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2 III

Contents Federal Register Vol. 62, No. 142

Thursday, July 24, 1997

Agency for Health Care Policy and Research Commerce Department NOTICES See Export Administration Bureau Meetings: See Foreign-Trade Zones Board Health Care Policy and Research Special Emphasis Panel, See International Trade Administration 39847 See National Oceanic and Atmospheric Administration NOTICES Agriculture Department Agency information collection activities: See Animal and Plant Health Inspection Service Submission for OMB review; comment request, 39807 See Forest Service See Grain Inspection, Packers and Stockyards Consumer Product Safety Commission Administration NOTICES NOTICES Preliminary hazard determinations; conditions, 39827– Agency information collection activities: 39828 Submission for OMB review; comment request, 39801– 39802 Corporation for National and Community Service NOTICES Air Force Department Meetings; Sunshine Act, 39828 NOTICES Environmental statements; availability, etc.: Customs Service Norton Air Force Base, CA; surplus real property, 39829 NOTICES Commercial gauger: Animal and Plant Health Inspection Service Approval— RULES Inspectorate America Corp., 39887 Overtime services relating to imports and exports: Agricultural quarantine and inspection services; user Defense Department fees, 39747–39755 See Air Force Department NOTICES See Army Department Handling, training, and exhibition of potentially dangerous exotic or wild animals, 39802 Education Department Arctic Research Commission NOTICES Meetings: NOTICES Meetings, 39806 Student Financial Assistance Advisory Committee, 39829–39830 Army Department NOTICES Energy Department Patent licenses; non-exclusive, exclusive, or partially See Federal Energy Regulatory Commission exclusive: See Hearings and Appeals Office, Energy Department Battery and capacitor technologies, etc., 39829 Environmental Protection Agency Centers for Disease Control and Prevention PROPOSED RULES NOTICES Air quality implementation plans; approval and Meetings: promulgation; various States: Public Health Service Activities and Research at DOE California, 39795–39796 Sites Citizens Advisory Committee, 39847–39848 Superfund program: Toxic chemical release reporting; community right-to- Civil Rights Commission know— NOTICES Additional time to report, 39797–39798 Meetings; State advisory committees: NOTICES Connecticut, 39806 Agency information collection activities: Massachusetts, 39806–39807 Submission for OMB review; comment request, 39838– Vermont, 39806 39839 Coast Guard Executive Office of the President RULES See Trade Representative, Office of United States Regattas and marine parades: Chesapeake Bay Offshore Powerboat Challenge, 39775– Export Administration Bureau 39776 NOTICES NOTICES Export privileges, actions affecting: Vessels in distress; emergency response: Tex-Co International, Inc., 39807–39808 Olympic Coast Marine Sanctuary and Strait of Juan de Meetings: Fuca; international private sector tug-of-opportunity Materials Processing Equipment Technical Advisory system plan, 39885 Committee, 39808 IV Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Contents

Federal Aviation Administration Federal Reserve System PROPOSED RULES NOTICES Airworthiness directives: Banks and bank holding companies: Empresa Brasileira de Aeronautica S.A., 39791–39793 Formations, acquisitions, and mergers, 39844 Maule, 39789–39791 Permissible nonbanking activities, 39844 New Piper Aircraft, Inc., 39784–39787, 39793–39795 Raytheon, 39787–39789 Fish and Wildlife Service NOTICES Federal Communications Commission Endangered and threatened species permit applications, RULES 39854 Common carrier services: Marine mammals permit applications, 39854–39855 Telecommunications Act of 1996; implementation— Filing requirements and carrier classifications reform, Food and Drug Administration 39776–39779 RULES Radio stations; table of assignments: Biological product licenses: Arizona, 39779–39780 Well-characterized biotechnology products— Louisiana, 39781 Approved application changes reporting, 39890–39903 Nevada et al., 39780 Food additives: Texas et al., 39781 Paper and paperboard components— Wyoming, 39780–39781 Dinonylphenol, 39770–39773 Television stations; table of assignments: NOTICES Pennsylvania, 39781–39782 Reports and guidance documents; availability, etc.: PROPOSED RULES Biological products; approved application changes, Radio stations; table of assignments: 39904–39906 Florida, 39798–39799 Biotechnology and Specified Synthetic Biological NOTICES Products, 39904 Agency information collection activities: Submission for OMB review; comment request, 39839– Foreign-Trade Zones Board 39840 NOTICES Applications, hearings, determinations, etc.: Federal Deposit Insurance Corporation Louisiana NOTICES Halter Marine, Inc.; shipbuilding, 39808–39809 Federal Deposit Insurance Act: Banking participation by persons convicted of crimes, Forest Service money laundering, or who have entered pretrial NOTICES diversion or similar programs; policy statement, Environmental statements; availability, etc.: 39840–39843 Tongass National Forest, AK, 39802–39805 Meetings: Federal Election Commission Deschutes Provincial Interagency Executive Committee Advisory Committee, 39805 NOTICES Water Rights Tasks Force, 39805 Meetings; Sunshine Act, 39843 Grain Inspection, Packers and Stockyards Administration Federal Emergency Management Agency NOTICES RULES Stockyards; posting and deposting: Food insurance program: Lafayette County Livestock Auction, AR, et al., 39805 Write-your-own program— M & N Horse Sale, AL, et al., 39805–39806 Private property insurers assistance, 39908–39914 Health and Human Services Department Federal Energy Regulatory Commission See Agency for Health Care Policy and Research NOTICES See Centers for Disease Control and Prevention Environmental statements; availability, etc.: See Food and Drug Administration Maritimes & Northeast Pipeline, L.L.C., et al., 39832 See Health Care Financing Administration Meetings: See Health Resources and Services Administration ANR Pipeline Co., 39832 See Inspector General Office, Health and Human Services Applications, hearings, determinations, etc.: Department Central Maine Power Co., 39830 See National Institutes of Health Colorado Interstate Gas Co., 39830 See Substance Abuse and Mental Health Services Columbia Gulf Transmission Co., 39830–39831 Administration NorAm Gas Transmission Co., 39831 NOTICES Northern Natural Gas Co., 39831 Federal claims; interest rates on overdue debts, 39844 Western Gas Resources, Inc., 39831–39832 Reports; availability, etc.: Vital and Health Statistics National Committee, 39844– Federal Maritime Commission 39847 NOTICES Agreements filed, etc., 39843 Health Care Financing Administration Freight forwarder licenses: See Inspector General Office, Health and Human Services American Cargo Express, Inc. et al., 39843–39844 Department Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Contents V

NOTICES Recreation management restrictions, etc.: Agency information collection activities: Deschutes National Wild and Scenic River Area, OR; Proposed collection; comment request, 39848–39849 prohibited acts, 39861

Health Resources and Services Administration Minerals Management Service NOTICES RULES Agency information collection activities: Outer Continental Shelf; oil, gas, and sulphur operations: Proposed collection; comment request, 39849 Pipeline right-of-way applications and assignment of fees; Committees; establishment, renewal, termination, etc.: requirement for filing of transfer, 39773–39775 Senior Executive Service Performance Review Board; NOTICES membership nominations, 39849–39850 Environmental statements; availability, etc.: Gulf of Mexico OCS— Hearings and Appeals Office, Energy Department Oil and gas operations, 39861–39863 NOTICES Outer Continental Shelf operations: Cases filed, 39832–39835 Western Gulf of Mexico— Decisions and orders, 39835–39837 Lease sales, 39863–39871 Indian Affairs Bureau Leasing systems, 39871–39872 NOTICES Mississippi River Commission Liquor and tobacco sale or distribution ordinance: Confederated Tribes of Siletz Indians of Oregon, 39855– NOTICES 39859 Meetings; Sunshine Act, 39876 Tribal-State Compacts approval; Class III (casino) gambling: National Aeronautics and Space Administration Sisseton-Wahpeton Sioux Tribe, 39859 NOTICES Inspector General Office, Health and Human Services Inventions, Government-owned; availability for licensing, Department 39876 PROPOSED RULES National Highway Traffic Safety Administration Health care programs; fraud and abuse: Health Insurance Portability and Accountability Act— NOTICES Shared Risk Exception Negotiated Rulemaking Agency information collection activities: Committee; meetings, 39798 Proposed collection; comment request, 39886 Meetings: Interior Department Motor Vehicle Safety Research Advisory Committee, See Fish and Wildlife Service 39886–39887 See Indian Affairs Bureau See Land Management Bureau National Institutes of Health See Minerals Management Service NOTICES See Reclamation Bureau Meetings: National Center for Research Resources, 39850 International Trade Administration National Heart, Lung, and Blood Institute, 39850 NOTICES National Institute of Allergy and Infectious Diseases, Antidumping: 39851 Dynamic random access memory semiconductors of one National Institute of Dental Research, 39851 megabyte or above from— National Institute of Diabetes and Digestive and Kidney Korea, 39809–39824 Diseases, 39850 Welded stainless steel pipe from— National Institute of Mental Health, 39850–39851, 39852 Taiwan, 39824 National Library of Medicine, 39852 Countervailing duties: Research Grants Division special emphasis panels, Hot-rolled lead and bismuth carbon steel products from— 39852–39853 United Kingdom, 39824–39825 Scientific Counselors Board, 39853 Justice Department National Oceanic and Atmospheric Administration See Prisons Bureau RULES NOTICES Fishery conservation and management: Battery or extreme cruelty and public benefit needs; Alaska; fisheries of Exclusive Economic Zone— determination, 39874–39875 Deep-water species caught by vessels using trawl gear, Pollution control; consent judgments: 39782–39783 Town of Cheshire, 39875–39876 Pacific Ocean perch, 39783 West Coast States and Western Pacific fisheries— Land Management Bureau Western Pacific crustacean, 39782 NOTICES PROPOSED RULES Closure of public lands: Marine mammals: Oregon, 39859–39860 Incidental taking— Meetings: North Atlantic Energy Service Corp.; power plant Resource advisory councils— activities, 39799–39800 Montana, 39860 NOTICES Opening of public lands: Meetings: California, 39860–39861 Gulf of Mexico Peer Review Panel, 39825 VI Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Contents

Pacific Fishery Management Council, 39825 Securities and Exchange Commission South Atlantic Fishery Management Council, 39826 RULES Western Pacific Fishery Management Council, 39826 Securities: Permits: Disclosure Simplification Task Force recommendations, Marine mammals, 39826 39755–39770 NOTICES National Science Foundation Self-regulatory organizations; proposed rule changes: NOTICES National Association of Securities Dealers, Inc., 39883– Antarctic Conservation Act of 1978; permit applications, 39884 etc., 39876–39877 Meetings: Substance Abuse and Mental Health Services Chemical and Transport Systems Special Emphasis Panel, Administration 39877 NOTICES Electrical and Communications Systems Special Meetings: Emphasis Panels, 39877 Substance Abuse and Mental Health Services Geosciences Advisory Committee, 39877 Administration special emphasis panels, 39853– Geosciences Special Emphasis Panel, 39877–39878 39854 Networking and Communications Research and Infrastructure Special Emphasis Panel, 39878 Trade Representative, Office of United States NOTICES Nuclear Regulatory Commission Tariff-rate quota amount determinations: NOTICES Beef from Uruguay, 39884–39885 Applications, hearings, determinations, etc.: Fansteel, Inc., 39878–39880 Transportation Department Paducah Gaseous Diffusion Plant, KY, 39880–39881 See Coast Guard U.S. Enrichment Corp., 39881–39882 See Federal Aviation Administration See National Highway Traffic Safety Administration Office of United States Trade Representative See Trade Representative, Office of United States Treasury Department Postal Service See Customs Service NOTICES Meetings; Sunshine Act, 39882 Separate Parts In This Issue Prisons Bureau RULES Part II Institutional management: Department of Health and Human Services, Food and Drug Mandatory English-as-a-second language program, 39916 Administration, 39890–39906

Public Health Service Part III See Agency for Health Care Policy and Research Federal Emergency Management Agency, 39908–39914 See Centers for Disease Control and Prevention See Food and Drug Administration Part IV See Health Resources and Services Administration Department of Justice, Bureau of Prisons, 39916 See National Institutes of Health See Substance Abuse and Mental Health Services Administration Reader Aids Railroad Retirement Board Additional information, including a list of public laws, NOTICES telephone numbers, reminders, and finding aids, appears in Agency information collection activities: the Reader Aids section at the end of this issue. Proposed collection; comment request, 39882–39883

Reclamation Bureau Electronic Bulletin Board NOTICES Free Electronic Bulletin Board service for Public Law Contract negotiations: numbers, Federal Register finding aids, and a list of Tabulation of water service and repayment; quarterly documents on public inspection is available on 202–275– status report, 39872–39874 1538 or 275–0920. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Contents VII

CFR PARTS AFFECTED IN THIS ISSUE

A cumulative list of the parts affected this month can be found in the Reader Aids section at the end of this issue.

7 CFR 354...... 39747 14 CFR Proposed Rules: 39 (5 documents) ...... 39784, 39787, 39789, 39791, 39793 17 CFR 228...... 39755 229...... 39755 230...... 39755 232...... 39755 239...... 39755 240...... 39755 249...... 39755 21 CFR 176...... 39770 314...... 39890 600...... 39890 601...... 39890 610...... 39890 640...... 39890 28 CFR 544...... 39916 30 CFR 250...... 39773 256...... 39773 33 CFR 100...... 39775 40 CFR Proposed Rules: 52...... 39795 372...... 39797 42 CFR Proposed Rules: 1001...... 39798 44 CFR 62...... 39908 47 CFR 32...... 39776 43...... 39776 64...... 39776 73 (6 documents) ...... 39779, 39780, 39781 Proposed Rules: 73...... 39798 50 CFR 660...... 39782 679 (2 documents) ...... 39782, 39783 Proposed Rules: 216...... 39799 39747

Rules and Regulations Federal Register Vol. 62, No. 142

Thursday, July 24, 1997

This section of the FEDERAL REGISTER SUPPLEMENTARY INFORMATION: fiscal year (FY) 2002 are to be deposited contains regulatory documents having general Background in the Account. For each FY 1997 applicability and legal effect, most of which through 2002, funds in the Account are are keyed to and codified in the Code of The regulations in 7 CFR 354.3 available to APHIS, until expended, to Federal Regulations, which is published under (referred to below as the ‘‘regulations’’) cover the costs of providing AQI 50 titles pursuant to 44 U.S.C. 1510. contain provisions for the collection of services and administering the AQI user fees for certain agricultural The Code of Federal Regulations is sold by program. the Superintendent of Documents. Prices of quarantine and inspection (AQI) For each of FYs 1997 through 2002, new books are listed in the first FEDERAL services provided by the Animal and fees collected in excess of $100 million REGISTER issue of each week. Plant Health Inspection Service may be used to cover the costs of (APHIS). These services include, among providing AQI services and are other things, inspecting certain automatically available. DEPARTMENT OF AGRICULTURE commercial vessels, commercial trucks, Under the Farm Bill, as amended, we commercial railroad cars, commercial may spend all AQI user fees we collect Animal and Plant Health Inspection aircraft, and international airline in excess of $100 million for FYs 1997 Service passengers arriving at ports in the through 2002, as long as we spend the customs territory of the United States money only to provide AQI services. 7 CFR Part 354 from points outside the United States. Any money we do not spend must (The customs territory of the United remain in the Account. After FY 2002, States is defined in the regulations as [Docket No. 96±038±3] any unobligated balance in the Account the 50 States, the District of Columbia, and any other amounts collected but not and Puerto Rico.) RIN 0579±AA81 These user fees are authorized by disbursed will be credited to APHIS for section 2509(a) of the Food, Agriculture, future AQI activities. User Fees; Agricultural Quarantine and Conservation, and Trade Act of 1990 (21 On January 27, 1997, we published in Inspection Services U.S.C. 136a). This statute, known as the the Federal Register (62 FR 3823–3830, Farm Bill, was amended by section 504 Docket No. 96–038–1) a proposal to AGENCY: Animal and Plant Health of the Federal Agriculture Improvement amend the regulations by adjusting our Inspection Service, USDA. and Reform Act of 1996 (Pub. L. 104– user fees for servicing certain ACTION: Final rule. 127), on April 4, 1996. commercial vessels, commercial trucks, As amended, the Farm Bill provides commercial railroad cars, commercial aircraft, and international airline SUMMARY: We are amending the user fee that APHIS may prescribe and collect passengers arriving at ports in the regulations by adjusting the fees charged fees sufficient to cover the cost of customs territory of the United States for certain agricultural quarantine and providing AQI services in connection with the arrival, at a port in the customs from points outside the United States inspection services we provide in and setting user fees in advance for connection with certain commercial territory of the United States, of commercial vessels, commercial trucks, these services for FY 1997 through 2002. vessels, commercial trucks, commercial We solicited comments concerning railroad cars, commercial aircraft, and commercial railroad cars, commercial aircraft, and international airline our proposal for 60 days ending March international airline passengers arriving 28, 1997. We received 15 comments by at ports in the customs territory of the passengers. The Farm Bill, as amended, also provides that APHIS may prescribe that date. They were from county and United States. We are setting user fees State government agencies, airline in advance for these services for fiscal and collect fees sufficient to cover the cost of providing preclearance or industry representatives, maritime years 1997 through 2002. We have preinspection at a site outside the representatives, and agriculture determined that the fees must be customs territory of the United States to representatives, including producers adjusted to reflect the anticipated actual such passengers and vehicles. The Farm and farmers. cost of providing these services through Bill, as amended, further states that the Five commenters approved of the fiscal year 2002. fees should be sufficient to cover the proposal as written. Ten commenters EFFECTIVE DATE: September 1, 1997. cost of administering the fee program, opposed some portion of the proposal, and sufficient to maintain a reasonable supported part of the proposal, or FOR FURTHER INFORMATION CONTACT: For balance in the Agricultural Quarantine offered suggestions for improvements. information concerning Program Inspection User Fee Account. In Several commenters disagreed with the Operations, contact Mr. Jim Smith, addition to user fees, the Farm Bill, as amount of our fees, questioned our Operations Officer, Program Support, amended, authorizes APHIS to assess projections, or questioned fees such as PPQ, APHIS, 4700 River Road Unit 60, late payment penalties and interest the annual truck decal, the vessel fee, Riverdale, MD 20737–1236, (301) 734– charges if a person fails to pay a fee and the aircraft fee versus the 8295. when due. The Farm Bill, as amended, international passenger fee. We For information concerning rate establishes a no-year fund, known as the carefully considered the comments, all development, contact Ms. Donna Ford, ‘‘Agricultural Quarantine Inspection of which are discussed below by topic, User Fees Section Head, FSSB, BAD, User Fee Account’’ (Account), in the and reviewed our analysis. However, APHIS, 4700 River Road Unit 54, Treasury of the United States. All fees, none of the commenters offered Riverdale, MD 20737–1232, (301) 734– late payment penalties, and interest additional information to revise our 8351. charges collected by APHIS through analysis. In the absence of any new 39748 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations information, we continue to believe that can reduce the cost of a service, we can savings of a more efficient collection the analysis presented in the proposal is reduce the user fee for that service. system. sound and that the proposed fees are One commenter stated that the annual User Fees for Commercial Trucks appropriate. Therefore, based on the decal for commercial trucks violates the rationale set forth in the proposed rule One commenter questioned why law, stating that the decal user fee and in this document, we are adopting commercial trucks entering the United would not cover the cost of inspections. the provisions of the proposed rule as a States from Canada are exempt from For example, if the truck with a decal final rule without change. paying an APHIS user fee and suggested entered the United States enough times, that trucks from Canada should pay the then the average fee per inspection Fees for 6 Years in Advance same fee as trucks entering from would be lower than the actual cost for Two commenters disliked our Mexico. the service. proposal to adopt user fees for 6 years APHIS restricts the importation of Our user fees cover the cost of in advance; three commenters liked the plants and animals and/or plant and providing services for the entire idea. animal products from foreign countries inspection program. Therefore, By proposing user fees in advance for based on the pest or disease risk sometimes fees may be more or less than a 6-year period, we are responding to associated with those imports. In many the actual cost of services received for comments we received in response to cases, such imports from Canada individual cases. As explained in our past proposals. Those commenters present a very low risk, and few proposal, the user fee for the annual stated that it was difficult to make restrictions apply. Under these decal for commercial trucks is business plans without knowing in circumstances it is not necessary for calculated as 20 times the individual advance when fees would change and APHIS to provide inspection services crossing fee. The total collected for by how much. Also, commenters have, for commercial trucks from Canada. commercial truck user fees for annual in the past, objected to large fee Because APHIS provides no inspection decals and individual crossing fees is increases, even though they occurred services, an APHIS user fee is not expected to recover the cost of infrequently. We believe adopting user justified. providing those inspection services. fees for 6 years in advance alleviates One commenter agreed that the lower Commercial Truck Versus Commercial these concerns. Under this rule, truck decal price for FY 1997 is Aircraft User Fees business planning should be easier and warranted. However, the commenter fee increases will be more gradual. suggested that equity might call for a 1- One commenter stated that inspecting year moratorium on increasing the a commercial truck takes approximately Vessel Inspection Fee individual truck crossing fee so that the the same amount of time as inspecting Two commenters objected to the two fees would not have a noticeable a commercial aircraft and implied that increase in the vessel inspection fee. difference. Another commenter the fees should be the same. In our experience, inspecting a They based their objections on the small questioned who is subsidizing the commercial aircraft is much more percentage of ships that are boarded in shortfall in user fees for providing AQI involved than inspecting a commercial the Port of Hampton Roads in Virginia. inspections for trucks using the annual truck, and, therefore, takes longer. The We inspect almost all internationally decal during FY 1997. result is a higher user fee for aircraft. arriving vessels at ports of entry in the As explained in the proposed rule, One commenter complained that United States. The user fees for these both the truck decal and individual commercial airlines should be offered inspections are based on the total cost truck crossing fees must be raised. The quantity discounts similar to that of the vessel inspection program. The FY 1997 truck decal cannot be changed offered commercial trucks through our type of inspection ranges from an because the decals have already been decal system. exterior inspection from outside the printed and many have been sold. The annual decal available for trucks vessel to a boarding of the vessel for Therefore, APHIS is covering the FY is a joint APHIS–U.S. Customs Service full-scale inspection of the interior and 1997 truck decal shortfall from the (Customs) decal covering fees for cargo. The decision to board a vessel is reserve fund. However, we believe the inspections by both agencies. based on numerous variables, including individual crossing fee must be Commercial trucks may purchase an the origin, cargo, and type of the vessel, increased for FY 1997, to help ensure annual decal for APHIS inspections which indicate the risk presented by a that the full cost of inspecting these when they purchase an annual decal vessel of introducing foreign pests and trucks is covered by user fees. It should from Customs. Although this exact diseases into the United States. A be noted that, by the date this rule is approach would probably not be system that attempted to account for effective, FY 1997 will be more than applicable to aircraft, we appreciate the every possible inspection situation half over, and most truck decals are commenter’s suggestion. If we decide to would be unwieldy and expensive to purchased early in the year. Therefore, make any changes based on this administer and would most likely result the disparity between the FY 1997 truck comment, we will publish a proposal in in higher user fees. decal fee and the individual crossing fee the Federal Register for public One commenter suggested that all will be temporary and most likely comment. options to reduce costs should be minimal. considered before raising vessel In addition, it is less expensive and Commercial Aircraft and Airline inspection fees. more efficient to allow prepayment of Passenger User Fees We agree with the commenter’s fees for commercial trucks than to One commenter pointed out that approach. We are constantly trying to attempt to collect and process a fee for passenger and aircraft inspection fees reduce costs and minimize necessary each arrival. It is possible that would represent a large percent of AQI cost increases. We raise our user fees individual trucks might pay more in collections in each year from FY 1997 only when necessary to reflect user fees if there were no prepayment through 2002. The commenter implied unavoidable cost increases. Likewise, provisions. However, the possible loss that passenger and aircraft inspection because APHIS user fees reflect the that will be incurred in FY 1997 if there fees subsidize other AQI services. actual cost of providing a service, if we is a shortfall is more than offset by the Further, the commenter asserted that Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39749 since we do not charge user fees for United States. For example, passengers $100 million that are collected each private vehicles entering the United may have visited a farm that may year, but it takes appropriation action to States at land border ports, it appears present agricultural concerns, or they make that first $100 million available to that those individuals and vehicles who may be carrying infested fruits or APHIS each year. If the full $100 do pay user fees are subsidizing the vegetables or infected meat on their million is not appropriated during any inspection process. persons or in their baggage. Aircraft may year between 1997 and 2002, APHIS Each service category was considered be infested with a pest that has escaped may find it necessary to increase the separately. Each category must, through from infested cargo or entered the amounts of individual user fees through user fee receipts, return enough money aircraft when it was in an infested rulemaking, thereby increasing the to APHIS to cover the cost of providing locality. Therefore, aircraft or cargo may amount of fees collected in excess of AQI services to that particular category. need to be fumigated or disinfected. For $100 million. Increasing the fees by the Costs were assigned directly to a all these reasons, passengers and their proper amount would generate enough category when the cost directly related baggage must be inspected separately funds to compensate for the user fee to providing the service. For example, and in a different manner than the funds diverted by an appropriation of our detector dog program only applies aircraft and its cargo. less than $100 million, and would to passenger inspections. Therefore, the It seems appropriate that passengers ensure that APHIS has enough funds to passenger inspection fees includes the themselves pay the APHIS user fees for cover the costs of providing the AQI full costs for the detector dog program. passengers. Although airlines collect the services. However, where a cost benefits all APHIS passenger user fee along with the categories of service, it was pro-rated Automated Commercial System price of the ticket and then remit the Investment in FY 1997 and 1998 among the categories based on historic APHIS user fee to APHIS, the airlines direct labor staff hours. could be charged a user fee that would One commenter approved of our AQI user fees are used only for user cover the entire cost of both aircraft and dedicating funds to fully implement our fee related activities. APHIS receives passenger inspections. If we decide to use of Customs’ Automated Commercial appropriated funds to cover the costs of consider such a change, we will publish System (ACS). Several other those AQI services not covered by user a proposal in the Federal Register for commenters expressed confusion about fees. This includes, among other things, public comment. how and when the $3.175 million inspection of passengers and aircraft investment would be made. from Hawaii and Puerto Rico, and International Trade We understand the confusion. To certain Mexican land border activities, One commenter asserted that raising clarify, the implementation costs including pedestrian and personal user fees could decrease exports. totaling $6.35 million were originally vehicle inspections. Commercial aircraft Although some countries do not intended to be spent in FY 1996. Due to and aircraft passenger fees do not currently charge for export-related technology constraints, we did not subsidize any other AQI services. services, such as inspections, user fees implement the system in FY 1996. One commenter stated that the air for these services are being adopted by Therefore, our plan is to spread the passenger fee should cover the more and more countries. Therefore, we implementation over 2 years with a one- inspection of the aircraft as well. Two do not believe that U.S. exporters are at time investment of $3.175 million each commenters stated that a separate fee for a competitive disadvantage compared year. In the proposed rule, the spending inspection of the aircraft and its with exporters in other countries. estimates for FYs 1997 and 1998 passengers violates the law. The included $3.175 million in each year for commenters asserted that the inspection Unrestricted Access to Resources a total investment of $6.35 million for of the aircraft for food items and garbage One commenter suggested that APHIS ACS implementation. is specifically passenger related. The should not have unrestricted access to Cost Cutting and Changes in Inspection commenters point out that neither resources. Customs nor the Immigration and We do not have unrestricted access to Process Naturalization Service (INS) assess a the funds collected through our user One commenter suggested a USDA- commercial aircraft fee separate from a fees. Congress only gives access to the wide reorganization in an effort to passenger fee. amount appropriated plus any amount streamline costs. On January 9, 1992, we published a of collected user fees above $100 A USDA-wide reorganization is final rule in the Federal Register (57 FR million. Our access is also restricted in outside the scope of our control and 755–773, Docket No. 91–135) that that we may only use the funds for AQI beyond the scope of the proposed rule. amended our user fees to shift all services rendered. Nonetheless, we would like to point out passenger-related inspection costs from that USDA has and is still undergoing the aircraft user fee to the airline Congressional Funding reorganization to reduce costs and passenger user fee. The airline One commenter suggested that ‘‘if increase efficiency. As part of this passenger user fee includes the cost of Congress stopped funding APHIS as a reorganization, APHIS has taken actions inspections related to the presence of cost cutting measure, then APHIS to reduce costs and increase efficiency. passengers on aircraft, such as should reduce spending and expenses.’’ Many of these actions are discussed inspection of the passenger cabin. Congress still funds APHIS with later on in this document in response to Specifically, the airline passenger user appropriated funds; however, the source other comments. fee covers inspection of the aircraft of most of the appropriations for AQI Several commenters questioned galley, including garbage, the passenger services is collected user fees. The cost increasing the number of inspectors. compartment, the baggage hold, and all of providing AQI services is projected to One commenter asserted the percentage related administrative and overhead exceed $100 million for each of the of these increases during FY 1996 did expenses. The aircraft fee covers the years 1997 through 2002, and the AQI not relate to the growth in airline inspection of the aircraft and its cargo. user fees should generate enough funds operations or a change in the form of the Passengers and aircraft, and the cargo to cover these costs. As explained in the agricultural inspections. The commenter it carries, pose different risks of bringing proposed rule, APHIS automatically has also questioned whether the large foreign diseases and pests into the access to user fee funds in excess of increase in staff in FY 1996 was a one 39750 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations time augmentation or a new rate of facilitate inspections. Education informs We continue to use specially trained growth. the public of our mission. dogs to detect prohibited items at major The large increase in staff in FY 1996 To facilitate passenger clearance, we international airports. Detector dogs was mandated by Congress to bring use the Interagency Border Inspection have proven useful in selecting bags to APHIS up to a reasonable level of System (IBIS), where it is available. IBIS inspect and we plan to expand this service. With these new hires, we contains incoming passenger program to meet increased risk. staffed new terminals, extended service information. To facilitate cargo Several commenters questioned the hours, and provided more and better movement, we use Customs’ ACS and apparent change in APHIS’ role as service. We increased staff based on Automated Targeting Systems (ATS), compared to other Federal inspection need; however, we do not foresee where they are available. Today, more agencies. One commenter asserted that increases such as in FY 1996 to become ports are using these systems, and we APHIS’ function in the airport the trend. In fact, as stated in our are continuing to expand the use of environment is secondary to Customs, proposal, we are planning to hire only these systems to all of our ports. In as Customs inspectors perform all 30 additional officers each year, which addition, we are developing a system primary inspections. The comment is fully in line with our estimates of that will be integrated to ACS and ATS, further asserted that this serves the so we will provide better information volume increases. needs of all agencies adequately without and communication with the public Several commenters suggested that we multiplying the hurdles confronting the should cut costs before raising user fees. about the release and approval of cargo. In addition, we, along with other arriving passenger. We are always looking for ways to In the past, Customs inspectors reduce our costs. One cost cutting Federal inspection agencies, are negotiating with the airlines to develop opened passenger baggage and notified change we made this year was to our inspectors when agricultural centralize our detector dog training an advance passenger information system to provide better technology to products were found. Customs has program. Previously, we had three facilitate passenger clearance. shifted their focus away from passenger separate training centers. These have all We continue to expand the use of X- processing to other areas that are more been combined into a single facility in ray equipment as a screening tool in important from its perspective. Our Orlando, FL. This facility trains dogs to passenger baggage clearance at major priority continues to be finding detect agricultural products. international airports. There are X-ray agricultural products that could We are planning in the near future to scanning machines located at all introduce foreign pests and diseases. combine our regional offices into foreign-arrival and predeparture sites. One of the highest risks is from regional hubs over the next several X-ray machines are used at international agricultural products in passenger years. Cost savings and better program airports and on the U.S.-Mexico border. baggage. Passengers may inadvertently delivery are two factors considered in We replaced old X-ray equipment with carry infested fruits or vegetables or this and other reorganizations. In modern X-rays which have integrated infected meat in their baggage. addition, we have reduced Headquarters computers and provide improved Therefore, we still need to open baggage staffing, which lowers overhead costs. quality through enhanced imaging. to check for these agricultural products. Several commenters suggested that we In partnership with the Federal In conjunction with both Customs and should improve efficiency before raising Aviation Administration and the user fees. One commenter specifically INS, we find ways to improve Department of the Army, we are processing of passengers and cargo. suggested that we should find new developing a tomographic X-ray system methods to improve efficiency and Along with other Federal inspection that will automatically detect agencies, we meet with the aircraft enforcement via risk assessment and agricultural products in luggage and selective or targeted inspection. One industry at least once a month as a alert inspectors. When operational, we member of the Federal Inspection commenter suggested that we need a expect this system to provide more new approach to the inspection process Committee. As a result of the efforts of accurate images of the contents of these groups and our continued and should look for innovative ways of baggage than current X-ray equipment performing inspections. One commenter attention to modernizing and improving can. We expect to improve our ability to our inspections, we have several efforts complained that APHIS currently does make decisions about inspecting not seem to use computers for its work. underway to improve efficiency and cut passenger baggage prior to passengers’ costs. One commenter stated that cost picking up their baggage. Therefore, we estimates need to consider the need for expect to decrease the number of One commenter questioned whether technology upgrades, such as the passengers in the inspection area and user fees have any correlation to the development and use of tomographic X- over time decrease the size of the amount of services received by the user. ray equipment. inspection area thus reducing costs and One commenter questioned the relative We are always looking for innovative time delays associated with the efficiency of one port operation over approaches to improve our efficiency. inspection process. another. One commenter suggested a Along with manual inspections, we use The prototype for this tomographic X- sliding scale of fees based on location, alternative inspection methods and ray system is scheduled to be tested in efficiency, and general overhead. technologies such as automated San Juan, PR, in April 1998. As with all We realize that the amount of service information systems, X-ray systems, and of our enhancements, after the pilot test, for each user varies. However, the specially trained detector dogs. we plan to implement this new number of variables that determines the Examples of what we are doing in these technology at the largest, most active amount of service or length of time areas and planned enhancements are airports where the most people will required to provide service is virtually described below. benefit and there will be the greatest infinite. A system that attempted to We determine where we need our impact. We will adapt the account for every possible inspection resources based on risk assessment. implementation, as needed, to other situation would be unwieldy and We are focusing on facilitation, locations and gradually incorporate this expensive to administer and would education, and compliance. Technology tool throughout all international require the additional expenses to be and other more efficient approaches airports. included in the fee calculation. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39751

Interpretations/Violations APHIS has been actively pursuing As part of our accounting procedures, different avenues to make user fee we established distinct accounting One commenter stated that the Farm rulemaking more timely. Although codes to record costs that can be directly Bill, as amended, does not eliminate the beneficial for the result, the time spent related to each inspection activity. annual review requirement. to develop the user fees, analyze their Other costs that cannot be directly Since the inception of our user fees, potential impacts, and have other charged to individual accounts are we have performed annual reviews of government organizations review our charged to ‘‘distributable’’ accounts. The our user fees and adjusted fees as documents can cause significant delays costs in these distributable accounts are required. As stated in our proposed rule, in implementing our user fees. prorated (or distributed) among all the we not only intend to monitor our fees Therefore, in the past, our user fees have activities that benefit from the expense, throughout each year, but we intend to been out of date by the time they are based on the ratio of the costs that are look closely at adjustments to fees that effective. Proposing potential user fees directly charged to each activity divided may be needed in future years. If we in advance is an attempt to ensure by the total costs directly charged to determine that any fees are too high and timely rulemaking. Our 6-year proposal each account at the field level. are contributing to unreasonably high has gone through the standard notice Using these accounting procedures, reserve levels, we will publish lower and comment rulemaking process as we calculated the total cost of providing fees in the Federal Register and make required by the APA. Also, by proposing AQI services in each past year by them effective as quickly as possible. If user fees for a 6-year period, we are determining the amounts in each direct- it becomes necessary to increase any responding to comments received in the charge account, then adding the pro rata fees because reserve levels are being past by providing information sooner for share of the distributable accounts. drawn too low, we will publish planning purposes and phasing in We then projected total costs to proposed fee increases in the Federal gradual increases rather than large provide each category of service during Register for public comment. increases. each future year. Each projection One commenter asserted that the included the costs of program delivery, Farm Bill, as amended, does not permit Projections and Cost Estimates which are incurred at the State level and adjustment in advance of a Several commenters stated that our below. Also included was a pro rata share of the program direction and determination of need. proposed fees were either too high or support costs, which include items at We disagree with the commenter’s too low. the regional and headquarters program interpretation of the requirements of the We have determined, using the best staff levels. Finally, each projection Farm Bill, as amended. The Secretary is data available, the cost of each of the included a pro rata share of agency-level under no formal obligation to make a services for which we will charge an support costs, which includes activities specific determination of need prior to APHIS user fee. In addition, the services that support the entire agency, such as the adjustment of fees. Nonetheless, the we provide and the cost of providing recruitment and development, user fee adjustments we propose for FYs those services will change over time. legislative and public affairs, regulations 1997 through 2002 were all based on Therefore, as stated in our proposal, we development, regulatory enforcement, cost estimates (i.e. a determination of intend to monitor our fees throughout budget and accounting services, and need) for providing AQI services for the year and review them at least payroll and purchasing services. Costs future years. None of the fee annually. If we determine that any fees for billing and collection services, legal adjustments will be effective until the are too high and are contributing to counsel, and rate development services fiscal year for which they were unreasonably high reserve levels, we that are directly related to user fee proposed. As we stated in our proposed will publish lower fees in the Federal activities are directly added to the user rulemaking (see 62 FR 3824), ‘‘(w)e Register and make them effective as fee activities they support and are not ** * plan to publish a notice in the quickly as possible. If it becomes included in the proration of agency- Federal Register prior to the beginning necessary to increase any fees because level costs. of each fiscal year to remind or notify reserve levels are being drawn too low, Each service category was considered the public of the user fees for that we will publish proposed fee increases separately. Each category must, through particular fiscal year * * *. If we in the Federal Register for public user fee receipts, return enough money determine that any fees are too high and comment. to APHIS, to cover the cost of providing are contributing to unreasonably high To calculate the proposed user fees, AQI services to that particular category. reserve levels, we will publish lower we projected the direct costs of Several commenters questioned our fees in the Federal Register and make providing AQI services in FYs 1997 cost estimates and variances between them effective as quickly as possible. If through 2002 for each category of years. Specifically, commenters it becomes necessary to increase any service: Commercial vessels, questioned the use of volumes, past fees because reserve levels are being commercial trucks, commercial railroad estimates, and differences between FYs drawn too low, we will publish, for cars, commercial aircraft, and 1995, 1996, and 1997. public comment, proposed fee increases international airline passengers. The In the proposed rule, different in the Federal Register.’’ Therefore, cost of providing these services in prior components were included in different contrary to the commenter’s assertions, FYs served as a basis for calculating our categories. For example, because FY no fees are being adjusted ‘‘in advance projected costs. 1996 spending was used as the basis for of a determination of need.’’ In FY 1992, APHIS established calculations, the base amount did not One commenter suggested that by accounting procedures to segregate AQI include all of the components that were proposing user fees for 6 years, we avoid user fee program costs. On December 31, added to estimated projected costs for notice and comment rulemaking 1992, we published a final rule in the FY 1997. mandated by the Administrative Federal Register (57 FR 62469–62471, As explained in our proposed rule, we Procedure Act (APA) (5 U.S.C. 551 et Docket No. 92–148–1) that amended hired 217 new inspectors in FY 1996. seq.). The commenter also stated that some of our user fees and included a Therefore, there was a large increase APHIS should be held accountable for detailed description of these accounting between FYs 1995 and 1996. In timely rulemaking. procedures. addition, there were differences in the 39752 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations per employee costs for new employees quarterly basis. The reserve requirement correct fee should be $447.00; we have in various years, because all new hires for commercial vessels and trucks is changed the rule portion accordingly. were not employed for the full year. one-twelfth of that category’s annual Executive Order 12866 and Regulatory The information regarding spending costs because those fees are remitted to Flexibility Act estimates that we provided in the APHIS monthly. The reserve proposed rule was, in scope, the same requirement for loaded railroad cars is This rule has been reviewed under information that we used to set the new one-sixth of that category’s annual costs Executive Order 12866. The rule has user fees. Our user fees are based on because those fees are remitted to been determined to be significant for the data gathered at the work unit, region, APHIS 2 months in arrears. We continue purposes of Executive Order 12866 and, and headquarters levels. For members of to believe that a fully funded reserve in therefore, has been reviewed by the the public who, like the commenters, each category’s user fee account is Office of Management and Budget. wish to obtain additional information, essential to ensure the continuity of This rule, will, over a 6-year period, the names, addresses, and telephone service in cases of bad debt, carrier generally increase user fees for certain numbers of knowledgeable APHIS insolvency, and fluctuations in activity international airline passengers, personnel were provided in the volumes. commercial aircraft, commercial vessels, proposed rule, and are provided in this commercial trucks, and commercial document, under the heading FOR Additional Uses for Fees railroad cars, in order to recover the cost FURTHER INFORMATION CONTACT. One commenter suggested additional to APHIS of providing services. Some One commenter stated APHIS’ vessel services that could be funded from the user fees are initially reduced. volume was a low figure compared with AQI user fees. Amendments to user fees are necessary the number that Customs reported We have made no change to the rule to adjust for changes in service volume entering in FY 1996. A similar comment based upon this comment since it is and in costs. These fee changes will directly affect was received comparing APHIS’ ouside the scope of this rulemaking international commercial maritime international air passenger volume with proceeding. INS’ international air passenger volume. vessels of 100 net tons or more, We acknowledge that our volume Advisory Committee commercial trucks, loaded commercial figures are lower, but it is easy to railroad cars, and commercial aircraft Two commenters suggested that explain. First, the Customs number of arriving at ports in the customs territory APHIS should establish an advisory vessels entering the United States for FY of the United States. The impact of committee to assist in determining 1996 was for all vessel arrivals. APHIS adjusting each fee is discussed appropriate changes to the user fee only charges for the first 15 arrivals of separately below. vessels over 100 net tons and exempts amounts and expenditure of user fee The fee changes will also directly vessels sailing solely between the funds. Both commenters referred to impact international airline passengers United States and Canada. Secondly, the Customs’ and INS’ advisory committees. arriving at ports in the customs territory INS international air passenger volumes Both Customs and INS are mandated of the United States. However, we have include all arriving international to establish advisory committees. The not included a discussion of the effect passengers. Again, APHIS is interested Farm Bill, as amended, has not on airline passengers, as individuals are in a different portion of total authorized an advisory committee for not covered by the Regulatory international passengers and various APHIS’ AQI user fees. We are taking no Flexibility Act. passengers are exempt, including all action based on these comments at this Commercial Vessels passengers arriving from Canada. time. The establishment of an advisory Therefore, our projections are and committee is outside the scope of this According to the Bureau of the should be different from other Federal rulemaking proceeding. Census, there were 334 U.S. businesses inspection agencies. Miscellaneous Comments in 1992 engaged in water transportation of freight internationally between the Reserve Fund Two commenters questioned a USDA United States and foreign ports. Of these Commenters suggested that the size of reorganization, which would businesses, at least 93 percent would be the APHIS reserve fund is unjustified. consolidate the labs into five ‘‘super- considered small according to SBA Two commenters stated that a far labs’’ to reduce USDA expenses. They criteria for a small entity in this category smaller reserve fund would be adequate. questioned the effect this would have on (i.e., an entity that employs fewer than Both of these commenters compared ship inspections. 500 persons). APHIS’ reserve fund with INS’, which, APHIS is not involved in any such APHIS user fees for commercial according to one commenter, maintains reorganization. In addition, we are not vessels apply only to those of 100 net a reserve fund of approximately 8 aware of any such planned USDA tons or more arriving from foreign ports, percent of annual operating expenses, reorganization to establish five ‘‘super- except vessels sailing solely between or, according to the other commenter, labs.’’ However, if there was a USDA Canadian and U.S. ports. All of the maintains a reserve fund of reorganization to reduce the United States’ oceangoing fleet exceeds approximately 1 month’s worth of Department’s expenses, that 100 net tons, but only a limited portion operating costs. reorganization might not reduce APHIS’ engages in foreign trade. Data from the APHIS’ user fee authority provides for vessel inspection expenses. Department of Transportation’s the maintenance of a reasonable balance Maritime Administration shows that Miscellaneous in the user fee account. We link the there were 319 private oceangoing reserve requirement in each category to We have made a correction to a merchant vessels in the United States at the category’s collection schedule. The typographical error in the user fee for the beginning of 1996. Of these vessels, reserves for the commercial aircraft and vessel inspections for FY 1997. In the 127 are tankers and the remainder are international air passenger user fee proposed rule, the user fee was shown dry cargo vessels. The vast majority of accounts are one-fourth of their as $447.00 in the SUPPLEMENTARY the tankers operate nearly exclusively respective annual costs because those INFORMATION under the background and between United States ports. They are fees are collected in arrears on a as $447.50 in the rule portion. The therefore not subject to the APHIS Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39753 commercial vessel user fee. Those directly affected by the subsequent fee carriers that enter the continental vessels subject to the APHIS user fee are increases. However, we are not United States and subject to the user mostly dry cargo vessels operating increasing this fee until FY 2002, at fee 2 is unknown, APHIS still anticipates between the United States and foreign which time the fee will increase to an that the impact of the user fee increase ports. We believe, however, that the amount equal to the current fee. We are will be small regardless of carrier size. impact of the revised APHIS user fees not increasing the user fee beyond the The increase of $6.25 in the first year, on these vessels is likely to be minimal, current rate. User fee changes will affect and a total increase of $9.25 over the 6- whether a vessel is operated by a small direct operating expenses. Two of these year period should represent a very or a large entity. Total daily operating railroad companies met the SBA small portion of operating costs for an costs for dry cargo vessels idle in port criterion for small entities (i.e., fewer international flight arriving in the averages between $23,600 and $26,800. than 1,500 employees). As of 1991, the United States. The $77.50 user fee increase for FY 1997 most recent year for which figures are In addition to user fees paid directly represents less than 0.4 percent of one available, these small railroad by airlines for aircraft inspection, day’s operating costs of an average dry companies were transporting between airlines collect user fees on our behalf cargo vessel while in port, and remains 960 and 2,000 loaded railroad cars into from passengers. Airlines already have $97.00 below the original fee set in the United States from Mexico annually. collection and disbursement systems in 1991. These cars were all subject to the APHIS place for international passengers. We For subsequent years, there is either user fee. Assuming a similar number of believe it is unlikely that there would be no fee increase (FY 1999) or much cars subject to inspection in future any significant increase in the costs of smaller increases ($7.50, FY 1998; years, in FY 1997 reduced user fees will maintaining these systems as a result of $7.25, FY 2000; $9.50, FY 2001; and result in a cost savings for these railroad our rule. Airlines will establish trust $9.00, FY 2002). Therefore, we believe companies of between $480.00 and accounts for user fees collected from the impact of our commercial vessel $1,000.00. Specific data on the passengers. However, airlines may user fees on small businesses will be operating expenses or profit margins of retain any interest earned by monies in minimal. these railroad companies is not such accounts. Commercial Trucks available to us. However, we believe the Under these circumstances, the fee changes will not have any significant The SBA criterion for a small trucking Administrator of the Animal and Plant economic effect on small railroad Health Inspection Service has firm is one whose annual receipts are companies. less than $18.5 million. We are unable determined that this action would not to accurately estimate the number of Commercial Airlines have a significant economic impact on U.S. firms that would be considered We received a comment that a substantial number of small entities. small by this criterion. However, we suggested that there were basic flaws in Executive Order 12372 believe U.S. firms will be largely our analysis of the impact on unaffected by the proposed fee changes. commercial airlines required by the This program/activity is listed in the In 1991, transportation expenses for Regulatory Flexibility Act. Specifically, Catalog of Federal Domestic Assistance commercial U.S. trucks traveling from the commenter suggested that the under No. 10.025 and is subject to Mexico to the United States varied analysis should have analyzed the Executive Order 12372, which requires between $85.00 and $175.00 per trip for impact on the airline industry’s intergovernmental consultation with trucks carrying non-agricultural component parts. In addition, the State and local officials. (See 7 CFR part commodities. Assuming constant costs, analysis should have taken into 3015, subpart V.) adding $2.00 to the user fee per truck, consideration that the impact will fall Executive Order 12988 per crossing,1 will represent an increase disproportionately on certain airlines. in operating expenses of between 1.1 In the Regulatory Flexibility Analysis This rule has been reviewed under and 2.4 percent for trucks carrying non- prepared for the proposed rule, we used Executive Order 12988, Civil Justice agricultural commodities. information available from the Bureau Reform. This rule: (1) Preempts all State Transportation expenses for trucks of the Census on domestic and and local laws and regulations that are hauling agricultural commodities international airlines. Our user fees are inconsistent with this rule; (2) has no ranged from $300.00 to $1,700.00 per spread evenly across all incoming retroactive effect; and (3) does not trip in 1991. Again, assuming constant international flights, both domestic and require administrative proceedings costs, our user fee increases will international carriers are charged the before parties may file suit in court represent operating expense increases of same fee, regardless of size or location. challenging this rule. between 0.12 and 0.67 percent for trucks Certain exceptions are specified in our Paperwork Reduction Act hauling agricultural goods. It therefore regulations. All exemptions have been appears that the impact on small U.S. added over time based on suggestions This rule contains no new independent trucking firms will not be and analysis that their pest risk is close information collection or recordkeeping significant. to zero. In response to the comment, we requirements under the Paperwork Reduction Act of 1995 (44 U.S.C. 3501 Commercial Railroad Cars have reviewed the available data and revised our analysis on commercial et seq.). There are five U.S. railroad companies airlines. currently transporting goods across the In FY 1995, 241 different companies, 2 The following are exempt from the user fee: U.S.-Mexican border. These railroad both foreign and domestic, had accounts aircraft moving solely between the United States companies will be directly affected by with APHIS to pay user fees for and Canada, aircraft used exclusively in our reduced user fee for this service. governmental purposes of the United States or a commercial aircraft inspections. The foreign government, aircraft making an emergency These railroad companies will also be separation of these companies into large landing, any passenger plane with 64 or fewer seats and small categories according to Small not carrying cargo such as fresh fruit, aircraft 1 A decal is also available which allows unlimited Business Administration size moving from the U.S. Virgin Islands to Puerto Rico, border crossings per year for one fee. This decal is and aircraft making an in transit stop at a port of available only for trucks which prepay the Customs classifications cannot be determined. entry, but not required to go through any portion user fee which applies to them. While the size distribution of these of the federal clearance process. 39754 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

List of Subjects in 7 CFR Part 354 pay an APHIS user fee for each arrival, Effective dates Amount as shown in the following table: Exports, Government employees, October 1, 2000 through Septem- Imports, Plant diseases and pests, Effective dates Amount ber 30, 2001 ...... 6.75 Quarantine, Reporting and October 1, 2001 ...... 7.00 recordkeeping requirements, Travel and September 1, 1997 through Sep- transportation expenses. tember 30, 1997 ...... $3.75 * * * * * Accordingly, 7 CFR part 354 is October 1, 1997 through Septem- (e) * * * (1) Except as provided in amended as follows: ber 30, 1998 ...... 4.00 paragraph (e)(2) of this section, an October 1, 1998 through Septem- APHIS user fee will be charged for each PART 354ÐOVERTIME SERVICES ber 30, 1999 ...... 4.00 commercial aircraft which is arriving, or RELATING TO IMPORTS AND October 1, 1999 through Septem- ber 30, 2000 ...... 4.00 which has arrived and is proceeding EXPORTS; AND USER FEES October 1, 2000 through Septem- from one United States airport to another under a United States Customs 1. The authority citation for part 354 ber 30, 2001 ...... 4.00 October 1, 2001 ...... 4.25 Service ‘‘Permit to Proceed,’’ as continues to read as follows: specified in title 19, Code of Federal Authority: 7 U.S.C. 2260; 21 U.S.C. 136 * * * * * Regulations, §§ 122.81 through 122.85, and 136a; 49 U.S.C. 1741; 7 CFR 2.22, 2.80, (3) * * * or an ‘‘Agricultural Clearance or and 371.2(c). (i) The owner or operator of a Safeguard Order’’ (PPQ Form 250), used 2. Section 354.3 is amended by commercial truck, if entering the pursuant to title 7, Code of Federal revising paragraphs (b)(1), (c)(1), (c)(3)(i) customs territory of the United States Regulations, § 330.400 and title 9, Code introductory text, (d)(1), (e)(1), and (f)(1) from Mexico and applying for a prepaid of Federal Regulations, § 94.5, and and by adding a new paragraph Customs permit for a calendar year, which is subject to inspection under (f)(4)(i)(C) to read as follows: must apply for a prepaid APHIS permit part 330 of this chapter or 9 CFR chapter for the same calendar year. Applicants I, subchapter D. Each carrier is § 354.3 User fees for certain international must apply to Customs for prepaid responsible for paying the APHIS user services. APHIS permits.1 The following fee. The APHIS user fee for each arrival * * * * * information must be provided, together is shown in the following table: (b) * * * (1) Except as provided in with payment of an amount 20 times the paragraph (b)(2) of this section, the APHIS user fee for each arrival, except, Effective dates Amount master, licensed deck officer, or purser that through September 30, 1997, the of any commercial vessel which is amount to be paid is $40.00: September 1, 1997 through Sep- tember 30, 1997 ...... $59.25 subject to inspection under part 330 of * * * * * October 1, 1997 through Septem- this chapter or 9 CFR chapter I, (d) * * * (1) Except as provided in ber 30, 1998 ...... 59.75 subchapter D, and which is either paragraph (d)(2) of this section, an October 1, 1998 through Septem- required to make entry at the customs APHIS user fee will be charged for each ber 30, 1999 ...... 59.75 house under 19 CFR 4.3 or is a United loaded commercial railroad car which is October 1, 1999 through Septem- States-flag vessel proceeding coastwise subject to inspection under part 330 of ber 30, 2000 ...... 60.25 October 1, 2000 through Septem- under 19 CFR 4.85, shall, upon arrival, this chapter or under 9 CFR chapter I, proceed to Customs and pay an APHIS ber 30, 2001 ...... 61.25 subchapter D, upon each arrival. The October 1, 2001 ...... 62.25 user fee. The APHIS user fee for each railroad company receiving a arrival, not to exceed 15 payments in a commercial railroad car in interchange * * * * * calendar year, is shown in the following at a port of entry or, barring interchange, (f) * * * (1) Except as specified in table. The APHIS user fee shall be the railroad company moving a paragraph (f)(2) of this section, each collected at each port of arrival. commercial railroad car in line haul passenger aboard a commercial aircraft service into the customs territory of the who is subject to inspection under part Effective dates Amount United States, is responsible for paying 330 of this chapter or 9 CFR, chapter I, September 1, 1997 through Sep- the APHIS user fee. The APHIS user fee subchapter D, upon arrival from a place tember 30, 1997 ...... $447.00 for each arrival of a loaded railroad car outside of the customs territory of the October 1, 1997 through Septem- is shown in the following table. If the United States, must pay an APHIS user ber 30, 1998 ...... 454.50 APHIS user fee is prepaid for all arrivals fee. The APHIS user fee for each arrival October 1, 1998 through Septem- of a commercial railroad car during a is shown in the following table: ber 30, 1999 ...... 454.50 calendar year, the APHIS user fee is an October 1, 1999 through Septem- amount 20 times the APHIS user fee for Effective dates Amount ber 30, 2000 ...... 461.75 each arrival. October 1, 2000 through Septem- September 1, 1997 through Sep- ber 30, 2001 ...... 471.25 Effective dates Amount tember 30, 1997 ...... $1.95 October 1, 2001 ...... 480.25 October 1, 1997 through Septem- September 1, 1997 through Sep- ber 30, 1998 ...... 2.00 * * * * * tember 30, 1997 ...... $6.50 October 1, 1998 through Septem- (c) * * * (1) Except as provided in October 1, 1997 through Septem- ber 30, 1999 ...... 2.00 paragraph (c)(2) of this section, the ber 30, 1998 ...... 6.50 October 1, 1999 through Septem- October 1, 1998 through Septem- ber 30, 2000 ...... 2.05 driver or other person in charge of a October 1, 2000 through Septem- commercial truck which is entering the ber 30, 1999 ...... 6.50 October 1, 1999 through Septem- ber 30, 2001 ...... 2.10 customs territory of the United States ber 30, 2000 ...... 6.75 October 1, 2001 ...... 2.15 and which is subject to inspection under part 330 of this chapter or under 1 Applicants should refer to Customs Service * * * * * 9 CFR, chapter I, subchapter D, must, regulations (19 CFR part 24) for specific (4) * * * upon arrival, proceed to Customs and instructions. (i) * * * Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39755

(C) APHIS user fees collected from a number of rules and forms in order to adopting Rule 12a–8 28 under the international passengers pursuant to eliminate unnecessary requirements and Exchange Act. In addition, amendments paragraph (f) of this section shall be to streamline the disclosure process. are being adopted with respect to the held in trust for the United States by the EFFECTIVE DATE: The new rule and following Exchange Act rules and forms: person collecting such fees, by any amendments will become effective Rule 12d1–2,29 Rule 12g–3,30 Rule person holding such fees, or by the September 2, 1997. If the EDGAR 13a1,31 Rule 15d–3,32 Rule 15d–5,33 34 35 36 person who is ultimately responsible for programming on the amendments Form 8–A, Form 10, Form 20–F, 37 38 remittance of such fees to APHIS. affecting Form 8–A (17 CFR 249.208a) Form 10–Q, Form 10–QSB, Form 10– 39 40 APHIS user fees collected from and Rule 462(d) (17 CFR 230.462(d)) is K, and Form 10–KSB. international passengers shall be not completed by this date, the I. Background accounted for separately and shall be Commission will select a later effective In March 1996, the Commission’s regarded as trust funds held by the date for these two amendments and person possessing such fees as agents, Task Force on Disclosure Simplification issue an appropriate notice of that date. 41 for the beneficial interest of the United (‘‘Task Force’’) presented its Report FOR FURTHER INFORMATION CONTACT: States. All such user fees held by any recommending the elimination or Felicia H. Kung, Division of Corporation person shall be property in which the modification of many rules and forms, Finance, at (202) 942–2990. person holds only a possessory interest and proposing suggestions for and not an equitable interest. As SUPPLEMENTARY INFORMATION: After simplifying significant aspects of compensation for collecting, handling, considering certain recommendations of securities offerings to the Commission. and remitting the APHIS user fees for the Task Force on Disclosure As a result of the Task Force Report, the international passengers, the person Simplification, as well as the comment Commission eliminated 44 rules and 42 holding such user fees shall be entitled letters received by the Commission on four forms last May. At the same time that the Commission to any interest or other investment its proposals to implement these adopted those changes, it issued a return earned on the user fees between recommendations, the Commission release proposing for comment the the time of collection and the time the today is adopting amendments to Item 1 2 3 elimination or streamlining of user fees are due to be remitted to 701 of Regulation S–B, Item 701 of 4 5 6 additional requirements.43 The APHIS under this section. Nothing in Regulation S–K, Rule 401, Rule 404, 7 8 9 proposals contained in that release were this section shall affect APHIS’ right to Rule 424, Rule 462, Rule 463, and 10 based on the Commission’s further collect interest for late remittance. Rule 497 under the Securities Act of 1933 (‘‘Securities Act’’).11 In addition, consideration of the Task Force * * * * * recommendations. Done in Washington, DC, this 18th day of the Commission is rescinding Rule 101(c)(5) under Regulation S–T.12 After reviewing the comment letters July 1997. received 44 and further considering the Terry L. Medley, Amendments are being adopted to Form D,13 Form SB–1,14 Form SB–2,15 Form proposals, the Commission has Administrator, Animal and Plant Health 16 17 18 determined to adopt most of the Inspection Service. S–1, Form S–2, Form S–3, Form S– 11,19 Form S–4,20 Form F–1,21 Form F– proposals, with certain modifications [FR Doc. 97–19499 Filed 7–23–97; 8:45 am] 2,22 and Form F–4 23 under the discussed below. Two of the proposals BILLING CODE 3410±34±P Securities Act. In addition, the are not being adopted. First, the Commission is rescinding Form SR 24 Commission had proposed that the under the Securities Act, and Rule 13a– Form D federal filing requirement be SECURITIES AND EXCHANGE 2 25 and Form 8–B 26 under the eliminated for the Regulation D and COMMISSION Securities Exchange Act of 1934 Section 4(6) exemptions. Filers would (‘‘Exchange Act’’).27 The Commission is have had to continue to prepare Form D 17 CFR Parts 228, 229, 230, 232, 239, and retain it, but not file it with the 240, and 249 1 17 CFR 228.701. 28 17 CFR 240.12a–8. [Release Nos. 33±7431 and 34±38850; S7± 2 17 CFR part 228. 29 17 CFR 240.12d1–2. 15±96] 3 17 CFR 229.701. 30 17 CFR 240.12g–3. 4 17 CFR part 229. RIN 3235±AG80 31 17 CFR 240.13a–1. 5 17 CFR 230.401. 32 17 CFR 240.15d–3. 6 17 CFR 230.404. Phase Two Recommendations of Task 33 17 CFR 240.15d–5. 7 17 CFR 230.424. 34 17 CFR 249.208a. Force on Disclosure Simplification 8 17 CFR 230.462. 35 17 CFR 249.210. 9 AGENCY: Securities and Exchange 17 CFR 230.463. 36 17 CFR 249.220f. 10 17 CFR 230.497. 37 17 CFR 249.308a. Commission. 11 15 U.S.C. 77a et seq. 38 17 CFR 249.308b. ACTION: Final rules. 12 17 CFR 232.101(c)(5). 39 17 CFR 249.310. 13 17 CFR 239.500. 40 17 CFR 249.310b. SUMMARY: In response to the Report of 14 17 CFR 239.9. 41 The Task Force Report is available for the Task Force on Disclosure 15 17 CFR 239.10. inspection and copying in the Commission’s public Simplification, the Commission 16 17 CFR 239.11. reference room. The Report also is posted on the proposed for comment the elimination 17 17 CFR 239.12. Commission’s Internet web site (http:// and amendment of certain forms and 18 17 CFR 239.13. www.sec.gov). rules to simplify the disclosure process. 19 17 CFR 239.18. 42 Release No. 33–7300 (May 31, 1996) [61 FR 20 17 CFR 239.25. 30397]. After reviewing the comment letters 43 21 17 CFR 239.31. Release No. 33–7301 (May 31, 1996) [61 FR received on the Commission’s 30405] (‘‘Proposing Release’’). 22 17 CFR 239.32. 44 The eight comment letters received are proposals, the Commission is rescinding 23 17 CFR 239.34. available for inspection and copying in the two forms and one rule that are no 24 17 CFR 239.61. Commission’s public reference room. Refer to file longer necessary or appropriate for the 25 17 CFR 240.13a–2. number S7–15–96. Comment letters that were protection of investors. The Commission 26 17 CFR 249.208b. submitted via electronic mail may be viewed at the also is adopting one rule and amending 27 15 U.S.C. 78a et seq. Commission’s web site: http://www.sec.gov. 39756 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

Commission. After further ∫ Form SR, the use of proceeds report their use of proceeds following an initial consideration, the Commission has for initial public offerings, is public offering within ten days of the determined that the information eliminated, and the information first three months following the contained in Form D is still useful to the currently required by Form SR is effective date of the registration Commission in conducting economic required in Exchange Act periodic statement, and every six months and other analyses of the private reports; thereafter, until the later of the placement market. Since the burden of ∫ Form 8–A, the short-form registration termination of the offering or the having to file the Form with the statement used by reporting application of all the offering Commission is minimal once the filer companies to register a class of proceeds.49 This Rule is amended to has prepared the Form, the Commission securities under the Exchange Act, is require a first-time registrant to report has determined to retain this amended to permit automatic the use of proceeds in its first periodic requirement.45 Second, the Commission effectiveness for all such forms filed Exchange Act report (quarterly report or has decided to defer consideration of and to eliminate certain exhibit annual report, whichever is filed first) the proposal to permit concurrent requirements; after effectiveness, and thereafter in registration of a public offering under ∫ Form 8–B, which pertains to the each of its periodic Exchange Act the Securities Act and a class of registration of the securities of reports until the registrant has disclosed securities under the Exchange Act by successor issuers, is eliminated; the use of all of the proceeds or filing a single form pending ∫ American Depositary Receipts disclosed the termination of the consideration of programming issues (‘‘ADRs’’) listed on a national offering, whichever is later.50 Although affecting the Commission’s Electronic securities exchange and registered on reporting issuers will now be required Data Gathering, Analysis and Retrieval Form F–6 47 under the Securities Act to report use of proceeds information on (‘‘EDGAR’’) computer system and are exempted from the registration a more frequent basis, the elimination of modifications to the Commission’s requirements of Section 12(b) 48 of the Form SR and the consolidation of record-keeping system that would be Exchange Act, although the disclosure requirements into the required. Nevertheless, the amendments underlying class of securities is not; periodic reporting forms should ease to the short form Exchange Act ∫ Rule 401(c) under the Securities Act reporting burdens on issuers by registration statement, Form 8–A, that is amended to permit an issuer to reducing the number of forms they will are being adopted today (as outlined switch to a shorter Securities Act form be required to file.51 below) should substantially reduce at the time any amendment is filed if In addition, the Commission is burdens on issuers. Action may be taken the issuer has become eligible to use adopting amendments to Form 20–F, the at a later date on the concurrent the shorter form; Exchange Act annual report form ∫ registration proposal. The special filing requirements for applicable to foreign private issuers,52 to The following summarizes the radio and television broadcast require disclosure of the use of proceeds Commission’s principal actions prospectuses are being eliminated, so information previously contained in contained in this release: 46 that such prospectuses will be filed Form SR. Foreign private issuers, unlike according to the same requirements domestic issuers, are not required to file 45 The Commission is making a conforming applicable to all other prospectuses; quarterly reports under the Exchange change to the text of Form D that became necessary and Act, but are required to submit to the as a result of the revisions to Regulation A in 1992 ∫ Post-effective amendments to Commission periodic reports prepared (Release No. 33–6949 (July 30, 1992) [57 FR Securities Act registration statements 36442]). Those revisions moved, without textual in accordance with home jurisdiction change, the disqualification provisions of the filed solely to add exhibits will requirements. As a result, foreign exemption from Rule 252(c), (d), (e) and (f), to Rule become effective automatically upon private issuers will be reporting the use 262. The text of the first question in Part E of Form filing. D is being revised to reflect this change. of proceeds information on an annual, 46 The Commission also is adopting two technical II. Forms rather than quarterly, basis. amendments that result from the elimination of the Although the disclosure requirements cross-reference sheet required by former Item 501(b) A. Form SR of Form SR are otherwise incorporated of Regulation S–K. Release No. 33–7300. Rule 404 The Commission is eliminating Form into the periodic reports without [17 CFR 230.404] under the Securities Act and General Instruction II.B. of Form S–3 [17 CFR SR, the form used by issuers to report change, the Commission is adjusting the 239.13] under the Securities Act are being amended their use of proceeds following an initial to eliminate references to the cross-reference sheet. public offering. Instead, this information 49 Issuers filed 1,753 Forms SR in fiscal year 1995 Regulation S–K. Release No. 33–7300. Rule 404 will be included in the issuer’s and 1,654 Forms SR in fiscal year 1996. (17 CFR 230.404) under the Securities Act and Exchange Act periodic reports. The 50 The Commission also is adopting amendments General Instruction II.B. of Form S–3 (17 CFR to Item 701 of Regulation S–K and Item 701 of 239.13) under the Securities Act are being amended Commission believes that this will make Regulation S–B that require all of the information to eliminate references to the cross-reference sheet. the use of proceeds information more currently required by Form SR, and amendments to Additionally, the Commission is making accessible to investors, as these reports certain periodic reporting forms under the technical corrections to Forms 10–K, 10–KSB and are more commonly monitored by the Exchange Act (Forms 10–Q, 10–QSB, 10–K, and 10– 20–F to remove the ‘‘Fee Required’’ caption on the KSB) to cross-reference these disclosure items. cover page of these Forms. The Commission public than Form SR. This information 51 The Commission had proposed incorporating eliminated the fees associated with these Forms in will continue to be required only of all of the requirements of Form SR into each form September 1996. Release No. 33–7331 (September first-time registrants. of Exchange Act periodic report. In the Proposing 17, 1996) (61 FR 49957). A technical amendment to Currently, Securities Act Rule 463 Release, however, the Commission solicited General Instruction I of Form 10–K also is being requires issuers to report on Form SR comment on whether to streamline the periodic adopted to correct an inaccurate reference to former report forms by amending Regulations S–B and S– General Instruction J of that Form. K to include Item 701(f), which incorporates the The Commission also is adopting technical aggregate offering price set forth in the earlier Form SR requirements, and amending each amendments to Forms S–4 and F–4 to clarify that effective registration statement. These amendments Exchange Act periodic report to cross-reference this an issuer may use these Forms to increase the size were adopted to other Securities Act registration Item. The latter approach has been implemented for of a previously registered offering. As with other forms in May 1995 (Release No. 33–7168 (May 11, all of the relevant Exchange Act periodic reporting forms, the issuer files an abbreviated registration 1995) [60 FR 26604]) and should have been adopted forms except Form 20–F, which does not contain statement to register additional securities in an with respect to Forms S–4 and F–4. cross-references to Regulation S–K. amount and at a price that together represent no 47 17 CFR 239.36. 52 ‘‘Foreign private issuer’’ is defined in Exchange more than a 20% increase in the maximum 48 15 U.S.C. 78l(b). Act Rule 3b–4(c) (17 CFR 240.3b–4(c)). Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39757 reporting threshold that triggers reference information contained in other C. Form 8–B disclosure of use of proceeds Commission filings that are subject to The Commission has determined that information to account for inflation. The staff review. Because the quality of the Exchange Act Form 8–B, the registration previous reporting thresholds used in disclosure available to the public will statement for certain successor issuers, Form SR, the lesser of five percent of the not be compromised, the Commission is is of limited usefulness. Most successor issuer’s total offering proceeds or adopting amendments today to make all issuers do not need to file a new registration statements filed on Form 8– $50,000, were established in 1971. The registration statement, since they come A effective automatically.57 Commission is raising the reporting within the purview of Rule 12g–3. threshold under Item 701 to the lesser In addition, after soliciting comments from the national securities exchanges Under this Rule, successor issuers of five percent of the issuer’s total automatically inherit the Exchange Act offering proceeds or $100,000.53 and considering the responses received, the Commission has determined that the reporting obligations of their B. Form 8–A copy of Form 8–A filed with each predecessors, and file a Form 8–K to note the succession. As amended today, The Commission is adopting relevant national securities exchange Rule 12g–3 will address all situations in amendments to permit automatic need no longer contain certain exhibits which an issuer succeeds to an effectiveness of all registration because issuers must provide the same Exchange Act registered issuer, so that statements made on Form 8–A, the short information as part of the listing successor issuers will no longer need to form registration statement used by a application to the national securities file Form 8–B. currently reporting company to register exchanges. As a result, the Commission Adopted in 1936, Form 8–B is used by a class of securities under Section 12 of is eliminating the requirement to file an issuer to register its securities when the Exchange Act.54 The amendments these exhibits with the exchanges.58 the issuer has no securities registered should reduce burdens on filers, and The amendments adopted today will under Section 12 of the Exchange Act, eliminate the current disparate render the Form 8–A merely a notice of but has succeeded to an issuer that has treatment of debt and equity securities Section 12 registration that becomes securities registered under Section 12 at registered on that Form. The effective automatically. The the time of the succession.59 Commission also is adopting certain Commission has determined that the In order to technical amendments to streamline the Form better serves its purpose as a simplify the registration requirements Form and further minimize burdens on notice if the Commission is notified for successor issuers and eliminate filers. Form 8–A requires only a separately of each national securities interpretive questions about this little- exchange on which a class of securities used Form, the Commission is description of the registrant’s securities 60 pursuant to Item 202 of Regulation S– is registered. As a result, if an issuer is rescinding Form 8–B today. The Commission is adopting K 55 and the filing of certain exhibits.56 registering a class of securities on two Consistent with current staff practice, or more national securities exchanges, it amendments to Rule 12g–3 to include an issuer registering an initial public should file a separate Form 8–A for each any transactions or securities that were offering will be permitted to use Form exchange listing. previously covered by Form 8–B, but 8–A even though it will not be subject As noted above, the Commission has not by Rule 12g–3. Pursuant to Rule to reporting until after the effectiveness deferred action on its proposal to permit 12g–3, the equity securities of a non- of that Securities Act registration concurrent Securities Act and Exchange reporting issuer that succeeds an issuer statement. Act registration without the filing of with equity securities registered under Currently, a Form 8–A that is filed to Form 8–A. The Commission will Section 12 are automatically deemed to register debt securities is effective continue to review Exchange Act be registered under Section 12 if the automatically. The Commission has registration and the circumstances in succession occurred by means of determined that there is no reason to which Form 8–A is filed in the context merger, consolidation, exchange of differentiate in this respect between of its ongoing efforts to streamline the securities or acquisition of assets. Rule debt and equity securities. Staff review registration process. 12g–3 is now being amended to include of these filings is redundant, given that other transactions, such as the the Form largely incorporates by 57 See amendments to Rule 12d1–2. Acceleration succession of a non-reporting issuer to requests will no longer be required for Forms 8–A, more than one reporting issuer, either and no effectiveness orders will be issued with 53 through consolidation into a new entity This amendment raises the threshold from that respect to such Forms. A Form 8–A filed to register suggested in the Proposing Release, which simply a class of securities under Section 12(b) will or a holding company formation. retained the threshold found in Form SR. The become effective upon the later of the filing of the Currently, in this type of succession, Commission solicited comment on raising the Form 8–A, the Commission’s receipt of certification both existing issuers must deregister threshold. from the national securities exchange, or (if the their securities under the Exchange Act, 54 15 U.S.C. 78l. In 1994, the Commission class of securities is concurrently being registered amended its rules to permit a Form 8–A filed with under the Securities Act) the effectiveness of the and the successor must file a Form 8– respect to a class of debt securities to be listed on related Securities Act registration statement. With B. As a result of the amendments a national securities exchange to become effective respect to a class of securities registered under adopted today, the securities of the simultaneously with the effectiveness of the Section 12(g) of the Exchange Act, the Form 8–A successor issuer will be deemed Securities Act registration statement pertaining to will become effective upon filing, or if the class of such debt securities. See Release No. 34–34922 securities is concurrently being registered under the (Nov. 1, 1994) [59 FR 55342]. The amendments to Securities Act, the effectiveness of the related 59 15 U.S.C. 78I. ‘‘Succession’’ is defined in Rule 12d1–2 adopted today clarify the automatic Securities Act registration statement, whichever is Exchange Act Rule 12b–2 (17 CFR 240.12b–2). In effectiveness procedure applicable to debt later. Filers will check the cover page of the Form the fiscal years 1995 and 1996, the Commission securities. indicating whether registration is sought under received only 57 and 58 Form 8–B filings, 55 17 CFR 229.202. The Commission has amended Section 12(b) or 12(g), and also will use the respectively. Form 8–A to require a description of the registrant’s appropriate EDGAR form type. 60 The Commission also is adopting certain securities pursuant to Item 202 of Regulation S–B 58 These exhibits include, for example, copies of technical amendments to account for the (17 CFR 228.202) for small business issuers that use the last annual report filed pursuant to Sections 13 elimination of Form 8–B. Conforming language Form 8–A. or 15(d) of the Exchange Act, copies of the latest changes are adopted with respect to Rule 13a–1 of 56 Form 8–A registration statements may definitive proxy statement filed with the the Exchange Act, and Rule 13a–2 of the Exchange incorporate by reference information that is Commission, and copies of the issuer’s charter and Act is eliminated. The Commission is adopting contained in other filings made with the by-laws. Accordingly, the exhibits are already amendments to Rule 12g–3 to incorporate the Commission. publicly available. substance of these Rules. 39758 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations automatically registered under Section Section 12(g).64 Rule 12g–3 also is being Securities Act. This will eliminate the 12 of the Exchange Act. amended to apply to any class of current disparate treatment of ADRs that If the classes of securities issued by securities, whether exchange-listed, are listed on a national securities each of the predecessor issuers are required to be registered under Section exchange, which must be registered registered under the same paragraph of 12(g) of the Exchange Act, or voluntarily under Section 12(b) of the Exchange Section 12,61 the class of securities registered under Section 12(g) of the Act, compared to ADRs that are traded issued by the successor issuer will be Exchange Act.65 on the Nasdaq stock market, which need deemed registered under the same Consistent with some of the not be registered under Section 12(g) of paragraph of Section 12. If the classes of amendments being adopted with respect the Exchange Act.69 The Commission is securities issued by the predecessor to Rule 12g–3, the Commission is adopting Rule 12a-8 70 under the issuers each are registered under adopting amendments to Exchange Act Exchange Act to exempt ADRs different paragraphs of Section 12, then Rule 15d–5, which pertains to the registered on Form F–6 from the the class of securities issued by the automatic assumption of reporting registration requirements of Section successor issuer will be deemed obligations by a non-reporting issuer 12(b). The Section 12(b) registration registered under Section 12(g). that succeeds to an issuer that has requirements, however, will continue to Consistent with prior practice, the reporting obligations under Section apply to the class of securities successor issuer will file a Form 8–K 15(d) of the Exchange Act.66 In underlying the ADRs. with respect to the succession connection with a succession by merger, Exempting ADRs from Section 12(b) transaction and subsequently comply consolidation, exchange of securities or registration is consistent with the with all of the applicable provisions of acquisition of assets, Rule 15d–5 Commission’s view of ADRs as separate the Exchange Act.62 automatically transfers the Section 15(d) securities that provide a mechanism for In the situation where the classes of reporting obligations of a predecessor investing in the underlying securities,71 securities issued by the predecessor issuer to equity securities issued by a and will result in the equal treatment of issuers each are registered under non-reporting successor issuer in listed and unlisted ADRs. Moreover, different paragraphs of Section 12, the connection with the succession. As eliminating the Section 12(b) Commission initially had proposed that amended, Rule 15d–5 covers all registration requirement for ADRs will the successor issuer would be able to securities issued by a non-reporting eliminate unintentional technical elect the Section 12 paragraph under issuer, not just equity securities. violations of the Exchange Act by which it would be deemed registered. III. Registration Requirements issuers that register the underlying However, upon further consideration, shares, but neglect to register the ADRs the Commission has determined that A. Registration Requirements for under Section 12(b) by listing the ADRs deeming successor issuers to be American Depositary Receipts on the cover page of the Exchange Act registered under Section 12(g) would be The Commission is eliminating the registration statement. preferable in case an issuer is late in registration requirement under Section As a matter of common practice in filing its Form 8–K and designating the 12(b) of the Exchange Act for ADRs 67 Section 12(g) registration statements, paragraph of Section 12 under which its registered on Form F–6 68 under the issuers provide disclosure with respect securities should be deemed registered. to the ADRs even though the ADRs If the successor decides to list its 64 15 U.S.C. 78l(g). The securities of a successor themselves are not being registered. securities on a national securities to an issuer whose securities are registered under Although it is likely that issuers would exchange, it will register its securities Section 12(g) also will be deemed registered under follow the same practice regardless of Section 12(g). A successor issuer who wishes to list under Section 12(b) by filing a Form 8– its securities on a national securities exchange will the elimination of Section 12(b) A, which has been streamlined into a file a Form 8–A to register the securities under registration for ADRs, the Commission simplified notice that will be Section 12(b). has, upon further consideration, automatically effective as a result of the The Commission also is adopting technical decided to adopt technical amendments amendments adopted today. amendments to Rule 12g–3 to accommodate the elimination of Form 8–B. Rule 12g–3 is being to Form 20-F and Form 10 to ensure that In addition to these changes, the amended to incorporate the annual report issuers continue to provide disclosure Commission is amending Rule 12g–3 to requirements of Rule 13a–2 and the relevant clarify that it applies to issuers with portions of Rule 13a–1, both of which contain facility. The transaction of offer and sale covered by securities registered under Section 12(b) references to Form 8–B. the registration statement on Form F–6 is the of the Exchange Act,63 as well as to 65 Section 12(g) of the Exchange Act only requires deposit of securities into the facility. The securities the registration of equity securities. It is conceivable so deposited must be separately registered or must those with securities registered under that Rule 12g–3 as amended could impose reporting be exempt from registration under the Securities obligations on a limited class of issuers not Act. 61 A class of securities listed on a national currently subjected by Rule 12g–3 to reporting 69 A foreign issuer whose ADRs trade on Nasdaq securities exchange must be registered under following a succession because the predecessor must register the common stock underlying the Section 12(b) (15 U.S.C. 78l(b)). An issuer with total issuer had a class of securities registered under ADRs under Section 12(g) of the Exchange Act. assets of $10 million or more and a class of equity Section 12 voluntarily. However, the amendment 70 Rule 12a-8 refers to the registration securities held by at least 500 shareholders of should not impose any undue burdens as a result requirements of Section 12(a) of the Exchange Act, record must register such class of securities of this situation because such an issuer will be able which is technically correct, rather than Section pursuant to Section 12(g) [15 U.S.C. 78l(g)]. See also to terminate the registration under Section 12 12(b), which contains the listing application Rule 12g–1 (17 CFR 240.12g–1). immediately following the succession. requirements for securities registered on a national 62 Items 1 and 2 of Form 8–K [17 CFR 249.308]. 66 15 U.S.C. 78o(d). securities exchange. However, registration under 63 Under Rule 12g–3 as amended, the securities of 67 An American depositary share (‘‘ADS’’) is the Section 12(a) is commonly referred to as Section a successor to an issuer whose securities are security that represents an ownership interest in 12(b) registration. registered under Section 12(b) also will be deemed deposited securities, and an ADR is the physical 71 This view of ADRs as a means of investing in registered under Section 12(b) and listed on the certificate that evidences ADSs. Because market the underlying securities is consistent with the way same national securities exchange. However, the participants do not appear to distinguish between that ADRs are treated for reporting purposes by exchange may deregister the securities by filing a ADRs and ADSs, the term ‘‘ADR’’ is used in this institutional investment managers under Section Form 25 (17 CFR 249.25) if that is not the case. By Release to refer to either the physical certificate or 13(f) of the Exchange Act (15 U.S.C. 78m(f)). The operation of Rule 12g–2 (17 CFR 240.12g–2), the the security evidenced by such certificate. shares of a foreign issuer that are held through securities of the successor issuer will automatically 68 When an ADR facility is created by a ADRs, as well as the shares of such issuer held be deemed registered under Section 12(g) of the Depositary, the Depositary files a Form F–6 to directly, are reported pursuant to Section 13(f) and Exchange Act. register the ADRs that will be issued from the Rule 13f–1 (17 CFR 240.13f-1). Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39759 about ADRs in their Exchange Act prospectuses be filed at least five days effectiveness is requested.79 Exhibits registration statements.72 Because the before they were broadcast or otherwise that may be filed through this procedure actual disclosure provided to investors issued to the public was not necessary include consents of experts and counsel, will not be affected by the elimination for investor protection. This is and other exhibits that generally would of Section 12(b) registration, the especially true in light of the increasing not require revisions to the disclosure in elimination of such registration use of electronic media in securities the prospectus. requirements should not compromise offerings.76 As amended, Rule 424(d) The Rule adopted today is not investor protection.73 still requires that radio and television intended to affect an issuer’s disclosure obligations. Rule 462(d) cannot be used B. Securities Act Form Eligibility broadcast prospectuses be reduced to writing, but such prospectuses will be to file exhibits that would trigger the The Commission is adopting filed with the Commission according to filing of a post-effective amendment to amendments to Rule 401(c) under the the requirements applicable to other update the prospectus. The Rule also Securities Act to permit an issuer to types of prospectuses. As a result of the does not permit automatic effectiveness switch to a shorter Securities Act form amendments adopted today, radio and for post-effective amendments that at the time of filing any amendment if television broadcast prospectuses must include an exhibit that otherwise should it has become eligible to use the shorter be filed according to the timing have been filed pre-effectively. In either form since filing its initial registration specified in rule 424 (between two to case, the issuer may not check the box statement. These amendments should five days after use depending on the for automatic effectiveness. ease filing burdens on issuers without subject matter of the prospectus).77 affecting the quality of the disclosure IV. Certain Findings available to investors. D. Exhibits Section 23(a) of the Exchange Act 80 Currently, the form and content of a requires the Commission to consider the registration statement and prospectus The Commission is adopting Rule anti-competitive effects of any rules it are determined on the initial filing date. 462(d) to permit automatic effectiveness adopts thereunder, if any, and the An issuer is not permitted to reevaluate of a post-effective amendment filed reasons for its determination that any its status until it files a post-effective solely to add an exhibit, where the burden on competition imposed by such amendment pursuant to Section exhibit will not affect the disclosure in rules is necessary or appropriate to 10(a)(3)74 of the Securities Act. As the prospectus. Adoption of this Rule further the purposes of the Exchange amended, Rule 401(c) will permit will eliminate an unnecessary difference Act. Furthermore, Section 2 of the issuers to determine the appropriate in the treatment of issuers that file on Securities Act 81 and Section 3 of the form upon filing any amendment, Forms S–3/F–3 and all other issuers. Exchange Act,82 as amended by the including pre-effective and post- Currently, issuers that file on Forms recently enacted National Securities effective amendments. To ensure that S–3/F–3 can file updated exhibits post- Markets Improvement Act of 1996,83 the amendment does not impose new effectively on Form 8–K, which are then provide that whenever the Commission burdens on issuers, the Rule provides automatically incorporated by reference is engaged in rulemaking and is that if an issuer files an amendment into their prospectuses. However, required to consider or determine other than for the purposes of Section registrants not filing on Form S–3/F–3 whether an action is necessary or 10(a)(3), an issuer is not required to use can only file updated exhibits by filing appropriate in the public interest, the a form that is different from the one post-effective amendments, which are Commission also shall consider, in used for its last Section 10(a)(3) subject to possible staff review. Even if addition to the protection of investors, amendment, or if none has been filed, such amendments are not selected for whether the action will promote its initial registration statement. review, registrants face possible delay efficiency, competition, and capital C. Rule 424(d)—Radio and Television between the time the amendments are formation. The Commission has Broadcast Prospectuses filed and when they are declared considered the amendments discussed in this release in light of the comments Today, the Commission is adopting effective. The Commission has received in response to the Proposing amendments to Rule 424(d) to eliminate determined that automatic effectiveness Release and the standards in Section the special filing requirements for radio of certain exhibits is appropriate 23(a) of the Exchange Act. Because the and television broadcast prospectuses.75 because staff review before effectiveness amendments do not effect any The Commission has determined that is unnecessary, given the generally the previous requirement that such routine nature of these filings. Rule substantive change in the information 462(d) also would be available to foreign that would be disclosed by issuers, they 72 Item 14(c) of Form 20-F and Item 11 of Form governmental issuers that register debt do not have any anti-competitive effects. 10. securities on Schedule B using shelf Furthermore, the amendments eliminate 73 The Commission also is adopting a technical registration procedures.78 unnecessary disclosure requirements amendment to Rule 15d–3 of the Exchange Act. and streamline the disclosure process, Although ADRs are no longer subject to registration An issuer will check a box on the under the Exchange Act, a reporting obligation may cover page of its post-effective 79 Forms SB–1, SB–2, S–1/F–1, S–2/F–2, S–4/F– arise with respect to such securities under Section amendment to indicate that automatic 15(d). Rule 15d–3 previously suspended such 4, and S–11 have been amended to include a new reporting obligation if the depositary complied with check box on the cover page that will permit former Item 4(a) of Form F–6. Because former Item 76 The amendments adopted today are consistent automatic effectiveness for certain exhibits that 4(a) no longer exists, see Release No. 33–7300, the with the positions set forth in Securities Act have been filed post-effectively. In addition to Commission is adopting amendments to Rule 15d- Release No. 33–7233 (October 6, 1995)(60 FR checking the box, filers should use a new EDGAR 3 to clarify that reporting obligations are suspended 53458) concerning the use of electronic media for form type: POS EX instead of POS AM. Schedule for all ADRs registered on Form F–6. delivery purposes. B filers should simply place a checked box on the 74 15 U.S.C. 77j(a)(3). 77 Comparable amendments also are being facing page of the amendment to indicate that automatic effectiveness is requested. 75 Under Section 10(f) of the Securities Act [15 adopted to Rule 497(f), which pertains to the radio 80 U.S.C. 77j(f)], the Commission is granted the and television broadcast prospectuses of investment 15 U.S.C. 78w(a). authority to require radio and television broadcast companies. 81 15 U.S.C. 77b. prospectuses to be filed along with other forms of 78 Release Nos. 33–6240 (September 10, 1980) [45 82 15 U.S.C. 78c. prospectuses used in connection with the sale of FR 61609] and 33–6424 (September 2, 1982) (47 FR 83 Pub. L. No. 104–290, § 106, 110 Stat. 3416 the registered securities. 39809). (1996). 39760 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations thereby promoting efficiency, circumstances in which disclosure is associated with duplicative filing competition and capital formation. required. requirements. In addition, it is expected that the V. Cost-Benefit Analysis information on use of proceeds will be VI. Summary of Final Regulatory Flexibility Analysis The amendments adopted in this received in a more timely fashion (every release represent the second phase of three months instead of every six A Final Regulatory Flexibility the Commission’s consideration of the months after the first report), and will Analysis (‘‘FRFA’’) has been prepared in recommendations of the Task Force on be more accessible to investors. This accordance with 5 U.S.C. § 604 that Disclosure Simplification. The Task information regarding the progress of relates to the rescinding of Form SR Force undertook to review Commission the offering is useful to investors and under the Securities Act, Form 8–B and rules and forms with the goal of Exchange Act reports are more Rule 13a–2 under the Exchange Act; the simplifying and modernizing disclosure commonly monitored by investors. addition of Rule 12a–8 under the and filing requirements to reduce the These benefits should outweigh any Exchange Act; and the other costs of capital raising, without increase in reporting burdens from the amendments to disclosure requirements compromising investor protection. The increased frequency of disclosures. under the Securities Act and Exchange Commission sought and considered Form 8–B. Form 8–B is being Act. input from interested parties on how to eliminated because of its limited As discussed more fully in the FRFA, simplify the registration and reporting usefulness. Most issuer successions are the Commission’s rescinding of form process, and the rule and form changes now covered by Rule 12g–3 and that and rule requirements and its adoption in this release were developed from Rule is being expanded to cover all of other amendments to simplify and those comments. situations that formerly triggered the streamline disclosure requirements will Most of the commenters indicated filing of Form 8–B. In 1996, 58 Form 8– affect small entities, as defined by the that the proposed form and rule changes B filings were made. The rule changes Commission’s rules, but only in the would streamline and simplify the will eliminate a registration burden on same manner as other entities. The disclosure process. Because the purpose successor issuers, without reducing Commission is aware of approximately investor protection, and eliminate of the form and rule changes adopted is 1100 Exchange Act reporting companies interpretive questions about this to eliminate unnecessary requirements, that currently have assets of $5 million infrequently used Form. or less. There is no reliable way of such changes will reduce the overall ADRs. The Exchange Act registration costs and burdens associated with filing determining how many small businesses requirement for ADRs listed on a may become subject to Commission requirements generally. national securities exchange is being Form SR. The elimination of Form SR reporting obligations in the future, or rescinded to eliminate a disparity in the may otherwise by affected by the rule and the amendments to require use of registration requirements applicable to proceeds disclosure instead in Exchange proposals. listed and non-listed ADRs. As a result, The FRFA notes that alternatives for Act periodic reports will reduce the issuers will no longer be required to list providing different means of number of filings made by issuers, and the ADRs that are to be traded on a compliance for small entities or for therefore should ease reporting burdens. national securities exchange on the exempting small entities from the The changes may, however, increase cover page of the Exchange Act amendments would be inconsistent reporting frequency for issuers. registration statement. This will with the Commission’s statutory Currently, issuers file use of proceeds eliminate unintentional technical mandate of investor protection. The disclosure on Form SR semi-annually, violations by issuers who register the amendments are intended to simplify and in 1996 1,654 Form SRs were filed. underlying class of securities, but do not disclosure obligations for all issuers, As noted in the Proposing Release, it is include the ADRs on the cover page. irrespective of size, such that further estimated that approximately 1,470 Short Form Registration Statements. distinctions between companies based quarterly reports on Form 10–Q and 490 Rule 401(c) under the Securities Act is on size would not be appropriate. annual reports on Form 10–K that being amended to permit issuers to file The Commission received no include the use of proceeds information an amendment on a shorter Securities comments on the Initial Regulatory would be filed each year. It is estimated Act form than was used in its initial Flexibility Analysis (‘‘IRFA’’) prepared that 795 quarterly reports on Form 10– registration statement whenever the in connection with the Proposing QSB and 265 annual reports on Form issuer is eligible to use a shorter form. Release, and no comment letters 10–KSB that include the use of proceeds This should reduce filing burdens and specifically addressed to the IRFA. disclosure would be filed by small printing costs by enabling issuers to use A complete copy of the FRFA is business issuers each year. Because a shorter form when filing amendments. available in Public File No. S7–15–96. issuers are otherwise required to Form 8–A. The amendments to make prepare Exchange Act reports and Form 8–A filings covering equity VII. Paperwork Reduction Act would no longer have to prepare a securities automatically effective should As set forth in the Proposing Release, separate form, any burden resulting reduce the uncertainty to issuers of Forms 20–F, 10–Q, 10–QSB, 10–K, 10– from the transfer of the use of proceeds possible pre-effective staff review and KSB and 8–A contain collections of disclosure into the Exchange Act reports resultant delays. Since the Form largely information within the meaning of the is expected to be minimal. incorporates by reference information in Paperwork Reduction Act of 1995 Further, to offset the potential other filings already subject to staff (‘‘PRA’’).84 The collection of information increase in reporting frequency, the review, issuers will benefit from the requirements contained in these forms amendments increase the threshold that reduction in uncertainty and redundant were submitted to OMB for review and triggers the use of proceeds disclosure disclosure requirements, without harm were approved by OMB. These (from the lesser of 5% of the total to investors. The amendments also information collections display an OMB offering proceeds or $50,000 to the eliminate the requirement to file with control number and expiration date. An lesser of 5% or $100,000). This change the national exchanges certain exhibits agency may not conduct or sponsor, and should reduce somewhat the burden on on Form 8–A that already are publicly reporting issuers by limiting the available. This change will reduce costs 84 44 U.S.C. 3501 et seq. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39761 a person is not required to respond to, under the Securities Act by an issuer, may be converted without additional a collection of information unless the the issuer or successor issuer shall payment to the issuer) the following agency displays a valid OMB control report the use of proceeds on its first information, provided for both the number. periodic report filed pursuant to account of the issuer and the account(s) The Commission is deferring sections 13(a) and 15(d) of the Exchange of any selling security holder(s): the consideration of its proposal to permit Act (15 U.S.C. 78m(a) and 78o(d)) after amount registered, the aggregate price of concurrent registration of a public effectiveness of its Securities Act the offering amount registered, the offering under the Securities Act and a registration statement, and thereafter on amount sold and the aggregate offering class of securities under the Exchange each of its subsequent periodic reports price of the amount sold to date; Act by filing a single form. As a result, filed pursuant to sections 13(a) and (v) From the effective date of the the changes to the Form 8–A 15(d) of the Exchange Act through the Securities Act registration statement to information collection will be adopted later of disclosure of the application of the ending date of the reporting period, that differ from the proposed changes to all the offering proceeds, or disclosure the amount of expenses incurred for the that information collection. The total of the termination of the offering. If a issuer’s account in connection with the annual burdens associated with Form 8– report of the use of proceeds is required issuance and distribution of the A will not decrease as much as with respect to the first effective securities registered for underwriting anticipated under the Proposing registration statement of the predecessor discounts and commissions, finders’ Release. issuer, the successor issuer shall fees, expenses paid to or for The descriptions and estimated provide such a report. The information underwriters, other expenses and total burdens for the other collection of provided pursuant to paragraphs (f)(2) expenses. Indicate if a reasonable information requirements have not through (f)(4) of this Item need only be estimate for the amount of expenses changed, and are set forth in the provided with respect to the first incurred is provided instead of the Proposing Release. periodic report filed pursuant to actual amount of expenses. Indicate sections 13(a) and 15(d) of the Exchange whether such payments were: VIII. Statutory Basis for the Act after effectiveness of the registration (A) Direct or indirect payments to Amendments statement filed under the Securities Act. directors, officers, general partners of The foregoing amendments are Subsequent periodic reports filed the issuer or their associates; to persons adopted pursuant to Sections 6, 7, 8, 10 pursuant to sections 13(a) and 15(d) of owning ten (10) percent or more of any and 19(a) of the Securities Act, Sections the Exchange Act need only provide the class of equity securities of the issuer; 3, 12, 13, 15, 23, 35A and 36 of the information required in paragraphs (f)(2) and to affiliates of the issuer; or Exchange Act, and Sections 8, 24, 38 through (f)(4) of this Item if any of such (B) Direct or indirect payments to and 54 of the Investment Company Act required information has changed since others; of 1940. the last periodic report filed. In (vi) The net offering proceeds to the disclosing the use of proceeds in the issuer after deducting the total expenses List of Subjects first periodic report filed pursuant to the described in paragraph (f)(4)(v) of this 17 CFR Parts 228, 229, 230, 232, 239, Exchange Act, the issuer or successor Item; 240 and 249 issuer should include the following (vii) From the effective date of the information: Securities Act registration statement to Reporting and recordkeeping the ending date of the reporting period, requirements, Securities. (1) The effective date of the Securities Act registration statement for which the the amount of net offering proceeds to Text of the Amendments use of proceeds information is being the issuer used for construction of plant, disclosed and the Commission file building and facilities; purchase and In accordance with the foregoing, installation of machinery and Title 17, Chapter II of the Code of number assigned to the registration statement; equipment; purchases of real estate; Federal Regulations is amended as acquisition of other business(es); follows: (2) If the offering has commenced, the offering date, and if the offering has not repayment of indebtedness; working PART 228ÐINTEGRATED commenced, an explanation why it has capital; temporary investments (which DISCLOSURE SYSTEM FOR SMALL not; should be specified); and any other BUSINESS ISSUERS (3) If the offering terminated before purposes for which at least five (5) any securities were sold, an explanation percent of the issuer’s total offering The authority citation for part 228 is for such termination; and proceeds or $100,000 (whichever is less) revised to read as follows: (4) If the offering did not terminate has been used (which should be Authority: 15 U.S.C. 77e, 77f, 77g, 77h, 77j, before any securities were sold, specified). Indicate if a reasonable 77k, 77s, 77z-2, 77aa(25), 77aa(26), 77ddd, disclose: estimate for the amount of net offering 77eee, 77ggg, 77hhh, 77jjj, 77nnn, 77sss, 78l, (i) Whether the offering has proceeds applied is provided instead of 78m, 78n, 78o, 78u-5, 78w, 78ll, 80a-8, 80a- terminated and, if so, whether it the actual amount of net offering 29, 80a-30, 80a-37, 80b-11, unless otherwise terminated before the sale of all proceeds used. Indicate whether such noted. securities registered; payments were: 2. By amending § 228.701 by revising (ii) The name(s) of the managing (A) Direct or indirect payments to the heading and adding paragraph (f) to underwriter(s), if any; directors, officers, general partners of read as follows: (iii) The title of each class of the issuer or their associates; to persons securities registered and, where a class owning ten (10) percent or more of any § 228.701 (Item 701) Recent Sales of of convertible securities is being class of equity securities of the issuer; Unregistered Securities; Use of Proceeds registered, the title of any class of and to affiliates of the issuer; or from Registered Securities. securities into which such securities (B) Direct or indirect payments to * * * * * may be converted; others; and (f) As required by § 230.463 of this (iv) For each class of securities (other (viii) If the use of proceeds in chapter, following the effective date of than a class of securities into which a paragraph (f)(4)(vii) of this Item the first registration statement filed class of convertible securities registered represents a material change in the use 39762 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations of proceeds described in the prospectus, issuer or successor issuer should (vii) From the effective date of the the issuer should describe briefly the include the following information: Securities Act registration statement to material change. (1) The effective date of the Securities the ending date of the reporting period, Act registration statement for which the the amount of net offering proceeds to PART 229ÐSTANDARD use of proceeds information is being the issuer used for construction of plant, INSTRUCTIONS FOR FILING FORMS disclosed and the Commission file building and facilities; purchase and UNDER SECURITIES ACT OF 1933, number assigned to the registration installation of machinery and SECURITIES EXCHANGE ACT OF 1934 statement; equipment; purchases of real estate; AND ENERGY POLICY AND (2) If the offering has commenced, the acquisition of other business(es); CONSERVATION ACT OF 1975Ð offering date, and if the offering has not repayment of indebtedness; working REGULATION S±K commenced, an explanation why it has capital; temporary investments (which 3. The authority citation for part 229 not; should be specified); and any other continues to read in part as follows: (3) If the offering terminated before purposes for which at least five (5) any securities were sold, an explanation percent of the issuer’s total offering Authority: 15 U.S.C. 77e, 77f, 77g, 77h, 77j, for such termination; and proceeds or $100,000 (whichever is less) 77k, 77s, 77z-2, 77aa(25), 77aa(26), 77ddd, (4) If the offering did not terminate 77eee, 77ggg, 77hhh, 77iii, 77jjj, 77nnn, has been used (which should be 77sss, 78c, 78i, 78j, 78l, 78m, 78n, 78o, 78u– before any securities were sold, specified). Indicate if a reasonable 5, 78w, 78ll(d), 79e, 79n, 79t, 80a–8, 80a–29, disclose: estimate for the amount of net offering 80a–30, 80a–37, 80b–11, unless otherwise (i) Whether the offering has proceeds applied is provided instead of noted. terminated and, if so, whether it the actual amount of net offering * * * * * terminated before the sale of all proceeds used. Indicate whether such 4. By amending § 229.701 by revising securities registered; payments were: the heading and adding paragraph (f) (ii) The name(s) of the managing (A) Direct or indirect payments to before the Instructions to read as underwriter(s), if any; directors, officers, general partners of follows: (iii) The title of each class of the issuer or their associates; to persons securities registered and, where a class owning ten (10) percent or more of any § 229.701 (Item 701) Recent sales of of convertible securities is being class of equity securities of the issuer; unregistered securities; use of proceeds registered, the title of any class of from registered securities. and to affiliates of the issuer; or securities into which such securities (B) Direct or indirect payments to * * * * * may be converted; (f) Use of Proceeds. As required by others; and (iv) For each class of securities (other (viii) If the use of proceeds in § 230.463 of this chapter, following the than a class of securities into which a paragraph (f)(4)(vii) of this Item effective date of the first registration class of convertible securities registered represents a material change in the use statement filed under the Securities Act may be converted without additional of proceeds described in the prospectus, by an issuer, the issuer or successor payment to the issuer) the following the issuer should describe briefly the issuer shall report the use of proceeds information, provided for both the material change. on its first periodic report filed pursuant account of the issuer and the account(s) to sections 13(a) and 15(d) of the of any selling security holder(s): the PART 230ÐGENERAL RULES AND Exchange Act (15 U.S.C. 78m(a) and amount registered, the aggregate price of REGULATIONS, SECURITIES ACT OF 78o(d)) after effectiveness of its the offering amount registered, the 1933 Securities Act registration statement, amount sold and the aggregate offering and thereafter on each of its subsequent price of the amount sold to date; The authority citation for part 230 periodic reports filed pursuant to (v) From the effective date of the continues to read in part as follows: sections 13(a) and 15(d) of the Exchange Securities Act registration statement to Authority: 15 U.S.C. 77b, 77f, 77g, 77h, 77j, Act through the later of disclosure of the the ending date of the reporting period, 77s, 77sss, 78c, 78d, 78l, 78m, 78n, 78o, 78w, application of all the offering proceeds, the amount of expenses incurred for the 78ll(d), 79t, 80a–8, 80a–29, 80a–30, and 80a– or disclosure of the termination of the issuer’s account in connection with the 37, unless otherwise noted. offering. If a report of the use of issuance and distribution of the * * * * * proceeds is required with respect to the securities registered for underwriting 2. By amending § 230.401 by revising first effective registration statement of discounts and commissions, finders’ paragraph (c) to read as follows: the predecessor issuer, the successor fees, expenses paid to or for § 230.401 Requirements as to proper form. issuer shall provide such a report. The underwriters, other expenses and total information provided pursuant to expenses. Indicate if a reasonable * * * * * paragraphs (f)(2) through (f)(4) of this estimate for the amount of expenses (c) An amendment to a registration Item need only be provided with respect incurred is provided instead of the statement and prospectus, other than an to the first periodic report filed pursuant actual amount of expense. Indicate amendment described in paragraph (b) to sections 13(a) and 15(d) of the whether such payments were: of this section, may be filed on any Exchange Act after effectiveness of the (A) Direct or indirect payments to shorter Securities Act registration form registration statement filed under the directors, officers, general partners of for which it is eligible on the filing date Securities Act. Subsequent periodic the issuer or their associates; to persons of the amendment. At the issuer’s reports filed pursuant to sections 13(a) owning ten (10) percent or more of any option, the amendment also may be and 15(d) of the Exchange Act need only class of equity securities of the issuer; filed on the same Securities Act provide the information required in and to affiliates of the issuer; or registration form used for the most paragraphs (f)(2) through (f)(4) of this (B) Direct or indirect payments to recent amendment described in Item if any of such required information others; paragraph (b) of this section or, if no has changed since the last periodic (vi) The net offering proceeds to the such amendment has been filed, the report filed. In disclosing the use of issuer after deducting the total expenses initial registration statement and proceeds in the first periodic report described in paragraph (f)(4)(v) of this prospectus. filed pursuant to the Exchange Act, the Item; * * * * * Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39763

