and to provide information sufficient to elicit meaningful public comment on each proposal. The
information received is made available to members of the public who may wish to comment on a
particular proposed rule change. The information collected by the Commission with respect to the
date on which the SRO posted a proposed rule change on its website (if such posting date is not
the same as the filing date) will be used to inform the Commission of the date by which the
Commission must send the notice to the Federal Register for publication.
The federal securities laws generally require that, for those proposals that are subject to
Commission approval, an SRO’s proposed rule change must be approved by the Commission
before it may take effect. With respect to these types of filings, the Commission has two options:
(1) it may approve or disapprove a proposed rule change or (2) it may institute proceedings to
determine whether a proposed rule change should be disapproved. The legal standard the
Commission must use to approve a proposal is set forth in Section 19(b)(2) of the Exchange Act.
Section 19(b)(3)(A) of the Exchange Act provides that, notwithstanding the provisions of Section
19(b)(2) of the Exchange Act, a proposed rule change may take effect upon filing with the
Commission if appropriately designated by the SRO as meeting the criteria set forth in Section
19(b)(3)(A) of the Exchange Act, as expanded in Rule 19b-4(f). If the Commission believes that
an immediately effective proposed rule change may not meet the statutory standards, the

17 CFR 249.819.

7
Commission summarily may temporarily suspend the proposal and institute proceedings to
determine whether it should be disapproved.
1. Amendment to Rule 19b-4(j)
The Commission has removed the requirement under Rule 19b-4(j) 16 that the signatory to
an electronically submitted Form 19b-4 manually sign a signature page or other document
authenticating, acknowledging, or otherwise adopting his or her signature that appears in typed
form within the electronic filing, execute that document before or at the time the rule filing is
electronically submitted, and retain that document for its records in accordance with Rule 17a-1.
The Commission also has removed the related language in Form 19b-4 and the instructions to
Form 19b-4 that a duly authorized officer of the SRO manually sign one copy of the completed
Form 19b-4 and that the manually signed signature page be maintained pursuant to section 17 of
the Exchange Act. 17
b.

Security-Based Swap Submissions and Advance Notices Filed by Certain
Clearing Agencies

The information provided by clearing agencies pursuant to Rule 19b-4 and Form 19b-4 is
used by the Commission to evaluate Security-Based Swap Submissions and Advance Notices.
The Commission uses the information filed on Form 19b-4 as a Security-Based Swap Submission
to determine whether the security-based swap or any group, category, type, or class of securitybased swaps described in the Security-Based Swap Submission should be required to be cleared
pursuant to Exchange Act Section 3C(a)(1).
The Commission uses the information on Form 19b-4 relating to Advance Notices to
determine the effect on the nature or level of risks that would be presented by a designated
clearing agency based on a proposed change to its rules, procedures, or operations, and the
expected effects on risk to the designated clearing agency, its participants, and the market and to
determine whether the Commission should make an objection to the proposed change. The rules
provide that clearing agencies are required to provide copies of all Advance Notices and any
additional information relating to the Advance Notice to the Board of Governors of the Federal
Reserve System (“Board”).
The information filed on Form 19b-4 relating to Exchange Act Sections 3C and 806(e) of
the Dodd-Frank Act is, with certain exceptions, published for notice and comment. In addition,
pursuant to Exchange Act Section 3C, a clearing agency is required to provide its members with

See 17 CFR 240.19b-4(j).

See Electronic Submission of Certain Materials Under the Securities Exchange Act of 1934;
Amendments Regarding the FOCUS Report; SEC Release Nos. 33-11342, 34-101925, IC35420 (Jan. 17, 2025); 90 FR 7250 (Jan. 21, 2025) (File No. S7-08-23).

8
notice of the Security-Based Swap Submission. Interested parties can use the information to
comment on the Security-Based Swap Submission or Advance Notice.
The information required by Rule 3Ca-1 will be used by the Commission to determine
whether to grant the stay of the clearing requirement sought by a counterparty and to review
whether the clearing requirement will continue to apply to such security-based swap, or group,
category, type, or class of security-based swaps.
3.

Consideration Given to Information Technology

The Commission and the SROs continue to improve their systems for information
gathering, storage, and retrieval through increasing use of computer technology. Some of these
improvements, such as use of email in correspondence between the Commission and the SROs,
have improved the efficiency of the Commission’s oversight role. However, the process of
compiling, preparing, and filing the information required for review of each proposed rule change
reflects the complexity of the SROs’ businesses. The Commission believes that use of
technology, specifically electronic filing of proposed rule changes, and posting of proposed rule
changes and SRO rules on SRO websites, has and will continue to reduce the respondents’
burden in making these filings. Currently, the Electronic Form 19b-4 Filing System (“EFFS”) is
used by SROs to file proposed rule changes electronically with the Commission pursuant to
Exchange Act Section 19(b), and the SRO Rule Tracking System (“SRTS”) is the internal
Commission system used to process and manage SRO proposed rule changes.
In 2013, the Commission began using EFFS and Form 19b-4 for Security-Based Swap
Submissions and Advance Notice filings, which utilizes the existing information technology for
filing of proposed rule changes, and thereby conserves both clearing agency and Commission
resources. 18
4.

