

[Federal Register: July 19, 2007 (Volume 72, Number 138)]
[Notices]               
[Page 39647-39648]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr19jy07-78]                         

-----------------------------------------------------------------------

SECURITIES AND EXCHANGE COMMISSION

 
Submission for OMB Review; Comment Request

Upon Written Request, Copies Available From: Securities and Exchange 
Commission, Office of Filings and Information Services, Washington, DC 
20549.

Extension:
    Regulation S-AM, SEC File No. 270-548, OMB Control No. 3235-
0609.

    Notice is hereby given that pursuant to the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et seq.) the Securities and Exchange Commission 
(``Commission'') has submitted to the Office of Management and Budget 
request[s] for extension of the previously approved collection[s] of 
information discussed below.

Regulation S-AM: Limitation on Affiliate Marketing

    Regulation S-AM implements the requirements of Section 214 of the 
Fair and Accurate Credit Transactions Act of 2003 (Pub. L. 108-159) 
(``FACT Act'') as applied to brokers, dealers, and investment 
companies, as well as investment advisers and transfer agents that are 
registered with the Commission (collectively, ``Covered Persons''). As 
directed by Section 214 of the FACT Act, before a receiving affiliate 
may make marketing solicitations based on the communication of certain 
consumer financial information from a Covered Person, the Covered 
Person must provide a notice to each affected individual informing the 
individual of his or her right to prohibit such marketing. The 
regulation potentially applies to all of the approximately 22,106 
Covered Persons registered with the Commission, although only 
approximately 15,474 of them have one or more corporate affiliates, and 
the regulation would require only approximately 2,211 of them to 
provide consumers with notice and an opt-out opportunity.
    The Commission has estimated that each of the approximately 15,474 
Covered Persons having one or more affiliates would require an average 
one-time burden of 1 hour to review affiliate marketing practices, for 
a total of 15,474 hours, at a total staff cost of approximately 
$3,791,130. Approximately 2,211 Covered Persons would be required to 
provide notice and opt-out and would incur an average first-year burden 
of 6 hours in doing so, for a total estimated first-year burden of 
13,266 hours, at a total staff cost of approximately $2,510,590.50. 
With regard to continuing notice burdens, each of the approximately 
2,211 Covered Persons required to provide notice and opt-out would 
incur a one-time first-year burden of 2 hours to develop notices for 
new consumers and an annual burden of 2 hours to deliver the notices 
and record any opt-outs, at a total staff cost of approximately 
$1,673,727. Averaged across the first three years for which compliance 
would be required, the total average yearly burden would be 
approximately 12,528 hours and $7,975,447.50 in staff costs.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a 
currently valid control number.
    Comments should be directed to (i) Desk Officer for the Securities 
and Exchange Commission, Office of Information and Regulatory Affairs,

[[Page 39648]]

Office of Management and Budget, Room 10102, New Executive Office 
Building, Washington, DC 20503, or by sending an e-mail to: 
David_Rostker@omb.eop.gov; and (ii) R. Corey Booth, Director/Chief 

Information Officer, Securities and Exchange Commission, C/O Shirley 
Martinson, 6432 General Green Way, Alexandria, VA 22312, or by sending 
an e-mail to: PRA_Mailbox@sec.gov. Comments must be submitted to OMB 
within 30 days of this notice.

    Dated: July 12, 2007.
Nancy M. Morris,
Secretary.
 [FR Doc. E7-13965 Filed 7-18-07; 8:45 am]

BILLING CODE 8010-01-P
