§ 78ll. Requirements for the EDGAR system

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1934

   Securities and Exchange Commission Authorization Act of 1987

   Pub. L. 100–181 title I § 102 · 101 Stat. 1249

   Enacted · 15 U.S.C. § 78ll

   June 6, 1934, ch. 404, title I, § 35A, as added Pub. L. 100–181, title I, § 102, Dec. 4, 1987, 101 Stat. 1249

   Source evidence

   Code source credit
   June 6, 1934, ch. 404, title I, § 35A, as added Pub. L. 100–181, title I, § 102, Dec. 4, 1987, 101 Stat. 1249

   Enacted provision · exact public law section
   Sec. 102. The Securities Exchange Act of 1934 is amended by inserting after section 35 the following new section: “Sec. 35A. “requirements for the edgar system (a) (1) Of the funds appropriated to the Commission 15 USC 78ll. pursuant to section 35 of this title for fiscal year 1988 which are available pursuant to section 35(b) for establishment or operation of the electronic data gathering, analysis, and retrieval (‘EDGAR’) system, the Commission may not obligate or expend more than $5,000,000 for the establishment or operation of the EDGAR system unless the Commission has made the certification required by subsection (c) of this section. “(2) Notwithstanding section 35(b), no funds appropriated for fiscal year 1989 may be obligated or expended for the establishment or operation of the EDGAR system, unless the Commission has— “(A) filed each report required during fiscal year 1988 by Reports. subsection (b) of this section; and “(B) made the certification required by subsection (c) of this section. “(3) Amounts which are available to the Commission under section 35(b) for the EDGAR contract shall be the exclusive source of funds for the procurement and operation of the systems created under that contract by or on behalf of the Securities and Exchange Commission— “(A) for the receipt of filings under Federal securities laws, and “(B) for the automated acceptance and review of the filings and information derived from such filings. “(b) The Commission shall submit a report to the Committees on Reports. Banking, Housing, and Urban Affairs and Governmental Affairs of the Senate and the Committees on Energy and Commerce and Government Operations of the House of Representatives on the status of EDGAR development, implementation, and progress at six-month intervals beginning December 31, 1987, and ending at the close of 1990 (unless otherwise extended by the Congress). Such report shall include the following: “(1) The overall progress and status of the project, including achievement of significant milestones and current project schedule. “(2) The results of Commission efforts to test new or revised technical solutions for key EDGAR functions. In particular, the following functions shall be addressed and the indicated information provided: “(A) Automating receipt and acceptance processing, including— “(i) development and testing progress and results; “(ii) actual versus estimated development cost; and “(iii) actual effect of this function on Commission staff needs to assist filers. “(B) Data tagging (identifying financial data for analysis by EDGAR), including— “(i) description of the approach selected, identifying the types of financial data to be tagged and the calculations to be performed; “(ii) comments by the filer population on the approach selected; “(iii) the results of testing this approach, including information on the number of filers taking part in the test and their representativeness of the overall filer population; “(iv) actual versus estimated development cost; and “(v) effect of implementing this function on EDGAR benefits. “(C) Searching text for keywords, including— “(i) the technical approach adopted for this function; “(ii) development and testing progress and results; “(iii) data storage requirements and search response times as compared to EDGAR pilot system experience; “(iv) actual versus estimated development cost; and “(v) effect of implementing this function on EDGAR benefits. “(3) An update of cost information for the receipt, acceptance and review, and dissemination portions of the system including a comparison of actual costs with original estimated costs and revised estimates of total system cost and total funding needs for the contract. “(4) The status of Commission efforts to obtain and maintain staff with the proper contractual, managerial, and technical expertise to oversee the EDGAR project. “(5) The fees, revenues, costs, and profits obtained or incurred by the contractor as a result of the required dissemination of information from the system to the public under the EDGAR contract, except that the information required under this paragraph (A) need be obtained from the contractor no more frequently than once each year, and (B) may be submitted to the Congress as a separate confidential document. “(6) Such other information or recommendations as the Commission considers appropriate. “(c) On or before the date the Commission enters into the contract for the EDGAR system, the Commission shall submit to the Committees on Banking, Housing, and Urban Affairs and Governmental Affairs of the Senate and the Committees on Energy and Commerce and Government Operations of the House of Representatives a certification by the Commission— “(1) of the total contract costs to the Federal Government of the EDGAR system for each of the 3 succeeding fiscal years; “(2) that the Commission has analyzed the quantitative and qualitative benefits to be obtained by the establishment and operation of the system and has determined that such benefits justify the costs certified pursuant to paragraph (1); “(3) that (A) the contract requires the contractor to establish a schedule for the implementation of the system; (B) the Commission has reviewed and approved that schedule; and (C) the contract contains adequate assurances of contractor compliance with that schedule; “(4) of the capabilities which the system is intended to provide and of the competence of the contractor and of Commission personnel to implement those capabilities; and “(5) that mandatory filings from a significant test group of registrants will be received and reviewed by the Commission for a period of at least six months before the adoption of any rule requiring mandatory filing by all registrants. “(d) The Commission, by rule or regulation— “(1) shall provide that any information in the EDGAR system that is required to be disseminated by the contractor— “(A) may be sold or disseminated by the contractor only pursuant to a uniform schedule of fees prescribed by the Commission; “(B) may be obtained by a purchaser by direct interconnection with the EDGAR system; “(C) shall be equally available on equal terms to all persons; and “(D) may be used, resold, or redisseminated by any person who has lawfully obtained such information without restriction and without payment of additional fees or royalties; and “(2) shall require that persons, or classes of persons, required to make filings with the Commission submit such filings in a form and manner suitable for entry into the EDGAR system and shall specify the date that such requirement is effective with respect to that person or class; except that the Commission may exempt persons or classes of persons, or filings or classes of filings, from such rules or regulations in order to prevent hardships or to avoid imposing unreasonable burdens or as otherwise may be necessary or appropriate; and “(3) shall require all persons who make any filing with the Commission, in addition to complying with such other rules concerning the form and manner of filing as the Commission may prescribe, to submit such filings in written or printed form— “(A) for a period of at least one year after the effective date specified for such person or class under paragraph (2); or “(B) for a shorter period if the Commission determines that the EDGAR system (i) is reliable, (ii) provides a suitable alternative to such written and printed filings, and (iii) assures that the provision of information through the EDGAR system is as effective and efficient for filers, users, and disseminators as provision of such information in written or printed form. “(e) For the purposes of carrying out its responsibilities under subsection (d)(3) of this section, the Commission shall consult with representatives of persons filing, disseminating, and using information contained in filings with the Commission.”.