3. By amending § 230.404 in 9. By amending § 232.101 by If this Form is a post-effective paragraph (a) by removing the phrase removing paragraph (c)(5) and amendment filed pursuant to Rule ‘‘cross reference sheet;’’. redesignating paragraphs (c)(6) through 462(d) under the Securities Act, check 4. By amending § 230.424 in (c)(18) as paragraphs (c)(5) through the following box and list the Securities paragraph (d) by removing the phrase (c)(17). Act registration statement number of the ‘‘at least five days before it is broadcast earlier effective registration statement or otherwise issued to the public’’ in the PART 239ÐFORMS PRESCRIBED for the same offering. [ ] lll second sentence and in its place adding UNDER THE SECURITIES ACT OF 1933 If delivery of the prospectus is ‘‘in accordance with the requirements of expected to be made pursuant to Rule this section’’. The authority citation for part 239 434, check the following box. [ ] continues to read in part as follows: 5. By amending § 230.462 by adding * * * * * paragraph (d) to read as follows: Authority: 15 U.S.C. 77f, 77g, 77h, 77j, 77s, 12. By amending Form SB–2 77z–2, 77sss, 78c, 78l, 78m, 78n, 78o(d), § 230.462 Immediate effectiveness of (referenced in § 239.10) by revising the 78u–5, 78w(a), 78ll(d), 79e, 79f, 79g, 79j, 79l, facing page to read as follows: certain registration statements and post- 79m, 79n, 79q, 79t, 80a–8, 80a–29, 80a–30 effective amendments. and 80a–37, unless otherwise noted. (Note: The text of Form SB–2 does not, and * * * * * the amendments thereto will not, appear in (d) A post-effective amendment filed * * * * * the Code of Federal Regulations.) solely to add exhibits to a registration 11. By amending Form SB–1 Form SB–2 (referenced in § 239.9) by revising the statement shall become effective upon U.S. Securities and Exchange Commission filing with the Commission. facing page to read as follows: 6. By amending § 230.463 by revising (Note: The text of Form SB–1 does not, and Washington, D.C. 20549 paragraphs (a) and (b) to read as follows: the amendments thereto will not, appear in Form SB–2 the Code of Federal Regulations.) § 230.463 Report of offering of securities REGISTRATION STATEMENT UNDER THE and use of proceeds therefrom. Form SB–1 SECURITIES ACT OF 1933 (a) Except as provided in this section, U.S. Securities and Exchange Commission (Amendment No. llll) lllllllllllllllllllll following the effective date of the first Washington, D.C. 20549 registration statement filed under the (Name of small business issuer in its charter) Act by an issuer, the issuer or successor Form SB–1 lllllllllllllllllllll issuer shall report the use of proceeds REGISTRATION STATEMENT UNDER THE (State or jurisdiction of incorporation or pursuant to Item 701 of Regulation S– SECURITIES ACT OF 1933 organization) lllllllllllllllllllll B or S–K or Item 16(e) of Form 20–F, as (Amendment No.llll) (Primary Standard Industrial Classification applicable, on its first periodic report lllllllllllllllllllll filed pursuant to Sections 13(a) and Code Number) (Name of small business issuer in its charter) lllllllllllllllllllll 15(d) (15 U.S.C. 78m(a) and 78o(d)) of lllllllllllllllllllll the Securities Exchange Act of 1934 (I.R.S. Employer Identification No.) (State or jurisdiction of incorporation or lllllllllllllllllllll after effectiveness, and thereafter on organization) (Address and telephone number of principal each of its subsequent periodic reports lllllllllllllllllllll executive offices) filed pursuant to Sections 13(a) and (Primary Standard Industrial Classification lllllllllllllllllllll 15(d) of the Securities Exchange Act of Code Number) (Address of principal place of business or 1934 through the later of disclosure of lllllllllllllllllllll intended principal place of business) the application of all the offering (I.R.S. Employer Identification No.) lllllllllllllllllllll proceeds or disclosure of the lllllllllllllllllllll (Name, address, and telephone number of termination of the offering. (Address and telephone number of principal agent for service) (b) A successor issuer shall comply executive offices) Approximate date of commencement with paragraph (a) of this section only lllllllllllllllllllll llll if a report of the use of proceeds is (Address of principal place of business or of proposed sale to the public required with respect to the first intended principal place of business) If this Form is filed to register effective registration statement of the lllllllllllllllllllll additional securities for an offering predecessor issuer. (Name, address, and telephone number of pursuant to Rule 462(b) under the agent for service) Securities Act, check the following box * * * * * and list the Securities Act registration 7. By amending § 230.497 in Approximate date of commencement statement number of the earlier effective paragraph (f) by removing the phrase ‘‘at llll of proposed sale to the public registration statement for the same least 5 days before it is broadcast or If this Form is filed to register offering. [ ]llll otherwise issued to the public’’ in the additional securities for an offering If this Form is a post-effective second sentence and in its place adding pursuant to Rule 462(b) under the amendment filed pursuant to Rule ‘‘in accordance with the requirements of Securities Act, check the following box 462(c) under the Securities Act, check this section’’. and list the Securities Act registration the following box and list the Securities statement number of the earlier effective PART 232ÐREGULATION S±TÐ Act registration statement number of the registration statement for the same earlier effective registration statement GENERAL RULES AND REGULATIONS offering. [ ] lll llll FOR ELECTRONIC FILINGS for the same offering. [ ] If this Form is a post-effective If this Form is a post-effective 8. The authority citation for part 232 amendment filed pursuant to Rule amendment filed pursuant to Rule continues to read as follows: 462(c) under the Securities Act, check 462(d) under the Securities Act, check Authority: 15 U.S.C. 77f, 77g, 77h, 77j, the following box and list the Securities the following box and list the Securities 77s(a), 77sss(a), 78c(b), 78l, 78m, 78n, 78o(d), Act registration statement number of the Act registration statement number of the 78w(a), 78ll(d), 79t(a), 80a–8, 80a–29, 80a–30 earlier effective registration statement earlier effective registration statement and 80a–37. for the same offering. [ ] lll for the same offering. [ ]llll 39764 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

If delivery of the prospectus is If delivery of the prospectus is earlier effective registration statement expected to be made pursuant to Rule expected to be made pursuant to Rule for the same offering. [ ] llll 434, check the following box. [ ] 434, check the following box. [ ] If delivery of the prospectus is * * * * * * * * * * expected to be made pursuant to Rule 13. By amending Form S–1 By amending Form S–2 (referenced in 434, check the following box. [ ] (referenced in § 239.11) by revising the § 239.12) by revising the facing page to * * * * * facing page to read as follows: read as follows: By amending Form S–3 (referenced in (Note: The text of Form S–1 does not, and the (Note: The text of Form S–2 does not, and the § 239.13) in General Instruction II.B. amendments thereto will not, appear in the amendments thereto will not, appear in the by removing the phrase ‘‘and cross- Code of Federal Regulations.) Code of Federal Regulations.) reference sheet are’’ in the third FORM S–1 FORM S–2 sentence and in its place adding ‘‘is’’. By amending Form S–11 (referenced in SECURITIES AND EXCHANGE SECURITIES AND EXCHANGE § 239.18) by revising the facing page COMMISSION COMMISSION to read as follows: Washington, D.C. 20549 Washington, D.C. 20549 (Note: The text of Form S–11 does not, and FORM S–1 FORM S–2 the amendments thereto will not, appear in the Code of Federal Regulations.) REGISTRATION STATEMENT UNDER THE REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 SECURITIES ACT OF 1933 FORM S–11 lllllllllllllllllllll lllllllllllllllllllll SECURITIES AND EXCHANGE (Exact name of registrant as specified in its (Exact name of registrant as specified in its COMMISSION charter) charter) lllllllllllllllllllll lllllllllllllllllllll Washington, D.C. 20549 (State or other jurisdiction of incorporation (State or other jurisdiction of incorporation FORM S–11 or organization) or organization) REGISTRATION STATEMENT UNDER THE lllllllllllllllllllll lllllllllllllllllllll SECURITIES ACT OF 1933 (Primary Standard Industrial Classification (I.R.S. Employer Identification No.) lllllllllllllllllllll Code Number) lllllllllllllllllllll (Exact name of registrant as specified in lllllllllllllllllllll (Address, including zip code, and telephone governing instruments) number, including area code, of (I.R.S. Employer Identification No.) lllllllllllllllllllll lllllllllllllllllllll registrant’s principal executive offices) lllllllllllllllllllll (Address, including zip code, and telephone (Address, including zip code, and telephone number, including area code, of (Name, address, including zip code, and number, including area code, of registrant’s principal executive offices) telephone number, including area code, registrant’s principal executive offices) lllllllllllllllllllll lllllllllllllllllllll of agent for service) (Name, address, including zip code, and (Name, address, including zip code, and Approximate date of commencement telephone number, including area code, telephone number, including area code, of proposed sale to the public of agent for service) of agent for service) lllllllllllllllllllll Approximate date of commencement Approximate date of commencement If any of the securities being of proposed sale to the public of proposed sale to the public registered on this Form are to be offered lllllllllllllllllllll Qlllllllllllllllllllll on a delayed or continuous basis If any of the securities being pursuant to Rule 415 under the If this Form is filed to register registered on this Form are to be offered Securities Act, check the following box. additional securities for an offering on a delayed or continuous basis [] pursuant to Rule 462(b) under the pursuant to Rule 415 under the If the registrant elects to deliver its Securities Act, check the following box Securities Act, check the following box. latest annual report to security holders, and list the Securities Act registration [] or a complete and legal facsimile statement number of the earlier effective If this Form is filed to register registration statement for the same thereof, pursuant to Item 11(a)(1) of this llll additional securities for an offering Form, check the following box. [ ] offering.[ ] pursuant to Rule 462(b) under the If this Form is filed to register If this Form is a post-effective Securities Act, check the following box additional securities for an offering amendment filed pursuant to Rule and list the Securities Act registration pursuant to Rule 462(b) under the 462(c) under the Securities Act, check statement number of the earlier effective Securities Act, check the following box the following box and list the Securities registration statement for the same and list the Securities Act registration Act registration statement number of the offering. [ ]llll statement number of the earlier effective earlier effective registration statement llll If this Form is a post-effective registration statement for the same for the same offering. [ ] amendment filed pursuant to Rule offering. [ ] llll If this Form is a post-effective 462(c) under the Securities Act, check If this Form is a post-effective amendment filed pursuant to Rule the following box and list the Securities amendment filed pursuant to Rule 462(d) under the Securities Act, check Act registration statement number of the 462(c) under the Securities Act, check the following box and list the Securities earlier effective registration statement the following box and list the Securities Act registration statement number of the for the same offering. [ ]llll Act registration statement number of the earlier effective registration statement llll If this Form is a post-effective earlier effective registration statement for the same offering. [ ] amendment filed pursuant to Rule for the same offering. [ ] llll If delivery of the prospectus is 462(d) under the Securities Act, check If this Form is a post-effective expected to be made pursuant to Rule the following box and list the Securities amendment filed pursuant to Rule 434, check the following box. [ ] Act registration statement number of the 462(d) under the Securities Act, check * * * * * earlier effective registration statement the following box and list the Securities 17. By amending Form S–4 for the same offering. [ ]llll Act registration statement number of the (referenced in § 239.25) by revising the Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39765 facing page and by adding General registration statement, identified by file Securities Act, check the following box. Instruction K to read as follows: number, are incorporated by reference; [] (Note: The text of Form S–4 does not, and the required opinions and consents; the If this Form is filed to register amendments thereto will not, appear in the signature page; and any price-related additional securities for an offering Code of Federal Regulations.) information omitted from the earlier pursuant to Rule 462(b) under the registration statement in reliance on FORM S–4 Securities Act, check the following box Rule 430A that the registrant chooses to and list the Securities Act registration SECURITIES AND EXCHANGE include in the new registration statement number of the earlier effective COMMISSION statement. The information contained in registration statement for the same Washington, D.C. 20549 such a Rule 462(b) registration offering. [ ] llll FORM S–4 statement shall be deemed to be a part If this Form is a post-effective of the earlier registration statement as of amendment filed pursuant to Rule REGISTRATION STATEMENT UNDER THE the date of effectiveness of the Rule 462(c) under the Securities Act, check SECURITIES ACT OF 1933 462(b) registration statement. Any the following box and list the Securities lllllllllllllllllllll opinion or consent required in the Rule Act registration statement number of the (Exact name of registrant as specified in its 462(b) registration statement may be earlier effective registration statement charter) incorporated by reference from the llll lllllllllllllllllllll for the same offering. [ ] earlier registration statement with If this Form is a post-effective (State or other jurisdiction of incorporation respect to the offering, if: (i) such or organization) amendment filed pursuant to Rule lllllllllllllllllllll opinion or consent expressly provides 462(d) under the Securities Act, check for such incorporation; and (ii) such (Primary Standard Industrial Classification the following box and list the Securities Code Number) opinion relates to the securities Act registration statement number of the lllllllllllllllllllll registered pursuant to Rule 462(b). See earlier effective registration statement (I.R.S. Employer Identification No.) Rule 411(c) and Rule 439(b) under the for the same offering. [ ] llll lllllllllllllllllllll Securities Act. If delivery of the prospectus is (Address, including zip code, and telephone * * * * * expected to be made pursuant to Rule number, including area code, of 18. By amending Form F–1 434, check the following box. [ ] registrant’s principal executive offices) (referenced in § 239.31) by revising the * * * * * lllllllllllllllllllll facing page to read as follows: 19. By amending Form F–2 (Name, address, including zip code, and (Note: The text of Form F–1 does not, and the (referenced in § 239.32) by revising the telephone number, including area code, amendments thereto will not, appear in the facing page to read as follows: of agent for service) Code of Federal Regulations.) Approximate date of commencement (Note: The text of Form F–2 does not, and the FORM F–1 amendments thereto will not, appear in the of proposed sale to the public llll. SECURITIES AND EXCHANGE Code of Federal Regulations.) If the securities being registered on COMMISSION this Form are being offered in FORM F–2 connection with the formation of a Washington, D.C. 20549 SECURITIES AND EXCHANGE holding company and there is Form F–1 COMMISSION compliance with General Instruction G, REGISTRATION STATEMENT UNDER THE Washington, D.C. 20549 check the following box. [ ] SECURITIES ACT OF 1933 Form F–2 If this Form is filed to register lllllllllllllllllllll additional securities for an offering REGISTRATION STATEMENT UNDER THE (Exact Name of Registrant as specified in its SECURITIES ACT OF 1933 pursuant to Rule 462(b) under the charter) Securities Act, check the following box lllllllllllllllllllll lllllllllllllllllllll and list the Securities Act registration (Translation of Registrant’s name into (Exact Name of Registrant as specified in its statement number of the earlier effective English) charter) registration statement for the same lllllllllllllllllllll lllllllllllllllllllll llll offering. [ ] (State or other jurisdiction of incorporation (Translation of Registrant’s name into If this Form is a post-effective or organization) English) amendment filed pursuant to Rule lllllllllllllllllllll lllllllllllllllllllll 462(d) under the Securities Act, check (Primary Standard Industrial Classification (State or other jurisdiction of incorporation the following box and list the Securities Code Number) or organization) Act registration statement number of the lllllllllllllllllllll lllllllllllllllllllll earlier effective registration statement (I.R.S. Employer Identification No.) (I.R.S. Employer Identification Number) for the same offering. [ ] llll lllllllllllllllllllll lllllllllllllllllllll * * * * * (Address, including zip code, and telephone (Address, including zip code, and telephone number, including area code, of number, including area code, of GENERAL INSTRUCTIONS Registrant’s principal executive offices) Registrant’s principal executive offices) lllllllllllllllllllll * * * * * lllllllllllllllllllll (Name, address, including zip code, and (Name, address, including zip code, and K. Registration of Additional Securities telephone number, including area code, telephone number, including area code, of agent for service) With respect to the registration of of agent for service) additional securities for an offering Approximate date of commencement Approximate date of commencement pursuant to Rule 462(b) under the of proposed sale to the public llll. of proposed sale to the public llll. Securities Act, the registrant may file a If any of the securities being If the only securities being registered registration statement consisting only of registered on this Form are to be offered on this Form are being offered pursuant the following: the facing page; a on a delayed or continuous basis to dividend or interest reinvestment statement that the contents of the earlier pursuant to Rule 415 under the plans, check the following box. [ ] 39766 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

If any of the securities being lllllllllllllllllllll 22. By amending Form D (referenced registered on this Form are to be offered (Address, including zip code, and telephone in § 239.500), Part E, Question 1, by on a delayed or continuous basis number, including area code, of revising the words ‘‘17 CFR 230.252 (c), Registrant’s principal executive offices) (d), (e) or (f)’’ to read ‘‘17 CFR 230.262’’. pursuant to Rule 415 under the lllllllllllllllllllll Securities Act, check the following box. (Note: The text of Form D does not, and the (Name, address, including zip code, and [] amendments will not, appear in the Code of telephone number, including area code, Federal Regulations.) If this Form is filed to register of agent for service) additional securities for an offering Approximate date of commencement PART 240ÐGENERAL RULES AND pursuant to Rule 462(b) under the of proposed sale of the securities to the REGULATIONS, SECURITIES Securities Act, check the following box public EXCHANGE ACT OF 1934 lllllllllllllllllllll and list the Securities Act registration Q 23. The authority citation for part 240 statement number of the earlier effective If this Form is filed to register continues to read in part as follows: registration statement for the same additional securities for an offering offering. [ ] Authority: 15 U.S.C. 77c, 77d, 77g, 77j, pursuant to Rule 462(b) under the 77s, 77z–2, 77eee, 77ggg, 77nnn, 77sss, 77ttt, If this Form is a post-effective Securities Act, check the following box 78c, 78d, 78f, 78i, 78j, 78k, 78k–1, 78l, 78m, amendment filed pursuant to Rule and list the Securities Act registration 78n, 78o, 78p, 78q, 78s, 78u–5, 78w, 78x, 462(c) under the Securities Act, check statement number of the earlier effective 78ll(d), 79q, 79t, 80a–20, 80a–23, 80a–29, 80a–37, 80b–3, 80b–4 and 80b–11, unless the following box and list the Securities registration statement for the same llll otherwise noted. Act registration statement number of the offering. [ ] If this Form is a post-effective * * * * * earlier effective registration statement 24. By adding § 240.12a–8 to read as for the same offering. [ ] amendment filed pursuant to Rule 462(d) under the Securities Act, check follows: If this Form is a post-effective the following box and list the Securities amendment filed pursuant to Rule § 240.12a±8 Exemption of depositary Act registration statement number of the shares. 462(d) under the Securities Act, check earlier effective registration statement Depositary shares (as that term is the following box and list the Securities llll for the same offering. [ ] defined in § 240.12b–2) registered on Act registration statement number of the * * * * * Form F–6 (§ 239.36 of this chapter), but earlier effective registration statement llll GENERAL INSTRUCTIONS not the underlying deposited securities, for the same offering. [ ] shall be exempt from the operation of If delivery of the prospectus is * * * * * section 12(a) of the Act (15 U.S.C. expected to be made pursuant to Rule H. Registration of Additional Securities 78l(a)). 434, check the following box. [ ] 25. By revising the undesignated With respect to the registration of * * * * * subject heading preceding § 240.12d1–1 additional securities for an offering to read as follows: 20. By amending Form F–4 pursuant to Rule 462(b) under the (referenced in § 239.34) by revising the Securities Act, the registrant may file a Certification by Exchanges and facing page and by adding General registration statement consisting only of Effectiveness of Registration Instruction H to read as follows: the following: The facing page; a 26. By amending § 240.12d1–2 by statement that the contents of the earlier revising paragraph (b) and adding (Note: The text of Form F–4 does not, and the paragraph (c) to read as follows: amendments thereto will not, appear in the registration statement, identified by file number, are incorporated by reference; Code of Federal Regulations.) § 240.12d1±2 Effectiveness of registration. required opinions and consents; the FORM F–4 signature page; and any price-related * * * * * information omitted from the earlier (b) A registration statement on Form SECURITIES AND EXCHANGE 8–A (17 CFR 249.208a) for the COMMISSION registration statement in reliance on Rule 430A that the registrant chooses to registration of a class of securities under Washington, D.C. 20549 include in the new registration Section 12(b) of the Act (15 U.S.C. statement. The information contained in 78l(b)) shall become effective: Form F–4 (1) If a class of securities is not such a Rule 462(b) registration concurrently being registered under the REGISTRATION STATEMENT UNDER THE statement shall be deemed to be a part SECURITIES ACT OF 1933 Securities Act of 1933 (‘‘Securities of the earlier registration statement as of lllllllllllllllllllll Act’’), upon the later of receipt by the the date of effectiveness of the Rule Commission of certification from the (Exact Name of Registrant as specified in its 462(b) registration statement. Any national securities exchange or the filing charter) opinion or consent required in the Rule of the Form 8–A with the Commission; lllllllllllllllllllll 462(b) registration statement may be (Translation of Registrant’s name into or incorporated by reference from the (2) If a class of securities is English) earlier registration statement with lllllllllllllllllllll concurrently being registered under the respect to the offering, if: (i) Such Securities Act, upon the later of the (State or other jurisdiction of incorporation opinion or consent expressly provides filing of the Form 8–A with the or organization) for such incorporation; and (ii) such lllllllllllllllllllll Commission, receipt by the Commission opinion relates to the securities of certification from the national (Primary Standard Industrial Classification registered pursuant to Rule 462(b). See securities exchange listed on the Form Code Number) Rule 411(c) and Rule 439(b) under the 8–A or effectiveness of the Securities lllllllllllllllllllll Securities Act. Act registration statement relating to the (I.R.S. Employer Identification Number) * * * * * class of securities. 21. By removing and reserving (c) A registration statement on Form § 239.61 and by removing Form SR. 8–A (17 CFR 249.208a) for the Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39767 registration of a class of securities under have been required to file such a 78n and 78p) to the same extent as the Section 12(g) of the Act (15 U.S.C. statement unless upon consummation of predecessor issuers, except as follows: 78l(g)) shall become effective: the succession: (1) An issuer that is not a foreign (1) If a class of securities is not (1) Such class is exempt from such issuer shall not be eligible to file on concurrently being registered under the registration other than by § 240.12g3–2; Form 20–F (§ 249.220f of this chapter) Securities Act, upon the filing of the (2) All securities of such class are or to use the exemption in § 240.3a12– Form 8–A with the Commission; or held of record by less than 300 persons; 3. (2) If class of securities is or (2) A foreign private issuer shall be (3) The securities issued in concurrently being registered under the eligible to file on Form 20–F (§ 249.220f connection with the succession were Securities Act, upon the later of the of this chapter) and to use the registered on Form F–8 or Form F–80 filing of the Form 8–A with the exemption in § 240.3a12–3. Commission or the effectiveness of the (§ 239.38 or § 239.41 of this chapter) and following the succession the successor (f) An issuer that is deemed to have Securities Act registration statement a class of securities registered pursuant relating to the class of securities. would not be required to register such class of securities under section 12 of to section 12 of the Act (15 U.S.C. 78l) 27. By revising § 240.12g–3 to read as according to paragraphs (a), (b), (c) or follows: the Act (15 U.S.C. 78l) but for this section. (d) of this section shall indicate in the § 240.12g±3 Registration of securities of (c) Where in connection with a Form 8–K (§ 249.308 of this chapter) successor issuers under section 12(b) or succession by merger, consolidation, report filed with the Commission in 12(g). exchange of securities, acquisition of connection with the succession, (a) Where in connection with a assets or otherwise, securities of an pursuant to the requirements of Form 8– succession by merger, consolidation, issuer that are not already registered K, the paragraph of section 12 of the Act exchange of securities, acquisition of pursuant to section 12 of the Act (15 under which the class of securities assets or otherwise, securities of an U.S.C. 78l) are issued to the holders of issued by the successor issuer is deemed issuer that are not already registered classes of securities of two or more other registered by operation of paragraphs pursuant to section 12 of the Act (15 issuers that are each registered pursuant (a), (b), (c) or (d) of this section. If a U.S.C. 78l) are issued to the holders of to section 12 of the Act, the class of successor issuer that is deemed any class of securities of another issuer securities so issued shall be deemed to registered under section 12(g) of the Act that is registered pursuant to either be registered under section 12 of the Act (15 U.S.C. 78l(g)) by paragraph (d) of section 12 (b) or (g) of the Act (15 U.S.C. unless upon consummation of the this section intends to list a class of 78l (b) or (g)), the class of securities so succession: securities on a national securities issued shall be deemed to be registered (1) Such class is exempt from such exchange, it must file a registration under the same paragraph of section 12 registration other than by § 240.12g3–2; statement pursuant to section 12(b) of of the Act unless upon consummation of (2) All securities of such class are the Act (15 U.S.C. 78l(b)) with respect the succession: held of record by less than 300 persons; to that class of securities. (1) Such class is exempt from such or (g) An issuer that is deemed to have registration other than by § 240.12g3–2; (3) The securities issued in a class of securities registered pursuant (2) All securities of such class are connection with the succession were to section 12 of the Act (15 U.S.C. 78l) held of record by less than 300 persons; registered on Form F–8 or Form F–80 according to paragraph (a), (b), (c) or (d) or (§ 239.38 or § 239.41 of this chapter) and of this section shall file an annual report (3) The securities issued in following succession the successor for each fiscal year beginning on or after connection with the succession were would not be required to register such the date as of which the succession registered on Form F–8 or Form F–80 class of securities under section 12 of occurred. Annual reports shall be filed (§ 239.38 or § 239.41 of this chapter) and the Act (15 U.S.C. 78l) but for this within the period specified in the following succession the successor section. appropriate form. Each such issuer shall would not be required to register such (d) If the classes of securities issued file an annual report for each of its class of securities under section 12 of by two or more predecessor issuers (as predecessors that had securities the Act (15 U.S.C. 78l) but for this described in paragraph (c) of this registered pursuant to section 12 of the section. section) are registered under the same Act (15 U.S.C. 78l) covering the last full (b) Where in connection with a paragraph of section 12 of the Act (15 fiscal year of the predecessor before the succession by merger, consolidation, U.S.C. 78l), the class of securities issued registrant’s succession, unless such exchange of securities, acquisition of by the successor issuer shall be deemed report has been filed by the predecessor. assets or otherwise, securities of an registered under the same paragraph of Such annual report shall contain issuer that are not already registered section 12 of the Act. If the classes of information that would be required if pursuant to section 12 of the Act (15 securities issued by the predecessor filed by the predecessor. U.S.C. 78l) are issued to the holders of issuers are not registered under the 28. By revising § 240.13a–1 to read as any class of securities of another issuer same paragraph of section 12 of the Act, follows: that is required to file a registration the class of securities issued by the statement pursuant to either section successor issuer shall be deemed § 240.13a±1 Requirements of annual 12(b) or (g) of the Act (15 U.S.C. 78l(b) registered under section 12(g) of the Act reports. or (g)) but has not yet done so, the duty (15 U.S.C. 78l(g)). Every issuer having securities to file such statement shall be deemed (e) An issuer that is deemed to have registered pursuant to section 12 of the to have been assumed by the issuer of a class of securities registered pursuant Act (15 U.S.C. 78l) shall file an annual the class of securities so issued. The to section 12 of the Act (15 U.S.C. 78l) report on the appropriate form successor issuer shall file a registration according to paragraph (a), (b), (c) or (d) authorized or prescribed therefor for statement pursuant to the same of this section shall file reports on the each fiscal year after the last full fiscal paragraph of section 12 of the Act with same forms and such class of securities year for which financial statements were respect to such class within the period shall be subject to the provisions of filed in its registration statement. of time the predecessor issuer would sections 14 and 16 of the Act (15 U.S.C. Annual reports shall be filed within the 39768 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations period specified in the appropriate receipt by the Commission of of receipt by the Commission of form. certification from the national securities certification from the national securities 29. By removing and reserving exchange listed on the form or the filing exchange listed on this form or the filing § 240.13a–2. of the Form 8–A with the Commission; of the Form 8–A with the Commission; 30. By revising § 240.15d–3 to read as or or follows: (2) If a class of securities is (2) If a class of securities is concurrently being registered under the § 240.15d±3 Reports for depositary shares concurrently being registered under the registered on Form F±6. Securities Act, upon the later of the Securities Act, upon the later of the filing of the Form 8–A with the filing of the Form 8–A with the Annual and other reports are not Commission, receipt by the Commission Commission, receipt by the Commission required with respect to Depositary of certification from the national of certification from the national Shares registered on Form F–6 (§ 230.36 securities exchange listed on the form, securities exchange listed on this form of this chapter). The exemption in this or the effectiveness of the Securities Act or effectiveness of the Securities Act section does not apply to any deposited registration statement relating to the registration statement relating to the securities registered on any other form class of securities. class of securities. under the Securities Act of 1933. (d) If this form is used for the 31. By revising paragraph (a) of (d) If this form is used for the registration of a class of securities under § 240.15d–5 to read as follows: registration of a class of securities under Section 12(g) of the Act (15 U.S.C. Section 12(g), it shall become effective: § 240.15d±5 Reporting by successor 78l(g)), it shall become effective: (1) If a class of securities is not issuers. (1) If a class of securities is not concurrently being registered under the (a) Where in connection with a concurrently being registered under the Securities Act, upon the filing of the succession by merger, consolidation, Securities Act, upon the filing of the Form 8–A with the Commission; or exchange of securities, acquisition of Form 8–A with the Commission; or (2) If class of securities is assets or otherwise, securities of any (2) If a class of securities is concurrently being registered under the issuer that is not required to file reports concurrently being registered under the Securities Act, upon the later of the pursuant to section 15(d) (15 U.S.C. Securities Act, upon the later of the filing of the Form 8–A with the 78o(d)) of the Act are issued to the filing of the Form 8–A with the Commission or the effectiveness of the holders of any class of securities of Commission or the effectiveness of the Securities Act registration statement another issuer that is required to file Securities Act registration statement relating to the class of securities. such reports, the duty to file reports relating to the class of securities. * * * * * pursuant to such section shall be 34. By amending Form 8–A SECURITIES AND EXCHANGE deemed to have been assumed by the (referenced in § 249.208a) by revising COMMISSION issuer of the class of securities so paragraph (c) and adding paragraph (d) Washington, D.C. 20549 issued. The successor issuer shall, after to General Instruction A, by revising the the consummation of the succession, checkboxes on the cover page, by FORM 8–A file reports in accordance with section adding a sentence and blank line for the FOR REGISTRATION OF CERTAIN 15(d) of the Act (15 U.S.C. 78o(d)) and Securities Act registration statement file CLASSES OF SECURITIES PURSUANT TO the rules and regulations thereunder, number after the checkboxes on the SECTION 12(b) OR (g) OF THE SECURITIES unless that issuer is exempt from filing cover page, by revising ‘‘Item 1’’ under EXCHANGE ACT OF 1934 such reports or the duty to file such ‘‘Information Required In Registration * * * * * reports is suspended under section Statement’’, by removing ‘‘I.’’ before the If this form relates to the registration 15(d) of the Act (15 U.S.C. 78o(d)). first Instruction and by removing of a class of securities pursuant to * * * * * Instruction II of the Instructions as to Section 12(b) of the Exchange Act and Exhibits to read as follows: is effective pursuant to General PART 249ÐFORMS, SECURITIES (Note: The text of Form 8–A does not, and Instruction A.(c), check the following EXCHANGE ACT OF 1934 the amendments will not, appear in the Code box. [ ] of Federal Regulations.) If this form relates to the registration 32. The authority citation for part 249 of a class of securities pursuant to continues to read in part as follows: FORM 8–A Section 12(g) of the Exchange Act and Authority 15 U.S.C. 78a, et seq., unless SECURITIES AND EXCHANGE is effective pursuant to General otherwise noted; COMMISSION Instruction A.(d), check the following * * * * * Washington, D.C. 20549 box. [ ] 33. By amending § 249.208a by Securities Act registration statement FORM 8–A revising paragraph (c) and adding file number to which this form relates: paragraph (d) to read as follows: FOR REGISTRATION OF CERTAIN lllllllllllllllllllll CLASSES OF SECURITIES PURSUANT TO (if applicable) § 249.208a Form 8±A, for registration of SECTION 12(b) OR (g) OF THE SECURITIES * * * * * certain classes of securities pursuant to EXCHANGE ACT OF 1934 section 12(b) or (g) of the Securities INFORMATION REQUIRED IN Exchange Act of 1934. GENERAL INSTRUCTIONS REGISTRATION STATEMENT A. Rule as to Use of Form 8–A * * * * * Item 1. Description of Registrant’s * * * * * (c) If this form is used for the Securities to be Registered registration of a class of securities under (c) If this form is used for the Section 12(b) of the Act (15 U.S.C. registration of a class of securities under Furnish the information required by 78l(b)), it shall become effective: Section 12(b), it shall become effective: Item 202 of Regulation S–K (§ 229.202 of (1) If a class of securities is not (1) If a class of securities is not this chapter) or Item 202 of Regulation concurrently being registered under the concurrently being registered under the S–B (§ 228.202 of this chapter), as Securities Act of 1933 (15 U.S.C. 77a et Securities Act of 1933 (15 U.S.C. 77a et applicable. seq.)(’’Securities Act’’), upon the later of seq.) (‘‘Securities Act’’), upon the later * * * * * Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39769

35. By removing and reserving and thereafter on each of its subsequent (v) From the effective date of the § 249.208b and by removing Form 8–B. periodic reports filed pursuant to Securities Act registration statement to 36. By amending Form 10 (referenced sections 13(a) and 15(d) of the Exchange the ending date of the reporting period, in § 249.210) by revising Item 11 to read Act through the later of disclosure of the the amount of expenses incurred for the as follows: application of all the offering proceeds, issuer’s account in connection with the (Note: The text of Form 10 does not, and the or disclosure of the termination of the issuance and distribution of the amendments thereto will not, appear in the offering. If a report of the use of securities registered for underwriting Code of Federal Regulations.) proceeds is required with respect to the discounts and commissions, finders’ first effective registration statement of fees, expenses paid to or for FORM 10 the predecessor issuer, the successor underwriters, other expenses and total * * * * * issuer shall provide such a report. The expenses. Indicate if a reasonable information provided pursuant to estimate for the amount of expenses Item 11. Description of Registrant’s paragraphs (e)(2) through (e)(4) of this incurred is provided instead of the Securities to be Registered Item need only be provided with respect actual amount of expense. Indicate Furnish the information required by to the first periodic report filed pursuant whether such payments were: Item 202 of Regulation S–K (§ 229.202 of to sections 13(a) and 15(d) of the (A) Direct or indirect payments to this chapter). If the class of securities to Exchange Act after effectiveness of the directors, officers, general partners of be registered will trade in the form of registration statement filed under the the issuer or their associates; to persons American Depositary Receipts, furnish Securities Act. Subsequent periodic owning ten (10) percent or more of any Item 202(f) disclosure for such reports filed pursuant to sections 13(a) class of equity securities of the issuer; American Depositary Receipts as well. and 15(d) of the Exchange Act need only and to affiliates of the issuer; or 37. By amending Form 20–F provide the information required in (B) Direct or indirect payments to (referenced in § 249.220f) by removing paragraphs (e)(2) through (e)(4) of this others; from the facing page the words ‘‘(Fee Item if any of such required information (vi) The net offering proceeds to the Required)’’ and ‘‘(No Fee Required)’’, by has changed since the last periodic issuer after deducting the total expenses revising the introductory text of report filed. In disclosing the use of described in paragraph (e)(4)(v) of this paragraph (c) to Item 14 of Part II proceeds in the first periodic report Item; preceding the Instructions, by revising filed pursuant to the Exchange Act, the (vii) From the effective date of the the caption to Item 16 and by adding issuer or successor issuer should Securities Act registration statement to paragraph (e) to Item 16 of Part III to include the following information: the ending date of the reporting period, read as follows: (1) The effective date of the Securities the amount of net offering proceeds to the issuer used for construction of plant, (Note: The text of Form 20–F does not, and Act registration statement for which the use of proceeds information is being building and facilities; purchase and the amendments thereto will not, appear in installation of machinery and the Code of Federal Regulations.) disclosed, the Commission file number assigned to the registration statement; equipment; purchases of real estate; Form 20–F (2) If the offering has commenced, the acquisition of other business(es); repayment of indebtedness; working * * * * * offering date, and if the offering has not commenced, an explanation why it has capital; temporary investments (which PART II not; should be specified); and any other purposes for which at least five (5) Item 14. Description of Securities to be (3) If the offering terminated before percent of the issuer’s total offering Registered any securities were sold, an explanation for such termination; and proceeds or $100,000 (whichever is less) * * * * * (4) If the offering did not terminate has been used (which should be (c) American Depositary Receipts before any securities were sold, specified). Indicate if a reasonable If the class of securities to be disclose: estimate for the amount of net offering registered on Form 20–F is to be traded (i) Whether the offering has proceeds applied instead of the actual in the form of American Depositary terminated and, if so, whether it amount of net offering proceeds used. Receipts, furnish the following terminated before the sale of all Indicate whether such payments were: information: securities registered; (A) Direct or indirect payments to * * * * * (ii) The name(s) of the managing directors, officers, general partners of underwriter(s), if any; the issuer or their associates; to persons PART III (iii) The title of each class of owning ten (10) percent or more of any * * * * * securities registered and, where a class class of equity securities of the issuer; of convertible securities is being and to affiliates of the issuer; or Item 16. Changes in Securities, Changes registered, the title of any class of (B) Direct or indirect payments to in Security for Registered Securities and securities into which such securities others; and Use of Proceeds may be converted; (viii) If the use of proceeds in * * * * * (iv) For each class of securities (other paragraph (e)(4)(vii) of this Item (e) Use of proceeds. than a class of securities into which a represents a material change in the use If required pursuant to Rule 463 (17 class of convertible securities registered of proceeds described in the prospectus, CFR 230.463) under the Securities Act, may be converted without additional the issuer should describe briefly the following the effective date of the first payment to the issuer) the following material change. registration statement filed under the information, provided for both the * * * * * Securities Act by an issuer, the issuer or account of the issuer and the account(s) 38. By amending Form 10–Q successor issuer shall report the use of of any selling security holder(s): the (referenced in § 249.308a) by revising proceeds on its first periodic report filed amount registered, the aggregate price of the caption to Item 2 of Part II, and by pursuant to sections 13(a) and 15(d) of the offering amount registered, the adding paragraph (d) to Item 2 of Part the Exchange Act after effectiveness of amount sold and the aggregate offering II preceding the Instruction to read as its Securities Act registration statement, price of the amount sold to date; follows: 39770 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

(Note: The text of Form 10–Q does not, and PART II food. This action is in response to a food the amendments thereto will not appear in additive petition filed by PPG Item 5. Market for Registrant’s Common the Code of Federal Regulations.) Industries, Inc. Equity and Related Stockholder Matters UNITED STATES * * * * * DATES: Effective July 24, 1997; written SECURITIES AND EXCHANGE (b) If required pursuant to Rule 463 objections and requests for a hearing by COMMISSION (17 CFR 230.463) of the Securities Act August 25, 1997. Washington, D.C. 20549 of 1933, furnish the information ADDRESSES: Submit written objections to required by Item 701(f) of Regulation S– the Dockets Management Branch (HFA– FORM 10–Q K (§ 229.701(f) of this chapter). 305), Food and Drug Administration, * * * * * * * * * * 12420 Parklawn Dr., rm. 1–23, By amending Form 10–KSB Rockville, MD 20857. PART II—OTHER INFORMATION (referenced in § 249.310b) by removing FOR FURTHER INFORMATION CONTACT: * * * * * from the facing page the words ‘‘(Fee Required)’’ and ‘‘(No Fee Required)’’, Andrew J. Zajac, Center for Food Safety Item 2. Changes in Securities and Use of and in Item 5 of Part II by designating and Applied Nutrition (HFS–215), Food Proceeds the current text as paragraph (a) and by and Drug Administration, 200 C St. SW., Washington, DC 20204, 202–418–3095. * * * * * adding paragraph (b) to read as follows: (d) If required pursuant to Rule 463 (Note: The text of Form 10–KSB does not, SUPPLEMENTARY INFORMATION: (17 CFR 230.463) of the Securities Act and the amendments thereto will not, appear in the Code of Federal Regulations.) I. Background of 1933, furnish the information required by Item 701(f) of Regulation S– FORM 10–KSB In a notice published in the Federal K (§ 229.701(f) of this chapter). * * * * * Register of January 5, 1994 (59 FR 590), * * * * * FDA announced that a food additive PART II petition (FAP 3B4363) had been filed by 39. By amending Form 10–QSB PPG Industries, Inc., One PPG Pl., (referenced in § 249.308b) by revising Item 5. Market for Common Equity and Pittsburgh, PA 15272 (formerly 440 the caption to Item 2 of Part II, and by Related Stockholder Matters College Park Dr., Monroeville, PA adding paragraph (d) to Item 2 of Part * * * * * 15146). The petition proposed to amend II preceding the Instruction to read as (b) If required pursuant to Rule 463 the food additive regulations in follows: (17 CFR 230.463) of the Securities Act § 176.200 Defoaming agents used in (Note: The text of Form 10–QSB does not, of 1933, furnish the information coatings (21 CFR 176.200) and § 176.210 and the amendments thereto will not, appear required by Item 701(f) of Regulation S– Defoaming agents used in the in the Code of Federal Regulations.) B (§ 228.701(f) of this chapter). manufacture of paper and paperboard FORM 10–QSB * * * * * (21 CFR 176.210) to provide for the use By the Commission. of α-(dinonylphenyl)-ω-hydroxy- * * * * * Dated: July 18, 1997. poly(oxy-1,2-ethanediyl), containing 7 PART II—OTHER INFORMATION Margaret H. McFarland, to 24 moles of ethylene oxide per mole Deputy Secretary. of dinonylphenol, as a defoaming agent * * * * * [FR Doc. 97–19444 Filed 7–23–97; 8:45 am] used in the production of paper and Item 2. Changes in Securities and Use of BILLING CODE 8010±01±P paperboard and coatings for paper and Proceeds paperboard intended to contact food. The petitioner has subsequently * * * * * DEPARTMENT OF HEALTH AND withdrawn the request for approval of (d) If required pursuant to Rule 463 HUMAN SERVICES the use of the additive in the production (17 CFR 230.463) of the Securities Act of paper and paperboard and has of 1933, furnish the information Food and Drug Administration requested that approval of the additive required by Item 701(f) of Regulation S– be limited to use in styrene-butadiene B (§ 228.701(f) of this chapter). 21 CFR Part 176 polymer coatings for paper and * * * * * [Docket No. 93F±0428] paperboard intended to contact food. 40. By amending Form 10–K In its evaluation of the safety of this (referenced in § 249.310) by removing Indirect Food Additives: Paper and additive, FDA has reviewed the safety of from General Instruction I.(c) the phrase Paperboard Components the additive itself and the chemical ‘‘General Instruction (J)(1)(a)’’ and AGENCY: Food and Drug Administration, impurities that may be present in the adding in its place ‘‘General Instruction HHS. additive resulting from its (I)(1)(a)’’, by removing from the facing manufacturing process. Although the ACTION: Final rule. page the words ‘‘(Fee Required)’’ and additive itself has not been shown to ‘‘(No Fee Required)’’, and in Item 5 of SUMMARY: The Food and Drug cause cancer, it has been found to Part II by designating the current text as Administration (FDA) is amending the contain minute amounts of unreacted paragraph (a) and by adding paragraph food additive regulations to provide for ethylene oxide and minute amounts of (b) to read as follows: the safe use of α-(dinonylphenyl)-ω- 1,4-dioxane as impurities resulting from (Note: The text of Form 10–K does not, and hydroxy-poly(oxy-1,2-ethanediyl), its manufacture. These chemicals have the amendments thereto will not, appear in containing 7 to 24 moles of ethylene been shown to cause cancer in test the Code of Federal Regulations.) oxide per mole of dinonylphenol, as a animals. Residual amounts of impurities component of defoaming agents used in are commonly found as constitutents of FORM 10–K styrene-butadiene coatings for paper chemical products, including food * * * * * and paperboard intended to contact additives. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39771

II. Determination of Safety evaluation of ethylene oxide and 1,4- of squamous cell carcinomas in male Under the so-called ‘‘general safety dioxane has two aspects: (1) Assessment and female rats and hepatocellular clause’’ of the Federal Food, Drug, and of exposure to the impurities from the tumors in female rats and male and Cosmetic Act (the act) (21 U.S.C. petitioned use of the additive; and (2) female mice. Based on the agency’s estimate that 348(c)(3)(A)), a food additive cannot be extrapolation of the risk observed in the exposure to 1,4-dioxane will not exceed approved for a particular use unless a animal bioassays to the conditions of 0.39 ng/person/day, FDA estimates that fair evaluation of the data available to exposure to humans. the upper-bound limit of lifetime FDA establishes that the additive is safe A. Ethylene oxide human risk from the petitioned use of for that use. FDA’s food additive FDA has estimated the exposure to the subject additive is 1.4 x 10-11, or 14 regulations (21 CFR 170.3(i)) define safe ethylene oxide from the petitioned use in a trillion (Ref. 5). Because of the as ‘‘a reasonable certainty in the minds of the additive as a component of numerous conservative assumptions of competent scientists that the defoaming agents used in styrene- used in calculating the exposure substance is not harmful under the butadiene coatings for paper and estimate, the actual lifetime-averaged intended conditions of use.’’ paperboard to be no more than 0.25 part individual exposure to 1,4-dioxane is The food additives anticancer, or per trillion (pptr) in the daily diet (3 kg), likely to be substantially less than the Delaney, clause of the act (21 U.S.C. or 0.75 nanogram (ng)/person/day (Refs. estimated exposure, and therefore, the 348(c)(3)(A)) provides that no food 1 and 2). The agency used data from a probable lifetime human risk would be additive shall be deemed safe if it is long-term rodent bioassay on ethylene less than the upper-bound limit of found to induce cancer when ingested oxide conducted for the Institute of lifetime human risk. Thus, the agency by man or animal. Importantly, Hygiene, University of Mainz, Germany concludes that there is reasonable however, the Delaney clause applies to (Ref. 4), to estimate the upper-bound certainty that no harm from exposure to the additive itself and not to the limit of lifetime human risk from 1,4-dioxane would result from the impurities in the additive. That is, exposure to this chemical resulting from petitioned use of the additive. where an additive itself has not been the petitioned use of the additive. The shown to cause cancer, but contains a author reported that the test material C. Need for Specifications carcinogenic impurity, the additive is caused significantly increased incidence The agency has also considered properly evaluated under the general of squamous cell carcinomas in situ of whether specifications are necessary to safety clause using risk assessment the forestomach and carcinoma in situ control the amount of ethylene oxide procedures to determine whether there of the glandular stomach in female rats. and 1,4-dioxane present as impurities in is a reasonable certainty that no harm Based on the agency’s estimate that the additive. The agency finds that will result from the intended use of the exposure to ethylene oxide will not specifications are not necessary for the additive, Scott v. FDA, 728 F.2d. 322 exceed 0.75 ng/person/day, FDA following reasons: (1) Because of the (6th Cir. 1984). estimates that the upper-bound limit of low levels at which ethylene oxide and III. Safety of Petitioned Use of the lifetime human risk from the petitioned 1,4-dioxane may be expected to remain use of the subject additive is 1.5 x 10-9 Additive , as impurities following production of or 1.5 in a billion (Ref. 5). Because of the the additive, the agency would not FDA estimates that the petitioned use numerous conservative assumptions expect the impurities to become α ω of the additive, -(dinonylphenyl)- - used in calculating the exposure components of food at other than hydroxy-poly(oxy-1,2-ethanediyl), estimate, the actual lifetime-averaged extremely low levels; and (2) the upper- containing 7 to 24 moles of ethylene individual exposure to ethylene oxide is bound limits of lifetime human risk oxide per mole of dinonylphenol, will likely to be substantially less than the from exposure to the impurities, even result in exposure to no greater than 25 estimated exposure, and therefore, the under worst-case assumptions, are very parts per billion (ppb) of the additive in probable lifetime human risk would be low (less than 1.5 in 1 billion). the daily diet (3 kilogram (kg)) or an less than the upper-bound limit of estimated daily intake (EDI) of 75 lifetime human risk. Thus, the agency IV. Conclusion micrograms per person per day (µg/ concludes that there is reasonable FDA has evaluated the data in the person/day) (Refs. 1 and 2). certainty that no harm from exposure to petition and other relevant material. FDA does not ordinarily consider ethylene oxide would result from the Based on this information, the agency chronic toxicological studies to be petitioned use of the additive. concludes that the proposed use of the necessary to determine the safety of an additive as a component of defoaming additive whose use will result in such B. 1,4-Dioxane agents used in styrene-butadiene low exposure levels (Ref. 3), and the FDA has estimated the exposure to coatings for paper and paperboard agency has not required such testing 1,4-dioxane from the petitioned use of intended for contact with food is safe, here. However, the agency has reviewed the additive as a component of and that the additive will achieve its the available toxicological data on the defoaming agents used in styrene- intended technical effect. Therefore, the additive and concludes that the butadiene coatings for paper and agency concludes that the regulations in estimated small dietary exposure paperboard to be no more than 0.13 pptr § 176.200 should be amended as set resulting from the petitioned use of this of the daily diet (3 kg), or 0.39 ng/ forth below. additive is safe. person/day (Refs. 1 and 2). The agency In accordance with § 171.1(h) (21 CFR FDA has evaluated the safety of this used data from a long-term rodent 171.1(h)), the petition and the additive under the general safety clause, bioassay on 1,4-dioxane conducted by documents that FDA considered and considering all available data and using the National Cancer Institute (Ref. 6), to relied upon in reaching its decision to risk assessment procedures to estimate estimate the upper-bound limit of approve the petition are available for the upper-bound limit of lifetime lifetime human risk from exposure to inspection at the Center for Food Safety human risk presented by ethylene oxide this chemical resulting from the and Applied Nutrition by appointment and 1,4-dioxane, the carcinogenic petitioned use of the additive. The with the information contact person chemicals that may be present as authors reported that the test material listed above. As provided in § 171.1(h), impurities in the additive. The risk caused significantly increased incidence the agency will delete from the 39772 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations documents any materials that are not analysis of the specific factual Homburger, J. K. Marquis, and S. Karger, available for public disclosure before information intended to be presented in New York, NY, pp. 24–33, 1985. making the documents available for support of the objection in the event 4. Dunkelberg, H., ‘‘Carcinogenicity of inspection. that a hearing is held. Failure to include Ethylene Oxide and 1,2-Propylene Oxide such a description and analysis for any Upon Intragastric Administration to Rats,’’ V. Environmental Impact British Journal of Cancer, 46:924, 1982. particular objection shall constitute a The agency has carefully considered 5. Memorandum dated July 24, 1996, from waiver of the right to a hearing on the Indirect Additives Branch (HFS–216), to Sara the potential environmental effects of objection. Three copies of all documents H. Henry, Executive Secretary, Quantitative this action. FDA has concluded that the shall be submitted and shall be Risk Assessment Committee (HFS–308), action will not have a significant impact identified with the docket number entitled ‘‘Estimation of the upper-bound on the human environment, and that an found in brackets in the heading of this lifetime risk from ethylene oxide and 1,4- environmental impact statement is not document. Any objections received in dioxane - FAP 3B4363.’’ required. The agency’s finding of no response to the regulation may be seen 6. ‘‘Bioassay of 1,4-Dioxane for Possible significant impact and the evidence in the Dockets Management Branch Carcinogenicity,’’ National Cancer Institute, supporting that finding, contained in an between 9 a.m. and 4 p.m., Monday NCI–CG–TR–80, 1978. environmental assessment, may be seen through Friday. List of Subjects in 21 CFR Part 176 in the Dockets Management Branch (address above) between 9 a.m. and 4 VII. References Food additives, Food packaging. p.m., Monday through Friday. No The following references have been Therefore, under the Federal Food, comments were received during the 30- placed on display in the Dockets Drug, and Cosmetic Act and under day comment period specified in the Management Branch (address above) authority delegated to the Commissioner filing notice for comments on the and may be seen by interested persons of Food and Drugs, 21 CFR part 176 is environmental assessment submitted between 9 a.m. and 4 p.m., Monday amended as follows: with the petition. through Friday. PART 176ÐINDIRECT FOOD VI. Objections 1. Memorandum dated June 19, 1995, from the Chemistry Review Branch (HFS–247), to ADDITIVES: PAPER AND Any person who will be adversely the Indirect Additives Branch (HFS–216) PAPERBOARD COMPONENTS affected by this regulation may at any entitled ‘‘FAP 3B4363 (MATS No. 695; M 2.3 time on or before August 25, 1997, file and M 2.4)-PPG Industries, Inc. 1. The authority citation for 21 CFR with the Dockets Management Branch Dinonylphenol-ethylene oxide adduct for use part 176 continues to read as follows: (address above) written objections as a component of defoaming agents used in Authority: Secs. 201, 402, 406, 409, 721 of thereto. Each objection shall be paper coatings and in the manufacture of the Federal Food, Drug, and Cosmetic Act (21 separately numbered, and each paper and paperboard. Submissions dated 7– U.S.C. 321, 342, 346, 348, 379e). numbered objection shall specify with 12–94, 10–4–94, and 11–1–94.’’ particularity the provisions of the 2. Memorandum dated July 11, 1996, from 2. Section 176.200 is amended in the regulation to which objection is made the Chemistry Review Branch (HFS–247), to table in paragraph (d)(3) by and the grounds for the objection. Each the Indirect Additives Branch (HFS–216) alphabetically adding a new entry under numbered objection on which a hearing entitled ‘‘FAP 3B4363 (MATS No. 695; M the headings ‘‘List of substances’’ and is requested shall specifically so state. 2.4.1)-PPG Industries, Inc. Dinonylphenol- ‘‘Limitations’’ to read as follows: ethylene oxide adduct for use as a Failure to request a hearing for any component of defoaming agents used in particular objection shall constitute a § 176.200 Defoaming agents used in paper coatings. Telefax submissions dated 9– coatings. waiver of the right to a hearing on that 22–95 and 3–7–96.’’ objection. Each numbered objection for 3. Kokoski, C. J., ‘‘Regulatory Food * * * * * which a hearing is requested shall Additive Toxicology’’ in Chemical Safety (d) * * * include a detailed description and Regulation and Compliance, edited by F. (3) * * *

List of substances Limitations

******* α-(Dinonylphenyl)-ω-hydroxy-poly(oxy-1,2-ethanediyl), containing 7 to For use only in defoaming agents for the production of styrene-buta- 24 moles of ethylene oxide per mole of dinonylphenol (CAS Reg. No. diene coatings at a level not to exceed 0.05 percent by weight of the 9014±93±1). finished coating. ******* Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39773

* * * * * This rule increases the filing fee for a Response: The new fees are based on Dated: June 10, 1997. pipeline right-of-way application from the total cost of reviewing and William K.Hubbard, $1,400 to $2,350; the filing fee for a approving many applications and pipeline right-of-way assignment from requests for transfers. The fee charged Associate Commissioner for Policy $50 to $60; and the filing fee for Coordination. for each transaction is an average. If instruments of transfer of a lease or an MMS were to set up a system allowing [FR Doc. 97–19428 Filed 7–23–97; 8:45 am] interest from $25 to $185. a lesser fee for simple transfers or BILLING CODE 4160±01±F MMS published a notice of proposed ‘‘bulk’’ transfers, then the fee for others rulemaking (NPRM) on August 11, 1995 would need to be higher. MMS chose to (60 FR 41034). We received eight charge the same fee for all transactions DEPARTMENT OF THE INTERIOR comment letters responding to the rather than a higher fee for some proposed rule. The comments all transactions and a lower fee for others. Minerals Management Service opposed the increase in fees. The A variable fee structure would be 30 CFR Parts 250 and 256 principal comments and MMS’s difficult to administer and would add responses are as follows: unnecessary administrative costs. RIN 1010±AC04 Comment: Commenters opposed the Comment: MMS should not index the large increase in the fee for transfer of Pipeline Right-of-Way Applications and fees to the CPI. The commenter believed leases. They pointed out that the MMS that with automatic increases in costs, Assignment Fees; Requirements for had proposed an increase of 640 Filing of Lease Transfers MMS would not strive to control percent. Comments suggested a lesser expenses or improve work efficiency, AGENCY: Minerals Management Service, increase based on the increase in the and lessees would be precluded from Interior. Consumer Price Index (CPI) or the any future comment on fee increases. increase in the Council of Petroleum ACTION: Final rule. Others suggested the COPAS Wage Accountants Society’s (COPAS) Wage Index as the appropriate choice of an SUMMARY: The Minerals Management Index. Others suggested a specific index. Service (MMS) amends its regulations amount. Response: Under the Independent Response: We kept the proposed governing the filing fees charged for provision to allow future automatic processing pipeline right-of-way Offices Appropriation Act of 1952 (IOAA), 31 U.S.C. 9701, and Department adjustments in the amount of the fee applications and assignments, and based on the CPI ‘‘U’’. We believe that applications for approval of instruments of the Interior (DOI) implementing policy, MMS is required to charge the a broader inflation index such as the CPI of transfer of a lease or interest. This ‘‘U’’ is a better indicator of changes in amendment increases the filing fees for full cost for services which provide special benefits or privileges to an MMS costs than the suggested COPAS these documents, which will allow Wage Index which specifically reflects MMS to recover the full processing identifiable non-Federal recipient above and beyond those which accrue to the costs in the petroleum industry. (Note: costs. the CPI ‘‘U’’ refers to the CPI for all EFFECTIVE DATE: September 22, 1997. public at large. We do not have the option of choosing to charge less. urban consumers.) FOR FURTHER INFORMATION CONTACT: John Comment: The bonus, royalty, and However, in response to the comment, Mirabella, Engineering and Operations rental payments lessees make are more we revised the rule to allow MMS to Division, at (703) 787–1607. than sufficient to cover any fee increases increase the fee by a percentage equal to SUPPLEMENTARY INFORMATION: MMS last that might be needed. the percentage increase in MMS costs to increased the filing fees for pipeline Response: Bonus, royalty, and rental process applications. MMS will attempt right-of-way applications and payments are compensation for the right to minimize cost increases. The rule assignments on April 1, 1988. At that to explore for, develop, and produce oil provides that if the percentage increase time, the fee for a pipeline right-of-way and gas on the lease. Fees covering in MMS costs is greater than the application was increased to $1,400, pipeline rights-of-way applications or percentage increase in the CPI ‘‘U’’, and the fee for a pipeline right-of-way transfers and fees covering transfers of MMS will provide notice and assignment was increased to $50. MMS leases provide additional benefits not opportunity for comment before has not changed the $25 filing fee for covered by bonus, royalty, and rental changing the fee. Author: This instruments of transfer of a lease or payments. document was prepared by John V. interest since the administration of Comment: MMS should improve its Mirabella, Engineering and Operations regulations concerning Outer business practices and look to reduce Division. Continental Shelf (OCS) minerals and costs internally before passing on costs Executive Order (E.O.) 12866 rights-of-way was transferred to MMS to lessees. from the Bureau of Land Management in Response: MMS is continuously This rule is a significant rule under 1982. looking for ways to improve efficiency E.O. 12866 and has been reviewed by During the years since MMS last and lower costs. This increase reflects the Office of Management and Budget adjusted these filing fees, the costs to both the effects of inflation and the (OMB). MMS estimates that the rule will process these documents have effects of added complexity of reviewing cost industry approximately $670,000 increased. MMS conducted in-house lease transfers. These added per year. This is based on the average cost analyses based on the costs of complexities result from necessary bond number of applications, assignments, salaries and benefits, computer time, reviews. and transfers handled by the Regions in and overhead in each of the regional Comment: Establish a fee schedule for the past. offices to determine the average ‘‘multiples’’ of interests transferred E.O. 12988 processing cost for each of these when one lessee transfers a number of documents. The results showed that interests to another party (i.e., $X per 10 DOI certified to OMB that this rule MMS is undercharging for these transfers). Also, establish a ceiling on meets the applicable civil justice reform services, and, therefore, MMS is the total cost for these types of ‘‘bulk’’ standards provided in sections 3(a) and increasing the fees. transfers. 3(b)(2) of E.O. 12988. 39774 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

Unfunded Mandates Reform Act of of Information and Regulatory Affairs, should tell us what the burden hours 1995 OMB, Attention: Desk Officer for the and costs are that are imposed by this DOI determined and certifies Interior Department (1010–0050 or collection of information. (1) MMS specifically solicits according to the Unfunded Mandates 1010–0006), 725 17th Street NW., comments on the following questions: Reform Act, 2 U.S.C. 1502 et seq., that Washington, D.C. 20503. Send a copy of your comments to the Information (a) Is the proposed collection of this rule will not impose a cost of $100 Collection Clearance Officer, Minerals information necessary for the proper million or more in any given year on Management Service, 1849 C Street performance of MMS’s functions, and State, local, and tribal governments, or NW., MS 4230, Washington, D.C. 20240. will it be useful? the private sector. OMB is required to make a decision (b) Are the burden hours estimates Regulatory Flexibility Act concerning the collection of information reasonable for the proposed collection? contained in this final regulation (c) Do you have any suggestions that DOI determined that this rule will not would enhance the quality, clarity, or have a significant effect on a substantial between 30 and 60 days after publication of this document in the usefulness of the information to be number of small entities. The increase collected? in fees charged by MMS is small relative Federal Register. Therefore, your comments are best assured of being (d) Is there a way to minimize the to the cost of operating on the OCS. We considered by OMB if OMB receives information collection burden on those expect that the increase in the fees will them by August 25, 1997. who are to respond, including the use not affect the number of leases or MMS collects the information under of appropriate automated electronic, pipelines that are transferred each year regulations implementing the OCS mechanical, or other forms of or the number of pipeline right-of-way Lands Act, as amended. MMS uses the information technology? applications requested each year. information to ensure the qualification (2) In addition, the Paperwork Paperwork Reduction Act of assignees and that assignees comply Reduction Act requires agencies to with all requirements for holding a estimate the total annual cost burden to The Paperwork Reduction Act of 1995 pipeline right-of-way. The information respondents or recordkeepers resulting (44 U.S.C. 3501 et seq.) provides that an required is mandatory and/or required from the collection of information. The agency may not conduct or sponsor, and to obtain or retain a benefit under 43 MMS needs your comments on this a person is not required to respond to, U.S.C. 1331 et seq. MMS will protect item. Your response should split the a collection of information unless it information considered confidential or cost estimate into two components: displays a currently valid OMB control proprietary under applicable law and (a) Total capital and startup cost number. Although OMB previously under regulations at 30 CFR 250.18. component and approved the collections of information The average reporting burden (b) Annual operation, maintenance, required by these regulations prior to estimates currently approved by OMB and purchase of services component. this revision, the amount of the filing for the individual sections revised by Your estimates should consider the fees was not subject to OMB review at this rulemaking are: 140 hours per new costs to generate, maintain, and disclose the time the NPRM was published. right-of-way application (§ 250.160), 8 or provide the information. You should Therefore, we did not submit the hours per assignment of right-of-way describe the methods you use to collections in the NPRM to OMB for (§ 250.163), and 5 hours per application estimate major cost factors, including review. However, under the new for approval of any instrument of system and technology acquisition, Paperwork Reduction Act, MMS is now transfer (§ 256.64). The total average expected useful life of capital required to obtain OMB approval as part burden estimates currently approved for equipment, discount rate(s), and the of the final rulemaking process. The OMB control number 1010–0050 are 36 period over which you incur costs. collections of information in this final reporting hours and 20 recordkeeping Capital and startup costs include, rule remain unchanged from the hours. The total average burden estimate among other items, computers and proposed rule. Comments received on currently approved for OMB control software you purchase to prepare for the NPRM are discussed earlier in the number 1010–0006 is 3.5 reporting collecting information; monitoring, preamble. The applicable OMB control hours. This includes the time for sampling, drilling, and testing numbers for the information collections reviewing instructions, searching equipment; and record storage facilities. in this final rule are 1010–0050 (30 CFR existing data sources, gathering and Generally, your estimates should not 250.160 and 250.163) and 1010–0006 maintaining the data needed, and include equipment or services (30 CFR 256.64). The information completing and reviewing the purchased: (i) Before October 1, 1995; collection aspects of this final rule will information collection. In addition to (ii) to comply with requirements not not take effect until approved by OMB. the hour burden, the application filing associated with the information MMS has submitted to OMB fees represent a cost burden to the collection; (iii) for reasons other than to information collection packages for 30 respondents. MMS estimates the annual provide information or keep records for CFR part 250, Subpart J, Pipelines and burdens for the application fees are: the Government; or (iv) as part of Pipeline Rights-of-Way, which includes $246,750. (new right-of-way customary and usual business or private the revised requirements in §§ 250.160 applications, § 250.160), $4,560 practices. and 250.163 (OMB control number (assignments of right-of-way, § 250.163), 1010–0050); and 30 CFR part 256, and $420,875 (applications for approval Takings Implication Assessment Leasing of Sulphur or Oil and Gas in the of any instrument of transfer, § 256.64). DOI determined that this rule does Outer Continental Shelf, which includes In calculating the burdens, MMS may not represent a governmental action the revised requirements in § 256.64 have assumed that respondents perform capable of interfering with (OMB control number 1010–0006). some of the requirements and maintain constitutionally protected rights. Thus, MMS invites the public and other records in the normal course of their DOI does not need to prepare a Takings Federal agencies to comment on the activities. MMS considers these to be Implication Assessment pursuant to collections of information as discussed usual and customary. Commenters are E.O. 12630, Governmental Actions and below. Send comments regarding any invited to provide information if they Interference with Constitutionally aspect of these collections to the Office disagree with this assumption and they Protected Property Rights. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39775

