The Federal Power Act in the 21st Century The Harvard Environmental Policy Initiative and Duke University’s Nicholas Institute convened a group of experts from academia, industry, public utility commissions, and environmental organizations to mark the 80th anniversary of the Federal Power Act. 1701]. 2005—Subsec. [/Pattern/DeviceRGB]

of the Comm. That ending point of a transaction is when the actual exchange of securities and payment occurs, which is known as "settlement. documents in the last year, 777 See Release No. Rather, Congress chose to address these particular conflicts of interest by imposing a disclosure and client consent requirement in Section 206(3) of the Advisers Act. documents in the last year, 74 Pub. -[7]- See In the Matter of Piper Capital Management, Inc. , Advisers Act Release No. An Investment Adviser Is Not "Acting a Broker" With Respect to a Particular Agency Transaction Between Advisory Clients if the Adviser Receives No Compensation for Effecting the Transaction

3 0 obj Such projects generally include manipulation of the hydrology in and along bodies of water, including wetlands and riparian areas. The President of the United States manages the operations of the Executive branch of Government through Executive orders. publication in the future. want to move forward at the FERC, PJM must file under Section 206 (instead of under Section 205) and prove that the existing Operating Agreement language at issue is unjust and unreasonable, and that the proposed language is just and reasonable. Notwithstanding subsection (b), in a proceeding commenced under this section involving two or more electric utility companies of a registered holding company, refunds which might otherwise be payable under subsection (b) shall not be ordered to the extent that such refunds would result from any portion of a Commission order that (1) requires a decrease in system production or transmission costs to be paid by one or more of such electric companies; and (2) is based upon a determination that the amount of such decrease should be paid through an increase in the costs to be paid by other electric utility companies of such registered holding company: Provided, That refunds, in whole or in part, may be ordered by the Commission if it determines that the registered holding company would not experience any reduction in revenues which results from an inability of an electric utility company of the holding company to recover such increase in costs for the period between the refund effective date and the effective date of the Commission’s order.

and services, go to For purposes of this subsection, the terms “electric utility companies” and “registered holding company” shall have the same meanings as provided in the Public Utility Holding Company Act of 1935, as amended.[1]. 1990). 80b-1, et seq . (b) and (c) and redesignated former subsec. Any complaint or motion of the Commission to initiate a proceeding under this section shall state the change or changes to be made in the rate, charge, classification, rule, regulation, practice, or contract then in force, and the reasons for any proposed change or changes therein. Investment Advisers Act of 1940 - Statute » Section 206 - Prohibited Transactions by Investment Advisers ; Section 206 - Prohibited Transactions by Investment Advisers. (b) to (d). legal research should verify their results against an official edition of are not part of the published document itself. documents in the last year, 1443 Footnote 1 in the Piper Capital Order states that "the phrase 'completion of such transaction' under Section 206(3) of the Advisers Act . 11/06/2020, 193 The President is required to appoint the five commissioners with the advice and consent of the Senate (16 U.S.C. These can be useful documents in the last year, 35 The President of the United States issues other types of documents, including but not limited to; memoranda, notices, determinations, letters, messages, and orders. of Title 15, Commerce and Trade, prior to repeal by Pub. 40, 470 and 557 when soliciting pre-execution consent to an agency or a principal transaction. 2300, provided that: Pub. "13 The date of execution (i.e., the trade date) marks an earlier point of a securities transaction at which the parties have agreed to its terms and are contractually obligated to settle the transaction.14 Interpreting the phrase "completion of such transaction" to mean at the time of settlement of the transaction is consistent with Congress' intent in enacting Section 206(3) by facilitating disclosure by advisers of material information about a transaction and informed consent by advisory clients. AGENCY: Securities and Exchange Commission. The Administrative Procedure Act ("APA") establishes procedures for agency rulemaking. In these circumstances, however, an adviser should provide comparable information that is sufficient to identify and explain the potential conflicts of interest arising from the capacity in which the adviser is acting, that is as principal or agent, when engaging in or effecting a Section 206(3) transaction. See also In the Matter of Dimitri Balatsos , Advisers Act Release No. EL20-68-000, pursuant to section 206 of the Federal Power Act (FPA), 16 U.S.C. Each document posted on the site includes a link to the Federal Register. Any interested person desiring to be heard in Docket No. endobj documents in the last year, 21 Section 206 of the Water Resources Development Act of 1996. Subsec. %PDF-1.5 9, 1994) (59 FR 12767, 12772 n.49) (in proposing amendments to Rule 10b-10 under the Exchange Act, which governs the duty of brokers to send confirmations of trades to clients, we stated that "(t)he fact that a broker-dealer has met the requirements of Rule 10b-10 should begin the analysis, not end it. offers a preview of documents scheduled to appear in the next day's Document Drafting Handbook