Duplication

Each proposed rule change by an SRO must be treated on an individual basis. In the case
of SROs that are clearing agencies, a clearing agency may also be required to file a SecurityBased Swap Submission under Exchange Act Section 3C or an Advance Notice under Section
806(e) of the Dodd-Frank Act. The Commission sought to avoid duplicative filings and to
streamline the filing processes and burden on clearing agencies and the Commission for these
filings by requiring that all such filings be made electronically on Form 19b-4. However, the
filing requirements of Exchange Act Section 3C, Section 806(e) of the Dodd-Frank Act, and
Section 19(b) of the Exchange Act are distinct from each other and subject to different statutory
standards for Commission review.
5.
18

Effect on Small Entities

See 77 FR 73302 (December 10, 2012).

9
Not applicable. None of the SROs subject to the collection of information is a small entity,
as that term applies to this Item 5.
6.

Consequences of Not Conducting Collection

As explained in Section A.1, by statute, the collection of information is required with respect
to any proposed rule change, Security-Based Swap Submission, Advance Notice, or stay of clearing
application. Commission regulations facilitate the implementation of these statutory requirements by
requiring the information to be submitted on Form 19b-4. Therefore, the Commission is obligated to
collect this information, and not conducting the collection would violate federal statutes and
Commission regulations.
7.

Inconsistencies with Guidelines in 5 CFR 1320.5(d)(2)

There are no special circumstances. This collection is consistent with the guidelines in 5
CFR 1320.5(d)2.
8.

Consultations Outside the Agency

The Commission requested comment on the collection of information requirements
regarding proposed amendments to Rule 19b-4(j) in the April 18, 2023 Electronic Submission of
Certain Material Under the Securities Exchange Act of 1934; Amendments Regarding the FOCUS
Report proposing release. 19
9.

Payment or Gift

Not applicable.
10.

Confidentiality

Not applicable to proposed rule changes of SROs. An SRO’s proposed rule change when filed
with the Commission is public information. With respect to SROs that are clearing agencies, except
for any information contained in an Advance Notice for which a designated clearing agency has
requested confidential treatment following the procedures set forth in §240.24b-2, a clearing agency’s
Security-Based Swap Submission or Advance Notice when filed with the Commission is public
information. While there is a general requirement that information be made publicly available,

See Electronic Submission of Certain Materials Under the Securities Exchange Act of 1934;
Amendments Regarding the FOCUS Report; SEC Release Nos. 33-11176, 34-97182, IC34864 (Mar. 22, 2023); 88 FR 23920 (Apr. 18, 2023) (File No. S7-08-23). No comments
were received with respect to the collection of information requirements regarding proposed
amendments to Rule 19b-4(j).

10
SROs may request confidential treatment of certain information in accordance with the Freedom of
Information Act. 20
11.

Sensitive Questions

The Information Collection does not collect information about individuals, but rather only
business contact information. Based on the business practice of handling the information collection,
the collection does not constitute a system of records under the Privacy Act and does not require a PIA
per the E-Government Act of 2002.
12.

Information Collection Burden
a.

Rule 19b-4 and Form 19b-4
i.

Electronic Filing of Proposed Rule Changes

An SRO rule change proposal is filed with the Commission after an SRO’s staff has
obtained approval from its board of directors or otherwise after any persons delegated by the
board of directors with such authority have approved of the filing of the proposal. The time
required to complete a filing varies significantly and is difficult to separate from the time an SRO
spends in developing internally the proposed rule change.
In a PRA analysis conducted in 2004 in connection with amendments to Rule 19b-4 and
Form 19b-4 (“2004 PRA”), the Commission estimated that 34 hours is the amount of time that
would be required to complete an average proposed rule change filing, and 129 hours is the
amount of time required to complete a novel or complex proposed rule change filing. 21 The
Commission used these estimates in subsequent requests for approval to extend the existing
collection of information provided for in Rule 19b-4 and Form 19b-4 in 2011, 2013, 2016, and
2019. 22 The Commission believes that, on average, the removal of the manual signature and
retention requirement will not increase or decrease the burden hours associated with continuing to
file Form 19b-4 electronically because the manual signature and retention requirement is only a
small component of the filing requirement. Therefore, the Commission continues to believe that
these estimates are accurate.
20

5 U.S.C. 552.

See Securities Exchange Act Release No. 50486 (October 4, 2004), 69 FR 60287 (October
8, 2004).

