Current as of January 01, 2020 | Updated by FindLaw Staff
Welcome to FindLaw's Cases & Codes, a free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw's Learn About the Law.
(A)(1) There is hereby created the Ohio Lake Erie commission, consisting of the directors of environmental protection, natural resources, health, agriculture, transportation, and development services, or their designees, the two board members of the great lakes protection fund board appointed by the governor under section 1506.22 of the Revised Code who shall serve as ex officio nonvoting members, and five additional members appointed by the governor with the advice and consent of the senate. The governor shall appoint the five additional members not later than forty-five days after the effective date of this amendment. Of the initial five additional members appointed by the governor after the effective date of this amendment, two shall serve for a term ending on September 1, 2017, two shall serve for a term ending on September 1, 2018, and one shall serve for a term ending on September 1, 2019. Thereafter, all five additional members appointed by the governor shall serve three-year terms.
(2) All of the following apply to the five additional members appointed by the governor:
(a) Each member shall hold office from the date of the member's appointment until the end of the term for which the member was appointed.
(b) In the event of the death, removal, resignation, or incapacity of a member, the governor, with the advice and consent of the senate, shall appoint a successor who shall hold office for the remainder of the term for which the successor's predecessor was appointed.
(c) A member shall continue in office subsequent to the expiration date of the member's term until the member's successor takes office or until a period of sixty days has elapsed, whichever occurs first.
(d) Members may be reappointed for not more than two total terms.
(e) The governor at any time may remove a member for misfeasance, nonfeasance, or malfeasance in office.
(3) Membership on the commission does not constitute holding a public office or position of employment under the laws of this state and is not grounds for removal of public officers or employees from their offices or positions of employment. Members may be reimbursed for their actual and necessary expenses incurred in the performance of their official duties. The members of the commission annually shall designate a director or director's designee as chairperson, who shall preside at the meetings of the commission, and a secretary.
(4) The commission shall hold at least one meeting every three months. The secretary of the commission shall keep a record of its proceedings. Special meetings shall be held at the call of the chairperson or upon the request of four members of the commission. All meetings and records of the commission shall be open to the public. Six members of the commission constitute a quorum. The agencies represented on the commission shall furnish administrative, clerical, technical, and other services required by the commission in the performance of its duties.
(B) The commission shall do all of the following:
(1) Ensure the coordination of funding and monitoring federal, state, and local policies, programs, and priorities pertaining to Lake Erie, including issues related to nutrient-related water quality and the beneficial use of dredged material. The commission shall prioritize policies, programs, and priorities identified in the Lake Erie protection and restoration strategy;
(2) Review, and make recommendations concerning, the development and implementation of policies, programs, and issues that are consistent with the great lakes water quality agreement and other international, federal, and state compacts and agreements;
(3) Serve as a repository and clearinghouse for public information and data related to Lake Erie and the Lake Erie basin and collect and distribute such information and data at the commission's discretion;
(4) Publish and submit the Lake Erie protection and restoration strategy in accordance with division (C) of section 1506.23 of the Revised Code;
(5) Provide representation regarding the interests of this state in state, regional, national, and international forums pertaining to Lake Erie and the Lake Erie basin;
(6) Develop, implement, and coordinate an education, public information, and community relations program concerning the commission's policies, programs, issues, and the resources of Lake Erie;
(7) Develop and implement a marketing program promoting the sale of the Lake Erie license plate created under section 4503.52 of the Revised Code and other public and private fundraising initiatives to support the commission's programs;
(8) Establish and dissolve public advisory councils as considered necessary to assist in programs established under this section and sections 1506.22 and 1506.23 of the Revised Code. Members of the public advisory councils shall represent a broad cross section of interests, shall have experience or expertise in the subject for which the advisory council was established, and shall serve without compensation. Membership on a public advisory council does not constitute holding a public office or position of employment under the laws of this state and is not grounds for removal of public officers or employees from their offices or positions of employment. Members of a public advisory council may be reimbursed for their actual and necessary expenses incurred in the performance of their official duties.
(C) Each state agency, upon the request of the commission, shall cooperate in the implementation of this section and sections 1506.22 and 1506.23 of the Revised Code.
(a) Eligibility to clear swaps.
(1) A derivatives clearing organization shall be presumed eligible to accept for clearing any swap that is within a group, category, type, or class of swaps that the derivatives clearing organization already clears. Such presumption of eligibility, however, is subject to review by the Commission.
(2) A derivatives clearing organization that wishes to accept for clearing any swap that is not within a group, category, type, or class of swaps that the derivatives clearing organization already clears shall request a determination by the Commission of the derivatives clearing organization's eligibility to clear such a swap before accepting the swap for clearing. The request, which shall be filed electronically with the Secretary of the Commission, shall address the derivatives clearing organization's ability, if it accepts the swap for clearing, to maintain compliance with section 5b(c)(2) of the Act, specifically:
(i) The sufficiency of the derivatives clearing organization's financial resources; and
(ii) The derivative clearing organization's ability to manage the risks associated with clearing the swap, especially if the Commission determines that the swap is required to be cleared.
(b) Swap submissions.
(1) A derivatives clearing organization shall submit to the Commission each swap, or any group, category, type, or class of swaps that it plans to accept for clearing. The derivatives clearing organization making the submission must be eligible under paragraph (a) of this section to accept for clearing the submitted swap, or group, category, type, or class of swaps.
(2) A derivatives clearing organization shall submit swaps to the Commission, to the extent reasonable and practicable to do so, by group, category, type, or class of swaps. The Commission may in its reasonable discretion consolidate multiple submissions from one derivatives clearing organization or subdivide a derivatives clearing organization's submission as appropriate for review.