National Environmental Policy Act percentage of the change in costs DEPARTMENT OF TRANSPORTATION DOI determined that this rule does without notice and opportunity for Coast Guard not constitute a major Federal action comment. If costs increase by a percentage more than the percentage significantly affecting the quality of the 33 CFR Part 100 human environment; therefore, an change in the CPI ‘‘U’’ since the last Environmental Impact Statement is not change to the filing fee, MMS will [CGD 05±97±055] required. provide notice and an opportunity to comment before it changes the filing fee. RIN 2115±AE46 List of Subjects in 30 CFR Part 250 *** Special Local Regulations for Marine Continental shelf, Environmental * * * * * Events; Chesapeake Bay Offshore impact statements, Environmental 3. Section 250.163 is amended by Powerboat Challenge, Chesapeake protection, Government contracts, revising the last sentence in paragraph Bay, Kent Island, Maryland Incorporation by reference, (b) and adding three new sentences Investigations, Mineral royalties, Oil following the last sentence to read as AGENCY: Coast Guard, DOT. and gas development and production, follows: ACTION: Temporary final rule. Oil and gas exploration, Oil and gas reserves, Penalties, Pipelines, Public § 250.163 Assignment of a right-of-way SUMMARY: Temporary special local lands—mineral resources, Public grant. regulations are being adopted for the lands—rights-of-way, Reporting and * * * * * Chesapeake Bay Offshore Powerboat recordkeeping requirements, Sulphur (b) * * * A nonrefundable filing fee Challenge race to be held in the development and production, Sulphur of $60 must accompany the application Chesapeake Bay, Kent Island, Maryland. exploration, Surety bonds. for the approval of an assignment. MMS These temporary special local periodically will amend the filing fee regulations are necessary to control List of Subjects for 30 CFR Part 256 based on its experience with the costs vessel traffic in the immediate vicinity Administrative practice and for administering pipeline right-of-way of this event. The effect will be to procedure, Continental shelf, assignment applications. If the costs restrict general navigation in the Government contracts, Incorporation by increase by more than the CPI ‘‘U,’’ regulated area for the safety of reference, Oil and gas exploration, MMS will provide notice and spectators and participants. Public lands—mineral resources, opportunity for comment before EFFECTIVE DATES: This regulation is Reporting and recordkeeping changing the filing fee. For lesser cost effective from 10 a.m. to 6 p.m. EDT requirements, Surety bonds. increases or cost reductions MMS will (Eastern Daylight Time) on July 26 and Dated: May 9, 1997. change the fee without such procedures. 27, 1997. Bob Armstrong, FOR FURTHER INFORMATION CONTACT: PART 256ÐLEASING OF SULPHUR OR Lieutenant James Driscoll, Marine Assistant Secretary, Land and Minerals OIL AND GAS IN THE OUTER Management. Events Coordinator, Commander, Coast CONTINENTAL SHELF Guard Activities, Baltimore, 2401 For the reasons stated in the Hawkins Point Road, Baltimore, preamble, the Minerals Management 4. The authority citation for part 256 Maryland 21226–1791, telephone Service (MMS) amends 30 CFR parts continues to read as follows: number (410) 576–2676. 250 and 256 as follows: Authority: 43 U.S.C. 1331 et seq. SUPPLEMENTARY INFORMATION: In PART 250ÐOIL AND GAS AND 5. Section 256.64 is amended by accordance with 5 U.S.C. 553, a notice SULPHUR OPERATIONS IN THE revising the first sentence in paragraph of proposed rulemaking was not OUTER CONTINENTAL SHELF (a) (8) as redesignated at 62 FR 27959, published for this regulation and good May 22, 1997, effective August 20, 1997, cause exists for making it effective in 1. The authority citation for part 250 and adding three new sentences less than 30 days from the date of continues to read as follows: following the first sentence to read as publication. Following normal Authority: 43 U.S.C. 1331 et seq. follows: rulemaking procedures would have 2. Section 250.160 is amended by § 256.64 Requirements for filing of been impractical. The request to hold revising the fifth sentence in paragraph transfers. the event was not submitted until May 15, 1997. Publishing a notice of (a) and adding three new sentences (a) * * * proposed rulemaking and delaying its following the fifth sentence to read as (8) A nonrefundable filing fee of $185 effective date would be contrary to follows: must accompany an application for safety interests, since immediate action approval of any instrument of transfer § 250.160 Applications for a pipeline right- is needed to minimize potential danger required to be filed. MMS periodically of-way grant. to the public posed by the large number will amend the filing fee based on its (a) * * * A nonrefundable filing fee of racing vessels participating in this experience with the costs for of $2,350 and the rental required under event. § 250.159(c)(2) of this part must administering lease transfer accompany a new right-of-way applications. If the costs increase by Discussion of Regulations application. MMS periodically will more than the CPI ‘‘U,’’ MMS will On July 26 and 27, 1997, the amend the filing fee based on its provide notice and opportunity for Chesapeake Bay Power Boat Association experience with the costs for comment before changing the filing fee. will sponsor the Chesapeake Bay administering pipeline right-of-way For lesser cost increases or cost Offshore Powerboat Challenge race in applications. If the costs change by a reductions MMS will change the fee the Chesapeake Bay near Kent Island, percentage of not more than the without such procedures. * ** Maryland. The event will consist of percentage change in the CPI ‘‘U’’ since * * * * * Offshore Performance Boats racing at the last change to the filing fee, MMS [FR Doc. 97–19383 Filed 7–23–97; 8:45 am] high speeds along a 3 mile oval course. will amend the application fee by the BILLING CODE 4310±MR±P These regulations are necessary to 39776 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations control spectator craft and provide for Environment Dated: July 10, 1997. the safety of life and property on Roger T. Rufe, Jr. navigable waters during the event. The Coast Guard considered the Vice Admiral, U.S. Coast Guard Commander, environmental impact of this rule and 5th Coast Guard District. Regulatory Evaluation concluded that, under section [FR Doc. 97–19406 Filed 7–23–97; 8:45 am] 2.b.2.e(34)(h) of Commandant BILLING CODE 4910±14±M This rule is not a significant Instruction M16475.1b (as amended, 61 regulatory action under section 3(f) of FR 13564; March 27, 1996), this rule is Executive Order 12866 and does not categorically excluded from further FEDERAL COMMUNICATIONS require an assessment of potential costs environmental documentation. and benefits under section 6(a)(3) of that COMMISSION order. It has been exempted from review List of Subjects in 33 CFR Part 100 47 CFR Parts 32, 43, and 64 by the Office of Management and Marine safety, Navigation (water), Budget under that order. It is not [CC Docket No. 96±193; FCC 97±145] Reporting and recordkeeping significant under the regulatory policies requirements, Waterways. and procedures of the Department of Reform of Filing Requirements and Transportation (DOT) (44 FR 11040; Temporary Regulations Carrier Classifications; Anchorage February 26, 1979). The Coast Guard Telephone Utility, Petition for Withdrawal of Cost Allocation Manual expects the economic impact of this In consideration of the foregoing, part 100 of Title 33, Code of Federal proposal to be so minimal that a full AGENCY: Federal Communications Regulations is amended as follows: Regulatory Evaluation under paragraph Commission. 10e of the regulatory procedures of DOT PART 100Ð[AMENDED] ACTION: Final rule. is unnecessary. Entry into the regulated SUMMARY: In this Report and Order area will only be prohibited while the 1. The authority citation for part 100 (Order), the Commission revised the race boats are actually competing. continues to read as follows: Because vessels will be allowed to rules governing filing requirements for Authority: 33 U.S.C. 1233; 49 CFR 1.46 and transit the event area between heats, the cost allocation manuals (CAMs) and 33 CFR 100.35. impacts on routine navigation are Automated Reporting Management Information System (ARMIS) reports so expected to be minimal. 2. A temporary § 100.35–T05–055 is that these rules are in accord with the added to read as follows: Small Entities 1996 Act. Specifically, the Order: § 100.35±T05±055 Chesapeake Bay, Kent provides for a uniform filing date of Under the Regulatory Flexibility Act Island, Maryland. April 1 for all ARMIS reports; reduces (5 U.S.C. 601 et seq.), the Coast Guard the 60-day notice period for a carrier to must consider whether this rule will (a) Definitions. (1) Regulated area: make changes to its CAM to 15 days; have a significant economic impact on The waters of the Chesapeake Bay makes permanent our interim rules for a substantial number of small entities. southeast of the William P. Lane Jr. measuring inflation, used to adjust the ‘‘Small entities’’ include independently Memorial Bridge (Route 50/301) threshold revenue values in our rules; owned and operated small businesses commencing at a point on the shoreline ° ′ ′′ permits carriers to file the interstate that are not dominant in their field and at latitude 38 58 50 North, longitude ° ′ ′′ carrier quarterly report on an annual that otherwise qualify as ‘‘small 76 20 07 West, thence west to latitude basis; and eliminates the supplemental 38°58′50′′ North, longitude 38°56′07′′ business concerns’’ under section 3 of ° ′ ′′ reporting requirement. North, longitude 76 23 00 West, thence This Order also addresses a Motion the Small Business Act (15 U.S.C. 632). ° ′ ′′ The Coast Guard expects the economic south to latitude 76 23 00 West, thence for Reconsideration filed by Anchorage east to the Kent Island shoreline at Telephone Utility (ATU). On June 22, impact of this rule to be minimal, and ° ′ ′′ latitude 38 56 07 North, longitude 1995, ATU filed a petition seeking a certifies under Section 605(b) of the ° ′ ′′ Regulatory Flexibility Act (5 U.S.C. 601 76 21 45 West. All coordinates declaratory ruling that it is not required reference Datum: NAD 1983. et seq.) that this temporary final rule to file ARMIS reports or, in the will not have a significant economic (2) Coast Guard Patrol Commander. alternative, a waiver of these filing impact on a substantial number of small The Coast Guard Patrol Commander is requirements or rulemaking to amend entities because the regulations will a commissioned, warrant, or petty the Commission’s filing requirements. only be in effect for a short duration in officer of the Coast Guard who has been In its Petition for Reconsideration, ATU a limited area. designated by the Commander, Coast argues that the Commission should Guard Activities Baltimore. require only incumbent local exchange Collection of Information (b) Special Local Regulations. (1) carriers with more than 2% of the Except for participants in the nation’s access lines to comply with the These regulations contain no CAM and ARMIS filing requirements. In collection of information requirements Chesapeake Bay Offshore Powerboat Challenge race and vessels authorized this Order, the Commission denies under the Paperwork Reduction Act of ATU’s Petition for Reconsideration and 1995 (44 U.S.C. 3501 et seq.). by the Coast Guard Patrol Commander, no person or vessel may enter or remain retains the $107 million annual revenue Federalism in the regulated area without the threshold (adjusted annually for permission of the Patrol Commander. inflation, and since raised to $109 The Coast Guard has analyzed this million) indicating which incumbent rule under the principles and criteria (2) The Patrol Commander will allow local exchange carriers must comply contained in Executive Order 12612 and vessel traffic to transit the event area with the Commission’s CAM and has determined that this rule does not between races. ARMIS reporting and filing have sufficient federalism implications (c) Effective dates. This regulation is requirements. However, because ATU to warrant the preparation of a effective from 10 a.m. to 6 p.m. EDT on sufficiently demonstrated that its annual Federalism Assessment. July 26 and 27, 1997. revenues may soon decrease to a level Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39777 below the filing and reporting threshold, carrier quarterly report on an annual It is further ordered that, pursuant to the Commission granted ATU a limited basis; and (5) eliminate the § 43.21(b) sections 402(b)(2)(B) of the two-year waiver of the ARMIS reporting supplemental reporting requirement. Telecommunications Act of 1996, requirements. The cost allocation manual is reviewed Public Law 104–104, and sections 1, 4, EFFECTIVE DATE: August 25, 1997. by the Commission to ensure that all 201–205, 215, 218, 220 of the FOR FURTHER INFORMATION CONTACT: costs are properly classified between Communications Act of 1934, as Warren Firschein, Accounting and regulated and nonregulated activities. amended, 47 U.S.C. 151(a), 154, 201– Audits Division, Common Carrier The 15-day notice requirement provides 205, 215, 218 and 220, the Petition for Bureau, (202) 418–0844. the Commission with sufficient time to Reconsideration by Anchorage determine whether further information Telephone Utility is denied. SUPPLEMENTARY INFORMATION: On is required to facilitate its review September 12, 1996, the Commission process and, if necessary, to issue a List of Subjects released an Order and Notice of temporary stay until the carrier submits 47 CFR Part 32 Proposed Rulemaking (the Order and additional information concerning Communications common carriers, NPRM) (61 FR 50266, September 25, proposed changes. 1996) modifying the rules as directed by Public reporting burden for the Reporting and recordkeeping the 1996 Act to require only annual collection of information is as noted requirements, Telephone, Uniform ARMIS reports and annual cost above. Send comments regarding the System of Accounts. allocation manual revisions. burden estimate or any other aspect of 47 CFR Part 43 Furthermore, because the 1996 Act did the collection of information, including Communications common carriers, not specify how the Commission should suggestions for reducing the burden to Radio, Reporting and recordkeeping measure inflation in adjusting annual Performance Evaluation and Records requirements, Telegraph, Telephone. revenue thresholds used to define (or Management, Washington, DC 20554. identify) those incumbent local An agency may not conduct or sponsor 47 CFR Part 64 exchange carriers that must file these and a person is not required to respond Civil defense, Claims, annual reports, the Commission adopted to a collection of information unless it Communications common carriers, interim rules that adjust those displays a currently valid control Computer technology, Credit, Foreign thresholds for inflation using a number. generally-available inflation index. The Regulatory Flexibility Analysis: We relations, Individuals with disabilities, Order and NPRM sought comment on have determined that section 605(b) of Political candidates, Radio, Reporting additional modifications to the rules, the Regulatory Flexibility Act of 1980, 5 and recordkeeping requirements, such as whether the Commission should U.S.C. 605(b), does not apply to these Telegraph, Telephone. modify or eliminate the 60-day advance rules because they will not have a Federal Communications Commission. notice requirement for cost allocation significant economic impact on the William F. Caton, manual revisions as well as which carriers that must comply with our Acting Secretary. permanent inflation measure the filing and reporting requirements. This Commission should incorporate into the Order adjusts our filing and reporting Rules Changes rules pertaining to carrier classification threshold for inflation and allows Parts 32, 43 and 64 of title 47 of the and reporting requirements. carriers to file ARMIS reports on an Code of Federal Regulations are annual basis. As such, it prevents amended to read as follows: Paperwork Reduction Analysis additional carriers from becoming OMB Control No.: 3060–0470. subject to these filing and reporting PART 32ÐUNIFORM SYSTEM OF Expiration Date: 08/31/98. requirements solely due to the ACCOUNTS FOR Title: Computer III Remand cumulative effect of inflationary TELECOMMUNICATIONS COMPANIES Proceeding: Bell Operating Company pressure. It also reduces the regulatory 1. The authority citation for part 32 is Safeguards and Tier 1 Local Exchange burden on those carriers that must revised to read as follows: Company Safeguards and comply with our ARMIS filing Implementation of further Cost requirements by allowing these reports Authority: 47 U.S.C. 154(i), 154(j) and 220; Allocation Uniformity. to be filed only once per year. Telecommunications Act of 1996, Pub. L. Form No.: N/A. Accordingly, we certify that the rules 104–104, sec. 402(c), 110 Stat. 56 (1996) as amended unless otherwise noted. Estimated Annual Burden: 18 adopted or modified in this Order will respondents; 300 hours per response not have a significant economic impact 2. Section 32.11 is amended by (avg.) x 2 responses annually; 10,800 on a significant number of small revising paragraphs (a)(1) and (a)(2) to total annual burden hours. entities. read as follows: Estimated Annual Reporting and Recordkeeping Cost Burden: $0. Ordering Clause § 32.11 Classification of companies. Frequency of Response: On occasion. Accordingly, it is ordered that, (a) * * * Needs and Uses: In the Report and pursuant to sections 402(b)(2)(B) and (1) Class A. Companies having annual Order, the Commission revised these 402(c) of the Telecommunications Act revenues from regulated rules to: (1) Provide for a uniform filing of 1996, Pub. L. 104–104, and sections telecommunications operations that are date of April 1 for all ARMIS reports; (2) 1, 4, 201–205, 215, 218, 220 of the equal to or above the indexed revenue reduce the 60-day notice period for a Communications Act of 1934, as threshold. carrier to make changes to its CAM to amended, 47 U.S.C. 151(a), 154, 201– (2) Class B. Companies having annual 15 days; (3) make permanent the 205, 215, 218 and 220, and section revenues from regulated Commission’s interim rules for 553(b)(B) of the Administrative telecommunications operations that are measuring inflation, used to adjust the Procedure Act, 5 U.S.C. 553(b)(B), parts less than the indexed revenue threshold. threshold revenue values in part 43 and 32, 43, and 64 of the Commission’s * * * * * §§ 32.11 and 64.904 of the rules; (4) rules, 47 CFR parts 32, 43, and 64 are 3. Section 32.9000 is amended by permit carriers to file § 43.22 interstate amended. adding the definition of ‘‘indexed 39778 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations revenue threshold for a given year’’ in publication of that indexed revenue shall file, no later than April 1 of each alphabetical order to read as follows: threshold in the Federal Register. year, reports showing: § 32.9000 Glossary of terms. 3. Section 43.21 is amended by * * * * * revising the first two sentences of (f) Each local exchange carrier with * * * * * paragraph (a), removing paragraph (b), operating revenues for the preceding Indexed revenue threshold for a given redesignating paragraphs (c) through (g) year that equal or exceed the indexed year means $100 million, adjusted for as paragraphs (b) through (f), revising revenue threshold shall file, no later inflation, as measured by the the newly redesignated paragraphs (b), than April 1 of each year, a report Department of Commerce Gross and (c), the introductory text of (e), and showing for the previous calendar year Domestic Product Chain-type Price paragraph (f), and adding new its revenues, expenses, taxes, plant in Index (‘‘GDP–CPI’’), for the period from paragraphs (g), (h), (i), (j), and (k) to read service, other investment and October 19, 1992 to the given year. The as follows: depreciation reserves, and such other indexed revenue threshold for a given data as are required by the Commission, year shall be determined by multiplying § 43.21 Annual reports of carriers and on computer media prescribed by the certain affiliates. $100 million by the ratio of the annual Commission. The total operating results value of the GDP–CPI for the given year (a) Communication common carriers shall be allocated between regulated and to the estimated seasonally adjusted having annual operating revenues in nonregulated operations, and the GDP–CPI on October 19, 1992. The excess of the indexed revenue regulated data shall be further divided indexed revenue threshold shall be threshold, as defined in § 32.9000, and into the following categories: State and rounded to the nearest $1 million. The certain companies (as indicated in interstate, and the interstate will be seasonally adjusted GDP–CPI on paragraph (b) of this section) directly or further divided into common line, October 19, 1992 is determined to be indirectly controlling such carriers shall traffic sensitive access, special access 100.69. file with the Commission annual reports and nonaccess. * * * * * or an annual letter as provided in this (g) Each local exchange carrier for section. Except as provided in whom price cap regulation is mandatory PART 43ÐREPORTS OF paragraph (b) of this section, each and every local exchange carrier that COMMUNICATION COMMON annual report required by this section elects to be covered by the price cap CARRIERS AND CERTAIN AFFILIATES shall be filed no later than April 1 of rules shall file, by April 1 of each year, each year, covering the preceding a report designed to capture trends in 1. The authority citation for part 43 is calendar year. * ** service quality under price cap revised to read as follows: (b) Each company, not itself a regulation. The report shall contain data Authority: 47 U.S.C. 154; relative to network measures of service Telecommunications Act of 1996, Pub. L. communication common carrier, that directly or indirectly controls any quality, as defined by the Common 104–104, secs. 402 (b)(2)(B), (c), 110 Stat. 56 Carrier Bureau, from the previous (1996) as amended unless otherwise noted. communication common carrier that has 47 U.S.C. 211, 219, 220 as amended. annual operating revenues equal to or calendar year on a study area basis. above the indexed revenue threshold, as (h) Each local exchange carrier for 2. Section 43.01 is amended by defined in § 32.9000, shall file annually whom price cap regulation is mandatory revising paragraph (b) and adding new with the Commission, not later than the shall file, by April 1 of each year, a paragraph (c) to read as follows: date prescribed by the Securities and report designed to capture trends in service quality under price cap § 43.01 Applicability. Exchange Commission for its purposes, regulation. The report shall contain data * * * * * two complete copies of any annual report Forms 10–K (or any superseding relative to customer measures of service (b) Except as provided in paragraph form) filed with that Commission. quality, as defined by the Common (c) of this section, carriers becoming Carrier Bureau, from the previous (c) Each miscellaneous common subject to the provisions of the several calendar year on a study area basis. carrier (as defined by § 21.2 of this sections of this part for the first time, (i) Each local exchange carrier for chapter) with operating revenues for a shall, within thirty (30) days of whom price cap regulation is mandatory calendar year in excess of the indexed becoming subject, file the required data shall file, by April 1 of each year, a revenue threshold, as defined in as set forth in the various sections of the report containing data from the previous § 32.9000, shall file with the Common part. calendar year on a study area basis that Carrier Bureau Chief a letter showing its (c) Carriers becoming subject to the are designed to capture trends in operating revenues for that year and the provisions of §§ 43.21 and 43.43 for the telephone industry infrastructure value of its total communications plant first time, because their annual development under price cap at the end of that year. This letter must operating revenues equal or exceed the regulation. be filed no later than April 1 of the indexed revenue threshold for a given (j) Each local exchange carrier with following year. Those miscellaneous year, shall begin collecting data annual operating revenues that equal or common carriers with annual operating pursuant to such provisions in the exceed the indexed revenue threshold revenues that equal or surpass the calendar year following the publication shall file, no later than April 1 of each indexed revenue threshold for the first of that indexed revenue threshold in the year, a report containing data from the time may file the letter up to one month Federal Register. With respect to such previous calendar year on an operating after publication of the adjusted revenue initial filing of reports by any carrier, company basis. Such report shall threshold in the Federal Register, but in pursuant to the provisions of § 43.21 (d), contain statistical data designed to no event shall such carriers be required (e), (f), (g), (h), (i), (j), and (k), the carrier monitor network growth, usage, and to file the letter prior to April 1. is to begin filing data for the calendar reliability. year following the publication of that * * * * * (k) Each designated interstate carrier indexed revenue threshold in the (e) Each local exchange carrier with with operating revenues for the Federal Register by April 1 of the annual operating revenues equal to or preceding year that equal or exceed the second calendar year following above the indexed revenue threshold indexed revenue threshold shall file, no Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39779 later than April 1 of each year, a report (b) Each carrier shall ensure that the directed by the Chief, Common Carrier showing for the previous calendar year information contained in its cost Bureau. its revenues, expenses, taxes, plant in allocation manual is accurate. Carriers * * * * * service, other investment and must update their cost allocation [FR Doc. 97–19534 Filed 7–23–97; 8:45 am] depreciation reserves, and such other manuals at least annually, except that BILLING CODE 6712±01±P data as are required by the Commission, changes to the cost apportionment table on computer media prescribed by the and to the description of time reporting Commission. The total operating results procedures must be filed at least 15 days FEDERAL COMMUNICATIONS shall be allocated between regulated and before the carrier plans to implement COMMISSION nonregulated operations, and the the changes. Annual cost allocation regulated data shall be further divided manual updates shall be filed on or 47 CFR Part 73 into the following categories: State and before the last working day of each interstate, and the interstate will be calendar year. Proposed changes in the [MM Docket No. 96±164; RM±8847] further divided into common line, description of time reporting traffic sensitive access, special access, Radio Broadcasting Services; Parker, and nonaccess. procedures, the statement concerning affiliate transactions, and the cost AZ § 43.22 [Removed] apportionment table must be AGENCY: Federal Communications 4. Section 43.22 is removed. accompanied by a statement quantifying Commission. 5. Paragraph (a) of § 43.43 is revised the impact of each change on regulated to read as follows: operations. Changes in the description ACTION: Final rule. of time reporting procedures and the § 43.43 Reports of proposed changes in SUMMARY: This document allots Channel statement concerning affiliate depreciation rates. 230C3 to Parker, Arizona, as that (a) Each communication common transactions must be quantified in community’s second local FM carrier with annual operating revenues $100,000 increments at the account transmission service in response to a that equal or exceed the indexed level. Changes in cost apportionment petition filed by Rick L. Murphy. See 61 revenue threshold, as defined in tables must be quantified in $100,000 FR 4114, August 7, 1996. Coordinates § 32.9000, and that has been found by increments at the cost pool level. The used for Channel 230C3 at Parker are this Commission to be a dominant Chief, Common Carrier Bureau may 34–08–48 and 114–17–12. As Parker, carrier with respect to any suspend any such changes for a period Arizona, is located within 320 communications service shall, before not to exceed 180 days, and may kilometers (199 miles) of the Mexico making any change in the depreciation thereafter allow the change to become border, the Commission obtained the rates applicable to its operated plant, effective or prescribe a different concurrence of the Mexican government file with the Commission a report procedure. to the allotment of Channel 230C3 at furnishing the data described in the * * * * * that community. With this action, the subsequent paragraphs of this section, 3. Paragraph (a) of § 64.904 is revised proceeding is terminated. and also comply with the other to read as follows: DATES: Effective September 2, 1997. The requirements thereof. window period for filing applications * * * * * § 64.904 Independent Audits. for Channel 230C3 at Parker, Arizona, PART 64ÐMISCELLANEOUS RULES (a) Each local exchange carrier will open on September 2, 1997, and RELATING TO COMMON CARRIERS required to file a cost allocation manual, close on October 3, 1997. by virtue of having annual operating FOR FURTHER INFORMATION CONTACT: 1. The authority citation for part 64 is revenues that equal or exceed the Nancy Joyner, Mass Media Bureau, (202) revised to read as follows: indexed revenue threshold for a given 418–2180. Questions related to the Authority: 47 U.S.C. 154; year or by order of the Commission, window application filing process for Telecommunications Act of 1996, Pub. L. shall have an audit performed by an Channel 230C3 at Parker, Arizona, 104–104, secs. 402 (b)(2)(B), (c), 110 Stat. 56 independent auditor on an annual basis, should be addressed to the Audio (1996), as amended unless otherwise noted. 47 U.S.C. 201, 218, 226, 228, as amended with the initial audit performed in the Services Division, (202) 418–2700. unless otherwise noted. calendar year after the carrier is first SUPPLEMENTARY INFORMATION: This is a required to file a cost allocation manual. 2. Section 64.903 is amended by synopsis of the Commission’s Report The audit shall provide a positive revising the introductory text of and Order, MM Docket No. 96–164, opinion on whether the applicable data paragraph (a) and paragraph (b) to read adopted July 9, 1997, and released July as follows: shown in the carrier’s annual report 18, 1997. The full text of this required by § 43.21(e)(2) of this chapter Commission decision is available for § 64.903 Cost allocation manuals. present fairly, in all material respects, inspection and copying during normal (a) Each local exchange carrier with the information of the carrier required to business hours in the FCC’s Reference annual operating revenues that equal or be set forth therein in accordance with Center (Room 239), 1919 M Street, NW., exceed the indexed revenue threshold, the carrier’s cost allocation manual, the Washington, DC. The complete text of as defined in § 32.9000 of this chapter, Commission’s Joint Cost Orders issued this decision may also be purchased shall file with the Commission within in conjunction with CC Docket No. 86– from the Commission’s copy 90 days after the publication of that 111 and the Commission’s rules and contractors, International Transcription threshold in the Federal Register, a regulations including §§ 32.23 and 32.27 Service, Inc., 2100 M Street, NW., Suite manual containing the following of this chapter, 64.901, and 64.903 in 140, Washington, DC 20037, (202) 857– information regarding its allocation of force as of the date of the auditor’s 3800. costs between regulated and report. The audit shall be conducted in List of Subjects in 47 CFR Part 73 nonregulated activities: accordance with generally accepted * * * * * auditing standards, except as otherwise Radio broadcasting. 39780 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

Part 73 of Title 47 of the Code of Nevada. Channel 271C3 can be allotted FEDERAL COMMUNICATIONS Federal Regulations is amended as to Reno at Station KRNV–FM’s COMMISSION follows: presently licensed transmitter site, at coordinates 39–35–03 NL; 119–47–52 47 CFR Part 73 PART 73Ð[AMENDED] WL. Channel 222C2 can be allotted to 1. The authority citation for Part 73 Susanville at the transmitter site [MM Docket No. 97±88; RM±9031] continues to read as follows: specified in Station KHJQ’s outstanding construction permit (BPH–961017IB), at Radio Broadcasting Services; Authority: Secs. 303, 48 Stat., as amended, coordinates 40–27–13 NL; 120–34–14 Centennial, WY 1082; 47 U.S.C. 154, as amended. WL. With this action, this proceeding is AGENCY: terminated. Federal Communications § 73.202 [Amended] Commission. 2. Section 73.202(b), the Table of FM DATES: Effective September 2, 1997. The ACTION: Final rule. Allotments under Arizona, is amended window period for filing applications by adding Channel 230C3 at Parker. for Channel 268A at Truckee, CA, and SUMMARY: The Commission, at the Federal Communications Commission. Channel 222C3 at Smith, NV will open request of Red Rock Broadcasting, allots on September 2, 1997, and close on John A. Karousos, Channel 224A at Centennial, Wyoming October 3, 1997. Chief, Allocations Branch, Policy and Rules as the community’s first local aural Division, Mass Media Bureau. FOR FURTHER INFORMATION CONTACT: transmission service. See 62 FR 1251, [FR Doc. 97–19533 Filed 7–23–97; 8:45 am] Leslie K. Shapiro, Mass Media Bureau, March 14, 1997. Channel 224A can be (202) 418–2180. BILLING CODE 6712±01±P allotted at Centennial in compliance SUPPLEMENTARY INFORMATION: This is a with the Commission’s minimum synopsis of the Commission’s Report distance separation requirements with a FEDERAL COMMUNICATIONS and Order, MM Docket No. 96–103, site restriction of 11.9 kilometers (7.4 COMMISSION adopted July 9, 1997, and released July miles) east to avoid a short-spacing to 18, 1997. The full text of this the licensed site of Station KIQZ(FM), 47 CFR Part 73 Commission decision is available for Channel 224A, Rawlins, Wyoming. The [MM Docket No. 96±103; RM±8794, RM± inspection and copying during normal coordinates for Channel 224A at 8839] business hours in the FCC Reference Centennial are North Latitude 41–19–03 Center (Room 239), 1919 M Street, NW., and West Longitude 105–59–55. With Radio Broadcasting Services; Smith Washington, DC. The complete text of this action, this proceeding is and Reno, NV, Susanville and Truckee, this decision may also be purchased terminated. CA from the Commission’s copy contractor, DATES: Effective September 2, 1997. The International Transcription Services, window period for filing applications AGENCY: Federal Communications Inc., (202) 857–3800, 1231 20th Street, Commission. for Channel 224A at Centennial, NW, Washington, DC 20036. Wyoming, will open on September 2, ACTION: Final rule. List of Subjects in 47 CFR Part 73 1997, and close on October 3, 1997. SUMMARY: The Commission, at the FOR FURTHER INFORMATION CONTACT: request of Donegal Enterprises, Inc., Radio broadcasting. Sharon P. McDonald, Mass Media allot Channel 222C3 to Smith, NV, as Part 73 of Title 47 of the Code of Bureau, (202) 418–2180. the community’s first local aural Federal Regulations is amended as SUPPLEMENTARY INFORMATION: This is a service. See 61 FR 21425, May 10, 1996. follows: synopsis of the Commission’s Report At the request of Chris Kidd d/b/a Kidd PART 73Ð[AMENDED] and Order, MM Docket No. 97–88, Communications, the Commission allots adopted July 9, 1997, and released July Channel 268A to Truckee, CA, as the 1. The authority citation for Part 73 18, 1997. The full text of this community’s first local aural service, continues to read as follows: Commission decision is available for substitutes Channel 271C3 for Channel inspection and copying during normal 269C3 at Reno, NV, modifies the license Authority: Secs. 303, 48 Stat., as amended, 1082; 47 U.S.C. 154, as amended. business hours in the FCC Reference of Station KRNV–FM to specify the Center (Room 239), 1919 M Street, NW., alternate channel, substitutes Channel § 73.202 [Amended] Washington, DC. The complete text of 222C2 for Channel 271C2 at Susanville, 2. Section 73.202(b), the Table of FM this decision may also be purchased CA, and modifies the license of Station Allotments under California, is from the Commission’s copy contractor, KHJQ to specify the alternate Class C2 amended by removing Channel 271C2 International Transcription Service, channel. Channel 222C3 can be allotted and adding Channel 222C2 at Inc., (202) 857–3800, 2100 M Street, to Smith, Nevada, in compliance with Susanville, and by adding Truckee, NW., Suite 140, Washington, DC 20037. the Commission’s minimum distance Channel 268A. List of Subjects in 47 CFR Part 73 separation requirements with a site 3. Section 73.202(b), the Table of FM restriction of 0.7 kilometers (0.4 miles) Allotments under Nevada, is amended Radio broadcasting. south, at coordinates 38–47–39 North by removing Channel 269C3 and adding Part 73 of Title 47 of the Code of Latitude and 119–19–31 West Channel 271C3 at Reno, and by adding Federal Regulations is amended as Longitude, to avoid a short-spacing to Smith, Channel 222C3. follows: Station KZSR, Channel 225C, Reno, Nevada. Channel 268A can be allotted Federal Communications Commission. PART 73Ð[AMENDED] to Truckee, California, with a site John A. Karousos, restriction of 9.3 kilometers (5.8 miles) Chief, Allocations Branch, Policy and Rules 1. The authority citation for Part 73 west, at coordinates 39–17–45 NL; 120– Division, Mass Media Bureau. continues to read as follows: 16–57 WL, to avoid a short-spacing to [FR Doc. 97–19532 Filed 7–23–97; 8:45 am] Authority: Sections 303, 48 Stat., as Station KRNG, Channel 267C2, Fallon, BILLING CODE 6712±01±P amended, 1082; 47 U.S.C. 154, as amended. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39781

§ 73.202 [Amended] PART 73Ð[AMENDED] Service, Inc., (202) 857–3800, 2100 M 2. Section 73.202(b), the Table of FM Street, NW., Suite 140, Washington, DC Allotments under Wyoming, is amended 1. The authority citation for Part 73 20037. continues to read as follows: by adding Centennial, Channel 224A. List of Subjects in 47 CFR Part 73 Authority: Secs. 303, 48 Stat., as amended, Federal Communications Commission. 1082; 47 U.S.C. 154, as amended. Radio broadcasting. John A. Karousos, Federal Communications Commission. § 73.202 [Amended] Chief, Allocations Branch, Policy and Rules Douglas W. Webbink, Division, Mass Media Bureau. 2. Section 73.202(b), the Table of FM Chief, Policy and Rules Division, Mass Media [FR Doc. 97–19531 Filed 7–23–97; 8:45 am] Allotments under Louisiana, is Bureau. BILLING CODE 6712±01±M amended by adding Atlanta, Channel [FR Doc. 97–19528 Filed 7–23–97; 8:45 am] 293A. BILLING CODE 6712±01±P Federal Communications Commission. FEDERAL COMMUNICATIONS COMMISSION John A. Karousos, Chief, Allocations Branch, Policy and Rules FEDERAL COMMUNICATIONS 47 CFR Part 73 Division, Mass Media Bureau. COMMISSION [FR Doc. 97–19530 Filed 7–23–97; 8:45 am] 47 CFR Part 73 [MM Docket No. 97±105; RM±9046] BILLING CODE 6712±01±P [MM Docket No. 97±96; RM±8756] Radio Broadcasting Services; Atlanta, LA FEDERAL COMMUNICATIONS Television Broadcasting Services; COMMISSION Johnstown and Jeannette, PA AGENCY: Federal Communications Commission. 47 CFR Part 73 AGENCY: Federal Communications ACTION: Final rule. Commission. [MM Docket No. 95±126, RM±8671] ACTION: Final rule. SUMMARY: The Commission, at the Radio Broadcasting Services; request of Winn Parish Broadcasting, SUMMARY: The Commission, at the Denison-Sherman, Paris, Jacksboro, allots Channel 293A to Atlanta, request of Venture Technologies Group, TX, and Madill, OK Louisiana, as the community’s first local Inc., reallots TV Channel 19+ from aural transmission service. See 62 FR AGENCY: Federal Communications Johnstown to Jeannette, Pennsylvania, 15869, April 3, 1997. Channel 293A can Commission. and modifies Station WTWB–TV’s be allotted to Atlanta in compliance ACTION: Final rule; petition for license to specify Jeannette as its new with the Commission’s minimum reconsideration. community of license. See 62 FR 14092, distance separation requirements March 25, 1997. Channel 19+ can be without the imposition of a site SUMMARY: This document denies the allotted to Jeannette in compliance with restriction. The coordinates for Channel petition for reconsideration filed by the Commission’s minimum distance 293A at Atlanta are 31–48–18 NL and CarePhil Communications and affirms separation requirements with a site 92–44–36 WL. With this action, this our action in the Report and Order, 61 restriction of 41.1 kilometers (25.6 proceeding is terminated. FR 24465 (May 15, 1996) which miles) southeast at petitioner’s DATES: Effective September 2, 1997. The substituted Channel 269C1 for Channel authorized site. The coordinates for TV window period for filing applications 269C3 at Denison-Sherman, TX, Channel 19+ at Jeannette are North will open on September 2, 1997, and substituted FM Channel Channel 252A Latitude 40–10–51 and West Longitude close on October 3, 1997. for Channel 269A at Jacksboro, TX, 79–09–46. Since Jeannette is located FOR FURTHER INFORMATION CONTACT: Pam substituted FM Channel 282C2 for within 400 kilometers (250 miles) of the Blumenthal, Mass Media Bureau, (202) Channel 270C2 at Paris, TX, and FM U.S.-Canadian border, concurrence of 418–2180. Channel 273A for Channel 272A at the Canadian government has been Madill, Oklahoma and modified the obtained. With this action, this SUPPLEMENTARY INFORMATION: This is a necessary FM licenses accordingly. proceeding is terminated. synopsis of the Commission’s Report With this action, this proceeding is and Order, MM Docket No. 97–105, EFFECTIVE DATE: September 2 , 1997. terminated. adopted July 9, 1997, and released July FOR FURTHER INFORMATION CONTACT: 18, 1997. The full text of this EFFECTIVE DATE: July 24, 1997. Sharon P. McDonald, Mass Media Commission decision is available for FOR FURTHER INFORMATION CONTACT: Bureau, (202) 418–2180. inspection and copying during normal Arthur D. Scrutchins, Mass Media SUPPLEMENTARY INFORMATION: This is a business hours in the FCC Reference Bureau, (202) 418–2180. synopsis of the Commission’s Report Center (Room 239), 1919 M Street, NW, SUPPLEMENTARY INFORMATION: This is a and Order, MM Docket No. 97–96, Washington, DC. The complete text of synopsis of the Commission’s adopted July 14, 1997 and released July this decision may also be purchased Memorandum Opinion and Order, MM 18, 1997, full text of this Commission from the Commission’s copy contractor, Docket No. 95–126, adopted July 9, 1997 decision is available for inspection and ITS, Inc., (202) 857–3800, 2100 M and released July 18, 1997. The full text copying during normal business hours Street, NW, Suite 140, Washington, DC of this Commission decision is available in the FCC Reference Center (Room 20037. for inspection and copying during 239), 1919 M Street, NW., Washington, List of Subjects in 47 CFR Part 73 normal business hours in the FCC DC. The complete text of this decision Reference Center (Room 239), 1919 M may also be purchased from the Radio broadcasting. St., NW., Washington, DC. The complete Commission’s copy contractors, Part 73 of title 47 of the Code of text of this decision may also be International Transcription Service, Federal Regulations is amended as purchased from the Commission’s copy Inc., (202) 857–3800, 1231 20th Street, follows: contractors, International Transcription NW., Washington, DC 20036. 39782 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

List of Subjects in 47 CFR Part 73 FOR FURTHER INFORMATION CONTACT: Mr. DEPARTMENT OF COMMERCE Television broadcasting. Svein Fougner, 562–980–4034; or Mr. Alvin Z. Katekaru, 808–973–2985. National Oceanic and Atmospheric Part 73 of Title 47 of the Code of Administration Federal Regulations is amended as SUPPLEMENTARY INFORMATION: On June follows: 23, 1997, a harvest guideline of 322,912 50 CFR Part 679 spiny and slipper lobsters was PART 73Ð[AMENDED] [Docket No. 961126334±7025±02, I.D. published in the Federal Register (62 071897A] 1. The authority citation for Part 73 FR 33761) as the allowable harvest continues to read as follows: permitted in the NWHI for the 1997 Fisheries of the Economic Exclusive Authority: Sections 303, 48 Stat., as fishing season, which began on July 1. Zone Off Alaska; Deep-Water Species amended, 1082; 47 U.S.C. 154, as amended. Through July 17, approximately 226,000 Fishery by Vessels Using Trawl Gear in spiny and slipper lobsters will have the Gulf of Alaska § 73.606 [Amended] been harvested by commercial fishing AGENCY: National Marine Fisheries 2. Section 73.606(b), the Table of TV vessels, and the average daily harvest Allotments under Pennsylvania, is Service (NMFS), National Oceanic and has been more than 16,000 lobsters. amended by adding Jeannette, Channel Atmospheric Administration (NOAA), Based on recent daily catch rates for the 19+. Commerce. fishing fleet, the Acting Regional ACTION: Closure. Federal Communications Commission. Administrator of the Southwest Region John A. Karousos, projects that the harvest guideline will SUMMARY: NMFS is closing directed Chief, Allocations Branch, Policy and Rules be reached and, therefore, the lobster fishing for species that comprise the Division, Mass Media Bureau. season will close at 2400 hours (local deep-water species fishery by vessels [FR Doc. 97–19527 Filed 7–23–97; 8:45 am] time) on July 22. Further, for vessels using trawl gear in the Gulf of Alaska BILLING CODE 6712±01±P without VMS units, landings of lobster (GOA). This action is necessary because taken in Permit Area 1 are prohibited the third seasonal bycatch allowance of after 2400 hours (local time) July 26, Pacific halibut apportioned to the deep- water species fishery in the GOA has DEPARTMENT OF COMMERCE 1997. been caught. National Oceanic and Atmospheric On July 1, 1997, a final rule DATES: Effective 1200 hrs, Alaska local Administration implementing a VMS program in the time (A.l.t.), July 20, 1997, until 1200 crustacean fishery of the NWHI was hrs, A.l.t., October 1, 1997. 50 CFR Part 660 published in the Federal Register (62 FOR FURTHER INFORMATION CONTACT: [Docket No. 970612136±7136±01; I.D. FR 35448). Lobster vessels carrying Thomas Pearson, 907–486–6919. 071797B] VMS units are prohibited from SUPPLEMENTARY INFORMATION: The possessing lobster traps in Crustaceans Fisheries Off West Coast States and in groundfish fishery in the GOA exclusive Permit Area 1 VMS Subarea after the economic zone is managed by NMFS the Western Pacific; Western Pacific closure date. The Acting Regional Crustacean Fisheries; 1997 Closure according to the Fishery Management Administrator of the Southwest Region Plan for Groundfish of the Gulf of AGENCY: National Marine Fisheries has determined that lobster vessels Alaska (FMP) prepared by the North Service (NMFS), National Oceanic and without VMS units will be prohibited Pacific Fishery Management Council Atmospheric Administration (NOAA), from landing lobster 96 hours following under authority of the Magnuson- Commerce. the closure date. Stevens Fishery Conservation and ACTION: Closure of the fishery. Management Act. Fishing by U.S. Classification vessels is governed by regulations SUMMARY: NMFS announces the closure This action is authorized by 50 CFR implementing the FMP at subpart H of of the Northwestern Hawaiian Islands 50 CFR part 600 and 50 CFR part 679. (NWHI) crustacean fishery due to part 660.50 and is not subject to review under E.O. 12866. The prohibited species bycatch attainment of the harvest guideline for mortality allowance of Pacific halibut the 1997 fishing season. Lobster vessels Authority: 16 U.S.C. 1801 et seq. for the GOA trawl deep-water species carrying vessel monitoring system Dated: July 18, 1997. fishery, which is defined at (VMS) units must be outside the Gary C. Matlock, § 679.21(d)(3)(iii)(B), was established as Crustaceans Permit Area 1 VMS Subarea 400 metric tons by the Final 1997 after the closure date. Vessels without Director, Office of Sustainable Fisheries, Harvest Specifications of Groundfish for National Marine Fisheries Service. VMS units are prohibited from landing the GOA (62 FR 8179, February 24, lobster after 96 hours following the [FR Doc. 97–19557 Filed 7–21–97; 3:38 pm] 1997) for the third season, the period closure date. This action is intended to BILLING CODE 3510±22±F July 1, 1997 through September 30, prevent overfishing and to achieve 1997. optimum yield according to the In accordance with § 679.21(d)(7)(i), objectives of the Fishery Management the Administrator, Alaska Region, Plan for the Crustacean Fisheries of the NMFS (Regional Administrator), has Western Pacific Region (FMP). determined that the third seasonal DATES: Fishing for lobsters in the NWHI apportionment of the 1997 Pacific is prohibited from 2400 hours (local halibut bycatch mortality allowance time) on July 22, 1997, through June 30, specified for the trawl deep-water 1998. After 2400 hours (local time) July species fishery in the GOA has been 26, 1997, through June 30, 1998, vessels caught. Consequently, the Regional without VMS units are prohibited from Administrator is closing directed fishing landing lobsters taken from the NWHI. for species that comprise the deep-water Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39783 species fishery by vessels using trawl DEPARTMENT OF COMMERCE GOA was established by the Final 1997 gear in the GOA. The species and Harvest Specifications of Groundfish for species groups that comprise the deep- National Oceanic and Atmospheric the GOA (62 FR 8179, February 24, water species fishery are: All rockfish of Administration 1997) as 5,352 metric tons (mt), determined in accordance with the genera Sebastes and Sebastolobus, 50 CFR Part 679 Greenland turbot, Dover sole, rex sole, § 679.20(c)(3)(ii). arrowtooth flounder, and sablefish. [Docket No. 961126334±7025±02; I.D. In accordance with § 679.20(d)(2), the 071897B] Maximum retainable bycatch amounts Administrator, Alaska Region, NMFS, may be found in the regulations at Fisheries of the Exclusive Economic has determined that the 1997 TAC for § 679.20 (e) and (f). Zone Off Alaska; Pacific Ocean Perch Pacific ocean perch in the Central in the Central Regulatory Area of the Regulatory Area of the GOA has been Classification Gulf of Alaska reached. Therefore, NMFS is requiring that further catches of Pacific ocean This action responds to the best AGENCY: National Marine Fisheries perch in the Central Regulatory Area of available information recently obtained Service (NMFS), National Oceanic and the GOA be treated as prohibited from the fishery. It must be Atmospheric Administration (NOAA), species in accordance with § 679.21(b). implemented immediately to prevent Commerce. Classification exceeding the third seasonal allowance ACTION: Closure. of halibut mortality in the GOA. This action responds to the best Providing prior notice and an SUMMARY: NMFS is prohibiting retention of Pacific ocean perch in the Central available information recently obtained opportunity for public comment on this from the fishery. It must be action is impracticable and contrary to Regulatory Area of the Gulf of Alaska (GOA). NMFS is requiring that catch of implemented immediately to prevent public interest. The fleet will soon take overharvesting the 1997 TAC for Pacific the seasonal allowance of halibut Pacific ocean perch in this area be treated in the same manner as ocean perch in the Central Regulatory mortality. Further delay would only prohibited species and discarded at sea Area of the GOA; therefore, providing result in the seasonal allowance being with a minimum of injury. This action notice and opportunity for public exceeded and disrupt the FMP’s is necessary because the Pacific ocean comment is impracticable and contrary objective of seasonally apportioning perch 1997 total allowable catch (TAC) to public interest. NMFS finds for good halibut mortality throughout the year. in this area has been reached. cause that the implementation of this NMFS finds for good cause that the DATES: Effective 1200 hrs, Alaska local action cannot be delayed for 30 days. implementation of this action cannot be time (A.l.t.), July 19, 1997, until 2400 The fleet has already taken the TAC for delayed for 30 days. Accordingly, under hrs, A.l.t., December 31, 1997. Pacific ocean perch. Further delay would only result in overharvest and U.S.C. 553(d), a delay in the effective FOR FURTHER INFORMATION CONTACT: disrupt the FMP’s objective of allowing date is hereby waived. Mary Furuness, 907–586–7228. incidental catch to be retained This action is required by 50 CFR SUPPLEMENTARY INFORMATION: The throughout the year. Accordingly, under 679.21 and is exempt from review under groundfish fishery in the GOA exclusive 5 U.S.C. 553(d)(1), a delay in the E.O. 12866. economic zone is managed by NMFS effective date is hereby waived. Authority: 16 U.S.C. 1801 et seq. according to the Fishery Management Plan for Groundfish of the Gulf of This action is required by § 679.20 Dated: July 18, 1997. Alaska (FMP) prepared by the North and is exempt from review under E.O. Gary C. Matlock, Pacific Fishery Management Council 12866. Director, Office of Sustainable Fisheries, under authority of the Magnuson- Authority: 16 U.S.C. 1801 et seq. National Marine Fisheries Service. Stevens Fishery Conservation and Dated: July 18, 1997. [FR Doc. 97–19457 Filed 7–21–97; 10:40 am] Management Act. Fishing by U.S. Gary C. Matlock, BILLING CODE 3510±22±P vessels is governed by regulations implementing the FMP at subpart H of Director, Office of Sustainable Fisheries, 50 CFR part 600 and 50 CFR part 679. National Marine Fisheries Service. The 1997 TAC of Pacific ocean perch [FR Doc. 97–19458 Filed 7–21–97; 10:40 am] in the Central Regulatory Area of the BILLING CODE 3510±22±P 39784

Proposed Rules Federal Register Vol. 62, No. 142

Thursday, July 24, 1997

This section of the FEDERAL REGISTER are intended to prevent failure of the Commenters wishing the FAA to contains notices to the public of the proposed elevator bungee spring, which could acknowledge receipt of their comments issuance of rules and regulations. The result in a reduction in elevator control submitted in response to this notice purpose of these notices is to give interested and consequent loss of control of the must submit a self-addressed, stamped persons an opportunity to participate in the airplane. postcard on which the following rule making prior to the adoption of the final rules. DATES: Comments must be received on statement is made: ‘‘Comments to or before September 22, 1997. Docket No. 90–CE–65–AD.’’ The ADDRESSES: Submit comments in postcard will be date stamped and DEPARTMENT OF TRANSPORTATION triplicate to the Federal Aviation returned to the commenter. Administration (FAA), Central Region, Availability of NPRMs Federal Aviation Administration Office of the Assistant Chief Counsel, Attention: Rules Docket No. 90–CE–65– Any person may obtain a copy of this 14 CFR Part 39 AD, Room 1558, 601 E. 12th Street, NPRM by submitting a request to the FAA, Central Region, Office of the [Docket No. 90±CE±65±AD] Kansas City, Missouri 64106. Comments may be inspected at this location Assistant Chief Counsel, Attention: RIN 2120±AA64 between 8 a.m. and 4 p.m., Monday Rules Docket No. 90–CE–65–AD, Room through Friday, holidays excepted. 1558, 601 E. 12th Street, Kansas City, Airworthiness Directives; The New Missouri 64106. Piper Aircraft, Inc. Models PA±31, PA± Service information that applies to the 31±300, PA±31±325, PA±31±350, and proposed AD may be obtained from The Discussion New Piper Aircraft, Inc., Customer PA±31P Airplanes AD 79–01–04, Amendment 39–3381, Services, 2926 Piper Drive, Vero Beach, currently requires repetitively Florida 32960. This information also AGENCY: Federal Aviation inspecting the elevator bungee spring, may be examined at the Rules Docket at Administration, DOT. Piper part number (P/N) 42377–02, for the address above. ACTION: Notice of proposed rulemaking cracks or surface deformities on certain (NPRM). FOR FURTHER INFORMATION CONTACT: Piper Aircraft Corporation (known Christina Marsh, Aerospace Engineer, currently as The New Piper Aircraft, SUMMARY: This document proposes to FAA, Atlanta Aircraft Certification Inc.) Model PA–31–350 airplanes, and supersede Airworthiness Directive (AD) Office, Campus Building, 1701 replacing any elevator bungee spring 79–01–04, which currently requires Columbia Avenue, suite 2–160, College with cracks or surface deformities. AD repetitively inspecting the elevator Park, Georgia 30337–2748; telephone 79–01–04 also provides the option of bungee spring for cracks or surface (404) 305–7362; facsimile (404) 305– installing an improved design elevator deformities on certain Piper Aircraft 7348. bungee spring, Piper P/N 71056–02, as Corporation (known currently as The SUPPLEMENTARY INFORMATION: terminating action for the repetitive New Piper Aircraft, Inc.) Model PA–31– inspection requirement of that AD. 350 airplanes, and replacing any Comments Invited elevator bungee spring with cracks or Interested persons are invited to Actions Since Issuance of Previous AD surface deformities. The proposed AD participate in the making of the The FAA has received six reports of would retain the repetitive inspection proposed rule by submitting such elevator bungee spring failure on and replacement requirements from AD written data, views, or arguments as airplanes incorporating elevator bungee 79–01–04 on The New Piper Aircraft, they may desire. Communications spring, Piper P/N 42377–02, that are not Inc. (Piper) Model PA–31–350 airplanes should identify the Rules Docket affected by AD 79–01–04. In addition, until an elevator bungee spring of number and be submitted in triplicate to the FAA has received reports of improved design is installed; would the address specified above. All cracking in the Piper P/N 71056–02 require these repetitive inspection and communications received on or before elevator bungee spring on Piper Model replacement requirements on other the closing date for comments, specified PA–31–350 airplanes that had this part Piper PA–31 and PA–31P series above, will be considered before taking installed as terminating action for the airplanes not affected by AD 79–01–04; action on the proposed rule. The repetitive inspection requirement of AD and would require replacing the proposals contained in this notice may 79–01–04, as well as other Piper elevator bungee link with a link of be changed in light of the comments airplane models that had the improved improved design on all airplanes except received. design elevator spring installed at for the Piper Model PA–31P airplanes, Comments are specifically invited on manufacture. This includes certain and repetitively replacing the elevator the overall regulatory, economic, Piper Models PA–31, PA–31–300, PA– bungee spring on all airplanes. The environmental, and energy aspects of 31–325, PA–31–350, and PA–31P proposed AD results from reports of the proposed rule. All comments airplanes. These cracks are occurring cracked elevator bungee springs on submitted will be available, both before when the affected airplanes incur over airplanes incorporating the older design and after the closing date for comments, 1,000 hours time-in-service (TIS) on the elevator bungee spring that are not in the Rules Docket for examination by elevator bungee spring. affected by AD 79–01–04, and by reports interested persons. A report that Analysis performed by Piper and the of cracked elevator bungee springs on summarizes each FAA-public contact FAA reveals that repetitive inspections airplanes that have improved design concerned with the substance of this should not be required on the Piper P/ elevator bungee springs installed. The proposal will be filed in the Rules N 71056–02 elevator bungee springs actions specified by the proposed AD Docket. provided they are repetitively replaced Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39785 at intervals not to exceed 1,000 hours 71056–03 (or FAA-approved repetitively replacing the P/N 42376–05 TIS. The FAA’s policy is to not rely on equivalent part number) elevator elevator bungee link on the Piper Model repetitive inspections to detect cracks bungee spring. PA–31P airplanes. The FAA has when an improved design part is Accomplishment of the proposed determined that the P/N 42376–05 available. inspections would be in accordance elevator bungee link is compatible with In addition, Piper has developed P/N with Piper SB No. 626C, dated February the P/N 42377–02 and P/N 71056–03 71056–03 elevator bungee springs that 28, 1997. Accomplishment of the elevator bungee springs and are of almost identical design to the P/ proposed replacements would be in replacement of the elevator bungee links N 71056–02 elevator bungee springs. accordance with Section IV, Surface on Piper Model PA–31P airplanes is not Relevant Service Information Controls, of the applicable maintenance necessary. manual for all PA–31 series airplanes, Piper has revised Service Bulletin No. Cost Impact except for the Model PA–31P airplanes. 626B to the 626C level to include Accomplishment of the proposed The FAA estimates that 1,325 procedures for inspecting elevator airplanes in the U.S. registry would be replacements for the Model PA–31P bungee springs on Piper PA–31 series affected by the proposed AD, that it airplanes would be in accordance with airplanes. would take approximately 1 workhour Piper Service Bulletin No. 1002, dated In addition, Piper issued Service per airplane to accomplish the proposed Bulletin No. 1002, dated June 5, 1997, June 5, 1997. The affected airplanes could have replacement, and that the average labor which includes procedures for replacing rate is approximately $60 an hour. Parts elevator bungee springs and links the elevator bungee springs on Piper cost approximately $60 per airplane. installed that have Parts Manufacturer Model PA–31P airplanes. Based on these figures, the total cost Approval (PMA). For those airplanes impact of the proposed AD on U.S. The FAA’s Determination having PMA parts that are equivalent operators is estimated to be $159,000. After examining the circumstances (PMA by equivalency) to those The above figures only take into and reviewing all available information referenced in the proposed AD, the account the cost of the initial related to the incidents described above, phrase ‘‘or FAA-approved equivalent replacement and do not take into the FAA has determined that (1) part number’’ means that the proposed account the cost of repetitive repetitive inspections should not be actions, if followed by a final rule, replacements. The FAA has no way of relied on to detect cracks on the Piper would also apply to airplanes with PMA determining how many repetitive P/N 42377–02 elevator bungee springs by equivalency elevator bungee springs replacements each owner/operator may because improved Piper P/N 71056–02 and links installed. incur over the life of an affected and P/N 71056–03 elevator bungee Differences Between the Proposed AD airplane. The figure also does not springs exist; and (2) AD action should and Piper Service Bulletins include the cost of the repetitive be taken to prevent failure of the inspections for the Piper PA–31 and Piper Service Bulletin No. 626C, elevator bungee spring, which could PA–31P series airplanes that would be dated February 28, 1997, specifies result in a reduction in elevator control required until mandatory replacement replacing the bungee links every 1,000 and consequent loss of control of the of the elevator bungee spring. The FAA flight hours, and specifies repetitive airplane. has no way of determining how many of inspections of both the Piper P/N the affected airplanes would still have Explanation of the Provisions of the 42377–02 (or FAA-approved equivalent the old design elevator bungee spring Proposed AD part number) and P/N 71056–02 (or still installed and would be subject to FAA-approved equivalent part number) Since an unsafe condition has been the proposed repetitive inspections. The elevator bungee springs on Piper PA–31 identified that is likely to exist or FAA believes that most Piper PA–31 series airplanes, except for Model PA– develop in other Piper PA–31 and PA– and PA–31P series airplane owners/ 31P airplanes. The proposed AD would 31 series airplanes of the same type operators have already exceeded 1,000 only require a one-time replacement of design, the FAA is proposing an AD to hours TIS and would replace the the elevator bungee link on these supersede AD 79–01–04. The proposed elevator bungee spring within 100 hours airplanes, and would not require AD would retain the repetitive TIS of the effective date of the AD (if repetitive inspections of the Piper P/N inspection and replacement eventually adopted as a final rule) 71056–02 (or FAA-approved equivalent requirements from AD 79–01–04 on instead of repetitively inspecting the part number) elevator bungee spring. Piper Model PA–31–350 airplanes until older design elevator bungee spring. an elevator bungee spring of improved The FAA has determined that: design is installed; would require these —Based on history and design data, a Regulatory Impact repetitive inspection and replacement life limit is not required for the P/N The regulations proposed herein requirements on other Piper PA–31 and 71086–03 (or FAA-approved would not have substantial direct effects PA–31P series airplanes not affected by equivalent part number) elevator on the States, on the relationship AD 79–01–04; and would require the bungee links; and between the national government and following: —Because the Piper P/N 71056–02 (or the States, or on the distribution of —Replacing the elevator bungee link FAA-approved equivalent part power and responsibilities among the with a Piper part number (P/N) number) and P/N 71056–03 (or FAA- various levels of government. Therefore, 71086–03 (or FAA-approved approved equivalent part number) in accordance with Executive Order equivalent part number) elevator elevator bungee springs have the same 12612, it is determined that this bungee link on all Piper PA–31 series structural design, repetitive proposal would not have sufficient airplanes, except for the Piper Model inspections are only needed on the federalism implications to warrant the PA–31P airplanes; and Piper P/N 42377–02 (or FAA- preparation of a Federalism Assessment. —Repetitively replacing the elevator approved equivalent part number) For the reasons discussed above, I bungee spring with a Piper P/N elevator bungee springs. certify that this action (1) is not a 71056–02 (or FAA-approved In addition, Piper Service Bulletin No. ‘‘significant regulatory action’’ under equivalent part number) or P/N 1002, dated June 5, 1997, specifies Executive Order 12866; (2) is not a 39786 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules

‘‘significant rule’’ under DOT this AD; and, if the unsafe condition has not (b) Upon accumulating 1,000 hours TIS on Regulatory Policies and Procedures (44 been eliminated, the request should include a Piper P/N 42377–02, 1056–02, or 71056–03 FR 11034, February 26, 1979); and (3) if specific proposed actions to address it. (or FAA-approved equivalent part number) promulgated, will not have a significant Compliance: Required as indicated in the elevator bungee spring or within the next 100 economic impact, positive or negative, body of this AD, unless already hours TIS after the effective date of this AD, on a substantial number of small entities accomplished. whichever occurs later, accomplish the under the criteria of the Regulatory To prevent failure of the elevator bungee following: spring, which could result in a reduction in (1) For all affected Models PA–31, PA–31– Flexibility Act. A copy of the draft elevator control and consequent loss of 300, PA–31–325, and regulatory evaluation prepared for this control of the airplane, accomplish the PA–31–350 airplanes, replace the elevator action has been placed in the Rules following: bungee link with a Piper P/N 71086–03 (or Docket. A copy of it may be obtained by Note 2: The airplanes affected by this AD FAA-approved equivalent part number) contacting the Rules Docket at the could have elevator bungee springs and links location provided under the caption installed that have Parts Manufacturer elevator bungee link in accordance with ADDRESSES. Approval (PMA). For those airplanes having Section IV, Surface Controls, of the PMA parts that are equivalent (PMA by applicable maintenance manual, unless List of Subjects in 14 CFR Part 39 equivalency) to those referenced in the already accomplished. Air transportation, Aircraft, Aviation proposed AD, the phrase ‘‘or FAA-approved (2) For all affected airplanes, replace the safety, Safety. equivalent part number’’ means that this AD elevator bungee spring with a Piper P/N applies to airplanes with PMA by 71056–02 (or FAA-approved equivalent part The Proposed Amendment equivalency elevator bungee springs and number) or Piper P/N 71056–03 (or FAA- Accordingly, pursuant to the links installed. approved equivalent part number). authority delegated to me by the (a) For any affected airplane incorporating (i) For all affected Models PA–31, PA–31– Administrator, the Federal Aviation a Piper part number (P/N) 42377–02 (or FAA- 300, PA–31–325, and Administration proposes to amend 14 approved equivalent part number) elevator PA–31–350 airplanes, accomplish this CFR part 39 of the Federal Aviation bungee spring where the elevator bungee replacement in accordance with Section IV, spring has 900 hours TIS or less, accomplish Regulations as follows: Surface Controls, of the applicable the following: maintenance manual. (1) Within the next 100 hours time-in- PART 39ÐAIRWORTHINESS (ii) For the affected Model PA–31P service (TIS) after the effective date of this DIRECTIVES AD, unless already accomplished airplanes, accomplish the replacement in (compliance with AD 79–01–04), and accordance with the INSTRUCTIONS section 1. The authority citation for part 39 to Piper Service Bulletin No. 1002, dated continues to read as follows: thereafter at intervals not to exceed 100 hours TIS until the replacement required by June 5, 1997. Authority: 49 U.S.C. 106(g), 40113, 44701. paragraph (b) of this AD is accomplished, (c) For all affected airplanes, repetitively inspect the elevator bungee spring for cracks replace the elevator bungee spring with a § 39.13 [Amended] or surface deformities in accordance with the Piper P/N 71056–02 (or FAA-approved 2. Section 39.13 is amended by ACCOMPLISHMENT INSTRUCTIONS equivalent part number) or Piper P/N 71056– removing Airworthiness Directive (AD) section of Piper Service Bulletin No. 626C, 03 (or FAA-approved equivalent part 79–01–04, Amendment 39–3381, and by dated February 28, 1997. number) elevator bungee spring at intervals adding a new AD to read as follows: Note 3: The 100-hour TIS repetitive not to exceed 1,000 hours TIS. inspection compliance time is the same as The New Piper Aircraft, Inc.: Docket No. 90– (1) Accomplish the repetitive replacements CE–65–AD; Supersedes 79–01–04, that in AD 79–01–04 (superseded by this in accordance with the applicable service Amendment 39–3381. action). This compliance time is being information specified in either paragraph retained to provide credit and continuity for (b)(2)(i) or (b)(2)(ii) of this AD. Applicability: The following airplane already-accomplished and future inspections. (2) If an affected airplane already had the model and serial numbers, certificated in any Note 4: Piper Service Bulletin No. 626C, category: elevator bungee spring and link replaced as dated February 28, 1997, lists Piper Models PA–31, PA–31–300, PA–31–325, and PA–31– specified in paragraphs (b)(1) and (b)(2) of Models Serial numbers 350 airplanes in the Models Affected section. this AD, then only the repetitive For purposes of this AD, the inspection replacements of the elevator bungee spring as PA±31, PA±31±300, and 31±2 through specified in paragraph (c) of this AD are PA±31±325. 31±8312019. procedures included in this service bulletin required. PA±31±350 ...... 31±5001 also apply to the Piper Model PA–31P (d) The repetitive inspections required by through airplanes. 31±8553002. (2) If any cracks or surface deformities are paragraph (a) of this AD may be terminated PA±31P ...... 31P±1 through found during any inspection required by when the replacements specified in 31P±7730012. paragraph (a)(1) of this AD, prior to further paragraphs (a)(2) and (b)(1) and (b)(2) of this flight, accomplish the following: AD are accomplished. Note 1: This AD applies to each airplane (i) For all affected Models PA–31, PA–31– (e) As of the effective date of this AD, no identified in the preceding applicability 300, PA–31–325, and PA–31–350 airplanes, person shall install either a Piper P/N 42377– provision, regardless of whether it has been replace the elevator bungee link with a Piper 02 (or FAA-approved equivalent part modified, altered, or repaired in the area P/N 71086–03 (or FAA-approved equivalent number) elevator bungee spring or a Piper P/ subject to the requirements of this AD. For part number) elevator bungee link; N 42376–02 (or FAA-approved equivalent airplanes that have been modified, altered, or (ii) For all the affected airplanes, replace part number) elevator bungee link. repaired so that the performance of the the elevator bungee spring with a Piper P/N requirements of this AD is affected, the 71056–02 (or FAA-approved equivalent part Note 5: The actions specified by this AD owner/operator must request approval for an number) or Piper P/N 71056–03 (or FAA- are different from those in Piper SB No. alternative method of compliance in approved equivalent part number) elevator 626C, dated February 28, 1997. This AD takes accordance with paragraph (g) of this AD. bungee spring. Accomplish this in precedence over the service bulletin. Piper The request should include an assessment of accordance with Section IV, Surface SB No. 626C, dated February 28, 1997, the effect of the modification, alteration, or Controls, of the applicable maintenance specifies replacing the bungee links every repair on the unsafe condition addressed by manual. 1,000 flight Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39787 hours, and specifies repetitive inspections of ACTION: Notice of proposed rulemaking SUPPLEMENTARY INFORMATION: both the Piper P/N 42377–02 and P/N 71056– (NPRM). 02 elevator bungee springs. This AD requires Comments Invited a one-time replacement of the elevator bungee link, and does not require repetitive SUMMARY: This document proposes the Interested persons are invited to inspections of the Piper P/N 71056–02 adoption of a new airworthiness participate in the making of the elevator bungee springs. directive (AD) that is applicable to proposed rule by submitting such (f) Special flight permits may be issued in certain Raytheon Model DH.125–400A; written data, views, or arguments as accordance with 14 CFR 21.197 and 21.199 BH.125–400A and –600A; HS.125–600A they may desire. Communications shall to operate the airplane to a location where and –700A; BAe 125–800A; and Hawker identify the Rules Docket number and the requirements of this AD can be 800, and Hawker 800 XP series be submitted in triplicate to the address accomplished. airplanes including military variants specified above. All communications (g) An alternative method of compliance or (C29A, U125, U125A). This proposal adjustment of the compliance time that received on or before the closing date would require a one-time inspection to provides an equivalent level of safety may be for comments, specified above, will be approved by the Manager, Atlanta Aircraft determine if certain high pressure considered before taking action on the Certification Office (ACO), Campus Building, oxygen hose assemblies are installed, proposed rule. The proposals contained 1701 Columbia Avenue, suite 2–160, College and, if installed, replacement of those in this notice may be changed in light Park, Georgia 30337–2748. hose assemblies with new, improved of the comments received. (1) The request shall be forwarded through hose assemblies. This proposal is an appropriate FAA Maintenance Inspector, prompted by a report that certain high Comments are specifically invited on who may add comments and then send it to pressure oxygen hose assemblies are the overall regulatory, economic, the Manager, Atlanta ACO. susceptible to leakage due to those hose environmental, and energy aspects of (2) Alternative methods of compliance the proposed rule. All comments approved in accordance with AD 79–01–04 assemblies not meeting design (superseded by this action) are not specifications during manufacturing. submitted will be available, both before considered approved as alternative methods The actions specified by the proposed and after the closing date for comments, of compliance with this AD. AD are intended to prevent leaks in high in the Rules Docket for examination by Note 6: Information concerning the pressure oxygen hose assemblies, interested persons. A report existence of approved alternative methods of which, if not detected and corrected, summarizing each FAA-public contact compliance with this AD, if any, may be could result in insufficient oxygen concerned with the substance of this obtained from the Atlanta ACO. available to the passengers or crew if the proposal will be filed in the Rules (h) All persons affected by this directive cabin pressure altitude should rise to a Docket. may obtain copies of the documents referred level requiring emergency oxygen. to herein upon request to The New Piper Commenters wishing the FAA to Aircraft, Inc., 2926 Piper Drive, Vero Beach, DATES: Comments must be received by acknowledge receipt of their comments Florida 32960; or may examine this September 3, 1997. submitted in response to this notice document at the FAA, Central Region, Office must submit a self-addressed, stamped ADDRESSES: Submit comments in of the Assistant Chief Counsel, Room 1558, postcard on which the following 601 E. 12th Street, Kansas City, Missouri triplicate to the Federal Aviation statement is made: ‘‘Comments to 64106. Administration (FAA), Transport Docket Number 96–NM–274–AD.’’ The (i) This amendment supersedes AD 79–01– Airplane Directorate, ANM–103, postcard will be date stamped and 04, Amendment 39–3381. Attention: Rules Docket No. 96–NM– Issued in Kansas City, Missouri, on July 17, 274–AD, 1601 Lind Avenue, SW., returned to the commenter. 1997. Renton, Washington 98055–4056. Availability of NPRMs Carolanne L. Cabrini, Comments may be inspected at this Acting Manager, Small Airplane Directorate, location between 9:00 a.m. and 3:00 Any person may obtain a copy of this Aircraft Certification Service. p.m., Monday through Friday, except NPRM by submitting a request to the [FR Doc. 97–19437 Filed 7–23–97; 8:45 am] Federal holidays. FAA, Transport Airplane Directorate, BILLING CODE 4910±13±P The service information referenced in ANM–103, Attention: Rules Docket No. the proposed rule may be obtained from 96–NM–274–AD, 1601 Lind Avenue, Raytheon Aircraft Company, Manager SW., Renton, Washington 98055–4056. DEPARTMENT OF TRANSPORTATION Service Engineering, Hawker Customer Discussion Federal Aviation Administration Support Department, P.O. Box 85, Wichita, Kansas 67201–0085. This The FAA has received a report 14 CFR Part 39 information may be examined at the indicating that certain high pressure FAA, Transport Airplane Directorate, oxygen hose assemblies installed on [Docket No. 96±NM±274±AD] 1601 Lind Avenue, SW., Renton, Raytheon Model DH.125–400A; RIN 2120±AA64 Washington. BH.125–400A and –600A; HS.125–600A FOR FURTHER INFORMATION CONTACT: and –700A; BAe 125–800A; and Hawker Airworthiness Directives; Raytheon Michael Imbler, Aerospace Engineer, 800 and Hawker 800 XP series airplanes Model DH.125±400A; BH.125±400A and including military variants (C29A, ±600A, HS.125±600A and ±700A; BAe Systems and Propulsion Branch, ACE– 125±800A; and Hawker 800 and Hawker 115W, FAA, Small Airplane Directorate, 800 XP Series Airplanes Including Wichita Aircraft Certification Office, Military Variants 1801 Airport Road, Room 100, Mid- Continent Airport, Wichita, Kansas AGENCY: Federal Aviation 67209; telephone (316) 946–4147; fax Administration, DOT. (316) 946–4407. 39788 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules

U125, U125A) are susceptible to estimated to be $24,240, or $60 per § 39.13 [Amended] leakage. The cause of such leakage has airplane. 2. Section 39.13 is amended by been attributed to a discrepant batch of The cost impact figures discussed adding the following new airworthiness Kidde-Graviner hose assemblies that above are based on assumptions that no directive: have a limited in-service life. These operator has yet accomplished any of Raytheon Aircraft Company (Formerly hose assemblies, if not removed and the proposed requirements of this AD Beech, Raytheon Corporate Jets, British replaced in a timely manner, could leak action, and that no operator would Aerospace, Hawker Siddeley, et al.): and result in insufficient oxygen Docket 96–NM–274–AD. accomplish those actions in the future if quantity available for the passengers or Applicability: All Model DH.125–400A, crew if the cabin pressure altitude this AD were not adopted. BH.125–400A and –600A, HS.125–600A and should rise to a level requiring Regulatory Impact –700A, and BAe 125–800A series airplanes; emergency oxygen. and Model Hawker 800 and Hawker 800 XP The regulations proposed herein series airplanes (including Military Variants Explanation of Relevant Service would not have substantial direct effects C29A, U125, and U125A airplanes) having Information serial numbers 1 through 258294 inclusive; on the States, on the relationship on which Modification 252036 has been Raytheon has issued Service Bulletin between the national government and installed with a high pressure oxygen hose SB.35–46, dated September 30, 1996, the States, or on the distribution of assembly having part number WKA 34609; which describes procedures for a one- power and responsibilities among the certificated in any category. time inspection to determine whether various levels of government. Therefore, Note 1: This AD applies to each airplane any high pressure oxygen hose in accordance with Executive Order identified in the preceding applicability assemblies having part number WKA 12612, it is determined that this provision, regardless of whether it has been 34609 are installed, and replacement of modified, altered, or repaired in the area proposal would not have sufficient these hose assemblies with new, subject to the requirements of this AD. For federalism implications to warrant the improved oxygen hose assemblies that airplanes that have been modified, altered, or meet the design specification. preparation of a Federalism Assessment. repaired so that the performance of the For the reasons discussed above, I requirements of this AD is affected, the Explanation of Requirements of owner/operator must request approval for an certify that this proposed regulation (1) Proposed Rule alternative method of compliance in is not a ‘‘significant regulatory action’’ accordance with paragraph (d) of this AD. Since an unsafe condition has been under Executive Order 12866; (2) is not The request should include an assessment of identified that is likely to exist or a ‘‘significant rule’’ under the DOT the effect of the modification, alteration, or develop on other airplanes of the same Regulatory Policies and Procedures (44 repair on the unsafe condition addressed by type design registered in the United FR 11034, February 26, 1979); and (3) if this AD; and, if the unsafe condition has not States, the proposed AD would require been eliminated, the request should include promulgated, will not have a significant specific proposed actions to address it. a one-time inspection to determine economic impact, positive or negative, whether certain oxygen hose assemblies, Note 2: Raytheon (Beech) Model DH.125– on a substantial number of small entities 400B; BH.125–400B and –600B, S. 125–600B and replacement of discrepant hose under the criteria of the Regulatory and –700B, and BAe 125–800B series assemblies with new, improved hose Flexibility Act. A copy of the draft airplanes are similar in design to the assemblies. The inspection and regulatory evaluation prepared for this airplanes that are subject to the requirements replacement would be required to be of this AD, and therefore, also may be subject accomplished in accordance with the action is contained in the Rules Docket. to the unsafe condition addressed by this AD. service bulletin described previously. A copy of it may be obtained by However, as of the effective date of this AD, contacting the Rules Docket at the those models are not type certificated for Cost Impact location provided under the caption operation in the United States. Airworthiness The FAA estimates that 404 Raytheon ADDRESSES. authorities of countries in which those Model DH.125–400A; BH.125–400A and models are approved for operation should List of Subjects in 14 CFR Part 39 consider adopting corrective action, –600A, HS.125–600A and –700A; BAe applicable to these models, that is similar to 125–800A; and Hawker 800 and Hawker Air transportation, Aircraft, Aviation the corrective action required by this AD. 800 XP series airplanes including safety, Safety. Compliance: Required as indicated, unless military variants of U.S. registry would accomplished previously. be affected by this proposed AD. The Proposed Amendment To prevent leaks in high pressure oxygen It would take approximately 1 work hose assemblies, which could result in hour per airplane to accomplish the Accordingly, pursuant to the insufficient oxygen quantity available to the proposed inspection, at an average labor authority delegated to me by the passengers or crew if the cabin pressure rate of $60 per work hour. Based on Administrator, the Federal Aviation altitude should rise to a level requiring these figures, the cost impact of the Administration proposes to amend part emergency oxygen, accomplish the following: initial inspection proposed by this AD 39 of the Federal Aviation Regulations (a) Within 90 days after the effective date (14 CFR part 39) as follows: of this AD, perform a one-time inspection to on U.S. operators is estimated to be determine whether any high pressure oxygen $24,240, or $60 per airplane. hose assembly having a discrepant part Should an operator be required to PART 39ÐAIRWORTHINESS number WKA 34609 is installed, in accomplish the proposed replacement, DIRECTIVES accordance with Raytheon Service Bulletin it would take approximately 1 work SB.35–46, dated September 30, 1996. If no hour per airplane to accomplish the 1. The authority citation for part 39 discrepant part number is detected, no proposed replacement, at an average continues to read as follows: further action is required by this AD. If any hose assembly having discrepant part labor rate of $60 per work hour. Authority: 49 U.S.C. 106(g), 40113, 44701. Required parts would be supplied by number WKA 34609 is installed, prior to further flight, replace the hose assembly with the manufacturer at no cost to the a hose assembly having part number 58179– operators. Based on these figures, the 101 in accordance with the service bulletin. cost impact of the replacement proposed (b) As of the effective date of this AD, no by this AD on U.S. operators is person may install a high pressure oxygen Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39789 hose having part number WKA 34609 on any documented accidents involving postcard on which the following airplane. airplanes equipped with turboprop statement is made: ‘‘Comments to (c) An alternative method of compliance or engines where the propeller beta was Docket No. 97–CE–40–AD.’’ The adjustment of the compliance time that improperly utilized during flight. The postcard will be date stamped and provides an acceptable level of safety may be actions specified by the proposed AD used if approved by the Manager, Wichita returned to the commenter. are intended to prevent loss of airplane Aircraft Certification Office (ACO), FAA, Availability of NPRMs Small Airplane Directorate. Operators shall control or engine overspeed with submit their requests through an appropriate consequent loss of engine power caused Any person may obtain a copy of this FAA Principal Maintenance Inspector, who by the power levers being positioned NPRM by submitting a request to the may add comments and then send it to the below the flight idle stop while the FAA, Central Region, Office of the Manager, Wichita ACO. airplane is in flight. Assistant Chief Counsel, Attention: Note 3: Information concerning the DATES: Comments must be received on Rules Docket No. 97–CE–40–AD, Room existence of approved alternative methods of or before October 3, 1997. 1558, 601 E. 12th Street, Kansas City, compliance with this AD, if any, may be ADDRESSES: Submit comments in Missouri 64106. obtained from the Wichita ACO. triplicate to the Federal Aviation Discussion (d) Special flight permits may be issued in Administration (FAA), Central Region, accordance with sections 21.197 and 21.199 The FAA has received reports of 14 Office of the Assistant Chief Counsel, of the Federal Aviation Regulations (14 CFR occurrences in recent years of incidents Attention: Rules Docket No. 97–CD–40– 21.197 and 21.199) to operate the airplane to or accidents on airplanes equipped with AD, Room 1558, 601 E. 12th Street, a location where the requirements of this AD turboprop engines related to intentional Kansas City, Missouri 64106. Comments can be accomplished. or inadvertent operation of the may be inspected at this location Issued in Renton, Washington, on July 18, propellers in the beta range during between 8 a.m. and 4 p.m., Monday 1997. flight. Beta is the range of propeller Gary L. Killion, through Friday, holidays excepted. Information related to the proposed operation intended for use during taxi, Acting Manager, Transport Airplane ground idle, or reverse operations as Directorate, Aircraft Certification Service. AD may be examined at the Rules Docket at the address above. controlled by the power lever settings [FR Doc. 97–19471 Filed 7–23–97; 8:45 am] aft of the flight idle stop. FOR FURTHER INFORMATION CONTACT: BILLING CODE 4910±13±U Of the 14 documented in-flight beta Wayne A. Shade, Aerospace Engineer, occurrences, five were classified as FAA, Atlanta Aircraft Certification accidents. In-flight beta operation DEPARTMENT OF TRANSPORTATION Office, Campus Building, 1701 results that preceded the accidents can Columbia Avenue, suite 2–160, College be classified in one of two categories: (1) Federal Aviation Administration Park, Georgia 30337–2748; telephone Permanent engine damage and total loss (404) 305–7337; facsimile (404) 305– 14 CFR Part 39 of thrust on all engines when the 7348. propeller that was operating in the beta [Docket No. 97±CE±40±AD] SUPPLEMENTARY INFORMATION: range drove the engines to overspeed; and (2) loss of airplane control because RIN 2120±AA64 Comments Invited at least one propeller operated in the Airworthiness Directives; MAULE Interested persons are invited to beta range during flight. Models MX±7±420 and MXT±7±420 participate in the making of the The most recent accident occurred Airplanes and Models M±7±235 and M± proposed rule by submitting such when both engines of a Saab Model 7±235A Airplanes Modified in written data, views, or arguments as 340B permanently lost power after eight Accordance With Maule Supplemental they may desire. Communications seconds of beta range propeller Type Certificate (STC) SA2661SO should identify the Rules Docket operation. The propellers consequently number and be submitted in triplicate to drove the engines into overspeed, which AGENCY: Federal Aviation the address specified above. All resulted in internal engine failure. Administration, DOT. communications received on or before Communication between the FAA and ACTION: Notice of proposed rulemaking the closing date for comments, specified the public during a meeting held on (NPRM). above, will be considered before taking June 11–12, 1996, in Seattle, action on the proposed rule. The Washington, revealed a lack of SUMMARY: This document proposes to proposals contained in this notice may consistency of the information on in- adopt a new airworthiness directive be changed in light of the comments flight beta operation contained in the (AD) that would apply to MAULE received. airplane flight manual (AFM) for Models MX–7–240 and MST–7–420 Comments are specifically invited on airplanes not certificated for in-flight airplanes, and Models M–7–235 and M– the overall regulatory, economic, operation with the power levers below 7–235A airplanes that are modified in environmental, and energy aspects of the flight idle stop. Airplanes that are accordance with Maule STC SA2661SO, the proposed rule. All comments certificated for this type of operation are which incorporates a certain gas turbine submitted will be available, both before not affected by the above-referenced engine, certain amphibious floats, and and after the closing date for comments, conditions. certain propellers. The proposed AD in the Rules Docket for examination by would require amending the Limitations interested persons. A report that The FAA’s Determination Section of the airplane flight manual summarizes each FAA-public contact After examining the circumstances (AFM) to prohibit the positioning of the concerned with the substance of this and reviewing all available information power levers below the flight idle stop proposal will be filed in the Rules related to the incidents and accidents while the airplane is in flight. This Docket. referenced above, the FAA has amendment would include a statement Commenters wishing the FAA to determined that: of consequences if the limitation is not acknowledge receipt of their comments • All airplanes equipped with followed. The proposed AD is the result submitted in response to this notice turboprop engines (provided the of numerous incidents and five must submit a self-addressed, stamped airplane is not certificated for in-flight 39790 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules operation with the power levers below revisions are completed and approved regulatory evaluation prepared for this the flight idle stop) should have by the FAA prior to issuance of the final action has been placed in the Rules information in the Limitations Section rule, then incorporating these revisions Docket. A copy of it may be obtained by of the AFM that prohibits positioning of into the AFM will be included as a contacting the Rules Docket at the power levers below the flight idle stop method of complying with the AD. location provided under the caption while the airplane is in flight, including Compliance Time of the Proposed AD ADDRESSES. a statement of consequence if the List of Subjects in 14 CFR Part 39 limitation is not followed; and The FAA has determined that the • Because MAULE Models MXT–7– compliance time of the proposed AD Air transportation, Aircraft, Aviation 420 and MX–7–420 airplanes and should be specified in calendar time safety, Safety. instead of hours time-in-service. While Models M–7–235 and M–7–235A The Proposed Amendment airplanes that are modified in the condition addressed by the accordance with STC SA2661SO are proposed AD is unsafe while the Accordingly, pursuant to the equipped with turboprop engines, are airplane is in flight, the condition is not authority delegated to me by the not certificated for in-flight operation a result of repetitive airplane operation; Administrator, the Federal Aviation with the power levers below the flight the potential of the unsafe condition Administration proposes to amend part idle stop, and do not contain occurring is the same on the first flight 39 of the Federal Aviation Regulations information in the Limitations Section as it is for subsequent flights. The (14 CFR part 39) as follows: of the AFM that prohibits and explains proposed compliance time of ‘‘30 days after the effective date of this AD’’ PART 39ÐAIRWORTHINESS the consequences of such operation, AD DIRECTIVES action should be taken. would not inadvertently ground STC SA2661SO includes the airplanes and would assure that all 1. The authority citation for part 39 procedures for incorporating the owners/operators of the affected continues to read as follows: airplanes accomplish the proposed following items on the Maule Models Authority: 49 U.S.C. 106(g), 40113, 44701. M–7–235 and M–7–235A airplanes. action in a reasonable time period. —An Allison 250–B17C gas turbine Cost Impact § 39.13 [Amended] engine; Section 39.13 is amended by adding The FAA estimates that 3 airplanes in —Edo Model 797–2500 amphibious a new airworthiness directive (AD) to the U.S. registry would be affected by floats; and read as follows: the proposed AD, that it would take —Hartzell Model HC–B3TF–7A/ Maule: Docket No. 97–CE–40–AD. T10173–11R or HC–B3TF–7A/ approximately 1 workhour per airplane to incorporate the proposed AFM Applicability: The following airplane T10173F–11R propellers. models, certificated in any category: The proposed AD is intended to amendment, and that the average labor rate is approximately $60 an hour. Since —Models MXT–7–420 and MX–7–420 prevent loss of airplane control or airplanes, all serial numbers; and engine overspeed with consequent loss an owner/operator who holds at least a private pilot’s certificate as authorized —Models M–7–235 and M–7–235A of engine power caused by the power airplanes, all serial numbers, that are levers being positioned below the flight by sections 43.7 and 43.11 of the modified in accordance with Maule idle stop while the airplane is in flight. Federal Aviation Regulations (14 CFR Supplemental Type Certificate (STC) 43.7 and 43.11) can accomplish the SA2661SO. Explanation of the Provisions of the proposed action, the only cost impact Note 1: Maule STC SA2661SO includes the Proposed AD upon the public is the time it would procedures for incorporating the following Since an unsafe condition has been take the affected airplane owners/ items on the Maule Models M–7–235 and M– identified that is likely to exist or operators to amend the AFM. 7–235A airplanes: develop in other MAULE Models MXT– Regulatory Impact —An Allison 250–B17C gas turbine engine; 7–420 and MX–7–420 airplanes of the —Edo Model 797–2500 amphibious floats; same type design and Models M–7–235 The regulations proposed herein and would not have substantial direct effects —Hartzell Model C–B3TF–7A/T10173–11R and M–735A airplanes of the same type or HC–B3TF–7A/T10173F–11R propellers. design that are modified in accordance on the States, on the relationship Note 2: This AD applies to each airplane with STC SA2661SO, the FAA is between the national government and the States, or on the distribution of identified in the preceding applicability proposing AD action. The proposed AD provision, regardless of whether it has been would require amending the Limitations power and responsibilities among the various levels of government. Therefore, modified, altered, or repaired in the area Section of the AFM to prohibit the subject to the requirements of this AD. For in accordance with Executive Order positioning of the power levers below airplanes that have been modified, altered, or the flight idle stop while the airplane is 12612, it is determined that this repaired so that the performance of the in flight, including a statement of proposal would not have sufficient requirements of this AD is affected, the consequences if the limitation is not federalism implications to warrant the owner/operator must request approval for an followed. This AFM amendment shall preparation of a Federalism Assessment. alternative method of compliance in For the reasons discussed above, I accordance with paragraph (e) of this AD. consist of the following language. certify that this action (1) is not a The request should include an assessment of Positioning of power levers below the ‘‘significant regulatory action’’ under the effect of the modification, alteration, or flight idle stop while in flight is prohibited. Executive Order 12866; (2) is not a repair on the unsafe condition addressed by Such positioning could lead to loss of ‘‘significant rule’’ under DOT this AD; and, if the unsafe condition has not airplane control or may result in an engine been eliminated, the request should include overspeed condition and consequent loss of Regulatory Policies and Procedures (44 specific proposed actions to address it. FR 11034, February 26, 1979); and (3) if engine power. Compliance: Required within the next 30 promulgated, will not have a significant Possible Alternative to the Proposed AD days after the effective date of this AD, unless economic impact, positive or negative, already accomplished. MAULE is currently in the process of on a substantial number of small entities To prevent loss of airplane control or developing AFM revisions for the under the criteria of the Regulatory engine overspeed with consequent loss of affected airplanes. If these AFM Flexibility Act. A copy of the draft engine power caused by the power levers Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39791 being positioned below the flight idle stop ACTION: Notice of proposed rulemaking action on the proposed rule. The while the airplane is in flight, accomplish the (NPRM). proposals contained in this notice may following: be changed in light of the comments (a) Amend the Limitations Section of the SUMMARY: This document proposes to received. airplane flight manual (AFM) by inserting the adopt a new airworthiness directive Comments are specifically invited on following language: (AD) that would apply to Empresa the overall regulatory, economic, Positioning of power levers below the Brasileira de Aeronautica S.A. flight idle stop while in flight is prohibited. environmental, and energy aspects of (EMBRAER) Models EMB–110P1 and the proposed rule. All comments Such positioning could lead to loss of EMB–110P2 airplanes. The proposed airplane control or may result in an engine submitted will be available, both before overspeed condition and consequent loss of AD would require amending the and after the closing data for comments, engine power. Limitations Section of the airplane flight in the Rules Docket for examination by (b) This action may be accomplished by manual (AFM) to prohibit the interested persons. A report that incorporating a copy of this AD into the positioning of the power levels below summarizes each FAA-public contact Limitations Section of the AFM. the flight idle stop while the airplane is concerned with the substance of this (c) Amending the AFM, as required by this in flight. This amendment would proposal will be filed in the Rules AD, may be performed by the owner/operator include a statement of consequences if Docket. holding at least a private pilot certificate as the limitation is not followed. The Commenters wishing the FAA to authorized by section 43.7 of the Federal proposed AD is the result of numerous acknowledge receipt of their comments Aviation Regulations (14 CFR 43.7), and must incidents and five documented be entered into the aircraft records showing submitted in response to this notice compliance with this AD in accordance with accidents involving airplanes equipped must submit a self-addressed, stamped action 43.11 of the Federal Aviation with turboprop engines where the postcard on which the following Regulations (14 CFR 43.11). propeller beta was improperly utilized statement is made: ‘‘Comments to (d) Special flight permits may be issued in during flight. The actions specified by Docket No. 97–CE–39–AD.’’ The accordance with sections 21.197 and 21.199 the proposed AD are intended to postcard will be date stamped and of the Federal Aviation Regulations (14 CFR prevent increased propeller drag beyond returned to the commenter. 21.197 and 21.199) to operate the airplane to the certificated limits caused by the a location where the requirements of this AD power levers being positioned below the Availability of NPRMs can be accomplished. (e) An alternative method of compliance or flight idle stop while the airplane is in Any person may obtain a copy of this adjustment of the compliance time that flight, which could result in loss of NPRM by submitting a request to the provides an equivalent level of safety may be airplane control or engine overspeed FAA, Central Region, Office of the approved by the Manager, Atlanta Aircraft with consequent loss of engine power. Assistant Chief Counsel, Attention: Certification Office (ACO), Campus Building, DATES: Comments must be received on Rules Docket No. 97–CE–39–AD, Room 1701 Columbia Avenue, suite 2–160, College or before October 3, 1997. 1558, 601 E. 12th Street, Kansas City, Park, Georgia 30337–2748. The request shall Missouri 64106. be forwarded through an appropriate FAA ADDRESSES: Submit comments in Maintenance Inspector, who may add triplicate to the Federal Aviation Discussion Administration (FAA), Central Region, comments and then send it to the Manager, The FAA has received reports of 14 Office of the Assistant Chief Counsel, Atlanta ACO. occurrences in recent years of incidents Attention: rules Docket No. 97–CE–39– Note 3: Information concerning the or accidents on airplanes equipped with AD, Room 1558, 601 E. 12th Street, existence of approved alternative methods of turboprop engines related to intentional compliance with this AD, if any, may be Kansas City, Missouri 64106. Comments or inadvertent operation of the obtained from the Atlanta ACO. may be inspected at this location propellers in the beta range during (f) Information related to this AD may be between 8 a.m. and 4 p.m., Monday flight. Beta is the range of propeller examined at the FAA, Central Region, Office through Friday, holidays excepted. of the Assistant Chief Counsel, Room 1558, Information related to the proposed operation intended for use during taxi, 601 E. 12th Street, Kansas City, Missouri AD may be examined at the Rules ground idle, or reverse operations as 64106. Docket at the address above. controlled by the power lever settings Issued in Kansas City, Missouri, on July 17, aft of the flight idle stop. 1997. FOR FURTHER INFORMATION CONTACT: Of the 14 documented in-flight beta Carolanne L. Cabrini, Wayne A. Shade, Aerospace Engineer, occurrences, five were classified as FAA, Atlanta Aircraft Certification Acting Manager, Small Airplane Directorate, accidents. In-flight beta operation Aircraft Certification Service. Office, Campus Building, 1701 results that preceded the accidents can Columbia Avenue, suite 2–160, College [FR Doc. 97–19487 Filed 7–23–97; 8:45 am] be classified in one of two categories: (1) Park, Georgia 30337–2748; telephone BILLING CODE 4910±13±M Permanent engine damage and total loss (404) 305–7337; facsimile (404) 305– of thrust on all engines when the 7348. propeller that was operating in the beta DEPARTMENT OF TRANSPORTATION SUPPLEMENTARY INFORMATION: range drove the engines to overspeed; and (2) loss of airplane control because Comments Invited Federal Aviation Administration at least one propeller operated in the Interested persons are invited to beta range during flight. 14 CFR Part 39 participate in the making of the The most recent accident occurred [Docket No. 97±CE±39±AD] proposed rule by submitting such when both engines of a Saab Model written data, views, or arguments as 340B permanently lost power after eight RIN 2120±AA64 they may desire. Communications seconds of beta range propeller Airworthiness Directives; Empresa should identify the Rules Docket operation. The propellers consequently Brasileira de Aeronautica S.A. Models number and be submitted in triplicate to drove the engines into overspeed, which EMB±110P1 and EMB±110P2 Airplanes the address specified above. All resulted in internal engine failure. communications received on or before Communication between the FAA and AGENCY: Federal Aviation the closing date for comments, specified the public during a meeting held on Administration, DOT. above, will be considered before taking June 11–12, 1996, in Seattle, 39792 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules

Washington, revealed a lack of Possible Alternative to the Proposed AD economic impact, positive or negative, consistency of the information on in- EMBRAER is currently in the process on a substantial number of small entities flight beta operation contained in the of developing AFM revisions for the under the criteria of the Regulatory airplane flight manual (AFM) for affected airplanes. If these AFM Flexibility Act. A copy of the draft airplanes not certificated for in-flight revisions are completed and approved regulatory evaluation prepared for this operation with the power levers below by the FAA prior to issuance of the final action has been placed in the Rules the flight idle stop. Airplanes that are rule, then incorporating these revisions Docket. A copy of it may be obtained by certificated for this type of operation are into the AFM will be included as a contacting the Rules Docket at the not affected by the above-referenced method of complying with the AD. location provided under the caption conditions. ADDRESSES. Compliance Time of the Proposed AD The FAA’s Determination List of Subjects in 14 CFR Part 39 The FAA has determined that the After examining the circumstances compliance time of the proposed AD Air transportation, Aircraft, Aviation and reviewing all available information should be specified in calendar time safety, Safety. related to the incidents and accidents instead of hours-in-service. While the The Proposed Amendment referenced above, the FAA has condition addressed by the proposed determined that: AD is unsafe while the airplane is in Accordingly, pursuant to the authority delegated to me by the • All airplanes equipped with flight, the condition is not a result of Administrator, the Federal Aviation turboprop engines (provided the repetitive airplane operation; the Administration proposes to amend part airplane is not certificated for in-flight potential of the unsafe condition 39 of the Federal Aviation Regulations operation with the power levers below occurring is the same on the first flight (14 CFR part 39) as follows: the flight idle stop) should have as it is for subsequent flights. The information in the Limitations Section proposed compliance time of ‘‘30 days PART 39ÐAIRWORTHINESS of the AFM that prohibits positioning of after the effective date of this AD’’ DIRECTIVES power levers below the flight idle stop would not inadvertently ground while the airplane is in flight, including airplanes and would assure that all 1. The authority citation for part 39 a statement of consequences if the owners/operators of the affected continues to read as follows: limitation is not followed; and airplanes accomplish the proposed Authority: 49 U.S.C. 106(g), 40113, 44701. • Because EMBRAER Models EMB– action in a reasonable time period. § 39.13 [Amended] 110P1 and EMB–110P2 airplanes are Cost Impact Section 39.13 is amended by adding equipped with turboprop engines, are The FAA estimates that 54 airplanes not certificated for in-flight operation a new airworthiness directive (AD) to in the U.S. registry would be affected by read as follows: with the power levers below the flight the proposed AD, that it would take idle stop, and do not contain approximately 1 workhour per airplane Empresa Brasileira de Aeronautica S.A.: Docket No. 97–CE–39–AD. information in the Limitations Section to incorporate the proposed AFM of the AFM that prohibits and explains amendment, and that the average labor Applicability: Models EMB–110P1 and the consequences of such operation, AD EMB–110P2 airplanes, all serial numbers, rate is approximately $60 an hour. Since certificated in any category. action should be taken. The proposed an owner/operator who holds at least a AD is intended to prevent increased Note 1: This AD applies to each airplane private pilot’s certificate as authorized identified in the preceding applicability propeller drag beyond the certificated by sections 43.7 and 43.11 of the limits caused by the power levers being provision, regardless of whether it has been Federal Aviation Regulations (14 CFR modified, altered, or repaired in the area positioned below the flight idle stop 43.7 and 43.11) can accomplish the subject to the requirements of this AD. For while the airplane is in flight, which proposed action, the only cost impact airplanes that have been modified, altered, or could result in loss of airplane control upon the public is the time it would repaired so that the performance of the or engine overspeed with consequent take the affected airplane owners/ requirements of this AD is affected, the loss of engine power. operators to amend the AFM. owner/operator must request approval for an alternative method of compliance in Explanation of the Provisions of the Regulatory Impact accordance with paragraph (e) of this AD. Proposed AD The regulations proposed herein The request should include an assessment of the effect of the modification, alteration, or Since an unsafe condition has been would not have substantial direct effects repair on the unsafe condition addressed by identified that is likely to exist or on the States, on the relationship this AD; and, if the unsafe condition has not develop in other EMBRAER Models between the national government and been eliminated, the request should include EMB–110P1 and EMB–110P2 airplanes the States, or on the distribution of specific proposed actions to address it. of the same type design, the proposed power and responsibilities among the Compliance: Required within the next 30 AD would require amending the various levels of government. Therefore, days after the effective date of this AD, unless Limitations Section of the AFM to in accordance with Executive Order already accomplished. prohibit the positioning of the power 12612, it is determined that this To prevent increased propeller drag levers below the flight idle stop while proposal would not have sufficient beyond the certificated limits caused by the the airplane is in flight, including a federalism implications to warrant the power levers being positioned below the statement of consequences if the preparation of a Federalism Assessment. flight idle stop while the airplane is in flight, For the reasons discussed above, I which could result in loss of airplane control limitation is not followed. This AFM or engine overspeed with consequent loss of amendment shall consist of the certify that this action (1) is not a engine power, accomplish the following: following language: ‘‘significant regulatory action’’ under (a) Amend the Limitations Section of the Positioning of power levers below the Executive Order 12866; (2) is not a airplane flight manual (AFM) by inserting the flight idle stop while the aiplane is in flight ‘‘significant rule’’ under DOT following language: is prohibited. Such positioning may result in Regulatory Policies and Procedures (44 Positioning of power levers below the increased propeller drag beyond the FR 11034, February 26, 1979); and (3) if flight idle stop while the airplane is in flight certificated limits. promulgated, will not have a significant is prohibited. Such positioning may result in Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39793 increased propeller drag beyond the PA–42–720, and PA–42–1000 airplanes. and after the closing date for comments, certificated limits. The proposed AD would require in the Rules Docket for examination by (b) This action may be accomplished by amending the Limitations Section of the interested persons. A report that incorporating a copy of this AD into the airplane flight manual (AFM) to prohibit summarizes each FAA-public contact Limitations Section of the AFM. the positioning of the power levers concerned with the substance of this (c) Amending the AFM, as required by this below the flight idle stop while the proposal will be filed in the Rules AD, may be performed by the owner/operator holding at least a private pilot certificate as airplane is in flight. This amendment Docket. authorized by section 43.7 of the Federal would include a statement of Commenters wishing the FAA to Aviation Regulations (14 CFR 43.7), and must consequences if the limitation is not acknowledge receipt of their comments be entered into the aircraft records showing followed. The proposed AD is the result submitted in response to this notice compliance with this AD in accordance with of numerous incidents and five must submit a self-addressed, stamped section 43.11 of the Federal Aviation documented accidents involving postcard on which the following Regulations (14 CFR 43.11). airplanes equipped with turboprop statement is made: ‘‘Comments to (d) Special flight permits may be issued in engines where the propeller beta was Docket No. 97–CE–41–AD.’’ the accordance with sections 21.197 and 21.199 improperly utilized during flight. The of the Federal Aviation Regulations (14 CFR postcard will be date stamped and 21.197 and 21.199) to operate the airplane to actions specified by the proposed AD returned to the commenter. are intended to prevent loss of airplane a location where the requirements of this AD Availability of NPRMs can be accomplished. control or engine overspeed with (e) An alternative method of compliance or consequent loss of engine power caused Any person may obtain a copy of this adjustment of the compliance time that by the power levers being positioned NPRM by submitting a request to the provides an equivalent level of safety may be below the flight idle stop while the FAA, Central Region, Office of the approved by the Manager, Atlanta Aircraft airplane is in flight. Assistant Chief Counsel, Attention: Certification Office (ACO), Campus Building, DATES: Comments must be received on Rules Docket No. 97–CE–41–AD, Room 1701 Columbia Avenue, suite 2–160, College Park, Georgia 30337–2748. The request shall or before October 3, 1997. 1558, 601 E. 12th Street, Kansas City, be forwarded through an appropriate FAA ADDRESSES: Submit comments in Missouri 64106. Maintenance Inspector, who may add triplicate to the Federal Aviation Discussion comments and then send it to the Manager, Administration (FAA), Central Region, Atlanta ACO. Office of the Assistant Chief Counsel, The FAA has received reports of 14 Note 2: Information concerning the Attention: Rules Docket No. 97–CE–41– occurrences in recent years of incidents existence of approved alternative methods of AD. Room 1558, 601 E. 12th Street, or accidents on airplanes equipped with compliance with this AD, if any, may be Kansas City, Missouri 64106. Comments turboprop engines related to intentional obtained from the Atlanta ACO. may be inspected at this location or inadvertent operation of the (f) Information related to this AD may be between 8 a.m. and 4 p.m., Monday propellers in the beta range during examined at the FAA, Central Region, Office through Friday, holidays excepted. flight. Beta is the range of propeller of the Assistant Chief Counsel, Room 1558, Information related to the proposed operation intended for use during taxi, 601 E. 12th Street, Kansas City, Missouri AD may be examined at the Rules ground idle, or reverse operations as 64106. Docket at the address above. controlled by the power lever settings Issued in Kansas City, Missouri, on July 17, aft of the flight idle stop. 1997. FOR FURTHER INFORMATION CONTACT: Wayne A. Shade, Aerospace Engineer, Of the 14 documented in-flight beta Carolanne L. Cabrini, FAA, Atlanta Aircraft Certification occurrences, five were classified as Acting Manager, Small Airplane Directorate, Office, Campus Building, 1701 accidents. In-flight beta operation Aircraft Certification Service. Columbia Avenue, suite 2–160, College results that preceded the accidents can [FR Doc. 97–19486 Filed 7–23–97; 8:45 am] Park, Georgia 30337–2748; telephone be classified in one of two categories: (1) BILLING CODE 4910±13±M (404) 305–7337; facsimile (404) 305– Permanent engine damage and total loss 7348. of thrust on all engines when the propeller that was operating in the beta DEPARTMENT OF TRANSPORTATION SUPPLEMENTARY INFORMATION: range drove the engines to overspeed; Federal Aviation Administration Comments Invited and (2) loss of airplane control because Interested persons are invited to at least one propeller operated in the 14 CFR Part 39 participate in the making of the beta range during flight. The most recent accident occurred [Docket No. 97±CE±41±AD] proposed rule by submitting such written data, views, or arguments as when both engines of a Saab Model RIN 2120±AA64 they may desire. Communications 340B permanently lost power after eight should identify the Rules Docket seconds of beta range propeller Airworthiness Directives; The New number and be submitted in triplicate to operation. The propellers consequently Piper Aircraft, Inc. Models PA±31T, the address specified above. All drove the engines into overspeed, which PA±31T1, PA±31T2, PA±31T3, PA±42, communications received on or before resulted in internal engine failure. PA±42±720, and PA±42±1000 Airplanes the closing date for comments, specified Communication between the FAA and AGENCY: Federal Aviation above, will be considered before taking the public during a meeting held on Administration, DOT. action on the proposed rule. The June 11–12, 1996, in Seattle, ACTION: Notice of proposed rulemaking proposals contained in this notice may Washington, revealed a lack of (NPRM). be changed in light of the comments consistency of the information on in- received. flight beta operation contained in the SUMMARY: This document proposes to Comments are specifically invited on airplane flight manual (AFM) for adopt a new airworthiness directive the overall regulatory, economic, airplanes not certificated for in-flight (AD) that would apply to The New Piper environmental, and energy aspects of operation with the power levers below Aircraft, Inc. (Piper) Models PA–31T, the proposed rule. All comments the flight idle stop. Airplanes that are PA–31T1, PA–31T2, PA–31T3, PA–42, submitted will be available, both before certificated for this type of operation are 39794 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules not affected by the above-referenced these revisions into the AFM will be Docket. A copy of it may be obtained by conditions. included as a method of complying with contacting the Rules Docket at the the AD. location provided under the caption The FAA’s Determination ADDRESSES. After examining the circumstances Compliance Time of the Proposed AD and reviewing all available information The FAA has determined that the List of Subjects in 14 CFR Part 39 related to the incidents and accidents compliance time of the proposed AD Air transportation, Aircraft, Aviation referenced above, the FAA has should be specified in calendar time safety, Safety. determined that: instead of hours time-in-service. While • All airplanes equipped with the condition addressed by the The Proposed Amendment turboprop engines (provided the proposed AD is unsafe while the Accordingly, pursuant to the airplane is not certificated for in-flight airplane is in flight, the condition is not authority delegated to me by the operation with the power levers below a result of repetitive airplane operation; Administrator, the Federal Aviation the flight idle stop) should have the potential of the unsafe condition Administration proposes to amend part information in the Limitations Section occurring is the same on the first flight 39 of the Federal Aviation Regulations of the AFM that prohibits positioning of as it is for subsequent flights. The (14 CFR part 39) as follows: power levers below the flight idle stop proposed compliance time of ‘‘30 days while the airplane is in flight, including after the effective date of this AD’’ PART 39ÐAIR WORTHINESS a statement of consequence if the would not inadvertently ground DIRECTIVES limitation is not followed; and airplanes and would assure that all • Because Piper Models PA–31T, PA– owners/operators of the affected 1. The authority citation for part 39 31T1, PA–31T2, PA–31T3, PA–42, PA– airplanes accomplish the proposed continues to read as follows: 42–720, and PA–42–1000 airplanes are action in a reasonable time period. Authority: 49 U.S.C. 106(g), 40113, 44701. equipped with turboprop engines, are Cost Impact § 39.13 [Amended] not certificated for in-flight operation with the power levers below the flight The FAA estimates that 607 airplanes Section 39.13 is amended by adding idle stop, and do not contain in the U.S. registry would be affected by a new airworthiness directive (AD) to information in the Limitations Section the proposed AD, that it would take read as follows: of the AFM that prohibits and explains approximately 1 workhour per airplane The New Piper Aircraft, Inc.: Docket No. 97– the consequences of such operation, AD to incorporate the proposed AFM CE–41–AD. Applicability: Models PA– action should be taken. The proposed amendment, and that the average labor 31T, PA–31T1, PA–31T2, PA–31T3, PA– AD is intended to prevent loss of rate is approximately $60 an hour. Since 42, PA–42–720, and PA–42–1000 airplane control or engine overspeed an owner/operator who holds at least a airplanes, all serial numbers, certificated in any category. with consequent loss of engine power private pilot’s certificate as authorized caused by the power levers being by sections 43.7 and 43.11 of the Note 1: This AD applies to each airplane identified in the preceding applicability positioned below the flight idle stop Federal Aviation Regulations (14 CFR 43.7 and 43.11) can accomplish the provision, regardless of whether it has been while the airplane is in flight. modified, altered, or repaired in the area proposed action, the only cost impact subject to the requirements of this AD. For Explanation of the Provisions of the upon the public is the time it would Proposed AD airplanes that have been modified, altered, or take the affected airplane owners/ repaired so that the performance of the Since an unsafe condition has been operators to amend the AFM. requirements of this AD is affected, the identified that is likely to exist or Regulatory Impact owner/operator must request approval for an develop in other Piper Models PA–31T, alternative method of compliance in PA–31T1, PA–31T2, PA–31T3, PA–42, The regulations proposed herein accordance with paragraph (e) of this AD. PA–42–720, and PA–42–1000 airplanes would not have substantial direct effects The request should include an assessment of of the same type design, the proposed on the States, on the relationship the effect of the modification, alteration, or repair on the unsafe condition addressed by AD would require amending the between the national government and the States, or on the distribution of this AD; and, if the unsafe condition has not Limitations Section of the AFM to been eliminated, the request should include prohibit the positioning of the power power and responsibilities among the specific proposed actions to address it. various levels of government. Therefore, levers below the flight idle stop while Compliance: Required within the next 30 the airplane is in flight, including a in accordance with Executive Order days after the effective date of this Ad, unless statement of consequences if the 12612, it is determined that this already accomplished. limitation is not followed. This AFM proposal would not have sufficient To prevent loss of airplane control or amendment shall consist of the federalism implications to warrant the engine overspeed with consequent loss of following language: preparation of a Federalism Assessment. engine power caused by the power levers For the reasons discussed above, I being positioned below the flight idle stop Positioning of power levers below the certify that this action (1) is not a while the airplane is in flight, accomplish the flight idle stop while in flight is prohibited. ‘‘significant regulatory action’’ under following: Such positioning could lead to loss of (a) Amend the Limitations Section of the airplane control or may result in an engine Executive Order 12866; (2) is not a ‘‘significant rule’’ under DOT airplane flight manual (AFM) by inserting the overspeed condition and consequent loss of following language: engine power. Regulatory Policies and Procedures (44 FR 11034, February 26, 1979); and (3) if Positioning of power levers below the Possible Alternative to the Proposed AD flight idle stop while in flight is prohibited. promulgated, will not have a significant Such positioning could lead to loss of Piper is determining whether it will economic impact, positive or negative, airplane control or may result in an engine develop AFM revisions for the affected on a substantial number of small entities overspeed condition and consequent loss of airplanes. If Piper does develop AFM under the criteria of the Regulatory engine power. revisions and they are completed and Flexibility Act. A copy of the draft (b) This action may be accomplished by approved by the FAA prior to issuance regulatory evaluation prepared for this incorporating a copy of this AD into the of the final rule, then incorporating action has been placed in the Rules Limitations Section of the AFM. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39795

(c) Amending the AFM, as required by this accordance with the requirements of the 24, 1994. Regulation 9, Rule 10 was AD, may be performed by the owner/operator Clean Air Act, as amended in 1990 found to be complete on July 14, 1994 holding at least a private pilot certificate as (CAA or the Act). EPA’s final action on pursuant to EPA’s completeness criteria authorized by section 43.7 of the Federal this notice of proposed rulemaking will that are set forth in 40 CFR part 51, Aviation Regulations (14 CFR 43.7), and must 1 be entered into the aircraft records showing incorporate this rule into the Federally appendix V . compliance with this AD in accordance with approved SIP. EPA has evaluated this NOX emissions contribute to the section 43.11 of the Federal Aviation rule and is proposing a simultaneous production of ground level ozone and Regulations (14 CFR 43.11). limited approval and limited smog. BAAQMD Regulation 9, Rule 10, (d) Special flight permits may be issued in disapproval under provisions of the controls emissions of NOX from boilers, accordance with sections 21.197 and 21.199 CAA regarding EPA actions on SIP steam generators, and process heaters in of the Federal Aviation Regulations (14 CFR submittals and general rulemaking petroleum refineries. The rule was 21.197 and 21.199) to operate the airplane to authority because these revisions, while adopted as part of BAAQMD’s efforts to a location where the requirements of this AD can be accomplished. strengthening the SIP, also do not fully achieve the National Ambient Air (e) An alternative method of compliance or meet the CAA provisions regarding plan Quality Standards (NAAQS) for ozone, adjustment of the compliance time that submissions and SIP enforceability as well as to satisfy the mandates of the provides an equivalent level of safety may be guidelines. This rule is being California State Clean Air Act approved by the Manager, Atlanta Aircraft incorporated into the SIP in accordance requirements. The rule was originally Certification Office (ACO), Campus Building, with the requirements for contingency submitted in response to the CAA 1701 Columbia Avenue, suite 2–160, College measures contained in the area’s ozone requirements for the reduction of NOX Park, Georgia 30337–2748. The request shall maintenance plan. emissions through reasonably available be forwarded through an appropriate FAA Maintenance Inspector, who may add DATES: Comments on this proposed control technology (RACT) contained in comments and then send it to the Manager, action must be received in writing on or section 182. Atlanta ACO. before August 25, 1997. However, prior to the complete Note 2: Information concerning the ADDRESSES: Comments may be mailed submittal of the BAAQMD NOX rules existence of approved alternative methods of to: Andrew Steckel, Rulemaking Section pursuant to the CAA, the district compliance with this AD, if any, may be (AIR–4), Air Division, U.S. applied for an exemption from the NOX obtained from the Atlanta ACO. Environmental Protection Agency, RACT requirements pursuant to section (f) Information related to this AD may be Region IX, 75 Hawthorne Street, San 182(f)(3). The BAAQMD’s exemption examined at the FAA, Central Region, Office Francisco, CA 94105–3901. request was submitted along with of the Assistant Chief Counsel, Room 1558, amendments to the BAAQMD’s request 601 E. 12th Street, Kansas City, Missouri Copies of the rule and EPA’s evaluation report of this rule are for redesignation to attainment of the 64106. ozone standard. The basis for the Issued in Kansas City, Missouri, on July 17, available for public inspection at EPA’s Region IX office during normal business BAAQMD’s exemption request was that 1997. the area had achieved the ozone Carolanne L. Cabrini, hours. Copies of the submitted rule are also available for inspection at the standard, as demonstrated by three Acting Manager, Small Airplane Directorate, years of monitoring data, without Aircraft Certification Service. following locations: having implemented the NOX measures. [FR Doc. 97–19485 Filed 7–23–97; 8:45 am] Environmental Protection Agency, Air Docket (6102), 401 ‘‘M’’ Street, S.W., While the BAAQMD had adopted the BILLING CODE 4910±13±M Washington, D.C. 20460. measures in response to both the State California Air Resources Board, and Federal requirements, the emission Stationary Source Division, Rule reductions obtained by the rules would ENVIRONMENTAL PROTECTION Evaluation Section, 2020 ‘‘L’’ Street, not occur until full implementation in AGENCY Sacramento, CA 95814. the future. The district was able to demonstrate with three years of 40 CFR Part 52 Bay Area Air Quality Management monitoring data that the Federal ozone [CA 179±0033; FRL±5863±3] District, Rule Development Section, 939 standard was reached without having Ellis Street, San Francisco, CA 94109. implemented the NOX control measures. Approval and Promulgation of Subsequently, EPA evaluated the Implementation Plans; California State FOR FURTHER INFORMATION CONTACT: Lily exemption request and published an Implementation Plan Revision; Bay Wong, Rulemaking Office (AIR–4), Air approval for the BAAQMD’s petition for Area Air Quality Management District Division, U.S. Environmental Protection a NOX RACT exemption on May 22, Agency, Region IX, 75 Hawthorne 1995 (60 FR 27028). AGENCY: Environmental Protection Street, San Francisco, CA 94105, Agency (EPA). While the BAAQMD was no longer Telephone: (415) 744–1190. required to submit NOX RACT rules ACTION: Proposed rulemaking. SUPPLEMENTARY INFORMATION: pursuant to section 182(b)(2), the SUMMARY: EPA is proposing a limited BAAQMD incorporated several of the approval and limited disapproval of Background previously submitted NOX rules as revisions to the California State This document addresses EPA’s contingency measures in its ozone Implementation Plan (SIP) for ozone. proposed action for Bay Area Air maintenance plan as a requirement for These revisions concern the control of Quality Management District redesignation to attainment. Since being oxides of nitrogen (NOX) and carbon (BAAQMD) Regulation 9, Rule 10, redesignated to attainment of the ozone monoxide from boilers, steam Nitrogen Oxides and Carbon Monoxide standard, 2 the Bay Area has recorded generators, and process heaters in from Boilers, Steam Generators, and violations of the Federal ozone petroleum refineries in the San Process Heaters in Petroleum Refineries. Francisco Bay Area. The intended effect BAAQMD adopted Regulation 9, Rule 1 EPA adopted the completeness criteria on February 16, 1990 (55 FR 5830) and, pursuant to of proposing limited approval and 10 on January 5, 1994. The State of section 110(k)(1)(A) of the CAA, revised the criteria limited disapproval of this rule is to California originally submitted the rule on August 26, 1991 (56 FR 42216). regulate emissions of NOX in being acted on in this document on May 2 See 60 FR 27028 (May 22, 1995). 39796 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules standard, thereby triggering the air quality by strengthening the SIP. The simply approve requirements that the contingency measures of the approval is limited because EPA’s State is already imposing. Therefore, maintenance plan. In accordance with action also contains a simultaneous because the Federal SIP approval does the redesignation maintenance plan, limited disapproval. In order to not impose any new requirements, I and at the request of the BAAQMD, EPA strengthen the SIP, EPA is proposing a certify that it does not have a significant is incorporating the NOX measures into limited approval of BAAQMD’s impact on any small entities affected. the SIP. The BAAQMD resubmitted the submitted Regulation 9, Rule 10 under Moreover, due to the nature of the contingency measures being acted on in sections 110(k)(3) and 301(a) of the CAA Federal-State relationship under the this document on July 23, 1996. This as meeting the requirements of section CAA, preparation of a flexibility action encompasses part of the measures (110)(a). At the same time, EPA is also analysis would constitute Federal identified in the plan as contingency proposing a limited disapproval of this inquiry into the economic measures. rule because it contains deficiencies reasonableness of state action. The EPA Evaluation and Proposed Action which must be corrected in order to Clean Air Act forbids EPA to base its meet the requirement for enforceability action concerning SIPS on such Because BAAQMD Regulation 9, Rule under section 110(a). If the grounds. Union Electric Co. v. U.S. EPA, 10 is being incorporated into the SIP as Administrator disapproves a submission 427 U.S. 246, 255–66 (1976); 42 U.S.C. part of the maintenance measures for under section 110(k) for an area 7410(a)(2). the area’s redesignation plan, the rule is designated attainment, based on the C. Unfunded Mandates not being evaluated for meeting the submission’s failure to meet one or more RACT emission limits pursuant to of the elements required by the Act, the Under section 202 of the Unfunded section 182(f) of the CAA. Rather, the Administrator may, at her discretion, Mandates Reform Act of 1995 rule is being incorporated into the SIP apply one of the sanctions set forth in (‘‘Unfunded Mandates Act’’), signed as an attainment maintenance measure section 179(b), pursuant to section into law on March 22, 1995, EPA must for ozone. It is therefore being evaluated 110(m). Moreover, the final disapproval prepare a budgetary impact statement to against the emissions reductions triggers the Federal implementation accompany any proposed or final rule committed to in the maintenance plan, plan (FIP) requirement under section that includes a Federal mandate that and SIP enforceability guidelines. 110(c). It should be noted that the rule BAAQMD Regulation 9, Rule 10 may result in estimated costs to State, covered by this document has been controls emissions of nitrogen oxides local, or tribal governments in the adopted by the BAAQMD and is and carbon monoxide from boilers, aggregate; or to private sector, of $100 currently in effect in the BAAQMD. steam generators, and process heaters in million or more. Under section 205, EPA’s final limited disapproval action petroleum refineries with rated EPA must select the most cost-effective capacities greater than or equal to 1 will not prevent BAAQMD or EPA from and least burdensome alternative that million Btu per hour heat input. The enforcing this rule. achieves the objectives of the rule and Nothing in this action should be rule requires sources (excluding carbon is consistent with statutory monoxide boilers) to meet a facility- construed as permitting or allowing or requirements. Section 203 requires EPA establishing a precedent for any future to establish a plan for informing and wide emission rate of 0.20 pounds NOX per million Btu heat input limit, and request for revision to any state advising any small governments that carbon monoxide boilers to meet 300 implementation plan. Each request for may be significantly or uniquely parts per million by volume (ppmv) of revision to the state implementation impacted by the rule. plan shall be considered separately in NOX. The rule requires compliance by EPA has determined that the approval May 31, 1995. light of specific technical, economic and action proposed does not include a Although Regulation 9, Rule 10 will environmental factors and in relation to Federal mandate that may result in strengthen the SIP, this rule still relevant statutory and regulatory estimated costs of $100 million or more contains deficiencies related primarily requirements. to either State, local, or tribal to the lack of enforceability. This rule Administrative Requirements governments in the aggregate, or to the does not specify any test method for private sector. This Federal action determination of compliance with the A. Executive Order 12866 approves pre-existing requirements NOX emission limit, and it does not The Office of Management and Budget under State or local law, and imposes require recordkeeping to demonstrate (OMB) has exempted this regulatory no new Federal requirements. compliance with the emission rate. A action from E.O. 12866 review. Accordingly, no additional costs to more detailed discussion of the sources State, local, or tribal governments, or to B. Regulatory Flexibility Act controlled, the controls required, and the private sector, result from this rule deficiencies can be found in the Under the Regulatory Flexibility Act, action. Technical Support Document (TSD), 5 U.S.C. 600 et seq., EPA must prepare List of Subjects in 40 CFR Part 52 dated May 30, 1997. a regulatory flexibility analysis Because of the above deficiencies, assessing the impact of any proposed or Environmental protection, Air EPA cannot grant full approval of this final rule on small entities. 5 U.S.C. 603 pollution control, Hydrocarbons, rule under section 110(k)(3). Also, and 604. Alternatively, EPA may certify Intergovernmental relations, Oxides of because the submitted rule is not that the rule will not have a significant nitrogen, Ozone, Reporting and composed of separable parts which meet impact on a substantial number of small recordkeeping requirements, Volatile all the applicable requirements of the entities. Small entities include small organic compounds. CAA, EPA cannot grant partial approval businesses, small not-for-profit Authority: 42 U.S.C. 7401–7671q. of the rule under section 110(k)(3). enterprises, and government entities However, EPA may grant a limited with jurisdiction over populations of Dated: July 10, 1997. approval of the submitted rule under less than 50,000. Felicia Marcus, section 110(k)(3) in light of EPA’s SIP approvals under sections 110 and Regional Administrator. authority pursuant to section 301(a) to 301, and subchapter I, part D of the CAA [FR Doc. 97–19549 Filed 7–23–97; 8:45 am] adopt regulations necessary to further do not create any new requirements but BILLING CODE 6560±50±P Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39797

ENVIRONNMENTAL PROTECTION U.S.C. 13106. EPCRA section 313 and believes that the delay in the AGENCY PPA section 6607 require that covered distribution of the reporting package facilities report this information on or may create concern in the regulated 40 CFR Part 372 before July 1 of each year for activities community regarding potential [OPPTS±400113A; FRL±5733±2] at those facilities during the previous enforcement actions, including civil calendar year. EPA is required to put the penalties, for those facilities submitting Toxic Chemical Release Reporting; EPCRA section 313/PPA section 6607 reports that may contain errors as a Community Right-To-Know; Additional information in an electronic data base result of the late distribution of the EPA Time to Report that is accessible to the public. This data reporting package or reporting after the base is commonly referred to as the extended August 1, 1997 deadline. AGENCY: Environmental Protection Toxics Release Inventory (TRI). State In recognition of the importance to Agency (EPA). and local governments, industry, non- State and local governments, industry, ACTION: Time extensions for submission government organizations, and the and the public that facilities submit of reports. public make extensive use of this data complete and accurate TRI reports, EPA base. is allowing all reporting facilities SUMMARY: EPA is announcing that it will Each year, prior to the reporting additional time, until September 8, allow facilities required to submit Toxic deadline, EPA develops and sends to 1997, to submit their 1996 TRI reports. Release Inventory (TRI) reports for facilities a reporting package containing However, reports for the 1996 reporting calendar year 1996 until September 8, the current TRI reporting form (Form R), year that are filed after September 8, the alternate threshold reporting form 1997, to file those reports. These TRI 1997, will be subject to EPA (Form A), the list of toxic chemicals reports under section 313 of the enforcement action, where appropriate. subject to reporting, and instructions for Emergency Planning and Community This allowance of additional time for reporting. In recent years, the package Right-to-Know Act and section 6607 of reporting applies only to the EPCRA has also included computer diskettes the Pollution Prevention Act would section 313/PPA section 6607 reporting containing the automated Form R for otherwise be due on or before July 1, obligations for TRI reports otherwise electronic reporting. EPA has found that 1997. EPA had previously extended the due on July 1, 1997, covering calendar providing this extensive reporting reporting deadline until August 1, 1997; year 1996. Nothing in this notice shall package reduces confusion and the however, EPA has continued to be construed to apply to any other number of reporting errors, and experience delays and errors in the EPCRA reporting obligations, or to any distribution of the reporting package, expedites the whole reporting process. In the past, these packages have been TRI reports due for past or future which includes extensive materials and reporting years. Further, this allowance guidance for preparing TRI reports, for distributed by early March of the year in which reports are due to allow adequate of additional time for reporting applies the 1996 reporting. To allow facilities only to the federal EPCRA section 313/ adequate time to prepare and submit time for review and use by the reporting facilities. PPA section 6607 reporting obligation; it complete and accurate TRI reports, does not apply to independent especially in electronic format, EPA is II. Additional Time to Report for 1996 obligations under State laws which also allowing facilities extra time in which to For the 1996 reporting year, EPA require TRI-type reports. However, EPA report. revised the Form R to collect more encourages the States with similar FOR FURTHER INFORMATION CONTACT: specific information on disposal into requirements that relate to federal TRI Maria J. Doa, 202–260–9592, e-mail: underground injection wells and reporting to embrace this allowance of [email protected], for specific landfills. The Office of Management and additional time. To the extent that this information on this notice, or for more Budget approved the reporting and action might be construed as rulemaking information on EPCRA section 313, the recordkeeping requirements related to subject to section 553 of the Emergency Planning and Community the revised Form R on April 30, 1997. Administrative Procedure Act, for the Right-to-Know Hotline, Environmental Because EPA could not print the forms reasons stated above, EPA has Protection Agency, Mail Code 5101, 401 and instructions until the Agency determined that notice and an M St., SW., Washington, DC 20460, Toll received approval for the Form R, EPA’s opportunity for public comment are free: 1–800–535–0202, in Virginia and printing and distribution of the 1996 impracticable and unnecessary. Alaska: 703–412–9877 or Toll free TDD: Form R was not to be initiated until late Providing for public comment might 1–800–553–7672. June 1997. As a result, EPA extended further delay reporting, and, because SUPPLEMENTARY INFORMATION: the reporting deadline until August 1, there is no substantive change in the 1997. Because of problems with the reporting obligation, other than allowing I. Background distribution of the reporting package, additional time, the public will Section 313 of the Emergency especially the automated Form R, continue to receive the same Planning and Community Right-to- facilities subject to TRI reporting may information. Moreover, a further delay Know Act of 1986, 42 U.S.C. 11023 not have sufficient time to prepare and in reporting would almost certainly (EPCRA, which is also referred to as submit their reports by the extended mean a delay in the release of the Title III of the Superfund Amendments deadline of August 1, 1997. EPA is information to the public. Also, public and Reauthorization Act of 1986 (Pub. concerned that in rushing to report by comment would not further inform L. 99–499)), requires certain facilities August 1, facilities may make errors that EPA’s decision because the events manufacturing, processing, or otherwise would reduce the accuracy and utility of giving rise to the need to provide extra using listed toxic chemicals to report the reports and, ultimately, the public time for reporting have already their environmental releases of such data base. EPA is also concerned that occurred. In addition, additional notice chemicals annually. Such facilities also the additional delay in the distribution and comment procedures in this must report pollution prevention and of the automated Form R may result in situation would be contrary to the recycling data for such chemicals, facilities submitting hard copies of the public interest in timely and accurate pursuant to section 6607 of the Form R rather than the preferred reporting of data under EPCRA section Pollution Prevention Act (PPA), 42 electronic version. In addition, EPA 313 and PPA section 6607. 39798 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules

III. Availability of the Form R and ADDRESSES: The 2-day meeting will be Dated: July 14, 1997. Instructions on the Internet held in the OIG Conference Room, June Gibbs Brown, A. The Internet Room 5542, Cohen Building, 330 Inspector General. Independence Avenue, S.W., [FR Doc. 97–19500 Filed 7–23–97; 8:45 am] Notwithstanding the delay in Washington, D.C. 20201. distribution of the printed version, the BILLING CODE 4150±04±P revised Form R and Instructions, FOR FURTHER INFORMATION CONTACT: currently are available on the Internet. Inquiries regarding this meeting should The Form R and Instructions, which can be addressed to Joel Schaer, OIG FEDERAL COMMUNICATIONS COMMISSION be downloaded as portable document Regulations Officer, Office of Counsel to format (pdf) files, are available at http:/ the Inspector General, at the above 47 CFR Part 73 /www.epa.gov/opptintr/tri/formr.htm. address or call (202) 619–0089. The Automated Form R (AFR) and [MM Docket No. 97±159, RM±9122] Instructions is also available on the SUPPLEMENTARY INFORMATION: The internet. The internet address for the Negotiated Rulemaking Committee on Radio Broadcasting Services; Arcadia AFR is http://www.epa.gov/opptintr/ the Shared Risk Exception has been and Fort Meade, FL established to provide advice and make afr96. AGENCY: Federal Communications recommendations to the Secretary of B. Fax on Demand Commission. Health and Human Services with ACTION: Proposed rule. Using a faxphone call 202-401-0527 respect to the text and content of an and select item 5100 for an index of interim final rule that will establish SUMMARY: This document requests available material and corresponding standards relating to the exception to comments on a petition filed by Hall item numbers related to this document. the anti-kickback statute for risk-sharing Communications, Inc., proposing the List of Subjects in 40 CFR Part 372 arrangements, set forth in section reallotment of Channel 252C2 from Arcadia, Florida, to Fort Meade, Florida, Environmental protection, 1128B(b)(3)(F) of the Social Security as that community’s first local broadcast Community right-to-know, Reporting Act. The exception was enacted by service. The coordinates for Channel and recordkeeping requirements, and section 216 of Public Law 104–191, the 252C2 at Fort Meade are 27–41–45 and Toxic chemicals. Health Insurance Portability and Accountability Act (HIPAA) of 1996. 81–48–49. We shall propose to modify Dated: July 18, 1997. Section 216 of HIPAA provides that the the license for Station WWRZ, to specify Lynn R. Goldman, Secretary will promulgate regulations opeation on Channel 252C2 at Fort Assistant Administrator for Prevention, that establish standards for the Meade, Florida, in accordance with Pesticides and Toxic Substances. exception using an expedited negotiated Section 1.420(i) of the Commission’s rulemaking process. Rules and will not accept competing [FR Doc. 97–19544 Filed 7-23-97; 8:45 am] expressions of interest for the use of the BILLING CODE 6560±50±F The first series of meetings was held channel or require petitioner to on June 17 and 18, 1997. A second demonstrate the availability of an series of meetings is scheduled for July additional equivalent class channel for DEPARTMENT OF HEALTH AND 28 through 30, 1997 (see 62 FR 28410 use by such parties. HUMAN SERVICES for times and location of the July DATES: Comments must be filed on or meetings). before September 8, 1997, and reply Office of Inspector General During the September meetings, the comments on or before September 23, 42 CFR Part 1001 committee will continue to discuss 1997. issues relating to the development of the ADDRESSES: Federal Communications Negotiated Rulemaking Committee on interim final rule and to generate and Commission, Washington, DC. 20554. In the Shared Risk Exception; Meetings discuss options for resolving those addition to filing comments with the issues. FCC, interested parties should serve the AGENCY: Office of Inspector General petitioner’s counsel, as follows: Thomas (OIG), HHS. The meetings for September 9 and 10, Schattenfield, Susan A. Marshall, Arent ACTION: Meeting of Negotiated 1997 will be open to the public without advanced registration. Public attendance Fox Kintner Plotkin & Kahn, 1050 Rulemaking Committee. Connecticut Avenue, NW, Washington, at the meeting may be limited to space DC 20036–5339. SUMMARY: In accordance with the available. Members of the public Federal Advisory Committee Act, this wishing to attend the meeting may want FOR FURTHER INFORMATION CONTACT: document announces the dates and to notify the contact person listed above Kathleen Scheuerle, Mass Media Bureau, (202) 418–2180. location for the third set of meetings by in advance to expedite access to the the Negotiated Rulemaking Committee Cohen Building. A summary of all SUPPLEMENTARY INFORMATION: This is a on the Shared Risk Exception. The proceedings of these meetings and summary of the Commission’s notice of purpose of this committee is to negotiate relevant matters and other material will proposed rule making, MM Docket No. the development of an interim final rule 97–159, adopted July 9, 1997, and also be available for public inspection at addressing the shared risk exception to released July 18, 1997. The full text of the address listed above from the hours the Federal health care programs’ anti- this Commission decision is available of 8:30 a.m. to 5:00 p.m., or can be kickback provisions, as statutorily- for inspection and copying during mandated by section 216 of the Health accessed through the OIG web site normal business hours in the Insurance Portability and (http://www.sba.gov/ignet/internal/hhs/ Commission’s Reference Center (Room Accountability Act of 1996. hhs.html). 239), 1919 M Street, NW., Washington, DATES: The third series of meetings will Notice of this meeting is given under DC. The complete text of this decision be held from 9:00 a.m. to 5:00 p.m. on the Federal Advisory Committee Act (5 may also be purchased from the September 9 and 10, 1997. U.S.C. App. 2). Commission’s copy contractors, Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules 39799

International Transcription Services, have a negligible impact on the affected known to have occurred and are Inc., 2100 M Street, NW., Suite 140, species and stocks of marine mammals. expected to continue to occur as the Washington, DC. 20037, (202) 857–3800. NMFS invites comment on the animals enter the cooling water intake Provisions of the Regulatory application and suggestions on the structures and apparently drown en Flexibility Act of 1980 do not apply to structure and content of regulations if route to the forebays. this proceeding. the application is accepted. Each of the three seawater intakes Members of the public should note DATES: Comments and information must structures consists of a velocity intake that from the time a Notice of Proposed be postmarked no later than August 25, cap that is connected to the Rule Making is issued until the matter 1997. subterranean intake tunnel by vertical is no longer subject to Commission ADDRESSES: Comments should be risers. The velocity intake caps are 30 ft consideration or court review, all ex addressed to Chief, Marine Mammal in diameter and rest, mushroom-like, on parte contacts are prohibited in Division, Office of Protected Resources, top of the 9-ft diameter risers. The Commission proceedings, such as this NMFS, 1315 East-West Highway, Silver bottom of each cap is 10 ft above the one, which involve channel allotments. Spring, MD 20910–3226. A copy of the seafloor, and water enters the cap See 47 CFR 1.1204(b) for rules application may be obtained by writing through 7-ft tall openings around its governing permissible ex parte contact. to the above address, or by telephoning perimeter. The purpose of this design is to minimize the rate of water flow at the For information regarding proper one of the persons below (see FOR mouth of the intakes and thereby filing procedures for comments, see 47 FURTHER INFORMATION CONTACT). minimize entrainment of marine CFR 1.415 and 1.420. FOR FURTHER INFORMATION CONTACT: organisms. The rate of water flow at the List of Subjects in 47 CFR Part 73 Kenneth R. Hollingshead (301) 713– edge of velocity intake caps during full 2055 or Eric Hutchins (508) 281–9313. Radio broadcasting. power is about 0.5 ft per second (0.3 Federal Communications Commission. SUPPLEMENTARY INFORMATION: knots). Because the structures are offshore Background John A. Karousos, and submerged, seals have not been Chief, Allocations Branch, Policy and Rules Section 101(a)(5)(A) of the Marine observed entering the intakes but are Division, Mass Media Bureau. Mammal Protection Act (16 U.S.C. 1361 discovered in the forebays. The [FR Doc. 97–19529 Filed 7–23–97; 8:45 am] et seq.) (MMPA) directs the Secretary of horizontal flow rate at the intakes is not BILLING CODE 6712±01±P Commerce (Secretary) to allow, upon believed to be strong enough to sweep request, the incidental, but not seals into the intakes. The animals intentional, taking of marine mammals probably swim into the structures, DEPARTMENT OF COMMERCE by U.S. citizens who engage in a perhaps in pursuit of prey. Once inside specified activity (other than the velocity cap, the rate of water flow National Oceanic and Atmospheric commercial fishing) within a specified increases in the risers and intake tunnel. Administration geographical region if certain findings The accelerating, downward-turning are made and regulations are issued. flow, and the absence of light may 50 CFR Part 216 Permission may be granted for periods disorient the seals and may inhibit their [Docket No. 970703165±7165±01; I.D. of 5 years or less if the Secretary finds escape from the intakes. For an object 062397A] that the taking will have a negligible traveling passively with the flow, the impact on the species or stock(s), will RIN 0648±AK00 minimum transit time from the intake not have an unmitigable adverse impact structures to the forebay is Taking and Importing Marine on the availability of the species or approximately 80 minutes. A seal that Mammals; Taking Marine Mammals stock(s) for subsistence uses, and enters the intakes and is unable to find Incidental to Power Plant Operations regulations are prescribed setting forth its way out would not be able to survive the permissible methods of taking and the transit through the intake tunnel to AGENCY: National Marine Fisheries the requirements pertaining to the the plant. Service (NMFS), National Oceanic and monitoring and reporting of such taking. Since 1993, the remains of 27 to 33 Atmospheric Administration (NOAA), seals have been discovered in Seabrook Commerce. Summary of Application Station’s forebays or on the device used ACTION: Notice of receipt of a petition for On June 16, 1997, NMFS received an to clean the forebays’ condenser intake regulations and an application for a application for an incidental, small take screens. Eighteen of the animals have small take exemption; request for exemption under section 101(a)(5)(A) of been removed intact from the forebays, comment and information. the MMPA from the North Atlantic either manually or through screen Energy Service Corporation (North washings. Human access to the forebays SUMMARY: NMFS has received an Atlantic) to take marine mammals is restricted and visibility is poor. application for a small take exemption incidental to routine operations of its Consequently, intact animals and implementing regulations from Seabrook Station nuclear power plant. occasionally go undetected in the North Atlantic Energy Service Seabrook Station is a single-unit 1,150- forebays and pieces of hide and bones Corporation for a small take of marine megawatt nuclear power generating are recovered in the screen washings as mammals incidental to routine facility located in Seabrook, NH. the animals deteriorate, thus the operations of the Seabrook Station Cooling water for plant operations is uncertainty in the tally of animals taken nuclear power plant, Seabrook, NH. As supplied by three intake structures to date. The remains are turned over to a result of that application, NMFS is approximately one mile offshore in 60 ft the authorized members of the considering whether to propose of water. About 469,000 gallons per Northeast Marine Mammal Stranding regulations that would authorize the minute are drawn through the intakes to Network for analysis and disposal. Skull incidental taking of a small number of a 19-ft diameter, 3 mile long tunnel fragments from two harp seals and one marine mammals. In order to beneath the seafloor and into large hooded seal have been identified promulgate these regulations, NMFS holding bays (called forebays) at the amongst the remains. Twenty of the must determine that these takings will power plant. Lethal takes of seals are seals have been identified as harbor 39800 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Proposed Rules seals, including all 18 of the animals Though Seabrook Station has been in Information Solicited that have been recovered intact. Of the commercial operation since August 12 whose ages have been determined, 10 1990, no seals takes are known to have NMFS requests interested persons to were young-of-the-year harbor seals, occurred prior to 1993, when the submit comments, information, and divided equally between males and remains of two seals were discovered. In suggestions concerning the application females. 1994, the remains of seven seals were for a small take exemption and the found, and 1995, the remains of six or structure and content of regulations if North Atlantic is presently seven were found. In 1996, ten intact the application is accepted. NMFS will investigating a number of measures to harbor seals and the bone fragments of consider this information in developing prevent the lethal taking of seals at two to seven additional seals were proposed regulations to authorize the Seabrook Station. To date, no preventive recovered. Given that the local taking. If NMFS proposes regulations to measures have been implemented, but abundance of harbor seals and harp allow this take, interested parties will be certain alternatives hold promise. These seals is known to be increasing and given ample time and opportunity to alternatives are being reviewed for their given that plant operations are comment. practicability with regard to nuclear scheduled to continue, as yet, power safety, costs, and their ability to unmodified; takes are likely to continue Dated: July 18, 1997. withstand the high energy offshore to occur in coming years. The expected Patricia A. Montanio, environment. North Atlantic’s number of takes per year cannot be Deputy Director, Office of Protected application for a small take exemption estimated at this point but the order of Resources, National Marine Fisheries Service. authorization will be updated as magnitude might be suggested by the [FR Doc. 97–19461 Filed 7–23–97; 8:45 am] determinations regarding preventive findings of 1996, 12 to 17 animals, BILLING CODE 3510±22±P measures are made. mostly harbor seals. 39801

Notices Federal Register Vol. 62, No. 142

Thursday, July 24, 1997

This section of the FEDERAL REGISTER displays a currently valid OMB control Total Burden Hours: 1,238. contains documents other than rules or number. • Rural Business-Cooperative Service proposed rules that are applicable to the • Agricultural Marketing Service Title: Annual Survey of Cooperative public. Notices of hearings and investigations, Title: Almonds Grown in California— Involvement in International Markets. committee meetings, agency decisions and Marketing Order 981. OMB Control Number: 0570–New. rulings, delegations of authority, filing of OMB Control Number: 0581–0071. Summary of Collection: Cooperative petitions and applications and agency international trade data. statements of organization and functions are Summary of Collection: Information is collected from growers and handlers for Need and Use of the Information: examples of documents appearing in this Assist U.S. farmer cooperatives to section. referendums, marketing agreements, and disposition of almonds sold in expand their participation in California. international trade of agricultural DEPARTMENT OF AGRICULTURE Need and Use of the Information: The products and supplies and to review information is used to administer their progress. Description of Respondents: Business Submission for OMB Review; Marketing Order No. 981. Comment Request or other for-profit. Description of Respondents: Business Number of Respondents: 170. July 18, 1997. or other for-profit; Farms. Frequency of Responses: Reporting: The Department of Agriculture has Number of Respondents: 7,658. Annually. submitted the following information Frequency of Responses: Total Burden Hours: 170. collection requirement(s) to OMB for Recordkeeping; Reporting: On occasion; • Farm Service Agency review and clearance under the Monthly; Semi Monthly. Title: Payer’s Request for Identifying Total Burden Hours: 2,512. Number. Paperwork Reduction Act of 1995, • Public Law 104–13. Comments Foreign Agricultural Service OMB Control Number: 0560–0121. regarding (a) whether the collection of Title: Administering the Dairy Import Summary of Collection: County FSA information is necessary for the proper Licensing System. offices prepares CCC–343 to collect an performance of the functions of the OMB Control Number: 0551–0001. identification number which consists of agency, including whether the Summary of Collection: These forms social security, employer identification, information will have practical utility; will be used in applying for import or IRS assigned number from each (b) the accuracy of the agency’s estimate licenses for certain dairy products producer who has not furnished a of burden including the validity of the subject to tariff-rate quotas and issued in number. methodology and assumption used; (c) accordance with the final rule governing Need and Use of the Information: The ways to enhance the quality, utility and the administration of the import identifying number is used by the clarity of the information to be licensing system. Internal Revenue Service to permit collected; (d) ways to minimize the Need and Use of the Information: The proper identification and to permit burden of the collection of information information is needed to assure that the processing of tax returns. on those who are to respond, including intent of the legislation is being Description of Respondents: through the use of appropriate correctly administered. Individuals or households; Business or automated, electronic, mechanical, or Description of Respondents: Business other for-profit; Not-for-profit other technological collection or other for-profit; Individuals or institutions; State, Local or Tribal techniques or other forms of information households. Government. Number of Respondents: 3,000. technology should be addressed to: Desk Number of Respondents: 440. Frequency of Responses: Reporting: Officer for Agriculture, Office of Frequency of Responses: Recordkeeping; Reporting: Annually. When necessary. Information and Regulatory Affairs, Total Burden Hours: 250. Office of Management and Budget Total Burden Hours: 270. (OMB), Washington, DC 20503 and to • Rural Business-Cooperative Service • Animal and Plant Health Inspection Department Clearance Office, USDA, Title: 7 CFR 4285–A, Federal-State Service OCIO, Mail Stop 7602, Washington, DC Research on Cooperatives Program. Title: Importation of Fruits and 20250–7602. Comments regarding these OMB Control Number: 0570–0005. Vegetables. information collections are best assured Summary of Collection: Respondents OMB Control Number: 0579–New. of having their full effect if received complete applications, statements of Summary of Collection: Collect within 30 days of this notification. work, supplemental agreements and phytosanitary inspection certificates Copies of the submission(s) may be progress reports. and fruit fly monitoring records. obtained by calling (202) 720–6204 or Need and Use of the Information: Need and Use of the Information: (202) 720–6746. Information to be collected is necessary Needed to prevent the importation of An agency may not conduct or to determine adequate need before a pests into the United States. Also to sponsor a collection of information Federal Cooperative Agreement is made allow the importation of fruits and unless the collection of information to conduct research. vegetables that were previously displays a currently valid OMB control Description of Respondents: State, prohibited. number and the agency informs Local or Tribal Government. Description of Respondents: Business potential persons who are to respond to Number of Respondents: 20. or other for-profit; Individuals or the collection of information that such Frequency of Responses: households; Not-for-profit institutions; persons are not required to respond to Recordkeeping; Reporting: On occasion; Farms; State, Local or Tribal the collection of information unless it Quarterly. Government. 39802 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Number of Respondents: 50. Please state that your comments refer to 4. What identification methods are Frequency of Responses: Docket No. 97–001–1. Comments used for tracking wild or exotic animals Recordkeeping; Reporting: On occasion. received may be inspected at USDA, (such as tattoos or microchips); and Total Burden Hours: 656. room 1141, South Building, 14th Street 5. What professional or industry and Independence Avenue SW., • National Agricultural Statistic standards exist concerning training and Washington, DC, between 8 a.m. and Service experience levels for trainers and 4:30 p.m., Monday through Friday, handlers. Title: Honey Survey. except holidays. Persons wishing to We are most interested in receiving OMB Control Number: 0535–0153. inspect comments are requested to call information that is in the form of Summary of Collection: Respondents ahead on (202) 690–2817 to facilitate published industry standards, published provide information on honey entry into the comment reading room. reports in peer-reviewed journals, production, number of colonies, FOR FURTHER INFORMATION CONTACT: Mr. studies, and objective scientific data. production, and stocks. Stephen Smith, Staff Animal Health For those issues on which data or Need and Use of the Information: Technician, Animal Care, APHIS, 4700 published information is not available, Estimates of the information are used by River Road Unit 84, Riverdale, MD APHIS also requests comments on the producers and the agribusiness sector of 20737–1234, (301) 734–7833. most cost-effective means to obtain such the honey industry to make production data. Interested parties are invited to SUPPLEMENTARY INFORMATION: and marketing decisions. submit comments on the issues stated Description of Respondents: Farms. Background above and other pertinent issues related Number of Respondents: 6,200. to the training and handling of Frequency of Responses: Reporting: Under the Animal Welfare Act (the Act) (7 U.S.C. 2131 et seq.), the potentially dangerous wild or exotic Annually. animals. Written comments should be Total Burden Hours: 2,067. Secretary of Agriculture is authorized to promulgate regulations governing the submitted within the 60-day comment Donald Hulcher, period specified in this notice under the Departmental Clearance Officer. humane handling, housing, care, treatment, and transportation of certain section entitled DATES to the address [FR Doc. 97–19517 Filed 7–23–97; 8:45 am] animals by dealers, research facilities, listed under the section entitled BILLING CODE 3410±01±M exhibitors, and carriers and ADDRESSES. intermediate handlers. Regulations Authority: 7 U.S.C. 2131–2159; 7 CFR 2.22, 2.80, and 371.2(g). DEPARTMENT OF AGRICULTURE established under the Act are contained in 9 CFR parts 1, 2, and 3. 9 CFR part Done in Washington, DC, this 18th day of Animal and Plant Health Inspection 2 contains regulations that cover July 1997. Service training and handling of animals under Terry L. Medley, the Animal Welfare Act. These Administrator, Animal and Plant Health [Docket No. 97±001±1] regulations generally prohibit physical Inspection Service. abuse of performing animals, describe [FR Doc. 97–19498 Filed 7–23–97; 8:45 am] Handling, Training, and Exhibition of minimum standards for exhibition of BILLING CODE 3410±34±P Potentially Dangerous Exotic or Wild animals to prevent risk or harm to the Animals animals and to the public, and require AGENCY: Animal and Plant Health that dangerous animals be directly DEPARTMENT OF AGRICULTURE Inspection Service, USDA. supervised by a knowledgeable animal Forest Service ACTION: Request for information. handler during public exhibition. We are seeking additional information Luck Lake Environmental Impact SUMMARY: Through this document, the concerning the training and handling of Statement Animal and Plant Health Inspection potentially dangerous wild and exotic Service is requesting information animals used in exhibition in order to AGENCY: Forest Service, USDA. concerning what practices are currently obtain a better understanding of the ACTION: Notice of intent to prepare a used for handling and training issues pertaining to their welfare. Environmental Impact Statement. potentially dangerous exotic or wild Specifically, we are seeking information animals used in exhibition (such as, but that will help us explore the following SUMMARY: The Department of not limited to, elephants, lions, or issues: Agriculture, Forest Service, will prepare tigers), and what training and 1. What handling and training an Environmental Impact Statement experience levels trainers and handlers practices are used, both by the majority (EIS) to provide timber for the of such animals have. We are seeking of the performing animal industry and Ketchikan Area timber sale program. this information to help us more by other groups, and what practices are The Record of Decision will disclose thoroughly examine all issues considered abusive; how the Forest Service has decided to pertaining to the training and handling 2. What practices are used for provide harvest units, roads, and of potentially dangerous exotic or wild controlling potentially dangerous associated timber harvesting facilities. animals used in exhibition. animals that show aggression during The proposed action is to harvest an DATES: Consideration will be given only exhibition, such as standards for estimated 13 million board feet (mmbf) to comments received on or before chemical immobilization and recapture of timber on an estimated 1000 acres. A September 22, 1997. of aggressive animals, and what range of alternatives will be developed ADDRESSES: Please send an original and practices are used for preventing and will include a no-action alternative. three copies of your comments to animals from being aggressive during The proposed timber harvest is located Docket No. 97–001–1, Regulatory exhibition; within Tongass Forest Plan Management Analysis and Development, PPD, 3. What is the incidence of aggressive Area K09 Value Comparison Units 572, APHIS, suite 3C03, 4700 River Road behavior in these animals during 581 and 582 on Prince of Wales Island, Unit 118, Riverdale, MD 20737–1238. exhibition; Alaska, on the Thorne Bay Ranger Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39803

District of the Ketchikan Area of the provided for in Title VIII, Section 810 of be accepted and considered; however, Tongass National Forest. the Alaska National Interest Lands those who submit anonymous DATES: Comments concerning the scope Conservation Act (ANILCA), are comments will not have standing to of this project should be received by planned during the comment period on appeal the subsequent decision under September 30, 1997. the Draft EIS. The Final EIS is 36 CFR Parts 215 or 217. Additionally, ADDRESSES: Please send written anticipated by September 1998. pursuant to 7 CFR 1.27(d), any person comments to District Ranger; Thorne The comment period on the draft may request the agency to withhold a Bay Ranger District; Tongass National environmental impact statement will be submission from the public record by Forest, Ketchickan Area; Attn: Luck 45 days from the date the showing how the Freedom of Lake EIS; P.O. Box 19001; Thorne Bay, Environmental Protection Agency Information Act (FOIA) permits such AK 99919. publishes the notice of availability in confidentiality. Requesters should be the Federal Register. FOR FURTHER INFORMATION CONTACT: aware that, under FOIA, confidentiality The Forest Service believes, at this Questions about the proposal and EIS may be granted in only very limited early stage, it is important to give should be directed to Stephen J. circumstances, such as to protect trade reviewers notice of several court rulings Kimball, District Ranger, Thorne Bay secrets. The Forest Service will inform related to public participation in the Ranger District, Tongass National the requester of the agency’s decision environmental review process. First, Forest, P.O. Box 19001, Thorne Bay, AK regarding the request for confidentiality, reviewers of draft environmental impact 99919 telephone (907) 828–3304. and where the request is denied, the statements must structure their SUPPLEMENTARY INFORMATION: Public agency will return the submission and participation in the environmental notify the requester that the comments participation will be an integral review of the proposal so that it is component of the study process and may be resubmitted with or without meaningful and alerts an agency to the name and address within 7 days. will be especially important at several reviewer’s position and contentions. points during the analysis. The first is Permits: Permits required for Vermont Yankee Nuclear Power Corp. v. implementation include the following: during the scoping process. The Forest NRDC, 435 U.S. 519, 553 (1978). Service will be seeking information, Environmental objections that could 1. U.S. Army Corp of Engineers comments, and assistance from Federal, have been raised at the draft —Approval of discharge of dredged or State, local agencies, individuals and environmental impact statement stage fill material into the waters of the organizations that may be interested in, may be waived or dismissed by the United States under Section 404 of or affected by, the proposed activities. courts. City of Agoon v. Hodel, 803 the Clean Water Act; The scoping process will include: (1) F.2nd 1016, 1022 (9th Cir. 1986) and —Approval of the construction of identification of potential issues; (2) Wisconsin Heritages, Inc. v. Harris, 490 structures or work in navigable waters identification of issues to be analyzed in F. Supp. 1334, 1338 (E.D. Wis. 1980). of the United States under Section 10 depth; and, (3) elimination of Because of these court rulings, it is very of the Rivers and Harbors Act of 1899; insignificant issues or those which have important that those interested in this been covered by a previous proposed action participate by the close 2. Environmental Protection Agency environmental review. Public scoping of the 45-day comment period so that —National Pollutant Discharge meetings are scheduled in Alaska at substantive comments and objections Elimination System (402) Permit; Thorne Bay, August 25, 1997, Whole are made available to the Forest Service —Review Spill Prevention Control and Passage, August 26, 1997, Coffman at a time when it can meaningfully Countermeasure Plan; Cove, August 27, 1997, Naukati, August consider them and respond to them in 28, 1997 and Klawock, September 3, the final environmental impact 3. State of Alaska, Department of 1997. Written scoping comments are statement. Natural Resources being solicited through a scoping To assist the Forest Service in —Tideland Permit and Lease or package that will be sent to the project identifying and considering issues and Easement; mailing list. For the Forest Service to concerns of the proposed action, best use the scoping input, comments comments during scoping and 4. State of Alaska, Department of should be received by September 30, comments on the draft environmental Environmental Conservation 1997. Tentative issues identified for impact statement should be as specific —Solid Waste Disposal Permit; analysis in the EIS include the potential as possible. It is also helpful if —Certification of Compliance with effects of the project on and the comments refer to specific pages or Alaska Water Quality Standards (401 relationship of the project to: chapters of the draft statement. Certification) Subsistence resources, old-growth Comments may also address the Responsible Official: Bradley E. ecosystem management and the adequacy of the draft environmental Powell, Forest Supervisor, Ketchikan maintenance of habitat for viable impact statement or the merits of the Area, Tongass National Forest, Federal populations of wildlife and plant alternatives formulated and discussed in Building, Ketchikan, Alaska 99901, is species, timber supply, scenery and the statement. Reviewers may wish to the responsible official. The responsible recreational resources, anadromous and refer to the Council on Environmental official will consider the comments, resident fish habitat, water resources, Quality Regulations for implementing response, disclosure of environmental wetlands, cultural resources and others. the procedural provisions of the consequences, and applicable laws, Based on results of scoping and the National Environmental Policy Act at 40 regulations, and policies in making the resource capabilities within the project CFR 1503.3 in addressing these points. decision and stating the rationale in the area, alternatives including a ‘‘no Comments received in response to Record of Decision. action’’ alternative will be developed for this solicitation, including names and the Draft Environmental Impact addresses of those who comment, will Dated: July 17, 1997. Statement (Draft EIS). The Draft EIS is be considered part of the public record Robert L. Vaught, projected to be filed with the on this proposed action and will be Deputy Forest Supervisor. Environmental Protection Agency (EPA) available for public inspection. [FR Doc. 97–19469 Filed 7–23–97; 8:45 am] in March 1998. Subsistence hearings, as Comments submitted anonymously will BILLING CODE 3410±11±M 39804 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF AGRICULTURE Naukati, August 28, 1997 and Klawock, the final environmental impact September 3, 1997. Written scoping statement. Forest Service comments are being solicited through a To assist the Forest Service in scoping package that will be sent to the identifying and considering issues and Staney Environmental Impact project mailing list. For the Forest concerns of the proposed action, Statement Service to best use the scoping input, comment during scoping and comments AGENCY: Forest Service, USDA. comments should be received by on the draft environmental impact ACTION: Notice of intent to prepare a September 30, 1997. Tentative issues statement should be as specific as Environmental Impact Statement. identified for analysis in the EIS include possible. It is also helpful if comments the potential effects of the project on refer to specific pages or chapters of the SUMMARY: The Department of and the relationship of the project to: draft statement. Comments may also Agriculture, Forest Service, will prepare Subsistence resources, old-growth address the adequacy of the draft an Environmental Impact Statement ecosystem management and the environmental impact statement or the (EIS) to provide timber for the maintenance of habitat for viable merits of the alternatives formulated Ketchikan Area timber sale program. populations of wildlife and plant and discussed in the statement. The Record of Decision will disclose species, timber supply, scenery and Reviewers may wish to refer to the how the Forest Service has decided to recreational resources, anadromous and Council on Environmental Quality provide harvest units, roads, and resident fish habitat, water resources, Regulations for implementing the associated timber harvesting facilities. wetlands, cultural resources and others. procedural provisions of the National The proposed action is to harvest an Based on results of scoping and the Environmental Policy Act at 40 CFR estimated 35 million board feet (mmbf) resource capabilities within the project 1503.3 in addressing these points. of timber on an estimated 1600 acres. A area, alternatives including a ‘‘no Comments received in response to range of alternatives will be developed action’’ alternative will be developed for this solicitation, including names and and will include a no-action alternative. the Draft Environmental Impact addresses of those who comment, will The proposed timber harvest is located Statement (Draft EIS). The Draft EIS is be considered part of the public record within Tongass Forest Plan Management projected to be filed with the on this proposed action and will be Area K07 Value Comparison Units 571m Environmental Protection Agency (EPA) available for public inspection. in March 1998. Subsistence hearings, as 587, 588, 590 and part of 577 on Prince Comments submitted anonymously will provided for in title VIII, Section 810 of of Wales Island, Alaska, on the Thorne be accepted and considered; however, the Alaska National Interest Lands Bay Ranger District of the Ketchikan those who submit anonymous Conservation Act (ANILCA), are Area of the Tongass National Forest. comments will not have standing to planned during the comment period on DATES: Comments concerning the scope appeal the subsequent decision under the Draft EIS. The Final EIS is of this project should be received by 36 CFR Parts 215 or 217. Additionally, September 30, 1997. anticipated by September 1998. The comment period on the draft pursuant to 7 CFR 1.27(d), any person ADDRESSES: Pleasee send written environmental impact statement will be may request the agency to withhold a comments to District Ranger; Thorne 45 days from the date the submission from the public record by Bay Ranger District; Tongass National Environmental Protection Agency showing how the Freedom of Forest, Ketchikan Area; Attn: Staney publishes the notice of availability in Information Act (FOIA) permits such EIS; P.O. Box 19001; Thorne Bay, AK the Federal Register. confidentiality. Requesters should be 99919. The Forest Service believes, at this aware that, under FOIA, confidentiality FOR FURTHER INFORMATION CONTACT: early stage, it is important to give may be granted in only very limited Questions about the proposal and EIS reviewers notice of several court rulings circumstances, such as to protect trade should be directed to Stephen J. related to public participation in the secrets. The Forest Service will inform Kimball, District Ranger, Thorne Bay environmental review process. First, the requester of the agency’s decision Ranger District, Tongass National reviewers of draft environmental impact regarding the request for confidentiality, Forest, P.O. Box 19001, Thorne Bay, AK statements must structure their and where the request is denied, the 99919 telephone (907) 828–3304. participation in the environmental agency will return the submission and SUPPLEMENTARY INFORMATION: Public review of the proposal so that it is notify the requester that the comments participation will be an integral meaningful and alerts an agency to the may be resubmitted with or without component of the study process and reviewer’s position and contentions. name and address within 7 days. will be especially important at several Vermont Yankee Nuclear Power Corp. v. Permits: Permits required for points during the analysis. The first is NRDC, 435 U.S. 519, 553, (1978). implementation include the following: during the scoping process. The Forest Environmental objections that could 1. U.S. Army Corp or Engineers Service will be seeking information, have been raised at the draft comments, and assistance from Federal, environmental impact statement stage —Approval of discharge of dredged or State, local agencies, individuals and may be waived or dismissed by the fill material into the waters of the organizations that may be interested in, courts. City of Angoon v. Hodel, 803 F. United States under Section 404 of or affected by, the proposed activities. 2nd 1016, 1022 (9th Cir. 1986) and the Clean Water Act; The scoping process will include: (1) Wisconsin Heritages, Inc. v. Harris, 490 —Approval of the construction of identification of potential issues; (2) F. Supp. 1334, 1338 (E.D. Wis. 1980). structures or work in navigable waters identification of issues to be analyzed in Because of these court rulings, it is very of the United States under Section 10 depth; and, (3) elimination of significant important that those interested in this of the Rivers and Harbors Act of 1899; issues or those which have been covered proposed action participate by the close 2. Environmental Protection Agency by a previous environmental review. of the 45-day comment period so that Public scoping meetings are scheduled substantive comments and objections —National Pollutant Discharge in Alaska at Thorne Bay, August 25, are made available to the Forest Service Elimination System (402) Permit; 1997, Whale Passage, August 26, 1997, at a time when it can meaningfully —Review Spill Prevention Control and Coffman Cove, August 27, 1997, consider them and respond to them in Countermeasure Plan; Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39805

3. State of Alaska, Department of DEPARTMENT OF AGRICULTURE Dated: July 17, 1997. Natural Resources Robert C. Joslin, Forest Service Deputy Chief, NFS. —Tideland Permit and Lease or [FR Doc. 97–19504 Filed 7–23–97; 8:45 am] Easement; Water Rights Task Force Meeting BILLING CODE 3410±11±M 4. State of Alaska, Department of AGENCY: Forest Service, USDA. Environmental Conservation ACTION: Notice of meetings. DEPARTMENT OF AGRICULTURE —Solid Waste Disposal Permit; Grain Inspection, Packers and —Certification of Compliance with SUMMARY: The Forest Service announces Stockyards Administration Alaska Water Quality Standards (401 meetings of the Water Rights Task Force Certification) established on August 20, 1996, in Posting of Stockyards accordance with the provisions of the Responsible Official: Bradley E. Federal Agricultural Improvement and Powell, Forest Supervisor, Ketchikan Pursuant to the authority provided Reform Act of 1996, as amended. The Area, Tongass National Forest, Federal under Section 302 of the Packers and chairman has changed the location of Stockyards Act (7 U.S.C. 202), it was Building, Ketchikan, Alaska 99901, is the previous scheduled August 4–5, ascertained that the livestock markets the responsible official. The responsible 1997, meeting of the Task Force to named below were stockyards as official will consider the comments, Boise, Idaho, and has scheduled a new defined by Section 302(a). Notice was response, disclosure of environmental meeting August 18, 1997, in Denver, given to the stockyard owners and to the consequences, and applicable laws, Colorado. public as required by Section 302(b), by regulations, and policies in making the posting notices at the stockyards on the DATES: decision and stating the rationale in the The meetings will be held dates specified below, that the Record of Decision. August 4, from 9:30 a.m. to 5:30 p.m.; stockyards were subject to the August 5, from 8:30 a.m. until Dated: July 17, 1997. provisions of the Packers and adjourned by the chairman; and August Robert L. Vaught, Stockyards Act, 1921, as amended (7 18, from 8:00 a.m. until adjourned by U.S.C. 181 et seq.). Deputy Forest Supervisor. the chairman. [FR Doc. 97–19470 Filed 7–23–97; 8:45 am] ADDRESSES: The August 4–5 meeting Facility No., name, and location of Date of stockyard posting BILLING CODE 3410±11±M will be held in Boise at the Red Lion/ Doubletree Riverside Hotel, Delamar AR±172 Lafayette County live- Apr. 26, DEPARTMENT OF AGRICULTURE Conference Room, 2900 Chinden Blvd. stock Auction, South Lewisville, 1997. The August 18 meeting will be held at Arkansas. Forest Service the United Airlines Red Carpet Club OH±152 Rushcreek Stable & May 30, Conference Room at the Denver Auction, Bremen, Ohio. 1997. International Airport. WI±146 Bloomington Livestock Apr. 25, Deschutes Provincial Interagency Exchange, Bloomington, Wis- 1997. Executive Committee (PIEC), Advisory Send written comments to Eleanor consin. Committee Towns, FACA Liaison, Water Rights Task Force, c/o USDA Forest Service, Done at Washington, D.C. this 16th day of AGENCY: Forest Service, USDA. MAIL STOP 1124, P.O. Box 96090, July 1997. ACTION: Notice of meeting. Washington, DC 20090–6090. Daniel L. Van Ackeren, Telephone: (202) 205–1248; Fax: (202) Director, Livestock Marketing Division, Packers and Stockyards Programs. SUMMARY: The Deschutes PIEC Advisory 205–1604. [FR Doc. 97–19434 Filed 7–23–97; 8:45 am] Committee will meet on August 27, FOR FURTHER INFORMATION CONTACT: BILLING CODE 3410±EN±M 1997 at the Welcome Center on Stephen Glasser, Watershed & Air Highway 97 in Bend, OR. The meeting Management Staff, Telephone: (202) will start at 9:00 a.m. and finish at 5:00 205–1172; Fax: (202) 205–1096. DEPARTMENT OF AGRICULTURE p.m. Agenda items include: (1) Completion of comments on the DEIS SUPPLEMENTARY INFORMATION: The Water Grain Inspection, Packers and documents for the Eastside Ecosystem Rights Task Force is composed of seven Stockyards Administration project and (2) Open public forum. All members appointed by Congress and the Deschutes Province Advisory Secretary of Agriculture to study and Proposed Posting of Stockyards Committee meetings are open to the make recommendations on issues public. pertaining to water rights. All meetings The Grain Inspection, Packers and are open to the public and time for the Stockyards Administration, United FOR FURTHER INFORMATION CONTACT: Pam public to address the Task Force is States Department of Agriculture, has Beyer, Province Liaison, USDA, Bend- scheduled on August 4 from 10:00 a.m. information that the livestock markets Fort Rock Ranger District, 1230 N.E. 3rd, to 2:00 p.m. Discussion is limited only named below are stockyards as defined Bend, Oregon 97701, 541–383–4705. to Task Force members and Forest in Section 302 of the Packers and Dated: July 15, 1997. Service personnel. Persons who wish to Stockyards Act (7 U.S.C. 202), and should be made subject to the Sally Collins, bring water rights matters to the attention of the Task Force may file provisions of the Packers and Deschutes National Forest Supervisor. written statements, either before or after Stockyards Act, 1921, as amended (7 [FR Doc. 97–19424 Filed 7–23–97; 8:45 am] these meetings, with the Forest Service U.S.C. 181 et seq.). BILLING CODE 3410±11±M liaison at the address listed earlier in AL–191 M & N Horse Sale, Russellville, this notice. Alabama 39806 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

AR–173 Centerton Livestock Auction, Executive Session will follow regulations of the U.S. Commission on Centerton, Arkansas adjournment of the Business Session. Civil Rights, that a meeting of the KY–175 Kentucky Livestock Exchange, Any person planning to attend this Vermont Advisory Committee to the Owenton, Kentucky meeting who requires special Commission will convene at 12:30 p.m. MS–170 Alcorn County Stockyard, Corinth, accessibility features and/or auxiliary Mississippi and adjourn at 4:30 p.m. on Thursday, NC–172 Martin County Horse Auction, Oak aids, such as sign language interpreters August 28, 1997, at the Burlington City City, North Carolina must inform the Commission in advance Hall, Conference Room #2, 149 Church PA–159 Troy Sales, Troy, Pennsylvania of those needs. Street, Burlington, Vermont 05401. The Contact Person for More Information: Pursuant to the authority under purpose of the meeting is to continue Dr. Garrett W. Brass, Executive Director, Section 302 of the Packers and project planning for the Committee’s Arctic Research Commission, 703–525– Stockyards Act, notice is hereby given November community forum. 0111 or TDD 703–306–0090. that it is proposed to designate the Persons desiring additional stockyards named above as posted Garrett W. Brass, information, or planning a presentation stockyards subject to the provisions of Executive Director. to the Committee, should contact said Act. [FR Doc. 97–19474 Filed 7–23–97; 8:45 am] Committee Chairperson Kimberly Any person who wishes to submit BILLING CODE 7555±01±M Cheney, 802–229–0334, or Ki-Taek written data, views or arguments Chun, Director of the Eastern Regional concerning the proposed designation Office, 202–376–7533 (TDD 202–376– may do so by filing them with the COMMISSION ON CIVIL RIGHTS 8116). Hearing-impaired persons who Director, Livestock Marketing Division, will attend the meeting and require the Grain Inspection, Packers and Agenda and Notice of Public Meeting services of a sign language interpreter Stockyards Administration, Room of the Connecticut Advisory should contact the Regional Office at 3408—South Building, U.S. Department Committee least five (5) working days before the of Agriculture, Washington, D.C. 20250 scheduled date of the meeting. Notice is hereby given, pursuant to by August 8, 1997. the provisions of the rules and The meeting will be conducted All written submissions made regulations of the U.S. Commission on pursuant to the provisions of the rules pursuant to this notice will be made and regulations of the Commission. available for public inspection in the Civil Rights, that a meeting of the Dated at Washington, DC, July 17, 1997. office of the Director of the Livestock planning subcommittee of the Marketing Division during normal Connecticut Advisory Committee to the Carol-Lee Hurley, business hours. Commission will convene at 1:00 p.m. Chief, Regional Programs Coordination Unit. and adjourn at 4:00 p.m. on Monday, [FR Doc. 97–19511 Filed 7–23–97; 8:45 am] Done at Washington, D.C. this 17th day of August 25, 1997, at the Catholic BILLING CODE 6335±01±P July 1997. Charities, Conference Room, 467 Daniel L. Van Ackeren, Bloomfield Avenue, Bloomfield, Director, Livestock Marketing Division, Connecticut 06002. The purpose of the COMMISSION ON CIVIL RIGHTS Packers and Stockyards Programs. meeting is to discuss and plan details of [FR Doc. 97–19425 Filed 7–23–97; 8:45 am] the forthcoming civil rights leadership Agenda and Notice of Public Meeting BILLING CODE 3410±EN±P conference to be held late 1997. of the Massachusetts Advisory Persons desiring additional Committee information, or planning a presentation ARCTIC RESEARCH COMMISSION to the Committee, should contact Notice is hereby given, pursuant to Subcommittee Chairperson Patrick J. the provisions of the rules and Notice is Hereby Given That the U.S. Johnson, Jr., 860–242–9577, or Ki-Taek regulations of the U.S. Commission on Arctic Research Commission Will Hold Chun, Director of the Eastern Regional Civil Rights, that a meeting of the its 48th Meeting in Barrow, AK on Office, 202–376–7533 (TDD 202–376– Massachusetts Advisory Committee to August 8 and 9, 1997 8116). Hearing-impaired persons who the Commission will convene at 10:00 will attend the meeting and require the a.m. and adjourn at 3:00 p.m. on Friday, July 16, 1997. August 22, 1997, at the Western New The Business Session open to the services of a sign language interpreter should contact the Regional Office at England School of Law, The Moot Court public will convene at 9:00 a.m. Friday, Room, 1215 Wilbraham Road, August 8, in the Barrow City Council least five (5) working days before the scheduled date of the meeting. Springfield, Massachusetts 01119. The Chambers Agenda items include: purpose of the meeting is to discuss and (1) Call to order and approval of the The meeting will be conducted plan details of the forthcoming civil Agenda. pursuant to the provisions of the rules rights leadership conference to be held (2) Approval of the Minutes of the and regulations of the Commission. late 1997. 47th Meeting. Dated at Washington, DC, July 17, 1997. Persons desiring additional (3) Reports of Congressional Liaisons. Carol-Lee Hurley, (4) Agency Reports. information, or planning a presentation The focus of the Meeting will be Chief, Regional Programs Coordination Unit. to the Committee, should contact reports and updates on programs and [FR Doc. 97–19509 Filed 7–23–97; 8:45 am] Committee Chairperson Fletcher A. research projects affecting the U.S. BILLING CODE 6335±01±P Blanchard, 860–585–3909, or Ki-Taek Arctic. Presentations include an Chun, Director of the Eastern Regional Overview of North Slope Borough Office, 202–376–7533 (TDD 202–376– Wildlife Research, Global Change COMMISSION ON CIVIL RIGHTS 8116). Hearing-impaired persons who Research at Barrow, Eastern Russia Agenda and Notice of Public Meeting will attend the meeting and require the Research Taxes, Research on Traditional of the Vermont Advisory Committee services of a sign language interpreter Use of Plants and the ARM program. should contact the Regional Office at The Business Session will reconvene Notice is hereby given, pursuant to least five (5) working days before the at 9:00 a.m. Saturday, August 9. An the provisions of the rules and scheduled date of the meeting. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39807

The meeting will be conducted 10236, New Executive Office Building, such a person had any interest at the pursuant to the provisions of the rules Washington, D.C. 20503. time of conviction may be revoked. and regulations of the Commission. Dated: July 18, 1997. Pursuant to Sections 766.25 and 750.8(a) of the Regulations, upon Dated at Washington, DC, July 17, 1997. Linda Engelmeier, Carol-Lee Hurley, notification that a person has been Departmental Forms Clearance Officer, Office convicted of violating IEEPA, the Chief, Regional Programs Coordination Unit. of Management and Organization. Director, Office of Exporter Services, in [FR Doc. 97–19510 Filed 7–23–97; 8:45 am] [FR Doc. 97–19442 Filed 7–23–97; 8:45 am] consultation with the Director, Office of BILLING CODE 6335±01±P BILLING CODE 3510±13±P Export Enforcement, shall determine whether to deny that person permission to apply for or use any license, DEPARTMENT OF COMMERCE DEPARTMENT OF COMMERCE including any License Exception, issued pursuant to, or provided by, the Act and Submission for OMB Review; Bureau of Export Administration the Regulations, and shall also Comment Request determine whether to revoke any license Action Affecting Export Privileges; previously issued to such a person. The Department of Commerce (DOC) Tex±Co International, Inc.; Order Having received notice of Tex-Co’s has submitted to the Office of Denying Permission to Apply for or conviction for violating IEEPA and Management and Budget (OMB) for Use Export Licenses clearance the following proposal for following consultations with the Acting Director, Office of Export Enforcement, collection of information under On June 24, 1996, Tex-Co I have decided to deny Tex-Co provisions of the Paperwork Reduction International, Inc. (Tex-Co) was permission to apply for or use any Act of 1995 (44 U.S.C. Chapter 35). convicted in the United States District license, including any License Agency: National Institute of Court for the Southern District of Texas, Exception, issued pursuant to, or Standards and Technology (NIST). Houston Division, of violating the provided by, the Act and the Title: Malcolm Baldrige National International Emergency Economic Quality Award Application. Regulations, for a period of 10 years Powers Act (50 U.S.C.A. §§ 1701–1706 from the date of its conviction. The 10- Agency Form Number: None assigned. (1991 & Supp. 1997)) (IEEPA). Tex-Co OMB Approval Number: 0693–0006. year period ends on June 24, 2006. I was convicted of knowingly and have also decided to revoke all licenses Type of Request: Reinstatement of a willfully exporting, and causing to be previously approved collection. issued pursuant to the Act in which exported, various items of oil field Burden: 10,000 hours. Tex-Co had an interest at the time of its equipment to an intermediary for Avg Hours Per Response: 100. conviction. ultimate delivery to Umm Al-Jawaby Oil Number of Respondents: 100. Accordingly, it is hereby Ordered Service Company, Ltd., a specially Needs and Uses: The Malcolm I. Until June 24, 2006, Tex-Co designated national of the government Baldrige National Quality Improvement International, Inc., 8989 Westheimer of Libya, located in London, United Act of 1987 established an annual Road, Suite 216, Houston, Texas 77063, Kingdom, without the written quality award either presented by the may not, directly or indirectly, authorization of the United States President or the Secretary of Commerce. participate in any way, in any Government. Applications for the Malcolm Baldrige transaction involving any commodity, National Quality Award submit an Section 11(h) of the Export software or technology (hereinafter eligibility application, and if declared Administration Act of 1979, as amended collectively referred to as ‘‘item’’) eligible, an application package. NIST (50 U.S.C.A. app. §§ 2401–2420 (1991 & exported or to be exported from the uses the information provided to assess Supp. 1997)) (the Act), 1 provides that, United States, that is subject to the and make selections for this Award. at the discretion of the Secretary of Regulations, or in any other activity Affected Public: Businesses or other Commerce, 2 no person convicted of subject to the Regulations, including but for-profit organizations and not-for- violating IEEPA, or certain other not limited to: profit institutions. provisions of the United States Code, A. Applying for, obtaining, or using Frequency: Award applications are shall be eligible to apply for or use any any license, License Exception, or accepted on an annual basis. license, including any License export control document; Respondent’s Obligation: The Exception, issued pursuant to, or B. Carrying on negotiations voluntary application must be provided by, the Act or the Export concerning, or ordering, buying, submitted in order to be considered for Administration Regulations (currently receiving, using, selling, delivering, the Award. codified at 15 C.F.R. Parts 730–774 storing, disposing of, forwarding, OMB Desk Officer: Virginia Huth, (1997)) (the Regulations), for a period of transporting, financing, or otherwise (202) 395–6929. up to 10 years from the date of the servicing in any way, any transaction Copies of the above information conviction. In addition, any license involving any item exported or to be collection proposal can be obtained by issued pursuant to the Act in which exported from the United States that is calling or writing Linda Engelmeier, subject to the Regulations, or in any DOC Forms Clearance Officer, (202) 1 The Act expired on August 20, 1994. Executive other activity subject to the Regulations; 482–3272, U.S. Department of Order 12924 (3 C.F.R., 1994 Comp. 917 (1995)), or Commerce, Room 5327, 14th and extended by Presidential Notices of August 15, 1995 C. Benefiting in any way from any (3 C.F.R., 1995 Comp. 501 (1996)) and August 14, Constitution Avenue, NW., Washington, 1996 (3 C.F.R., 1996 comp. 298 (1997)), continued transaction involving any item exported D.C. 20230. the Export Administration Regulations in effect or to be exported from the United States Written comments and under the IEEPA. that is subject to the Regulations, or in recommendations for the proposed 2 Pursuant to appropriate delegations of authority, any other activity subject to the the Director, Office of Exporter Services, in Regulations. information collection should be sent consultation with the Director, Office of Export within 30 days of publication to Enforcement, exercises the authority granted to the II. No person may directly or Virginia Huth, OMB Desk Officer, Room Secretary by Section 11(h) of the Act. indirectly, do any of the following: 39808 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

A. Export or reexport to or on behalf DEPARTMENT OF COMMERCE DEPARTMENT OF COMMERCE of the denied person any item subject to the Regulations; Bureau of Export Administration Foreign-Trade Zones Board B. Take any action that facilitates the [Docket 60±97] acquisition or attempted acquisition by Materials Processing Equipment the denied person of the ownership, Technical Advisory Committee; Notice Foreign-Trade Zone 124ÐGramercy, possession, or control of any item of Open Meeting LA; Application for Subzone Status, subject to the Regulations that has been Halter Marine, Inc. (Shipbuilding) or will be exported from the United A meeting of the Materials Processing States, including financing or other Equipment Technical Advisory An application has been submitted to support activities related to a Committee will be held September 4, the Foreign-Trade Zones Board (the transaction whereby the denied person 1997, 9:00 a.m., in the Herbert C. Board) by the South Louisiana Port Commission, grantee of FTZ 124, acquires or attempts to acquire such Hoover Building, Room 1617M–2, 14th requesting special-purpose subzone ownership, possession or control; Street between Pennsylvania and C. Take any action to acquire from or status for the shipbuilding facility of Constitution Avenues, N.W., Halter Marine, Inc. (HMI), located in to facilitate the acquisition or attempted Washington, D.C. The Committee acquisition from the denied person of Lockport, Louisiana. The application advises the Office of the Assistant was submitted pursuant to the any item subject to the Regulations that Secretary for Export Administration has been exported from the United provisions of the Foreign-Trade Zones with respect to technical questions that Act, as amended (19 U.S.C. 81a–81u), States; affect the level of export controls D. Obtain from the denied person in and the regulations of the Board (15 CFR applicable to materials processing and the United States any item subject to the Part 400). It was formally filed on July Regulations with knowledge or reason related technology. 16, 1997. The HMI shipyard (133 acres, 270 to know that the item will be, or is Agenda intended to be, exported from the employees) is located on State Highway United States; or 1. Opening remarks by the Chairman. 308, north of the City of Lockport E. Engage in any transaction to service (LaFourche Parish), Louisiana, and is 2. Presentation of papers or comments used in the construction, repair, and any item subject to the Regulations that by the public. has been or will be exported from the conversion of commercial and military United States and that is owned, 3. Preview of Wassenaar List format. vessels for domestic and international possessed or controlled by the denied 4. Review of ‘‘white paper’’ on customers. Foreign components used at person, or service any item, of whatever machine tools. the HMI shipyard (up to 20% of total) origin, that is owned, possessed or include propulsion units, main engines, 5. Review of Nuclear Suppliers Group casting plates, bow thrusters, and pilot controlled by the denied person if such activities. service involves the use of any item chairs (1997 duty rate range: free–10%, subject to the Regulations that has been 6. Discussion on post-shipment visit ad valorem). or will be exported from the United procedures. FTZ procedures would exempt HMI States. For purposes of this paragraph, 7. Discussion on definition of from Customs duty payments on the servicing means installation, ‘‘specially designed’’. foreign components used in export maintenance, repair, modification or activity. On its domestic sales, the The meeting will be open to the company would be able to choose the testing. public and a limited number of seats III. After notice and opportunity for duty rate that applies to finished will be available. To the extent that time comment as provided in Section 766.23 oceangoing vessels (duty free) for the of the Regulations, any person, firm, permits, members of the public may foreign-origin components noted above. corporation, or business organization present oral statements to the The manufacturing activity conducted related to Tex-Co by affiliation, Committee. Written statements may be under FTZ procedures would be subject ownership, control, or position of submitted at any time before or after the to the ‘‘standard shipyard restriction’’ responsibility in the conduct of trade or meeting. However, to facilitate applicable to foreign-origin steel mill related services may also be subject to distribution of public presentation products, which requires that full duties the provisions of this Order. materials to Committee members, the be paid on such items. Foreign-sourced IV. This Order does not prohibit any Committee suggests that presenters steel mill products, such as pipe and export, reexport, or other transaction forward the public presentation plate, would be subject to the full subject to the Regulations where the materials two weeks prior to the Customs duties applicable to those only items involved that are subject to meeting date to the following address: items. The application indicates that the the Regulations are the foreign- Ms. Lee Ann Carpenter, OAS/EA MS: savings from FTZ procedures would producted direct product of U.S.-origin 3886C, Bureau of Export help improve the facility’s international technology. Administration, U.S. Department of competitiveness. In accordance with the Board’s V. This Order is effective immediately Commerce, Washington, D.C. 20230. and shall remain in effect until June 24, regulations, a member of the FTZ Staff 2006. For further information or copies of has been designated examiner to VI. A copy of this Order shall be the minutes, contact Lee Ann Carpenter investigate the application and report to delivered to Tex-Co. This Order shall be at 202–482–2583. the Board. published in the Federal Register. Dated: July 18, 1997. Public comment on the application is invited from interested parties. Dated: July 15, 1997. Lee Ann Carpenter, Submissions (original and three copies) Eileen M. Albanese, Director, Technical Advisory Committee Unit. shall be addressed to the Board’s Director, Office of Exporter Services. [FR Doc. 97–19441 Filed 7–23–97; 8:45 am] Executive Secretary at the address [FR Doc. 97–19515 Filed 7–23–97; 8:45 am] BILLING CODE 3510±DT±M below. The closing period for their BILLING CODE 3510±DT±M receipt is September 22, 1997. Rebuttal Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39809 comments in response to material Avenue, NW., Washington, DC 20230, Corporation (Compaq); (2) Digital submitted during the foregoing period telephone: (202) 482–3814. Equipment Corporation (Digital), and (3) may be submitted during the subsequent Dell Computer Corporation (Dell). At SUPPLEMENTARY INFORMATION: 15-day period (to October 7, 1997). the request of LGS and Hyundai, a A copy of the application will be The Applicable Statute and Regulations public hearing was held on May 5, 1997. available for public inspection at the Unless otherwise indicated, all The Department has now completed its following locations: citations to the statute are references to administrative review in accordance Office of the Port Director, U.S. Customs the provisions effective January 1, 1995, with section 751 of the Act. Service, P.O. Box 490, 110 North the effective date of the amendments Scope of the Review Airline Avenue, Gramercy, LA 70052 made to the Tariff Act of 1930 (the Act) Office of the Executive Secretary, Imports covered by the review are by the Uruguay Round Agreements Act shipments of DRAMs of one megabyte Foreign-Trade Zones Board, Room (URAA). In addition, unless otherwise 3716, U.S. Department of Commerce, and above from the Republic of Korea indicated, all citations to the (Korea). Included in the scope are 14th Street & Pennsylvania Avenue, Department’s regulations are to 19 CFR NW, Washington, DC 20230. assembled and unassembled DRAMs of Part 353 (1997). one megabyte and above. Assembled Dated: July 17, 1997. Background DRAMs include all package types. John J. Da Ponte, Jr., Unassembled DRAMs include processed On May 10, 1993, the Department Executive Secretary. wafers, uncut die and cut die. Processed published in the Federal Register (58 [FR Doc. 97–19551 Filed 7–23–97; 8:45 am] wafers produced in Korea, but FR 27250) the antidumping duty order BILLING CODE 3510±DS±P packaged, or assembled into memory on DRAMs from the Republic of Korea. modules in a third country, are included On May 8, 1996, the Department in the scope; wafers produced in a third DEPARTMENT OF COMMERCE published a notice of ‘‘Opportunity to country and assembled or packaged in Request an Administrative Review’’ of Korea are not included in the scope. International Trade Administration this antidumping duty order for the The scope of this review includes period May 1, 1995, through April 30, [A±580±812] memory modules. A memory module is 1996 (61 FR 20791). In accordance with a collection of DRAMs, the sole function Notice of Final Results of Antidumping 19 CFR 353.22(a)(2), in May 1996, LGS of which is memory. Modules include Duty Administrative Review and and Hyundai (collectively the single in-line processing modules (SIPs), Determination Not To Revoke Order In respondents) requested that the single in-line memory modules Part: Dynamic Random Access Department conduct an administrative (SIMMs), or other collections of DRAMs, Memory Semiconductors of One review of their shipments of DRAMs to whether unmounted or mounted on a Megabyte or Above From the Republic the United States during this period. In circuit board. Modules that contain of Korea addition, both respondents requested other parts that are needed to support that the Department revoke the the function of memory are covered. AGENCY: Import Administration, antidumping order, in part, pursuant to Only those modules which contain International Trade Administration, section 353.25(a)(2) of the Department’s additional items which alter the Department of Commerce. regulations. We also received a request function of the module to something from the petitioner, Micron other than memory, such as video SUMMARY: On March 18, 1997, the Technologies Inc., that an graphics adapter (VGA) boards and Department of Commerce (the administrative review of these same two cards, are not included in the scope. Department) published the preliminary Korean manufacturers of DRAMs be The scope of this review also includes results of its administrative review of conducted. On June 25, 1996, the video random access memory the antidumping duty order and notice Department published a notice of semiconductors (VRAMs), as well as of intent not to revoke, in part, the initiation of administrative review (61 any future packaging and assembling of antidumping duty order on dynamic FR 32771). Based upon the fact that we DRAMs. random access memory semiconductors disregarded sales found to have been The scope of this review also includes (DRAMs) of one megabyte or above from made below the cost of production removable memory modules placed on the Republic of Korea (61 FR 36029). (COP) in the original less-than-fair-value motherboards, with or without a central The review covers exports of the subject (LTFV) investigation, which was the processing unit (CPU), unless the merchandise to the United States by LG most recent period for which final importer of motherboards certifies with Semicon Co., Ltd. (LGS, formerly results were available when this review the Customs Service that neither it, nor Goldstar Electron Co., Ltd.) and was initiated, on the same date we a party related to it or under contract to Hyundai Electronics Industries, Inc. automatically initiated an investigation it, will remove the modules from the (Hyundai). The period of review (POR) to determine whether Hyundai and LGS motherboards after importation. The is May 1, 1995 through April 30, 1996. made sales of subject merchandise scope of this review does not include This is the third review period. below the COP during the POR. DRAMs or memory modules that are As a result of our analysis of the On March 18, 1997, the Department reimported for repair or replacement. comments received, the antidumping published a notice of preliminary The DRAMs subject to this review are margins have changed from those results of administrative review and classifiable under subheadings presented in our preliminary results. intent not to revoke the order on 8542.11.0001, 8542.11.0024, EFFECTIVE DATE: July 24, 1997. DRAMs of one megabyte or above from 8542.11.0026, and 8542.11.0034 of the FOR FURTHER INFORMATION CONTACT: the Republic of Korea (62 FR 12794). Harmonized Tariff Schedule of the Thomas F. Futtner, AD/CVD Case and rebuttal briefs were submitted United States (HTSUS). Also included Enforcement, Group II, Office 4, Import on April 18, 1997, and April 29, 1997, in the scope are those removable Korean Administration, International Trade respectively, by the petitioner, both DRAMs contained on or within Administration, U.S. Department of respondents and the following products classifiable under subheadings Commerce, 14th Street and Constitution interested parties: (1) Compaq Computer 8471.91.0000 and 8473.30.4000 of the 39810 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