See Submissions for OMB review; comment requests, 76 FR 22740 (April 22, 2011) and 76
FR 37161 (June 24, 2011); Submissions for OMB review; comment requests, 78 FR 11701
(February 19, 2013) and 78 FR 24443 (April 25, 2013); Submissions for OMB review;
comment requests, 81 FR 40935 (June, 23, 2016) and 81 FR 57946 (August 24, 2016);
Submissions for OMB review; comment requests, 84 FR 36981 (July 30, 2019) and 84 FR
54710 (October 10, 2019).

11
In calendar year 2021, 34 SRO respondents filed a total of 1,456 rule change proposals
subject to the current collection of information. Of this total, and based on the Commission’s staff
experience in reviewing SRO proposed rule change filings and past estimates for Rule 19b-4 and
Form 19b-4, the Commission estimates that 106 proposed rule changes could be characterized as
novel or complex and 1,350 (1,456 proposed rule changes – 106 proposed rule changes that could
be characterized as novel or complex) proposed rule changes could be characterized as average.
The average number of proposed rule changes filed in 2021, per SRO, was 34. 23 For the next
three years, the Commission estimates that the total annual reporting burden for filing
proposed rule changes with the Commission pursuant to Rule 19b-4 and Form 19b-4 will be
50,048 hours (46 respondents 24 × 34 proposed rule changes per SRO per year × 32 hours per
filing). 25 This is an ongoing reporting burden. (IC1)
ii.

SRO Website Posting of Proposed Rule Change Filings

The Commission previously estimated that an SRO would take four hours to post
proposed rule change proposals and amendments under Section 19(b) of the Exchange Act on its
website and four hours to update the posted SRO rules on its website once the proposed rules
became effective. 26 The Commission continues to believe that this estimate is accurate.
Accordingly, the total annual reporting burden for SROs to post proposed rule change
proposals on their websites will be approximately 6,256 hours (46 SRO respondents × 34
proposed rule change filings per respondent per year × four hours per filing to update SRO
website). This is an ongoing third-party disclosure burden. (IC2)
23

This figure is calculated as follows: 1,456 proposed rule change filings in 2021 divided by
43 SROs that file proposed rule changes in resulting in an average of 33.86 proposed rule
change filings per respondent per year (rounded to 34). The Commission estimates that off
these 34 filings per respondent, approximately 32.47 were novel or complex rule changes
(106 novel or complex proposed rule changes ÷ 43 SROs), while 31.4 were “average”
(1,350 average proposed rule changes ÷ 43 SROs).

In 2019, estimates were based on 42 SRO respondents (39 SROs, one SRO that registered
in 2019, and two registrants that were anticipated to register). Currently, there are 43 SROs,
though not all of those SROs filed a proposed rule change in 2021. The Commission
expects three additional respondents to register during the three-year period for which this
Paperwork Reduction Act extension is applicable (one as a registered clearing agency and
two as national securities exchanges), bringing the total number of respondents to 46. See
FR Doc. 2023-01613, 88 FR 5387 (Jan. 27, 2023) (Request to OMB for extension of Rule
19b-4 and Form 19b-4; SEC File No. 270-38; OMB Control No. 3235-0045).

As noted above, “average” filings are estimated to take 34 hours to prepare, while “novel
and complex” filings are estimated to take 129 hours to prepare. Using the numbers
provided in footnote 19 that estimate 2.47 filings out of each SRO’s 34 total filings are
novel or complex while the rest are “average,” the estimated burden for 34 filings per year
is 32.24 hours per filing (((2.47 × 129) + (31.4 x 34)) ÷ 43)) (rounded to 32 hours).

See supra note 18.

12
iii.

SRO Website Posting of Rules and Rule Amendments

The total annual reporting burden for SROs to update their posted rules on their
websites once the proposed rules become effective will be approximately 4,996 hours (46
SRO respondents × 27.1521739 27 effective proposed rule change filings per respondent per year
× four hours per filing to update SRO website). This is an ongoing third-party disclosure burden.
(IC3)
iv.

Training of National Securities Exchange Staff to use EFFS

Based on staff discussions with the SROs prior to issuing the proposing release (“Proposing
Release”), 28 the Commission estimated that each newly-registered SRO would spend
approximately 20 hours training all staff members who will use EFFS to submit Security-Based
Swap Submissions, Advance Notices, and/or proposed rule changes electronically. The
Commission estimates that new national securities exchange registrants 29 would spend
approximately 20 hours training all staff members who will use EFFS to submit proposed rule
changes electronically. Accordingly, the Commission estimates that the total one-time burden of
training staff members of newly-registered and anticipated national securities exchanges to
use EFFS will be 40 hours (two newly-registered and anticipated national securities
exchanges × 20 hours), or 13 hours annualized over three years. The Commission did not
receive any comments on the burden estimates in the Proposing Release and used such estimates
for the rules as adopted and this PRA analysis. This is a one-time recordkeeping burden. (IC4)
v.