(3) The submission shall be filed electronically with the Secretary of the Commission and shall include:
(i) A statement that the derivatives clearing organization is eligible to accept the swap, or group, category, type, or class of swaps for clearing and describes the extent to which, if the Commission were to determine that the swap, or group, category, type, or class of swaps is required to be cleared, the derivatives clearing organization will be able to maintain compliance with section 5b(c)(2) of the Act;
(ii) A statement that includes, but is not limited to, information that will assist the Commission in making a quantitative and qualitative assessment of the following factors:
(A) The existence of significant outstanding notional exposures, trading liquidity, and adequate pricing data;
(B) The availability of rule framework, capacity, operational expertise and resources, and credit support infrastructure to clear the contract on terms that are consistent with the material terms and trading conventions on which the contract is then traded;
(C) The effect on the mitigation of systemic risk, taking into account the size of the market for such contract and the resources of the derivatives clearing organization available to clear the contract;
(D) The effect on competition, including appropriate fees and charges applied to clearing; and
(E) The existence of reasonable legal certainty in the event of the insolvency of the relevant derivatives clearing organization or one or more of its clearing members with regard to the treatment of customer and swap counterparty positions, funds, and property;
(iii) Product specifications, including copies of any standardized legal documentation, generally accepted contract terms, standard practices for managing any life cycle events associated with the swap, and the extent to which the swap is electronically confirmable;
(iv) Participant eligibility standards, if different from the derivatives clearing organization's general participant eligibility standards;
(v) Pricing sources, models, and procedures, demonstrating an ability to obtain sufficient price data to measure credit exposures in a timely and accurate manner, including any agreements with clearing members to provide price data and copies of executed agreements with third-party price vendors, and information about any price reference index used, such as the name of the index, the source that calculates it, the methodology used to calculate the price reference index and how often it is calculated, and when and where it is published publicly;
(vi) Risk management procedures, including measurement and monitoring of credit exposures, initial and variation margin methodology, methodologies for stress testing and back testing, settlement procedures, and default management procedures;
(vii) Applicable rules, manuals, policies, or procedures;
(viii) A description of the manner in which the derivatives clearing organization has provided notice of the submission to its members and a summary of any views on the submission expressed by the members (a copy of the notice to members shall be included with the submission); and
(ix) Any additional information specifically requested by the Commission.
(4) The Commission must have received the submission by the open of business on the business day preceding the acceptance of the swap, or group, category, type, or class of swaps for clearing.
(5) The submission will be made available to the public and posted on the Commission Web site for a 30–day public comment period. A derivatives clearing organization that wishes to request confidential treatment for portions of its submission may do so in accordance with the procedures set out in § 145.9(d) of this chapter.
(6) The Commission will review the submission and determine whether the swap, or group, category, type, or class of swaps described in the submission is required to be cleared. The Commission will make its determination not later than 90 days after a complete submission has been received, unless the submitting derivatives clearing organization agrees to an extension. The determination of when such submission is complete shall be at the sole discretion of the Commission. In making a determination that a clearing requirement shall apply, the Commission may impose such terms and conditions to the clearing requirement as the Commission determines to be appropriate.
(c) Commission-initiated reviews.
(1) The Commission, on an ongoing basis, will review swaps that have not been accepted for clearing by a derivatives clearing organization to make a determination as to whether the swaps should be required to be cleared. In undertaking such reviews, the Commission will use information obtained pursuant to Commission regulations from swap data repositories, swap dealers, and major swap participants, and any other available information.
(2) Notice regarding any determination made under paragraph (c)(1) of this section will be made available to the public and posted on the Commission Web site for a 30–day public comment period.
(3) If no derivatives clearing organization has accepted for clearing a particular swap, group, category, type, or class of swaps that the Commission finds would otherwise be subject to a clearing requirement, the Commission will:
(i) Investigate the relevant facts and circumstances;
(ii) Within 30 days of the completion of its investigation, issue a public report containing the results of the investigation; and
(iii) Take such actions as the Commission determines to be necessary and in the public interest, which may include requiring the retaining of adequate margin or capital by parties to the swap, group, category, type, or class of swaps.
(d) Stay of clearing requirement.
(1) After making a determination that a swap, or group, category, type, or class of swaps is required to be cleared, the Commission, on application of a counterparty to a swap or on its own initiative, may stay the clearing requirement until the Commission completes a review of the terms of the swap, or group, category, type, or class of swaps and the clearing arrangement.
(2) A counterparty to a swap that wishes to apply for a stay of the clearing requirement for that swap shall submit a written request to the Secretary of the Commission that includes:
(i) The identity and contact information of the counterparty to the swap;
(ii) The terms of the swap subject to the clearing requirement;
(iii) The name of the derivatives clearing organization clearing the swap;
(iv) A description of the clearing arrangement; and
(v) A statement explaining why the swap should not be subject to a clearing requirement.
(3) A derivatives clearing organization that has accepted for clearing a swap, or group, category, type, or class of swaps that is subject to a stay of the clearing requirement shall provide any information requested by the Commission in the course of its review.
(4) The Commission will complete its review not later than 90 days after issuance of the stay, unless the derivatives clearing organization that clears the swap, or group, category, type, or class of swaps agrees to an extension.
(5) Upon completion of its review, the Commission may:
(i) Determine, subject to any terms and conditions as the Commission determines to be appropriate, that the swap, or group, category, type, or class of swaps must be cleared; or
(ii) Determine that the clearing requirement will not apply to the swap, or group, category, type, or class of swaps, but clearing may continue on a non-mandatory basis.
Cite this article: FindLaw.com - Ohio Revised Code Title XV. Conservation of Natural Resources § 1506.21 - last updated January 01, 2020 | https://codes.findlaw.com/oh/title-xv-conservation-of-natural-resources/oh-rev-code-sect-1506-21/
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.