HTSUS. Although the HTSUS In evaluating the ‘‘not likely’’ issue in preliminary results, the Department had subheadings are provided for numerous cases, Commerce has an extensive factual record before it. convenience and customs purposes, the considered three years of no dumping Based on an analysis of that record, written description of the scope of this margins, plus a respondent’s the Department preliminarily review remains dispositive. certification that it will not dump in the determined that the likelihood criterion future, plus its agreeing to immediate for revocation had not been met. Intent Not To Revoke in Part reinstatement in the order all to be Therefore, on March 18, 1997, the Section 751(d)(1) of the Act provides indicative of expected future behavior. Department published a notice of intent that the Department ‘‘may revoke’’ an In such instances, this was the only not to revoke the order concerning antidumping order, in whole or in part, information contained in the record DRAMs from Korea (62 FR 12794) with after conducting an appropriate review. regarding the likelihood issue. See, e.g., respect to LGS and Hyundai. Thereafter, 19 U.S.C. 1675(d)(1) (1995). The Fresh Cut Flowers from Mexico, 61 FR the Department received a number of Department’s regulations elaborate upon 63822, 63825 (December 2, 1996); comments on the Department’s this standard. Section 353.25(a)(2) Polyethylene Terephthalate Film from preliminary results from the petitioner, provides that the Department may Korea, 61 FR 58374, 58376 (November LGS, Hyundai, Compaq, Digital and Dell revoke an order, in part, if the Secretary 14, 1996); Tapered Roller Bearings and in the case and rebuttal briefs. The case concludes: (1) ‘‘One or more producers Parts Thereof from Japan, 61 FR 57629, and/or rebuttal briefs of the petitioner, or resellers covered by the order have 57651 (November 7, 1996). LGS, Hyundai and Compaq contained sold the merchandise at not less than In other cases, when additional additional factual information, which foreign market value for a period of at evidence is on the record concerning the the Department had previously least three consecutive years;’’ (2) ‘‘it is likelihood of future dumping, requested. The data presented in these not likely that those persons will in the Commerce is, of course, obligated to briefs was therefore taken into future sell the merchandise at less than consider that evidence. In this regard, in consideration in the Department’s final foreign market value;’’ and (3) * ** evaluating such record evidence to analysis, as well as publicly available ‘‘the producers or resellers agree in determine whether future dumping is data regarding current market writing to their immediate reinstatement not likely, the Department has a conditions. The DRAM industry is highly cyclical in the order as long as any producer or longstanding practice of examining all in nature with periods of sharp upturn reseller is subject to the order, if the relevant economic factors and other and downturn in market prices. In the Secretary concludes under section information on the record in a particular past, the DRAM industry has been 353.22(f) that the producer or reseller, case. In particular, depending upon the characterized by dumping during subsequent to the revocation, sold the facts of a case, we consider such periods of significant downturn. For merchandise at less than foreign market ‘‘factors as conditions and trends in the instance, various foreign producers were value.’’ domestic and home market industries, found to have dumped during the As noted above, this administrative currency movements, and the ability of downturn in the mid-1980s (see review is being conducted pursuant to the foreign entity to compete in the U.S. Dynamic Random Access Memory the Tariff Act, as amended by the marketplace without [sales at less than Devices from Japan, 51 FR 15943 (April URAA. The URAA revised certain normal value].’’ Brass Sheet and Strip 29, 1986)), and the Korean respondents terminology in the Act, including from Germany, 61 FR 49727, 49730 in this proceeding were found to have substituting the term ‘‘normal value’’ for (September 23, 1996) (Brass Sheet and dumped in the less than fair value ‘‘foreign market value’’ and ‘‘exporter’’ Strip); accord Frozen Concentrated investigation during 1991–1992, the last for ‘‘reseller.’’ However, because this Orange Juice from Brazil, 56 FR 52510, period when there was a significant review was initiated prior to the date 52511 (October 21, 1991) (FCOJ); and downturn in the DRAM industry. the revised regulations became final, the Titanium Sponge from Japan, 53 FR Because DRAMs are a commodity 1996 regulations are still applicable. 26099, 26100 (July 11, 1988) (Titanium product, DRAM producers/resellers These regulations use the previous Sponge). must price aggressively during a terminology. We note that the new In summary, the Department engages downturn period in order to stay regulations do not alter the substantive in an impartial, balanced analysis of all competitive and maintain their requirements for revocation. See of the information on the record. customer base. This is especially true Antidumping Duties; Countervailing Pursuant to the Department’s during the lowest point in the Duties; Final Rule, 62 FR 27296, 27399 regulations, the Department cannot downturn. Therefore, it is reasonable to (May 19, 1997) (section 351.222(b)(2)). revoke this order unless it concludes conclude that information regarding the In this case, the first and third criteria that it is not likely that the respondents selling activities and pricing practices of for revocation have been met. The will dump in the future. As we fully respondents, as well as other market Department found that LGS and explain below, the Department is not conditions, during periods of significant Hyundai did not sell at less than foreign satisfied, based on the evidence on the downturn are relevant to whether market value in the first and second record, that the not likely standard has dumping is not likely to occur in the reviews under this order. Also, in this been made. future. Thus, as discussed further in administrative review, the respondents Prior to issuing the preliminary comment 3, below, we found the were found not to have made sales at results in this administrative review, the January through December 1996 time less than normal value. Further, both Department, at the request of the parties, period to be particularly relevant to the respondents have certified to their established a procedure for the ‘‘not likely’’ issue because it immediate reinstatement in the order submission of factual information corresponded with a significant pursuant to the third criterion noted regarding revocation. The petitioner and ‘‘downturn’’ in the DRAM industry. above. Accordingly, the key question is both respondents made several In its April 18, 1997, case brief, whether the Department is satisfied that submissions of information relevant to Compaq proposed that the respondents it is ‘‘not likely’’ the respondents will whether future dumping is not likely, participate in a DRAM data collection sell at prices below normal value in the including various in-depth economic program. In its proposal, Compaq future. analyses. Accordingly, at the time of its presumed that the antidumping order Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39811 would be revoked, and that under such cases where the Department has granted and the respondents’ certification a program, respondents would agree to revocation, including Steel Wire Rope regarding the immediate reinstatement maintain cost and pricing data which from the Republic of Korea, 62 FR 17171 of the order if dumping resumes are the respondents would submit to the (April 9, 1997) (Steel Wire Rope); requirements for revocation, these Department should an antidumping Certain Forged Steel Crankshafts from factors alone are not a sufficient basis petition be filed in the future. On June the United Kingdom, 62 FR 16768, for revocation. The petitioner claims 17, 1997, the Government of Korea 16771 (April 8, 1997) (Crankshafts); and that because the Department’s submitted a similar proposal. On the Fresh Cut Flowers from Mexico, 61 FR preliminary results found no basis to same date, the respondents stated their 63825 (December 2, 1996). conclude that it is not likely that the willingness to participate in such a Hyundai further claims that the Korean respondents will resume program, and argued that this proposal Department’s failure to issue a dumping in the future, the Department should be taken into consideration in preliminary intent to revoke the order, had a ‘‘reasonable basis’’ to believe that the Department’s likelihood in part, despite three consecutive years the requirements for revocation had not determination in this proceeding. The of de minimis margins, is in conflict been met. Therefore, the petitioner petitioner submitted its opposition to with the intent of Article 11 of the WTO asserts that the order continues to be any such data collection program on Antidumping Agreement, which states warranted in order to counteract June 14, 1997, and July 3, 1997. that an antidumping duty order ‘‘shall injurious dumping. Accordingly, the Other than Compaq’s April 18, 1997, remain in force only as long and to the petitioner contends that the submission, all submissions regarding extent necessary to counteract the Department’s preliminary decision not the proposed data collection program dumping which is causing injury,’’ and to revoke the order in part was in were received late in the proceeding, that an order must be terminated compliance with the law and the after the deadline for submitting new ‘‘immediately’’ if the authorities international obligations of the United information. We note further that the determine that the order is no longer States under Article 11 of the WTO proposal itself is precatory in nature. No warranted. Antidumping Agreement. such data collection program is Finally, Hyundai argues that the The petitioner further argues that currently in place. Therefore, while we Department’s reliance on Brass Sheet although the cases differ with regard to have considered this proposed data and Strip as case precedent for its certain facts, the Department’s reliance collection program, we find that this preliminary finding regarding the ‘‘not on Brass Sheet and Strip was not program has no bearing on the likely’’ issue was misplaced. misplaced. The petitioner contends that likelihood issue. Specifically, Hyundai asserts that the the factors identified by Hyundai do not As discussed further in comment 4, facts in Brass Sheet and Strip differ from diminish the relevance of Brass Sheet below, based on our analysis of the the facts in this proceeding in the and Strip as important case precedent DRAM industry generally and, in following ways: (1) In contrast to Brass on the issue of revocation. In particular, particular, during the 1996 time frame, Sheet and Strip where the respondent’s the petitioner contends that factual we find that the likelihood standard has exports had fallen to commercially similarities between this proceeding and not been met. Therefore, we have not insignificant levels, Hyundai’s Brass Sheet and Strip, such as the revoked the antidumping duty order on shipments of DRAMs have increased relationship between global oversupply DRAMs from Korea with respect to LGS substantially since the order was put in and declining prices and the relative and Hyundai. place; (2) unlike the respondent in Brass size of the U.S. market, are more Sheet and Strip, the ability of the probative than the differences cited by Analysis of Comments Received Korean respondents to sell at fair value Hyundai. We invited interested parties to in the United States has not been DOC Position comment on the preliminary results of impaired by a strengthening currency; this administrative review. As noted (3) in contrast to Brass Sheet and Strip We disagree with respondents’ above, we received timely comments where the respondent was planning to interpretation both of the proper from the petitioner, LGS, Hyundai, use the imported product as an input for revocation standard and the Compaq, Digital and Dell. a plant located in the United States Department’s previous determinations. (making increased imports of the subject Regarding the proper revocation I. Revocation Comments merchandise in the future almost standard, 19 C.F.R. 353.25(a)(2) requires Comment 1: Whether the Department certain), Hyundai will not use the not only a showing of three years of no Erred when it Issued a Preliminary subject merchandise as an input dumping and a respondent’s Intent Not to Revoke the Order In Part. product; and (4) in contrast to Brass certification and agreement to Hyundai and Compaq argue that the Sheet and Strip where the worldwide immediate reinstatement in the order, Department’s failure to publish a notice demand for the product was declining, but also a determination that future of ‘‘Intent to Revoke Order (In Part)’’ the worldwide demand for DRAMs is dumping is not likely. This ‘‘second with its preliminary results is contrary strong and is predicted to increase in requirement for revocation, that the to case precedent. Both parties contend the future. respondent is not likely to resume that, barring extremely unusual The petitioner argues that the dumping, necessarily involves an circumstances not present in this Department’s preliminary determination exercise of discretion and judgment.’’ proceeding, it is the Department’s not to revoke was correct and in Tatung Co. v. United States, 18 CIT practice to revoke orders whenever a accordance with the law. The petitioner 1137, 1144 (1994). In certain cases, the respondent has established three claims that section 353.25(a)(2) of the record may only contain evidence consecutive years of no dumping and Department’s regulations specify that regarding the parties’ history of no has furnished a written statement before an antidumping duty order can dumping, which ‘‘[o]rdinarily * ** agreeing to the immediate reinstatement be revoked, the Department must be would constitute substantial evidence of of the order in the event the Secretary satisfied that future dumping by the expected future behavior.’’ Id.; see also concludes that the respondent sells at respondents is not likely. Therefore, the Antifriction Bearings (Other Than less than normal value in the future. petitioner contends that although three Tapered Roller Bearings) and Parts Hyundai and Compaq cite numerous consecutive years of de minimis margins Thereof From Italy, 60 FR 10950, 10967 39812 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

(Feb. 28, 1995). In other cases, note at the outset that all parties agree likely’’ test. LGS asserts that the relevant respondents are able to produce that the revocation standard, as set forth question is not whether LGS ‘‘may’’ additional evidence demonstrating that in the Department’s regulations, does have dumped but whether the company future dumping is not likely. See Steel not violate the Antidumping Agreement. is ‘‘not likely’’ to dump. LGS cites Wire Rope From Korea, 62 FR at 17174; See e.g., LGS Case Brief at 15 (April 18, Crankshafts to argue that the FCOJ From Brazil, 56 FR at 52510. 1997). The sole issue involves how this Department’s reliance on something that In still other cases, the Department standard is applied to the facts and ‘‘may’’ happen is tantamount to sheer has not been satisfied, based on the circumstances of this case. The speculation, a standard prohibited by record before it, that future dumping is Department believes that its likelihood the Department’s regulations and not likely. Contrary to respondents’ determination, given the facts of this explicitly rejected by the Department in argument, these cases do not necessarily case, is entirely consistent with Article practice. only involve ‘‘extremely unusual 11.2 of the Antidumping Agreement, The petitioner counters stating that circumstances.’’ The Department which establishes a broad based the Department properly applied the reaches its revocation determinations on standard under which revocation is long-standing and judicially recognized a case-by-case basis, depending upon warranted if the authorities determine ‘‘no likelihood’’ standard. Specifically, the industry in question, the relevant that the order ‘‘is no longer warranted.’’ the petitioner contends that the market conditions and the evidence Comment 2: Whether the Department Department’s long-standing submitted on the record. See, e.g., Brass Applied a Proper and Fair Revocation administrative practice has been to use Sheet and Strip from Germany, 61 FR at Standard in its Preliminary Results. the terms ‘‘not likely’’ and ‘‘no 49730; Certain Circular Welded Carbon LGS, Hyundai, Compaq and Dell likelihood’’ interchangeably. The Steel Pipes and Tubes From Taiwan, 56 argue that in its preliminary results the petitioner cites Brass Sheet and Strip, FR 8741, 8742 (March 1, 1991). The Department improperly used the phrase Elemental Sulphur from Canada, 56 FR Court of International Trade (‘‘CIT’’) has ‘‘no likelihood’’ in lieu of ‘‘not likely’’ 5391 (February 11, 1991) (Sulphur) and upheld several determinations by the in determining whether the FCOJ from Brazil, 56 FR 52510, in Department denying revocation. See requirements for revocation under support of its argument. In addition, the Sanyo Elec. Co. v. United States, 15 CIT section 353.25(a)(2) of the Department’s petitioner claims that because the 609 (1991); Toshiba Corp. v. United regulations had been met. These parties Department has used the terms ‘‘no States, 15 CIT 597 (1991). While the contend that the Department’s use of a likelihood’’ and ‘‘not likely’’ Court distinguished cases granting ‘‘no likelihood’’ standard was unlawful interchangeably in the past, the revocation based upon the absence of under the Antidumping Agreement regulatory change in 1989 was simply to evidence regarding the likelihood of because it altered the meaning of the clarify the revocation standard, not future dumping, in neither case did the regulation and created a revocation change it. In support of this contention Court indicate that revocation should be standard which is virtually impossible the petitioner cites the CIT’s decision in the rule and denying revocation the for respondents to attain. Specifically, Toshiba in which the Court found that exception. See Toshiba at 601. Like the LGS, Hyundai, Compaq and Dell the ‘‘no likelihood test’’ does not impose Department, the Court properly focused contend that the phrase ‘‘not likely’’ an unattainable standard. instead upon the facts at issue and the connotes only a lack of probability but DOC Position ‘‘predictive nature of the revocation the phrase ‘‘no likelihood’’ creates a proceeding.’’ Id. at 603; see also much higher standard which implies The Department has applied the Matsushita Elec. Indus. Co. v. United that the respondents must demonstrate proper revocation standard, consistent States, 750 F.2d 927, 933 (Fed. Cir. that there is almost zero probability of with our longstanding practice, 1984). In the end, the Court concluded dumping in the future. LGS further throughout the proceeding. Despite the that because respondents requested claims that ‘‘not likely’’ means a potential difference in meaning between revocation ‘‘it was for [respondents] to probability of 51 percent or greater the phrases ‘‘not likely’’ and ‘‘no come forward with ‘real evidence’ to while ‘‘no likelihood’’ means a likelihood’’ as used in the revocation persuade Commerce to revoke the probability of 99 percent or greater that provisions of the 1988 regulations and order.’’ Toshiba at 603 (citation the respondent will not dump in the the regulations applicable to this omitted). future. proceeding, the Department has We also disagree with Hyundai’s Hyundai and LGS further contend consistently applied the same likelihood assertion that the Department erred by that the Department’s use of the ‘‘no standard under both sets of regulations. relying on Brass Sheet and Strip as likelihood’’ standard is particularly As our practice shows, and as we support for its preliminary insupportable given that the Department explain below, the Department has determination not to revoke. The amended its regulations in 1989 to never applied the likelihood standard to Department did not rely upon Brass specifically change the phrase ‘‘no require the degree of certainty that Sheet and Strip as support for each of likelihood’’ to ‘‘not likely.’’ Hyundai dumping will not recur that the the elements addressed in the asserts that this change was made to respondents claim the phrase ‘‘no Department’s preliminary determination clarify the regulation to avoid imposing likelihood’’ implies. regarding the ‘‘not likely’’ issue. Rather, an impossible burden on respondents Prior to 1989, the applicable the Department relied upon Brass Sheet seeking revocation. Accordingly, LGS regulation expressly conditioned and Strip primarily to confirm the legal and Hyundai argue that in its final revocation upon a finding of ‘‘no standard for the type of factors the results the Department should follow likelihood’’ of future dumping. See 19 Department has considered relevant in the ‘‘not likely’’ standard outlined in its CFR 353.54(a) (1988). When the the past (e.g., conditions and trends in current regulations, not the ‘‘no Department first proposed the the industry, currency movements and likelihood’’ standard abolished a decade amendment to the regulation in 1986, the ability of the foreign entity to ago. the Department offered no explanation compete in the U.S. without dumping). In addition, LGS argues that the for substituting ‘‘not likely’’ for ‘‘no Finally, we disagree with Hyundai’s Department’s preliminary finding that likelihood,’’ stating only that revocation interpretation of the revocation standard LGS ‘‘may have dumped in the post ‘‘is premised on the Secretary’s finding under the Antidumping Agreement. We 1996 period’’ is irrelevant to the ‘‘not that it is not likely that the person or Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39813 persons will in the future sell the Toshiba, ‘‘rarely, if ever, will Commerce respondent will in the future sell the merchandise at less than foreign market be able to predict with certainty what merchandise at less than normal value. value.’’ 51 FR 29046, 29052 (1986) will occur upon revocation.’’ 15 CIT at LGS and Hyundai interpret this (Preamble to Proposed Regulations) 599 (citing Matsushita, 750 F. 2d at reference to a period ‘‘in the future’’ as (emphasis added). The one comment 933). Hence, it is clear that the standard being a time period after revocation of received regarding this regulatory is not an impossibly high one, as the the order. Therefore, LGS and Hyundai provision argued only that the respondents suggest. assert that in the final results the Department should not consider the Contrary to the assertions of LGS, Department should conduct its ‘‘not issue of future dumping at all. Id. evidence indicating that a respondent likely’’ analysis for the time period Antidumping Duties; Final Rule, 54 FR ‘‘may have dumped’’ in the period beginning the day after the Department 12742, 12758 (March 28, 1989) following the third administrative issues a revocation determination (i.e., (Preamble) (emphasis added). The review is relevant to the Department’s beginning in second quarter 1997). Department disagreed, retained the ‘‘not likely’’ test. As the Department’s In addition, LGS and Hyundai argue proposed amendment without revision, practice and the decisions of the courts that because the DRAM industry is and responded to the comment as make clear, the determination regarding highly cyclical, the Department must follows: the likelihood issue is ‘‘inherently take into account a respondent’s The statute gives the Secretary broad predictive’’ in nature. See, e.g., behavior over the long term (i.e., during discretion in deciding when to revoke an Matsushita, 750 F.2d at 933. The both market upturns and downturns). In order. The Secretary has determined that a Department ordinarily does not have addition, the respondents contend that pre-condition to revocation under this actual sales and cost data to examine. the Department’s preliminary paragraph is that the Secretary be satisfied Therefore, in assessing the likelihood of conclusion that DRAM producers that there is no likelihood of future sales at future dumping, as discussed in more less than foreign market value. ‘‘dump during periods of significant detail in comment 3, below, the downturn’’ is flawed. If this were true, Hence, even in the preamble to the Department examines all available respondents argue, antidumping duty regulation, which substituted ‘‘not record evidence. orders could never be revoked in cases Likewise, we are not persuaded by likely’’ for ‘‘no likelihood,’’ the involving cyclical industries. LGS’ contention that the ‘‘not likely’’ Department continued to describe the Hyundai further argues that by standard implies that revocation is standard using the phrase ‘‘no implying that respondents must prove likelihood.’’ Similarly, the Department appropriate if the Department finds at they were not dumping after the end of substituted ‘‘not likely’’ for ‘‘no least a 51 percent chance that the the third administrative review, the likelihood’’ when it amended the respondent will not dump in the future. petitioner is essentially seeking to countervailing duty regulations in 1988. The Department’s regulations and restore the old ‘‘gap period’’ reviews Compare 19 CFR 355.42(a) (1988) with administrative practice properly do not which the Department conducted under 19 CFR 355.25(a) (1996). Again, the establish a specific, quantifiable the former regulations during the Department gave no explanation. standard for determining whether Thus, in amending the revocation revocation is appropriate. As noted 1980’s. As Hyundai explains, under the regulation, the Department used the above, in most cases, the presence of Department’s old regulations, a phrases ‘‘not likely’’ and ‘‘no three years of no dumping margins and respondent could qualify for revocation likelihood’’ interchangeably, and a respondent’s certification and on the basis of two years of zero or de consistently failed to draw a legal agreement to immediate reinstatement minimis margins if the respondent was distinction between the two. The in the order are indicative that future also found not to have dumped during Department has also used the two dumping is not likely because, in most a period of at least nine months after the phrases interchangeably in its cases, this is the only record evidence completion of the second administrative administrative practice. See Silicon regarding likelihood. Here the facts of review. Hyundai claims that upon Metal From Brazil, 62 FR 1954, 1957 record, reasonably interpreted, lead us amending the regulations in 1988, the (Jan. 14, 1997) (Silicon Metal); Fresh Cut to a contrary conclusion. Department eliminated the need for Flowers From Colombia, 61 FR 42833, Based on the foregoing, we therefore ‘‘gap period’’ reviews, stating instead 42838 (Aug. 19, 1996). In many find that when the Department amended that revocation would become effective determinations since amending the the revocation regulation in 1989 to the day after the three-year period. regulation in 1989, the Department has change the phrase ‘‘no likelihood’’ to The petitioner asserts that in described the future dumping standard ‘‘not likely,’’ the purpose of the conducting its preliminary ‘‘not likely’’ in terms of ‘‘no likelihood’’ just as it did regulatory change was simply to clarify analysis the Department properly in this proceeding. See, e.g., Brass Sheet the revocation standard, not amend it. examined the period immediately and Strip, 61 FR at 49730; FCOJ, 56 FR Therefore, the Department has applied following the end of the third review at 52511. the proper revocation standard period. The petitioner claims that the Moreover, contrary to the assertions of throughout this proceeding. period immediately following the close LGS and Hyundai, the Department has Comment 3: What Time Frame of the third review period must be never interpreted ‘‘no likelihood,’’ in Should be Considered When examined because any evidence practice, to mean a zero probability of Determining Whether Future Dumping indicating that dumping was likely to dumping, either before the regulations is Not Likely. have occurred anytime after this period were amended in 1989 or after. The very LGS and Hyundai argue that the demonstrates the continued need for the fact that the Department has revoked Department improperly focused on the protection afforded by the antidumping numerous orders, in whole or in part, period immediately following the third duty order. The petitioner cites Silicon before and after the 1989 amendments, administrative review in conducting its Metal and Brass Sheet and Strip as confirms this conclusion. Never once preliminary ‘‘not likely’’ analysis. LGS recent cases where the Department has the Department indicated that it was and Hyundai assert that section examined the period immediately 100 percent certain there was ‘‘no 353.25(a)(2)(ii) of the Department’s following the third POR to determine likelihood’’ of future dumping in any of regulations instruct the Department to whether the requirements for revocation these cases. As stated by the CIT in examine whether it is not likely that a had been met. 39814 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DOC Position conditions in the DRAM industry market conditions are viewed, the We disagree with Hyundai and LGS. contradicts or significantly detracts from record indicates that future dumping is While 19 CFR 353.25(a)(2)(ii) requires other record evidence indicating that not likely. Hyundai submits that in the Department to assess whether the dumping may have taken place during order to make a reasonable prediction of evidence supports a conclusion that it is the 1996 downturn. Such evidence the future, the Department’s final not likely the respondents will dump suggests that the not likely criterion for decision must be based on the most ‘‘in the future,’’ respondents are revocation has not been satisfied in this recent information available. LGS adds incorrect to interpret this provision as case. that the Court of Appeals for the Federal For much the same reasons, we requiring the Department to consider Circuit has found it be ‘‘reversible error’’ disagree with Hyundai that the only a time period beginning after the for the Department, in a revocation Department’s approach effectively date the Department would issue a proceeding, to fail to obtain and reinstates the ‘‘gap period’’ reviews revocation determination. Rather, this consider the most up-to-date disavowed when the regulations were provision requires the Department to information available. See Freeport amended in 1989. See Preamble to 1989 examine all of the evidence available on Minerals Co. v. United States, 776 F.2d Regulations, 54 FR at 12758 (discussing 1029, 1032 (Fed. Cir. 1985). the record. There is nothing in the Act, ‘‘gap period’’ reviews). At that time, the the Department’s regulations or case In addition to the general comments regulations required only two years of concerning the Department’s precedent that defines the relevant time no dumping before the Department period in considering the likelihood preliminary revocation determination would consider revocation. Pursuant to noted above, the petitioner and issue. Common sense, however, dictates the so-called ‘‘gap period’’ reviews, that the Department should, as always, respondents make a number of however, the Department would not arguments regarding the specific data base its determination on all record revoke the order until after determining evidence. relied upon by the Department in its that no dumping had occurred during preliminary ‘‘not likely’’ analysis. These In this revocation proceeding the the gap period. This required that the Department considered all publicly arguments are summarized according to Department conduct an additional topic, below. available data and information placed administrative review of the on the record by all parties (including respondent’s data, involving at least A. Pricing Trends in the DRAM Industry data regarding the January 1997 through nine months. As discussed above, in April 1997 time period, which The petitioner argues that during 1996 evaluating whether future dumping is the DRAM market was in a downturn, respondents characterize as a market not likely, the Department may find that upturn). We agree that a respondent’s with steep worldwide price declines. the market conditions and trends during Citing to data obtained from publicly past conduct is relevant, including a a certain period or periods are showing of three years of de minimis available reports, the petitioner claims probative. In this case we found the that these price declines are forecasted margins. Market trends and forecasts January through December 1996 time to continue throughout 1997. beyond the possible revocation date frame to be particularly important to our LGS, Hyundai, Compaq, Digital and may also be relevant. In this case we consideration of the ‘‘not likely’’ issue find the January through December 1996 because it corresponded with a Dell argue that the worldwide price period to be particularly probative significant downturn in the DRAM decline noted in the Department’s because it corresponded with a industry. We consider it merely preliminary results has ended and that significant downturn in the DRAM coincidental that this time frame current market information indicates industry. The DRAM industry is highly coincided with the end of the third that DRAM prices have rebounded cyclical, market prices for DRAMs are administrative review and the period significantly in 1997. LGS, Hyundai and generally lower during periods of immediately following. Had the most Dell further contend that the recent downturn and there is a history of recent downturn occurred during a trend towards an equilibrium between dumping in the DRAM industry during different time frame, it may have been supply and demand in the DRAM such periods. It is therefore reasonable appropriate to take that period into industry indicates that higher prices are to conclude that an examination of the account in our analysis. likely in the future. In support of these selling activities and pricing practices of Comment 4: Whether Record arguments, LGS, Hyundai, Compaq, respondents during such downturn Evidence Indicates that Future Dumping Digital and Dell reference actual prices periods will provide the Department by the Korean Respondents is Not paid in the U.S. market for DRAMs, with a reasonable indication as to Likely. public statements made by the company whether dumping is not likely to occur The petitioner argues that in its officials at Micron, average U.S. prices in the future. Further, the 1996 period preliminary results, the Department reported by Dataquest and the American is not only the most recent downturn, drew upon an extensive record, IC Exchange, studies by independent but one which occurred since the order including submissions on market analysts and numerous newspaper and has been in place. conditions, pricing trends, econometric magazine articles. LGS further asserts As discussed further in comment 4, analyses, newspaper articles and market that because costs in the DRAM below, based on our analysis of the studies and properly concluded, based industry are constantly declining, in the DRAM industry during the 1996 on the totality of data, that there was no event that market prices were stable, downturn and other factors, we find that basis on which to conclude that future rather than rising, the likelihood that a the likelihood standard for revocation dumping by the Korean respondents respondent would have to sell below set forth in section 353.25(a)(2) of the was not likely. cost in order to remain competitive in regulations has not been met. Although LGS and Hyundai argue that the the U.S. market decreases over time. we agree with the respondents that Department’s preliminary conclusion The petitioner rebuts the arguments of market conditions in the DRAM regarding the ‘‘not likely’’ issue was LGS, Hyundai, Compaq, Digital and industry have recovered somewhat in contrary to law and based on incorrect Dell. The petitioner argues that the 1997 (though not to the extent that and outdated data that do not reflect DRAM market is still volatile and that respondents argue), neither this fact nor current market conditions. LGS and price declines will continue throughout any other evidence regarding future Hyundai contend that when current 1997. The petitioner cites recent price Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39815 reports, newspaper and magazine demand, has resulted in a market Brothers), there is evidence that LGS articles and market reports which equilibrium between supply and and Hyundai made U.S. sales at prices suggest that the temporary rebound in demand. below COP during the third and fourth DRAM pricing will soon be over and Finally, as noted in comment 1 above, quarters of 1996 as well. Based on the that prices thereafter will continue to LGS contends that reliance on Brass foregoing, the petitioner contends that decline throughout 1997. Finally, the Sheet and Strip as case precedent is the Korean respondents were dumping petitioner attempts to demonstrate that misplaced. LGS asserts that unlike Brass during the second half of 1996. the DRAM market is still volatile and Sheet and Strip, where the Department LGS and Hyundai contend that the difficult to predict by pointing out that found that there had been a decrease in Department’s preliminary conclusion just 48 hours after the date the demand in the European market and that the respondents made U.S. sales respondents cited recent price increases that the U.S. market continued to be during the second half of 1996 at prices in their case briefs, the worldwide desirable for exporters, the DRAM that appeared to ‘‘be near or below market prices for DRAMs fell more than demand is booming worldwide. In normal value and production costs’’ was 10 percent. addition, LGS and Hyundai contend based on incomplete and inaccurate that as a result of the shrinking global data presented by the petitioner. B. Inventory Levels supply of DRAMs many producers, Specifically, regarding the data relied The petitioner argues that, despite the including the petitioner, are beginning upon in the preliminary results, LGS 1996 ‘‘glut in the global DRAM market,’’ to return to profitability. contends the following: (1) Verified data publicly available data indicate that The petitioner rebuts the arguments of demonstrate that LGS’ actual contract Korean producers have continued to LGS, Hyundai and Compaq. According prices with its U.S. customers during increase production by bringing new to the petitioner, Korean DRAM 1996 were significantly higher than the facilities on-line. The petitioner claims producers have not made production average U.S. spot prices provided in the that this additional increase in DRAM cutbacks, but instead have shifted petitioner’s analysis; (2) the fact that production will add to the oversupply production increases to 64M DRAMs LGS may have made certain home problem being experienced in the while continuing to produce other market sales at prices below its COP marketplace and will keep DRAM prices DRAM configurations at prior levels and does not definitively demonstrate that depressed throughout 1997. In support withholding them temporarily from the dumping occurred; and (3) the U.S. of this argument, the petitioner cites market. The petitioner cites brokerage price quotes referred to in the public studies by independent analysts house, press and other recent market petitioner’s analysis cannot be relied and numerous newspaper and magazine reports as support for its argument. The upon because neither the underlying articles. In addition, the petitioner cites petitioner claims that these articles data nor source for the data were Brass Sheet and Strip as a recent case suggest that Korean DRAM producers provided by the petitioner. where the Department was unable to will stockpile DRAMs long enough to LGS further argues that the conclude that future dumping was not lift prices, but that the eventual release petitioner’s analysis overstates the likely, based, in part, on competitive of this inventory into the marketplace degree to which DRAM prices declined conditions in an industry characterized will result in continued price declines. in 1996 because the analysis was based by oversupply. on quarterly prices calculated from C. The Petitioner’s Allegation That LGS LGS, Hyundai and Compaq argue that prices which were averaged on a simple, and Hyundai Were Dumping in 1996 in its preliminary results the rather than a weighted-average basis. Department incorrectly concluded that The petitioner argues that the sales LGS claims that when projections based there is no evidence that the announced and cost data submitted by Hyundai and on ‘‘corrected’’ price and cost data are DRAM production cutbacks ‘‘have LGS in the third administrative review, used, the data demonstrate that LGS occurred.’’ Specifically, LGS, Hyundai when viewed in conjunction with continued to sell at prices above both and Compaq argue that numerous publicly available information regarding the average U.S. spot price and its COP industry reports confirm that the Korean pricing trends since the end of the third during the second half of 1996. As producers have trimmed production and review period, demonstrate that LGS additional support for its claim that it will continue to reduce their operations and Hyundai made sales at less than was not dumping during the second half in 1997 in order to bring supply and normal value during the second half of of 1996, LGS provided what it claimed demand into balance. In support of this 1996 (i.e., the period immediately were actual price and cost data for the argument LGS and Hyundai cite following the third review period). post-April 1996 period. publicly available reports and Specifically, the petitioner contends Hyundai also asserts that there were newspaper and magazine articles. The that the home market sales and cost data distortions and inaccuracies in the respondents contend that these submitted by Hyundai and LGS in the petitioner’s data. First, Hyundai documents suggest that recent cutbacks present administrative review contends that the average U.S. price in production by Korean DRAM demonstrate that the two respondents calculated by the petitioner was based producers have led to market price made sales at prices which were below on spot prices, rather than OEM contract increases. LGS further argues that the COP during the two months prices. Hyundai asserts that verified Department’s conclusion that ‘‘there is a immediately following the end of the data on the record in the third significant DRAM oversupply’’ and that third review period (i.e., May and June administrative review indicate that ‘‘the existing DRAM oversupply is likely 1996). Hyundai’s actual U.S. prices during the to cause prices to remain low or fall In addition, the petitioner asserts that POR were higher than the average U.S. lower in the future’’ was based on data when the reported costs of LGS and prices for the first quarter 1996 which are now outdated. LGS, Hyundai, Hyundai are extrapolated through to the presented by the petitioner. Therefore, Compaq and Dell claim that the end of the fourth quarter 1996 using the Hyundai claims that there is no oversupply conditions present in the same rate of decline actually correlation between Hyundai’s actual DRAM industry in 1996 have experienced by the producers in 1995, prices and the average spot prices disappeared and that the recent cutback and then compared to publicly provided by the petitioner. In addition, in production by the Korean producers, available, average U.S. DRAM price data Hyundai asserts that based on an in conjunction with an exploding global (compiled by Dataquest and Lehman econometric analysis conducted by Dr. 39816 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Kenneth Flamm, the market price for LGS responds that, regardless of at 1144 (finding that with regard to the DRAMs is expected to exceed Hyundai’s market circumstances, LGS is likely to likelihood requirement for revocation COP by substantial margins during 1997 continue to sell DRAMs in the United ‘‘ordinarily past behavior would and 1998. Hyundai further attacks the States at fair value prices. Specifically, constitute substantial evidence of petitioner’s analysis stating that it LGS contends that in contrast to the expected future behavior’’). mistakenly compared the average spot respondents in Brass Sheet and Strip The petitioner counters that LGS has price for all 16M DRAMs with the COP and Steel Wire Rope, the U.S. market is the following compelling reasons to of only the 1X16 configuration. Finally, not LGS’ principal export market and dump: (1) OEM customers have leverage Hyundai argues that the petitioner’s LGS is not a major supplier to the over the DRAM suppliers; therefore, data failed to take into account the United States. Therefore, LGS argues, it OEM customers will not pay reductions in cost resulting from the has no incentive to sell in the United significantly higher prices for depreciation of the Korean won. States unless it can make a reasonable commodity products such as DRAMs; Hyundai asserts that when ‘‘corrected’’ profit. In addition, LGS relies upon an (2) because of the sheer size of the price and cost data are used, the average economic study by the Law & DRAM market in the United States, U.S. price remains above Hyundai’s Economics Consulting Group (LECG LGS’ market share accounts for COP during the second half of 1996. study) to contend that LGS has no substantial revenues; and (3) LGS needs The petitioner responds that the data economic incentive to dump in the an outlet for the additional DRAMs it LGS claimed in its case brief were its United States for a number of reasons. has already committed to producing in actual price and cost data actually In addition to the argument that its 1997. The petitioners contend that the confirm that LGS was dumping during share of the U.S. market is too small to United States is the logical outlet for the second half of 1996. The petitioner make predatory pricing appealing, LGS these additional DRAMs because Europe contends that the costs reported by LGS contends that, because its prices with has recently ended a two-year are understated for the following OEM customers are based on contracts, suspension of a reference price system reasons: (1) LGS did not include foreign it is able to command higher prices from on Korean DRAMs and Japan is exchange losses on long-term foreign OEM customers during market currently flooded with Japanese debt in its reported COP; and (2) LGS downturns. In support, LGS asserts that produced DRAMs. The petitioner further argues that, lengthened its reported depreciation actual, verified prices collected by the unlike in Steel Wire Rope (where the schedule for the second half of 1996. Department prove that LGS’ contract Department concluded that there was no The petitioner claims that this one-time prices were higher than the spot market evidence of imported production restatement of depreciation expenses prices during 1996. Moreover, the won inputs) and Flowers (where there were caused the sharp decline in costs in July is currently depreciating against the ‘‘virtually no fixed costs’’), Korean 1996 reported by LGS. The petitioner dollar, negating the possibility of DRAM producers import raw materials cites numerous publicly available exchange rate dumping. LGS cites Steel that account for a large portion of their reports and articles which state that Wire Rope and Flowers as confirming costs. Therefore, the petitioner asserts LGS, as well as other Korean DRAM the Department’s view that ‘‘devaluation of the home market currency makes that the depreciation of the won producers, lengthened their dumping less likely.’’ increases the COP, making dumping depreciation schedules during the In addition, LGS argues that the more likely in the United States. second half of 1996 to avoid reporting Department incorrectly found that ‘‘the DOC Position substantial losses for fiscal year 1996. history of the DRAM industry is one of The petitioner argues that, had LGS not dumping in periods of significant We continue to find that the record manipulated its costs for the second half downturn.’’ Specifically, LGS asserts supports a conclusion that the not likely of 1996, its reported (but unverified) that the behavior of Japanese DRAM criterion for revocation has not been U.S. prices would have been below its producers in 1986 has no bearing on the satisfied. In reaching this decision, we reported COP. pricing behavior of unaffiliated Korean have examined all the information on The petitioner rebuts Hyundai’s producers in 1996. In addition, LGS the record, including publicly available arguments as well. The petitioner argues claims that the fact that the Korean data regarding current market that the so-called ‘‘corrected’’ prices producers were found to be dumping in conditions. Based on this analysis, we provided by Hyundai do not reflect 1991 and 1992 is not indicative of future found the January through December actual prices but are, instead, merely dumping. If this were true, LGS asserts, 1996 time frame to be particularly derived prices. The petitioner contends no antidumping duty order could ever relevant because of the significant that the actual prices paid were usually be revoked since revocation findings downturn in the DRAM industry during below the average U.S. DRAM prices can only exist once an antidumping this period. provided in the petitioner’s analysis. In duty order has been issued. addition, the petitioner asserts that its Finally, LGS and Hyundai argue that A. Pricing Trends in the DRAM Industry analysis correctly compared cost and the fact that neither respondent has had The DRAM market has suffered price data for the 1X16 configuration, dumping margins through a variety of periodic set-backs over the past 25 not all DRAM models as suggested by market conditions (including years. During the most recent downturn, Hyundai. downturns) over the past three review industry revenues significantly declined. For instance, according to D. Whether Korean DRAM Producers periods is indicative that future Electronic Buyers News, total Can Remain Competitive in the U.S. dumping during any market condition is not likely. See, e.g., Steel Wire Rope worldwide market revenue plunged Market Without Dumping (stating that because past appreciation 38% to $25.13 billion in 1996. Both The petitioner argues that due to the of the Korean won did not cause the Hyundai and LGS reported dramatic market conditions noted in points B and respondents to dump, the Department decreases in revenues in their 1996 C above, LGS and Hyundai cannot had no basis to conclude that a possible publicly available financial statements. remain competitive in the U.S. market currency appreciation in the future Therefore, as discussed above, we find without selling DRAMs at less than would cause the respondents to change this time frame to be particularly normal value. their pricing practices); Tatung 18 CIT relevant to the Department’s ‘‘not Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39817 likely’’ analysis. Although we agree be 1998 before supply will come into As the petitioner points out, with the respondents that DRAM prices balance with demand. respondents’ data indicate that products have recovered somewhat during 1997, were sold in the home market at prices C. The Petitioner’s Allegation That LGS this does not detract from the fact that below the COP during May and June of and Hyundai Were Dumping in 1996 prices fell significantly during the 1996 1996, the two months immediately downturn. In any case, it appears that Throughout this proceeding the following the end of the third review pricing in the DRAM market has not yet petitioner has made a number of period. According to the Department’s fully recovered. Current prices are still submissions, including numerous charts standard questionnaire for the third lower than in the years preceding the and graphs using the sales and cost data review, the respondents were required 1996 market downturn, years in which submitted by the respondents during the to report costs and sales for May and the respondents were found not to be third administrative review and June of 1996 to ensure that the proper dumping. Furthermore, prices have, in publicly available information regarding cost test and contemporaneous sales fact, decreased recently. According to pricing trends, which the petitioner comparisons could be performed. These Dataquest (‘‘The Semiconductor DQ claims demonstrate that LGS and data demonstrate that the sales made MONDAY Report’’, Issue 24, June 23, Hyundai made sales at less than normal below cost for both respondents 1997, and Issue 25, June 30, 1997) the value during the 1996 downturn. The increased in these two months, as the spot market price for the 1Mx16 EDO respondents claim that the petitioner’s downturn in the DRAM market DRAM decreased from the $7.45 to analysis is flawed because it made a worsened. We note that, according to $8.09 range on June 13 to the $6.30 to number of erroneous assumptions and the Department’s cost test methodology, $6.85 range on June 27. Similarly, the was based on incomplete and inaccurate these below cost sales were not price for the higher-density 64M data. In addition, the respondents’ sufficiently numerous for the DRAMs continues to fall. In fact, the contend that when current market Department to reject as a basis for average price for a 64M DRAM is now conditions are viewed, the record determining normal value in this third in the mid $40 range, down from $55 indicates that future dumping is not review. We also agree with LGS that earlier this year. In sum, although the likely. whether it made home market sales at We have reviewed the data submitted DRAM market has stabilized somewhat, prices below the COP during the two by the petitioner as well as all prices continue to fluctuate and a large months immediately following the close arguments and information on the degree of uncertainty about the of the third review period in and of record regarding the veracity of the data direction of the market remains. itself does not demonstrate that and the underlying assumptions. As dumping occurred. However, in light of B. Inventory Levels discussed more fully below, on the basis the market conditions during the of that examination, we find that the not downturn and the fact that the months In regard to inventory levels and the likely criterion for revocation has not actually examined during the POR did supply of DRAMs, the record been satisfied for the following reasons: not include the lowest point in the demonstrates that supply exceeded (1) The respondents’ own sales and cost downturn, we find that the existence of demand during 1996 and thus far in data indicate that there were a below-cost sales during May and June of 1997. While there were conflicting substantial number of home market 1996 suggests that the number of below- reports as to whether respondents were sales made at prices below COP during cost sales increased following the end of actually decreasing their DRAM the two months immediately following the third review period as the DRAM production levels during the 1996 the close of the third administrative market worsened. As prices in the downturn period, prices fell review; (2) the lowest point of the DRAM market fell, a substantial number dramatically during 1996 and have not downturn, in terms of DRAM pricing of sales were made below cost. This yet fully stabilized. In addition, and other market conditions, did not pattern is suggestive of deteriorating although the respondents have made occur until after mid-1996 (well after market conditions that often give rise to public announcements regarding DRAM the end of the third administrative dumping. production cut-backs and it appears that review period); (3) publicly available In order to derive the estimated COP the market has reacted with higher spot market pricing data, when viewed for 4M and 16M DRAMs for the third prices, it is unclear how much of an in conjunction with the respondent’s and fourth quarters of 1996, the effect this will have on the overall cost data, extrapolated to a future point petitioner took the respondent’s actual supply of DRAMs. Similarly, it is in time, indicate that LGS and Hyundai reported costs for the third uncertain how long it will be before may have made U.S. sales at prices administrative review and projected production returns to previous levels in below COP during 1996; (4) these costs through the year using the anticipation of increased demand in the respondent’s own pricing data indicate same rate of decline experienced in the marketplace. According to Electronic that contract prices generally follow the industry during 1995. Given that costs Buyer’s News (January 27, 1997, Issue same pricing patterns as spot market typically decline over time in the DRAM 1042), an upturn in demand in October, prices; and (5) many of the respondents’ industry, we find the petitioner’s 1996, triggered a simultaneous increase arguments concerning the alleged approach to estimating the respondents’ in production. As a result, the DRAM distortions and inaccuracies in the COP to be reasonable. market was glutted, driving prices down petitioner’s analysis lack merit. In We disagree with the respondents’ in December, 1996 to one of the lowest addition, we find that the respondents assertion that the average U.S. prices levels during the downturn. A question made several changes to their costs in presented in the petitioner’s analysis in the DRAM industry today is whether the period immediately following the bear no relation to their actual U.S. another temporary spike in demand will third review period, including changes prices. We recognize that the petitioner trigger a new flow of production, in depreciation and foreign exchange based its analysis upon average U.S. resulting in a new round of market loss write-offs. For a complete analysis, spot market prices instead of contract saturation. According to Dataquest (see see the Memorandum to the File from prices. However, based upon the ‘‘When Will the DRAM Market Turn?’’, Tom Futtner to Jeffrey P. Bialos, dated average gross unit prices calculated February 3, 1997), supply is expected to July 16, 1997, on file in room B–099 of using respondent’s own data from the moderate throughout 1997, but it may the main Commerce building. POR, it appears that contract prices 39818 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices generally follow the same pricing useful life of fixed assets from three study does not mention the rate at patterns as spot market prices. There is years to five years. However, it is which the supply of competing 64M even evidence on the record indicating unclear exactly to what extent this DRAMs can be expected to expand, and that the actual contract prices were change reduced the reported costs. put downward pressure on the prices sometimes lower than the average spot Similarly it is unclear how the reported for the 16M generation. prices presented in the petitioner’s costs were affected by the losses on In addition, wholly apart from the analysis. We also disagree with LGS’ foreign exchange. Moreover, the fact data concerning the 1996 downturn, as claim that the U.S. price quotes referred that LGS failed to identify these discussed in sections B and C, above, to in the petitioner’s analysis cannot be adjustments to its costs significantly our analysis indicates that market relied upon because the source reduces the reliability of the conditions in the DRAM industry documentation was not provided. The information. We are uncertain whether remain volatile. As stated previously, record is clear that the petitioner used LGS made other adjustments to its while the plunge in prices began to prices compiled by Lehman Brothers. reported costs. Additionally, we note stabilize somewhat in early 1997, recent These data were similar to other pricing that LGS did not provide these data data indicate that prices are headed data submitted on the record, including until its April 18, 1997, case brief, downward again. For example, the pricing data obtained from the despite having ample opportunity to do according to publicly available data, the American Integrated Chip Exchange so before the Department’s March 10, average U.S. price for a 16M DRAM fell (AICE) and Dataquest. 1997, preliminary results. Although the from approximately $18.00 in May 1996 Regarding Hyundai’s claim that the Department accepted these data into the to approximately $7.00 in December petitioner’s data failed to take into record because of the extended deadline 1996. According to Dataquest, the price account reductions in cost resulting for submitting factual information for the 16M as of June 30, 1997, is from the depreciation of the won, we during this revocation proceeding, LGS’ approximately $6.50. This represents a note that Korean DRAM producers delay in submitting the information 64 percent decline in prices between the import machinery and equipment and greatly limits its usefulness. The end of the third period of review (April many raw materials. In fact, both Department was unable to fully examine 30, 1996) and June 1997. Since DRAMs respondents recorded large foreign the data and perhaps question LGS are a commodity product, it is exchange losses for fiscal year 1996. concerning the composition of the data. reasonable to expect that Korean Therefore, the depreciation of the won In its case brief Hyundai presented a producers will match prevailing market may have actually tended to increase detailed econometric study conducted prices in the United States. the respondent’s COP, making dumping by Dr. Kenneth Flamm. Senior Fellow, D. Whether Korean DRAM Producers more likely in the United States. At the the Brookings Institution. The cost Can Remain Competitive in the U.S. very least, we find no basis in the record projections in this analysis included Market Without Dumping to conclude that this exchange rate assumptions regarding certain depreciation entirely favored the production indices and yields and As noted above, LGS argues that it has respondents. exchange rates. Prices were projected no economic incentive to dump DRAMs Regarding LGS’’ contention that the using econometric techniques including in the U.S. market. LGS’ key arguments petitioner’s analysis overstated the various scenarios for supply, economic are that its share of the U.S. market is degree of DRAM price decline because growth, and technological change. The too small for predatory pricing to be it was based on monthly prices averaged study concluded that Hyundai’s prices successful; that the company’s U.S. on a simple, rather than weighted- would exceed its cost of production ‘‘by market share is, nevertheless, steady average basis, we note that petitioner’s a comfortable margin’’ in all scenarios enough to discourage ‘‘promotional’’ pricing data generally followed the same considered. dumping; that dumping did not result downward trend of other pricing data We find that the cost portion of the from exchange movements; and that on the record, including the AICE data Flamm study was based on several LGS knows the U.S. antidumping laws noted above. In fact, all pricing data on questionable premises including the well enough to have avoided the record followed the same downward assumption of certain production yields ‘‘accidental’’ dumping. LGS concludes trend throughout 1996, whether they and rates. The study utilizes a ‘‘best case its analysis by forecasting increasing were based on a simple average or not. scenario’’ in terms of certain of these demand and price levels in 1997. Finally, we disagree with Hyundai’s assumptions. Optimistic capacity rates The antidumping law is designed to assertion that the preliminary analysis in particular are difficult to accept in a counteract price discrimination by was flawed because it compared the time when major producers, Hyundai foreign producers and exporters which average spot price for all 16M DRAMs included, have announced major injures a domestic industry. This with the COP of only the 1X16 cutbacks in the production of DRAMs. requires only a comparison of U.S. configuration. In fact, both the cost and Furthermore, as the Flamm study itself prices and normal value and does not sales data used for this comparison were points out, the capacity scenario is allow for the Department to consider the for the 1X16 configuration, not all based on the assumption that DRAM intent of producers and exporters who DRAM models. demand will continue to strengthen. sell here. That being said, in In its case brief, LGS submitted what However, current market conditions do determining whether it is not likely it claimed were actual price and cost not bear the strong demand assumption parties will sell at less than normal data for the second half of 1996. Our out. According to the AICE’s Bulletin for value in the future, the issue of whether review of this information, however, the Day (June 13th), activity in the U.S. those parties have an economic indicates that there are serious market continues to be slow. Similarly, incentive to dump is relevant to the questions whether the reported costs according to Dataquest (‘‘The Department’s analysis. See Preliminary were understated due to significant Semiconductor DQ Monday Report’’, Results, 62 FR at 12796 (citing Brass changes in LGS’ depreciation schedule Issue 24, June 23, 1997), there continues Sheet and Strip from Germany, 61 FR at and write-offs of foreign exchange to be a ‘‘serious oversupply or inventory 49730). However, it may not be an losses. Publicly available data indicate excess’’ in the DRAM market. Also, overriding factor, and must be that, for their 1996 financial statements, technological shifts in demand are considered in conjunction with the both LGS and Hyundai changed the difficult to predict. For instance, the remaining record evidence and in light Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39819 of the Department’s experience in number of customers decreased company’s OEM customers pay higher administering the revocation provisions. dramatically during 1996, prices than they would on the spot For instance, whether parties can price demonstrating that the antidumping market. competitively without dumping duty order was constraining LGS from The petitioner contests LGS’ assertion depends, among other things, upon dumping. In addition, the petitioner that it is illogical to attempt to short-term and long-term market claims that LGS’ average U.S. DRAM determine what a respondent’s pricing conditions. In this regard, LGS argues price decline during 1996 was not as behavior ‘‘may’’ have been if an that it has a relatively small share of the severe as the general price declines antidumping duty were not in place. U.S. market, which decreases its experienced in the industry during the According to the petitioner, it is entirely economic incentive to dump. However, same period, indicating that LGS was reasonable for the Department to the United States is part of the world’s selecting the customers to which it analyze what a respondent’s pricing largest regional market for DRAMs, with would sell DRAMs directly. Regarding practices ‘‘would have been’’ in the considerable growth potential. Given Hyundai, the petitioner asserts that the absence of an order. the importance of the U.S. market, as a dumping order forced Hyundai to take DOC Position general matter, even a producer with a measures to ensure that its home market relatively small market share would sales were used as the basis for normal We agree with respondents that in the have an incentive to ride out industry value, and that its home market sales circumstances of this case it would be downturns. The fact that DRAM prices were always higher than its inappropriate for the Department to producers, including the Korean United States sales prices. speculate as to whether or to what respondents, have historically been LGS argues that the Department’s degree, during the first three review found to have dumped during attempt to speculate as to whether LGS’ periods, the antidumping order on downturns supports this conclusion. prices may have been at less than DRAMs from Korea constrained LGS LGS states that its OEM contract normal value ‘‘in the absence of the and Hyundai from pricing at less than customers pay higher-than-spot market order’’ is fundamentally flawed. LGS normal value. At the same time, the prices in a market downturn, and lower- asserts that no amount of speculation Department does not have to find that than-spot market prices in a market could produce a reliable conclusion as the order has had no effect on the upturn. In actuality, the record to what ‘‘might have happened’’ if the parties’ pricing behavior. The more demonstrates that contract prices to dumping order had not been in effect relevant question is whether the recent OEM customers, which are negotiated during a historical period when the significant downturn in the industry on a quarterly basis, follow the direction dumping order did in fact exist. affects the likelihood that the Korean of prices on the spot market. Dell and Hyundai argues that the Department’s respondents will dump in the future. As Digital both noted such trends based on findings that the majority of its United discussed in Comment 2, above, this is their own experience. Thus, according States sales were at prices well above not a question the Department can or to our record, changes in prices of OEM normal value in the preliminary results needs to answer with certainty. Rather, customers simply lagged behind spot demonstrates that Hyundai’s prices the Department must be satisfied that prices. In fact, even into 1997, prices to were not constrained by the order. future dumping is not likely in order to OEM customers remained depressed, LGS rebuts the petitioner’s arguments revoke an order. In this case, based and below spot market prices, even as by arguing that the facts on the record upon the evidence in the record, this the spot market prices began to show indicate that LGS maintained a standard has not been met and, some increase. consistent U.S. presence during 1996. therefore, we conclude that there is a Finally, LGS argues that the company Specifically, LGS contends that publicly need for the order to remain in place. did not dump subsequent to the third available data indicate that the Accordingly, we have determined not to review period because its production company’s U.S. market share remained revoke, in part, the antidumping duty costs were also declining. Historical stable during 1995 and 1996. In order on DRAMs from Korea. data support the premise that both costs addition, LGS asserts that the and prices of any given generation of petitioner’s analysis was flawed II. General Comments DRAM will decline over time. What because, first, it compared the volume of Comment 6: New Factual Information respondents have been unable to sales and customer base from the Allegation. demonstrate, however, is that the middle of 1995 to the volume of sales The petitioner argues that LGS, decline in costs kept up with the rapid and customer base at the beginning of Hyundai, and Compaq submitted new rate of decline in prices during the 1996. LGS asserts that such a factual information in their April 18, second half of 1996. comparison is not fair, given the 1997, case briefs. The petitioner asserts In sum, the current condition of the seasonal nature of DRAM prices. When that such information is untimely since DRAM market and the data on the prices and costs are compared for the the established deadline for the record supports a conclusion that the same time period, LGS asserts, verified submission of factual information not likely criterion for revocation has data show that direct sales in the United regarding revocation was January 27, not been satisfied. States actually increased during 1996. 1997. Comment 5: Whether the Second, LGS contends that the LGS, Hyundai and Compaq argue that Antidumping Order is Constraining LGS petitioner’s analysis compared unit the information submitted in their case and Hyundai from Dumping in the U.S. quantities rather than megabyte briefs was not untimely, but instead was Market. quantities. LGS asserts that by only responsive to the Department’s request The petitioner argues that during the examining unit quantity declines, the in its preliminary results for views on third review period LGS and Hyundai petitioner failed to capture the natural ‘‘current and projected market were constrained by the antidumping shift to higher DRAM generations with circumstances’’ regarding the issue of duty order in that both companies took larger memory capability. Regarding the revocation. significant steps to minimize the size of petitioner’s contention that LGS’ price The petitioner rebuts the respondents’ their dumping margins. Regarding LGS, declines were not in line with general argument stating that the common the petitioner contends that the industry declines, LGS maintains that meaning of ‘‘views’’ refers to opinions, company’s U.S. sales volume and during market downturns, the arguments and conclusions concerning 39820 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices a given issue, not the submission of new the distinction between EP and CEP preliminary analysis memorandum factual information. In addition, the sales in subsections 772(a) and 772(b) of shows that the selling functions actually petitioner asserts that in the event the the Act also does not warrant any performed by the respondents on home Department determines it is appropriate different treatment when identifying market sales are much more significant to accept the additional market levels of trade. than the selling functions performed for information presented in the The petitioner argues that, in view of U.S. sales. LGS and Hyundai contend respondents’ case briefs, the data the sections of the Act mentioned above, that, because their home market sales claimed to be the actual price and cost the Department’s interpretation of the were at levels of trade more advanced information of LGS cannot be used to SAA as permitting a constructed level of than their U.S. sales and it was not support revocation because it is not trade means that the home market level possible to quantify the price accurate as discussed in comment 5, of trade will always be at a more differential caused by these differences, above, and was not verified. advanced stage of distribution than the the Department should continue to level of trade of the CEP, the data allow a CEP offset to NV or to DOC Position available will never provide an adequate constructed value (CV) in order to adjust We agree with LGS, Hyundai and basis to quantify a level of trade for the differences in levels of trade Compaq. In our preliminary analysis of adjustment, and thus, the CEP offset between the two markets. the revocation issue, we cited trends in will always be used. The petitioner DRAM prices and costs as part of our contends that the SAA intended the DOC Position rationale for publishing a preliminary application of the CEP offset to be an We agree with LGS and Hyundai. We notice of intent not to revoke the order, exception, rather than the rule. do not base the level of trade on the in part. Our preliminary results also Therefore, the petitioner asserts that the starting price for both EP and CEP sales. specifically invited comments from Department’s acceptance of a While the petitioner is correct in noting interested parties regarding ‘‘current constructed level of trade contradicts that the starting price for calculating the and projected market circumstances.’’ the intent of the SAA and the intent of CEP is that of the subsequent resale by The information submitted by the the statue in section 773(a)(7)(A). the affiliated importer to an unaffiliated interested parties in their case and The petitioner further argues that, buyer, the Act, as amended by the rebuttal briefs pertain to current and even if the Department adheres to the URAA, and the SAA clearly specify that projected market conditions directly distinction between EP and CEP sales in the relevant sale for our level of trade relating to the factors underlying the determining the starting price for analysis is the constructed export price Department’s preliminary ‘‘not likely’’ determining the level of trade, neither transaction between the exporter and analysis. Therefore, we agree with LGS, respondent has adequately the importer. Hyundai and Compaq that this demonstrated that it is entitled to a level While the starting price for CEP is that information was solicited by the of trade adjustment. The petitioner of a subsequent resale to an unaffiliated Department and may have a direct argues that the simple enumeration of buyer, the calculation of the CEP results bearing on the factors the Department selling functions in both the home in a price that corresponds, as closely as will consider in making in its final ‘‘not market and U.S. market is not sufficient possible, to an export price between likely’’ analysis. Therefore, we find that to demonstrate the significance of the non-affiliated exporters and importers, this data was not untimely filed. differing selling functions in both as explained in the SAA. See H. Doc. Comment 7: Whether the Department markets. No. 316, 103d Con., 2d Ses., Vol. I, at Properly Applied the CEP Offset in the LGS and Hyundai argue that the 823 (1994). In other words, constructing Preliminary Results. Department correctly applied the CEP an export price removes a link from a The petitioner argues that the offset to adjust for differences in the respondent’s U.S. distribution chain— Department should not have applied the levels of trade in the two markets which the link between the affiliated U.S. CEP offset in its preliminary results were not capable of being quantified. importer and its customers. Thus, the because neither LGS nor Hyundai has Both respondents assert that the CEP is a price exclusive of all expenses demonstrated that they were entitled to Department’s use of a ‘‘constructed’’ and profit associated with economic an adjustment for differences in level of level of trade when analyzing CEP sales activates occurring in the United States. trade. Specifically, the petitioner is in accordance with past interpretation The expenses specified in section 772(d) maintains that the Department erred in of the SAA and the Act. In addition, of the Act and the profit associated with determining that one level of trade LGS maintains that the Department has those expenses represent activities existed in the home market (direct sales consistently followed this approach and undertaken in the United States to by the parent corporation to the has explicitly stated in the antidumping support U.S. resales to unaffiliated domestic customer) and that a different questionnaire that a constructed level of customer. Generally these activities are level of trade existed in the U.S. market, trade will be used for CEP sales. undertaken by the affiliated importer where the Department used the level of LGS and Hyundai also reject the and occur after the transaction between trade of the sale to the affiliated petitioner’s argument that respondents the exporter and the importer. Because importer rather than the resale to the have not adequately documented the expenses and profit deducted under unaffiliated customer (i.e., a differences in selling functions in the section 772(d) represent activities ‘‘constructed’’ level of trade). The U.S. and home markets. The undertaken to support the U.S. resale, petitioner asserts that neither the Act respondents claim that in its case brief, the deduction of these expenses nor the SAA permit the Department to the petitioner only referenced the brief normally yields a different level of trade use a ‘‘constructed’’ level of trade for discussion of the selling function for the CEP than for the later resale. constructed export price (CEP) sales differences contained in the notice of Movement charges, duties and taxes when identifying the level of trade. The preliminary results and ignored the deducted under section 772(c) do not petitioner argues that section detailed analysis presented in the represent activities of the affiliated 773(a)(7)(A) of the Act, which provides respondents’ questionnaire responses importer, and we do not remove them for a level of trade adjustment, does not and in the Department’s preliminary from starting price to obtain the CEP make any distinction between export analysis memorandum. Hyundai and level of trade. See, e.g., Antifriction price (EP) sales and CEP sales, and that LGS contend that the Department’s Bearings (Other than Tapered Roller Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39821

Bearing) and Parts Thereof from France, III. Company Specific Comments verification. Therefore, Hyundai asserts that the record indicates that Hyundai’s et. al.; Final Results of Antidumping A. Hyundai Administrative Review, 62 FR 2083, home market sales were bona fide sales; 2105 (January 15, 1997); Roller Chain, Comment 8: Whether Hyundai’s (2) Hyundai contends that the other than Bicycle from Japan; Reported Home Market Sales Constitute petitioner’s assertion that the company Preliminary Results of Antidumping a Fictitious Market. priced its home market sales which The petitioner argues that Hyundai’s Duty Administrative Review, 62 FR were matched to U.S. sales at prices that reported home market sales constitute a 25165, 25168 (May 8, 1997); and Certain were lower than the prices it charged on fictitious market and cannot be used as sales not used for comparison purposes Corrosion-Resistant Carbon Steel Flat a basis for normal value. Specifically, Products and Certain Cut-to-Length is factually incorrect and based on a the petitioner contends that beginning flawed analysis. In addition, Hyundai Carbon Steel Plate from Canada; Final in February 1996, Hyundai created a claims that given that 99.9 percent of its Results of Administrative Review, 62 FR fictitious market by manipulating its home market sales were used as 18448, 18466 (April 15, 1997). In home market sales prices in the comparison sales, the petitioner’s accordance with our practice, the following manner: (1) Hyundai apparent assumption that Hyundai instructions in the questionnaire issued essentially quit making sales to OEM made up for the revenues sacrificed on to respondents in this administrative customers and instead made sales only lower-priced matched sales with the review properly stated that a to a small number of distributors. The revenues earned on higher priced non- constructed level of trade would be used petitioner asserts that this allowed matched sales is mathematically for our level of trade analysis. Hyundai to control its home market impossible; (3) Hyundai asserts that the prices; (2) Hyundai stopped making We also disagree with the petitioner’s petitioner’s claim that the company sales at different times throughout the assertion that LGS and Hyundai have began making sales only at the end of month, and instead only made sales at not adequately documented their the month is inaccurate. Hyundai the end of the month. The petitioner asserts that throughout the POR, its respective differences in selling claims that this practice allowed functions in the home and U.S. markets home market sales were usually made Hyundai to determine the necessary during the last 10 days of the month, so as to warrant level of trade price to charge for those home market although on occasion, Hyundai made adjustments (or a CEP offset, as was sales that would be matched to the U.S. sales earlier in the month (e.g., in March actually calculated). As noted by sales prior to making the sale; (3) 1996, Hyundai made sales at various respondents, the petitioner referred although the number of home market times during the beginning, middle and primarily to the Department’s customers decreased, the quantity of end of the month); (4) Hyundai argues preliminary results of review as DRAMs sold in the home market that its reported home market sales published, and disregarded the more increased as the price collapsed. The information demonstrates that most of detailed data and analysis on the record petitioner asserts that Hyundai did not Hyundai’s sales throughout the entire concerning the differences in selling explain how the Korean market was able POR were to distributors. Therefore, functions and other factors contained in to absorb the surge in DRAMs; (4) the Hyundai asserts that there was nothing the Department’s preliminary analysis Department did not conduct a thorough unusual about its sales to distributors, memoranda for both respondents. verification of this issue; and (5) the as alleged by the petitioner; (5) Hyundai average unit prices for home market claims that the petitioner’s contention In addition to the analysis contained sales which were used as matches to in the preliminary results, these that the quantity of DRAMs sold in the U.S. sales were significantly lower than home market increased fails to memoranda contain more detailed the average unit prices for DRAM sales demonstrate anything other than that descriptions of the information not matched to U.S. sales. The price reductions stimulate demand; and provided by respondents and the petitioner contends that in most (6) the petitioner’s presentation of differences in selling functions between instances, the price difference was not pricing patterns in the home market the two markets. Based on this analysis, warranted because the products which does not satisfy the statutory definition we concluded that U.S. and home were not used as matches for U.S. sales of fictitious market in that it only shows market sales made by both respondents generally had only one characteristic prices moving in tandem, not were at different points in the channel (e.g., speed) different from those sales ‘‘differences in movements.’’ of distribution and that the selling that were matched to U.S. sales. Based Specifically, Hyundai asserts that the functions performed by the respondents on these assertions, the petitioner petitioner’s pricing data do not show for home market sales were sufficiently contends that in the final results, the that prices for non-matched sales different from those performed by the Department should find that a fictitious increased while prices for matched sales respondents for U.S. sales. Therefore, market exists, disregard Hyundai’s decreased. Instead, Hyundai asserts that the Department properly determined reported home market sales and base the petitioner’s data show that prices for that the sales made by Hyundai and LGS normal value on facts available. both types of sales declined over time, Hyundai argues that the petitioner’s in the home market were at a different a pricing pattern entirely consistent arguments hold no merit and are based level of trade than the sales made in the with the normal pricing patterns for the on a distorted analysis of the record. United States. As explained in the DRAM industry. For all of these reasons, Specifically, Hyundai asserts the Hyundai argues that the Department preliminary results of review, however, following: (1) The Department’s we also determined that it was not should reject the petitioner’s assertion verification report confirms that the that Hyundai’s home market is possible to quantify the price sales made to home market distributors fictitious. differences resulting from the differing were in fact real sales made to real levels of trade, thus justifying a CEP customers. In addition, Hyundai DOC Position offset to normal value for both contends that the Department examined The petitioner failed to raise its respondents pursuant to section numerous home market sales, including fictitious market allegation until filing 773(a)(7)(B) of the Act. See Preliminary receipts and other documents verifying its case brief following the preliminary Results, 62 FR at 12798–99. delivery of the merchandise, at results of review. Therefore, the 39822 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices petitioner’s allegation was untimely complicated to determine the net price of using only those sales that were filed and not adequate to warrant for mixed modules (i.e., modules that found to be above cost; and (2) the determining that Hyundai’s home include two types of DRAMs), Hyundai Department improperly excluded market sales constitute a fictitious argues that the Department could use imputed credit and inventory carrying market. CV for the mixed modules. Hyundai costs from the calculation of total U.S. A fictitious market analysis is notes that sales of mixed modules expenses for the CEP profit calculation. extraordinary. As the Department stated accounted for less than ten percent of its Hyundai agrees that the Department recently in the preamble to its final further manufactured sales during the incorrectly calculated CV profit using regulations implementing the URAA, POR. all home market sales, rather than only the Department typically does not The petitioner argues that the those sales that were found to be above engage in a fictitious market analysis Department was correct in comparing COP. With respect to CEP profit, under section 773(a)(2) of the Act, or a all of Hyundai’s further manufactured Hyundai argues that the Department variety of other analyses called for by U.S. sales to CV. The petitioner asserts properly excluded imputed credit and section 773, ‘‘unless it receives a timely that in the first administrative review, inventory carrying costs from both the and adequately substantiated allegation the Department stated that ‘‘there were calculation of the profit percentage and from a party.’’ Antidumping Duties; no comparable home market sales for the calculation of total U.S. expenses Countervailing Duties; Final Rule, 62 FR U.S. sales of mixed modules and that used in the CEP profit calculation. 27296, 27357 (May 19, 1997) (Final the configuration and application of DOC Position Regulations) (citing Tubeless Steel Disc mixed memory modules are critical Wheels from Brazil, 56 FR 14083 (1991); factors in determining the foreign We agree with the petitioner that the Porcelain-on-Steel Cooking Ware from market value of these modules.’’ Based Department inadvertently included Mexico, 58 FR 32095 (1993)). The on these facts, the petitioner claims that those home market sales which did not various provisions of section 773, the Department was compelled to use pass the COP test in the pool of sales including section 773(a)(2), ‘‘call for CV in its preliminary results. used to calculate CV profit. We have analyses based on information that is corrected this error in these final results. DOC Position quantitatively and/or qualitatively In reviewing the margin calculation different from the information normally The Act sets forth a preference for program it was noted that in the gathered by the Department as part of its basing normal value on the price of the calculation of CEP profit duty drawback standard antidumping analysis.’’ Final foreign like product and for making was inadvertently subtracted, rather Regulations, 62 FR at 27357. The price-to-price comparisons, whenever than added. In addition, we noted that Department must determine, as a possible. See 19 U.S.C. 1677 (b)(1); 19 imputed credit and inventory carrying threshold matter, whether such an CFR 353.46(2)(1996). Therefore, for costs were inadvertently included in the analysis is warranted based upon the single memory modules, because there pool of expenses used to calculate the adequacy of the allegation. See were home market sales of merchandise selling expenses for CV. We have Porcelain-on-Steel Cooking Ware, 58 FR identical to the merchandise imported corrected these errors. Regarding the at 32096; Electrolytic Manganese into the United States, we agree with calculation of CEP profit, we agree with Dioxide From Japan, 56 FR 28551, Hyundai that, rather than resorting to the petitioner that imputed credit and 28555 (May 14, 1993). CV, the Department should have inventory carrying costs should have The untimely nature of petitioner’s followed its practice of comparing the been included in the calculation of total allegation during this review prevented U.S. price of the imported product (i.e., U.S. expenses used to calculate CEP the Department from making this the DRAM) to the weighted-average profit, although this did not necessarily threshold determination at an price of the comparison product sold in constitute a clerical error. Including appropriate point in the proceeding. the home market for single memory these expenses is consistent with Therefore, we reject petitioner’s modules. We have made this correction section 772(f)(2)(B) of the Act. This allegation on this basis alone. in the final results. provision defines the term ‘‘total United Comment 9: Whether the Normal With regard to mixed memory States expenses’’ as those expenses Value of Further-Manufactured Models modules, we agree with the petitioner described under sections 772(d)(1) and Should be Based on Constructed Value. that the Department correctly applied (2) of the Act, which in turn include Hyundai argues that in its preliminary CV. Mixed memory modules are these imputed credit and inventory results, the Department improperly modules which contain more than one carrying costs. We have corrected this compared the prices of its further- type of DRAM. In order to determine the error in the final results. manufactured sales of memory modules net imported price for each type of However, the Department properly to the CV of the imported merchandise. DRAM, it would be necessary to allocate excluded imputed credit and inventory Hyundai asserts that this approach is the net price of all DRAMs included in carrying costs from the pool of selling inconsistent with the Department’s the mixed module to the individual expenses used to calculate the standard practice of comparing the U.S. DRAM types on the basis of relative company’s actual profit percentage. price of the product as imported, to the costs. Due to the small quantity of Because Hyundai’s actual interest normal value of the identical product. mixed module sales in the United States expense (as reported in the CV database) Hyundai cites Certain Internal- and the complexity of such a is accounted for in the calculation of Combustion, Industrial Fork Lift Trucks calculation, we find that the use of CV profit there is no need to include from Japan, 53 FR 12552, 12559 (1988), is reasonable for mixed memory imputed interest amounts. ‘‘Although as case precedent for this practice. modules. the actual and imputed amounts may Hyundai contends that in its final Comment 10: Clerical Errors. differ, if we were to account for imputed results, the Department should make The petitioner argues that the expenses in the denominator of the CEP price-to-price comparisons for all Department made the following clerical allocation ratio, we would double count further manufactured models using the errors in its preliminary margin the interest expense incurred for credit net price of the imported product. calculation for Hyundai: (1) The and inventory carrying costs because Alternatively, in the event the Department calculated CV profit on the these expenses are already included in Department determines that it is too basis of all home market sales, instead the denominator.’’ Certain Cold-Rolled Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39823 and Corrosion-Resistant Carbon Steel use of product or DRAM-specific selling expense for CV based on the Flat Products from Korea, 62 FR 18404, research and development expenses. quantity of sales. LGS asserts that 18440 (April 15, 1997); accord See Dynamic Random Access Memory because direct and indirect selling Preliminary Determination of Sales at Semiconductors from the Republic of expenses are allocated to sales based on Less Than Fair Value: Fresh Tomatoes Korea; Final Results of Antidumping value, and products with a relatively from Mexico, 61 FR 56612 (November 1, Duty Administrative Review, 62 FR 965, higher sales value carry a 1996). 967 (January 7, 1997); 61 FR 20216, proportionately higher share of selling 20218 (May 6, 1996). We have included expenses, the Department should B. LGS in the record of this review a calculate weighted-average indirect and Comment 11: Research and memorandum from a non-partisan direct selling expenses based on Development Expenses. expert relied upon in previous reviews, density, not quantity. The petitioner argues that the which describes the cross-fertilization The petitioner argues that LGS did not Department erred in its preliminary and includes relevant pages from explain why basing the calculation of results by accepting LGS’ reported verification exhibits. See Memorandum the weighted-average selling expenses DRAM research and development (R&D) regarding cross-fertilization of research for CV on sales volume is inherently expenses which allocated DRAM R&D and development costs for DRAMs, wrong or a clerical error. Therefore, the expenses over DRAM cost of sales. The August 14, 1995. petitioner argues that there is no need petitioner maintains that, in accordance Comment 12: Clerical Errors. for the Department to make the with the first and second administrative The petitioner argues that the proposed change in allocation in its reviews, the Department should allocate Department made the following clerical margin calculations. In addition, the LGS’ R&D expenses related to all errors in its preliminary margin petitioner asserts that the Department semiconductors over its 1995 total cost calculation for LGS: (1) The Department correctly deducted U.S. imputed credit of sales for all semiconductors. failed to deduct early payment expenses from the calculation of total LGS responds that the Department did discounts from the calculation of the net expenses used to calculate the actual revise LGS’ reported R&D expenses in price used in the cost test; (2) the CEP profit percentage. the preliminary results. However, LGS Department’s preliminary margin takes issue with the Department’s program used the wrong customer codes DOC Position recalculation. Specifically, LGS to identify sales made to home market We agree that the Department contends that the Department customers which failed the committed all five clerical errors alleged erroneously included R&D costs for Department’s arm’s-length test; as a by the petitioner and the first clerical products other than subject DRAMs in result, the petitioner contends that sales error alleged by LGS. These errors have its calculation. LGS asserts that the to these customers were improperly been corrected in the final results. In same methodology was used in the less included in the calculation of normal addition, in reviewing the margin than fair value investigation and was value; (3) although the preliminary calculation program we discovered that reversed by the CIT, which found that margin calculation properly U.S. re-packing expenses had been the record evidence did not support a recalculated G&A and interest expenses deducted twice in the calculation of the departure from the Department’s for DRAMs, the Department failed to CEP profit rate, that imputed credit and practice of assigning research and similarly recalculate G&A and interest inventory carrying costs were development as specifically as possible expenses for modules; (4) the inadvertently included in the pool of to individual products. LGS argues that Department inadvertently double expenses used to calculate selling in the final results the Department counted home market indirect selling expenses for CV, and that the weighted- should calculate the research and expenses, bank fees and packing average direct and indirect selling development rate by dividing the expenses in its calculation of total costs expenses for CV had been calculated company’s total DRAM research and for the CEP profit calculation; and (5) based on all home market sales, rather development expenses for 1995 by its the Department improperly excluded than just those sales which passed the total DRAM cost of sales. imputed credit expenses from the COP test. We have corrected these In its rebuttal brief the petitioner calculation of total U.S. expenses used errors. Finally, in response to LGS’ states that if the Department, in fact, re- to calculate CEP profit. concern, we have ensured that the calculated the research and LGS rebuts the petitioner’s first calculation of the net price and COP development expense ratio in its alleged clerical error. LGS states that the used in the cost test were on the same preliminary results by allocating the Department should not deduct early basis. company’s 1995 R&D expenses for all payment discounts from the net price We disagree with LGS that the semiconductors over its 1995 total cost used in the cost test because these Department should have calculated the of sales, the petitioner fully supports the discounts were included in the build-up weighted-average direct and indirect Department’s preliminary calculation. of the COP to which the net price was selling expenses to be included in the compared. calculation of CV based on density not DOC Position LGS alleged the following clerical quantity. LGS has not explained why it In the preliminary results we properly errors in the Department’s preliminary would be more accurate to calculate calculated a R&D rate for LGS by margin calculations: (1) The Department selling expenses for DRAMs based on allocating all semiconductor R&D inadvertently double counted home density. In addition, based on expenses over the company’s cost of market indirect selling expenses in its information on the record it does not sales for all semiconductors as reported calculation of COP; (2) the Department appear that selling expenses are in its audited 1995 financial statements. improperly excluded U.S. imputed incurred by LGS based on the density of This method of allocation is consistent credit expenses from the calculation of different products. Finally, it is the with our practice in the last two total expenses used to calculate the CEP Department’s practice to calculate administrative reviews, where we profit percentage; and (3) the weighted-average selling expenses for determined that sufficient evidence of Department improperly calculated a CV based on the quantity of sales. cross-fertilization exists in the single, weighted-average home market We disagree with LGS’ contention semiconductor industry to rule out the direct selling expense and indirect that the Department improperly 39824 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices excluded imputed credit expenses from final results of the next administrative EFFECTIVE DATE: July 24, 1997. the pool of expenses used to calculate review. FOR FURTHER INFORMATION CONTACT: the actual CEP profit percentage. This notice serves as the final Robert James at (202) 482–5222, AD/ Because the actual interest expense of reminder to importers of their CVD Enforcement, Office Eight, Import LGS was captured in the profit responsibility under 19 CFR 353.26 to Administration, International Trade calculation there is no need to include file a certificate regarding the Administration, U.S. Department of an amount for imputed interest. See reimbursement of antidumping duties Commerce, 14th Street and Constitution Comment 10, above. prior to liquidation of the relevant Avenue NW., Washington, DC 20230. entries during this review period. Final Results of the Review SUPPLEMENTARY INFORMATION: Because it Failure to comply with this requirement is not practicable to complete this As a result of this review, we could result in the Secretary’s review within the normal time frame, determine that the following weighted- presumption that reimbursement of the Department is extending the time average dumping margins exist for the antidumping duties occurred and the limit for completion of the preliminary POR: subsequent assessment of double results until December 31, 1997, in antidumping duties. accordance with section 751 (a)(3)(A) of Percent This notice also serves as a reminder Manufacturer/exporter Margin the Tariff Act of 1930, as amended by to parties subject to administrative the Uruguay Round Agreements Act of Hyundai Electronic Industries, Inc 0.00 protective order (APOs) of their 1994. See Memorandum from Joseph A. LG Semicon Co., Ltd ...... 0.01 responsibility concerning the Spetrini to Robert S. LaRussa, on file in disposition of proprietary information Room B–099 of the Main Commerce The U.S. Customs Service shall assess disclosed under APO in accordance Building. The deadline for the final antidumping duties on all appropriate with 19 CFR 353.34(d). Timely written results of this review will continue to be entries. Individual differences between notification of the return/destruction of 120 days after publication of the United States price and normal value APO materials or conversion to judicial preliminary results. may vary from the percentages stated protective order is hereby requested. This extension is in accordance with above. The Department will issue Failure to comply with the regulations section 751 (a)(3)(A) of the Tariff Act of appraisement instructions concerning and terms of an APO is a violation 1930, as amended (19 U.S.C. 1675 each respondent directly to the U.S. which is subject to sanction. (a)(3)(A)). This administrative review and notice Customs Service. Dated: July 17, 1997. are in accordance with section 751(a)(1) Furthermore, the following deposit Joseph A. Spetrini requirements will be effective for all of the Act (19 U.S.C. 1675(a)(1)) and 19 CFR 353.22. Deputy Assistant Secretary, AD/CVD shipments of the subject merchandise Enforcement Group III. entered, or withdrawn from warehouse, Dated: July 16, 1997. [FR Doc. 97–19553 Filed 7–23–97; 8:45 am] for consumption on or after the Robert S. LaRussa, BILLING CODE 3510±DS±P publication date of these final results of Acting Assistant Secretary for Import administrative review, as provided for Administration. by section 751(a)(1) of the Act: (1) The [FR Doc. 97–19552 Filed 7–23–97; 8:45 am] DEPARTMENT OF COMMERCE cash deposit rate for the reviewed firms BILLING CODE 3510±DS±U will be zero percent; (2) for previously International Trade Administration reviewed or investigated companies not [C±412±811] listed above, the cash deposit rate will DEPARTMENT OF COMMERCE continue to be the company-specific rate Certain Hot-Rolled Lead and Bismuth published for the most recent period; (3) International Trade Administration Carbon Steel Products From the if the exporter is not a firm covered in A±583±815 United Kingdom; Extension of Time this review, a prior review, or in the Limit for Countervailing Duty original LTFV investigation, but the Certain Welded Stainless Steel Pipe Administrative Review manufacturer is, the cash deposit rate From Taiwan; Extension of Time Limit will be the rate established for the most for Antidumping Duty Administrative AGENCY: Import Administration, recent period for the manufacturer of Review International Trade Administration, the merchandise; and (4) if neither the Department of Commerce. exporter nor the manufacturer is a firm July 17, 1997. ACTION: Notice of Extension of Time covered in this or any previous review AGENCY: Import Administration, Limit for Countervailing Duty conducted by the Department, the cash International Trade Administration, Administrative Review. deposit rate will be 3.85 percent, the all Department of Commerce. SUMMARY: The Department of Commerce others rate established in the LTFV ACTION: Notice of extension of time limit (the Department) is extending the time investigation. Samsung Electronics Co., of antidumping administrative review. Ltd. (Samsung), formerly a respondent limit for final results of the third in previous administrative reviews, was SUMMARY: The Department of Commerce administrative review of the excluded from the antidumping duty (the Department) is extending the time countervailing duty order on certain order on DRAMs from Korea on limit for the preliminary results of the hot-rolled lead and bismuth carbon steel February 8, 1996. See Final Court administrative review of the products from the United Kingdom to Decision and Partial Amended Final antidumping duty order on certain no later than October 6, 1997. This Determination: Dynamic Random welded stainless steel pipe from extension is made pursuant to the Tariff Access Memory Semiconductors of One Taiwan. This review covers one Act of 1930, as amended by the Uruguay Megabyte and Above From the Republic manufacturer/exporter of the subject Round Agreements Act (the Act). of Korea, 61 FR 4765 (February 8, 1996). merchandise to the United States and EFFECTIVE DATE: July 24, 1997. These deposit requirements shall the period December 1, 1995 through FOR FURTHER INFORMATION CONTACT: remain in effect until publication of the November 30, 1996. Christopher Cassel or Suzanne King, Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39825