2. 1998

   Securities Litigation Uniform Standards Act of 1998

   Pub. L. 105–353 § 202(1) · 112 Stat. 3227

   Struck · 15 U.S.C. § 78ll(a)(c)

   Pub. L. 105–353, § 202(1), struck out subsecs. (a) to (c) which: in subsec. (a) required certifications and reports as prerequisite to obligation or expenditure of funds for establishment or operation of EDGAR system, and provided that former section 78kk(b) amounts were to be exclusive source of funds for systems procurement and operation; in subsec. (b) required report on status of EDGAR development, implementation, and progress to certain Congressional committees at six-month intervals; and in subsec. (c) required certification to Congressional committees of total costs, cost/benefit analysis, assurances of compliance, capabilities of system, competence of personnel, and review of test group filings prior to entering into contract for EDGAR system

   Source evidence

   Code amendment note
   Subsecs. (a) to (c). Pub. L. 105–353, § 202(1), struck out subsecs. (a) to (c) which: in subsec. (a) required certifications and reports as prerequisite to obligation or expenditure of funds for establishment or operation of EDGAR system, and provided that former section 78kk(b) amounts were to be exclusive source of funds for systems procurement and operation; in subsec. (b) required report on status of EDGAR development, implementation, and progress to certain Congressional committees at six-month intervals; and in subsec. (c) required certification to Congressional committees of total costs, cost/benefit analysis, assurances of compliance, capabilities of system, competence of personnel, and review of test group filings prior to entering into contract for EDGAR system.

   Enacted provision · exact public law section
   (1) by striking subsections (a), (b), (c), and (e); and

3. 1998

   Securities Litigation Uniform Standards Act of 1998

   Pub. L. 105–353 § 202(2) · 112 Stat. 3227

   1. Substituted · 15 U.S.C. § 78ll(d)

      Pub. L. 105–353, § 202(2), struck out “(d)” before “The Commission” in introductory provisions, in par. (2) substituted period for “; and” at end

   2. Struck · 15 U.S.C. § 78ll(d)

      Pub. L. 105–353, § 202(2), struck out par. (3) which read as follows: “shall require all persons who make any filing with the Commission, in addition to complying with such other rules concerning the form and manner of filing as the Commission may prescribe, to submit such filings in written or printed form—

   Source evidence

   Code amendment note
   Subsec. (d). Pub. L. 105–353, § 202(2), struck out “(d)” before “The Commission” in introductory provisions, in par. (2) substituted period for “; and” at end, and struck out par. (3) which read as follows: “shall require all persons who make any filing with the Commission, in addition to complying with such other rules concerning the form and manner of filing as the Commission may prescribe, to submit such filings in written or printed form—

   “(A) for a period of at least one year after the effective date specified for such person or class under paragraph (2); or “(B) for a shorter period if the Commission determines that the EDGAR system (i) is reliable, (ii) provides a suitable alternative to such written and printed filings, and (iii) assures that the provision of information through the EDGAR system is as effective and efficient for filers, users, and disseminators as provision of such information in written or printed form.”

   Enacted provision · exact public law section
   (2) in subsection (d)— (A) by striking “(d)”; (B) in paragraph (2), by striking “; and” at the end and inserting a period; and (C) by striking paragraph (3).

4. 1998

   Securities Litigation Uniform Standards Act of 1998

   Pub. L. 105–353 § 202(1) · 112 Stat. 3227

   Struck · 15 U.S.C. § 78ll(e)

   Pub. L. 105–353, § 202(1), struck out subsec. (e) which read as follows: “For the purposes of carrying out its responsibilities under subsection (d)(3) of this section, the Commission shall consult with representatives of persons filing, disseminating, and using information contained in filings with the Commission.”

   Source evidence

   Code amendment note
   Subsec. (e). Pub. L. 105–353, § 202(1), struck out subsec. (e) which read as follows: “For the purposes of carrying out its responsibilities under subsection (d)(3) of this section, the Commission shall consult with representatives of persons filing, disseminating, and using information contained in filings with the Commission.”

   Enacted provision · exact public law section
   (1) by striking subsections (a), (b), (c), and (e); and

5 of 5 references resolved to an enrolled provision