Today, the Commodity Futures Trading Commission (CFTC) filed a notice that it will begin to accept the views of interested parties in connection with its rulemaking process to regulate the over-the-counter (OTC) derivatives marketplace. The CFTC’s announcement follows the enactment of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) on July 21, 2010. The Dodd-Frank Act, among other things, mandates comprehensive regulation of OTC derivatives.
The CFTC has identified 30 areas where rules will be necessary. The CFTC has set up a website listing these rulemaking areas and provided email addresses for 29 of the 30 areas to facilitate the acceptance of submissions from interested parties. The views of interested parties may be considered in the pre-proposal process but will not be treated as official comments on specific proposed rulemakings.
Separately, the CFTC and the Securities Exchange Commission (SEC), have recently provided notice of a public comment period regarding the definitions of key terms relating to the regulation of certain "swaps" and "security-based swaps" and have also held a roundtable discussion on issues related to governance and conflicts of interest in the clearing and listing of "swaps" and "security-based swaps."
The CTFC will accept submissions on each rulemaking topic until it publishes a proposed rulemaking for that topic in the Federal Register. Thereafter, the CTFC will accept official comments on the proposed rulemaking until the close of the rulemaking’s official comment period.