Notice2023-06784

Joint Industry Plan; Notice of Withdrawal of Proposed Amendment to the National Market System Plan Governing the Consolidated Audit Trail, as Modified by Partial Amendment Nos. 1 and 2

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Published
April 3, 2023

Issuing agencies

Securities and Exchange Commission

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<title>Federal Register, Volume 88 Issue 63 (Monday, April 3, 2023)</title>
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[Federal Register Volume 88, Number 63 (Monday, April 3, 2023)]
[Notices]
[Page 19693]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-06784]


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SECURITIES AND EXCHANGE COMMISSION

[Release No. 34-97212; File No. 4-698]


Joint Industry Plan; Notice of Withdrawal of Proposed Amendment 
to the National Market System Plan Governing the Consolidated Audit 
Trail, as Modified by Partial Amendment Nos. 1 and 2

March 28, 2023.
    On May 13, 2022, the Operating Committee for Consolidated Audit 
Trail, LLC (``CAT LLC''), on behalf of the Participants \1\ to the 
National Market System Plan Governing the Consolidated Audit Trail 
(``CAT NMS Plan''),\2\ filed with the Securities and Exchange 
Commission (``Commission''), pursuant to Section 11A of the Securities 
Exchange Act of 1934 (``Exchange Act''),\3\ and Rule 608 of Regulation 
NMS thereunder,\4\ a proposed amendment to the CAT NMS Plan (``Proposed 
Amendment'') to implement a revised funding model (``Executed Share 
Model'') for the consolidated audit trail (``CAT'') and to establish a 
fee schedule for Participant CAT fees in accordance with the Executed 
Share Model. The Proposed Amendment was published for comment in the 
Federal Register on June 1, 2022.\5\
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    \1\ The Participants are: BOX Exchange LLC, Cboe BYX Exchange, 
Inc., Cboe BZX Exchange, Inc., Cboe EDGA Exchange, Inc., Cboe EDGX 
Exchange, Inc., Cboe C2 Exchange, Inc., Cboe Exchange, Inc., 
Financial Industry Regulatory Authority, Inc., Investors Exchange 
LLC, Long-Term Stock Exchange, Inc., MEMX LLC, Miami International 
Securities Exchange, LLC, MIAX Emerald, LLC, MIAX PEARL, LLC, Nasdaq 
BX, Inc., Nasdaq GEMX, LLC, Nasdaq ISE, LLC, Nasdaq MRX, LLC, Nasdaq 
PHLX LLC, The Nasdaq Stock Market LLC, New York Stock Exchange LLC, 
NYSE American LLC, NYSE Arca, Inc., NYSE Chicago, Inc., and NYSE 
National, Inc. (collectively, the ``Participants'').
    \2\ The CAT NMS Plan is a national market system plan approved 
by the Commission pursuant to Section 11A of the Exchange Act and 
the rules and regulations thereunder. See Securities Exchange Act 
Release No. 79318 (Nov. 15, 2016), 81 FR 84696 (Nov. 23, 2016). The 
CAT NMS Plan functions as the limited liability company agreement of 
the jointly owned limited liability company formed under Delaware 
state law through which the Participants conduct the activities of 
the CAT (``Company''). On August 29, 2019, the Participants replaced 
the CAT NMS Plan in its entirety with the limited liability company 
agreement of a new limited liability company named Consolidated 
Audit Trail, LLC, which became the Company. The latest version of 
the CAT NMS Plan is available at <a href="https://catnmsplan.com/about-cat/cat-nms-plan">https://catnmsplan.com/about-cat/cat-nms-plan</a>.
    \3\ 15 U.S.C. 78k-1.
    \4\ 17 CFR 242.608.
    \5\ See Securities Exchange Act Release No. 94984 (May 25, 
2022), 87 FR 33226 (June 1, 2022) (``Notice'').
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    On August 30, 2022, the Commission instituted proceedings pursuant 
to Rule 608(b)(2)(i) of Regulation NMS,\6\ to determine whether to 
disapprove the Proposed Amendment or to approve the Proposed Amendment 
