[Federal Register Volume 61, Number 65 (Wednesday, April 3, 1996)]
[Notices]
[Pages 14843-14844]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-8169]
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[[Page 14844]]
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-37038; International Release No. 959; File No. SR-OPRA-
96-2]
Options Price Reporting Authority; Notice of Filing and Immediate
Effectiveness of Amendment to OPRA Fee Schedule Amending Certain Fees
With Respect to OPRA's Basic/Index Service and Foreign Currency Options
Service
March 28, 1996.
Pursuant to Rule 11Aa3-2 under the Securities Exchange Act of 1934
(``Exchange Act''), notice is hereby given that on March 18, 1996, the
Options Price Reporting Authority (``OPRA'') \1\ submitted to the
Securities and Exchange Commission (``SEC'' or ``Commission'') an
amendment to the Plan for Reporting of Consolidated Options Last Sale
Reports and Quotation Information (``Plan''), amending certain fees
with respect to OPRA's basic/index service and foreign currency options
(``FCO'') service. OPRA has designated this proposal as establishing or
changing a fee or other charge collected on behalf of all of the OPRA
participants in connection with access to or use of OPRA facilities,
permitting the proposal to become effective upon filing pursuant to
Rule 11Aa3-2 (c)(3)(i) under the Exchange Act. The Commission is
publishing this notice to solicit comments from interested persons on
the amendment.
\1\ OPRA is a National Market System Plan approved by the
Commission pursuant to Section 11A of the Exchange Act and Rule
11Aa3-2 thereunder. Securities Exchange Act Release No. 17638 (Mar.
18, 1981).
The Plan provides for the collection and dissemination of last
sale and quotation information on options that are traded on the
five member exchanges. The five exchanges which agreed to the OPRA
Plan are the American Stock Exchange (``AMEX''); the Chicago Board
Options Exchange (``CBOE''); the New York Stock Exchange (``NYSE'');
the Pacific Stock Exchange (``PSE''); and the Philadelphia Stock
Exchange (``PHLX'').
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I. Description and Purpose of the Amendment
The purpose of the amendment is to amend OPRA's direct access and
redistribution fees in order to make the allocation of revenue derived
from OPRA's basic/index and FCO services conform to the allocation of
certain expenses between the accounting centers that are associated
with these services. This allocation will be revised to reflect the
addition of a sixth high speed output line at the OPRA Processor.
In accordance with the OPRA Plan, costs and expenses of OPRA's
Processor attributable to more than one accounting center are allocated
between accounting centers in the same proportion as the Processor's
line output capacity is available to the service associated with each
accounting center. At present, the Processor provides five 19.2 kbps
lines to OPRA, four of which are for the basic/index service and one of
which is for the FCO service. Accordingly, in conformity with the OPRA
Plan, the Processor's costs are currently allocated 80% (\4/5\) to the
basic and index accounting centers and 20% (1/5) to the FCO accounting
center. Reflecting this allocation of expenses, and in order to
continue to permit the recovery of Processor costs from these two fees,
at the time OPRA unbundled these fees for its basic/index and FCO
services, it divided the $900 direct access fee and the $1,800
redistribution fee between the two services in the same 80/20
proportion.\2\
\2\ See Securities Exchange Act Release No. 36450 (November 1,
1995), 60 FR 56380 (November 8, 1995) (a direct access fee of $720
for the basic/index service and $180 for the FCO service, and a
redistribution fee of $1,440 for the basic/index service and $360
for the FCO service).
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Commencing April 1, 1996, a sixth 19.2 kbps output line will be
added at the Processor, which will be devoted entirely to OPRA's basic/
index service. Under the OPRA Plan, this will result in \5/6\ of the
Processor's costs being allocated to the basic and index accounting
centers and \1/6\ to FCO accounting center. This amendment proposes to
make a corresponding change to the way in which the direct access and
redistribution fees are divided between the basic/index and FCO
service.\3\ The effect of the amendment is to cause a $30 and $60
increase, respectively, in the direct access and redistribution fees
paid for the basic/index service, and a $30 and $60 decrease,
respectively, in the direct access and redistribution fees for the FCO
service. Those vendors subject to all four fees will see no change in
the total amount of OPRA fees they pay as a result of this amendment.
In the amendment, OPRA calls for the fees to go into effect on April 1,
1996, the same date for the addition of the sixth high speed line.\4\
\3\ The result of the amendment will be a direct access fee of
$750 for the basic/index service and $150 for the FCO service, and a
redistribution fee of $1,500 for the basic/index service and $300
for the FCO service.
\4\ In the event that the sixth speed line does not become
operational on April 1, 1996, the fees associated with this line may
not go into effect until such time as the line is actually
operating.
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II. Solicitation of Comments
Pursuant to Rule 11Aa3-2(c)(3), the amendment is effective upon
filing with the Commission. The Commission may summarily abrogate the
amendment within 60 days of its filing and require refiling and
approval of the amendment by Commission order pursuant to Rule 11Aa3-
2(c)(2), if it appears to the Commission that such action is necessary
or appropriate in the public interest; for the protection of investors
and the maintenance of fair and orderly markets; to remove impediments
to, and perfect the mechanisms of, a National Market System; or
otherwise in furtherance of the purposes of the Exchange Act.
Interested persons are invited to submit written data, views, and
arguments concerning the foregoing. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, N.W., Washington, D.C. 20549.
Copies of the submission, all subsequent amendments, and all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
withheld from the public in accordance with the provisions of 5 U.S.C.
552, will be available for inspection and copying in the Commission's
Public Reference Room. Copies of the filing also will be available at
the principal offices of OPRA. All submissions should refer to file
number SR-OPRA-96-2 and should be submitted by April 24, 1996.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.\5\
\5\ 17 CFR 200.30-3(a)(29).
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Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 96-8169 Filed 4-2-96; 8:45 am]
BILLING CODE 8010-01-M