Drafting and Implementing Internal Policies and Procedures for
Using EFFS by Newly-Registered National Securities Exchanges

Based on staff discussions with the SROs, the Commission estimates that there will be a
one-time paperwork burden of 130 hours for each newly-registered national securities
exchange to draft and implement internal policies and procedures relating to using EFFS to
submit proposed rule changes with the Commission, for a total of 260 hours (two newly27

This figure is calculated as follows: (1,564 estimated proposed rule change filings per year
– 293 withdrawn filings – 22 disapproved filings) divided by 46 SROs resulting in an
average of 27.1521739 effective proposed rule change filings per respondent per year. For
43 SROs, 274 withdrawn filings in 2021 is approximately 6.37 filings per SRO. For 46
SROs, the figure would increase to 293 withdrawn filings. For 43 SROs, 20 disapproved
filings in 2021 is approximately 0.47 filings per SRO. For 46 SROs, the figure would
increase to 22 disapproved filings.

See Securities Exchange Act Release No. 63557 (December 15, 2010), 75 FR 82490
(December 30, 2010).

The Commission expects two additional SROs to register as a national securities exchange
during the three-year period for which this Paperwork Reduction Act extension is
applicable.

13
registered and anticipated national securities exchanges × 130 hours) or 87 hours
annualized over three years. This is a one-time recordkeeping burden. (IC5)
vi.

Annual Training of SRO Staff to Use EFFS

The Commission estimates that each SRO will spend approximately 10 hours annually
training new compliance staff members and updating the training of existing compliance
staff members to use EFFS. The Commission believes that only a minimal amount of EFFS
training will be submission-specific and that training a person to submit either a proposed rule
change, Security-Based Swap Submission, or Advance Notice will generally be sufficient to
allow such person to make one or more of the other types of submissions. The Commission
estimates that the total annual burden will be 460 hours (46 respondent SROs × 10 hours).
This is an ongoing recordkeeping burden. (IC6)
b.

Clearing Agencies

Currently, three clearing agencies are registered to clear security-based swaps, and will be
respondents to the applicable collection of information requirements. 30
Currently, four clearing agencies are registered to clear non-security-based swap
securities. The Commission estimates that one additional clearing agency will clear non-securitybased swap securities in the future, 31 resulting in a total of five clearing agencies that will be
respondents to the applicable collection of information requirements with respect to Advance
Notices. The Commission calculated the burden for the requirements related to Advance Notices
assuming that they will apply to five clearing agencies and the burden for the requirements
related to Security-Based Swap Submissions assuming they will apply to three clearing agencies.
i.

Training of Clearing Agency Staff to use EFFS

The Commission estimates that a newly-registered clearing agency would spend
approximately 20 hours training all staff members who will use EFFS to submit Security-Based
Swap Submissions, Advance Notices, and/or proposed rule changes electronically. 32
Accordingly, the Commission estimates that the total one-time burden of training staff
30

As of October 2023, Intercontinental Exchange, Inc. will stop clearing credit default swaps
through its UK-based ICE Clear Europe and shift the activity to Chicago, thus reducing to
two the number of clearing agencies registered to clear security-based swaps. It is expected
that ICE Clear Europe’s customers will migrate to other clearing agencies and therefore will
not affect the final impact.

To the extent that the Commission approves an additional clearing agency, at this time the
Commission believes it is unlikely that any such clearing agency would, in the next three
years, be designated systemically important or otherwise become subject to the Advance
Notice process.

See supra note 24.

14
members of an anticipated clearing agency to use EFFS will be 20 hours (one anticipated
clearing agency × 20 hours), or 6.7 hours annualized over three years. This is a one-time
recordkeeping burden. (IC7)
ii.

Drafting and Implementing Internal Policies and Procedures for
Using EFFS by Newly-Registered Clearing Agencies

Based on staff discussions with the clearing agencies, the Commission estimates that
there will be a one-time paperwork burden of 130 hours for each newly-registered clearing
agency to draft and implement internal policies and procedures relating to using EFFS to
submit Security-Based Swap Submissions, Advance Notices, and/or proposed rule changes
with the Commission, for a total of 130 hours (one anticipated clearing agency × 130 hours)
or 43.3 hours annualized over three years. This is a one-time recordkeeping burden. (IC8)
iii.

