Exchange Regulatory Improvement Act of 2023

[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6027 Introduced in House (IH)]

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118th CONGRESS
  1st Session
                                H. R. 6027

 To amend the Securities Exchange Act of 1934 to revise the definition 
                             of a facility.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 24, 2023

Mr. Loudermilk (for himself and Mr. David Scott of Georgia) introduced 
                           the following bill

                            October 25, 2023

            Referred to the Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
 To amend the Securities Exchange Act of 1934 to revise the definition 
                             of a facility.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Exchange Regulatory Improvement Act 
of 2023''.

SEC. 2. DEFINITION OF A FACILITY.

    Paragraph (2) of section 3(a) of the Securities Exchange Act of 
1934 (15 U.S.C. 78c(a)) is amended to read as follows:
            ``(2) Facility.--
                    ``(A) In general.--The term `facility', when used 
                with respect to an exchange, means only--
                            ``(i) the exchange's trading systems, which 
                        are--
                                    ``(I) the hardware, software, and 
                                related network infrastructure an 
                                exchange uses to receive, acknowledge, 
                                rank, match, and execute orders in 
                                securities traded on that exchange; and
                                    ``(II) the hardware, software, and 
                                related network infrastructure an 
                                exchange uses to function as an 
                                exclusive processor of real-time market 
                                data created by the exchange trading 
                                systems;
                            ``(ii) any premises or services made 
                        available by the exchange to an exchange member 
                        or other person for the purpose of providing 
                        physical space and equipment to enable such 
                        member or other person to locate the equipment 
                        of the member or other person in close physical 
                        proximity to the exchange's trading systems; 
                        and
                            ``(iii) any premises or services made 
                        available by the exchange to an exchange member 
                        or persons associated with members that 
                        exclusively connects such members and persons 
                        associated with members to exchange trading 
                        systems for the purpose of effecting or 
                        reporting a transaction on the exchange.
                    ``(B) Exception.--The term `facility', when used 
                with respect to an exchange, does not include any 
                properties, premises, or services that can legally be 
                offered by a person or entity that is not required to 
                register as a national securities exchange registered 
                under section 6.''.
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