Office of CVD/AD Enforcement VI, an independent peer review of the basis DEPARTMENT OF COMMERCE Import Administration, International for management of the red snapper stock Trade Administration, U.S. Department in the Gulf of Mexico, NMFS is National Oceanic and Atmospheric of Commerce, 14th Street and announcing the dates, times, and Administration Constitution Avenue, N.W., locations of the review panel meetings. Washington, D.C. 20230; telephone: DATES: See SUPPLEMENTARY INFORMATION [I.D. 070997F] (202) 482–2786. for meeting dates and locations. POSTPONEMENT: Under section FOR FURTHER INFORMATION CONTACT: John Pacific Fishery Management Council; 751(a)(3)(A) of the Act, the Department Witzig, NMFS, Telephone: (301)713– Public Meeting may extend the deadline for completion 2363, Fax (301) 713–1875. AGENCY: National Marine Fisheries of an administrative review if it ADDRESSES: Office of Science and Service (NMFS), National Oceanic and determines that it is not practicable to Technology, NMFS, 1315 East-West Atmospheric Administration (NOAA), complete the final results of the review Highway, Silver Spring, MD 20910. Commerce. within the statutory time limit of 120 SUPPLEMENTARY INFORMATION: days after the publication of the ACTION: Addition to a public meeting preliminary results in the Federal Meeting Dates and Locations notice. Register. The Department finds that it is 1. The Statistics Review Panel not practicable to complete the final meeting was held from July 21, 1997, to SUMMARY: The agenda for a series of results of the calendar year 1995 July 25, 1997, 8:00 am to 6:30 p.m. CST public meetings of the Pacific Fishery administrative review of certain hot- at the Wyndham Hotel, 701 Convention Management Council’s Coastal Pelagic rolled lead and bismuth carbon steel Center Blvd., New Orleans, La 70130. Species (CPS) Plan Development Team products from the United Kingdom Advance notices were sent to 307 and CPS Advisory Subpanel was within this time limit. See individulals and organizations with an published on July 16, 1997. A meeting Memorandum to the Acting Assistant interest in the fisheries affected by these has been added to the agenda. See DATES Secretary for Import Administration reviews. and ADDRESSES for the additional dated July 9, 1997 (public document, on 2. Economics Review Panel: August meeting. file in the Central Records Unit, Room 18, 1997 to August 22, 1997, 8:00 a.m. DATES: B–099 of the Main Commerce Building). to 5:30 p.m. CST-Holiday Inn Crown The meeting for the Team/ In accordance with section Plaza, 333 Poydras St., New Orleans, La Subpanel will be held on Wednesday, 751(a)(3)(A) of the Act, the Department 70130; Tel:(504) 524–8200. September 3, 1997, beginning at 10:00 will extend the time for completion of 3. Science and Management Review a.m. the final results of this review from Panel: August 25, 1997 to August 29, ADDRESSES: The meeting will be held at August 5, 1997 to no later than October 1997, 8:00 a.m. to 5:30 p.m. CST— the California Department of Fish and 6, 1997. Wyndham Hotel, 701 Convention Center Game office, 20 Lower Ragsdale Drive, Dated: July 16, 1997. Blvd., New Orleans, La 70130; Tel:(504) Suite 100, Monterey, CA. 524–8200. Robert S. LaRussa, Council address: Pacific Fishery Time will be allotted for commercial, Management Council, 2130 SW Fifth Acting Assistant Secretary for Import recreational, and charter fishermen in Administration. Avenue, Suite 224, Portland, OR 97201. the red snapper fishery in the Gulf of [FR Doc. 97–19409 Filed 7–23–97; 8:45 am] Mexico and other interested parties to FOR FURTHER INFORMATION CONTACT: BILLING CODE 3510±DS±P provide relevant information to each of Larry Jacobson, telephone: (619) 546– the three review panels. NMFS requests 7117; or Doyle Hanan, telephone: (619) that persons planning to present 546–7170. DEPARTMENT OF COMMERCE information at any of the panel meetings SUPPLEMENTARY INFORMATION: The notify the contact person at the phone National Oceanic and Atmospheric original agenda was published in the number provide and provide six written Administration Federal Register on July 16, 1997 (62 FR copies of their presentation to NMFS at 38068). All other information previously [I.D. 062497D] the meeting. published remains unchanged. Special Accommodations Peer Review of Red Snapper Research Special Accommodations and Management in the Gulf of Mexico; These review panel meetings are Peer Review Panel Meetings physically accessible to people with The meeting is physically accessible disabilities. Requests for sign language to people with disabilities. Requests for AGENCY: National Marine Fisheries interpretation or other auxiliary aids sign language interpretation or other Service (NMFS), National Oceanic and should be directed to John Witzig at auxiliary aids should be directed to Eric Atmospheric Administration (NOAA), (301) 713–2363 at least 5 days prior to Greene at (503) 326–6352 at least 5 days Commerce. the review panel meeting. prior to the meeting date. ACTION: Notice of peer review panel Dated: July 18, 1997. Dated: July 17, 1997. meetings. Rolland A. Schmitten, Bruce C. Morehead, SUMMARY: Pursuant to section 407(a) of Assistant Administrator for Fisheries, Acting Director, Office of Sustainable the Magnuson-Stevens Fishery National Marine Fisheries Services. Fisheries, National Marine Fisheries Service. Conservation and Management Act [FR Doc. 97–19543 Filed 7-23-97; 8:45 am] [FR Doc. 97–19459 Filed 7–23–97; 8:45 am] which requires the Secretary to initiate BILLING CODE 3510±22±F BILLING CODE 3510±22±P 39826 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF COMMERCE Dated: July 18, 1997. DEPARTMENT OF COMMERCE Gary C. Matlock, National Oceanic and Atmospheric Director, Office of Sustainable Fisheries, National Oceanic and Atmospheric Administration National Marine Fisheries Service. Administration [I.D. 071697B] [FR Doc. 97–19463 Filed 7–23–97; 8:45 am] BILLING CODE 3510±22±P [I.D.071797A] South Atlantic Fishery Management Council; Public Meetings Marine Mammals; Scientific Research DEPARTMENT OF COMMERCE Permit PHF# 782±1355 AGENCY: National Marine Fisheries National Oceanic and Atmospheric Service (NMFS), National Oceanic and AGENCY: National Marine Fisheries Administration Atmospheric Administration (NOAA), Service (NMFS), National Oceanic and Commerce. Atmospheric Administration (NOAA), ACTION: Notice of public meetings. [I.D. 071697C] Commerce. SUMMARY: The South Atlantic Fishery Western Pacific Fishery Management ACTION: Issuance of permit. Management Council (Council) will Council; Public Meeting hold meetings of its Geographical SUMMARY: Notice is hereby given that Information Systems (GIS) Essential AGENCY: National Marine Fisheries National Marine Fisheries Service, Fish Habitat (EFH) Distribution and GIS Service (NMFS), National Oceanic and Alaska Fisheries Science Center, Species Distribution and Habitat Atmospheric Administration (NOAA), National Marine Mammal Laboratory, Utilization Sub-Groups. Commerce. 7600 Sand Point Way, NE., Seattle, WA DATES: The meetings will be held July ACTION: Notice of public meeting. 98115 (Principal Investigator: Dr. 29–31, 1997. See SUPPLEMENTARY Howard Braham; Co Investigators: Dr. INFORMATION for specific dates and SUMMARY: The Western Pacific Fishery Thomas R. Loughlin and Mr. David E. times. Management Council’s (Council) Vessel Withrow), has been issued a permit to ADDRESSES: The meetings will be held at Monitoring System (VMS) Committee. take harbor seals (Phoca vitulina the Town and Country Inn, 2008 DATES: The meeting will be held August richardsi) for purposes of scientific Savannah Highway, Charleston, SC 12, 1997, from 8:30 a.m. to 12:00 p.m. research. 29407; telephone: 803–571–1000. ADDRESSES: The meeting will be held at ADDRESSES: The permit and related Council address: South Atlantic the Executive Centre, Suite 302, documents are available for review Fishery Management Council, One Honolulu, HI; telephone: 808–539–3000. Southpark Circle, Suite 306; Charleston, upon written request or by appointment Council address: Western Pacific SC 29407–4699. in the following office(s): Fishery Management Council, 1164 Permits and Documentation Division, FOR FURTHER INFORMATION CONTACT: Bishop St., Suite 1405, Honolulu, HI Office of Protected Resources, NMFS, Susan Buchanan, Public Information 96813. Officer; telephone: (803) 571–4366; fax: 1315 East-West Highway, Room 13130, (803) 769–4520; email: FOR FURTHER INFORMATION CONTACT: Silver Spring, MD 20910 (301/713– [email protected]. Kitty M. Simonds, Executive Director; 2289); telephone: 808–522–8220. SUPPLEMENTARY INFORMATION: Northwest Region, NMFS, 7600 Sand SUPPLEMENTARY INFORMATION: The VMS Point Way, NE., Seattle, WA 98115 (tel: Meeting Dates Committee will discuss and may make 206/526–6150); and July 29, 1997, 1:00 p.m. to 6:00 p.m.; recommendations to the Council on the following agenda items: Alaska Region, NMFS, P.O. Box July 30, 1997, 8:30 a.m. to 12:30 p.m. 21668, Juneau, AK 99802–1668 (tel: 1. Data confidentiality issues; The GIS EFH Distribution Sub-Group 907/586–7221). will meet to review and compile EFH 2. Use of VMS data for fisheries distribution information for major assessment research; SUPPLEMENTARY INFORMATION: On June 6, habitat types in state and regional GIS 3. The future of the Hawaii VMS 1997, notice was published in the systems. Program; and Federal Register (62 FR 31083) that a July 30, 1997, 1:30 p.m. to 6:00 p.m.; 4. Other business as required. request for a scientific research permit July 31, 1997, 8:30 a.m. to 3:00 p.m. to take harbor seals had been submitted The GIS Species Distribution and Special Accommodations by the above-named organization. The Habitat Utilization Sub-Group will meet This meeting is physically accessible requested permit has been issued under to review species distribution to people with disabilities. Requests for the authority of the Marine Mammal information in state and regional GIS sign language interpretation or other Protection Act of 1972, as amended (16 systems and to review information on auxiliary aids should be directed to U.S.C. 1361 et seq.), and the Regulations EFH utilized by species under South Kitty M. Simonds, 808–522–8220 Governing the Taking and Importing of Atlantic Council management. (voice) or 808–522–8226 (fax), at least 5 Marine Mammals (50 CFR part 216). Special Accommodations days prior to meeting date. Dated: July 15, 1997. These meetings are physically Dated: July 17, 1997. Ann D. Terbush, accessible to people with disabilities. Bruce C. Morehead, Chief, Permits and Documentation Division, Requests for sign language Acting Director, Office of Sustainable Office of Protected Resources, National interpretation or other auxiliary aids Fisheries, National Marine Fisheries Service. Marine Fisheries Service. should be directed to the Council office [FR Doc. 97–19460 Filed 7–23–97; 8:45 am] [FR Doc. 97–19543 Filed 7-23-97; 8:45 am] (see ADDRESSES) by July 24, 1997. BILLING CODE 3510±22±P BILLING CODE 3510±22±F Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39827

CONSUMER PRODUCT SAFETY injury to children.’’ See 16 CFR and fire risks, and power tools that COMMISSION 1115.12(a). could cause serious lacerations. B. Initiation of ‘‘No PD’’ Pilot Program Industry response to the pilot program Conditions Under Which the Staff Will was positive. During the program, more Refrain From Making Preliminary On August 17, 1995, the Commission than one-third of the companies making Hazard Determinations initiated a six-month pilot program in section 15 reports initiated corrective which, under certain conditions, the actions under the ‘‘no preliminary AGENCY: Consumer Product Safety Office of Compliance staff would not determination’’ approach. Commission. make a preliminary determination. See ACTION: Notice. 60 Fed. Reg. 42848 (Aug. 17, 1995). D. Permanent Program Later, the Commission extended the After reviewing the results of the pilot SUMMARY: The Consumer Product Safety pilot program through March 1997. program, the Commission revised its Act requires manufacturers, distributors, The Commission initiated the pilot procedures on a permanent basis and retailers of consumer products program to use staff resources more effective March 24, 1997. The distributed in commerce to notify the efficiently and to promote quicker permanent program is governed by the Commission of certain defects, recalls. In addition, the Commission following requirements and procedures: unreasonable risks, or non-compliance hoped to reduce any disincentive to with voluntary or mandatory standards. 1. If a company reports and companies that want to report and implements within 20 working days The Commission has made permanent undertake corrective action, but fear the its ‘‘No PD’’ program: The staff refrains after filing an initial report a corrective consequences of a staff preliminary action that the staff believes will be from making a preliminary hazard determination. determination when firms report and, effective, the staff will generally refrain When the staff preliminarily from making a preliminary within 20 working days, implement an determines that a product presents a acceptable corrective action. determination. ‘‘Implement’’ means substantial product hazard or creates a issuance of a news release or other form DATES: The Commission’s revised substantial risk of injury to children, it of public notice approved by the staff procedures became permanent on requests that the reporting company commencing a consumer-level March 27, 1997. take corrective action. If a company acts corrective action. FOR FURTHER INFORMATION CONTACT: promptly to correct a defective product, If the Commission believes that more Marc J. Schoem, Office of Compliance, staff resources can be devoted to helping than 20 working days is necessary, the Consumer Product Safety Commission, the company recall the product instead Director of the Division of Corrective 4330 East West Highway, Bethesda, MD of investigating the defect and making Actions may extend the time period for 20814 (mailing address: Washington, DC the preliminary determination. any appropriate reason, including that: The Commission designed the pilot 20207); telephone 301–504–0608, (a) technically complex issues must be program to ‘‘reward’’ companies that extension 1365; e-mail address resolved to assure the staff that the acted quickly on a corrective action. The ‘‘[email protected].’’ company’s action is adequate (for staff made no preliminary determination example, laboratory testing is SUPPLEMENTARY INFORMATION: concerning the products of those necessary); (b) retailers and distributors companies. A. Background must be notified in advance so that the Under section 15(b) of the Consumer C. Results of Pilot Program plan will be effective; or (c) the news Product Safety Act (CPSA), 15 U.S.C. The pilot program was successful. release must be scheduled for optimum 2064(b), manufacturers, distributors, During its first six months, companies coverage (for example, a video news and retailers of consumer products must participating in the program initiated 57 release is necessary). report certain potential product hazards corrective action plans that affected 2. A company’s reporting obligations to the Commission. They must report approximately 3.5 million products. By remain unchanged. Specifically, immediately if they obtain information the end of the pilot program’s extension, companies that have an obligation to which reasonably supports the companies had initiated 140 recalls of notify the Commission under section conclusion that a product (1) fails to approximately 12.9 million products. 15(b) or section 37 of the CPSA, or comply with certain mandatory or On average, companies in the pilot section 102 of the Child Safety voluntary standards, (2) contains a program took 14 working days to initiate Protection Act, must continue to do so defect which could create a substantial corrective action plans. The staff even when they believe the risk does product hazard, or (3) creates an sometimes granted an extension of time not warrant corrective action. unreasonable risk of serious injury or for issuance of a joint news release or 3. A company must file a full report death. 15 U.S.C. 2064(b). final staff approval of an alternative under 16 CFR 1115.13(d). In particular, If the Commission believes that a notice program. In most of those cases, the report must include copies of product presents a substantial product however, the firm’s corrective action complaints and claims, which is crucial hazard under the CPSA, 15 U.S.C. plan was underway within 20 working for staff evaluation and which many § 2064 (c) and (d), or contains a defect days. companies currently omit. which creates a substantial risk of injury During the pilot program, companies 4. A company must advise the staff to children under the Federal Hazardous undertook corrective actions for a that it wishes to participate in the Substances Act, 15 U.S.C. § 1274(a), (b) variety of products. They included program. and (c), it may pursue corrective action. children’s articles with small parts that 5. A company must submit a After receiving a report, the presented choking hazards, products proposed corrective action plan in Commission staff evaluates the hazard. that collapsed and presented impact sufficient time for the staff to review If the available facts justify pursuing hazards, bicycles and recreational and analyze it. In addition, the staff corrective action for the product, the vehicles that could cause falls or loss of must have sufficient time to work out staff generally makes a preliminary control, products that presented the risk the details of the corrective action with determination (‘‘PD’’) of ‘‘substantial of carbon monoxide poisoning, the company. All of this must occur product hazard’’ or ‘‘substantial risk of electrical products that presented shock before the company initiates the plan 39828 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices within 20 working days of filing its § 1115.20(a) and CPSC Corrective Action Dated: July 21, 1997. report. Handbook.) Todd A. Stevenson, 6. A company’s proposed corrective 7. The corrective action plan and Deputy Secretary, Consumer Product Safety action plan must include: notice must be acceptable to the staff. Commission. (a) A description of the recall action The staff will consider whether the [FR Doc. 97–19554 Filed 7–23–97; 8:45 am] (refund, repair, or replacement) that the corrective action plan adequately BILLING CODE 6355±01±M company will take to eliminate the addresses the risk of injury presented by identified risk. the product and whether the notice and (b) Sufficient product design, corrective action plan are designed to incident, and testing information to make the plan as effective as is allow the staff to determine whether the CORPORATION FOR NATIONAL AND reasonably possible given the nature of COMMUNITY SERVICE proposed action corrects the identified the product and the risk. problem and the problem is limited to 8. The staff will provide expedited Sunshine Act Meeting the model(s) and production dates review of every proposal submitted and identified by the company. Such work with every interested company to Pursuant to the provisions of the information should include, but is not develop an acceptable corrective action Government in the Sunshine Act (5 limited to: consumer complaints, test plan that can be implemented within 20 data, engineering drawings, material U.S.C. 552(b)), notice is hereby given of working days. However, there may be the following meeting of the Board of specifications, samples of product, and/ cases where the staff cannot evaluate or component parts, as needed. If the Directors of the Corporation for National and approve implementation of a and Community Service (Corporation). needed information and documentation corrective action plan within 20 is being compiled, but is not yet working days, even though the company DATE AND TIME: Thursday, July 31, 1997, available, the company must provide has submitted all the necessary from 2 p.m. to 3:30 p.m. the date it expects to forward the information in a timely manner. PLACE: The meeting will be held via information to CPSC. CPSC staff must Similarly, there may be cases where the conference call. have sufficient time to review the staff and firm agree that notice and information and respond within the 20 corrective action should occur after 20 STATUS: The meeting will be closed, working day time limit. working days have passed (for example, (c) Usually, the company’s proposed pursuant to exemptions (4) and (9(b)) of in the case of a seasonal product). So plan must include notice of the recall to the Government in the Sunshine Act. long as delay is not caused by or the distributors, retailers, and consumers of The basis for this closing has been fault of the company, the staff generally the subject product. The notice must certified by the Corporation’s Acting will not make a preliminary hazard describe the product, the hazard, the General Counsel. A copy of the determination. number and type of injuries that have certification will be posted for public been reported, the type of injury that 9. If corrective action is implemented inspection at the Corporation’s can occur, and the action to be taken in within 20 working days, staff will headquarters at 1201 New York Avenue plain language understandable to the acknowledge in writing that the NW, Suite 8200, Washington, DC 20525, people to whom the notice is directed. company has submitted information and will otherwise be available upon Generally, the plan must include a joint under section 15(b) of the CPSA and request. news release with the Commission that, based on available information, the MATTERS TO BE CONSIDERED: This is a announcing the recall, letters and proposed corrective action plan is instructions to retailers and distributors, adequate. In addition, the staff will correction to the original Federal point-of-purchase posters, and, advise the company that it has a Register Notice, dated July 22, 1997, depending upon the level of risk, the continuing obligation to report new or page 39214. The Board of Directors of population at risk, age and number of different information that may affect the the Corporation will meet to deliberate products involved, additional notice. scope, prevalence or seriousness of the and make decisions on grant awards in Supplementary notice may include a defect or hazard. Once the company the following areas. AmeriCorps*State video news release, print and/or radio implements its corrective action plan, formula programs, AmeriCorps advertisements, incentives or bounties the staff will monitor its progress. Education Awards Program, and Learn to encourage consumer response, 10. If the company does not and Service America fund for the posters for specific audiences, such as implement a corrective action advancement of service learning and for posting in pediatricians’ offices, acceptable to the staff within 20 local education agencies. medical clinics, national parks and working days, the staff will continue its FOR FURTHER INFORMATION CONTACT: campgrounds, and repair shops (see evaluation and will preliminarily Corrective Action Handbook, available determine whether the product contains Rhonda Taylor, Associate Director of for CPSC Division of Corrective a defect that creates a substantial risk of Special Projects and Initiatives, Actions). In those cases where all injury to children under the FHSA or Corporation for National and purchasers can be contacted directly, a presents a substantial product hazard Community Service, 1201 New York news release may not be necessary. under the CPSA. The staff will so Avenue NW, 8th Floor, Washington DC (d) An agreement that the inform the company. 20525. Telephone (202) 606–5000, ext Commission may publicize the terms of 11. A company should not delay its 282. the plan and inform the public of the report under section 15(b) of the CPSA Dated: July 22, 1997. nature and the extent of the alleged in order to prepare a corrective action Stewart A. Davis, hazard. The consumer notice should be plan. The staff will not refrain from targeted to reach a significant portion of making a preliminary determination if Acting General Counsel. the public likely to have purchased the the information available suggests that a [FR Doc. 97–19707 Filed 7–22–97; 3:44 pm] subject product. (See 16 CFR company did so. BILLING CODE 6050±28±P Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39829

DEPARTMENT OF DEFENSE exclusive or exclusive licensing. Each of Hospitality Center, 2 Fort Road, South the listed inventions have been assigned Portland, Maine 04106. Department of the Air Force to the United States of America as FOR FURTHER INFORMATION CONTACT: Dr. represented by the Secretary of the Brain K. Fitzgerald, Staff Director, Notice of Availability of Surplus Real Army, Washington, DC. Advisory Committee on Student Property These inventions cover a variety of Financial Assistance, 1280 Maryland Property Identification: Norton Air battery and capacitor technologies and Avenue, S.W., Suite 601, Washington, Force Base Officers’ Housing. technical arts as well as other D.C. 20202–7582 (202) 708–7439. Property Location: San Bernardino, applications. SUPPLEMENTARY INFORMATION: The Under the authority of Section CA. Advisory Committee on Student Name of Holding Agency: United 11(a)(2) of the Federal Technology Financial Assistance is established Transfer Act of 1986 (Pub. L. 99–502) States Air Force. under Section 491 of the Higher Federal Disposal Agent: Air Force and Section 207 of Title 35, United Education Act of 1965 as amended by Base Conversion Agency, 1700 N. Moore States Code, the Department of the Pub. L. 100–50 (20 U.S.C. 1098). The Army, as represented by the Army Street, Suite 2300, Arlington VA 22209– Advisory Committee is established to Research Laboratory, wishes to license 2802. provide advice and counsel to the the inventions listed below in a non- Point of Contact: Dale Jackson, Congress and the Secretary of Education exclusive, exclusive, or partially Program Manager, 703–696–5554 FAX: on student financial aid matters exclusive manner to any party 703–696–1085. including providing technical expertise interested in manufacturing, using, and/ Closure Date: March 31, 1996. with regard to systems of need analysis or selling devices or processes involved Property Data: 34 acres of land and application forms, making improved with 56 houses. in these inventions. CECOM 5257: Fabrication of recommendations that will result in the Known Use Limitations: Compatibility Electrodes in Batteries and maintenance of access to postsecondary with industrial/commercial uses, Electrochemical Capacitors. education for low- and middle-income approximately 15 houses to be CECOM 5262: Pulsed Laser students, conducting a study of demolished for road construction. Deposition of Amorphous Metal Oxides. institutional lending in the Stafford Utilities: Available on site. CECOM 5276: Novel Nonaqueous Student Loan Program and an in-depth Outstanding Interests: None. Electrolyte Systems for Elect. study of student loan simplification. Expressed Interest: Potential FOR FURTHER INFORMATION CONTACT: The Advisory Committee fulfills its Economic Development Conveyance to For further information, please contact charge by conducting objective, Inland Valley Development Agency. Mr. Michael Zelenka, Esq. Chief, nonpartisan, and independent analyses Reimbursement: Fair Market Value Intellectual Property Division, of important student aid issues. As a required unless discounted under a Attention: AMSEL–LG–L, U.S. Army result of passage of the Omnibus Budget special disposal provision in FPMR Communication-Electronics Command, Reconciliation Act (OBRA) of 1993, § 101–47.308. Ft. Monmouth, NJ 07703–5000, phone Congress assigned the Advisory Important Note: This property was (908) 532–4112, or fax (908) 389–3396. Committee the major task of evaluating screened for DOD and Federal interest and is SUPPLEMENTARY INFORMATION: None. the Ford Federal Direct Loan Program now being screened by the Inland Valley Gregory D. Showalter, (FDLP) and the Federal Family Development Agency under the regulations Education Loan Program (FFELP). The Army Federal Register Liaison Officer. at 32 CFR Parts 90 and 91. Interested parties Committee was directed to report to the should consult with the Inland Valley [FR Doc. 97–19322 Filed 7–23–97; 8:45 am] Secretary and Congress on not less than Development Agency at 201 North ‘‘E’’ Street BILLING CODE 3710±08±M Suite 203, San Bernardino, CA 92401–1507, an annual basis on the operation of both (909) 885–4832 telephone and (909) 386– programs and submit a final report by 7591 Fax . Final disposal decisions will be January 1, 1997. The Committee based on economic development and job DEPARTMENT OF EDUCATION submitted to Congress its final creation potential, IVDA comments, and recommendations on the advisability of Advisory Committee on Student other factors in the determination of highest fully implementing the FDLP on Financial Assistance; Meeting and best use. December 11, 1996. The Advisory Barbara A. Carmichael, AGENCY: Advisory Committee on Committee has now focused its energies Air Force Federal Register Liaison Officer. Student Financial Assistance, on activities related to reauthorization [FR Doc. 97–19501 Filed 7–23–97; 8:45 am] Education. of the Higher Education Act of 1998. BILLING CODE 3910±01±P ACTION: Notice of Upcoming Meeting. The Advisory Committee will meet in Portland, Maine on August 11, 1997, SUMMARY: This notice sets forth the from 9:00 a.m. to approximately 4:30 DEPARTMENT OF DEFENSE schedule and proposed agenda of a p.m. and on August 12, from 8:30 a.m. forthcoming meeting sponsored by the to approximately 2:00 p.m. Department of the Army Advisory Committee on Student The proposed agenda includes Financial Assistance. This notice also presentations and discussion sessions Availability of Inventions for Non- describes the functions of the on (a) congressional and other Exclusive, Partially Exclusive, or Committee. This document is intended legislative proposals pertaining to Exclusive Licensing to notify the general public. reauthorization of the Higher Education AGENCY: U.S. Army, DOD. DATES AND TIMES: Monday, August 11, Act; (b) an update of the Department of 1997, beginning at 9:00 a.m. and ending ACTION: Notice of availability. Education’s reauthorization proposals; at approximately 4:30 p.m. and and (c) reforming the management of SUMMARY: In accordance with 37 CFR Tuesday, August 12, beginning at 8:30 Title IV delivery. In addition, the 404.6, announcement is made of the a.m. ending at approximately 2:00 p.m. Committee will discuss its’ agenda for availability of the following Army ADDRESSES: Southern Maine Technical fiscal year 1998 and other Committee inventions for non-exclusive, partially College, the Peter A. McKernan business. Space is limited and you are 39830 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices encouraged to register early if you plan Commission and are available for public the proposed activity shall be deemed to to attend. You may register through inspection. be authorized effective the day after the Internet at [email protected] or Lois D. Cashell, time allowed for filing a protest. If a [email protected]. Please Secretary. protest is filed and not withdrawn include your name, title, affiliation, [FR Doc. 97–19464 Filed 7–23–97; 8:45 am] within 30 days after the time allowed complete address (including Internet BILLING CODE 6717±01±M for filing a protest, the instant request and e-mail—if available), and telephone shall be treated as an application for and fax numbers. If you are unable to authorization pursuant to Section 7 of register through Internet, you may mail DEPARTMENT OF ENERGY the Natural Gas Act. or fax your registration information to Lois D. Cashell, the Advisory Committee staff office at Federal Energy Regulatory (202) 401–3467. Also, you may contact Commission Secretary. [FR Doc. 97–19454 Filed 7–23–97; 8:45 am] the Advisory Committee staff at (202) [Docket No. CP97±634±000] 708–7439. The registration deadline is BILLING CODE 6717±01±M Monday, August 4, 1997. For Colorado Interstate Gas Company; information on Southern Maine Notice of Request Under Blanket Technical College, hotels, airports, and Authorization DEPARTMENT OF ENERGY local transportation, contact the Advisory Committee office. July 18, 1997. Federal Energy Regulatory Records are kept of all Committee Take notice that on July 11, 1997, Commission proceedings, and are available for public Colorado Interstate Gas Company (CIG), inspection at the Office of the Advisory P.O. box 1087, Colorado Springs, [Docket No. RP96±283±004] Committee on Student Financial Colorado 80944, filed in Docket No. Assistance, 1280 Maryland Avenue, CP97–634–000 a request pursuant to Columbia Gulf Transmission S.W., Suite 601, Washington, D.C. from Sections 157.205 and 157.211 of the Company; Notice of Compliance Filing the hours of 9:00 a.m. to 5:30 p.m., Commission’s Regulations under the weekdays, except Federal holidays. Natural Gas Act (18 CFR 157.205, July 18, 1997. 157.211) for authorization to construct a Take notice that on July 14, 1997, Dated: July 18, 1997. new meter station at an existing delivery Columbia Gulf Transmission Company Dr. Brian K. Fitzgerald, point in Colorado, under CIG’s blanket (Columbia Gulf) tendered for filing to Staff Director, Advisory Committee on certificate issued in Docket No. CP83– Student Financial Assistance. 21–000 pursuant to Section 7 of the become part of its FERC Gas Tariff, [FR Doc. 97–19466 Filed 7–23–97; 8:45 am] Natural Gas Act, all as more fully set Second Revised Volume No. 1, the BILLING CODE 4000±01±M forth in the request that is on file with following revised tariff sheet bearing an the Commission and open to public issue date of July 14, 1997, with a inspection. proposed effective date of August 1, CIG proposes the new San Juan 1997. DEPARTMENT OF ENERGY delivery facility to be located in Section Third Revised Sheet No. 176 Federal Energy Regulatory 26, Township 33 South, Range 66 West, Commission Las Animas County, Colorado. The Columbia Gulf states that the revised facility will consist of a two-inch meter filing is made in accordance with the [Docket No. ER97±3390±000] run and appurtenant facilities thereto Commission’s order issued July 2, 1997, for the delivery of gas to Apache Canyon in this proceeding and Section 154.206 Central Maine Power Company; Notice Gas, LLC, a producer, for start up fuel of the Commission’s regulations (18 CFR of Filing gas for their compression facility. The Section 154.206). Columbia Gulf states delivery facility estimated at costing July 17, 1997. that the tariff sheet reflects the change approximately $6,000 will deliver required by the July 2, 1997 Order. Take notice that on July 3, 1997, approximately 100 Mcf per day. Central Maine Power Company tendered CIG states that the new installation Columbia Gulf states that copies of for filing an amendment in the above- will have no effect on its peak day and this filing have been mailed to all of its referenced docket. annual deliveries, that its existing tariff customers, affected state regulatory Any person desiring to be heard or to does not prohibit the addition of new commissions, and all parties to this protest said filing should file a motion delivery points, that deliveries will be proceeding. to intervene or protest with the Federal accomplished without detriment or Any person desiring to protest said Energy Regulatory Commission, 888 disadvantage to its other customers and filing should file a protest with the First Avenue, N.E., Washington, D.C. that the total volumes delivered will not Federal Energy Regulatory Commission, 20426, in accordance with Rules 211 exceed total volumes authorized prior to 888 First Street, N.E., Washington, D.C. and 214 of the Commission’s Rules of this request. 20426, in accordance with Section Practice and Procedure (18 CFR 385.211 Any person or the Commission’s staff and 18 CFR 385.214). All such motions may, within 45 days after issuance of 385.211 of the Commission’s or protests should be filed on or before the instant notice by the Commission, regulations. All such protests must be July 28, 1997. Protests will be file pursuant to Rule 214 of the filed as provided in Section 154.210 of considered by the Commission in Commission’s Procedural Rules (18 CFR the Commission’s Regulations. Protests determining the appropriate action to be 385.214) a motion to intervene or notice will be considered by the Commission taken, but will not serve to make of intervention and pursuant to Section in determining the appropriate action to protestants parties to the proceeding. 157.205 of the Regulations under the be taken, but will not serve to make Any person wishing to become a party Natural Gas Act (18 CFR 157.205) a protestants parties to the proceedings. A must file a motion to intervene. Copies protest to the request. If no protest is copy of this filing is on file with the of this filing are on file with the filed within the time allowed therefor, Commission and is available for public Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39831 inspection in the Public Reference authorization pursuant to Section 7 of DEPARTMENT OF ENERGY Room. the Natural Gas Act. Lois D. Cashell, Lois D. Cashell, Federal Energy Regulatory Commission Secretary. Secretary. [FR Doc. 97–19456 Filed 7–23–97; 8:45 am] [FR Doc. 97–19452 Filed 7–23–97; 8:45 am] [Docket No. CP97±641±000] BILLING CODE 6717±01±M BILLING CODE 6717±01±M Western Gas Resources, Inc.; Notice of Petition For Declaratory Order DEPARTMENT OF ENERGY DEPARTMENT OF ENERGY July 18, 1997. Take notice that on July 16, 1997, Federal Energy Regulatory Federal Energy Regulatory Commission Western Gas Resources, Inc. (Western), Commission 12200 N. Pecos Street, Denver, Colorado 80234, filed in Docket No. CP97–641– [Docket No. RP97±275±005 and TM97±2±59± [Docket No. CP97±632±000] 000 a petition for an order declaring that 003] Western’s acquisition of natural gas NorAm Gas Transmission Company; Northern Natural Gas Company; Notice compression and treating facilities, with Notice of Request Under Blanket of Compliance Filing appurtenances, from Northern Natural Authorization Gas Company (Northern), will be July 18, 1997. exempt from the Commission’s July 18, 1997. Take notice that on July 16, 1997, jurisdiction pursuant to Section 1(b) of Take notice that on July 11, 1997, Northern Natural Gas Company the Natural Gas Act, all as more fully set NorAm Gas Transmission Company (Northern), tendered for filing to become forth in the petition which is on file (NGT), 1600 Smith Street, Houston, part of Northern’s FERC Gas Tariff, Fifth with the commission and open to public Texas 77002, filed in Docket No. CP97– Revised Volume No. 1, the following inspection. It is stated that Western owns and 632–000 a request pursuant to Sections tariff sheets proposed to become operates the Ellenberger Gathering 157.205, 157.211 and 157.216 of the effective on May 1, 1997 and June 1, 1997: System and the Devonian Gathering Commission’s Regulations under the System, located in the Puckett Field Natural Gas Act (18 CFR 157.205, Effective May 1, 1997 producing area of southwestern Texas. It 157.211, and 157.216) for authorization 2nd Substitute Fourth Revised Sheet No. 61 is stated that the Ellenberger system to abandon and operate facilities in 2nd Substitute Fourth Revised Sheet No. 62 gathers raw, unprocessed gas from 20 Mississippi County, Arkansas under 2nd Substitute Fourth Revised Sheet No. 63 low pressure wells for initial delivery NGT’s blanket certificate issued in 2nd Substitute Fourth Revised Sheet No. 64 into a natural gas liquids processing Docket No. CP82–384–000 and CP82– Effective June 1, 1997 plant, then into a carbon dioxide 384–001 pursuant to Section 7 of the 2nd Substitute Fifth Revised Sheet No. 61 removal and treating facility, and Natural Gas Act, all as more fully set 2nd Substitute Fifth Revised Sheet No. 62 ultimately into Northern’s adjacent forth in the request that is on file with 2nd Substitute Fifth Revised Sheet No. 63 transmission mainline. It is stated that the Commission and open to public 2nd Substitute Fifth Revised Sheet No. 64 the Devonian system gathers a raw gas inspection. Northern states that this filing is made stream flowing from 9 Puckett Field wells for initial delivery into a hydrogen NGT proposes to reduce operating in compliance with the Commission’s sulfide removal and treating facility and cost by replacing and upgrading Order issued July 1, 1997, in the above- referenced Dockets. ultimately into Northern’s mainline. inefficient metering tubes at an existing Western maintains that the wells on tap on its Line J. The replacement will Northern states that copies of the the Ellenberger and Devonian systems also increase the meter stations delivery filing were served upon Northern’s generally produce at pressures of 125 design capacity from 18,000 MMBtu/ customers and interested State psig or less, and wellhead or field day to 40,000 MMBtu/day. The Commissions. compression must often be utilized to estimated total cost of the project is Any person desiring to protest said boost pressures up to as much as 300 $9,965. filing should file a protest with the psig. Western states that further Federal Energy Regulatory Commission, Any person or the Commission’s staff compression, however, is necessary to 888 First Street, N.E., Washington, D.C. enable efficient delivery of these gas may, within 45 days after issuance of 20426, in accordance with Section the instant notice by the Commission, streams through the related plant and 385.211 of the Commission’s Rules and treatment facilities and into the much file pursuant to Rule 214 of the Regulations. All such protests must be Commission’s Procedural Rules (18 CFR higher pressure Northern mainline, filed in accordance with Section which operates at 650 psig. Western 385.214) a motion to intervene or notice 154.210 of the Commission’s states that the compression is provided of intervention and pursuant to Section Regulations. Protests will be considered to the Ellenberger gas, by two 2,000 157.205 of the Regulations under the by the Commission in determining the horsepower compressor units having a Natural Gas Act (18 CFR 157.205) a appropriate action to be taken in this suction pressure of 250 psig and a protest to the request. If no protest is proceeding, but will not serve to make discharge pressure of 875 psig and filed within the time allowed therefor, protestant a party to the proceeding. provided to the Devonian stream by two the proposed activity shall be deemed to Copies of this filing are on file with the 531 horsepower compressor units be authorized effective the day after the Commission and are available for having a suction pressure of 75 psig and time allowed for filing a protest. If a inspection. a discharge pressure of 675 psig. protest is filed and not withdrawn Lois D. Cashell, Western states that these compressor within 30 days after the time allowed Secretary. units are currently owned by Northern. for filing a protest, the instant request [FR Doc. 97–19462 Filed 7–23–97; 8:45 am] Western states that it has agreed to shall be treated as an application for BILLING CODE 6717±01±M purchase the four compressor units and 39832 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices treating facilities from Northern Facilities Project (Phase I Joint DEPARTMENT OF ENERGY following Northern’s abandonment of Facilities). Federal Energy Regulatory such facilities in related Docket No. The FEIS was prepared to satisfy the CP97–609–000. Western further states Commission requirements of the National that, thereafter, the facilities will Environmental Policy Act. The staff become an integral part of Western’s concludes that approval of the proposed [Docket No. RP94±43±000] two Puckett Field gathering systems. Western states in its petition that it project, with appropriate mitigating measures as recommended, would have ANR Pipeline Company; Notice of seeks a declaration from the Informal Settlement Conference Commission that the four compressor limited adverse environmental impact. units, totaling 5,062 horsepower, The FEIS addresses the potential July 18, 1997. treating facilities and appurtenances, environmental effects of the Take notice that an informal located in Pecos County, Texas, which construction and operation of the settlement conference will be convened Western proposes to acquire from following facilities: in this proceeding on Monday, July 28, Northern, are gathering facilities. • about 66.1 miles of 30-inch- Any person desiring to be heard or to 1997, at 10:30 a.m., at the offices of the make any protest with reference to said diameter mainline between Dracut, Federal Energy Regulatory Commission, petition should on or before August 8, Massachusetts and Wells, Maine; 888 First Street, NE., Washington, DC 1997, file with the Federal Energy • about 0.8 mile of 20-inch-diameter 20426, for the purpose of exploring the Regulatory Commission, Washington, pipeline (Haverhill Lateral); possible settlement of the above- referenced docket. D.C. 20426, a motion to intervene or a • about 1.1 miles of 16-inch-diameter protest in accordance with the pipeline (Newington Lateral); Any party, as defined by 18 CFR requirements of the Commission’s Rules • 385.102(c), or any participant as defined of Practice and Procedure (18 CFR five meter stations, three taps, and in 18 CFR 385.102(b), is invited to 385.214 or 385.211). All protests filed other associated aboveground facilities; attend. Persons wishing to become a with the Commission will be considered and party must move to intervene and by it in determining the appropriate • abandonment of 15.3 miles of 6- receive intervenor status pursuant to the action to be taken but will not serve to inch-diameter pipeline and two 375 Commission’s regulations (18 CFR make the protestants parties to the horsepower compressor units in 385.214). proceeding. Massachusetts and New Hampshire. Lois D. Cashell, For additional information, please The FEIS will be used in the Secretary. contact William J. Collins at (202) 208– regulatory decision-making process at [FR Doc. 97–19453 Filed 7–23–97; 8:45 am] 0248. the FERC. While the period for filing BILLING CODE 6717±01±M Lois D. Cashell, interventions in this case has expired, Secretary. motions to intervene out-of-time can be [FR Doc. 97–19455 Filed 7–23–97; 8:45 am] DEPARTMENT OF ENERGY filed with the FERC in accordance with the Commission’s Rules of Practice and BILLING CODE 6717±01±M Federal Energy Regulatory Procedures, 18 CFR 385.214(d). Further, Commission anyone desiring to file a protest with the DEPARTMENT OF ENERGY [Docket No. CP97±238±000 and CP96±347± FERC should do so in accordance with 000] 18 CFR 385.211. Notice of Cases Filed With the Office The FEIS has been placed in the of Hearings and Appeals Maritimes & Northeast Pipeline, L.L.C., public files of the FERC and is available Week of June 23 Through June 27, 1997 Portland Natural Gas Transmission for distribution and public inspection System; Granite State Gas at: Federal Energy Regulatory Transmission, Inc.; Notice of During the Week of June 23 through Commission, Public Reference and Files Availability, Final Environmental June 27, 1997, the appeals, applications, Maintenance Branch, 888 First Street, Impact Statement, PNGTS/Maritimes petitions or other requests listed in this Phase I Joint Facilities Project N.E., Room 2A, Washington, D.C. 20426, Notice were filed with the Office of (202) 208–1371. Hearings and Appeals of the Department July 18, 1997. Copies of the FEIS have been mailed of Energy. The staff of the Federal Energy to Federal, state, and local agencies, Any person who will be aggrieved by Regulatory Commission (FERC or public interest groups, interested the DOE action sought in any of these Commission) has prepared this Final individuals, newspapers, and parties to cases may file written comments on the Environmental Impact Statement (FEIS) this proceeding. on natural gas pipeline facilities application within ten days of proposed by Maritimes & Northeast Additional information about the publication of this Notice or the date of Pipeline, L.L.C. and Portland Natural proposed project is available from Paul receipt of actual notice, whichever Gas Transmission System in the above- McKee in the Commission’s Office of occurs first. All such comments shall be referenced docket. The FEIS also External Affairs, at (202) 208–1088. filed with the Office of Hearings and includes certain facilities to be Lois D. Cashell, Appeals, Department of Energy, Washington, D.C. 20585–0107. abandoned by Granite State Gas Secretary. Transmission Inc. in the above- [FR Doc. 97–19451 Filed 7–23–97; 8:45 am] Dated: July 15, 1997. referenced docket. The specific facilities George B. Breznay, addressed in this FEIS are referred to as BILLING CODE 6717±01±M the PNGTS/Maritimes Phase I Joint Director, Office of Hearings and Appeals. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39833

LIST OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALS [Week of June 23 through June 27, 1997]

Date Name and location of applicant Case No. Type of submission

6/23/97 ...... Tri-State Drilling, Inc., Hamel, Minnesota ...... VFA±0304 Appeal of an Information Request Denial. If granted: The Freedom of Information Request Denial issued by Bonne- ville Power Administration would be rescinded, and Tri- State Drilling would receive access to certain DOE infor- mation. 6/24/97 ...... Graves Construction, Santa Barbara, CA ..... RR272±299 Request for Modification/Rescission in the Crude Oil Refund Proceeding. If granted: The November 15, 1996 Dismis- sal, Case No. RG272±757, issued to Graves Construction would be modified regarding the firm's Application for Re- fund submitted in the crude oil refund proceeding. 6/25/97 ...... Personnel Security Hearing ...... VSO±0163 Request for Hearing Under 10 C.F.R. Part 710. If granted: An individual employed by the Department of Energy would receive a hearing under 10 C.F.R. Part 710.

[FR Doc. 97–19535 Filed 7–23–97; 8:45 am] petitions or other requests listed in this Appeals, Department of Energy, BILLING CODE 6450±01±P Notice were filed with the Office of Washington, DC 20585–0107. Hearings and Appeals of the Department Dated: July 15, 1997. of Energy. DEPARTMENT OF ENERGY George B. Breznay, Any person who will be aggrieved by Director, Office of Hearings and Appeals. Office of Hearings and Appeals the DOE action sought in any of these cases may file written comments on the Notice of Cases Filed; With the Office application within ten days of of Hearings and AppealsÐWeek of publication of this Notice or the date of June 16 through June 20, 1997 receipt of actual notice, whichever During the Week of June 16 through occurs first. All such comments shall be June 20, 1997, the appeals, applications, filed with the Office of Hearings and

SUBMISSION OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALS, DEPARTMENT OF ENERGY [Week of June 16 through June 20, 1997]

Date Name and location of applicant Case No. Type of submission

6/16/97 ...... EG&G, Denver, CO ...... VWZ±0008 Motion for Partial Dismissal. If granted: The underlying com- plaint in Case No. VWA±0016 would be dismissed in part. 6/18/97 ...... Cortland Bulk Milk Producers, Cortland, NY RR272±297 Request for Modification/Recession in the Crude Oil Refund Proceeding. If granted: The May 28, 1997 Dismissal, Case No. RG272±868, issued to Cortland Bulk Milk Pro- ducers would be modified regarding the firm's application for refund submitted in the Crude Oil Refund Proceeding. 6/19/97 ...... Personnel Security Hearing ...... VSO±0161 Request for Hearing under 10 CFR Part 710. If granted: An individual employed by the Department of Energy would receive a hearing under 10 CFR Part 710. 6/19/97 ...... Personnel Security Hearing ...... VSO±0162 Request for Hearing under 10 CFR Part 710. If granted: An individual employed by the Department of Energy would receive a hearing under 10 CFR Part 710.

[FR Doc. 97–19536 Filed 7–23–97; 8:45 am] petitions or other requests listed in this filed with the Office of Hearings and BILLING CODE 6450±01±P Notice were filed with the Office of Appeals, Department of Energy, Hearings and Appeals of the Department Washington, DC 20585–0107. of Energy. DEPARTMENT OF ENERGY Dated: July 15, 1997. Any person who will be aggrieved by George B. Breznay, Office of Hearings and Appeals the DOE action sought in any of these Director, Office of Hearings and Appeals. Notice of Cases Filed; Week of June 9 cases may file written comments on the Through June 12, 1997 application within ten days of publication of this Notice or the date of During the Week of June 9 through receipt of actual notice, whichever June 12, 1997, the appeals, applications, occurs first. All such comments shall be 39834 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

SUBMISSION OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALS, DEPARTMENT OF ENERGY [Week of June 9 through June 12, 1997]

Date Name and location of applicant Case No. Type of submission

6/9/97 ...... Greenville Automatic Gas Co., Inc., Green- VER±0002 Request for Modification/Rescission. If granted: The May ville, TX. 22, 1997 Decision and Order, Case No. VEE±0043, is- sued to Greenville Automatic Gas Co., Inc. would be modified regarding the firm's request for relief from the DOE reporting requirements. 6/9/97 ...... Mary J. (Griffin) Barnett, Hartselle, AL ...... VFA±0303 Appeal of an Information Request Denial. If granted: The May 22, 1997 Freedom of Information Request Denial is- sued by Oak Ridge Operations Office would be re- scinded, and Mary J. (Griffin) Barnett would receive ac- cess to certain DOE information. 6/9/97 ...... Pedro Aponte Vasquez, San Juan, PR ...... VFA±0302 Appeal of an Information Request Denial. If granted: The Freedom of Information Request Denial issued by the Chicago Operations Office would be rescinded, and Pedro Aponte Vasquez would receive access to certain DOE information. 6/9/97 ...... Personnel Security Hearing ...... VSO±0160 Request for hearing under 10 CFR Part 710. If granted: An individual employed by a Department of Energy contrac- tor would receive a hearing under 10 CFR Part 710. 6/12/97 ...... Personnel Security Review ...... VSO±0123 Request for Review of Opinion under 10 CFR Part 710. If granted: The May 9, 1997 Opinion of the Office of Hear- ings and Appeals, Case No. VSO±0123, would be re- viewed at the request of an individual employed by the Department of Energy.

[FR Doc. 97–19537 Filed 7–23–97; 8:45 am] petitions or other requests listed in this Appeals, Department of Energy, BILLING CODE 6450±01±P Notice were filed with the Office of Washington, D.C. 20585–0107. Hearings and Appeals of the Department Dated: July 15, 1997. of Energy. DEPARTMENT OF ENERGY Any person who will be aggrieved by George B. Breznay, the DOE action sought in any of these Director, Office of Hearings and Appeals. Office of Hearings and Appeals cases may file written comments on the Notice of Cases Filed; Week of June 2 application within ten days of Through June 6, 1997 publication of this Notice or the date of receipt of actual notice, whichever During the Week of June 2 through occurs first. All such comments shall be June 6, 1997, the appeals, applications, filed with the Office of Hearings and

LIST OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALS [Week of June 2 through June 6, 1997]

Date Name and location of applicant Case No. Type of submission

6/2/97 ...... Internat'l Brotherhood of Electrical Workers, VFA±0299 Appeal of an Information Request Denial. If granted: The New Ellenton, South Carolina. April 28, 1997 Freedom of Information Request Denial is- sued by Savannah River Operations Office would be re- scinded, and Internat'l Brotherhood of Electrical Workers would receive access to certain DOE information. 6/2/97 ...... Los Alamos Study Group, Santa Fe, New VFA±0298 Appeal of an Information Request Denial. If granted: The Mexico. May 19, 1997 Freedom of Information Request Denial is- sued by Albuquerque Operations Office would be re- scinded, and Los Alamos Study Group would receive ac- cess to certain DOE information. 6/2/97 ...... West Valley Farmers, Hardin, Kentucky ...... RR272±295 Request for Modification/Rescission in the Crude Oil Refund Proceeding. If granted: The March 10, 1997 Decision and Order Case No. RF272±94614 issued to West Valley Farmers would be modified regarding the firm's applica- tion for refund submitted in the Crude Oil refund proceed- ing. 6/5/97 ...... Information Focus On Energy, Inc., VFA±0300 Appeal of an Information Request Denial. If granted: The Gaithersburg, Maryland. May 19, 1997 Freedom of Information Request Denial is- sued by Ohio Field Office would be rescinded, and Infor- mation Focus on Energy, Inc. would receive access to certain DOE information. 6/5/97 ...... Personnel Security Hearing ...... VSO±0159 Request for Hearing under 10 CFR Part 710. If granted: An individual employed by the Department of Energy would receive a hearing under 10 CFR Part 710. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39835

LIST OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALSÐContinued [Week of June 2 through June 6, 1997]

Date Name and location of applicant Case No. Type of submission

6/6/97 ...... Nevada Indian Environmental Coalition, VFA±0301 Appeal of an Information Request Denial. If granted: The Reno, Nevada. April 18, 1997 Freedom of Information Request Denial is- sued by the Office of the Executive Secretariat would be rescinded, and Nevada Indian Environmental Coalition would receive access to certain DOE information. 6/6/97 ...... Wales Transportation, Inc., Dallas, Texas ..... RR272±296 Request for Modification/Rescission in the Crude Oil Refund Proceeding. If granted: The May 7, 1997 Denial Case No. RR272±291 issued to Wales Transportation, Inc. would be modified regarding the firm's application for refund submitted in the Crude Oil refund proceeding. 6/5/97 ...... Personnel Security Hearing ...... VSO±0158 Request for Hearing under 10 CFR Part 710. If granted: An individual employed by the Department of Energy would receive a hearing under 10 CFR Part 710. 6/6/97 ...... Tri-County F S, Inc., Jerseyville, Illinois ...... RR272±298 Request for Modification/Rescission in the Crude Oil Refund Proceeding. If granted: The May 30, 1997 Decision and Order Case No. RG272±168 issued to Tri-County F S, Inc. would be modified regarding the firm's application for refund submitted in the Crude Oil refund proceeding.

[FR Doc. 97–15938 Filed 7–23–97; 8:45 am] petitions or other requests listed in this Appeals, Department of Energy, BILLING CODE 6450±01±P Notice were filed with the Office of Washington, D.C. 20585–0107. Hearings and Appeals of the Department Date: July 15, 1997. of Energy. DEPARTMENT OF ENERGY Any person who will be aggrieved by George B. Breznay, the DOE action sought in any of these Director, Office of Hearings and Appeals. Office of Hearings and Appeals cases may file written comments on the Notice Of Cases Filed; Week of May 26 application within ten days of Through May 30, 1997 publication of this Notice or the date of receipt of actual notice, whichever During the Week of May 26 through occurs first. All such comments shall be May 30, 1997, the appeals, applications, filed with the Office of Hearings and

LIST OF CASES RECEIVED BY THE OFFICE OF HEARINGS AND APPEALS [Week of May 26 through May 30, 1997]

Date Name and location of applicant Case No. Type of submission

5/27/97 ...... Cal-Car Service Co., West Des Moines, RR272±294 Request for Modification/Rescission in the Crude Oil Refund Iowa. Proceeding. If granted: The May 14, 1997 Decision and Order, Case No. RG272±10, issued to Cal-Car Service Co. would be modified regarding the firm's application for refund submitted in the Crude Oil refund proceeding...... 5/28/97 H.C. Oil Co., Inc., Saint Louis, Mis- RR340±4 Request for Modification/Rescission in the Enron Refund souri. Proceeding. If granted: The March 28, 1997 Decision and Order, Case No. RF340±1, issued to H.C. Oil Co., Inc. Would be modified regarding the firm's application for re- fund submitted in the Enron refund proceeding. 5/30/97 ...... Personnel Security Review ...... VSA±0121 Request for Review of Opinion under 10 CFR Part 710. If granted: The April 30, 1997 Opinion of the Office of Hear- ings and Appeals, Case No. VSO±0121, would be re- viewed at the request of an individual employed by the Department of Energy.

[FR Doc. 97–19539 Filed 7–23–97; 8:45 am] DEPARTMENT OF ENERGY respect to appeals, applications, BILLING CODE 6450±01±P petitions, or other requests filed with Notice of Issuance of Decisions and the Office of Hearings and Appeals of Orders; Week of June 23 Through June the Department of Energy. The 27, 1997 following summary also contains a list of submissions that were dismissed by Office of Hearings and Appeals the Office of Hearings and Appeals. Copies of the full text of these During the week of June 23 through decisions and orders are available in the June 27, 1997, the decisions and orders Public Reference Room of the Office of summarized below were issued with Hearings and Appeals, Room 1E–234, 39836 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Forrestal Building, 1000 Independence that she should get any documents in Enron affiliates, UPG, Inc. and Florida Avenue, S.W., Washington, D.C. 20585– the OIG’s possession since the OIG had Hydrocarbons Company. Accordingly, 0107, Monday through Friday, between distributed information from her files the DOE granted Chevron a refund the hours of 1:00 p.m. and 5:00 p.m., into the public domain. The Office of based on Warren’s purchases from these except federal holidays. They are also Hearings and Appeals (OHA) found that affiliates under the ‘‘mid-range’’ available in Energy Management: the search by the FOIA/Privacy Act presumption of injury. Chevron’s total Federal Energy Guidelines, a Division had been inadequate, in terms refund, including interest, is $83,235. commercially published loose leaf of both departmental elements that had Enron Corp./Gulf States Oil & Refining reporter system. Some decisions and already been searched and elements that Co., 6/24/97, RF340–93 orders are available on the Office of had been named by the Appellant yet Hearings and Appeals World Wide Web never searched. However, the OHA The DOE issued a Decision and Order site at http://www.oha.doe.gov. upheld the OIG response. Even though concerning an Application for Refund submitted in the Enron Corporation Dated: July 15, 1997. the Appellant is apparently requesting (Enron) special refund proceeding George B. Breznay, records concerning herself, OIG was required to consider her as a third concerning purchases from Enron made Director, Office of Hearings and Appeals. person requesting records about by Gulf States Oil & Refining Company Decision List No. 39 someone else because she failed to (Gulf States). The DOE found that Gulf States was a reseller whose purchases Appeals identify herself adequately. Further, the DOE found no evidence that the OIG from Enron apparently were made on Patricia L. Baade, 6/27/97, VFA–0294 had released information concerning the the spot market, were sporadic and Patricia L. Baade (Appellant) filed an Appellant into the public domain. discretionary in nature, were not related Appeal of a Determination issued to her Therefore, the DOE granted in part and to any of Gulf States’ refining and by the Department of Energy (DOE) in denied in part the Appeal. marketing activities, and were not response to a request under the Freedom necessitated by business obligations to of Information Act (FOIA). In the Refund Applications regular customers. Accordingly, the request, the Appellant asked for all Enron Corp./Chevron U.S.A., Inc., DOE found that Gulf States fit the spot documents pertaining to her that are in 6/25/97, Case No. RF340–162 market presumption of non-injury for the possession of the DOE. In its The DOE granted an Application for resellers, and that the firm had not made Determination, the FOIA/Privacy Act Refund submitted by Chevron U.S.A., a showing of injury to overcome this Division found that the four Inc. (Chevron) in the Enron Corporation presumption. The DOE therefore denied departmental elements it searched did (Enron) special refund proceeding. The the Application for Refund based on not have any responsive documents in DOE found that Chevron had acquired Gulf States’ purchases. their possession. In another the right to refund of three firms that Refund Applications Determination, the Office of Inspector had purchased product from Enron General (OIG) found that because the during the refund period. The DOE The Office of Hearings and Appeals Appellant had refused to supply certain found that two of these firms were spot issued the following Decisions and identifying information or to complete purchasers of Enron product, and that Orders concerning refund applications, DOE Form 1800.1, it could neither Chevron could not receive a refund which are not summarized. Copies of confirm nor deny that it possessed any based on these spot purchases. The DOE the full texts of the Decisions and records pertaining to the Appellant. On found that the third firm, Warren Orders are available in the Public appeal, the Appellant argued that the Petroleum Company (Warren), was a Reference Room of the Office of DOE’s search had been inadequate and regular purchaser of products from two Hearings and Appeals. ARISTECH CHEMICAL CORP ...... RF272–78413 6/25/97 BAY STATE GAS CO. ET AL ...... RF272–98600 6/27/97 CRUDE OIL SUPPLEMENTAL REFUND DIST ...... RB272–00111 6/24/97 EMCO ELEVATORS, INC. ET AL ...... RF272–79198 6/27/97 HUNTER BROTHERS ET AL ...... RK272–2001 6/27/97 JAN HANSON ET AL ...... RK272–03505 6/25/97 LACLEDE CAB COMPANY ...... RK272–01403 6/27/97 NORMAN LUMPKIN ET AL ...... RF272–39710 6/25/97 PENNEBAKER EQUIPMENT CO. ET AL ...... RF272–86257 6/27/97 SAHUARITA UNIFIED DISTRICT 30 ET AL ...... RF272–79635 6/24/97 STARBUCK CREAMERY CO ...... RR272–286 6/27/97

Dismissals The following submissions were dismissed.

Name Case No.

CAL-CAR SERVICE COMPANY ...... RR272±294 PERSONNEL SECURITY HEARING ...... VSO±0140 PERSONNEL SECURITY HEARING ...... VSO±0156 PERSONNEL SECURITY HEARING ...... VSO±0157

[FR Doc. 97–19540 Filed 7–23–97; 8:45 am]

BILLING CODE 6450±01±P Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39837

DEPARTMENT OF ENERGY The DOE denied an appeal of a scope of the Appellant’s initial FOIA determination issued by the Oak Ridge request and accordingly denied the Office of Hearings and Appeals Operations Office denying a request for Appeal. information filed under the Freedom of Notice of Issuance of Decisions and Information Act. OHA found that the Personnel Security Hearing Orders; Week of June 16 Through June search conducted by the Operations 20, 1997 Personnel Security Hearing, 6/17/97 Office was reasonably calculated to VSO–0129 During the week of June 16 through uncover material responsive to the June 20, 1997, the decisions and orders request. An OHA Hearing Officer issued an opinion concerning an individual summarized below were issued with James D. Hunsberger, 6/18/97 VFA– whose access authorization was respect to appeals, applications, 0267 suspended because the DOE obtained petitions, or other requests filed with James D. Hunsberger filed an Appeal the Office of Hearings and Appeals of derogatory information that the from a denial by the Nevada Operations individual was a user of alcohol the Department of Energy. The Office of a request for information that habitually to excess and was diagnosed following summary also contains a list he filed under the Freedom of by a board-certified psychiatrist as of submissions that were dismissed by Information Act. In considering his the Office of Hearings and Appeals. arguments that Nevada did not alcohol dependent. At a hearing Copies of the full text of these undertake an adequate search for all convened at the individual’s request, decisions and orders are available in the responsive records, the DOE determined the individual maintained that he was Public Reference Room of the Office of that Nevada’s search was reasonable and not alcohol dependent. The Hearing Hearings and Appeals, Room 1E–234, proper. Accordingly, the Appeal was Officer found that the individual did not Forrestal Building, 1000 Independence support this position, and that he failed Avenue, SW, Washington, D.C. 20585– denied. Los Alamos Study Group, 6/19/97 VFA– to present sufficient evidence of 0107, Monday through Friday, between 0298 rehabilitation. Accordingly, the Hearing the hours of 1:00 p.m. and 5:00 p.m., Officer recommended that the except federal holidays. They are also Los Alamos Study Group (Appellant) individual’s access authorization not be available in Energy Management: filed an Appeal of a Determination Federal Energy Guidelines, a issued to it by the Albuquerque restored. commercially published loose leaf Operations Office (AOO) in response to Refund Applications reporter system. Some decisions and a request under the Freedom of orders are available on the Office of Information Act (FOIA). In the request, The Office of Hearings and Appeals Hearings and Appeals World Wide Web the Appellant asked for Conceptual issued the following Decisions and site at http://www.oha.doe.gov. Design Plans (CDPs) for various projects, Orders concerning refund applications, including the Los Alamos Neuron Dated: July 15, 1997. which are not summarized. Copies of Science Center (LANSC). In its the full texts of the Decisions and George B. Breznay, Determination, AOO found that a CDP Director, Office of Hearings and Appeals. Orders are available in the Public did not exist for the LANSC. On appeal, Reference Room of the Office of Decision List No. 38 the Appellant requested all documents Hearings and Appeals. that were the equivalent of a CDP for the Appeals LANSC. The DOE found that this Dennis J. McQuade, 6/17/97, VFA–0297 request on Appeal was outside the Boyer Construction, et al ...... RK272–03686 6/19/97 Conrey Munson, et al ...... RK272–03201 6/17/97 Crude Oil Supple Ref Dist ...... RB272–00107 6/17/97 Crude Oil Supple Ref Dist ...... RB272–00112 6/19/97 Crude Oil Supple Ref Dist ...... RB272–00113 6/19/97 Devine & Son Trucking Co., et al ...... RK272–01519 6/18/97 Duffy Storage & Moving ...... RG272–87 6/17/97 Essex Specialty Products ...... RG272–97 6/18/97 Fraiman Realty ...... RF272–67278 6/18/97 Frank B. Hall & Co., Inc./AON SVC Corp ...... RK272–04387 6/18/97 Morgan Cnty Svc Co ...... RG272–166 6/17/97 Scott Farm Services Inc ...... RG272–171 Mount Carmel Public Utility Co ...... RF272–77400 6/19/97 Rockwell Drilling Co ...... RJ272–00044 6/20/97 Veterans Admin Medical Cntr ...... RF272–89296 6/17/97

Dismissals The following submissions were dismissed.

Name Case No.

Fairmount Chemical Co ...... RG272±00530

[FR Doc. 97–19541 Filed 7–23–97; 8:45 am]

BILLING CODE 6450±01±P 39838 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

ENVIRONMENTAL PROTECTION effectiveness, and other characteristics Estimated Number of Respondents: 14 AGENCY of different products in order to make per year. more informed decisions regarding the Frequency of Response: One time, on [FRL±5863±2] use of such products during time critical occasion. Agency Information Collection spill responses. Because local Estimated Total Annual Hour Burden: Activities Under OMB Review conditions may require additional 370 hours. information, RRTs may, under the Estimated Total Annualized Cost AGENCY: Environmental Protection revisions, require supplemental toxicity Burden: $99,857. Agency (EPA). and effectiveness testing of products. Send comments on the Agency’s need ACTION: Notice. Section 300.920(c) allows respondents for this information, the accuracy of the to assert that certain information in the provided burden estimates, and any SUMMARY: In compliance with the technical product data submissions is suggested methods for minimizing Paperwork Reduction Act (44 U.S.C. confidential business information. EPA respondent burden, including through 3501 et seq.), this notice announces that will handle such claims pursuant to the the use of automated collection the following Information Collection provisions in 40 CFR part 2, subpart B. techniques, to the following addresses. Request (ICR) has been forwarded to the Such information must be submitted Please refer to EPA ICR No. 1664.03 and Office of Management and Budget separately from non-confidential OMB Control No. 2050–0141 in any (OMB) for review and approval: The information, clearly identified, and correspondence. National Oil and Hazardous Substances clearly marked ‘‘Confidential Business Ms. Sandy Farmer, U.S. Environmental Pollution Contingency Plan (NCP), Information.’’ If the submitter fails to Protection Agency, OPPE Regulatory Subpart J, OMB Control Number: 2050– make such a claim at the time of Information Division (2137), 401 M 0141. EPA Control Number: 1664.03. submittal, EPA may make the Street, SW, Washington, DC 20460 Expiration Date: August 31, 1997. The information available to the public and ICR describes the nature of the without further notice. Office of Information and Regulatory information collection and its expected An agency may not conduct or burden and cost; where appropriate, it Affairs, Office of Management and sponsor, and a person is not required to Budget, Attention: Desk Officer for includes the actual data collection respond to, a collection of information instrument. EPA, 725 17th Street, NW, unless it displays a currently valid OMB Washington, DC 20503. DATES: Comments must be submitted on control number. The OMB control or before August 25, 1997. numbers for EPA’s regulations are listed Dated: July 17, 1997. FOR FURTHER INFORMATION OR A COPY in 40 CFR part 9 and 48 CFR Chapter Joseph Retzer, CALL: Sandy Farmer at (202) 260–2740 15. The Federal Register Notice Director Regulatory Information Division. and refer to EPA ICR No. 1664.03. required under 5 CFR 1320.8(d), [FR Doc. 97–19547 Filed 7–23–97; 8:45 am] soliciting comments on this collection BILLING CODE 6560±50±P SUPPLEMENTARY INFORMATION: of information was published on April Title: The National Oil and Hazardous 11, 1997 (62 FR 17801); no comments Substances Pollution Contingency Plan were received. ENVIRONMENTAL PROTECTION (NCP), Subpart J (OMB Control Number Burden Statement: The annual public AGENCY 2050–0141; EPA ICR Number 1664.03); reporting and recordkeeping burden for [FRL±5863±1] expiring 8/31/97. This is a request for this collection of information is extension of a currently approved estimated to average 27 hours per Agency Information Collection collection. response. Burden means the total time, Activities: Submission for OMB Abstract: The use of dispersants, other effort, or financial resources expended Review; Comment Request; Public chemical agents, and bioremediation by persons to generate, maintain, retain, Water Systems Annual Compliance agents to respond to oil spills in U.S. or disclose or provide information to or Report waters is governed by subpart J of the for a Federal agency. This includes the NCP (40 CFR 300.900). EPA’s time needed to review instructions; AGENCY: Environmental Protection regulation, which is codified at 40 CFR develop, acquire, install, and utilize Agency (EPA). 300.00, requires that EPA prepare a technology and systems for the purposes ACTION: Notice. schedule of ‘‘dispersants, other of collecting, validating, and verifying chemicals, and other spill mitigating information, processing and SUMMARY: In compliance with the devices and substances, if any, that may maintaining information, and disclosing Paperwork Reduction Act (44 U.S.C. be used in carrying out the NCP.’’ Under and providing information; adjust the 3501 et seq.), this notice announces that subpart J, respondents wishing to add a existing ways to comply with any the following Information Collection product to the Product Schedule must previously applicable instructions and Request (ICR) has been forwarded to the submit technical product data specified requirements; train personnel to be able Office of Management and Budget in 40 CFR 300.915 to EPA. EPA places to respond to a collection of (OMB) for review and approval: Public Water Systems Annual Compliance oil spill mitigating products on the information; search data sources; # Product Schedule if all the required data complete and review the collection of Report, EPA ICR 1812.01. The ICR are submitted. The Product Schedule is information; and transmit or otherwise describes the nature of the information available to Federal On-Scene disclose the information. collection and its expected burden and Coordinators (OSCs), Regional Response Respondents/Affected Entities: cost; where appropriate, it includes the Teams (RRTs), and Area Committees for Manufacturers of dispersants, surface actual data collection instrument. determining the most appropriate washing agents, surface collecting DATES: Comments must be submitted on products to use in various spill agents, bioremediation agents, and other or before August 25, 1997. scenarios. Subpart J ensures that OSCs, chemical agents and biological additives FOR FURTHER INFORMATION OR A COPY RRTs, and Area Committees have used as countermeasures against oil CALL: Sandy Farmer at EPA, (202) 260– necessary data regarding the toxicity, spills. 2740, and refer to EPA ICR No. 1812.01 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39839

SUPPLEMENTARY INFORMATION: information; and transmit or otherwise information shall have practical utility; disclose the information. (b) the accuracy of the Commission’s Title: Public Water Systems Annual Respondents/Affected Entities: States burden estimate; (c) ways to enhance Compliance Report, EPA ICR No. and Territories. the quality, utility, and clarity of the 1812.01. This is a new collection. Estimated Number of Respondents: information collected; and (d) ways to Abstract: States and Territories are 55. minimize the burden of the collection of required to prepare for EPA by January Frequency of Response: Annual. information on the respondents, 1, 1998, a detailed report with Executive Estimated Total Annual Hour Burden: including the use of automated Summary on drinking water violations. 11,440 hours. collection techniques or other forms of EPA is to then take the information Estimated Total Annualized Cost information technology. prepared by the States and Territories Burden: $682,000. DATES: Written comments should be and prepare a national report that Send comments on the Agency’s need submitted on or before August 25, 1997. aggregates the information collected for this information, the accuracy of the If you anticipate that you will be from the States and Territories as well provided burden estimates, and any submitting comments, but find it as reports on Indian Tribes information. suggested methods for minimizing difficult to do so within the period of EPA is to make recommendations to respondent burden, including through time allowed by this notice, you should remedy problems associated with the use of automated collection advise the contact listed below as soon drinking water violations in the States, techniques to the following addresses. as possible. Territories, and Indian Lands. This Please refer to EPA ICR No. 1812.01 in ADDRESSES: Direct all comments to Judy activity is required under section any correspondence. Boley, Federal Communications 1414(c)(3) of the Safe Drinking Water Ms. Sandy Farmer, U.S. Environmental Commission, Room 234, 1919 M St., Act to ensure compliance and public Protection Agency, OPPE Regulatory N.W., Washington, DC 20554 or via safety. The information reported by the Information Division (2137), 401 M internet to [email protected]. States and Territories is required under Street, SW, Washington, DC 20460 FOR FURTHER INFORMATION CONTACT: For the Safe Drinking Water Act. States are and additional information or copies of the required to prepare a report that lists Office of Information and Regulatory information collection(s) contact Judy violations in the following four Affairs, Office of Management and Boley at 202–418–0214 or via internet at categories: Maximum Contaminant Budget, Attention: Desk Officer for [email protected]. Levels, Treatment Techniques, EPA, 725 17th Street, NW, Variances and Exemptions, and Washington, DC 20503 SUPPLEMENTARY INFORMATION: Monitoring violations considered to be Dated: July 17, 1997. OMB Approval Number: 3060–0763. significant. EPA is to then take this Joseph Retzer, Title: ARMIS Customer Satisfaction information and prepare the national Director, Regulatory Information Division. Report. FCC Report No.: FCC 43–06. report summarizing the information [FR Doc. 97–19548 Filed 7–23–97; 8:45 am] reported. An agency may not conduct or Type of Review: Extension of a BILLING CODE 6560±50±P 1 sponsor, and a person is not required to currently approved collection. respond to, a collection of information Respondents: Business or other for- unless it displays a currently valid OMB profit. FEDERAL COMMUNICATIONS control number. The OMB control Number of Respondents: 8. COMMISSION Estimated Time Per Response: 900 numbers for EPA’s regulations are listed hours. in 40 CFR part 9 and 48 CFR Chapter Notice of Public Information Cost to Respondents: N/A. 15. The Federal Register Notice Collection(s) Submitted to OMB for Total Annual Burden: 7,200 hours. required under 5 CFR 1320.8(d), Review and Approval Needs and Uses: FCC Report 43–06, soliciting comments on this collection the Customer Satisfaction Report, of information was published on 5/8/97 July 11, 1997. reflects the results of customer (62 FR 25189); 1 comment was received. satisfaction surveys conducted by Burden Statement: The annual public SUMMARY: The Federal Communications individual carriers from residential and reporting and recordkeeping burden for Commission, as part of its continuing business customers on installation and this collection of information is effort to reduce paperwork burden repair orders. The information estimated to average 208 hours per invites the general public and other contained in the automated reports response. Burden means the total time, Federal agencies to take this provides the necessary detail to enable effort, or financial resources expended opportunity to comment on the the Commission to fulfill its regulatory by persons to generate, maintain, retain, following information collection(s), as responsibilities. Automated reporting of or disclose or provide information to or required by the Paperwork Reduction these data greatly enhances the for a Federal agency. This includes the Act of 1995, Pub. L. 104–13. An agency Commission’s ability to process and time needed to review instructions; may not conduct or sponsor a collection analyze the extensive amounts of data develop, acquire, install, and utilize of information unless it displays a that are needed to administer its rules. technology and systems for the purposes currently valid control number. No Automating and organizing data of collecting, validating, and verifying person shall be subject to any penalty submitted to the Commission facilitate information, processing and for failing to comply with a collection the timely and efficient analyses of maintaining information, and disclosing of information subject to the Paperwork revenue requirements, rate of return and and providing information; adjust the Reduction Act (PRA) that does not price caps, and satisfaction surveys of existing ways to comply with any display a valid control number. customer installation and repair previously applicable instructions and Comments are requested concerning: (a) requests, and to provide an improved requirements; train personnel to be able Whether the proposed collection of basis for auditing and other oversight to respond to a collection of information is necessary for the proper functions and enhance the information; search data sources; performance of the functions of the Commission’s ability to quantify the complete and review the collection of Commission, including whether the effects of policy proposals. 39840 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

OMB Approval Number: 3060–0414. and Enforcement Act of 1989 conviction for certain enumerated Title: Terrain Shielding Policy. (‘‘FIRREA’’), Pub. L. 101–73, 103 Stat. violations of Title 18 of the United Type of Review: Reinstatement 183 (1989), and the Comprehensive States Code pertaining to financial without change, of a previously Thrift and Bank Fraud Prosecution and institution-related crimes precludes the approved collection for which approval Taxpayer Recovery Act of 1990 (‘‘Crime FDIC for ten years from considering or has expired. Control Act’’), Pub. L. 101–647, 104 consenting to an application filed by a Respondents: Business or other for- Stat. 4789 (1990) and as a result the two person convicted of such an offense, profit; not-for-profit institutions; state, existing statements of policy on this unless an exception is granted by the local, or tribal government. provision are outdated. The FDIC sentencing court. intends to adopt the new Statement of Number of Respondents: 300. Request for Comments. Estimated Time Per Response: 10 Policy and rescind the two existing hours. ones. The FDIC is seeking comments on The FDIC has received many inquiries Cost to Respondents: A consulting the proposed Statement of Policy by regarding what constitutes engineer would prepare the terrain issuing this Federal Register notice. ‘‘participation’’ and who is a ‘‘person.’’ shielding waiver request. This DATES: Comments must be received on This request for comments is intended consulting engineer is estimated to have or before September 22, 1997. to provide an opportunity to comment on the proposal. In general, the FDIC is an average salary of $125/hour. ADDRESSES: Send written comments to Therefore, 300 waiver requests x 9 hours Robert E. Feldman, Executive Secretary, interested in comments on the x @125/hour=$337,500. Attention: Comments/OES, Federal following: the scope of section 19, Total Annual Burden: 300 hours. Deposit Insurance Corporation, 550 17th including what constitutes Needs and Uses: The terrain shielding Street, N.W., Washington, D.C. 20429. ‘‘participation, directly or indirectly, in policy requires low power television Comments may be hand-delivered to the the conduct of the affairs,’’ what applicants to submit: detailed terrain guard station at the rear of the 17th comprises ‘‘own or control, directly or studies; or assent of potentially affected Street Building (located on F Street), on indirectly, any insured depository parties and graphic depiction of terrain business days between 7:00 a.m. and institution;’’ whether the current when intervening terrain prevents a low 5:00 p.m. (Fax number (202) 898–3838; interpretations of ‘‘dishonesty’’ or power television applicant from Internet address: [email protected]). ‘‘breach of trust’’ should be changed or interfering with other low power Comments may be inspected and clarified; criteria for determining what television or full-power television photocopied in the FDIC Public constitutes offenses involving dishonesty, money laundering or breach stations. The data are used by FCC staff Information Center, Room 100, 801 17th of trust; procedures for filing a section to determine if adequate protection can Street, NW, Washington, DC 20429, 19 application, including whether a be provided by terrain shielding and if between 9:00 a.m. and 4:30 p.m. on section 19 application should be filed waiver of rules is warranted. business days. where there is a de minimis crime (e.g., FOR FURTHER INFORMATION CONTACT: Federal Communications Commission. juvenile offense of theft) and what William F. Caton, Jesse G. Snyder, Assistant Director, would constitute a de minimis crime; Division of Supervision, (202) 898– Acting Secretary. what duty to inquire should be imposed 6915; or Nancy L. Alper, Counsel, Legal upon insured depository institutions, [FR Doc. 97–19429 Filed 7–23–97; 8:45 am] Division, (202) 736–0828, Federal BILLING CODE 6712±01±P including what due diligence should be Deposit Insurance Corporation, 550 17th undertaken by insured depository Street, N.W., Washington, D.C. 20429. institutions in determining what FEDERAL DEPOSIT INSURANCE SUPPLEMENTARY INFORMATION: persons come within the parameters of section 19; and the standards for CORPORATION Background granting consent to a section 19 Proposed Statement of Policy for The Financial Institutions Reform, application. Participation in the Conduct of the Recovery, and Enforcement Act of 1989 In particular, the FDIC would like Affairs of an Insured Depository and the Comprehensive Thrift and Bank comments on the following areas. First, Institution by Persons Who Have Been Fraud Prosecution and Taxpayer the FDIC is requesting comments on its Convicted or Have Entered Pretrial Recovery Act of 1990 significantly longstanding policy of requiring an Diversion Programs Pursuant to expanded the provisions of section 19 of insured depository institution to file a Section 19 of the Federal Deposit the Federal Deposit Insurance Act, 12 section 19 application on behalf of an Insurance Act U.S.C. 1829. As amended by FIRREA individual. The rationale for this policy and the Crime Control Act, section 19 has been that in determining whether to AGENCY: Federal Deposit Insurance now prohibits, without the prior approve a section 19 application, the Corporation (FDIC). consent of the FDIC, a ‘‘person’’ FDIC must assess whether the person’s ACTION: Proposed policy statement. convicted of a criminal offense participation in the insured institution involving dishonesty, breach of trust or constitutes a risk to the safety and SUMMARY: The FDIC seeks to update its money laundering, or who has agreed to soundness of the institution or whether statement of policy concerning the enter into a pretrial diversion or similar the person’s pariticipation in the participation in banking of a person program in connection with a institution threatens to impair public convicted of a crime of dishonesty or prosecution for such offense, from confidence in the institution or the breach of trust or money laundering or owning or controlling directly or banking system in general. In making its who has entered a pretrial diversion or indirectly an insured depository determination, the FDIC traditionally similar program in connection with the institution, becoming or continuing as has considered the position which the prosecution for such offense pursuant to an institution-affiliated party, or person will occupy in the institution, section 19 of the Federal Deposit otherwise participating, directly or the extent of the supervision of the Insurance Act, 12 U.S.C. 1829. Section indirectly, in the conduct of the affairs person which the institution provides, 19 was significantly expanded by the of an insured depository institution. the size and condition of the institution, Financial Institutions Reform, Recovery Further, section 19 now provides that and fidelity bond coverage of the person Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39841 by the institution’s insurance company. between the size of the parent holding the person will not be in a position to Where an individual is filing a section company and the insured depository constitute a risk to the institution. A 19 without the benefit of bank institution (does the insured institution person who will occupy clerical, sponsorship, the FDIC may not have represent one percent of the holding maintenance, or service positions, or in information concerning what institution company’s business or 75% of the some instances, administrative or teller may employ that individual when business) and where the insured positions, generally falls into this making its determination to approve the institution fits into the overall structural category. Such an application will not section 19 application. Further, the organization of the holding company’s normally require an extensive review. A FDIC may be put in the position of business. more detailed analysis will be processing section 19 applications filed The FDIC recognizes that Section 19 performed in the case of a person who by persons who either may have no and the proposed Policy Statement would be in a position to control or prospect of employment with a financial interpreting Section 19 would impose influence the conduct of the affairs of institution or have no sincere interest in burdens upon insured depository the insured institution. such employment but who are simply institutions and those parties dealing seeking certification from an agency of with the institutions. For example, A. Scope of Section 19 the federal government in order to gain insured institutions would be required employment elsewhere. In light of these to determine the criminal backgrounds (1) General issues, the FDIC is seeking comments of temporary employees hired through a Upon conviction or program entry specifically on the following: whether a temporary employment service. The without the prior written consent of the non-bank applicant may file a Section FDIC, however, believes that such FDIC, a person is automatically by 19 application and, if so, under what burdens are compelled by the statutory operation of law prohibited from: (i) language of section 19. The FDIC is circumstances should it be permitted; Becoming or continuing as an interested in legal analyses which will what the scope of the approval granted institution-affiliated party; (ii) owning in these situations should be; and how assist it in devising policies which will or controlling directly or indirectly an the FDIC should implement the new reduce the burden upon insured insured institution; or (iii) participating, procedures in a manner to promote the depository institutions which the FDIC directly or indirectly, in the conduct of safety and soundness of the insured believes is imposed by the statute. The institution. FDIC will use the comments and the the affairs of an insured institution. Another area for which the FDIC legal analyses received to develop a Additionally, such a person employed seeks comments is whether the final statement of policy. by an insured institution’s holding definitions of ‘‘own’’ or ‘‘control’’ are The Board of Directors of the Federal company or an affiliate, subsidiary or sufficient. Specifically, the FDIC has Deposit Insurance Corporation hereby joint venture of an insured institution or used the definition of ‘‘control’’ as set proposes to revise its Statement of of its holding company may be forth in the Change in Control Act, 12 Policy regarding applications under prohibited from continuing such CFR part 225. The FDIC is requesting section 19 of the FDI Act as follows: employment without the prior written consent of the FDIC where such person comments on whether the use of this FDIC Statement of Policy for Section 19 definition is appropriate or whether the is engaged in performing banking or definition should be expanded. Further, Section 19 of the Federal Deposit banking related activities on a regular the FDIC seeks comments on how to Insurance Act prohibits, without the and material basis. Person, for purposes distinguish ‘‘control’’ from the prior written consent of the Federal of section 19, means a natural person definition of ‘‘own’’ without leading to Deposit Insurance Corporation (FDIC), a and does not include a corporation, the absurd result of requiring a person convicted of any criminal firm, or other business entity. convicted person who owns one share offense involving dishonesty or breach or ten shares of stock in a large publicly of trust or money laundering (covered (2) Controlling Shareholder or Control traded insured institution from having criminal offenses), or who has agreed to Group Member enter into a pretrial diversion or similar to divest his or her ownership interest. A controlling shareholder or a A third area for which the FDIC is program (program entry) in connection member of a control group of an insured requesting comments concerns what with a prosecution for such offense from guidelines should be implemented to being an institution-affiliated party, institution may not without the prior determine whether independent owning or controlling directly or written consent of the FDIC engage in contractors come within the definitions indirectly an insured depository the following conduct: (i) Exercise any of indirect participation. For example, institution, or otherwise participating, voting rights in any shares of stock of some independent contractors provide directly or indirectly, in the conduct of the insured institution or its holding data processing services and have access the affairs (collectively, participating in company; (ii) own or control such to extremely sensitive bank data but the affairs) of an insured depository shares of stock so as to result in owning may perform such services offsite, while institution (insured institution). or controlling, directly or indirectly, the other contractors may be loan brokers Section 19 is a statutory bar to largest percentage of shares in the who bring loans to a bank but do not participation. The purpose of an insured institution; (iii) control such have any decision making authority application is to provide an opportunity shares of stock so as to result in about obtaining bank approval. A to an applicant to demonstrate that, controlling the management or policies related issue is whether officers and notwithstanding the bar, an individual of an insured institution; (iv) solicit, directors of a diversified holding is fit to participate in the conduct of the procure, transfer, attempt to transfer, company (that is, a company not solely affairs of an insured institution without vote, or attempt to vote any proxy, involved in financial institution posing a risk to the safety or soundness consent or authorization with respect to activities) should come within the of the insured institution or impairing any voting rights in any insured parameters of section 19, and if so, what public confidence therein. The burden institution; or (v) modify or set aside guidelines should be implemented to is upon the applicant to establish that any voting agreement previously make such a determination. Elements of the application warrants approval. An approved by the appropriate federal this issue may involve the relation application may be approved because banking agency. 39842 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

(3) Independent Contractor criminal statute or code. Acts of a person who has a conviction or In determining whether an dishonesty are further defined to program entry for a covered criminal application is required for an include, but are not limited to, such acts offense. In certain circumstances, an independent contractor’s participation which involve want of integrity, lack of insured institution may believe that in the conduct of the affairs of an probity, or involve a disposition to undertaking a minimal inquiry is not insured institution, an analysis is distort, defraud, cheat or to act necessary. The FDIC believes that at a required of the nature and scope of the deceitfully or fraudulently. minimum each insured institution person’s proposed activity. Participation Furthermore, dishonesty may also should establish a screening process by an independent contractor, or an include crimes which by Federal, state, which provides the insured institution employee of an independent contractor, or local criminal statutes and codes are with information concerning any would occur where either is performing defined as dishonest. Breach of trust is previous or present convictions or banking or banking related activities on defined to mean a wrongful act or use, program entries that a job applicant may behalf of, or for the benefit of, an misappropriation, omission with respect have. insured institution on a regular and to any property or fund which has been For example, a reasonable inquiry that material basis so as to be involved in the lawfully committed to a person in a would satisfy the requirements of ordinary course of operations of the fiduciary or official capacity, or the Section 19 and is consistent with institution or to be exercising control abuse of one’s official position or industry practices includes the over such operations. fiduciary relationship to engage in a following: (1) The completion of a wrongful act, use, or omission. written employment application which B. Criteria for Evaluating Conduct requires listing any and all previous Requiring a Section 19 Application (4) Drug Offenses convictions or program entries; (2) the The conviction of or program entry by All convictions for offenses fingerprinting and processing of any adult or minor treated as an adult concerning the illegal manufacture, sale, fingerprints of any person prior to his or by a court of competent jurisdiction will distribution of or trafficking in her participation in the affairs of an require an application to be submitted controlled substances shall require an insured institution; and (3) periodic to the FDIC for prior written consent application. A controlled substance inquiry to determine whether a person before engaging in banking activities. shall mean those so defined by federal is the subject of a conviction or program law whether the conviction is by a entry. This is not a requirement (1) Convictions federal or state court. Conviction of or imposed by the FDIC and alternatives There must be present a conviction of program entry by any adult or minor for may be employed. However, the FDIC record. Arrests, pending cases not use of a controlled substance does not will look at the circumstances of each brought to trial, acquittals, or any per se constitute crimes involving situation to determine if the inquiry is conviction which has been reversed on dishonesty or breach of trust or money reasonable. Upon notice of a previous or appeal are excluded from the laundering. However, the circumstances present conviction or program entry for requirements of section 19. A conviction of the offense may contain elements of a covered criminal offense, the insured which is being appealed will require an dishonesty or breach of trust or money institution must seek the consent of the application until or unless reversed. A laundering as the FDIC traditionally has FDIC prior to the person’s participation, conviction, which has been expunged or applied these terms to section 19. The or the person’s continued participation. for which a pardon has been granted, FDIC will determine, on a case-by-case When an application is required, requires an application. basis, whether an application is forms and instructions should be required and whether to withhold obtained from and the application filed (2) Pretrial Diversion or Similar Program consent from a person convicted of such with the appropriate FDIC Regional Program entry as determined by an offense. Director. The application must be filed federal, state or local law, may be formal by an insured institution on behalf of or informal in nature and is (5) Youthful Offender Adjudgments the person, except where the person is characterized by a suspension or Adjudgment by a court against a a shareholder seeking to exercise voting eventual dismissal of charges or person as a ‘‘youthful offender’’ under rights and the insured institution has criminal prosecution upon agreement by any youth offender law or adjudgment refused to file an application on his the accused to treatment, rehabilitation, as a ‘‘juvenile delinquent’’ by any court behalf. If a person currently employed restitution or other noncriminal or having jurisdiction over minors as by an insured institution is discovered nonpunitive alternatives. Included in defined by state law does not require an to have a conviction or program entry, this definition are programs where the application. Such adjudications are not upon request, the Regional Director may accused agrees to authorize a corporate considered convictions for criminal in his discretion grant a conditional entity under his control to plead guilty offenses. approval pending the processing of the and the accused may make some application. C. General Procedures To Be Followed monetary payment. By An Insured Institution and Person D. Criteria for Evaluation of Section 19 (3) Dishonesty or Breach of Trust With Respect To A Section 19 Applications A conviction or program entry Application The essential criteria in assessing an includes felonies, misdemeanors, and Section 19 imposes a duty upon the application for consent are: (1) Whether other criminal offenses as determined insured institution to make a reasonable the person has demonstrated his or her by federal, state or local law, wherein inquiry into whether a person has a fitness to participate in the conduct of dishonesty or breach of trust or money conviction or program entry with the affairs of an insured institution; and laundering is involved. Dishonesty is respect to a covered criminal offense. (2)(i) whether the affiliation, ownership, defined to mean to directly or indirectly Reasonable inquiry requires the insured control, or participation by the person cheat or defraud; or to cheat or defraud institution to take steps appropriate in the conduct of the affairs of the for monetary gain or its equivalent; or to under the circumstances, consistent insured institution may constitute a wrongfully take property lawfully with applicable law, to avoid hiring or threat to the safety or soundness of the belonging to another in violation of any permitting participation in its affairs by insured institution or the interest of its Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39843 depositors; or (ii) whether the does not automatically follow. In such FEDERAL MARITIME COMMISSION affiliation, ownership, control, or cases, another application must be participation may threaten to impair submitted to the FDIC to determine Request for Additional Information public confidence in the insured whether approval should be granted. Agreement No.: 202–011579. institution. By order of the Board of Directors. Important considerations in Title: The Inland Shipping Service determining the risk to the insured Dated at Washington, DC, this 24th day of Association. June 1997. institution are the following factors: (i) Parties: Federal Deposit Insurance Corporation. The conviction or program entry for a Crowley American Transport, Inc., Robert E. Feldman, covered criminal offense and the Dole Ocean Liner Express., Executive Secretary. specific nature of the offense involved King Ocean, [FR Doc. 97–19550 Filed 7–23–97; 8:45 am] and the circumstances surrounding it; A.P. Moller-Maersk Line, (ii) the evidence of rehabilitation since BILLING CODE 6714±01±P Sea-Land Service, Inc., the date of the conviction, parole, or suspension of sentence, including the Seaboard Marine, Ltd. reputation of the person since the Synopsis: Notice is hereby given that conviction, the age of the person at the FEDERAL ELECTION COMMISSION the Federal Maritime Commission, time of the conviction, and the time pursuant to section 6(d) of the Shipping elapsed since the conviction; (iii) the Sunshine Act Meeting Act of 1984 (46 U.S.C. app. 1701–1720), position to be held by the person in the has requested additional information AGENCY: insured institution and/or the type of Federal Election Commission. from the parties to the Agreement in participation to be engaged in directly DATE & TIME: Tuesday, July 29, 1997, at order to complete its required statutory or indirectly in the conduct of the affairs 10:00 a.m. review of the Agreement. This action of the insured institution by the person; extends the review period as provided PLACE: 999 E Street, N.W., Washington, (iv) the amount of influence and control in section 6(c) of the Act. D.C. the person will be able to exercise over By Order of the Federal Maritime the affairs and operations of the insured STATUS: This meeting will be closed to Commission. institution; (v) the ability of the public. Dated: July 18, 1997. management at the insured institution ITEMS TO BE DISCUSSED: Ronald D. Murphy, to supervise and control the activities of Assistant Secretary. the person; (vi) the level of ownership Compliance matters pursuant to 2 which the person will have at the U.S.C. § 437g. [FR Doc. 97–19443 Filed 7–23–97; 8:45 am] BILLING CODE 6730±01±M insured institution; (vii) the Audits conducted pursuant to 2 applicability of the insured institution’s U.S.C. § 437g, § 438(b), and Title 26 fidelity bond coverage to the person; U.S.C. (viii) the opinion or position of the FEDERAL MARITIME COMMISSION primary Federal and/or state regulatory Matters concerning participation in civil actions or proceedings or Ocean Freight Forwarder License; agency; and (ix) any additional factors Applicants in the specific case that appear relevant. arbitration. These criteria will also be applied by Internal personnel rules and Notice is hereby given that the the FDIC to determine whether the procedures or matters affecting a following applicants have filed with the interests of justice are served in seeking particular employee. Federal Maritime Commission an exception in the appropriate court DATE & TIME: Thursday, July 31, 1997 at applications for licenses as ocean freight when an application is made to 10:00 a.m. forwarders pursuant to section 19 of the terminate the ten-year ban prior to the Shipping Act of 1984 (46 U.S.C. app. PLACE: 999 E Street, N.W., Washington, expiration date for a person convicted 1718 and 46 CFR 510). D.C. (ninth floor). for the commission of, or the conspiracy Persons knowing of any reason why to commit, one of the enumerated STATUS: This meeting will be open to the any of the following applicants should violations of Title 18 set forth in section public. not receive a license are requested to 19. ITEMS TO BE DISCUSSED: contact the Office of Freight Forwarders, Approval orders in section 19 cases Federal Maritime Commission, will generally be subject to the Correction and Approval of Minutes. Washington, D.C. 20573. condition that the person shall be bonded to the same extent as others in Report of the Audit Division on Pete American Cargo Express, Inc., 435 similar positions. When deemed Wilson for President Committee Division Street, Elizabeth, NJ 07201, appropriate, approval orders may also (originally scheduled for the meeting of Officers: Christina Trizano, President, be made subject to the condition that July 17, 1997). Richard Trizano, Vice President the prior consent of the FDIC shall be Advisory Opinion 1997–10: Hoke for First USA R.E., Inc. d/b/a USA Trade, required for any proposed significant Congress Committee by counsel, Patrick 2172 Dupont Drive, Suite 3, Irvine, changes in the duties and/or J. Alcox. CA 92612, Officer: Nicholas responsibilities of the person. Such Administrative Matters. AbouFadel, Owner proposed changes may in the discretion CAP Worldwide, Inc., 3126 Airfreight of the Regional Director require a new PERSON TO CONTACT FOR INFORMATION: Road, Bldg. 2, Suite 200, Houston, TX application. In situations where a Mr. Ron Harris, Press Officer. 77032, Officers: Gayle Dendinger, person has been approved under a Telephone: (202) 219–4155. Leanne Moore, Vice President section 19 action for participation in Majorie W. Emmons, Gulf Shipping & Trading Group, 5881 one insured institution and Secretary of the Commission. Leesburg Pike, Suite #301, Falls subsequently seeks to participate in [FR Doc. 97–19612 Filed 7–22–97; 10:33 am] Church, VA 22041, M Ahmed M. another insured institution, approval BILLING CODE 6715±01±M Hossain, Sole Proprietor 39844 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Dated: July 18, 1997. FEDERAL RESERVE SYSTEM Board of Governors of the Federal Reserve Ronald D. Murphy, System, July 18, 1997. Assistant Secretary. Notice of Proposals To Engage in Jennifer J. Johnson, [FR Doc. 97–19423 Filed 7–23–97; 8:45 am] Permissible Nonbanking Activities or Deputy Secretary of the Board. BILLING CODE 6730±01±M To Acquire Companies That are [FR Doc. 97–19435 Filed 7-23-97; 8:45 am] Engaged in Permissible Nonbanking BILLING CODE 6210-01-F Activities