Rule 19b-4(o)(1) Security-Based Swap Submissions

The Commission estimates based on previous discussions with staff from clearing
agencies that the amount of time that a clearing agency will require to internally prepare, review,
and submit a Security-Based Swap Submission to comply with Rule 19b-4(o)(1) will be 140
hours. The Commission also estimates that each clearing agency will submit 14 Security-Based
Swap Submissions annually based on previous discussions with staff from clearing agencies.
Accordingly, the Commission estimates that the total annual reporting burden for clearing
agencies submitting Security-Based Swap Submissions electronically with the Commission
under Rule 19b-4(o)(1) will be 5,880 hours (three respondent clearing agencies × 14
Security-Based Swap Submissions per year × 140 hours per response). This is an ongoing
reporting burden. (IC9)
iv.

Rule 19b-4(n)(1) Advance Notice Filings

The Commission estimates that the amount of time that designated clearing agency
representatives require to internally prepare, review, and electronically file each Advance Notice
with the Commission will be 90 hours. This estimate is based on the staff’s previous discussions
with staff from the clearing agencies.
The Commission estimates that each designated clearing agency submitting Advance
Notices will submit two Advance Notices to the Commission annually, based on historical
rulemaking data. 33 Accordingly, the Commission estimates that the total annual reporting
burden on designated clearing agencies submitting Advance Notices electronically with the
Commission will be 900 hours (five designated clearing agencies × two Advance Notices per
year × 90 hours per response). This is an ongoing reporting burden. (IC10)
33

This figure is calculated as follows: 40 Advance Notice filings filed between 2018 and
through 2022 YTD (based on historical data publicly available on SEC website) divided by
four current respondents, resulting in an average of two Advance Notice filings per
respondent per year.

15
v.

Rule 19b-4(n)(5) Submission of Copies of Advance Notices to the
Board

The Commission estimates that two hours should be added to the time required to prepare
each Advance Notice to comply with the requirement contained in Rule 19b-4(n)(5) to provide to
the Board copies of all materials submitted to the Commission relating to an Advance Notice
contemporaneously with such submission to the Commission. As noted above, the Commission
estimates that five designated clearing agencies will submit two Advance Notices to the
Commission annually. Accordingly, the Commission estimates that the total annual reporting
burden on designated clearing agencies to comply with the requirement to provide to the
Board copies of all materials submitted to the Commission relating to an Advance Notice
contemporaneously with such submission to the Commission will be 20 hours (five
designated clearing agencies × two Advance Notices per year × two hours per response). This is
an ongoing reporting burden. (IC11)
vi.

Updating Clearing Agency Websites to Provide Capability to
Post Security-Based Swap Submissions

The Commission believes that clearing agencies could incur some one-time costs
associated with posting Security-Based Swap Submissions on their websites. The Commission
estimates that each clearing agency that makes Security-Based Swaps Submissions will spend
approximately 15 hours creating or updating its existing website in order to provide the capability
to post these submissions online. The Commission estimates a one-time total burden of 45
hours (three clearing agencies registered to clear security-based swaps × 15 hours per
website update) or 15 hours annualized over three years for the three clearing agencies to
update their websites to enable them to post Security-Based Swap Submissions. This is a
one-time third-party disclosure burden. (IC12)
vii.

Rule 19b-4(o)(5) Posting of Security-Based Swap Submissions on
Security-Based Swap Clearing Agency Websites

The Commission estimates that four hours are required by a clearing agency to post a
Security-Based Swap Submission on its website. 34 This figure is based on the current estimate for
the requirement that SROs post proposed rule changes on their websites under Rule 19b-4(l)
given the similarities between the two requirements. 35 The Commission estimates that the total
annual reporting burden for clearing agencies to post Security-Based Swap Submissions on
their websites will be 168 hours (three clearing agencies × 14 Security-Based Swap
34

See supra note 4.

See Securities and Exchange Commission, Submission for OMB Review, Comment
Request, 76 FR 37161 (June 24, 2011). The Supporting Statement containing the detailed
estimates for Rule 19b-4 and Form 19b-4 is available at:
http://www.reginfo.gov/public/do/PRAViewDocument?ref_nbr=201104-3235-013.

16
Submissions per year × four hours per website posting). This is an ongoing third-party disclosure
burden. (IC13)
viii.

Rule 19b-4(n)(3) Posting of Advance Notices on Designated Clearing
Agency Websites

The Commission estimates that four hours are required by a designated clearing agency to
post an Advance Notice on its website. This figure is based on the current estimate for the
requirement that SROs post proposed rule changes on their websites under Rule 19b-4(l) given
the similarities between the two requirements.36 The Commission estimates that the total annual
reporting burden for designated clearing agencies to post Advance Notices on their websites
will be 40 hours (five designated clearing agencies × two Advance Notices per year × four hours
per website posting). This is an ongoing third-party disclosure burden. (IC14)
ix.

