,,ib  ,union ,cal5d> ,no4 #fhi  #aae?   
,,congress  #b;d ,session  ,h4 ,r4 #fcbj
  ,report ,no4 #aae-hia  ,,9 ,,! ,,h\se 
,,( ,,repres5tatives  ,july #aj1 #bjah  
,ms4 ,max9e ,wat]s ( ,cali=nia introduc$
 ! foll[+ bill2 :i* 0 ref]r$ to !       
,committee on ,f9ancial ,s]vices  ,augu/
 #c1 #bjah;,additional sponsor3 ,mr4    
,mc,henry  ,augu/ #c1 #bjah ,committ$ to
 ! ,committee ( ! ,:ole ,h\se on ! ,/ate
 ( ! ,union & ord]$ to be pr9t$  ,a     
,,bill  ,to require ! ,securities &     
,ex*ange ,commission to c>ry out a /udy 
( ,rule #aj;b#e-a trad+ plans1 & = o!r  
purposes4  #a4 ,%ort title ,?is ,act may
 be cit$ z ! ,promot+ ,transp>5t ,/&>ds 
= ,corporate ,insid]s ,act4  #b4 ,,sec  
/udy  7a7 ,/udy  7#a7 ,9 g5]al ,!       
,securities & ,ex*ange ,commission %all 
c>ry out a /udy ( :e!r ,rule #aj;b#e-a  
7#ag ,c4,f4,r4 #bdj4aj;b#e-a7 %\ld be   
am5d$ to--  7,a7 limit ! ability (      
issu]s & issu] insid]s to adopt a plan  
describ$ "u p>agraph 7c77#a77;i77,a77#c7
 ( ,rule #aj;b#e-a 7trad+ plan7 :5 !    

issu] or issu] insid] is p]mitt$ to buy 
or sell securities dur+ issu]-adopt$    
trad+ w9d[s2  7,b7 limit ! ability (    
issu]s & issu] insid]s to adopt         
multiple1 ov]lapp+ trad+ plans2  7,c7   
e/abli% a m&atory delay betwe5 !        
adoption ( a trad+ plan & ! execution ( 
! fir/ trade pursuant to su* a plan &1  
if s & dep5d+ on ! ,commission's f9d+s )
 respect to subp>agraph 7,a7--  7i7 :e!r
 any su* delay %\ld be ! same = trad+   
plans adopt$ dur+ an issu]-adopt$ trad+ 
w9d[ z oppos$ to outside ( su* a w9d[2 &
  7ii7 :e!r any exceptions to su* a     
delay are appropriate2  7,d7 limit !    
frequ5cy t issu]s & issu] insid]s may   
modify or cancel trad+ plans2  7,e7     
require issu]s & issu] insid]s to file )
 ! ,commission trad+ plan adoptions1    
am5dm5ts1 t]m9ations & transactions2 or 
7,f7 require bo>ds ( issu]s t h adopt$ a
 trad+ plan to-- 7i7 adopt policies     
cov]+ trad+ plan practices2  7ii7       
p]iodically monitor trad+ plan          
transactions2 &  7iii7 ensure t issu]   

policies discuss trad+ plan use 9 !     
context ( guidel9es or requirem5ts on   
equity h$g+1 hold+1 & own]%ip4  7#b7    
,additional consid]ations ,9 c>ry+ out !
 /udy requir$ "u p>agraph 7#a71 !       
,commission %all consid]-- 7,a7 h[ any  
su* am5dm5ts may cl>ify & enhance exi/+ 
prohibitions aga9/ insid] trad+2  7,b7 !
 impact any su* am5dm5ts may h on !     
ability ( issu]s to attract p]sons to   
become an issu] insid]2  7,c7 ! impact  
any su* am5dm5ts may h on capital       
=mation2  7,d7 ! impact any su* am5dm5ts
 may h on an issu]'s will+ness to op]ate
 z a public company2 &  7,e7 any o!r    
consid]ation t ! ,commission consid]s   
necess>y & appropriate = ! protection ( 
inve/ors4  7b7 ,report ,n lat] ?an ! end
 ( ! #a-ye> p]iod beg9n+ on ! date ( !  
enactm5t ( ?is ,act1 ! ,commission %all 
issue a report to ! ,committee on       
,f9ancial ,s]vices ( ! ,h\se (          
,repres5tatives & ! ,committee on       
,bank+1 ,h\s+1 & ,urban ,affairs ( !    
,s5ate conta9+ all f9d+s & det]m9ations 

made 9 c>ry+ out ! /udy requir$ "u      
section 7a74  7c7 ,rulemak+ ,aft] !     
completion ( ! /udy requir$ "u          
subsection 7a71 ! ,commission %all1     
subject to public notice & comm5t1      
revise ,rule #aj;b#e-a consi/5t ) !     
results ( su* /udy4  ,augu/ #c1 #bjah   
,committ$ to ! ,committee ( ! ,:ole     
,h\se on ! ,/ate ( ! ,union & ord]$ to  
be pr9t$