FEDERAL RESERVE SYSTEM The companies listed in this notice DEPARTMENT OF HEALTH AND have given notice under section 4 of the HUMAN SERVICES Formations of, Acquisitions by, and Bank Holding Company Act (12 U.S.C. Mergers of Bank Holding Companies 1843) (BHC Act) and Regulation Office of the Secretary Y, (12 CFR Part 225) to engage de novo, The companies listed in this notice or to acquire or control voting securities Notice of Interest Rate on Overdue have applied to the Board for approval, Debts pursuant to the Bank Holding Company or assets of a company that engages Act of 1956 (12 U.S.C. 1841 et seq.) either directly or through a subsidiary or Section 30.13 of the Department of (BHC Act), Regulation Y (12 CFR Part other company, in a nonbanking activity Health and Human Services’ claims 225), and all other applicable statutes that is listed in § 225.28 of Regulation collection regulations (45 CFR part 30) and regulations to become a bank Y (12 CFR 225.28) or that the Board has provides that the Secretary shall charge holding company and/or to acquire the determined by Order to be closely an annual rate of interest as fixed by the assets or the ownership of, control of, or related to banking and permissible for Secretary of the Treasury after taking the power to vote shares of a bank or bank holding companies. Unless into consideration private consumer bank holding company and all of the otherwise noted, these activities will be rates of interest prevailing on the date banks and nonbanking companies conducted throughout the United States. that HHS becomes entitled to recovery. owned by the bank holding company, Each notice is available for inspection The rate generally cannot be lower than including the companies listed below. at the Federal Reserve Bank indicated. the Department of the Treasury’s current The applications listed below, as well The notice also will be available for value of funds rate or the applicable rate as other related filings required by the inspection at the offices of the Board of determined from the ‘‘Schedule of Board, are available for immediate Governors. Interested persons may Certified Interest Rates with Range of Maturities.’’ This rate may be revised inspection at the Federal Reserve Bank express their views in writing on the quarterly by the Secretary of the indicated. The application also will be question whether the proposal complies Treasury and shall be published available for inspection at the offices of with the standards of section 4 of the quarterly by the Department of Health the Board of Governors. Interested BHC Act. persons may express their views in and Human Services in the Federal writing on the standards enumerated in Unless otherwise noted, comments Register. the BHC Act (12 U.S.C. 1842(c)). If the regarding the applications must be The Secretary of the Treasury has proposal also involves the acquisition of received at the Reserve Bank indicated certified a rate of 133⁄4% for the quarter a nonbanking company, the review also or the offices of the Board of Governors ended June 30, 1997. This interest rate includes whether the acquisition of the not later than August 7, 1997. will remain in effect until such time as nonbanking company complies with the A. Federal Reserve Bank of the Secretary of the Treasury notifies standards in section 4 of the BHC Act. Richmond (A. Linwood Gill III, HHS of any change. Unless otherwise noted, nonbanking Assistant Vice President) 701 East Byrd Dated: July 15, 1997. activities will be conducted throughout Street, Richmond, Virginia 23261-4528: George Strader, the United States. Deputy Assistant Secretary, Finance. Unless otherwise noted, comments 1. BB&T Corporation, Winston-Salem, [FR Doc. 97–19491 Filed 7–23–97; 8:45 am] regarding each of these applications North Carolina; to acquire Virginia First must be received at the Reserve Bank Financial Corporation, Petersburg, BILLING CODE 4150±04±M indicated or the offices of the Board of Virginia, and thereby indirectly acquire Governors not later than August 18, Virginia First Savings Bank, F.S.B., Petersburg, Virginia, and thereby engage DEPARTMENT OF HEALTH AND 1997. HUMAN SERVICES A. Federal Reserve Bank of in mortgage banking, and operating a Richmond (A. Linwood Gill III, savings and loan association, pursuant National Committee on Vital and Health Assistant Vice President) 701 East Byrd to §§ 225.28(b)(1) and (4) of the Board’s Statistics: Publication of Street, Richmond, Virginia 23261-4528: Regulation Y. Comments on this Recommendations Relating to HIPAA 1. Wachovia Corporation, Winston- application must be received by August Health Data Standards Salem, North Carolina; to acquire 100 18, 1997. percent of the voting shares of Jefferson B. Federal Reserve Bank of Chicago AGENCY: Office of the Secretary. Bankshares, Inc., Charlottesville, (Philip Jackson, Applications Officer) ACTION: Notice. Virginia, and thereby indirectly acquire 230 South LaSalle Street, Chicago, SUMMARY: Section 1172(f) Subtitle F of Jefferson National Bank, Charlottesville, Illinois 60690-1413: Virginia. Pub. L. 104–191, the Health Insurance 1. First National Bancshares, Inc., Portability and Accountability Act of Board of Governors of the Federal Reserve East Lansing, Michigan; to engage de 1966, requires the Secretary of Health System, July 18, 1997. novo through its subsidiary, Finance and Human Services to publish in the Jennifer J. Johnson, Company of North America, LLC, East Federal Register any recommendation Deputy Secretary of the Board. Lansing, Michigan, in making and of the National Committee on Vital and [FR Doc. 97–19436 Filed 7-23-97; 8:45 am] servicing loans, pursuant to § Health Statistics (NCVHS) regarding the BILLING CODE 6210-01-F 225.28(b)(1) of the Board’s Regulation Y. adoption of a data standard under that Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39845 law. Accordingly, the full text of the February 1998. It also asks you to provide Secretary of Health and Human Services, 200 initial set of NCVHS recommendations detailed recommendations to Congress with Independence Avenue, SW, Washington, relating to HIPAA data standards is respect to the privacy of individually DC 20201. reproduced below. The text of the identifiable health information by next Dear Secretary Shalala: On behalf of the recommendations is also available on August. The NCVHS is very pleased to National Committee on Vital and Health provide support, advice and consultation to Statistics (NCVHS), I am pleased to forward the NCVHS website: http:// you in this effort. to you our recommendations relating to some aspe.os.dhhs.gov/ncvhs/. The executive To assist in carrying out our advisory of the health data standards being proposed summary of the NCVHS responsibilities to you, the NCVHS, in for adoption in accordance with the recommendations to HHS relating to collaboration with HHS, has held a number administrative simplification provisions of health information privacy and of public hearings to obtain input and advice the Health Insurance Portability and confidentiality is also reproduced from throughout the health industry, State Accountability Act of 1996 (HIPAA). As you below. The full text of the NCVHS government, and the research and public are aware, HIPAA outlines a new approach privacy report is available on the health communities. The first of the health to the adoption of data standards to support NCVHS website. data standards to be proposed for adoption is electronic data interchange in the health the unique identifier for health providers, industry in the United States, in a framework SUPPLEMENTARY INFORMATION: Under the which HHS has had under development for that protects the privacy and security of Administrative Simplification some time and which we understand is health information. The law assigns to you provisions of the Health Insurance planned for Federal Register publication in the responsibility for adopting such Portability and Accountability Act of July for review and comment. standards by February 1998. It also asks you 1966 (HIPAA), the Secretary of Health The NCVHS has been briefed on the to provide detailed recommendations to and Human Services is required to proposal for the National Provider Identifier Congress with respect to the privacy of adopt standards for specified (NPI), and we offer our strong support. The individually identifiable health information administrative health care transactions proposal includes an eight digit by next August. The NCVHS is very pleased to enable information to be exchanged alphanumeric identifier that would be to provide support, advice, and consultation electronically. The law requires that, assigned to all providers, along with essential to you in this effort. within 24 months of adoption, all health identifying information. The identifier To assist in carrying out our advisory plans, health care clearinghouses and includes a check digit and contains no responsibilities to you, the NCVHS, in embedded intelligence. We recommend that collaboration with HHS, has held a number health care providers who choose to HHS proceed to publish the proposal for of public hearings to obtain input and advice conduct these transactions public comment without delay. While public from throughout the health industry, State electronically must comply with these comments are likely on the technical details government, and the research and public standards. Further, the law requires the of the number and the optimal approach to health communities. We have heard a great Secretary to submit to Congress detailed enumeration, we have found broad support deal of input from the private and public recommendations on standards with for the proposal in general and urge you to sectors, and have synthesized that input into respect to the privacy of individually proceed. the following recommendations regarding the identifiable health information. In The Committee did identify one concern administrative simplification standards. that we bring to your attention. The NPI, like preparing these reports and Administrative Transaction Messages recommendations, the Secretary is all of the subsequent standards to be adopted, should be conceived of as a generic industry- The NCVHS recommends that you adopt required to consult with the NCVHS, the wide standard and it should not contain any the following standards for transmission of statutory public advisory body to HHS requirements that are specific to individual administrative and financial transactions. In on health data, privacy and health programs—government programs or addition, we recommend that you specify the information policy. On June 27, 1997, otherwise. It is our understanding that acceptable versions and implementation the Committee submitted a set of initial information about HHS Inspector General guides for these standards at the time the recommendations relating to health data sanctions against providers is being final rules are issued. standards. In accordance with the law, considered as part of the NPI system. We believe that this approach undermines Health Claims * or Equivalent Encounter the full text of the recommendations is Information published below. The executive the principle of a generic industry-wide Pharmacy—NCPDP Telecommunications summary of the NCVHS privacy report standard and makes the successful implementation of the first standard Standard Format also is reproduced below. needlessly difficult and controversial. While Institutional—ASC X12N Health Care Claim Recommendations Relating to the we are supportive of HHS efforts to prevent (837) National Provider Identifier and detect health care fraud and abuse, we Professional—ASC X12N Health Care Claim strongly recommend against the inclusion of (837) The Honorable Donna E. Shalala, sanctions information as part of the NPI Dental—ADA Implementation Guide for ASC Secretary of Health and Human Services, system itself. The OIG provider sanctions X12N 837 200 Independence Avenue, SW., information is already public, and it can be * The X12N standard for claims includes Washington, DC 20201. further publicized in other ways. We do agree standard information for coordination of Dear Secretary Shalala: On behalf of the that the use of the NPI to facilitate access to benefits. National Committee on Vital and Health health care fraud and abuse information in Statistics (NCVHS), I am pleased to forward other data systems is both appropriate and Enrollment and Disenrollment in a Health to you our recommendations relating to the consistent with the intent of the statue. Plan first of the health data standards being We appreciate your national leadership in ASC X12N Benefit Enrollment and proposed for adoption in accordance with the health data standards, electronic data Maintenance (834) administrative simplification provisions of interchange and privacy, and we are Eligibility for a Health Plan the Health Insurance Portability and privileged to work with you on these issues. Accountability Act of 1996 (HIPAA). HIPAA Sincerely, ASC X12N Health Care Eligibility/Benefit outlines a new approach to the adoption of Don E. Detmer, M.D., Inquiry (270) data standards to support electronic data ASC X12N Health Care Eligibility/Benefit interchange in the health industry in the Chairman. Information (271) United States, in a framework that protects Recommendations Relating to Health Care Payment and Remittance Advice the privacy and security of health Transaction Standards information. The law assigns to you the ASC X12N Health Care Claim Payment/ responsibility for adopting such standards by The Honorable Donna E. Shalala, Advice (835) 39846 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Health Care Premium Payments individual identifier may follow, after the spectrum, including a number of ASC X12N Consolidated Service Invoice/ Committee has had opportunity to review representatives from the privacy and patient Statement (811) and discuss the commissioned report on this advocacy community. ASC X12N Payment Order/Remittance topic. The NCVHS recommends that you and the Advice (820) The Committee recommends that diagnosis Administration assign the highest priority to and procedure coding continue to use the the development of a strong position on First Report of Injury current code sets because replacements will health privacy. The NCVHS also ASC X12N Report of Injury, Illness or not be ready for implementation by the year recommends that the 105th Congress enact a Incident (148) 2000. ICD–9–CM diagnosis codes, ICD–9–CM health privacy law before it adjourns in the Volume 3 procedure codes, and HCPCS fall of 1998. Health Claim Status (including CPT and CDT) procedure codes We appreciate your leadership on health ASC X12N Health Care Claim Status Request should be adopted as the standards to be information privacy, and offer our continuing (276) implemented by the year 2000. Annual assistance in addressing this national issue. ASC X12N Health Care Claim Status updates to ICD–9–CM and HCPCS should Sincerely, Notification (277) continue to follow the schedule currently Don E. Detmer, M.D., used. In addition, we recommend that you Referral Certification and Authorization Chairman. advise industry to build and modify their ASC X12N Health Care Service Review information systems to accommodate a Enclosure Information (278) change to ICD–10–CM diagnostic coding in Health Privacy and Confidentiality The adoption of a standard for claim the year 2001 and a major change to a unified Recommendations of the National attachments is not due until next year, so we approach to coding procedures (yet to be will make a timely recommendation for that defined) by the year 2002 or 2003. We Committee on Vital and Health transaction at a later time. recommend that you identify and implement Statistics Although we recommend that institutional an approach for procedure coding that Executive Summary and professional claims should move to the addresses deficiencies in the current systems, ANSI X12N 837 standard, we recommend a including issues of specificity and The Health –Insurance Portability and strategy to ease the transition for providers aggregation, unnecessary redundancy, and Accountability Act requires the Secretary of and payers that currently rely on the older incomplete coverage of health care providers Health and Human Services to consult with NSF or UB92 flat-file formats for electronic and settings. The committee will continue its the National Committee on Vital and Health claims submissions. We have learned at the leadership and participation in this Statistics when developing recommendations hearings that the financial health of providers endeavor. on standards for the protection of the privacy is extremely sensitive to the timing of of individually identifiable health payments for claims submitted. As a result, Security Standards information. This report is the Committee’s there is some fear in the industry that Security standards will be recommended advice to the Secretary. pushing this transition to the 837 too rapidly by the Committee after hearings are held on The Committee finds that the United States could lead to financial failures if payments this topic. These hearings are currently is in the midst of a health privacy crisis. were delayed because of technical problems scheduled for August. Patients must feel comfortable in during the conversion. We recommend a We appreciate your national leadership in communicating sensitive personal transition strategy whereby willing trading health data standards, electronic data information. Delays in passing privacy partners, by mutual agreement, could interchange and privacy, and we are legislation will allow additional and continue to use existing flat-file mechanisms privileged to work with you on these issues. uncontrolled uses of health information to (NSF and UB92) to exchange claim Sincerely, develop. transactions until February, 2002. Strict The Committee recommends that the Don E. Detmer, M.D., adherence to section 1175 of HIPAA (which Secretary and the Administration assign the forbids plans from refusing standard Chairman. highest priority to the development of a transactions or delaying payment on the Recommendations Relating to Privacy strong position on health privacy that grounds that a transaction is standard) will provides the highest possible level of be expected and should be enforced. The Honorable Donna E. Shalala, protection for the privacy rights of patients. Secretary of Health and Human Services, 200 The Committee also unanimously Transaction Data Content Independence Avenue S.W., Washington, recommends that the 105th Congress enact a The Committee has a long history of D.C. 20201. health privacy law before it adjourns in the national leadership on health data content Dear Secretary Shalala: On behalf of the fall of 1998. issues. We will review the information now National Committee on Vital and Health Health privacy legislation presents only being collected by HHS in the master data Statistics (NCVHS), I am pleased to forward hard choices and difficult tradeoffs. The dictionary of transaction data elements and, to you our recommendations relating to importance of trust in the provider-patient once that is available, will formulate our health information privacy. The Health relationship must be preserved. Health recommendations. The Committee’s Insurance Portability and Accountability Act records are used to improve the quality of recommendations on data content also will of 1996 (HIPAA) requires you to provide health care, reduce the costs of health care, include specific recommendations for a detailed recommendations to the Congress expand the availability of health care, protect process for changing, maintaining, and with respect to the privacy of individually the public health, and assure public updating the standard data content identifiable health information by August accountability of the health care system. specifications for the above administrative 1997. The law also directs you to consult Privacy competes with all of these objectives, transactions. As part of our ongoing with the NCVHS in developing your and it is not easy to strike a fair balance responsibilities, we will continue to advise recommendations. The enclosed report is between privacy and these other worthy you on the need for new data elements, as submitted in support of this responsibility. goals. The Committee has no doubt, however, well as deletions and modifications to In developing our recommendations to you that a privacy bill can be passed that balances current data elements, for health care for health information privacy, the NCVHS the interests of patients with the needs of the transactions. Subcommittee on Privacy and Confidentiality health care system. At this time, we would like to make held six full days of public hearings during The Committee calls for a law that will specific recommendations about several data which we heard from 43 witnesses from the require creators and users of identifiable elements. In a previous communication, we industry, privacy community, State health care information to establish a full endorsed HCFA’s NPI proposal for a unique government, and public health and research range of fair information practices, including identifier for providers. The Committee communities. We also benefited from two a patient’s right of access to records, right to would like to endorse the HCFA proposed additional days of public hearings in San seek amendment of records, and right to be Payer ID as the national standard for the Francisco where we heard from an additional informed about users of health information. payer identifier. A recommendation on the 40 witnesses from across the health industry The law must also impose restrictions on Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39847 disclosure and use of the information, require Place: Agency for Health Care Policy and Status: Open to the public, limited only by adequate security, impose sanctions for Research, 2101 E. Jefferson Street, Suite 400, the space available. The meeting room violations, and increase reliance on non- Rockville, MD 20852. accommodates approximately 50 people. identifiable information whenever possible. Open August 1, 1997, 9:30 a.m. to 9:40 a.m. Background: Under a Memorandum of The Committee strongly supports the use Closed for remainder of meeting. Understanding (MOU) signed in December of health records for health research, subject Purpose: This Panel is charged with 1990 with DOE and replaced by an MOU to independent review of research protocols conducting the initial review of grant signed in 1996, the Department of Health and and other procedural protections for patients. applications proposing analytical and Human Services (HHS) was given the The Committee also strongly supports the use theoretical research on costs, quality, access, responsibility and resources for conducting of health records for public health purposes, and efficiency of the delivery of health analytic epidemiologic investigations of subject to substantive and procedural barriers services for the research grant program residents of communities in the vicinity of commensurate with the importance of the administered by the Agency for Health Care DOE facilities, workers at DOE facilities, and public health functions. The Committee Policy and Research (AHCPR). other persons potentially exposed to believes that patients need strong substantive Agenda: The open session of the meeting radiation or to potential hazards from non- and procedural protections if their health on August 1, from 9:30 a.m. to 9:40 a.m., will nuclear energy production use. HHS records are to be disclosed to law be devoted to a business meeting covering delegated program responsibility to CDC. enforcement officials. administrative matters. During the closed In addition, an MOU was signed in October The Committee strongly supports limiting session, the panel will be reviewing and 1990 and renewed in November 1992 use and disclosure of identifiable information discussing grant applications dealing with between ATSDR and DOE. The MOU to the minimum amount necessary to health services research issues. In accordance delineates the responsibilities and accomplish the purpose. The Committee also with the Federal Advisory Committee Act, procedures for ATSDR’s public health strongly believes that when identifiable section 10(d) of 5 U.S.C., Appendix 2 and 5 activities at DOE sites required under health information is made available for non- U.S.C., 552b(c)(6), the Administrator, sections 104, 105, 107, and 120 of the health uses, patients deserve a strong AHCPR, has made a formal determination Comprehensive Environmental Response, assurance that the data will not be used to that this latter session will be closed because Compensation, and Liability Act (CERCLA or harm them. the discussions are likely to reveal personal ‘‘Superfund’’). These activities include health Contact Person for More Information: information concerning individuals consultations and public health assessments Information about the Committee as associated with the grant applications. This at DOE sites listed on, or proposed for, the information is exempt from mandatory well as the text of the HIPAA Superfund National Priorities List and at disclosure. sites that are the subject of petitions from the recommendations is available on the Anyone wishing to obtain a roster of NCVHS website or from James Scanlon, public; and other health-related activities members or other relevant information such as epidemiologic studies, health NCVHS Executive Staff Director, Office should contact Carmen Johnson, Agency for surveillance, exposure and disease registries, of the Assistant Secretary for Planning Health Care Policy and Research, Suite 400, health education, substance-specific applied and Evaluation, DHHS, Room 440–D, 2101 East Jefferson Street, Rockville, research, emergency response, and Hubert H. Humphrey Building, 200 Maryland 20852, Telephone (301) 594–1449 preparation of toxicological profiles. Independence Avenue S.W., x1613. Purpose: This subcommittee is charged Washington, D.C. 20201, telephone Agenda items for this meeting are subject with providing advice and recommendations to change as priorities dictate. (202) 690–7100, or Marjorie S. to the Director, CDC, and the Administrator, Greenberg, Executive Secretary, NCVHS, Dated: July 17, 1997. ATSDR, regarding community, American NCHS, Room 1100, Presidential John Eisenberg, Indian Tribes, and labor concerns pertaining Building, 6525 Belcrest Road, Administrator. to CDC’s and ATSDR’s public health [FR Doc. 97–19483 Filed 7–23–97; 8:45 am] activities and research at this DOE site. The Hyattsville, Maryland 20782, telephone purpose of this meeting is to provide a forum (301) 436–7050. BILLING CODE 4160±90±M for community, American Indian Tribal, and Dated: July 18, 1997. labor interaction and serve as a vehicle for James Scanlon, community concern to be expressed as DEPARTMENT OF HEALTH AND advice and recommendations to CDC and Director, Division of Data Policy, Office of HUMAN SERVICES ATSDR. the Assistant Secretary for Planning and Matters To Be Discussed: Agenda items Evaluation. Centers for Disease Control and include: presentations from the National [FR Doc. 97–19492 Filed 7–23–97; 8:45 am] Prevention Center for Environmental Health (NCEH) BILLING CODE±4151±04±M regarding current activities; the National Citizens Advisory Committee on Public Institute for Occupational Safety and Health Health Service Activities and Research and ATSDR will provide updates on the DEPARTMENT OF HEALTH AND at Department of Energy (DOE) Sites: progress of current studies, and an overview HUMAN SERVICES Fernald Health Effects Subcommittee of FHES mission and activities will be part of the evening session. Agency For Health Care Policy and In accordance with section 10(a)(2) of Agenda items are subject to change as Research the Federal Advisory Committee Act priorities dictate. (Pub. L. 92–463), the Agency for Toxic Contact Persons For More Information: Steven A. Adams or Nadine Dickerson, Notice of Health Care Policy and Substances and Disease Registry Research Special Emphasis Panel Radiation Studies Branch, Division of (ATSDR) and the Centers for Disease Environmental Hazards and Health, NCEH, Meeting Control and Prevention (CDC) announce CDC, 4770 Buford Highway, NE (M/S F–35), In accordance with section 10(a) of the following meeting. Atlanta, Georgia 30341–3724, telephone 770/ the Federal Advisory Committee Act (5 Name: Citizens Advisory Committee on 488–7040, FAX 770/488–7044. U.S.C., Appendix 2), announcement is Public Health Service Activities and Dated: July 18, 1997. made of the following special emphasis Research at DOE Sites: Fernald Health Effects John C. Burckhardt, panel scheduled to meet during the Subcommittee. Times and Dates: 1 p.m.–9 p.m., August Acting Director, Management Analysis and month of August 1997: 20, 1997; 8:30 a.m.–5 p.m., August 21, 1997. Services Office, Centers for Disease Control Name: Health Care Policy and Research Place: The Plantation, 9660 Dry Fork Road, and Prevention (CDC). Special Emphasis Panel Harrison, Ohio 45020, telephone 513/367– [FR Doc. 97–19467 Filed 7–23–97; 8:45 am] Date and Time: August 1, 1997, 9:30 a.m. 5610. BILLING CODE 4163±18±P 39848 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF HEALTH AND labor interaction and serve as a vehicle for Supporting Regulations in 42 CFR HUMAN SERVICES community concern to be expressed as 409.40-.50, 410.36, 410.170, 411.4-.15, advice and recommendations to CDC and 421.100, 424.22, 484.18 and 489.21; Centers for Disease Control and ATSDR. Form No.: HCFA–485 (OMB# 0938– Prevention Matters To Be Discussed: Agenda items include: presentations from the National 0357); Use: The ‘‘Home Health Services Under Hospital Insurance’’ is a Citizens Advisory Committee on Public Center for Environmental Health (NCEH) regarding current activities and the National certification and plan of care used by Health Service Activities and Research Institute for Occupational Safety and Health the Regional Home Health at Department of Energy (DOE) Sites: and ATSDR will provide updates on the Intermediaries (RHHIs) to ensure Savannah River Site Health Effects progress of current studies. reimbursement is made to Home Health Subcommittee Agenda items are subject to change as agencies only for services that are priorities dictate. covered and medically necessary under In accordance with section 10(a)(2) of Contact Persons For More Information: the Federal Advisory Committee Act Paul G. Renard or Nadine Dickerson, Part A and Part B. The attending (Pub. L. 92–463), the Agency for Toxic Radiation Studies Branch, Division of physician must sign the HCFA–485 Substances and Disease Registry Environmental Hazards and Health Effects, (OMB 0938–0357) authorizing the home (ATSDR) and the Centers for Disease NCEH, CDC, 4770 Buford Highway, NE, (F– services for a period not to exceed 62 Control and Prevention (CDC), 35), Atlanta, Georgia 30341–3724, telephone days; Frequency: Other (initial claim 770/488–7040, FAX 770/488–7044. announce the following meeting. and every second claim thereafter); Dated: July 18, 1997. Affected Public: Business or other for- Name: Citizens Advisory Committee on John C. Burckhardt, profit; Number of Respondents: 9,044; Public Health Service Activities and Research at DOE Sites: Savannah River Site Acting Director, Management Analysis and Total Annual Responses: 10,080,000; Health Effects Subcommittee (SRS). Services Office, Centers for Disease Control Total Annual Hours: 2,520,000. Times And Dates: 8 a.m.–5 p.m., August and Prevention (CDC). 2. Type of Information Collection 14, 1997; 8:30 a.m.–12 noon, August 15, [FR Doc. 97–19468 Filed 7–23–97; 8:45 am] Request: Reinstatement, without change, 1997. BILLING CODE 4163±18±P of a previously approved collection for Place: Sheraton Charleston Hotel, 170 which approval has expired; Title of Lockwood Drive, Charleston, South Carolina Information Collection: Medicare/ 29403, telephone 803/723–3000. DEPARTMENT OF HEALTH AND Medicaid Disclosure of Ownership and Status: Open to the public, limited only by HUMAN SERVICES the space available. The meeting room Control Interest Statement and Supporting Regulations in 42 CFR accommodates approximately 50 people. Health Care Financing Administration Background: Under a Memorandum of 420.200-.206, 455.100-.106 and 45 CFR Understanding (MOU) signed in December [Document Identifier: HCFA±485 and HCFA± 228.72-.73; Form No.: HCFA–1513 1990 with DOE and replaced by an MOU 1513] (OMB# 0938–0086); Use: The Medicare/ signed in 1996, the Department of Health and Medicaid Disclosure of Ownership and Human Services (HHS) was given the Agency Information Collection Control Interest Statement must be used responsibility and resources for conducting Activities: Proposed Collection; by State agencies and HCFA regional analytic epidemiologic investigations of Comment Request offices to determine whether providers residents of communities in the vicinity of DOE facilities, workers at DOE facilities, and AGENCY: Health Care Financing meet the eligibility requirements for other persons potentially exposed to Administration, HHS. Titles 18 and 19 (Medicare and radiation or to potential hazards from non- In compliance with the requirement Medicaid) and for grants under Titles V nuclear energy production use. HHS has of section 3506(c)(2)(A) of the and XX. Review of ownership and delegated program responsibility to CDC. Paperwork Reduction Act of 1995, the control is particularly necessary to In addition, an MOU was signed in October Health Care Financing Administration prohibit ownership and control for 1990 and renewed in November 1992 (HCFA), Department of Health and individuals excluded under Federal between ATSDR and DOE. The MOU Human Services, is publishing the fraud statutes; Frequency: Other (every delineates the responsibilities and 1 to 3 years); Affected Public: Business procedures for ATSDR’s public health following summaries of proposed activities at DOE sites required under collections for public comment. or other for-profit, and Not-for-profit sections 104, 105, 107, and 120 of the Interested persons are invited to send institutions; Number of Respondents: Comprehensive Environmental Response, comments regarding this burden 92,000; Total Annual Responses: Compensation, and Liability Act (CERCLA or estimate or any other aspect of this 92,000; Total Annual Hours: 46,000. ‘‘Superfund’’). These activities include health collection of information, including any To obtain copies of the supporting consultations and public health assessments of the following subjects: (1) The statement and any related forms for the at DOE sites listed on, or proposed for, the necessity and utility of the proposed proposed paperwork collections Superfund National Priorities List and at referenced above, E-mail your request, sites that are the subject of petitions from the information collection for the proper public; and other health-related activities performance of the agency’s functions; including your address and phone such as epidemiologic studies, health (2) the accuracy of the estimated number, to [email protected], or call surveillance, exposure and disease registries, burden; (3) ways to enhance the quality, the Reports Clearance Office on (410) health education, substance-specific applied utility, and clarity of the information to 786–1326. Written comments and research, emergency response, and be collected; and (4) the use of recommendations for the proposed preparation of toxicological profiles. automated collection techniques or information collections must be mailed Purpose: This subcommittee is charged other forms of information technology to within 60 days of this notice directly to with providing advice and recommendations minimize the information collection the HCFA Paperwork Clearance Officer to the Director, CDC, and the Administrator, designated at the following address: ATSDR, regarding community, American burden. Indian Tribes, and labor concerns pertaining 1. Type of Information Collection HCFA, Office of Information Services, to CDC’s and ATSDR’s public health Request: Extension of a currently Information Technology Investment activities and research at this DOE site. approved collection; Title of Management Group, Division of HCFA Activities shall focus on providing a forum Information Collection: Home Health Enterprise Standards, Attention: Louis for community, American Indian Tribal, and Services Under Hospital Insurance and Blank, Room C2–26–17, 7500 Security Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39849

Boulevard, Baltimore, Maryland 21244– practical utility; (b) the accuracy of the Health Service agrees to pay the total 1850. agency’s estimate of the burden of the school tuition, required fees and a Dated: July 18, 1997. proposed collection of information; (c) stipend for living expenses. In ways to enhance the quality, utility, and John P. Burke III, exchange, the scholarship recipient clarity of the information to be agrees to provide full-time clinical HCFA Reports Clearance Officer collected; and (d) ways to minimize the services at a site in a federally Division of HCFA Enterprise Standards, burden of the collection of information designated Health Professions Shortage Health Care Financing Administration. on respondents, including through the Areas (HPSA) of the United States. NHH [FR Doc. 97–19516 Filed 7–23–97; 8:45 am] use of automated collection techniques scholarship recipients must be native BILLING CODE 4120±03±P or other forms of information Hawaiians and are assigned to sites in technology. Hawaii. The minimum service obligation is 2 years. DEPARTMENT OF HEALTH AND Proposed Project Once scholarship recipients have HUMAN SERVICES Deferment Request Form for NHSC and completed their academic requirements, Health Resources and Services NHH Scholarship Programs (OMB NO. the law requires that selected types of Administration 0915–0179) Extension, No Change recipients be allowed to defer their We are requesting an extension of the service obligation in order to complete Agency Information Collection OMB clearance for the Deferment an approved internship, residency, or Activities: Proposed Collection: Request Form and associated reporting other advanced clinical training. Comment Request requirements for the National Health The Deferment Request Form Service Corps (NHSC) Scholarship provides the information necessary for In compliance with the requirement Program and the Native Hawaiian considering the period and type of for opportunity for public comment on Health (NHH) Scholarship Program. The training for which deferment of the proposed data collection projects NHSC/NHH Scholarship Programs are service obligation will be approved for (section 3506(c)(2)(A) of Title 44, United authorized by Sections 338A and physicians and dentists. States Code, as amended by the Sections 338K of the Public Health In addition, these programs have two Paperwork Reduction Act of 1995, Pub. Service (PHS) Act. The requirements for other reporting requirements for which L. 104–13), the Health Resources and obligated service, found in Section 338C no forms have been developed, Services Administration (HRSA) will of the PHS Act, include provisions for including: (1) Individuals who are in a publish periodic summaries of proposed deferment of the service obligation deferment status are required to submit projects being developed for submission under certain circumstances (42 USC requests in writing for modifications to to OMB under the Paperwork Reduction 254m(b)(5)). the deferment (e.g., extension of Act of 1995. To request more Under these programs, allopathic deferment or change of residency information on the proposed project or physicians, osteopathic physicians, programs); and (2) Dentists, who can to obtain a copy of the data collection dentists, nurse practitioners, nurse either begin their service obligation plans, call the HRSA Reports Clearance midwives, physician assistants, and, if immediately after graduation or can be Officer on (301) 443–1129. needed by the NHSC or NHH program, deferred for up to three years, are Comments are invited on: (a) Whether students of other health professions required and to notify the program in the proposed collection of information (including mental health professionals) writing of their intent to request is necessary for the proper performance are offered the opportunity to enter into deferment. of the functions of the agency, including a contractual agreement with the The estimated burden on respondents whether the information shall have Secretary under which the Public is as follows:

Number of re- Hours per re- Total burden Type of report spondents sponse hours

Deferment Form ...... 600 .5 300 Requests for Change of Deferment and Letters of Intent ...... 100 .5 50

Total ...... 700 ...... 350

Send comments to Patricia Royston, DEPARTMENT OF HEALTH AND Board. This action is being taken in HRSA Reports Clearance Officer, Room HUMAN SERVICES accordance with Title 5, U.S.C., Section 14–36, Parklawn Building, 5600 Fishers 4313 (c) (4), which requires that Lane, Rockville, MD 20857. Written Health Resources and Services members of the performance review comments should be received within 60 Administration boards be appointed in a manner to days of this Notice. ensure consistency, stability, and Notice of Listing of Members of the objectivity in performance appraisals, Dated: July 18, 1997. Health Resources and Services and requires that notice of the Jane Harrison, Administration's Senior Executive appointment of an individual to serve as Acting Director, Division of Policy Review Service Performance Review Board a member be published in the Federal and Coordination. (PRB) Register. [FR Doc. 97–19481 Filed 7–23–97; 8:45 am] The following persons will serve on BILLING CODE 4160±15±P The Health Resources and Services the HRSA PRB, which oversees the Administration (HRSA) announces the evaluation of performance appraisals of persons who will serve on the Health HRSA’s Senior Executive Service (SES) Resources and Services members: Thomas G. Morford, Administration’s Performance Review Chairperson, William A. Robinson, Neil 39850 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

H. Sampson, Ileana C. Herrell, Vivian DEPARTMENT OF HEALTH AND amended (5 U.S.C. Appendix 2), notice W. Pinn. HUMAN SERVICES is hereby given of the following For further information about the National Institute of Diabetes and HRSA PRB, contact the Office of Human National Institutes of Health Digestive and Kidney Diseases Special Resources and Development, 5600 Emphasis Panel meetings: Fishers Lane, Room 14A43, Rockville, National Heart, Lung, and Blood Name of SEP: The Molecular Basis of Maryland 20857, telephone (301) 443– Institute; Notice of Meeting of the Secretin Receptor Regulation. 2479. Sleep Disorders Research Advisory Date: July 22, 1997. Board and Its Education and Sleep Dated: July 18, 1997. Time: 4:00 p.m. Research Subcommittees Place: Room 6as–25E, Natcher Claude Earl Fox, Building, NIH, (Telephone Conference Acting Administrator. Pursuant to Public Law 92–463, notice is hereby given of the meetings of Call). [FR Doc. 97–19482 Filed 7–23–97; 8:45 am] Contact Person: Dr. Sharee Pepper, the Sleep Disorders Research Advisory BILLING CODE 4160±15±P Ph.D., Scientific Review Administrator, Board, and its Education and Sleep Review Branch, NIDDK, Natcher Research Subcommittees, National Building, Room 6as–25E, National Center on Sleep Disorders Research, DEPARTMENT OF HEALTH AND Institutes of Health, Bethesda, Maryland National Heart, Lung, and Blood HUMAN SERVICES 20892–6600, Phone: (301) 594–7798. Institute, September 9–10, 1997. These Purpose/Agenda: To review and National Institutes of Health meetings will be held at the National evaluate grant applications. Institutes of Health, Natcher Building This notice is being published less National Center for Research 45, Conference Rooms D & F1, and 2, Resources; Notice of Closed Meeting than 15 days prior to the above meeting respectively, 45 Center Drive, Bethesda, due to the urgent need to meet timing Pursuant to Section 10(d) of the Maryland 20892. limitations imposed by the review and All meetings will be open to the Federal Advisory Committee Act, as funding cycle. public. The Education and Sleep amended (5 U.S.C. Appendix 2), notice These meetings will be closed in Research Subcommittees will meet is hereby given of the following accordance with the provisions set forth concurrently on September 9 from 1:00 National Center for Research Resources in secs. 552b(c)(4) and 552b(c)(6), Title p.m. to 5:00 p.m. to discuss sleep Special Emphasis Panel (SEP) meeting: 5 U.S.C. Applications and/or proposals research and education related priorities Name of SEP: General Clinical and the discussions could reveal and programs, and the Advisory Board Research Centers. confidential trade secrets or commercial will meet on September 10 from 9:00 Date: August 1, 1997. property such as patentable material a.m. to adjournment to discuss Time: 7:30 a.m. and personal information concerning recommendations on the Place: University Plaza Hotel, Board individuals associated with the implementation and evaluation of the Room, 400 N.E. 45th Street, Seattle, WA applications and/or proposals, the National Center on Sleep Disorders 98105. disclosure of which would constitute a Research programs. Attendance by the Contact Person: Dr. Bela J. Gulyas, clearly unwarranted invasion of public will be limited to space available. Scientific Review Administrator, 6705 personal privacy. Rockledge Drive, MSC 7965, Room Individuals who plan to attend and 6018, Bethesda, MD 20892–7965, (301) need special assistance, such as sign (Catalog of Federal Domestic Assistance 435–0811. language interpretation or other Program No. 93.847–849, Diabetes, Endocrine reasonable accommodations, should and Metabolic Diseases; Digestive Diseases Purpose/Agenda: To evaluate and and Nutrition; and Kidney Diseases, Urology review one grant application. contact the Executive Secretary in and Hematology Research, National Institutes This meeting will be closed in advance of the meeting. of Health) Dr. James P. Kiley, Executive accordance with the provisions set forth Dated: July 17, 1997. Secretary and Director, National Center in secs. 552b(c)(4) and 552b(c)(6), Title LaVerne Y. Stringfield, 5, U.S.C. Applications and/or proposals on Sleep Disorders Research, NHLBI, Committee Management Officer, NIH. and the discussions could reveal Two Rockledge Center, Suite 7024, 6701 confidential trade secrets or commercial Rockledge Drive, MSC 7920, Bethesda, [FR Doc. 97–19413 Filed 7–23–97; 8:45 am] property such as patentable material Maryland 20892–7920, (301) 435–0199, BILLING CODE 4140±01±M and personal information concerning will furnish meeting and member information. individuals associated with the DEPARTMENT OF HEALTH AND applications and/or proposals, the Dated: July 18, 1997. HUMAN SERVICES disclosure of which would constitute a LaVerne Y. Stringfield, clearly unwarranted invasion of Committee Management Officer, NIH. National Institutes of Health personal privacy. [FR Doc. 97–19422 Filed 7–23–97; 8:45 am] This notice is being published less National Institute of Mental Health; than 15 days prior to the above meeting BILLING CODE 4140±01±M Notice of Closed Meeting due to the urgent need to meet time Pursuant to Section 10(d) of the limitations imposed by the review and DEPARTMENT OF HEALTH AND funding cycle. Federal Advisory Committee Act, as HUMAN SERVICES amended (5 U.S.C. Appendix 2), notice (Catalog of Federal Domestic Assistance is hereby given of the following meeting Program No. 93.306, Laboratory Animal National Institutes of Health Science and Primate Research) of the National Institute of Mental National Institute of Diabetes and Health Special Emphasis Panel: Dated: July 16, 1997. Agenda/Purpose: To review and LaVerne Y. Stringfield, Digestive and Kidney Diseases; Notice of Closed Meetings evaluate grant applications. Committee Management Officer, NIH. Committee Name: National Institute [FR Doc. 97–19418 Filed 7–23–97; 8:45 am] Pursuant to Section 10(d) of the of Mental Health Special Emphasis BILLING CODE 4140±01±M Federal Advisory Committee Act, as Panel. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39851

Date: July 24, 1997. Name of SEP: National Institute of (Catalog of Federal Domestic Assistance Time: 9 a.m. Dental Research Special Emphasis Program No. 93.121, Oral Diseases and Place: Parklawn Building, Room 9C– Panel—Review of R03s(97–47). Disorders Research) 26, 5600 Fishers Lane, Rockville, MD Dates: July 31, 1997. Dated: July 18, 1997. 20857. Time: 1:00 p.m. LaVerne Y. Stringfield, Contact Person: Mary Sue Krause, Place: Natcher Building, Rm. 4AN– Committee Management Officer, NIH. Parklawn Building, Room 9C–26, 5600 44F, National Institutes of Health, [FR Doc. 97–19417 Filed 7–23–97; 8:45 am] Bethesda, MD 20892 (teleconference). Fishers Lane, Rockville, MD 20857, BILLING CODE 4140±01±M Telephone: (301) 443–6470. Contact Person: Dr. Yong Shin, The meeting will be closed in Scientific Review Administrator, 4500 accordance with the provisions set forth Center Drive, Natcher Building, Room DEPARTMENT OF HEALTH AND in secs. 552b(c)(4) and 552b(c)(6), Title 4AN–44F, Bethesda, MD 20892, (301) HUMAN SERVICES 5 U.S.C. Applications and/or proposals 594–2372. and the discussions could reveal Purpose/Agenda: To evaluate and National Institutes of Health confidential trade secrets or commercial review grant applications and/or property such as patentable material contract proposals. National Institute of Allergy and and personal information concerning Name of SEP: National Institute of Infectious Diseases; Notice of Closed individuals associated with the Dental Research Special Emphasis Meeting applications and/or proposals, the Panel—Review of R01(97–60). disclosure of which would constitute a Dates: July 31, 1997. Pursuant to Section 10(d) of the clearly unwarranted invasion of Time: 2:00 p.m. Federal Advisory Committee Act, as personal privacy. Place: Natcher Building, Rm. 4AN– amended (5 U.S.C. Appendix 2), notice This notice is being published less 44F, National Institutes of Health, is hereby given of the following than fifteen days prior to the meeting Bethesda, MD 20892 (teleconference). National Institute of Allergy and due to the urgent need to meet timing Contact Person: Dr. Yong Shin, Infectious Diseases Special Emphasis limitations imposed by the review and Scientific Review Administrator, 4500 Panel (SEP) meeting: funding cycle. Center Drive, Natcher Building, Room Name of SEP: Innovation Grant (Catalog of Federal Domestic Assistance 4AN–44F, Bethesda, MD 20892, (301) Program for Approaches in HIV Vaccine Program Numbers 93.242, 93.281, 93.282) 594–2372. Research. Dated: July 17, 1997. Purpose/Agenda: To evaluate and Date: August 1, 1997. LaVerne Y. Stringfield, review grant applications and/or contract proposals. Time: 8:30 a.m. to Adjournment. Committee Management Officer, NIH. [FR Doc. 97–19415 Filed 7–23–97; 8:45 am] Name of SEP: National Institute of Place: Bethesda Ramada Hotel, Ambassador I, 8400 Wisconsin Avenue, BILLING CODE 4140±01±M Dental Research Special Emphasis Panel—Review of R01(97–61). Bethesda, MD 20814, (301) 654–1000. Dates: August 5, 1997. Contact Person: Hortencia Hornbeak, DEPARTMENT OF HEALTH AND Time: 5:00 p.m. Scientific Review Adm., 6003 Executive HUMAN SERVICES Place: Natcher Building, Rm. 4AN– Boulevard, Solar Bldg., Room 4C19, 44F, National Institutes of Health, Bethesda, MD 20892, (301) 496–2550. National Institutes of Health Bethesda, MD 20892 (teleconference). Purpose/Agenda: To evaluate grant Contact Person: Dr. George Hausch, National Institute of Dental Research; applications. Chief, Grants Review Branch, 4500 Notice of Closed Meetings Center Drive, Natcher Building, Room The meeting will be closed in Pursuant to Section 10(d) of the 4AN–44F, Bethesda, MD 20892, (301) accordance with the provisions set forth Federal Advisory Committee Act, as 594–2372. in secs. 552b(c)(4) and 552b(c)(6), Title amended (5 U.S.C. Appendix 2), notice Purpose/Agenda: To evaluate and 5, U.S.C. Applications and/or proposals is hereby given of the following review grant applications and/or and the discussions could reveal National Institute of Dental Research contract proposals. confidential trade secrets or commercial Special Emphasis Panel (SEP) meetings: This notice is being published less property such as patentable material and personal information concerning Name of SEP: National Institute of than fifteen days prior to the above individuals associated with the Dental Research Special Emphasis meetings due to the urgent need to meet applications and/or proposals, the Panel—Review of R03s(97–42). timing limitations imposed by the review and funding cycle. disclosure of which would constitute a Dates: July 29, 1997. The meetings will be closed in clearly unwarranted invasion of Time: 9:30 a.m. accordance with the provisions set forth personal privacy. Place: Natcher Building, Rm. 4AN– in secs. 552b(c)(4) and 552b(c)(6), Title (Catalog of Federal Domestic Assistance 44F, National Institutes of Health, 5, U.S.C. Applications and/or proposals Programs Nos. 93.855, Immunology, Allergic Bethesda, MD 20892 (teleconference). and the discussions could reveal and Immunologic Diseases Research; 93.856, Contact Person: Dr. Yong Shin, confidential trade secrets or commercial Microbiology and Infectious Diseases Scientific Review Administrator, 4500 property such as patentable material Research, National Institutes of Health) Center Drive, Natcher Building, Room and personal information concerning Dated: July 16, 1997. 4AN–44F, Bethesda, MD 20892, (301) individuals associated with the 594–2372. applications and/or proposals, the LaVerne Y. Stringfield, Purpose/Agenda: To evaluate and disclosure of which would constitute a Committee Management Officer, NIH. review grant applications and/or clearly unwarranted invasion of [FR Doc. 97–19420 Filed 7–23–97; 8:45 am] contract proposals. personal privacy. BILLING CODE 4140±01±M 39852 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF HEALTH AND Conference Room, Bethesda, Maryland Name of SEP: Chemistry and Related HUMAN SERVICES 20894. Sciences. Contact: Peter Clepper, Acting Scientific Date: August 12, 1997. National Institutes of Health Review Administrator, EP, 8600 Rockville Time: 1:00 p.m. Pike, Bldg. 38A, Rm. 5S–506, Bethesda, Place: NIH, Rockledge 2, Room 5154, National Institute of Mental Health; Maryland 20894, 301/496–4621. Telephone Conference. Notice of Closed Meeting Purpose/Agenda: To review Research Contact Person: Dr. Alec Liacouras, Grant applications. Scientific Review Administrator, 6701 This is being published less than 15 days Pursuant to Section 10(d) of the Rockledge Drive, Room 5154, Bethesda, prior to the above meeting due to the urgent Federal Advisory Committee Act, as Maryland 20892, (301) 435–1740. amended (5 U.S.C. Appendix 2), notice need to meet timing limitations imposed by the grant review and funding cycle. Name of SEP: Behavioral and is hereby given of the following meeting The meeting will be closed in accordance Neurosciences. of the National Institutes of Mental with the provisions set forth in sec. Date: August 14, 1997. Health Special Emphasis Panel: 552b(c)(4) and 552b(c)(6), Title 5, U.S.C. Time: 8:30 a.m. Agenda/Purpose: To review and evaluate Applications and/or proposals and the Place: Governor’s House Hotel, grant applications. discussions could reveal confidential trade Washington, DC. Committee Name: National Institute of secrets or commercial property such as Contact Person: Dr. Kenneth Newrock, Mental Health Special Emphasis Panel. patentable material and personal information Scientific Review Administrator, 6701 Date: July 25, 1997. concerning individuals associated with the Rockledge Drive, Room 5186, Bethesda, Time: 2:15 p.m. applications and/or proposals, the disclosure Maryland 20892, (301) 435–1252. of which would constitute a clearly Place: Parklawn Building, Room 9–101, unwarranted invasion of personal privacy. Name of SEP: Microbiological and 5600 Fishers Lane, Rockville, MD 20857. Immunological Sciences. (Catalog of Federal Domestic Assistance Contact Person: Maureen L. Eister, Date: August 15, 1997. Parklawn Building, Room 9–101, 5600 Program No. 93–879—Medical Library Assistance, National Institutes of Health) Time: 1:00 p.m. Fishers Lane, Rockville, MD 20857, Place: NIH, Rockledge 2, Room 4178, Dated: July 18, 1997. Telephone: 301, 443–3936. Telephone Conference. The meeting will be closed in accordance LaVerne Y. Stringfield, Contact Person: Dr. Jean Hickman, with the provisions set forth in secs. Committee Management Officer, NLM. Scientific Review Administrator, 6701 552b(c)(4) and 552(c)(6), Title 5 U.S.C. [FR Doc. 97–19414 Filed 7–23–97; 8:45 am] Rockledge Drive, Room 4178, Bethesda, Applications and/or proposals and the Maryland 20892, (301) 435–1146. discussions could reveal confidential trade BILLING CODE 4140±01±M The meetings will be closed in accordance secrets or commercial property such as patentable material and personal information with the provisions set forth in secs. concerning individuals associated with the DEPARTMENT OF HEALTH AND 552b(c)(4) and 552b(c)(6), Title 5, U.S.C. applications and/or proposals, the disclosure HUMAN SERVICES Applications and/or proposals and the of which would constitute a clearly discussions could reveal confidential trade unwarranted invasion of personal privacy. National Institutes of Health secrets or commercial property such as This notice is being published less than patentable material and personal information fifteen days prior to the meeting due to the Division of Research Grants; Notice of concerning individuals associated with the urgent need to meet timing limitations Closed Meetings applications and/or proposals, the disclosure imposed by the review and funding cycle. of which would constitute a clearly Pursuant to Section 10(d) of the unwarranted invasion of personal privacy. (Catalog of Federal Domestic Assistance Federal Advisory Committee Act, as Program Numbers 93.242, 93.281, 93.282) amended (5 U.S.C. Appendix 2), notice (Catalog of Federal Domestic Assistance Dated: July 21, 1997. is hereby given of the following Division Program Nos. 93.306, 93.333, 93.337, 93.393– 93.396, 93.837–93.844, 93.846–93.878, LaVerne Y. Stringfield, of Research Grants Special Emphasis Committee Management Officer, NIH. 93.892, 93.893, National Institutes of Health, Panel (SEP) meetings: HHS) [FR Doc. 97–19583 Filed 7–21–97; 4:35 pm] Purpose/Agenda: To review individual Dated: July 18, 1997. BILLING CODE 4140±01±M grant applications. LaVerne Y. Stringfield, Name of SEP: Clinical Sciences. Date: July 28, 1997. Committee Management Officer, NIH. DEPARTMENT OF HEALTH AND Time: 10:00 a.m. [FR Doc. 97–19416 Filed 7–23–97; 8:45 am] HUMAN SERVICES Place: NIH, Rockledge 2, Room 4134, BILLING CODE 4140±01±M Telephone Conference. National Institutes of Health Contact Person: Dr. Clark Lum, Scientific Review Administrator, 6701 Rockledge Drive, DEPARTMENT OF HEALTH AND Room 4134, Bethesda, Maryland 20892, (301) National Library of Medicine; Notice of HUMAN SERVICES Closed Meeting 435–1195. This notice is being published less than 15 Pursuant to Section 10(d) of the days prior to the above meeting due to the National Institutes of Health Federal Advisory Committee Act, as urgent need to meet timing limitations Division of Research Grants; Notice of amended (5 U.S.C., Appendix 2), notice imposed by the grant review and funding Closed Meetings is hereby given of the following cycle. National Library of Medicine Special Name of SEP: Biological and Physiological Pursuant to Section 10(d) of the Emphasis Panel (SEP) meeting. Sciences. Date: August 8, 1997. Federal Advisory Committee Act, as Name of SEP: National Library of Medicine Time: 3:00 p.m. amended (5 U.S.C. Appendix 2), notice Special Emphasis Panel. Place: NIH, Rockledge 2, Room 4146, is hereby given of the following Division Date: July 24–25, 1997. Telephone Conference. of Research Grants Special Emphasis Closed: 8:30 a.m. to adjournment. Contact Person: Dr. Martin Padarathsingh, Panel (SEP) meetings: Place: National Library of Medicine, 8600 Scientific Review Administrator, 6701 Rockville Pike, Learning Center Conference Rockledge Drive, Room 4146, Bethesda, Purpose/Agenda: To review individual Room and Building 38A, Fifth-floor Maryland 20892, (301) 435–1717. grant applications. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39853

Name of SEP: Biological and Physiological Dated: July 18, 1997. of the SAMHSA Special Emphasis Panel Sciences. LaVerne Y. Stringfield, II in July and August. Date: July 24, 1997. Committee Management Officer, NIH. Time: 11:00 a.m. A summary of the meetings may be Place: NIH, Rockledge 2, Room 4150, [FR Doc. 97–19419 Filed 7–23–97; 8:45 am] obtained from: Ms. Dee Herman, Telephone Conference. BILLING CODE 4140±01±M Committee Management Liaison, Contact Person: Dr. Marcia Litwack, SAMHSA Office of Extramural Scientific Review Administrator, 6701 Activities Review, 5600 Fishers Lane, DEPARTMENT OF HEALTH AND Rockledge Drive, Room 4150, Bethesda, Room 17–89, Rockville, Maryland Maryland 20892, (301) 435–1719. HUMAN SERVICES 20857. Telephone: 301–443–7390. Name of SEP: Biological and Physiological Sciences. National Institutes of Health Substantive program information may Date: July 30, 1997. be obtained from the individuals named Notice of Closed Meeting; Board of Time: 11:00 a.m. as Contacts for the meetings listed Scientific Counselors, National Human Place: NIH, Rockledge 2, Room 4150, below. Telephone Conference. Genome Research Institute These meetings will include the Contact Person: Dr. Marcia Litwack, Pursuant to Public Law 92–463, sec. Scientific Review Administrator, 6701 review, discussion and evaluation of 10(d), notice is hereby given of the Rockledge Drive, Room 4150, Bethesda, individual contract proposals. The meeting of the Board of Scientific Maryland 20892, (301) 435–1719. discussions could reveal personal Counselors, National Human Genome Name of SEP: Biological and Physiological information concerning individuals Research Institute, August 18–20, 1997, Sciences. associated with the proposals and Date: July 30, 1997. Airlie Center, Airlie Virginia. In accordance with the provisions set confidential and financial information Time: 2:00 p.m. about an individual’s proposal. The Place: NIH, Rockledge 2, Room 4204, forth in sec. 552b(c)(6), Title 5, U.S.C., discussions may also reveal information Telephone Conference. the meeting will be closed to the public Contact Person: Dr. Calbert Laing, for the review, discussion and about procurement activities exempt Scientific Review Administrator, 6701 evaluation of individual intramural from disclosure by statute and trade Rockledge Drive, Room 4204, Bethesda, programs and projects. These programs secrets and commercial or financial Maryland 20892, (301) 435–1221. and projects and the discussions could information obtained from a person and This notice is being published less than 15 reveal confidential trade secrets or privileged and confidential. days prior to the above meetings due to the commercial property such as patentable Accordingly, the meetings are urgent need to meet timing limitations material, and personal information concerned with matters exempt from imposed by the grant review and funding concerning individuals associated with mandatory disclosure in Title 5 U.S.C. cycle. the programs and projects, the Name of SEP: Clinical Sciences. 552b(c) (3), (4), and (6) and 5 U.S.C. Date: August 8, 1997. disclosure of which would constitute a App. 2, § 10(d). Time: 12:30 p.m. clearly unwarranted invasion of personal privacy. The July 28 meeting notice is being Place: NIH, Rockledge 2, Room 4128, published less than 15 days prior to the Telephone Conference. Ms. Claire Rodgaard, Assistant to the meeting due to the urgent need to meet Contact Person: Dr. Anshumali Chaudhari, Scientific Director, Division of Scientific Review Administrator, 6701 Intramural Research, National Human timing limitations imposed by the Rockledge Drive, Room 4128, Bethesda, Genome Research Institute, National review and funding cycle. Maryland 20892, (301) 435–1210. Institutes of Health, Building 49, Room Committee Name: SAMHSA Special Name of SEP: Biological and Physiological 4A22, Bethesda, Maryland 20892, (301) Emphasis Panel II (SEP II). Sciences. 402–2023, will furnish the meeting Meeting Date: July 28, 1997 Date: August 28, 1997. agenda, rosters of Committee members (Teleconference). Time: 1:00 p.m. and consultants, and substantive Place: Parklawn Building, 5600 Fishers Place: NIH, Rockledge 2, Room 4150, program information upon request. Lane, Room 15–94, Rockville, Md 20857. Telephone Conference. Contact Person: Dr. Marcia Litwack, (Catalogue of Federal Domestic Assistance Closed: July 28, 1997 2:00 p.m.–4:00 p.m. Scientific Review Administrator, 6701 Program No. 93.172, Human Genome Contact: George T. Lewis, 17–89, Parklawn Rockledge Drive, Room 4150, Bethesda, Research) Building, Telephone: 301–443–4783 and Maryland 20892, (301) 435–1719. Dated: July 17, 1997. FAX: 301–443–3437. The meetings will be closed in accordance LaVerne Y. Stringfield, Committee Name: SAMHSA Special with the provisions set forth in secs. Committee Management Officer, NIH. Emphasis Panel II (SEP II). 552b(c)(4) and 552b(c)(6), Title 5, U.S.C. [FR Doc. 97–19421 Filed 7–23–97; 8:45 am] Meeting Date: August 8, 1997. Applications and/or proposals and the Place: Westin Hotel, 2350 M Street, NW, discussions could reveal confidential trade BILLING CODE 4140±01±M Mayfair Court Conference Room, secrets or commercial property such as patentable material and personal information Washington, DC 20037–1490. concerning individuals associated with the DEPARTMENT OF HEALTH AND Closed: August 8, 1997 9:00 a.m.–5:00 p.m. applications and/or proposals, the disclosure HUMAN SERVICES Contact: Constance M. Burtoff, 17–89, of which would constitute a clearly Parklawn Building, Telephone: 301–443– unwarranted invasion of personal privacy. Substance Abuse and Mental Health 2437 and FAX: 301–443–3437. Services Administration (SAMHSA) (Catalog of Federal Domestic Assistance Program Nos. 93.306, 93.333, 93.337, 93.393– Notice of Meetings 93.396, 93.837–93.844, 93.846–93.878, 93.892, 93.893, National Institutes of Health, Pursuant to Pub. L. 92–463, notice is HHS) hereby given of the following meetings 39854 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Dated: July 18, 1997. Applicant: Dallas World Aquarium, Applicant: Ernest G. Stallman, Salem, Jeri Lipov, Dallas, TX, PRT–032012 WI, PRT–832299 Committee Management Officer, Substance The applicant requests a permit to The applicant requests a permit to Abuse and Mental Health Services import one male and one female import the sport-hunted trophy of one Administration. Orinoco crocodile (Crocodylus male bontebok (Damaliscus pygargus [FR Doc. 97–19484 Filed 7–23–97; 8:45 am] intermedius) confiscated and captive- dorcas) culled from a captive herd BILLING CODE 4162±20±P held by the government of Venezuela, maintained under the management for the purpose of enhancement of the program of the Republic of South Africa, survival of the species through for the purpose of enhancement of the conservation education. survival of the species. DEPARTMENT OF THE INTERIOR Applicant: Dallas World Aquarium, Written data or comments should be Dallas, TX PRT–832013 submitted to the Director, U.S. Fish and Fish and Wildlife Service The applicant requests a permit to Wildlife Service, Office of Management Notice of Receipt of Applications for import four arrau turtles (Posocnemis Authority, 4401 North Fairfax Drive, Permit expansa) confiscated and captive-held Room 430, Arlington, Virginia 22203 by the government of Venezuela, for the and must be received by the Director The following applicants have purpose of enhancement of the survival within 30 days of the date of this applied for a permit to conduct certain of the species through conservation publication. activities with endangered species. This education. The public is invited to comment on notice is provided pursuant to Section Applicant: Wildlife Conservation the following application(s) for permits 10(c) of the Endangered Species Act of Society, Bronx, NY, PRT–829679 to conduct certain activities with marine 1973, as amended (16 U.S.C. 1531, et The applicant requests an amendment mammals. The application(s) was/were seq.): to their application initially published submitted to satisfy requirements of the Applicant: Brian McMillan, Canyon May 23, 1997, for a permit to export Marine Mammal Protection Act of 1972, Country, CA, PRT–831938 captive-born lion-tailed macaques as amended (16 U.S.C. 1361 et seq.) and The applicant requests a permit to sell (Macaca silenus) to the Apenheul the regulations governing marine in foreign commerce one captive-bred Primate Park, The Netherlands, to mammals (50 CFR 18). tiger (Panthera tigris) to The Animals include an additional captive-born The following applicants have each Actors Agency, London, England, for animal for the purpose of enhancement requested a permit to import a sport- the purpose of enhancement of the of the survival of the species through hunted polar bear (Ursus maritimus) survival of the species through captive-breeding and conservation from the Northwest Territories, Canada conservation education. education. for personal use.

Applicant/address Population PRT-

Maurice Sterner,Spring Grove, PA ...... Baffin Bay ...... 832102 Gary F. Bogner, N. Muskegon, MI ...... Lancaster Sound ...... 832218

Written data or comments, requests Dated: July 18, 1997. Applicant/Ad- Population PRT± for copies of the complete applications, Karen Anderson, dress or requests for a public hearing on any Acting Chief, Branch of Permits, Office of Robert Lancaster Sound ... 826733 of these applications for marine Management Authority. Kuykenda- mammal permits should be sent to the [FR Doc. 97–19479 Filed 7–23–97; 8:45 am] ll, Austin, U.S. Fish and Wildlife Service, Office of BILLING CODE 4310±55±P TX. Management Authority, 4401 N. Fairfax Craig Northern Beaufort .. 826747 Drive, Room 430, Arlington, Virginia Leerberg, 22203, telephone 703/358–2104 or fax DEPARTMENT OF THE INTERIOR Colorado 703/358–2281 and must be received Springs, CO. within 30 days of the date of publication Fish and Wildlife Service of this notice. Anyone requesting a hearing should give specific reasons Issuance of Permits for Marine On April 24, 1997, a notice was why a hearing would be appropriate. Mammals published in the Federal Register, Vol. The holding of such hearing is at the 62, No. 79, Page 20020, that an On March 26, 1997, a notice was discretion of the Director. application had been filed with the Fish published in the Federal Register, Vol. and Wildlife Service by the following Documents and other information 62, No. 58, Page 14438, that an individuals for a permit to import a submitted with all of the applications application had been filed with the Fish sport-hunted polar bear (Ursus listed in this notice are available for and Wildlife Service by the following maritimus) from Canada for personal review, subject to the requirements of individuals for a permit to import a use. the Privacy Act and Freedom of sport-hunted polar bear (Ursus Information Act, by any party who maritimus) from Canada for personal Applicant/Ad- dress Population PRT± submits a written request for a copy of use. such documents within 30 days of the Jerome Foxe Basin ...... 827652 date of publication of this notice at the Miner, above address. Grand Rapids, MN. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39855

Applicant/Ad- Documents and other information ‘‘Siletz Tribe’’). This ordinance may be dress Population PRT± submitted for these applications are referred to as the ‘‘Siletz Liquor Control available for review by any party who Ordinance.’’ Floyd R. Davis Strait ...... 827650 submits a written request to the U.S. Section 14.02 Purpose and Authority Hardesty, Fish and Wildlife Service, Office of Tulsa, OK. Management Authority, 4401 North The purpose of this ordinance is to Lee Gatzke, Southern Beaufort 827521 regulate and control the possession and Tulare, SD. Fairfax Drive, Rm 430, Arlington, Virginia 22203. Phone (703) 358–2104 sale of liquor within Siletz Indian or Fax (703) 358–2281. country, as specifically authorized and On April 30, 1997, a notice was approved by the General Council Dated: July 18, 1997. published in the Federal Register, Vol. referendum under Article VII, Section 2 Karen Anderson, 62, No. 83, Page 23479, that an of the Siletz Tribal Constitution. The application had been filed with the Fish Acting Chief, Branch of Permits, Office of authority for enactment of this Management Authority. and Wildlife Service by the following Ordinance is as follows: individual for a permit to import a [FR Doc. 97–19480 Filed 7–23–97; 8:45 am] (a) The Act of August 15, 1953 (Public sport-hunted polar bear (Ursus BILLING CODE 4310±55±P Law 83–277, 67 Stat. 586, codified as 18 maritimus) from Canada for personal U.S.C. § 1161) which provides a federal use. statutory basis for the Siletz Tribe to DEPARTMENT OF THE INTERIOR regulate the activities of the Applicant/Ad- dress Population PRT± Bureau of Indian Affairs manufacture, distribution, sale and consumption of liquor on Indian lands George P. Lancaster Sound ... 828293 Confederated Tribes of Siletz Indians under the jurisdiction of the Mann, of Oregon Alcohol Beverage Control Confederated Tribes of Siletz Indians of Opelika, Law Oregon, so long as such ordinance is in AL. conformance with the laws of the State AGENCY: Bureau of Indian Affairs, of Oregon; and On May 8, 1997, a notice was Interior. (b) Article IV, Section 1, of the published in the Federal Register, Vol. ACTION: Notice. Constitution of the Confederated Tribes 62, No. 89, Page 25201, that an of Siletz Indians of Oregon, which vests SUMMARY: This Notice is published in application had been filed with the Fish accordance with authority delegated by the Tribal Council with legislative and and Wildlife Service by the following the Secretary of the Interior to the administrative authority, and otherwise individual for a permit to import a Assistant Secretary—Indian Affairs by empowers the Tribal Council to act for sport-hunted polar bear (Ursus 209 DM8, and in accordance with the the Confederated Tribes of Siletz maritimus) from Canada for personal Act of August 15, 1953, 67 Stat. 586, 18 Indians of Oregon. use. U.S.C. § 1161. I certify that Resolutions Part II numbered 96–110, 97–064 and 97–211, Applicant/Ad- Definitions dress Population PRT± Liquor Ordinance of the Confederated Tribes of Siletz Indians, was duly Section 14.03 George P. Baffin Bay ...... 828295 adopted by the Siletz Tribal Council on (a) As used in this Ordinance, the Mann, April 20, 1996 and February 16, 1997. following words shall have the Opelika, The Ordinance provides for the AL. following meanings unless the context regulation of the activities of the clearly requires otherwise: manufacture, distribution, sale, and On May 23, 1997, a notice was (1) Alcohol means that substance consumption of liquor on reservation known as ethyl alcohol, hydrated oxide published in the Federal Register, Vol. lands subject to the jurisdiction of the 62, No. 100, Page 28493, that an of ethyl, or spirit of wine which is Confederated Tribes of Siletz Indians of commonly produced by the application had been filed with the Fish Oregon. and Wildlife Service by the following fermentation or distillation of grain, DATES: This Ordinance is effective July individual for a permit to import a starch, molasses, or sugar, or other 24, 1997. sport-hunted polar bear (Ursus substances including all dilutions of FOR FURTHER INFORMATION CONTACT: maritimus) from Canada for personal this substance. (2) Alcoholic Beverage is synonymous use. Bettie Rushing, Office of Tribal Services, 1849 C Street NW, MS 4641–MIB, with the term ‘‘Liquor’’ as defined in Applicant/Ad- Washington, D.C. 20240–4001; paragraph 6 of this section. dress Population PRT± telephone (202) 208-4400. (3) Bar means any establishment with SUPPLEMENTARY INFORMATION: The special space and accommodations for Donald Lancaster Sound ... 829153 Confederated Tribes of Siletz Indians of sale by the glass and for consumption Leiser, Oregon’s Resolutions numbered 96–110 on the premises of liquor, as herein Beth- and 97–064 read as follows. defined. lehem, PA. (4) Beer means any beverage obtained Liquor Ordinance of the Confederated by the alcoholic fermentation of any Notice is hereby given that during the Tribes of Siletz Indians of Oregon, infusion or decoction of pure hops, or week of July 7–14, 1997, as authorized Chapter 14, Part I pure extract of hops and pure barley by the provisions of the Marine Introduction malt or other wholesome grain of cereal Mammal Protection Act of 1972, as in pure water containing not more than amended (16 U.S.C. 1361 et seq.) the Section 14.01 Title four percent of alcohol by volume. Fish and Wildlife Service authorized the This Ordinance shall be known as the (5) Committee for the purposes of this requested permits subject to certain ‘‘Liquor Ordinance of the Confederated Ordinance shall mean the Tribal conditions set forth therein. Tribes of Siletz Indians’’ (hereinafter Council of the Siletz Tribe. 39856 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

(6) Liquor including the four varieties (15) Wine means any alcoholic conflict with or supersede the terms of of liquor herein defined (alcohol, spirits, beverage obtained by fermentation of this Ordinance, and shall not have force wine and beer), and all fermented fruits (grapes, berries, apples, etc.) or of law, unless and until this Ordinance spirituous, vinous, or malt liquor or other agricultural product containing has been validly amended pursuant to combination thereof, and mixed liquor, sugar, to which any saccharine STC § 14.39 and such amendment has or otherwise intoxicating and every substances may have been added before, been approved by the appropriate liquid or solid or semisolid or other during or after fermentation, and officials of the United States Department substance, patented or not, containing containing not more than seventeen of the Interior, as required by federal alcohol, spirits, wine or beer, and all percent of alcohol by weight, including law. drinks or drinkable liquids and all sweet wines fortified with wine spirits (c) Jurisdiction/Dispute Resolution. preparations or mixtures capable of such as port, sherry, muscatel, and Jurisdiction for enforcement of the human consumption and any liquid, angelica, not exceeding seventeen provisions of this Ordinance by the semisolid, solid, or other substances, percent of alcohol by weight. State of Oregon shall be as set forth in which contain more than one percent of (b) (1) To the extent that definitions an appropriate intergovernmental alcohol by weight shall be conclusively are not inconsistent with tribal or agreement between the Siletz Tribe and deemed to be intoxicating. federal law, the terms used in this the State of Oregon. No consent to (7) Liquor Store means any store at ordinance shall have the same meaning jurisdiction in the courts of the State of which liquor is sold, and for the as defined in Title 37, Oregon Revised Oregon and no consent to a limited purposes of this Ordinance, includes a Statutes, Chapter 471, and as defined in waiver of the Siletz Tribe’s sovereign store at which only a portion of which Oregon Administrative Rules, Chapter immunity shall be implied or inferred is devoted to the sale of liquor or beer. 845. except through negotiation and express (8) Malt Liquor means beer, ale, stout, (2) References in Section 14.03 to consent to jurisdiction and limited and porter. federal and Oregon state law shall be waiver of sovereign immunity in a valid (9) Package means any container or those laws and regulations in effect as intergovernmental agreement. Such receptacle used for holding liquor. of May 18, 1996. Subsequent changes in agreement shall not supersede or (10) Public Place includes state or those laws and regulations shall be conflict with any of the terms of this county or tribal or federal highways or considered incorporated into this Ordinance, and shall not have force of roads; buildings and grounds used for ordinance and effective unless the Siletz law, unless and until this Ordinance has school purposes; public dance halls and Tribal Council or the General Council been validly amended pursuant to STC grounds adjacent thereto; soft drink amends this Ordinance. § 14.39 and such amendment has been establishments, public buildings, public Section 14.04 Conformity to State Law approved by the appropriate officials of meeting halls, lobbies, halls and dining the United States Department of the rooms of hotels, restaurants, theaters, (a) Statement of Objection. The Interior, as required by federal law. gaming facilities, entertainment centers, Confederated Tribes of Siletz Indians of store garages, and filling stations which Oregon does not agree with the alleged (d) Future Changes in the Law. are open to and/or are generally used by authority of the United States or the Amendment or modification of the public and to which the public is State of Oregon to interfere with the regulation by the Siletz Tribe of the sale permitted to have unrestricted access; Siletz Tribe’s sovereign authority to and possession of liquor shall not be public conveyances of all kinds and regulate the control of liquor within effective until this Ordinance has been character; and all other places of like or Siletz Indian country. Nothing in this validly amended pursuant to STC similar nature to which the general Ordinance shall be interpreted as a § 14.39 and such amendment has been public has right of access, and which are waiver of the Siletz Tribe’s right and approved by the appropriate officials of generally used by the public. For the power to challenge such authority in the United States Department of the purposes of this Ordinance, ‘‘Public judicial forums of competent Interior, as required by federal law. Place’’ shall also include any jurisdiction, or by use of the political Part III establishment other than a single family process. The Ordinance shall conform home which is designed for or may be with the laws of the State of Oregon as Powers of Enforcement used by more than just the owner of the required by 18 U.S.C. § 1161, and Rice Section 14.05 establishment. v. Rehner, 463 U.S. 713 (1983). (a) Powers. The Committee, in (11) Reservation means the Siletz (b) Conformity to State Law. The furtherance of the Ordinance, shall have Tribe Reservation, which is held in trust Confederated Tribes of Siletz Indians of the following powers and duties, or may by the United States for the benefit of Oregon agrees to perform in the sale and delegate such duties by resolution: the Siletz Tribe or held in trust for the possession of liquor in the same manner benefit of an individual member of the as any other Oregon business entity for (1) To publish and enforce the rules Siletz Tribe. the purpose of liquor licensing and and regulations governing the sale, (12) Sale and Sell include exchange, regulations, including but not limited to manufacture, and distribution of barter, and traffic; and also include the licensing, compliance with the alcoholic beverages on the Reservation; selling or supplying or distributing by regulations of the Oregon Liquor Control (2) To employ managers, accountants, any means whatsoever, of liquor, or of Commission (OLCC), maintenance of security personnel, inspectors, and such any liquid known or described as beer liquor liability insurance, and other other persons as shall be reasonably or by any name whatsoever commonly applicable subjects as the State may necessary to allow the Committee to used to describe malt or brewed liquor address by statute or regulation from perform its functions. Such employees or wine by any person to any person. time to time. The Tribal Council may shall be tribal employees; (13) Spirits mean any beverage, which enter into an intergovernmental (3) To issue licenses permitting the contains alcohol obtained by agreement with the State of Oregon to sale or manufacture or distribution of distillation, including wines exceeding address the details of compliance with liquor on the Reservation; seventeen percent of alcohol by weight. state law and regulation under this (4) To hold hearings on violations of (14) Tribe means the Confederated Ordinance, provided, that any such this Ordinance or for the issuance or Tribes of Siletz Indians of Oregon. intergovernmental agreement shall not revocation of licenses hereunder; Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39857