Rule 19b-4(n)(4) Designated Clearing Agency Website Posting of
Notice of Change to Rules, Procedures, or Operations Referred to in
Advance Notices

The Commission estimates that four hours are required by a designated clearing agency to
post notice on its website of any change to its rules, procedures, or operations referred to in an
Advance Notice once it has been permitted to take effect. This figure is based on the current
estimate for the requirement that SROs post proposed rule changes on their websites under Rule
19b-4(l) given the similarities between the two requirements.37 Accordingly, the Commission
estimates that the total annual reporting burden for designated clearing agencies to post
Advance Notices on their websites will be 40 hours (five designated clearing agencies × two
Advance Notices per year × four hours per website posting). This is an ongoing third-party
disclosure burden. (IC15)
x.

Rule 3Ca-1 Stay of Clearing Requirement Information

Pursuant to Section 3C(c)(1) of the Exchange Act, the Commission on its own initiative
or on the application of a counterparty may stay the clearing requirement in Section 3C(a)(1) of
the Exchange Act until it completes a review of the terms of the security-based swap and the
clearing arrangement. The Commission is unable to estimate accurately the number of times it
may stay a clearing requirement pursuant to Section 3C(c)(1) of the Exchange Act because it has
not yet made any mandatory clearing determinations and it does not know what counterparties
may object to a determination or when they would make an application for a stay. However, the
Commission recognizes that there will likely be some applications for stays from any clearing
requirements made pursuant to a Commission determination and, for purposes of the Proposing
Release, the Commission estimated there would be five applications for stays of a clearing

See id.

17
requirement per clearing agency per year. 38 This figure would represent one quarter of the
estimated number of Security-Based Swap Submissions from each clearing agency per year.
The Commission estimates that a clearing agency will spend approximately 18 hours to
retrieve, review, and submit the information associated with the stay of the clearing requirement.
The Commission also estimates that each clearing agency will be required to provide
information requested by the Commission in the course of its reviews of five requests for a
stay of the clearing requirement, resulting in a total annual reporting burden of 270 hours
(three clearing agencies × five stay of clearing applications per year × 18 hours to retrieve,
review, and submit the stay of clearing information). This is an ongoing reporting burden. (IC16)
c.

Amendment to Conform to Section 916 of the Dodd-Frank Act

Based on its experience receiving and reviewing proposed rule changes filed by SROs, the
Commission estimates that SROs will fail to post proposed rule changes on their websites on the
same day as the filing was made with the Commission in 1% of all cases, or 15 times each year
based on the 1,456 proposed rule change filings submitted by SROs in 2021. For 2022, the
Commission estimates that SROs will file 1,564 proposed rule change filings (46 respondents x
34 proposed rule change filings per respondent). The Commission estimates that each SRO will
spend approximately one hour preparing and submitting notice to the Commission of the
date on which it posted the proposed rule change on its website, resulting in a total annual
burden of 16 hours (16 amendments × one hour per amendment). This is an ongoing reporting
burden. (IC18)

Prior to issuing the Proposing Release, Commission staff contacted eight clearing agencies
that could be subject to a stay of the clearing requirement and related review under Rule
3Ca-1. The Commission used those discussions to estimate the collection of information
for this rule. However, the clearing agencies emphasized that the estimated burdens would
depend in large part on the number of stays requested annually and the scope of the
information requested by the Commission in the course of the related review.

18
d.

Summary of Hourly Burdens

The table below summarizes, the Commission’s estimates of the total hourly reporting
burden for all SROs, including clearing agencies, under Rule 19b-4, Form 19b-4, and
Rule 3Ca-1.
IC Nature of Information Collection Burden

Annualized Hourly Burden Estimate

Electronic filing of proposed rule changes

50,048

SRO website posting of proposed rule change
filings
SRO website posting of rules and rule
amendments

6,256

3
4

4,996

Training of national securities exchange staff to
use EFFS

Drafting and implementing internal policies and
procedures for using EFFS by newly-registered
national securities exchanges
6 Annual training of SRO staff to use EFFS

87
460

Training of clearing agency staff to use EFFS

6.7

Drafting and implementing procedures for
using EFFS by newly-registered clearing
agencies

43.3

Rule 19b-4(o)(1) Security-Based Swap
Submissions
10 Rule 19b-4(n)(1) Advance Notice Filings

5,880
900

11 Rule 19b-4(n)(5) submission of copies of
Advance Notices to the Board

12 Updating clearing agency websites to provide
capability to post Security-Based Swap
Submissions

13 Rule 19b-4(o)(5) posting of Security-Based
Swap Submissions on security-based swap
clearing agency websites

168

19
14 Rule 19b-4(n)(3) posting of Advance Notices
on designated clearing agency websites

15 Rule 19b-4(n)(4) designated clearing agency
website posting of notice of change to rules,
procedures, or operations referred to in
Advance Notices
16 Rule 3Ca-1 stay of clearing reqmnt information
– Security-Based Swap Clearing Agencies
17 Rule 3Ca-1 stay of clearing requirement
information – Counterparties
18 Amendment to conform to Section 916 of the
Dodd-Frank Act

TOTAL
13.

