Division of Securities Rulemaking
Rulemaking is the process government agencies must use to create, modify, or repeal rules in the Washington Administrative Code (WAC).
Below you will find information about current Division of Securities rulemaking activity.
Current Rulemaking Activity
Click the links below for more information about current rulemaking activity.
Recently Adopted Rules
Click the link below for more information about recently adopted rules.
- Amendments to Private and Limited Offering Rules
- Use of Senior and Other Professional Designation
- Adoption of NASAA Policies
Investment Adviser Custody Rules
The Securities Division has proposed to amend and update its rules that impose safeguard requirements for investment advisers that maintain custody or possession of clients funds or securities.
Documents:
- Notice of Preproposal Statement of Inquiry (PDF)*
- Preproposal Statement of Inquiry Form CR-101 (PDF)*
- CR-102 With Text Of Proposed Amendments (PDF)*
- Cover Memo For CR-102 (PDF)*
Comments:
If you have any questions or comments, please contact Faith Anderson at (360) 725-7825 or by email at fanderson@dfi.wa.gov.
Securities Prosecution Fund
The Securities Division is soliciting comments on the possible adoption of rules concerning the administration of the Securities Prosecution Fund. The Securities Prosecution Fund was created by RCW 43.320.115 to hold fines collected by the Securities Division. Funds from the Securities Prosecution Fund may be available for payment of costs, expenses, and charges incurred in the investigation and prosecution of the Securities Act, Commodities Act, Franchise Investment Protection Act, and the Business Opportunity Fraud Act. The proposed rulemaking creates procedures for applying for funds from the Securities Prosecution Fund.
Documents:
Comments:
If you have any questions or comments, please contact Jill Vallely by telephone at (360) 902-8801 or by e-mail at jvallely@dfi.wa.gov.
Holding Out As An Investment Adviser
The Securities Division is soliciting comments on the possible amendments of its rules to clarify that a person who uses a professional designation may be holding himself out as a financial planner, thereby necessitating registration as an investment adviser, and that the misleading use of professional designations is prohibited.
- Preproposal Statement of Inquiry Form CR-101 (PDF)*
- CR-102 Notice of Proposed Rulemaking (PDF)*
- CR-102 Notice of Proposed Rulemaking - Continuance (PDF)*
- Proposed Amendments (PDF)*
Comments:
If you have any questions or comments, please contact Faith Anderson at (360) 725-7825 or by email at fanderson@dfi.wa.gov.
Amendments to Private and Limited Offering Rules
The Securities Division has filed a Rule-Making Order (Form CR-103) amending our rules pertaining to several exemptions from registration for private and limited offerings. The effective date of these amendments is September 15, 2008.
Documents:
- CR-103 Cover Letter (PDF)*
- CR-103 (PDF)*
- Text of Adopted Rule Amendments (PDF)*
- Notice of Preproposal Statement of Inquiry (PDF)*
- Preproposal Statement of Inquiry Form CR-101 (PDF)*
- Notice of Proposed Rulemaking Letter (PDF)*
- CR-102 Notice of Proposed Rulemaking (PDF)*
- Proposed Amendments (PDF)*
Comments:
If you have any questions, please contact Faith Anderson at (360) 725-7825 or by email at fanderson@dfi.wa.gov.
Use of Senior and Other Professional Designations
The Securities Division has adopted a new chapter in its rules to regulate the use of senior designations and certifications that is based on the Model Rule on the Use of Senior-Specific Certifications and Professional Designations adopted by the North American Securities Administrators Association, Inc. on March 20, 2008. The Division also amended its rules to clarify that it is a dishonest and/or unethical business practice for investment advisers, broker-dealers and their representatives to use a term or abbreviation thereof in a manner that misleadingly states or implies that a person has special expertise, certification, or training in financial planning, including the misleading use of a senior certification or designation.
Documents:
- CR-103 Cover Letter (PDF)*
- CR-103/Text of Rules (PDF)*
- Preproposal Statement of Inquiry Form CR-101 (PDF)*
- CR-102 Notice of Proposed Rulemaking - Senior Designations (PDF)*
- Proposed Amendments - Senior Designations (PDF)*
Update and Adoption of NASAA Guidelines and Policies
The Securities Division has amended WAC 460-16A-205. The Securities Division uses Guidelines and Policies created by the North American Securities Administrators Association (“NASAA”) as the basis for regulating certain offerings and licensees. The amendment adopts the latest versions of all NASAA Guidelines and Policies previously adopted by Washington. The amendment also adopts NASAA’s Statement of Policy Regarding Church Extension Fund Securities and NASAA’s Uniform Disclosure Guidelines for Cover Legends for the first time. The update and adoption of these NASAA Guidelines and Policies will create greater uniformity between Washington and other states that rely on NASAA Guidelines and Policies.
The Securities Division received only one comment on the proposed amendments and that comment expressed support for these amendments. Further, there were no members of the public present at the rule-making hearing held on January 23, 2008. Please view the Rule-Making Order Form CR-103 (PDF)* and the text of the amendments (PDF)* that were filed with the Office of the Code Reviser for publication on February 27, 2008 (Issue # 08-05).
Documents:
- Preproposal Statement of Inquiry Form CR-101 (PDF)*
- CR-102 and Proposed Text (PDF)*
- CR-103 (PDF)*
- Text Of Adopted Rule Amendments (PDF)*
* This document is a PDF file, and you will need Adobe Acrobat Reader to view it. If you don't already have Acrobat Reader installed on your computer, you may download it for free from Adobe.
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