WSR 98-17-060
PROPOSED RULES
DEPARTMENT OF
FINANCIAL INSTITUTIONS
[Filed August 17, 1998, 8:53 a.m.]
Original Notice.
Preproposal statement of inquiry was filed as WSR 98-14-070.
Title of Rule: Financial statements and reports, chapter 460-60A WAC.
Purpose: Pursuant to Executive Order 97-02 and the Securities Division's rules review plan, update chapter 460-60A WAC.
Statutory Authority for Adoption: RCW 21.20.450.
Statute Being Implemented: Chapter 21.20 RCW.
Summary: Amend WAC 460-60A-025 to grant the administrator the authority to require quarterly reports of certain issuers. Repeal WAC 460-60A-040 through 460-60A-055.
Reasons Supporting Proposal: WAC 460-60A-025 is overly broad as currently written. Quarterly reports are only necessary in certain circumstances, which the administrator may decide on a case-by-case basis. The sections to be repealed required reports that are no longer necessary for the division to accomplish its regulatory mission.
Name of Agency Personnel Responsible for Drafting: William M. Beatty, 210 11th Avenue S.W., Olympia, WA 98504, (360) 902-8760; Implementation: John L. Bley, 210 11th Avenue S.W., Olympia, WA 98504, (360) 902-8760; and Enforcement: Deborah R. Bortner, 210 11th Avenue S.W., Olympia, WA 98504, (360) 902-8760.
Name of Proponent: Department of Financial Institutions, Securities Division, governmental.
Rule is not necessitated by federal law, federal or state court decision.
Explanation of Rule, its Purpose, and Anticipated Effects: Amend WAC 460-60A-025 to grant the administrator the authority to require quarterly reports of certain issuers. Repeal WAC 460-60A-040 through 460-60A-055. WAC 460-60A-025 is overly broad as currently written. Quarterly reports are only necessary in certain circumstances, which the administrator may decide on a case-by-case basis. The sections to be repealed required reports that are no longer necessary for the division to accomplish its regulatory mission. The proposed revisions to WAC 460-60A-025 will give the administrator sufficient authority to require reports in the appropriate circumstances.
Proposal Changes the Following Existing Rules: See above.
No small business economic impact statement has been prepared under chapter 19.85 RCW. The proposal does not impose additional costs on business.
Section 201, chapter 403, Laws of 1995, does not apply to this rule adoption. The Department of Financial Institutions is not one of the agencies listed in section 201.
Hearing Location: Department of Financial Institutions, Securities Division, Executive Conference Room, 210 11th Avenue S.W., Suite 300, Olympia, WA 98504, on September 24, 1998, at 10:00 a.m.
Assistance for Persons with Disabilities: Contact Darlene Christianson by September 18, 1998, TDD (360) 664-8126, or (360) 902-8760.
Submit Written Comments to: William M. Beatty, Securities Division, P.O. Box 9033, Olympia, WA 98507-9033, fax (360) 704-6923, e-mail bbeatty@dfi.wa.gov, by September 23, 1998.
Date of Intended Adoption: September 25, 1998.
August 17, 1998
John L. Bley
Director
OTS-2339.1
AMENDATORY SECTION (Amending Order 304, filed 2/28/75, effective 4/1/75)
WAC 460-60A-025 Quarterly
reports required of certain issuers. ((Quarterly reports will be
submitted by all issuers who register by qualification and by those issuers who are filing
pursuant to the Regulation A Exemption of the Federal Security Act. Copies of quarterly
report forms are available upon request. Such reports are required only during the term of
the offering.)) As a condition to registration pursuant to RCW 21.20.180 or
21.20.210, the administrator may require an issuer, whose securities are being offered and
sold directly by or for its own account, to file quarterly reports during the term of the
offering on a form specified by the administrator. Each filing shall be accompanied by the
fee required by RCW 21.20.340 (5)(b).
[Order 304, § 460-60A-025, filed 2/28/75, effective 4/1/75. Formerly chapter 460-60 WAC.]
REPEALER
The following sections of the Washington Administrative Code are repealed:
WAC 460-60A-040 Reports after termination of public offerings.
WAC 460-60A-045 Annual reporting requirements of RCW 21.20.740.
WAC 460-60A-050 Contents of reports under RCW 21.20.740.
WAC 460-60A-055 Reports maintained--Time period required.