270
__
16
69,259

Costs to Respondents
a.

Rule 19b-4 and Form 19b-4

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect SROs, including clearing agencies, to incur any additional costs in connection with the
preparation and electronic submission of proposed rule changes.
b.

Clearing Agencies
i.

Training of Clearing Agency Staff to use EFFS

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect the clearing agencies to incur any one-time or ongoing additional costs in connection with
training their personnel about the procedures for submitting Security-Based Swap Submissions
and/or Advance Notices in electronic format through EFFS.
ii.

Drafting and Implementing Internal Policies and Procedures for
Using EFFS by Newly-Registered Clearing Agencies

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect newly-registered clearing agencies to incur any one-time or ongoing additional costs in
connection with drafting and implementing internal policies and procedures relating to using
EFFS to submit Security-Based Swap Submissions, Advance Notices, and/or proposed rule
changes with the Commission.

20
iii.

Rule 19b-4(o)(1) Security-Based Swap Submissions

The Commission estimates that a clearing agency will require 60 hours of outside legal
work to prepare, review, and submit a Security-Based Swap Submission based on previous
discussions with staff from the clearing agencies. 39 The Commission also estimates that each
clearing agency will submit 14 Security-Based Swap Submissions annually. Assuming an hourly
cost of $462 for an outside attorney, 40 the total annual cost in the aggregate for the three
clearing agencies to meet these requirements will be $1,164,240 (three respondent clearing
agencies × 14 Security-Based Swap Submissions per year × 60 hours per response × $462 per
hour for an outside attorney). (IC9)
iv.

Rule 19b-4(n)(1) Advance Notice Filings

With respect to Advance Notices, the Commission estimates that a designated clearing
agency will require 40 hours of outside legal work to prepare, review, and electronically file each
Advance Notice with the Commission. The Commission estimates that five designated clearing
agencies will submit two Advance Notices to the Commission annually. Assuming an hourly cost
of $462 for an outside attorney, 41 the total annual cost for the four clearing agencies to meet
these requirements will be $184,800 (five designated clearing agencies × two Advance Notice
filings per year × 40 hours per response × $462 per hour for an outside attorney). (IC10)
v.

Rule 19b-4(n)(5) Submission of Copies of Advance Notices to the
Board

The Commission does not expect clearing agencies to incur any additional costs in
connection with the requirement to provide to the Board copies of all materials submitted to the
Commission relating to an Advance Notice contemporaneously with such submission to the
Commission.
vi.

Updating Clearing Agency Websites to Provide Capability to Post
Security-Based Swap Submissions, Advance Notices, and Proposed
Rule Changes on Clearing Agency Websites

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect clearing agencies to incur any additional costs in connection with creating or updating
39

See supra note 4.

The hourly rate for an outside attorney is based on SIFMA’s Management & Professional
Earnings in the Securities Industry 2013 ($380 per hour) modified by Commission staff to
adjust for inflation. Based on information from the Commission’s Division of Economic
and Risk Analysis, the adjustment factor from October 2013 to February 2022 is 21.48%.
Therefore, the hourly rate for an outside attorney is calculated as follows: $380 x 1.2148 =
$461.62 (rounded to $462).

Id.

21
their existing websites in order to provide the capability to post Security-Based Swap
Submissions, Advance Notices, or proposed rule changes on their websites.
vii.

Rule 19b-4(o)(5) Posting of Security-Based Swap Submissions on
Security-Based Swap Clearing Agency Websites

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect clearing agencies to incur any additional costs in connection with posting Security-Based
Swap Submissions on their websites.
viii.

Rule 19b-4(n)(3) Posting of Advance Notices on Designated Clearing
Agency Websites

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect designated clearing agencies to incur any additional costs in connection with the posting
of Advance Notices on their websites.
ix.

Rule 19b-4(n)(4) Designated Clearing Agency Website Posting of
Notice of Changes to Rules, Procedures, or Operations Referred to
in Advance Notices

Rule 3Ca-1 Stay of Clearing Requirement Information
(A) Security-Based Swap Clearing Agencies

The Commission estimates that a clearing agency will require seven hours of outside legal
work to retrieve, review, and submit the information associated with the stay of the clearing
requirement. The Commission also estimates that each clearing agency will be required to
provide information requested by the Commission in the course of its reviews of five requests for
a stay of the clearing requirement. These figures were based on the Commission’s staff
discussions with the clearing agencies prior to issuing the Proposing Release. Assuming an
hourly cost of $462 for an outside attorney, 42 the total estimated annual cost in the aggregate
for the three clearing agencies to meet these requirements will be $48,510 (three respondent
clearing agencies × 5 stay of clearing applications per year × 7 hours per response × $462 per
hour for an outside attorney). (IC16)

Id.