with any changes or subject to any conditions the Commission deems 
necessary or appropriate after considering public comment.\7\ On 
November 15, 2022, CAT LLC submitted a letter to propose a partial 
amendment of the Proposed Amendment (``Partial Amendment No. 1'') and 
to respond to the Commission's solicitation of comments in the OIP and 
comments received on the OIP.\8\ On November 23, 2022, pursuant to Rule 
608(b)(2)(i) of Regulation NMS,\9\ the Commission extended the period 
within which to conclude proceedings regarding the Proposed Amendment 
to 240 days from the date of publication of the Notice.\10\ Notice of 
the filing of Partial Amendment No. 1 was published for comment in the 
Federal Register on December 2, 2022.\11\
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    \6\ 17 CFR 242.608(b)(2)(i).
    \7\ See Securities Exchange Act Release No. 95634 (Aug. 30, 
2022), 87 FR 54558 (Sept. 6, 2022) (``OIP''). Comments received in 
response to the OIP and the Notice can be found on the Commission's 
website at <a href="https://www.sec.gov/comments/4-698/4-698-a.htm">https://www.sec.gov/comments/4-698/4-698-a.htm</a>.
    \8\ See Letter from Michael Simon, Chair, CAT NMS Plan Operating 
Committee, to Vanessa Countryman, Secretary, Commission (Nov. 15, 
2022).
    \9\ See 17 CFR 242.608(b)(2)(i).
    \10\ See Securities Exchange Act Release No. 96382 (Nov. 23, 
2022), 87 FR 73366 (Nov. 29, 2022).
    \11\ See Securities Exchange Act Release No. 96394 (Nov. 28, 
2022), 87 FR 74183 (Dec. 2, 2022). Comments received in response to 
Partial Amendment No. 1 can be found on the Commission's website at 
<a href="https://www.sec.gov/comments/4-698/4-698-a.htm">https://www.sec.gov/comments/4-698/4-698-a.htm</a>.
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    On January 20, 2023, the Commission extended the period within 
which to conclude proceedings regarding the Proposed Amendment to 300 
days from the date of publication of the Notice.\12\ On February 15, 
2023, CAT LLC submitted a letter to propose an additional partial 
amendment to the Proposed Amendment (``Partial Amendment No. 2'') and 
to respond to issues discussed in the comments on Partial Amendment No. 
1.\13\ The Commission is publishing this notice to reflect that on 
March 1, 2023, prior to the end of the 300-day period provided for in 
Exchange Act Rule 608(b)(2)(ii),\14\ the Participants withdrew the 
Proposed Amendment, as modified by Partial Amendment Nos. 1 and 2.\15\
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    \12\ See Securities Exchange Act Release No. 96725 (Jan. 20, 
2023), 88 FR 5059 (Jan. 26, 2023).
    \13\ See Letter from Michael Simon, Chair Emeritus, CAT NMS Plan 
Operating Committee, to Vanessa Countryman, Secretary, Commission 
(Feb. 15, 2023), available at <a href="https://www.sec.gov/comments/4-698/4-698-a.htm">https://www.sec.gov/comments/4-698/4-698-a.htm</a>. Because CAT LLC withdrew the Proposed Amendment, as 
modified by Partial Amendment Nos. 1 and 2, before the Commission's 
15-day deadline in Rule 608(b)(1)(ii) of Regulation NMS to send 
notice of the filing of a proposed amendment to any national market 
system plan to the Federal Register, the Commission did not publish 
notice of the filing of Partial Amendment No. 2. See 17 CFR 
242.608(b)(1)(ii).
    \14\ 17 CFR 242.608(b)(2)(ii).
    \15\ See Letter from Brandon Becker, Chair, CAT NMS Plan 
Operating Committee, to Vanessa Countryman, Secretary, Commission 
(Mar. 1, 2023).

    By the Commission.
Sherry R. Haywood,
Assistant Secretary.
[FR Doc. 2023-06784 Filed 3-31-23; 8:45 am]
BILLING CODE 8011-01-P


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Indexed from Federal Register on April 3, 2023.

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