Thus, even though an adviser may not be "acting as broker" within the meaning of Section 206(3), Sections 206(1) or (2) may require the adviser to disclose information about agency transactions that are not subject to Section 206(3). L. 100–473, § 2(2), added subsecs. on <> If no final decision is rendered by the conclusion of the 180-day period commencing upon initiation of a proceeding pursuant to this section, the Commission shall state the reasons why it has failed to do so and shall state its best estimate as to when it reasonably expects to make such decision. 40"). See n.11, supra . For the reasons set forth above, the Commission is amending Title 17, Chapter II of the Code of Federal Regulations as follows: PART 276 - INTERPRETATIVE RELEASES RELATING TO THE INVESTMENT ADVISERS ACT OF 1940 AND THE GENERAL RULES AND REGULATIONS THEREUNDER. endobj

Thus, we are taking this opportunity to clarify that: (1) an adviser may obtain client consent for purposes of Section 206(3) to a principal or agency transaction after execution, but prior to settlement, of the transaction; and (2) an adviser is not "acting as broker" within the meaning of the Section if the adviser receives no compensation (other than its advisory fee) for effecting a particular agency transaction between advisory clients. As noted in Chapter 1, non-federal projects represent about two-thirds of the hydropower projects operating in the U.S. (1,633 of 2,356 projects). daily Federal Register on FederalRegister.gov will remain an unofficial

of the issuing agency.

Federal Register provide legal notice to the public and judicial notice II, § 206, as added Aug. 26, 1935, ch. The Advisers Act, however, does not define when an investment adviser is "acting as broker" with respect to a particular agency transaction. . SUMMARY: The Securities and Exchange Commission ("Commission") is publishing two interpretive positions under Section 206(3) of the Investment Advisers Act of 1940. The documents posted on this site are XML renditions of published Federal See also Advisers Act Release No. 792).

EL20-68-000, pursuant to section 206 of the Federal Power Act (FPA), 16 U.S.C. Industry representatives have raised questions with our staff about our interpretation of when an adviser is acting as broker for purposes of Section 206(3). In the view of our General Counsel at the time, that information included, at a minimum: (1) the capacity in which the adviser proposed to act; (2) the cost of the security to the adviser if sold to a client; (3) the price at which securities could be resold if purchased from a client; and (4) the best price at which the transaction could be effected, if more advantageous to the client than the actual transaction price ("best price"). Submissions sent via the U.S. Under SBREFA, a rule is "major" if it is likely to result in (1) an annual effect on the economy of $100 million or more, (2) a major increase in costs or prices for consumers or individual industries, or (3) significant adverse effects on competition, investment, or innovation. More information and documentation can be found in our

April 24, 2017 Federal Power Act Sections 205 and 206 "2 Section 206(3) thus imposes a prior consent requirement on any adviser that acts as principal in a transaction with a client, or that acts as broker (that is, an agent) in connection with a transaction for, or on behalf of, a client.3. endstream endobj 78 0 obj <.

824e, instituting an investigation concerning the justness and reasonableness of Basin Electric Power Cooperative's (Basin) Rate Schedule A intended to be effective from January 1, 2020 forward (2020 Rate Schedule A) and Rate Schedules …

Register documents.

-[13]- See , e.g. 33743 (Mar. At the conclusion of any proceeding under this section, the Commission may order refunds of any amounts paid, for the period subsequent to the refund effective date through a date fifteen months after such refund effective date, in excess of those which would have been paid under the just and reasonable rate, charge, classification, rule, regulation, practice, or contract which the Commission orders to be thereafter observed and in force: Provided, That if the proceeding is not concluded within fifteen months after the refund effective date and if the Commission determines at the conclusion of the proceeding that the proceeding was not resolved within the fifteen-month period primarily because of dilatory behavior by the public utility, the Commission may order refunds of any or all amounts paid for the period subsequent to the refund effective date and prior to the conclusion of the proceeding.