22
(B) Counterparties
The Commission estimates that 100 hours of outside legal counsel would be required by a
counterparty to a security-based swap to prepare and submit an application requesting a stay of
the clearing requirement. The Commission drew a comparison between the amount of time it will
take for a clearing agency to prepare a Security-Based Swap Submission and the amount of time
it will take a counterparty to prepare an application of a stay of a clearing requirement, given that
each filing will likely address similar issues related to the clearing of the particular security-based
swap. This 100 hours estimated for the application of the stay of clearing requirement is less than
the 140 hours the Commission estimates it will take for a clearing agency to prepare a SecurityBased Swap Submission because the Commission believes that an application for a stay will take
less time to prepare than a new submission, due to the fact that some of the information addressed
in the application for a stay will have already been provided with the Security-Based Swap
Submission when it was published for notice and comment. The Commission estimates that
counterparties to security-based swaps transactions will submit 1543 applications requesting stays
of the clearing requirement. Assuming an hourly cost of $462 for an outside attorney, 44 the total
annual cost in the aggregate for the respondent counterparties to meet these requirements
will be $693,000 (15 stay of clearing applications × 100 hours per response × $462 per hour for
an outside attorney). (IC17)
c.

Amendment to Conform to Section 916 of the Dodd-Frank Act

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect an SRO to incur any additional costs in connection with informing the Commission of the
date on which it posted a proposed rule change on its website (if the posting did not occur on the
same day that the SRO filed the proposal with the Commission).

This figure is calculated as follows: three respondent clearing agencies multiplied by five
stay of clearing applications per year equals 15 stay of clearing applications per year.

See supra note 36.

23
d.

Summary of Cost Burdens

Except for the hourly burdens identified in Item 12 above, the Commission does not
expect SROs other than clearing agencies to incur any material additional costs in connection
with Rule 19b-4, Form 19b-4, and Rule 3Ca-1. The table below summarizes the Commission’s
estimates of the reporting burdens for the clearing agencies under Rule 19b-4 and Form 19b-4
and Rule 3Ca-1.
IC Nature of Information Collection
Burden
9 Rule 19b-4(o)(1) Security-Based Swap
Submissions

Burden Estimate in Dollars
$1,164,240

Rule 19b-4(n)(1) Advance Notice filings

$184,800

Rule 3Ca-1 stay of clearing requirement
information – Security-Based Swap
Clearing Agencies

$48,510

Rule 3Ca-1 stay of clearing requirement
information – Counterparties

$693,000

TOTAL

14.

$2,090,550

Costs to Federal Government

The Commission’s estimate of the cost to the Federal Government of reviewing SecurityBased Swap Submissions, Advance Notice, and proposed rule change filings for all SROs
pursuant to Section 19(b) and Rule 19b-4 is calculated as follows:
Type of Filing

No. of Filings

Security-Based Swap
Submission

Review
Time
Per
Filing
720

Advance Notice

480

Total
(Hours)
30,240
4,800

24
Average Proposed Rule
Change 45

1,444.4

28,888

Complex Proposed Rule
Change 46

113.62

600

68,172

TOTAL

132,100

Related cost (132,100 hours of review time at $123.39/hour) 47
Printing costs (Federal Register)
Total Estimated Recurring Annual Cost to the Federal
Government

$16,299,819
$300,000

$16,599,819

Therefore, the total estimated annual cost to the Federal Government for reviewing
Security-Based Swap Submissions, Advance Notice, and proposed rule change filings is
$16,599,819.
15.

Changes in Burden

No change.
16.

Information Collections Planned for Statistical Purposes

Not applicable. The information collection is not used for statistical purposes.
17.

Approval to Omit OMB Expiration Date

The Commission is not seeking approval to omit the expiration date.

This figure is calculated as follows: 31.4 average proposed rule change filings per SRO in
2021 multiplied by 46 projected respondents in 2022. See supra notes 20-22.

This figure is calculated as follows: 2.47 novel or complex rule changes per SRO in 2021
multiplied by 46 projected respondents in 2022. See supra notes 20-22.

Based on an attorney at SK-14, as adjusted for special SEC pay rates and fringe benefits.
The $123.39 per hour estimate is a CPI inflation adjustment from the 2019 estimate.

25
18.

Exceptions to Certification for Paperwork Reduction Act Submissions

This collection complies with the requirements in 5 CFR 1320.9.
B.

COLLECTION OF INFORMATION EMPLOYING STATISTICAL METHODS
This collection does not involve statistical methods.

File Type	application/pdf
File Modified	2025-06-11
File Created	2025-06-11