(5) To bring suit in the appropriate who purchases an alcoholic beverage (a) Whether the requirements of court to enforce this Ordinance as within the boundaries of the Section 14.11 have been met; and necessary; Reservation and sells it, whether in the (b) Whether the Committee, in its (6) To determine and seek damages original container or not, shall be guilty discretion, determines that granting the for violation of this Ordinance; of a violation of this Ordinance and license is in the best interest of the (7) To make such reports as may be shall be subjected to paying damages to Siletz Tribe. required; the Siletz Tribe as set forth herein. In the event that the applicant is a (8) To collect taxes and fees levied or member of the Tribal Council, or a set by the Committee, and to keep Part V member of the immediate family of a accurate records, books and accounts; Licensing Tribal Council member, such member and shall not vote on the application or Section 14.11 Requirements for (9) To exercise such other powers as participate in the hearings as a Application for Tribal Liquor License are necessary and appropriate to fulfill Committee member. the purposes of this Ordinance. No individual tribal license shall Section 14.13 Temporary Permits (b) The Committee shall have the issue under this Ordinance except upon authority to authorize the sale of liquor a sworn application filed with the The Committee or its designee may only on those areas of the Siletz Tribe’s Committee containing a full and grant a temporary permit for the sale of reservation that have been specifically complete showing of the following: intoxicating beverages for a period not approved by the Siletz General Council, (a) Satisfactory proof that the to exceed three (3) days to any persons by referendum, and under such applicant is or will be duly licensed by applying for the same in connection conditions as may be included in said the State of Oregon. with a tribal or community activity, referendum. (b) Satisfactory proof that the provided that the conditions prescribed in Section 14.14 of this Ordinance shall Section 14.06 Limitation on Powers applicant is of good character and reputation among the people of the be observed by the permittee. Each In the exercise of its powers and Reservation and that the applicant is permit issued shall specify the types of duties under this Ordinance, the financially responsible. intoxicating beverages to be sold. Committee and its individual members (c) The description of the premises in Further, a fee, as set by the Committee, shall not accept any gratuity, which the intoxicating beverages are to will be assessed on temporary permits. compensation or other thing of value be sold, proof that the applicant is the Section 14.14 Conditions of the Tribal from any liquor wholesaler, retailer, or owner of such premises, or lessee of License distributor or from any licensee. such premises, for at least the term of Any tribal license issued under this the license. Section 14.07 Inspection Rights Ordinance shall be subject to such (d) Agreement by the applicant to reasonable conditions as the Committee The premises on which liquor is sold accept and abide by all conditions of the shall fix, including, but not limited to or distributed shall be open for tribal license. inspection by the Committee at all the following: (e) Payment of a license fee as reasonable time for the purposes of (a) The license shall be for a term not prescribed by the Committee. ascertaining whether the rules and to exceed 2 years; (f) Satisfactory proof that neither the regulations of this Ordinance are being (b) The licensee shall at all times applicant nor the applicant’s spouse has complied with. maintain an orderly, clean, and neat ever been convicted of a felony. establishment, both inside and outside Part IV (g) Satisfactory proof that notice of the the licensed premises; Sales of Liquor application has been posted in a (c) The licensed premises shall be prominent, noticeable place on the subject to patrol by the tribal police Section 14.08 Licenses Required premises where intoxicating beverages department, and such other law No sales of alcoholic beverages shall are to be sold for at least 30 days prior enforcement officials as may be be made, except at a tribally-licensed or to consideration by the Committee and authorized under applicable law; tribally-owned business operated on has been published at least twice in (d) The licensed premises shall be Reservation land within the exterior such local newspaper serving the open to inspection by duly authorized boundaries of the Siletz Tribe. community that may be affected by the tribal officials at all times during the license. The notice shall state the date, regular business hours; Section 14.09 Sales for Cash time, and place when the application (e) Subject to the provisions of All liquor sales within the shall be considered by the Committee subsection (g) of this Section, no Reservation boundaries shall be on a pursuant to Section 14.12 of this intoxicating beverages shall be sold, cash only basis and no credit shall be Ordinance. served, disposed of, delivered or given to any person, or consumed on the extended to any person, organization, or Section 14.12 Hearing on Application licensed premises except in conformity entity, except that this provision does for Tribal Liquor License not prevent the use of major credit with the hours and days prescribed by cards. All applications for a tribal liquor the laws of the State of Oregon, and in license shall be considered by the accordance with the hours fixed by the Section 14.10 Sale for Personal Committee in open session at which the Committee, provided that the licensed Consumption applicant, his/her attorney, and any premises shall not operate or open All sales shall be for the personal use person protesting the application shall earlier or operate or close later than is and consumption of the purchaser. have the right to be present, and to offer permitted by the laws of the State of Resale of any alcoholic beverage sworn oral or documentary evidence Oregon. purchases within the exterior relevant to the applicant. After the (f) No liquor shall be sold within 200 boundaries of the Reservation is hearing, the Committee, by secret ballot, feet of a polling place on tribal election prohibited. Any person who is not shall determine whether to grant or days, or when a referendum is held of licensed pursuant to this Ordinance deny the application based on: the people of the Siletz Tribe, and 39858 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices including special days of observance as Section 14.20 Consuming Liquor in suspended or canceled by the designated by the Committee. Public Conveyance Committee for the violation of any of the (g) All acts and transactions under Any person engaged wholly or in part provisions of this Ordinance, or of the authority of the tribal liquor licenses in the business of carrying passengers tribal license, upon hearing before the shall be in conformity with the laws of for hire, and every agent, servant or Committee after 10 days notice to the the State of Oregon, as required by employee of such person who shall licensee. The decision of the Committee federal law, and shall be in accordance knowingly permit any person to drink shall be final. with this Ordinance and any tribal any liquor in any public conveyance Section 14.26 Acceptable license issued pursuant to this shall be guilty of a violation of this Identification Ordinance. Ordinance. Any person who shall drink (h) No person under the age permitted any liquor in a public conveyance shall Where there may be a question of a under the laws of the State of Oregon be guilty of a violation of this person’s right to purchase liquor by shall be sold, served, delivered, given, Ordinance. reason of his/her age, such person shall or allowed to consume alcoholic be required to present any one of the Section 14.21 Consumption or beverages in the licensed establishment following issued cards of identification Possession of Liquor by Persons Under and/or area. which shows his/her correct age and 21 Years of Age (i) There shall be no discrimination in bears his/her signature and photograph: the operations under the tribal license No person under the age of 21 years (1) Driver’s license of any state or by reason of race, color, or creed. shall consume, acquire or have in his/ identification card issued by any State her possession any alcoholic beverage. Department of Motor Vehicles; Section 14.15 License Not a Property No person shall permit any other person (2) United States Active Duty Military Right under the age of 21 to consume liquor Identification; (3) Passport. Notwithstanding any other provision on his/her premises or any premises of this Ordinance, a tribal liquor license under his/her control except in those Section 14.27 Possession of Liquor is a mere permit for a fixed duration of situations set out in this Section. Any Contrary to This Ordinance time. A tribal liquor license shall not be persons violating this Section shall be guilty of a separate violation of this Alcoholic beverages which are deemed a property right or vested right possessed contrary to the terms of this of any kind, nor shall the granting of a Ordinance for each and every drink so consumed. Ordinance are declared to be tribal liquor license give rise to a contraband. Any tribal agent, employee, presumption of legal entitlement to the Section 14.22 Sales of Liquor to or officer who is authorized by the granting of such license for a subsequent Persons Under 21 Years of Age Committee to enforce this section shall time period. Any person who shall sell or provide have the authority to and shall seize all Section 14.16 Assignment or Transfer liquor to any person under the age of 21 contraband. years shall be guilty of a violation of this No tribal license issued under this Section 14.28 Disposition of Seized Ordinance for each sale or drink Ordinance shall be assigned or Contraband provided. transferred without the written approval Any officer seizing contraband shall of the Committee expressed by formal Section 14.23 Transfer of preserve the contraband in accordance resolution. Identification to Minor with applicable law. Upon being found Part VI Any person who transfers in any in violation of this Ordinance by the manner an identification of age to a Committee, the party shall forfeit all Rules, Regulations and Enforcement minor for the purpose of permitting right, title and interest in the items Section 14.17 Sales or Possession With such minor to obtain liquor shall be seized which shall become the property Intent To Sell Without a Permit guilty of an offense; provided, that of the Siletz Tribe. corroborative testimony of a witness Part VII Any person who shall sell or offer for other than the minor shall be a sale or distribute or transport in any requirement of finding a violation of Taxes manner, any liquor in violation of this this Ordinance. Ordinance, or who shall operate or shall Section 14.29 Sales Tax have liquor in his/her possession with Section 14.24 Use of False or Altered The Committee shall have the intent to sell or distribute without a Identification authority, by regulation, to levy and permit, shall be guilty of a violation of Any person who attempts to purchase collect a sales tax on each sale of this Ordinance. an alcoholic beverage through the use of alcoholic beverages on the Reservation. Section 14.18 Purchases From Other false or altered identification which The amount of such tax shall be set by Than Licensed Facilities falsely purports to show the individual regulation, shall include credit card to be over the age of 21 years shall be payments, and shall include all retail Any person within the boundaries of guilty of violating this Ordinance. sales of liquor on the Reservation. the Reservation who buys liquor from any person other than at a properly Section 14.25 Violation of This Section 14.30 Payment of Taxes to licensed facility shall be guilty of a Ordinance Tribe violation of this Ordinance. Any person guilty of a violation of All taxes from the sale of alcoholic this Ordinance shall be liable to pay the Section 14.19 Sales to Persons Under beverages on the Reservation shall be Siletz Tribe a penalty not to exceed the Influence of Liquor paid over to the agency of the Siletz $500 per violation as civil damages to Tribe. Any person who sells liquor to a defray the Siletz Tribe’s cost of person apparently under the influence enforcement of this Ordinance. In Section 14.31 Taxes Due of liquor shall be guilty of a violation of addition to any penalties so imposed, a All taxes for the sale of alcoholic this Ordinance. license issued hereunder may be beverages on the Reservation are due Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39859 within thirty (30) days of the end of the Part X DEPARTMENT OF THE INTERIOR calendar quarter for which the taxes are Amendment due. Bureau of Land Management Section 14.39 Section 14.32 Reports [OR±050±1110±00:G7±0196] This Ordinance may only be amended Along with payment of the taxes or repealed by a majority vote of the Prineville District; Shooting Restriction imposed herein, the taxpayers shall Tribal Council. The authorized areas of on Public Lands; Oregon submit an accounting for the quarter of the Siletz Tribe’s Reservation where July 14, 1997. all income from the sale or distribution alcohol may be sold may only be of said beverages as well as for the taxes AGENCY: Bureau of Land Management, amended or repealed by the General Interior. collected. Council. ACTION: Notice is hereby given that BLM Section 14.33 Audit Part XI managed public lands within the As a condition of obtaining a license, Middle Deschutes Wild and Scenic Sovereign Immunity the licensee must agree to the review or River boundaries are closed to shooting audit of its books and records relating to Section 14.40 yearlong except when legally hunting game birds, games mammals, or the sale of alcoholic beverages on the Nothing contained in this Ordinance furbearers during official state Reservation. Said review or audit may is intended to, nor does in any way waterfowl, upland game, big game, and be done annually by the Siletz Tribe limit, alter, restrict, or waive the Siletz furbearer seasons. through its agents or employees Tribe’s sovereign immunity from whenever, in the opinion of the unconsented suit. LEGAL DESCRIPTION: This order applies to Committee, such a review or audit is all public lands within the Middle necessary to verify the accuracy of Dated: July 15, 1997. Deschutes Wild and Scenic River reports. Ada E. Deer, Assistant Secretary, Indian Affairs. boundaries, as defined in the Middle Part VIII Deschutes/Lower Crooked Wild and [FR Doc. 97–19410 Filed 7–23–97; 8:45 am] Scenic Rivers’ Management Plan, Profits BILLING CODE 4310±02±P including BLM lands within: Township Section 14.34 Disposition of Proceeds 12 South, Range 12 East, Section 29, SW 1 The gross proceeds collected by the DEPARTMENT OF THE INTERIOR SE; Section 29, SE SW; Section 32, W ⁄2. Committee from licensing and provided Township 13 South, Range 12 East, 1 1 1 from the taxation of the sales of Bureau of Indian Affairs Section 5, W ⁄2, Section 6, E ⁄2 SE ⁄4, 1 1 alcoholic beverages on the Reservation Section 7, E ⁄2 NE ⁄4, Section 8, NW, 1 1 shall be distributed as follows: Indian Gaming Section 8, N ⁄2 SW ⁄4, Section 8, SE, Section 17, E1⁄2, Section 20, NE, Section (a) For the payment of all necessary AGENCY: Bureau of Indian Affairs, 21, SW NW, Section 21, S1⁄2, Section 27, personnel, administrative costs, and Interior. legal fees for the operation of the SW NW, Section 27, NW SW, Section ACTION: 1 2 Committee and its activities. Notice of Approved 28, E ⁄ , Section 33, SE NW, Section 33, 1 1 1 1 (b) The remainder shall be turned Amendment to Tribal-State Compact. S ⁄2 NE ⁄4, Section 33, E ⁄2, SE ⁄4, Section 34, W1⁄2 SW1⁄4. Township 14 over to the account of the Siletz Tribe. SUMMARY : Pursuant to Section 11 of the South, Range 12 East, Section 4, N1⁄2, Part IX Indian Gaming Regulatory Act, 25 Section 4, N1⁄2 SE1⁄4, Section 9, NE NE, U.S.C. § 2710, the Secretary of the Severability and Miscellaneous Section 10, NW NW, Section 10, SW Interior shall publish, in the Federal SW, Section 11, S1⁄2, Section 14, W1⁄2 Section 14.35 Severability Register, notice of approved Compacts E1⁄2, Section 14, E1⁄2 W1⁄2, Section 14, for the purpose of engaging in Class III If any provision or application of this NW NW, Section 22, SW NE, Section (casino) gambling on Indian Ordinance is determined by review to 26, SE SE. reservations. The Assistant Secretary— be invalid, such adjudication shall not BLM managed public lands within the Indian Affairs, Department of the be held to render ineffectual the Middle Deschutes Wild and Scenic Interior, through her delegated remaining portions of this title or to River boundaries are closed to shooting authority, has approved Amendment I render such provisions inapplicable to yearlong except when legally hunting to the Tribal-State Compact for Control other persons or circumstances. game birds, game mammals, and of Class III Games of Chance Between furbearers during official state Section 14.36 Prior Enactments the Sisseton-Wahpeton Sioux Tribe and waterfowl, big game, upland game, and All prior enactments of the Tribal the State of North Dakota, which was furbearer seasons. Shooting is defined as Council which are inconsistent with the executed on May 14, 1997. ‘‘the discharge of firearms’’. A firearm is provisions of this Ordinance are hereby DATES: This action is effective July 24, defined as ‘‘a weapon, by whatever rescinded. 1997. name known, which is designed to FOR FURTHER INFORMATION CONTACT: expel a projectile by the action of Section 14.37 Conformance With powder and which is readily capable of Oregon Laws George T. Skibine, Director, Indian Gaming Management Staff, Bureau of use as a weapon.’’ The purpose of this All acts and transactions under this Indian Affairs, Washington, D.C. 20240, closure is to protect wildlife resources ordinance shall be in conformity with (202) 219–4068. and to improve public safety. More the laws of the State of Oregon as that specifically, this closure was partly Dated: July 16, 1997. term is used in 18 U.S.C. 1161. ordered to protect nesting golden eagles Michael J. Anderson, within the river corridor. Currently, the Section 14.38 Effective Date Acting Assistant Secretary—Indian Affairs. occurrence of shooting jeopardizes the This Ordinance shall be effective on [FR Doc. 97–19430 Filed 7–23–97; 8:45 am] nesting success of golden eagles within July 24, 1997. BILLING CODE 4310±02±P the river corridor and poses a threat to 39860 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices recreationists and other public land of shooting at Mayfield Pond continues meeting, or need special assistance, users. Exemptions to this closure order to result in damage to wildlife resources such as sign language or other may be made on a case-by-case basis by (including migratory shorebirds, reasonable accommodations, should the authorized officer. This closure will resident wildlife, and special status contact the Butte District, 106 North be evaluated in the Urban Interface animal species); destruction of natural Parkmont (P.O. Box 3388), Butte, Amendment to the Brothers/La Pine features; and vandalism to land and Montana 59702–3388, telephone 406– Resource Management Plan of 1989 and installations. The occurrence of 494–5059. future amendments to the Two Rivers shooting poses a threat to recreationists FOR FURTHER INFORMATION CONTACT: Jim Resource Management Plan of 1986. The and other public land users. Exemptions Owings at the above address or authority for this closure is 43 CFR to this closure order may be made on a telephone number. 8364.1: Closure and restriction orders. case-by-case basis by the authorized Dated: July 16, 1997. officer. This emergency order will be FOR FURTHER INFORMATION CONTACT: James R. Owings, Sarah Nichols, Wildlife Biologist, BLM evaluated in the Urban Interface Prineville District Office, P.O. Box 550, Amendment to the Brothers/La Pine District Manager. Prineville, Oregon 97754, telephone Resource Management Plan of 1989. The [FR Doc. 97–19512 Filed 7–23–97; 8:45 am] (541) 416–6725. authority for this closure is 43 CFR BILLING CODE 4310±DN±M SUPPLEMENTARY INFORMATION: Violation 8364.1: Closure and restriction orders. FOR FURTHER INFORMATION CONTACT: of this closure order is punishable by a DEPARTMENT OF THE INTERIOR fine not to exceed $1,000 and/or Sarah Nichols, Wildlife Biologist, BLM imprisonment not to exceed 12 months Prineville District Office, P.O. Box 550, Bureau of Land Management as provided in 43 CFR 8360.0–7. Prineville, Oregon 97754, telephone (541) 416–6725. [CA±010±1430±00; CACA 7663, CACA 7953, Dated: July 14, 1997. CACA 8151, and CACA 8153] James G. Kenna, SUPPLEMENTARY INFORMATION: Violation of this closure order is punishable by a Deschutes Resource Area Manager, Prineville Order Providing for Opening of Lands District Office. fine not to exceed $1,000 and/or Subject to Section 24 of the Federal imprisonment not to exceed 12 months [FR Doc. 97–19506 Filed 7–23–97; 8:45 am] Power Act; California as provided in 43 CFR 8360.0–7. BILLING CODE 4310±33±M Dated: July 14, 1997. AGENCY: Bureau of Land Management, Interior. James G. Kenna, ACTION: Notice. DEPARTMENT OF THE INTERIOR Deschutes Resource Area Manager, Prineville District Office. SUMMARY: This order opens to disposal Bureau of Land Management [FR Doc. 97–19507 Filed 7–23–97; 8:45 am] by either land exchange or sale, subject [OR±050±1110±00:G7±0195] BILLING CODE 4310±33±M to section 24 of the Federal Power Act (FPA), 1,561.66 acres of public lands Prineville District; Shooting Restriction withdrawn by an U. S. Geological on Public Lands; Oregon DEPARTMENT OF THE INTERIOR Survey Order dated April 22, 1948, an July 14, 1997. Executive Order dated May 11, 1915, Bureau of Land Management and two Federal Power Commission AGENCY: Bureau of Land Management, orders, dated July 18, 1949 and June 12, Interior. [MT±070±96±1990±00] 1962, respectively, for power site ACTION: Notice is hereby given that the Resource Advisory Council Meeting, purposes. This action will permit area as legally described below is closed Butte, Montana consummation of pending land to shooting yearlong except when exchanges and retain the power rights to legally hunting game birds, game AGENCY: Butte District Office, Bureau of Land Management, DOI. the United States of America. The mammals, or furbearers during official Federal Energy Regulatory Commission ACTION: state waterfowl, upland game, big game, Notice of Butte District Resource (FERC) has determined that the power and furbearer seasons. Advisory Council Meeting, Butte, value of the subject lands will not be Montana. LEGAL DESCRIPTION: This order applies to injured or destroyed by their disposal by all areas within Township 17 South, SUMMARY: The Council will convene at either land exchange or sale, if the land Range 13 East, Section 23, NE of the SE. 9 a.m., Wednesday, August 20, 1997. exchange or sale are subject to section All areas within Township 17 South, Issues that will be discussed include 24 of FPA. FERC concurred with this Range 13 East, Section 23, NE of the SE, 3809 Surface Management Regulations, action in three letters: DVCA–1241, are closed to shooting yearlong except the approval process of ORV use on dated December 10, 1996; DVCA–1242– when legally hunting game birds, game public lands, updates on RS2477, the 000, dated April 17, 1997; and DVCA– mammals, or furbearers during official Beaverhead Lawsuit, and Standards & 1243–000, dated May 5, 1997. Although state waterfowl, upland game, big game, Guidelines Implementation. The the lands have been and will remain and furbearer seasons. Shooting is meeting will be held at the Fan closed to mining because of the defined as ‘‘the discharge of firearms’’. Mountain Inn in Ennis, Montana. The withdrawals for the two power projects A firearm is defined as ‘‘a weapon, by meeting is open to the public and or the existing segregation for the whatever name known, which is written comments may be given to the pending land exchanges, they have been designed to expel a projectile by the Council. Oral comments may be and will remain open to mineral leasing. action of powder and which is readily presented to the Council at 11 a.m. The EFFECTIVE DATE: July 24, 1997. capable of use as a weapon.’’ The time allotted for oral comment may be FOR FURTHER INFORMATION CONTACT: purpose of this closure is to protect limited, depending on the number of Duane Marti, BLM California State wildlife resources and other natural persons wishing to be heard. Office (CA–931.4), 2135 Butano Drive, values, reduce vandalism, and improve Individuals who plan to attend and Sacramento, CA 95825–0451, 916–978– public safety. Currently, the occurrence need further information about the 4675. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39861

SUPPLEMENTARY INFORMATION: By virtue withdrawals, and the requirements of the Federal Register; Vol. 59, No. 73; of the authority vested in the Secretary applicable law: Friday, April 15, 1994. of the Interior by the Act of June 10, Mount Diablo Meridian Part 9 (Alcoholic beverages and 1920, Section 24, as amended, 16 U.S.C. T. 4 N., R. 14 E., controlled substances) is amended by 818 (1994), and pursuant to the 1 1 the following: determinations by the Federal Energy Sec. 36, that portion of S ⁄2NE ⁄4 lying inside of the project boundary for Power Subpart (a) is replaced with the Regulatory Commission in DVCA–1241, Project Number 2019 (i.e., 100 feet on following: DVCA–1242–000, and DVCA–1432–000, either side of the centerline of the Utica No person under the influence of an it is ordered as follows: Conduit). 1. At 8:30 a.m. on July 24, 1997, the intoxicating liquor or controlled The area described contains 35.19 acres in substance shall operate, propel, or be in following described lands withdrawn by Calaveras County. an U. S. Geological Order, dated April actual physical control of any boat upon 22, 1948, for Power Site Classification 4. At 8:30 a.m. on July 24, 1997. The the water. Not less than .08 percent by Number 391 (CACA 7663), will be following described lands withdrawn by weight of alcohol in a persons blood opened to disposal by land exchange a Federal Power Commission Order, constitutes being under the influence of subject to the provisions of Section 24 dated June 12, 1962, for Power Project intoxicating liquor. Refusal by an of the Federal Power Act as specified by Number 2082 (CACA 8153), will be operator to submit to a test may be the Federal Energy Regulatory opened to disposal by land exchange admissible in any related judicial Commission in determination DVCA– subject to the provisions of Section 24 proceeding. 1243–000, and subject to valid existing of the Federal Power Act as specified by Subpart (b) is replaced with the rights, the provisions of existing the Federal Energy Regulatory following: Commission in determination DVCA– withdrawals, and the requirements of No owner of a boat or person in 1241, and subject to valid existing applicable law: charge or in control of a boat shall rights, the provisions of existing authorize or knowingly permit a boat to Mount Diablo Meridian withdrawals, and the requirements of be propelled or operated upon the water T. 9 N., R. 4 W., applicable law: Sec. 4, lot 9, and lots 14 through 18, by any person who is under the inclusive; Mount Diablo Meridian influence of an intoxicating liquor or a Sec. 5, lots 5 through 10, inclusive, and T. 47 N., R. 5 W., controlled substance. 1 1 lots 14 and 15. Sec. 4, lot 4 and W ⁄2SW ⁄4; Dated: July 11, 1997. T. 10 N., R. 4 W., Sec. 8, SE1⁄4NE1⁄4, E1⁄2SE1⁄4, and 1 James L. Hancock, Sec. 30, N ⁄2 of lot 8; SW1⁄4SE1⁄4. Sec. 31, NW1⁄4SE1⁄4 and SE1⁄4SE1⁄4. T. 48 N., R. 4 W., District Manager. T. 10 N., R. 5 W., Sec. 18, lots 1 through 4, inclusive. [FR Doc. 97–19514 Filed 7–23–97; 8:45 am] 1 1 1 1 Sec. 23, SW ⁄4NE ⁄4 and S ⁄2NW ⁄4. T. 48 N., R. 5 W., BILLING CODE 4310±33±M The areas described aggregate 675.07 acres Sec. 24, NE1⁄4NE1⁄4; in Napa County. Sec. 34, W1⁄2NE1⁄4, NE1⁄4NW1⁄4, S1⁄2SW1⁄4, 1 2. At 8:30 a.m. on July 24, 1997, the and SE ⁄4. DEPARTMENT OF THE INTERIOR following described land withdrawn by The areas described aggregate 826.78 acres an Executive Order, dated May 11, 1915, in Siskiyou County. Minerals Management Service for Power Site Reserve Number 487 5. The State of California has waived Environmental Documents Prepared (CACA 7953), will be opened to its right of selection in accordance with for Proposed Oil and Gas Operations disposal by land exchange or sale the provisions of Section 24 of the on the Gulf of Mexico Outer subject to the provisions of Section 24 Federal Power Act of June 10, 1920, 16 Continental Shelf (OCS) of the Federal Power Act as specified by U.S.C. 818 (1994), as amended. the Federal Energy Regulatory Dated: July 17, 1997. AGENCY: Minerals Management Service, Commission in determination DVCA– Richard T. Forester, Interior. 1243–000, and subject to valid existing Acting Chief, Branch of Lands. rights, the provisions of existing ACTION: Notice of the Availability of withdrawals, and the requirements of [FR Doc. 97–19411 Filed 7–23–97; 8:45 am] Environmental Documents Prepared for applicable law: BILLING CODE 4310±40±P OCS Mineral Proposals on the Gulf of Mexico OCS. Mount Diablo Meridian T. 8 N., R. 9 E., DEPARTMENT OF THE INTERIOR SUMMARY: The Minerals Management Sec. 25, lots 6 and 7 (originally described Service (MMS), in accordance with as lots 1 and 2). Bureau of Land Management Federal Regulations (40 CFR Section The area described contains 24.62 acres in 1501.4 and Section 1506.6) that Amador and El Dorado Counties. [OR±050±1220±00; GP7±0244] implement the National Environmental 3. At 8:30 a.m. on July 24, 1997, the Amendment to Prohibited Acts in Policy Act (NEPA), announces the following described land withdrawn by Deschutes National Wild and Scenic availability of NEPA-related Site- a Federal Power Commission Order, River Area Specific Environmental Assessments dated July 18, 1949, for Power Project (SEA’s) and Findings of No Significant Number 2019 (CACA 8151), will be July 16, 1997. Impact (FONSI’s), prepared by the MMS opened to disposal by land exchange AGENCY: Bureau of Land Management, for the following oil and gas activities subject to the provisions of Section 24 Interior, Prineville District. proposed on the Gulf of Mexico OCS. of the Federal Power Act as specified by ACTION: Notice. The listing includes all proposals for the Federal Energy Regulatory which the FONSI’s were prepared by Commission in determination DVCA– SUPPLEMENTARY INFORMATION: The the Gulf of Mexico OCS Region in the 1242–000, and subject to valid existing following amendments are made to the period subsequent to publication of the rights, the provisions of existing notice date April 8, 1994 published in preceding notice. 39862 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Activity/operator Location Date

Texaco Exploration and Production, Inc., Pipeline Activity, SEA Ewing Bank Area, Blocks 873, 829, 785; South Timbalier 05/14/97 No. G±16093A. Area, South Addition, Block 308; Lease G 16093; 67 miles south of the nearest coastline in Louisiana. Destin Pipeline Company, Pipeline Activity, SEA No. G±17689 Main Pass Area, Blocks 260, 248, 247, 226, 216, 215, 196, 06/24/97 190, and 171; Mobile Area, Blocks 997, 996, 952, 951, 907, 863, and 819; Viosca Knoll Area, Blocks 383, 339, 295, 251, 207, 163, 119, 118, 74, 73, and 29; Lease G 17689; 61 miles south of the nearest coastline to shore near Pascagoula, Mississippi. OEDC Exploration & Production, L.P.'s Pipeline Activity, SEA Pensacola, Block 881, to Mobile Area, Block 960; Lease G± 06/30/97 No. G±17694. 17694; 8±17 miles south of Baldwin County, Alabama. OEDC Exploration & Production, L.P.'s, Pipeline Activity, SEA Destin Dome, Block 2, to Mobile Area, Block 960; Lease G± 06/30/97 No. G±17695. 17695; 8±17 miles south of Baldwin County, Alabama. OEDC Exploration & Production, L.P.'s Pipeline Activity, SEA Destin Dome, Blocks 1 & 2, Leases OCS±G 6397 and 6398, 06/30/97 No. P±11280. 17 miles south of Baldwin County, Alabama. OEDC Exploration & Production, L.P.'s, Pipeline Activity, SEA Destin Dome, Blocks 1 & 2, Leases OCS±G 6397 and 6398, 06/30/97 No. P±11280. 17 miles south of Baldwin County, Alabama. OEDC Exploration and Production, L.P.'s, Development Activ- Pensacola, Block 881, Lease OCS±G 6390, 8 miles south of 06/30/97 ity, SEA No. N±5542. Baldwin County, Alabama. OEDC Exploration and Production, L.P.'s Development Activity, Destin Dome, Blocks 1 and 2, Leases OCS±G 6397 and 06/30/97 SEA No. N±5543. 6398, 17 miles south of Baldwin County, Alabama. The Louisiana Land and Exploration Company, Structure Re- Vermilion Area, Block 187, Lease OCS±G 6673, 55 miles 06/12/97 moval Operations, SEA No. ES/SR 96±037A. south of Vermilion Parish, Louisiana. Amoco Exploration and Production, Structure Removal Oper- Eugene Island Area, Block 367, Lease OCS±G 2618, 70 05/30/97 ations, SEA No. ES/SR 96±097A. miles south-southwest of Terrebonne Parish, Louisiana. Energy Development Corporation, Structure Removal Oper- North Padre Island Area, Block 967, Lease OCS±G 3218, 19 06/16/97 ations, SEA No. ES/SR 97±008A. miles east of Padre Island National Seashore. UNOCAL Corporation, Structure Removal Operations, SEA No. Matagorda Island Area, Block 701, Lease OCS±G 4549, 20 05/01/97 ES/SR 97±023B. miles south of Calhoun County, Texas. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ South Timbalier Area, Block 27, Lease OCS±G 1443, 20 04/23/97 SR 97±036 through 97±044. miles south of Leeville, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ Grand Isle Area, Block 85, Lease OCS±G 1492; South 05/21/97 SR 97±055 through 97±060. Timbalier Area, Blocks 130, 134, and 151; Leases OCS 0456, 0461, and 0463; 25 miles south of Lafourche Parish, Louisiana. Burlington Resources Offshore, Inc., Structure Removal Oper- South Timbalier Area, Block 241, Lease OCS±G 12976, 60 06/19/97 ations, SEA No. ES/SR 97±069. miles southwest of Fourchon, Louisiana. Mobil Exploration and Producing, Structure Removal Oper- West Cameron Area, Block 72, Lease OCS 0245, 18 miles 06/23/97 ations, SEA No. ES/SR 97±070. south of Cameron, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ Bay Marchand Area, Block 3, Lease OCS 0370; Grand Isle 06/04/97 SR 97±073 through 97±075. Area, Block 37, Lease OCS 0392; 5 miles south of Lafourche Parish, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ Grand Isle Area, Block 37, Leases OCS 0685 and 0392; 05/15/97 SR 97±076 through 97±079. South Timbalier Area, Block 23, Leases OCS 0386 and 0166; 6±7 miles south of Lafourche Parish, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ South Timbalier Area, Blocks 23 and 24; Main Pass Area, 06/11/97 SR 97±080 through 97±082. Block 69; Leases OCS 0386, 0387, and 0372; 20 miles west of Venice, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA No. ES/ West Cameron Area, Block 173, Lease OCS 0759, 26 miles 05/13/97 SR 97±083. south-southwest of Vermilion Parish, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA No. ES/ West Cameron Area, Block 181, Lease OCS±G 1971, 30 06/05/97 SR 97±084. miles south of Cameron Parish, Louisiana. Apache Corporation, Structure Removal Operations, SEA Nos. Ship Shoal Area, Block 37, Lease OCS±G 5041, 5 miles 06/26/97 ES/SR 97±085 through 97±089. south of Terrebonne Parish, Louisiana. Falcon Offshore Operating Company, Structure Removal Oper- Brazos Area, Block 398, Lease OCS±G 11270, 22 miles 06/18/97 ations, SEA No. ES/SR 97±090. south of Freeport, Texas. Walter Oil and Gas Corporation, Structure Removal Oper- West Delta Area, Block 63, Lease OCS±G 2933, 17 miles 06/04/97 ations, SEA Nos. ES/SR 97±091 and 97±092. west-southwest of the shore of Plaquemines Parish, Louisi- ana. Apache Corporation, Structure Removal Operations, SEA Nos. Vermilion Area, Blocks 325 and 41; West Cameron Area, 06/23/97 ES/SR 97±065, 97±066, 97±067, 97±093, and 97±094. Block 379; Leases OCS±G 5016, 6289, and 9489; 40 to 120 miles south-east of Sabine Pass, Texas. Chevron, U.S.A., Structure Removal Operations, SEA No. ES/ West Delta Area, Block 29, Lease OCS 0385, 8 miles South 05/19/97 SR 97±095. of Plaquemines Parish, Louisiana. Amerada Hess Corporation, Structure Removal Operations, West Cameron Area, Blocks 572 and 571, Leases OCS±G 05/30/97 SEA Nos. ES/SR 97±097 and 097±098. 7631 and 7632, 104 miles south of Cameron Parish, Louisi- ana. Amerada Hess Corporation, Structure Removal Operations, Brenton Sound Area, Blocks 54 and 55, Leases OCS±G 4491 06/24/97 SEA Nos. ES/SR 97±100 and 101. and 4492, 3 miles east of the shoreline in Plaquemines Par- ish, Louisiana. Energy Resources Technology, Inc., Structure Removal Oper- West Cameron Area, Block 177, Lease OCS±G 1471, 24 06/13/97 ations, SEA No. ES/SR 97±102. miles south-southwest of the shore of Cameron Parish, Louisiana. Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39863

Activity/operator Location Date

Apache Corporation, Structure Removal Operations, SEA No. Vermilion Area, Block 325, Lease OCS±G 2089, 92 miles 05/22/97 ES/SR 97±104. south of the shore of Vermilion Parish, Louisiana. Apache Corporation, Structure Removal Operations, SEA No. Vermilion Area, Block 61, Lease OCS±G 7679, 14 miles south 06/24/97 ES/SR 97±105. of the shore of Vermilion Parish, Louisiana. Union Pacific Resources, Structure Removal Operations, SEA High Island Area, Blocks A±562. A±193, and A±200; Leases 05/15/97 Nos. ES/SR 97±107 through 97±109. OCS±G 13436, 6211 and 8172; 125 miles south of Sabine Pass, Texas. CNG Producing Company, Structure Removal Operations, SEA Ship Shoal Area, Blocks 246 and 271, Leases OCS±G 1027 06/24/97 Nos. ES/SR 97±110 through 97±112. and 1038, 48 to 55 miles from the shoreline of Terrebonne Parish, Louisiana. Seagull Energy E&P Inc., Structure Removal Operations, SEA Galveston Area, Block 391, Lease OCS±G 3740, 27 miles 06/24/97 Nos. ES/SR 97±115 and 97±116. from the shoreline of Brazoria County, Texas. Newfield Exploration Company, Structure Removal Operations, East Cameron Area, Block 46, Lease OCS±G 3288, 15 miles 06/18/97 SEA No. ES/SR 97±117. south of Cameron Parish, Louisiana. Enron Oil & Gas Company, Structure Removal Operations, Viosca Knoll Area, Block, 32, Lease OCS±G 7871, 18 miles 06/05/97 SEA No. ES/SR 97±118. south of the shore of Dauphin Island, Alabama. The Coastal Corporation, Structure Removal Operations, SEA West Cameron Area, Block 498, Lease OCS±G 3520, 85 06/05/97 No. ES/SR 97±119. miles south of Cameron Parish, Louisiana. Chevron U.S.A., Structure Removal Operations, SEA Nos. ES/ Bay Marchand Area, Blocks 2 and 3, Leases OCS 0369 and 06/12/97 SR 97±120 and 97±121. OCS 0370, 5 miles south of Lafourche Parish, Louisiana. Union Pacific Resources, Structure Removal Operations, SEA Ship Shoal Area, Block 251, Lease OCS±G 10782, 49 miles 06/26/97 No. ES/SR 97±122. south of Terrebonne Parish, Louisiana. Murphy Exploration and Producing Company, Structure Re- Eugene Island Area, Block 47, Lease OCS 0317, 10 miles 06/19/97 moval Operations, SEA Nos. ES/SR 97±123 and 97±124. south of St. Mary Parish, Louisiana. Murphy Exploration and Production Company, Structure Re- Ship Shoal Area, Blocks 90, 92, 93, 94, 120, and 134, Leases 06/23/97 moval Operations, SEA Nos. ES/SR 97±125 through 97±133. OCS 0063, OCS 0042, OCS±G 5540, OCS±G 5545, and OCS±G 5201, 25 miles south of Terrebonne Parish, Louisi- ana. Enron Oil and Gas Company, Structure Removal Operations, Viosca Knoll Area, Block 156, Lease OCS±G 7885, 25 miles 06/24/97 SEA No. ES/SR 97±134. south of Jackson County, Mississippi. Santa Fe Energy Resources, Inc., Structure Removal Oper- Vermilion Area, Block 249, Lease OCS±G 6678, 70 miles 06/26/97 ations, SEA No. ES/SR 97±135. south of Vermilion Parish, Louisiana. Enron Oil and Gas Company, Structure Removal Operations, East Cameron Area, Block 306, Lease OCS±G 7667, 95 06/26/97 SEA No. ES/SR 97±136. miles south of Cameron Parish, Louisiana.

Persons interested in reviewing that approval will not result in documents referenced in the Notice, environmental documents for the significant effects on the quality of the including the maps, ‘‘Lease Terms, proposals listed above or obtaining human environment. The FONSI briefly Bidding Systems, and Royalty information about EA’s and FONSI’s presents the basis for that finding and Suspension Areas, Sale 168’’ and prepared for activities on the Gulf of includes a summary or copy of the EA. ‘‘Stipulations and Deferred Blocks, Sale Mexico OCS are encouraged to contact This notice constitutes the public 168,’’ is available from the MMS Gulf of the MMS office in the Gulf of Mexico notice of availability of environmental Mexico Regional Office Public OCS Region. documents required under the NEPA Information Unit (see paragraph 14(a) of FOR FURTHER INFORMATION CONTACT: Regulations. this Notice). Public Information Unit, Information Dated: July 16, 1997. 2. Filing of Bids. Services Section, Gulf of Mexico OCS Chris C. Oynes, (a) Filing of Bids. Sealed bids will be Region, Minerals Management Service, Regional Director, Gulf of Mexico OCS Region. received by the Regional Director (RD), 1201 Elmwood Park Boulevard, New [FR Doc. 97–19505 Filed 7–23–97; 8:45 am] Gulf of Mexico Region, Minerals Orleans, Louisiana 70123–2394, BILLING CODE 4310±MR±M Management Service (MMS), 1201 Telephone (504) 736–2519. Elmwood Park Boulevard, New Orleans, SUPPLEMENTARY INFORMATION: The MMS Louisiana 70123–2394. Bids may be prepares EA’s and FONSI’s for DEPARTMENT OF THE INTERIOR delivered in person to that address proposals which relate to exploration during normal business hours (8 a.m. to for and the development/production of Minerals Management Service 4 p.m., Central Standard Time (c.s.t.)) oil and gas resources on the Gulf of until the Bid Submission Deadline at 10 Mexico OCS. The EA’s examine the Outer Continental Shelf, Western Gulf a.m., Tuesday, August 26, 1997. potential environmental effects of of Mexico, Oil and Gas Lease Sale 168 Hereinafter, all times cited in this activities described in the proposals and AGENCY: Minerals Management Service, Notice refer to c.s.t. unless otherwise present MMS conclusions regarding the Interior. stated. Bids will not be accepted the day significance of those effects. of Bid Opening, Wednesday, August 27, ACTION: Final Notice of Sale. Environmental Assessments are used as 1997. Bids received by the RD later than a basis for determining whether or not 1. Authority. This Notice is published the time and date specified above will approval of the proposals constitutes pursuant to the Outer Continental Shelf be returned unopened to the bidders. major Federal actions that significantly (OCS) Lands Act (43 U.S.C. 1331–1356, Bids may not be modified or withdrawn affect the quality of the human (1988)), and the regulations issued unless written modification or written environment in the sense of NEPA thereunder (30 CFR Part 256). withdrawal request is received by the Section 102(2)(C). A FONSI is prepared A ‘‘Sale Notice Package,’’ containing RD prior to 10 a.m., Tuesday, August 26, in those instances where the MMS finds this Notice and several supporting 1997. 39864 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Note: As noted in the Final Notices of Sale be closed on Tuesday, August 26, 1997, Management Service. For identification for Sales 157, 161, and 166, tracts or portions bids will be accepted until 9 a.m., purposes, the following information of tracts beyond the United States Exclusive Wednesday, August 27, 1997, at the site must appear on the check or draft: Economic Zone are offered based upon of bid opening specified above. Under provisions of the 1982 Law of the Sea company name, GOM Company Convention, and could be subject to a these conditions, bids may be modified Number, and the area and block bid on continental shelf delimitation agreement or withdrawn upon written notification (abbreviation acceptable); or between the United States and Mexico. For up until 9 a.m., Wednesday, August 27, (2) Bidders may use electronic funds clarity and descriptive purposes, this area is 1997. Closure of the office may be transfer (EFT) payment for 1/5th of the referred to in this Notice as the ‘‘Northern determined by calling (504) 736–0557 cash bonus, payable to the Minerals Portion of the Western Gap.’’ A list of these and hearing a recorded message to that Management Service. Bidders who tracts or portions of tracts and a map are effect. included in the Sale Notice Package available choose this method must contact MMS 3. Method of Bidding. Royalty Management (Mr. David from the MMS Gulf of Mexico Regional Procedures for the submission of bids Office Public Information Unit (see paragraph Menard at (303) 231–3574) by the Bid in Sale 168 are described in paragraph 14(a)). Submission Deadline to inform MMS of (a) below. Procedures for the submission their intent to use EFT, to clarify EFT Procedures for opening of bids for all of bids for blocks in the Northern procedures to be used, and to designate blocks except for blocks in the Northern Portion of the Western Gap will differ an EFT coordinator. Joint bidders must Portion of the Western Gap are specified from bid submission procedures for bids designate one bidder as EFT in paragraph (1) below. Procedures for on blocks outside that area. These coordinator. EFT coordinators must opening of bids for blocks in the differences are specified in paragraph submit the bids and ensure that the total Northern Portion of the Western Gap are (b) below. specified in paragraph (2) below: (a) Submission of Bids. A separate of the 1/5 cash bonus for the high bids (1) Bid Opening Time will be 9 a.m., signed bid in a sealed envelope labeled they submit is transferred to MMS via Wednesday, August 27, 1997, at the ‘‘Sealed Bid for Oil and Gas Lease Sale EFT. The EFT payment shall be made by Royal Sonesta Hotel, 300 Bourbon 168, not to be opened until 9 a.m., c.s.t., either the Fedwire Deposit System Street, New Orleans, Louisiana. All bids Wednesday, August 27, 1997’’ must be (same day payments) or the Automated must be submitted and will be submitted for each tract bid upon. The Clearing House (overnight payments). considered in accordance with sealed envelope and the bid should The Gulf of Mexico OCS Regional applicable regulations, including 30 contain the following information: the Office will advise bidders who submit CFR Part 256. The list of restricted joint company name, Gulf of Mexico high bids of the amount required for bidders which applies to this sale Company Number (GOM Company EFT payment. Promptly after appeared in the Federal Register at 62 Number), Leasing Map or Official notification, the EFT coordinators must FR 14699, published on March 27, 1997. Protraction Diagram number (e.g., TEX– instruct their banks to send via EFT the (2) Procedures for opening bids on MAP No. 1 for the South Padre Island sum of the 1/5th bonus for all high bids blocks in this area will differ from Area, NG 14–3 for the Corpus Christi to the appropriate United States procedures described above as follows: Area), and the area name and block Treasury account. Instructions for The MMS will set aside bids for blocks number of the tract bid upon. In making EFT 1/5th bonus payments are in the Northern Portion of the Western addition, the total amount bid to be included in the Sale Notice Package. Gap until a future date. On or before considered by MMS must be in a whole [These procedures/instructions are March 3, 1998, the Secretary will dollar amount. Any cent amount above consistent with 4/5th bonus and first determine whether it is in the best the whole dollar will be ignored by year rental payment procedures using interest of the United States either to MMS. No bid for less than all of the EFT.] open bids for these blocks or to return available portion(s) of a block will be Additionally, each EFT coordinator the bids unopened. The MMS will considered. must submit in a separate sealed notify bidders at least 30 days prior to All documents must be executed in envelope accompanying the bids, a bid opening. Bidders on these blocks conformance with signatory single payment for 1/5th of the sum of may withdraw their bids at any time authorizations on file in the Gulf of all bids submitted by that EFT after such notice and prior to 10 a.m. Mexico Regional Office. Partnerships coordinator for Sale 168, including joint (c.s.t.) of the day before bid opening. If also need to submit or have on file a list bids. The lump sum payment(s) in the MMS does not give notice by March 3, of signatories authorized to bind the sealed envelope(s) must be in cash, or 1998, MMS will return the bids partnership. Bidders submitting joint by cashier’s check, bank draft, or unopened. This will provide time for bids must state on the bid form the certified check, payable to the order of companies to make decisions regarding proportionate interest of each the U.S. Department of the Interior— the next annual Central Gulf and the participating bidder, in percent, to a Minerals Management Service. These next annual Western Gulf lease sales, maximum of five decimal places, e.g., lump sum payments will be used to proposed for March and August 1998, 33.33333 percent. Other documents may secure the EFT payments. Once the EFT respectively, which may also, as they be required of bidders under 30 CFR payment in an amount sufficient to have for more than the past decade, 256.46. Bidders are warned against cover that bidder’s high bids is credited offer tracts in the Northern Portion of violation of 18 U.S.C. 1860 prohibiting to the appropriate United States the Western Gap. The MMS reserves the unlawful combination or intimidation of Treasury account, the lump sum right to return these bids at any time. bidders. payment accompanying those bids will The MMS will not disclose which Bidders must submit the 1/5th cash be returned. The envelope containing blocks received bids or the names of bonus using one of the following this payment should be in the following bidders in this area unless and until the options: format: bids are opened. (1) Bidders may submit with each bid (b) Natural Disasters. In the event a 1/5th of the cash bonus, in cash or by Lump Sum Check Securing EFT natural disaster (such as widespread cashier’s check, bank draft, or certified Payments flooding) or other occurrence causes the check, payable to the order of the U.S. Submitted by: Explorer LTD. MMS Gulf of Mexico Regional Office to Department of the Interior—Minerals GOM Company No.: 20999 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39865

The EFT payment for 1/5th of the sum after opening of bids on these blocks (b) Yearly Rental. All leases awarded of the high bids on blocks must be (see paragraph 2(a)(2)). on tracts in water depths of 200 meters received in the appropriate United (c) Submission of Statement(s) and greater as depicted on the map States Treasury account no later than Regarding Certain Geophysical Data. ‘‘Lease Terms, Bidding Systems, and noon, Eastern Time, on August 28, 1997, Each company submitting a bid, or Royalty Suspension Areas, Sale 168’’ the day after Lease Sale 168. participating as a joint bidder in such a (i.e., tracts in any of the three royalty If the EFT payments are late or bid, shall submit, prior to the Bid suspension areas) will provide for a deficient in amount, the lump sum Submission Deadline specified in yearly rental payment of $7.50 per acre payments accompanying the bids will paragraph 2 of this Notice, a statement or fraction thereof until initial be deposited into the appropriate or statements identifying any processed production is obtained. This map is United States Treasury account. Should or reprocessed pre- and post-stack available from the MMS Gulf of Mexico these payments (which secure high bids depth-migrated geophysical data in their Regional Office Public Information Unit and unsuccessful bids) require a refund possession or control pertaining to each (see paragraph 14(a) of this Notice). to the bidders, those refunds, without and every block on which they are All leases awarded on other tracts interest, will be accomplished through participating as a bidder. The existence, (i.e., those in water depths of less than EFT as soon as practicable. No interest extent, and type of such data must be 200 meters) will provide for a yearly payments will be made for unsuccessful clearly identified. In addition, the rental payment of $5.00 per acre or bid(s) returned in this manner. statement shall certify that no such data fraction thereof until initial production (b) Submission of Bids in the Northern is in their possession for any other is obtained. Portion of the Western Gap. Procedures blocks on which they participate as a (c) Bidding Systems. After initial for the submission of bids on blocks in bidder. The statement shall be production is obtained, leases will this area will differ from procedures submitted in an envelope separate from provide for a minimum royalty of the described in paragraph (a) above as those containing bids and shall be amount per acre or fraction thereof as follows: clearly marked; an example of a specified as the yearly rental in The MMS will receive bids on blocks preferred format for the statement and paragraph 4(b) above, except during in the Northern Portion of the Western the envelope is included in the periods of royalty suspension as Gap. Separate, signed bids on these document titled ‘‘Trial Procedures for discussed in paragraph 4(c)(3) of this blocks must be submitted in sealed Access to Certain Geophysical Data in Notice. The following royalty systems envelopes labeled only with ‘‘Northern the Gulf of Mexico’’ (revised January 19, will be used in this sale: Portion of Western Gap Bid’’, the Gulf 1996). Only one statement per bidder is (1) Leases with a 121⁄2-Percent of Mexico Company Number, and a required for each sale, but more than Royalty. This royalty rate applies to sequential bid number for the company one may be submitted if desired, tracts in water depths of 400 meters or submitting the bid(s). The envelope provided that all tracts bid on by that greater; this area is shown on the Map would thus be in the following format: company are covered in the one or more ‘‘Lease Terms, Bidding Systems, and Northern Portion of Western Gap Bid statements. Companies bidding on Royalty Suspension Areas, Sale 168’’ GOM Company No.: 20999 blocks in the Northern Portion of the applicable to this Notice (see paragraph Northern Portion of Western Gap Bid Western Gap (see paragraph 2(a)) must 13). Leases issued on the tracts offered number 1 submit a separate statement covering in this area will have a fixed royalty rate Bidders must submit bids using one of any blocks in that area. This statement of 121⁄2 percent, except during periods the options described in paragraph 3(a) must be in a sealed envelope with a of royalty suspension (see paragraph above. If the option to use EFT for the label stating that it contains information 4(c)(3) of this Notice). 1/5th cash bonus is selected, each EFT regarding blocks in the Northern Portion (2) Leases with a 162⁄3-Percent coordinator submitting bids on blocks of the Western Gap. The following Royalty. This royalty rate applies to within the Northern Portion of the format is recommended: tracts in water depths of less than 400 Western Gap must submit, in a separate For Blocks In The Northern Portion Of meters (see aforementioned map). sealed envelope accompanying those The Western Gap Only Leases issued on the tracts offered in bids, a single payment for 1/5th of the GOM Company No. 20137 this area will have a fixed royalty rate sum of all bids on blocks within the Depth-Migrated Seismic Data Statement of 162⁄3 percent, except during periods Northern Portion of the Western Gap, Proprietary Data of royalty suspension for leases in water including joint bids. The envelope Submitted In Conjunction With Oil And depths 200 meters or greater (see containing this payment should be in Gas Lease Sale 168 paragraph 4(c)(3) of this Notice). the following format: This envelope will be opened only if (3) Royalty Suspension. In accordance Lump Sum Check Securing EFT and when bids on blocks in this area are with Public Law 104–58, signed by the Payments opened (see paragraph 2(a)). If these President on November 28, 1995, MMS Northern Portion of the Western Gap bids are not opened, the sealed has developed procedures providing for GOM Company No.: 20999 envelopes will be returned to the the suspension of royalty payments on If the bids on blocks in the Northern companies who submitted them. production from eligible leases issued as Portion of the Western Gap are not Paragraph 14(j), Information to a result of this sale. MMS will allow opened, the sealed envelopes containing Lessees, contains additional information only one royalty suspension volume per the lump sum checks will be returned pertaining to geophysical data. field regardless of the number of eligible to EFT coordinators along with the 4. Minimum Bid, Yearly Rental, and leases producing the field. For purposes unopened bids. Bidding Systems. The following of this paragraph, an eligible lease is one The EFT payment for 1/5th of the sum bidding, yearly rental, and royalty that: is located in the Gulf of Mexico in of the high bids on blocks within the systems apply to this sale: water depths 200 meters or deeper; lies Northern Portion of the Western Gap (a) Minimum Bid. All bids submitted wholly west of 87 degrees, 30 minutes must be received in the appropriate at this sale must provide for a cash West longitude; and is offered subject to United States Treasury account no later bonus in the amount of $25.00 or more a royalty suspension volume authorized than noon, Eastern Time, on the day per acre or fraction thereof. by statute. 39866 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

An eligible lease from this sale may (vii) If MMS reassigns a well on an 1.7(b) and Executive Order No. 11246 of receive a royalty suspension volume eligible lease to another field, the past September 24, 1965, as amended by only if it is in a field where no currently production from that well will count Executive Order No. 11375 of October active lease produced oil or gas (other toward the royalty suspension volume, 13, 1967, on the Compliance Report than test production) before November if any, specified for the new field to Certification Form, Form MMS–2033 28, 1995. The following applies only to which it is assigned. The past (June 1985), and the Affirmative Action eligible leases in fields meeting this production will not be counted toward Representation Form, Form MMS–2032 condition. the suspension volume, if any, from the (June 1985) must be on file in the MMS (i) The royalty suspension volumes first field. Gulf of Mexico Regional Office prior to are: (viii) An eligible lease may receive a lease award (see paragraph 14(e)). —17.5 million barrels of oil equivalent royalty suspension volume only if the 6. Bid Opening. Bid opening will (mmboe) in 200 to 400 meters of entire lease is west of 87 degrees, 30 begin at the bid opening times stated in water; minutes West longitude. A field that lies paragraph 2. The opening of the bids is —52.5 mmboe in 400 to 800 meters of on both sides of this meridian will for the sole purpose of publicly water; and receive a royalty suspension volume announcing bids received, and no bids —87.5 mmboe in 800 meters of water only for those eligible leases lying will be accepted or rejected at that time. and greater. entirely west of the meridian. 7. Deposit of Payment. Any cash, (ix) An eligible lease may obtain more cashier’s checks, certified checks, or A map titled ‘‘Lease Terms, Bidding than one royalty suspension volume. If bank drafts submitted with high bids, Systems, and Royalty Suspension Areas, a new field is discovered on an eligible and any EFT payments made in Sale 168’’ depicting blocks in which lease that already benefits from the accordance with Paragraph 3(a)(2) such suspensions may apply is royalty suspension volume for another above, will be deposited by the currently available from the MMS Gulf field, production from that new field Government in an interest-bearing of Mexico Regional Office Public receives a separate royalty suspension. account in the U.S. Treasury during the Information Unit (see paragraph 14(a) of (x) A lessee must measure natural gas period the bids are being considered. this Notice). production subject to the royalty Such a deposit does not constitute and (ii) When production first occurs from suspension volume as follows: 5.62 shall not be construed as acceptance of any of the eligible leases in a field (not thousand cubic feet of natural gas equals any bid on behalf of the United States. including test production), MMS will one barrel of oil equivalent, as measured 8. Withdrawal of Tracts. The United determine the royalty suspension fully saturated at 15.025 psi, 60 degrees States reserves the right to withdraw volume applicable to eligible lease(s) in F. any tract from this sale prior to issuance that field. The determination is based on (xi) In any year during which the of a written acceptance of a bid for the the royalty suspension volumes and the arithmetic average of the closing prices tract. map specified in paragraph 4(c)(3)(i) on the New York Mercantile Exchange 9. Acceptance, Rejection, or Return of above. for light sweet crude oil exceeds $28.00 Bids. The United States reserves the (iii) If a new field consists of eligible per barrel, royalties on the production of right to reject any and all bids. In any leases in different water depth oil must be paid at the lease stipulated case, no bid will be accepted, and no categories, the royalty suspension royalty rate (see paragraphs 4(c)(1) and lease for any tract will be awarded to volume associated with the deepest (2) above), and production during such any bidder, unless: eligible lease applies. years counts toward the royalty (a) The bidder has complied with all (iv) If an eligible lease is the only suspension volume. requirements of this Notice and eligible lease in a field, royalty is not In any year during which the applicable regulations; owed on the production from the lease arithmetic average of the closing prices (b) The bid is the highest valid bid; up to the amount of the applicable on the New York Mercantile Exchange and royalty suspension volume. for natural gas exceeds $3.50 per million (c) The amount of the bid has been (v) If a field consists of more than one British thermal units, royalties on the determined to be adequate by the eligible lease, payment of royalties on production of natural gas must be paid authorized officer. the eligible leases’ initial production is at the lease stipulated royalty rate (see No bonus bid will be considered for suspended until their cumulative paragraphs 4(c)(1) and (2) above), and acceptance unless it provides for a cash production equals the field’s established production during such years counts bonus in the amount of $25.00 or more royalty suspension volume. The royalty toward the royalty suspension volume. per acre or fraction thereof. Any bid suspension volume for each eligible These prices for oil and natural gas submitted which does not conform to lease is equal to each lease’s actual are as of the end of 1994, and must be the requirements of this Notice, the OCS production (or production allocated adjusted for subsequent years by the Lands Act, as amended, and other under an approved unit agreement) percentage by which the implicit price applicable regulations may be returned until the field’s established royalty deflator for the gross domestic product to the person submitting that bid by the suspension volume is reached. changed during the preceding calendar RD and not considered for acceptance. (vi) If an eligible lease is added to a year. To ensure that the Government field that has an established royalty (xii) A royalty suspension will receives a fair return for the conveyance suspension volume, the field’s royalty continue until the end of the month in of lease rights for this sale, tracts will be suspension volume will not change which the cumulative production from evaluated in accordance with even if the added lease is in deeper eligible leases in the field reaches the established MMS bid adequacy water. The additional lease may receive royalty suspension volume for the field. procedures. A copy of the current a royalty suspension volume only to the Paragraph 14(l), Information to procedures (‘‘Summary of Procedures extent of its production before the Lessees, contains additional information for Determining Bid Adequacy at cumulative production from all eligible pertaining to royalty suspension Offshore Oil and Gas Lease Sales: leases in the field equals the field’s matters. Effective August 1997, with Sale 168’’) previously established royalty 5. Equal Opportunity. The is available from the MMS Gulf of suspension volume. certification required by 41 CFR 60– Mexico Regional Office Public Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39867

Information Unit (see paragraph 14(a) of (a) OCS Leasing Maps—Texas, Nos. 1 13. Lease Terms and Stipulations. this Notice). through 8. This is a set of 16 maps (a) Leases resulting from this sale will Please Note: MMS recently made which sells for $18.00. have initial terms as shown on the map modifications to its process for bid adequacy (b) OCS Official Protraction Diagrams. ‘‘Lease Terms, Bidding Systems, and determination. These changes affect Sale 168 These diagrams sell for $2.00 each. Royalty Suspension Areas, Sale 168.’’ and were announced in a Federal Register NG 14–3 Corpus Christi (rev. 01/27/ Copies of the map and lease form are Notice at 62 FR 37589, dated July 14, 1997, 76) available from the MMS Gulf of Mexico and are included in the Summary document NG 14–6 Port Isabel (rev. 01/15/92) Regional Office Public Information Unit mentioned above available from the Gulf of NG 15–1 East Breaks (rev. 01/27/76) (see paragraph 14(a)). Mexico Regional Office Public Information (b) The applicability of the Unit. NG 15–2 Garden Banks (rev. 10/19/81) NG 15–4 Alaminos Canyon (rev. 04/ stipulations which follow is as shown 10. Successful Bidders. The following 27/89) on the map ‘‘Stipulations and Deferred requirements apply to successful NG 15–5 Keathley Canyon (rev. 04/27/ Blocks, Sale 168’’ and as supplemented bidders in this sale: 89) by references in this Notice. (a) Lease Issuance. Each person who NG 15–8 (No Name) (rev. 04/27/89) Stipulation No. 1—Topographic has submitted a bid accepted by the 12. Description of the Areas Offered Features. authorized officer will be required to for Bids. execute copies of the lease (Form MMS– (This stipulation will be included in (a) Acreage Available for Leasing. leases located in the areas so indicated 2005 (March 1986) as amended), pay the Acreage of blocks is shown on Leasing balance of the cash bonus bid along in the Biological Stipulation Map Maps and Official Protraction Diagrams. Package associated with this Notice with the first year’s annual rental for Some of these blocks, however, may be each lease issued, by EFT in accordance which is available from the MMS Gulf partially leased, or transected by of Mexico Regional Office Public with the requirements of 30 CFR administrative lines such as the Federal/ 218.155, and satisfy the bonding Information Unit (see paragraph 14(a)).) State jurisdictional line. Information on The banks that cause this stipulation requirements of 30 CFR 256, Subpart I, the unleased portions of such blocks, as amended. to be applied to blocks of the Western including the exact acreage, is included Gulf are: Paragraphs 14(m), (n), and (q), in the following document as a part of Information to Lessees, contain the Sale Notice Package and is currently No activity zone de- additional information pertaining to this available from the MMS Gulf of Mexico Bank name fined by Isobath (me- matter. Regional Office Public Information Unit ters) (b) Certification Regarding (see paragraph 14(a)): Nonprocurement Debarment, Shelf Edge Banks: Western Gulf of Mexico Lease Sale West Flower Gar- 100 Suspension, and Other Responsibility 168—Final. Unleased Split Blocks and den Bank. Matters—Primary Covered Transactions. Unleased Acreage of Blocks with (Defined by 1¤4 1¤4 1¤4 Each person involved as a bidder in a Aliquots and Irregular Portions Under system) successful high bid must have on file, in Lease. East Flower Garden 100 the MMS Gulf of Mexico Regional Office (b) Tracts not available for leasing. Bank. Adjudication Unit, a currently valid The areas offered for leasing include all (Defined by 1¤4 1¤4 1¤4 certification that the person is not those blocks shown on the OCS Leasing system) excluded from participation in primary MacNeil Bank ...... 82 Maps and Official Protraction Diagrams 29 Fathom Bank .... 64 covered transactions under Federal listed in paragraph 11(a) and (b), except Rankin Bank ...... 85 nonprocurement programs and for those blocks or partial blocks already Geyer Bank ...... 85 activities. A certification previously under lease and those blocks or partial Elvers Bank ...... 85 provided to that office remains currently blocks listed below. A list of Western Bright Bank 1 ...... 85 valid until new or revised information Gulf of Mexico tracts currently under McGrail Bank 1 ...... 85 applicable to that certification becomes Rezak Bank 1 ...... 85 lease is included in the Sale Notice 1 available. In the event of new or revised Sidner Bank ...... 85 Package available from the MMS Gulf of Parker Bank 1 ...... 85 applicable information, a subsequent Mexico Regional Office Public Stetson Bank ...... 52 certification is required before lease Information Unit (see paragraph 14(a)). Appelbaum Bank ... 85 issuance can occur. Persons submitting (1) Although currently unleased, no Low Relief Banks: 2 such certifications should review the bids will be accepted on High Island Mysterious Bank .... 74, 76, 78, 80, 84 requirements of 43 C.F.R., Part 12, Area, East Addition, South Extension, Coffee Lump ...... Various Subpart D, as amended in the Federal Blocks A–375 and A–398 (at the Flower Blackfish Ridge ...... 70 Register of June 26, 1995, at 60 FR Garden Banks). Big Dunn Bar ...... 65 33035. Small Dunn Bar ..... 65 (2) Although currently unleased, no 32 Fathom Bank .... 52 Copies of the certification form are bids will be accepted on the following Claypile Bank 3 ...... 50 available from the MMS Gulf of Mexico blocks located off Corpus Christi which South Texas Banks 4 Regional Office Public Information Unit. have been identified by the Navy as Dream Bank ...... 78, 82 See Paragraph 14(a) of this Notice for needed for testing equipment and Southern Bank ...... 80 directions on how to obtain the forms. training mine warfare personnel: Hospital Bank ...... 70 11. Leasing Maps and Official Mustang Island Area Blocks 793, 799, North Hospital Bank 68 Aransas Bank ...... 70 Protraction Diagrams. Tracts offered for and 816. South Baker Bank 70 lease may be located on the following (3) Although currently unleased, no Baker Bank ...... 70 Leasing Maps or Official Protraction bids will be accepted on the following Diagrams which may be purchased from blocks which are currently under 1 Central Gulf of Mexico bank with a portion of its ``1-Mile Zone'' and/or ``3-Mile Zone'' in the MMS Gulf of Mexico Regional Office appeal: High Island Area Block 170, and the Western Gulf of Mexico. Public Information Unit (see paragraph Galveston Area, South Addition, Block 2 Low Relief BanksÐOnly paragraph (a) ap- 14(a)): A–125. plies. 39868 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

3 Claypile BankÐParagraphs (a) and (b) to such person or property occurs by independent contractors or apply. In paragraph (b), monitoring of the efflu- reason of the activities of any agency of subcontractors and onshore facilities. ent to determine the effect on the biota of Claypile Bank shall be required rather than the United States Government, its (c) Operational. shunting. contractors or subcontractors, or any of The lessee, when operating or causing 4 South Texas BanksÐOnly paragraphs (a) its officers, agents or employees, being to be operated on its behalf, boat, ship, and (b) apply. conducted as a part of, or in connection or aircraft traffic into the individual (a) No activity including structures, with, the programs and activities of the designated warning areas, shall enter drilling rigs, pipelines, or anchoring command headquarters listed at the end into an agreement with the commander will be allowed within the listed isobath of this stipulation. of the individual command (‘‘No Activity Zone’’ as shown in the Notwithstanding any limitation of the headquarters listed in the following list, aforementioned Biological Stipulation lessee’s liability in Section 14 of the upon utilizing an individual designated Map Package) of the banks as listed lease, the lessee assumes this risk warning area prior to commencing such above. whether such injury or damage is traffic. Such an agreement will provide (b) Operations within the area shown caused in whole or in part by any act for positive control of boats, ships, and as ‘‘1,000-Meter Zone’’ in the or omission, regardless of negligence or aircraft operating into the warning areas aforementioned Biological Stipulation fault, of the United States, its at all times. Map Package shall be restricted by contractors or subcontractors, or any of W–228—Chief, Naval Air Training, shunting all drill cuttings and drilling its officers, agents, or employees. The Naval Air Station, Office No. 206, fluids to the bottom through a downpipe lessee further agrees to indemnify and Corpus Christi, Texas 78419–5100, that terminates an appropriate distance, save harmless the United States against Telephone: (512) 939–3862/3902 but no more than 10 meters, from the all claims for loss, damage, or injury W–602—Headquarters ACC/DOSR, bottom. sustained by the lessee, or to indemnify Detachment 1, Operations (c) Operations within the area shown and save harmless the United States Headquarters, Air Combat Command, as ‘‘1-Mile Zone’’ in the aforementioned against all claims for loss, damage, or Offutt AFB, Nebraska 68113–5550, Biological Stipulation Map Package injury sustained by the agents, Telephone: (402) 294–2334 shall be restricted by shunting all drill employees, or invitees of the lessee, its Stipulation No. 3—Operations in the cuttings and drilling fluids to the agents, or any independent contractors Naval Mine Warfare Area bottom through a downpipe that or subcontractors doing business with (This stipulation will apply to terminates an appropriate distance, but the lessee in connection with the no more than 10 meters, from the Mustang Island Area East Addition programs and activities of the Blocks 732, 733, and 734.) bottom. (Where there is a ‘‘1-Mile Zone’’ aforementioned military installation, designated, the ‘‘1,000-Meter Zone’’ in (a) The placement, location, and whether the same be caused in whole or planned periods of operation of surface paragraph (b) is not designated.) This in part by the negligence or fault of the restriction on operations also applies to structures on this lease during the United States, its contractors, or exploration stage are subject to approval areas surrounding the Flower Garden subcontractors, or any of its officers, Banks National Marine Sanctuary, by the RD, MMS Gulf of Mexico Region, agents, or employees and whether such after the review of the operator’s namely the ‘‘4-Mile Zone’’ surrounding claims might be sustained under a the East Flower Garden Bank and the Exploration Plan (EP). Prior to approval theory of strict or absolute liability or of the EP, the RD will consult with the West Flower Garden Bank. otherwise. (d) Operations within the area shown Commander, Mine Warfare Command, as ‘‘3-Mile Zone’’ in the aforementioned (b) Electromagnetic Emissions. in order to determine the EP’s Biological Stipulation Map Package The lessee agrees to control its own compatibility with scheduled military shall be restricted by shunting all drill electromagnetic emissions and those of operations. No permanent structures nor cuttings and drilling fluids from its agents, employees, invitees, debris of any kind shall be allowed in development operations to the bottom independent contractors or the area covered by this lease during through a downpipe that terminates an subcontractors emanating from exploration operations. appropriate distance, but no more than individual designated defense warning (b) To the extent possible, sub- 10 meters, from the bottom. areas in accordance with requirements seafloor development operations for specified by the commander of the resources subsurface to this area should Stipulation No. 2—Military Areas. command headquarters listed in the originate outside the area covered by (This stipulation will be included in following table to the degree necessary this lease. Any above-seafloor leases located within the Warning Areas to prevent damage to, or unacceptable development operations within the area as shown on the map described in interference with, Department of covered by this lease must be paragraph 13(b).) Defense flight, testing, or operational compatible with scheduled military (a) Hold and Save Harmless. activities, conducted within individual operations as determined by the Whether compensation for such designated warning areas. Necessary Commander, Mine Warfare Command. damage or injury might be due under a monitoring control, and coordination The lessee will consult with and theory of strict or absolute liability or with the lessee, its agents, employees, coordinate plans for above-seafloor otherwise, the lessee assumes all risks of invitees, independent contractors or development activities (including damage or injury to persons or property, subcontractors, will be effected by the abandonment) with the Commander, which occur in, on, or above the OCS, commander of the appropriate onshore Mine Warfare Command. The to any persons or to any property of any military installation conducting Development Operations Coordination person or persons who are agents, operations in the particular warning Document (DOCD) must contain the employees, or invitees of the lessee, its area; provided, however, that control of locations of any permanent structures, agents, independent contractors, or such electromagnetic emissions shall in fixed platforms, pipelines, or anchors subcontractors doing business with the no instance prohibit all manner of planned to be constructed or placed in lessee in connection with any activities electromagnetic communication during the area covered by this lease as part of being performed by the lessee in, on, or any period of time between a lessee, its such development operations. The above the OCS, if such injury or damage agents, employees, invitees, DOCD must also contain the written Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39869 comments of the Commander, Mine to offshore pipelines. This recently Public Information Unit (see paragraph Warfare Command on the proposed revised MOU is available from the MMS 14(a)): activities. Prior to the approval of the Gulf of Mexico Regional Office Public ‘‘List of Lease Blocks Within the High- DOCD, the RD will consult with the Information Unit (see paragraph 14(a) of Probability Area for Historic Period Commander in order to determine the this Notice). Shipwrecks on the OCS’’ dated May 22, DOCD’s compatibility with scheduled (d) 8-Year Leases. Bidders are advised 1995, (including an Errata Sheet II dated military operations. For more that any lease issued for a term of 8 April 16, 1997). This list supersedes the information, consultation, and years will be canceled shortly after the list promulgated by the MMS Letter to coordination, the lessee must contact: end of the fifth year, following notice Lessees (LTL) of November 30, 1990. Commander, Mine Warfare Command, pursuant to the OCS Lands Act, as ‘‘List of Lease Blocks Within the High- 325 Fifth Street, S.E., Corpus Christi, amended, if within the initial 5-year Probability Area for Prehistoric Texas 78419–5032, Phone: (512) 939– period of the lease, the drilling of an Archaeological Resources on the OCS’’ 4895 exploratory well has not been initiated; dated May 22, 1995. 14. Information to Lessees. or if initiated, the well has not been MMS Gulf of Mexico Regional Office (a) Supplemental Documents. For drilled in conformance with the Letter to Lessees and Operators of copies of the various documents approved exploration plan criteria; or if March 17, 1996, which contains a list of identified as available from the MMS there is not a suspension of operations lease blocks within the High-Probability Gulf of Mexico Regional Office, in effect. Furthermore, a rental payment Areas for both Historic Period prospective bidders should contact the for the sixth year will be due despite the Shipwrecks and Prehistoric Public Information Unit, Minerals cancellation. Bidders are referred to 30 Archaeological Resources on the OCS Management Service, 1201 Elmwood CFR 256.37 and the MMS Gulf of that were formerly ‘‘grandfathered’’ but Park Boulevard, New Orleans, Louisiana Mexico Regional Office Letter to Lessees which may now require archaeological 70123–2394, either in writing or by and Operators of February 13, 1995. surveys. telephone at (504) 736–2519 or (800) (e) Affirmative Action. Lessees are (h) Proposed Artificial Reefs/Rigs-to- 200–GULF. For additional information, advised that they must adhere to the Reefs. Bidders are advised that there are contact the Regional Supervisor for rules of the Department of Labor, Office OCS artificial reef planning and general Leasing and Environment at that of Federal Contract Compliance, at 41 permit areas, and reef sites for the Gulf address or by telephone at (504) 736– CFR Chapter 60. Companies with of Mexico. These are located in water 2759. questions regarding those rules should depths of less than 200 meters. While all (b) Navigation Safety. Operations on contact one of the various regional artificial reef sites require a permit from some of the blocks offered for lease may Department of Labor Offices of Federal the COE, the Artificial Reefs program is be restricted by designation of fairways, Contract Compliance. implemented through State sponsorship precautionary zones, anchorages, safety (f) Ordnance Disposal Areas. Bidders through the following State zones, or traffic separation schemes are cautioned as to the existence of two Coordinators: established by the U.S. Coast Guard inactive ordnance disposal areas in the Alabama Mr. Steve Heath, (334) 968– pursuant to the Ports and Waterways Corpus Christi and East Breaks areas, 7576 Safety Act (33 U.S.C. 1221 et seq.), as shown on the map described in Florida Mr. Jon Dodrill, (904) 922–4340 amended. paragraph 13(a). These areas were used Louisiana Mr. Rick Kasprzak, (504) 765– U.S. Army Corps of Engineers (COE) to dispose of ordnance of unknown 2375 permits are required for construction of composition and quantity. These areas Mississippi Mr. Mike Buchanan, (601) any artificial islands, installations, and have not been used since about 1970. 385–5860 other devices permanently or Water depths in the Corpus Christi area Texas Ms. Jan Culbertson, (281) 474– temporarily attached to the seabed range from approximately 600 to 900 1418 located on the OCS in accordance with meters. Water depths in the East Breaks For more information, on artificial section 4(e) of the OCS Lands Act, as area range from approximately 300 to reef sites, prospective bidders should amended. 700 meters. Bottom sediments in both contact the above listed State Artificial For additional information, areas are generally soft, consisting of Reef Coordinators for their areas of prospective bidders should contact Lt. silty clays. Exploration and interest. Commander Bill Daughdrill, Chief of development activities in these areas (i) Proposed Lightering Zones. Bidders Facility and Offshore Compliance require precautions commensurate with are advised that the U.S. Coast Guard Section, 8th Coast Guard District, Hale the potential hazards. has designated certain areas of the Gulf Boggs Federal Building, New Orleans, (g) Archaeological Resources. Bidders of Mexico (60 FR 45006 of August 29, Louisiana 70130, (504) 589–6901. For are referred to the regulations at 30 CFR 1995), as lightering zones for the COE information, prospective bidders 250.26 (Archaeological Reports and purpose of permitting single hull vessels should contact Mr. Dan Nannings, Chief Surveys). MMS Notice to Lessees (NTL) to off-load oil within the U.S. Exclusive Evaluation Section, Regulatory Branch, 91–02 (Outer Continental Shelf Economic Zone. Such designation may Post Office Box 1229, Galveston, Texas Archaeological Resources Requirements have implications for oil and gas 77553, (409) 766–3938. for the Gulf of Mexico OCS Region) operations in the areas. Additional (c) Offshore Pipelines. Bidders are published in the Federal Register on information may be obtained from advised that the Department of the December 20, 1991, (56 FR 66076) Lieutenant Commander Stephen Kantz, Interior and the Department of effective February 17, 1992, specifies Project Manager, Oil Pollution Act of Transportation have entered into a remote sensing instrumentation survey 1990 (OPA) Staff, at (202) 267–6740. Memorandum of Understanding (MOU), methodology, linespacing, and (j) Statement Regarding Certain dated December 10, 1996, concerning archaeological report writing Geophysical Data. Pursuant to Sections the design, installation, operations, requirements for lessees and operators 18 and 26 of the OCS Lands Act, as inspection, and maintenance of offshore in the Gulf of Mexico Region. Three amended, and the regulations issued pipelines. Bidders should consult both additional documents are available from thereunder, MMS has a right of access Departments for regulations applicable the MMS Gulf of Mexico Regional Office to certain geophysical data and 39870 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices information obtained or developed as a held in the strictest confidence and Royalty Management. Companies may result of operations on the OCS. MMS treated as proprietary in accordance now use either the Fedwire Deposit is sensitive to the concerns expressed by with the applicable terms of 30 CFR System or the Automated Clearing industry regarding the confidentiality of 251.14. House (overnight payments). See individual company work products and For additional information, contact paragraphs 3(a)(2) and 10(a) of this client lists and the potential burden of the MMS Gulf of Mexico Regional Office Notice. responding to a myriad of requests from of Resource Evaluation at (504) 736– (o) Deepwater Operations Plans. MMS pertaining to the existence and 2720. Bidders are advised that MMS Notice to availability of these types of reprocessed (k) Information about Indicated Lessees (NTL) 96–4N, which became geophysical data. To resolve the Hydrocarbons. Bidders are advised that effective on August 19, 1996, requires concerns of both industry and MMS MMS makes available, about 3 months that a Deepwater Operations Plan be with respect to such cases, MMS has prior to a lease sale, a list of unleased submitted for all deepwater worked with industry to develop the tracts having well bores with indicated development projects (water depths requirements contained within hydrocarbons. Basic information greater than 304.8 meters (1,000 feet)) paragraph 3(c) Method of Bidding above. relating to production, well bores, and and for all projects utilizing subsea MMS modified the previous procedure pay range for each tract is included in production technology; projects using to require that bidders who are in the list. The list is available from the conventional fixed-leg projects are possession of the requested data, now MMS Gulf of Mexico Regional Office exempted from this requirement. Copies identify the specific data by line name Public Information Unit (see paragraph of the NTL may be obtained from the or 3D phase. This has helped MMS in 14(a)). MMS Gulf of Mexico Regional Office identifying time data that may have (l) Royalty Relief. The OCS Deep Public Information Unit (see paragraph already been in our data base and at the Water Royalty Relief Act authorizes the 14(a) of this Notice). same time has not imposed undue Secretary of the Interior to offer certain (p) Minimizing Oil and Gas Structures burden on industry by rerequesting the deepwater OCS tracts in the Central and Near the Flower Garden Banks. Bidders data. All requirements are being Western Gulf of Mexico for lease with are reminded of Notice to Lessees and imposed on a trial basis to determine suspension of royalties for a volume, Operators (NTL) 85–8, ‘‘Minimizing Oil their effectiveness and are subject to value, or period of production the and Gas Structures in the Gulf of further modification in future sales. Secretary determines. An interim rule Mexico,’’ dated November 26, 1985. The details of this requirement are was published in the Federal Register Section II of the NTL sets forth the specified in the document ‘‘Trial (61 FR 12022; March 25, 1996) that MMS’ policy with regard to the Procedures for Access to Certain specifies the royalty suspension terms minimization of structures for drilling, Geophysical Data in the Gulf of Mexico’’ under which the Secretary will make development, and production on OCS (revised January 19, 1996) which is tracts available for this sale. Bidders are leases. The policy requires that such available upon request from the MMS advised to review that document for structures including lease-term Gulf of Mexico Region Public additional details on this matter. For pipelines be placed in a manner that Information Unit (see paragraph 14(a)). further information, bidders may causes minimum interference with other In brief, these requirements include: contact Mr. Walter Cruickshank of the significant uses of the OCS. Please be (1) In the period for ninety (90) days MMS Offshore Minerals Analysis advised that the MMS will strictly after the sale, bidders will allow MMS Division at (202) 208–3822. adhere to this policy when reviewing to inspect such data within seven (7) A map titled ‘‘Lease Terms, Bidding Exploration Plans and Development days of a written request from MMS, Systems, and Royalty Suspension Areas, Operations Coordination Documents and upon further written request will Sale 168’’ depicting blocks in which which propose the use or installation of transmit to MMS, within ten (10) such suspensions may apply is such structures within the ‘‘Four-Mile working days, such data. After this currently available from the MMS Gulf Zone’’ and adjacent areas surrounding ninety (90) day period, a response time of Mexico Regional Office Public the Flower Garden Banks National of thirty (30) days following an MMS Information Unit (see paragraph 14(a) of Marine Sanctuary. written request will be considered this Notice). (q) New Bonding Requirements. MMS adequate. The publication ‘‘OCS Operations promulgated revisions to the surety (2) Successful bidders must retain Field Names Master List’’ depicts bond program on May 22, 1997 (62 FR such data for three (3) years after the currently established fields in the Gulf 27948): ‘‘Surety Bonds for Outer sale, and unsuccessful bidders must of Mexico. This document is updated Continental Shelf Leases.’’ The revisions retain such data for six (6) months after monthly and reprinted quarterly. Copies to the surety bond program provide for the sale, for possible acquisition by may be obtained from the MMS Gulf of the following: MMS. Mexico Regional Office Public (1) Establishes December 8, 1997, as For the six (6) month period after the Information Unit (see paragraph 14(a) of the deadline for every lessee to comply sale, based on a review of the allowable this Notice). with the bond coverage requirements cost of data reproduction to MMS for (m) Lease Instrument. Bidders are established in the rule published August three-dimensional and two-dimensional advised that the lease instrument will 27, 1993 (58 FR 45255). data sets, the company providing the include royalty relief provisions (2) Clarifies the MMS position that co- reprocessed data will be reimbursed at (paragraph 4(c)(3) of this Notice) and 8- lessees and operating rights owners are a rate of $480 per block or part thereof year lease cancellation provisions jointly and severally liable for for three-dimensional data and $2 per (paragraph 14(d) of this Notice) where compliance with our regulations and the line mile for two-dimensional data. applicable. Leases will continue to be terms and conditions of their OCS oil Afterwards, reimbursement will be issued on Form MMS–2005 (March and gas and sulphur lease for non- subject to the terms and conditions of 30 1986) as amended. monetary obligations. CFR 251.13(a). (n) Electronic Funds Transfer. Bidders (3) Clarifies the MMS position that an All geophysical data and information are advised that the 4⁄5ths and first year assignor of an OCS lease remains obtained and reviewed by MMS rental EFT instructions for lease payoff responsible for compliance with the pursuant to these procedures shall be have been revised and updated by MMS lease abandonment obligations Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39871 associated with wells drilled or used of 1990 (OPA). The rule, which (iii) bonus bidding with a fixed 121⁄2- while the assignor was lessee. supersedes an interim rule in effect percent royalty on all unleased blocks in (4) Establishes regulatory frameworks since February 18, 1993, allows one water depths of 800 meters or more with for acceptance of lease-specific plan to be used to cover multiple potential for a royalty suspension abandonment accounts and third-party offshore facilities; thus allowing volume of up to 87.5 million barrels of guarantees. operators to reduce the cost of spill oil equivalent. (5) Sets a higher more realistic level response compliance without sacrificing For bidding systems (b) (i), (ii), and of bond coverage to be required of the environmental protection. The final rule (iii), the royalty suspension allocation holder of a G&G exploration permit to also permits the use of the National rules are described in the Interim Rule drill a deep stratigraphic test well and Response Team’s Integrated (30 CFR Part 260) addressing royalty authorizes a demand for a supplemental Contingency Plan Guidance when relief for new leases that was published bond from the holder of a G&G permit preparing a plan for MMS review. This in the Federal Register on March 25, or pipeline right-of-way. guidance allows facility owners to 1996 (61 FR 12022). This rule is the product of MMS consolidate multiple plans required by a. Bonus Bidding with a 162⁄3-Percent efforts to write regulations in plain various agencies into one functional Royalty. This system is authorized by English and continues attempts to response plan, thereby minimizing section (8)(a)(1)(A) of the OCSLA. This provide optimum flexibility for a lessee duplication. system has been used extensively since to meet lease bond requirements and the passage of the OCSLA in 1953 and Dated: July 28, 1997. ensure that lessees adequately fund imposes greater risks on the lessee than their end-of-lease obligations. Cynthia Quarterman, systems with higher contingency Objectives for this rule are to: (1) Director, Minerals Management Service. payments but may yield more rewards ensure a lessee’s financial capability to Approved: if a commercial field is discovered. The perform its lease obligations; (2) protect Bob Armstrong, relatively high front-end bonus the environment from threat of harm Assistant Secretary, Land and Minerals payments may encourage rapid that might result from a lessee’s failure Management. exploration. to timely carry out proper well [FR Doc. 97–19465 Filed 7–23–97; 8:45 am] b. (i) Bonus bidding with a 162⁄3- abandonment and site clearance BILLING CODE 4310±MR±P Percent Royalty and a Royalty operations; (3) achieve a reasonable Suspension Volume (17.5 million degree of protection from default by a barrels of oil equivalent). This system is lessee, permittee, or pipeline right-of- DEPARTMENT OF THE INTERIOR authorized by section (8)(a)(1)(H) of the way holder at a minimum increase in OCSLA, as amended. This system costs for lease, permit, or pipeline Minerals Management Service complies with Sec. 304 of the Outer operations; and (4) select a method for Continental Shelf Deep Water Royalty attaining those goals that equitably Outer Continental Shelf, Western Gulf Relief Act (DWRRA). An incentive for affect all parties. of Mexico; Notice of Leasing Systems, development and production in water (r) Proposed Rule: Oil Spill Financial Sale 168 depths of 200 to 400 meters is provided Responsibility for Offshore Facilities. Section 8(a)(8) (43 U.S.C. 1337(a)(8)) through allocating royalty suspension Bidders should note that MMS of the Outer Continental Shelf Lands volumes of 17.5 million barrels of oil published in the Federal Register a Act (OCSLA) requires that, at least 30 equivalent to eligible fields. proposed rule to implement a financial days before any lease sale, a Notice be b. (ii) Bonus Bidding with a 121⁄2- responsibility provision of the Oil submitted to the Congress and Percent Royalty and a Royalty Pollution Act of 1990 (OPA). The published in the Federal Register: Suspension Volume (52.5 million proposal, which appears at 62 FR 14052 1. Identifying the bidding systems to barrels of oil equivalent). This systems on March 25, 1997, requires those be used and the reasons for such use; is authorized by section (8)(a)(1)(H) of responsible for offshore oil facilities to and the OCSLA, as amended. It has been demonstrate that they can pay for 2. Designating the tracts to be offered chosen for blocks of water depths of 400 cleanup and damages caused by facility under each bidding system and the to 800 meters proposed for the Western oil spills. The proposed rule applies to reasons for such designation. Gulf of Mexico (Sale 168) to comply oil exploration, production, and This Notice is published pursuant to with Sec. 304 of the DWRRA. The 121⁄2- pipeline facilities located along and these requirements. percent royalty rate is used in deeper seaward of the U.S. coastline. The 1. Bidding systems to be used. In the water because these blocks are expected proposal reflects recent changes to OPA Outer Continental Shelf (OCS) Sale 168, to require substantially higher that more precisely define the scope of blocks will be offered under the exploration, development, and the oil spill financial responsibility following two bidding systems as production costs, as well as longer times requirement in terms of geographic authorized by section 8(a)(1) (43 U.S.C. before initial production, in comparison limitations, types of facilities affected, 1337(a)(1)), as amended: (a) Bonus to shallow-water blocks. The use of a and the dollar amounts of responsibility bidding with a fixed 162⁄3-percent royalty suspension volume of 52.5 that must be demonstrated. Public royalty on all unleased blocks in less million barrels of oil equivalent for comments on the proposed financial than 200 meters of water; and (b)(i) eligible fields provides an incentive for responsibility regulation were due June bonus bidding with a fixed 162⁄3-percent development and production 23, 1997. A final regulation should be royalty on all unleased blocks in 200 to appropriate for this water depth published by the end of the year. 400 meters of water with potential for a category. (s) Final Rule: Response Plans for royalty suspension volume of up to 17.5 b. (iii) Bonus Bidding with a 121⁄2- Facilities Located Seaward of the Coast million barrels of oil equivalent; (ii) Percent Royalty and a Royalty Line. Bidders should note that MMS bonus bidding with a fixed 121⁄2-percent Suspension Volume (87.5 million published in the Federal Register a final royalty on all unleased blocks in 400 to barrels of oil equivalent). This system is rule at 62 FR 13991 on March 25, 1997, 800 meters of water with potential for a authorized by section (8)(a)(1)(H) of the to implement the facility response royalty suspension volume of up to 52.5 OCSLA, as amended. It has been chosen planning provision of Oil Pollution Act million barrels of oil equivalent; and for blocks in water depths of 800 meters 39872 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices or more proposed for the Western Gulf Additional Bureau of Reclamation conditions of the contract may be of Mexico (Sale 168) to comply with (Reclamation) announcements of involved. Sec. 304 of the DWRRA. The use of a individual contract actions may be Public participation in and receipt of royalty suspension volume of 87.5 published in the Federal Register and in comments on contract proposals will be million barrels of oil equivalent for newspapers of general circulation in the facilitated by adherence to the following eligible fields provides an incentive for areas determined by Reclamation to be procedures: development and production affected by the proposed action. 1. Only persons authorized to act on appropriate for these deep-water depths. Announcements may be in the form of behalf of the contracting entities may 2. Designation of Blocks. The news releases, legal notices, official negotiate the terms and conditions of a selection of blocks to be offered under letters, memorandums, or other forms of specific contract proposal. the four systems was based on the written material. Meetings, workshops, 2. Advance notice of meetings or following factors: and/or hearings may also be used, as hearings will be furnished to those a. Royalty rates on adjacent, appropriate, to provide local publicity. parties that have made a timely written previously leased tracts were considered The public participation procedures do request for such notice to the to enhance orderly development of each not apply to proposed contracts for sale appropriate regional or project office of field. of surplus or interim irrigation water for Reclamation. b. Blocks in deep water were selected a term of 1 year or less. Either of the 3. Written correspondence regarding for the 121⁄2-percent royalty system contracting parties may invite the public proposed contracts may be made based on the favorable performance of to observe contract proceedings. All available to the general public pursuant this system in these high-cost areas in public participation procedures will be to the terms and procedures of the past sales. coordinated with those involved in Freedom of Information Act (80 Stat. c. The royalty suspension volumes complying with the National 383), as amended. were based on the water depth specific Environmental Policy Act. 4. Written comments on a proposed volumes mandates by the DWRRA. ADDRESSES: The identity of the contract or contract action must be The specific blocks to be offered approving officer and other information submitted to the appropriate regional under each system are shown on the pertaining to a specific contract officials at the locations and within the ‘‘Stipulations, Lease Terms, and Bidding proposal may be obtained by calling or time limits set forth in the advance Systems’’ and ‘‘Royalty Suspension writing the appropriate regional office at public notices. Areas for the Western Gulf of Mexico’’ the address and telephone number given 5. All written comments received and maps for Western Gulf of Mexico Lease for each region in the supplementary testimony presented at any public Sale 168. These maps are available from information. hearings will be reviewed and the Public Information Unit, Minerals FOR FURTHER INFORMATION CONTACT: summarized by the appropriate regional Management Service, 1201 Elmwood Alonzo Knapp, Manager, Reclamation office for use by the contract approving Park Boulevard, New Orleans, Louisiana Law, Contracts, and Repayment Office, authority. 70123–2394. Bureau of Reclamation, P.O. Box 25007, 6. Copies of specific proposed Cynthia Quarterman, Denver, Colorado 80225–0007; contracts may be obtained from the Director, Minerals Management Service. telephone 303–236–1061 extension 224. appropriate regional director or his designated public contact as they Approved: July 18, 1997. SUPPLEMENTARY INFORMATION: Pursuant become available for review and to section 226 of the Reclamation Bob Armstrong, comment. Reform Act of 1982 (96 Stat. 1273) and Assistant Secretary, Land and Minerals 7. In the event modifications are made 43 CFR 426.20 of the rules and Management. in the form of a proposed contract, the regulations published in 52 FR 11954, [FR Doc. 97–19503 Filed 7–23–97; 8:45 am] appropriate regional director shall Apr. 13, 1987, Reclamation will publish BILLING CODE 4310±MR±M determine whether republication of the notice of the proposed or amendatory notice and/or extension of the comment contract actions for any contract for the period is necessary. DEPARTMENT OF THE INTERIOR delivery of project water for authorized Factors considered in making such a uses in newspapers of general Bureau of Reclamation determination shall include, but are not circulation in the affected area at least limited to: (i) The significance of the 60 days prior to contract execution. Quarterly Status Report of Water modification, and (ii) the degree of Pursuant to the ‘‘Final Revised Public public interest which has been Service and Repayment Contract Participation Procedures’’ for water Negotiations expressed over the course of the resource-related contract negotiations, negotiations. As a minimum, the AGENCY: Bureau of Reclamation, published in 47 FR 7763, Feb. 22, 1982, regional director shall furnish revised Interior. a tabulation is provided of all proposed contracts to all parties who requested ACTION: Notice. contractual actions in each of the five the contract in response to the initial Reclamation regions. Each proposed public notice. SUMMARY: Notice is hereby given of action is, or is expected to be, in some proposed contractual actions that are stage of the contract negotiation process Acronym Definitions Used Herein new, modified, discontinued, or in 1997. When contract negotiations are (BCP)—Boulder Canyon Project completed since the last publication of completed, and prior to execution, each (CAP)—Central Arizona Project this notice on April 28, 1997. The proposed contract form must be (CUP)—Central Utah Project February 10, 1997, notice should be approved by the Secretary of the (CVP)—Central Valley Project used as a reference point to identify Interior, or pursuant to delegated or (CRSP)—Colorado River Storage Project changes. This notice is one of a variety redelegated authority, the Commissioner (D&MC)—Drainage and Minor of means used to inform the public of Reclamation or one of the regional Construction about proposed contractual actions for directors. In some instances, (FR)—Federal Register capital recovery and management of congressional review and approval of a (IDD)—Irrigation and Drainage District project resources and facilities. report, water rate, or other terms and (ID)—Irrigation District Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39873

(M&I)—Municipal and Industrial spaceholding in Palisades Reservoir by Highway and Park Street), Boulder City, (O&M)—Operation and Maintenance up to 5,162 acre-feet, thereby allowing Nevada 89006–1470, telephone 702– (P–SMBP)—Pick-Sloan Missouri Basin use of this space by Reclamation for 293-8536. Program flow augmentation. New contract actions: (R&B)—Rehabilitation and Betterment Contract actions completed: 62. Bureau of Land Management, BCP, (PPR)—Present Perfected Right 21. Hermiston, Stanfield, Westland, California: Agreement for 1,000 acre-feet (RRA)—Reclamation Reform Act and West Extension IDs, Umatilla of Colorado River water in accordance (NEPA)—National Environmental Policy Project, Oregon: Temporary contracts to with a Secretarial Reservation dated Act provide water service for 1997 to lands August 30, 1973. (SOD)—Safety of Dams lying outside of their boundaries. Contract actions modified: (SRPA)—Small Reclamation Projects Contracts for 1997 have been executed 54. Arizona State Lands, BCP, Act with Hermiston, Stanfield, and Arizona: Water delivery contract with (WCUA)—Water Conservation and Westland IDs; a contract for 1997 has Lakeview City for 400 acre-feet of Utilization Act not been negotiated with West Colorado River water for domestic use. (WD)—Water District Extension ID. Contract actions discontinued: The following contract actions are Correction: 49. Santa Ana Project Water Shed 22. Burley ID, Minidoka Project, either new, modified, discontinued, or Authority, SRPA, California: Amend Idaho: Warren Act contract with cost of completed in the Bureau of Reclamation current contract with United States to service charge to allow for use of project since the April 28, 1997, Federal shorten repayment schedule from 30 to facilities to convey nonproject water. Register notice: 20 years. This contract action has not been Pacific Northwest Region: Bureau of Contract actions completed: completed and is still pending. 44. Community Water Company of Reclamation, 1150 North Curtis Road, Mid-Pacific Region: Bureau of Green Valley/New Pueblo Water Co., Boise, Idaho 83706–1234, telephone Reclamation, 2800 Cottage Way, CAP, Arizona: Execute an assignment 208–378–5346. Sacramento, California 95825–1898, assigning 237 acre-feet of New Pueblo’s Modified contract actions: telephone 916–979–2401. 4. Lower Payette Ditch Company Ltd., New contract actions: CAP water entitlement to Community. Pioneer Ditch Company, Boise Project, 28. Contractors from the Friant Amend Community’s CAP subcontract Idaho; Tumalo ID, Crescent Lake Dam Division, CVP, California: Negotiation of to increase its entitlement by 237 acre- Project, Oregon; Sigmans, Crooked River interim renewal contracts with 14 of the feet and upon execution of the Project, Oregon; Monroe Creek ID, Mann Friant Division contractors, who are assignment from New Pueblo to Creek Project, Idaho; Clark and Edwards parties to long-term water service Community, New Pueblo’s CAP water Canal and Irrigation Company, contracts, which were recently declared service subcontract terminates. Enterprise Canal Company, Ltd., invalid by the United States District 50. Elsinore Valley Municipal WD, Lenroot Canal Company, Liberty Park Court, effective March 1, 1998. The total SRPA, California: Amend current Canal Company, Parsons Ditch annual quantity of water allocated contract with United States to transfer Company, Poplar ID, Wearyrick Ditch pursuant to these contracts is in excess certain project facilities and certain Company, all in the Minidoka Project, of 1.3M acre-feet. These contracts will O&M responsibilities from District to Idaho; Juniper Flat ID, Wapinitia be replaced with interim renewal City of Lake Elsinore. Project, Oregon; Roza ID, Yakima contracts negotiated pursuant to the Upper Colorado Region: Bureau of Project, Washington: Amendatory Central Valley Project Improvement Act, Reclamation, 125 South State Street, repayment and water service contracts; Title XXXIV, of Pub. L. 102–575. Room 6107, Salt Lake City, Utah 84138– purpose is to conform to the RRA (Pub. Contract actions completed: 1102, telephone 801–524–4419. L. 97–293). 18. Santa Clara Valley WD, CVP, New contract actions: 21. Hermiston, Stanfield, Westland, California: Agreement for the 1.(e) Lazear Domestic Water and West Extension IDs, Umatilla conditional reallocation of a portion of Corporation: Aspinall Unit, CRSP; Project, Oregon: Temporary contracts to Santa Clara Valley WD’s annual CVP Colorado: Contract for 44 acre-feet to provide water service for 1997 to lands contract water supply to San Luis and support an augmentation plan, Case No. lying outside of their boundaries. Delta-Mendota Water Authority 95CW209, Water Division Court No. 4, Contracts for 1997 have been executed members. The purpose of the State of Colorado, to provide domestic with Hermiston, Stanfield, and conditional reallocation is to improve water service to up to 100 residences, Westland IDs; a contract for 1997 has overall management and establish more lawns, gardens, and livestock watering. not been negotiated with West reliable water supplies without 22. Weber Basin Water Conservancy Extension ID. imposing additional demands or District, Weber Basin Project, Utah: 24. J.R. Simplot Company Partners, operational changes upon the CVP. Repayment contract for SOD Boise Project, Idaho: Long-term contract Action: Agreement No. 7–07–20-W1428 modification of Lost Creek Dam. The for 3,000 acre-feet of Anderson Ranch executed on April 17, 1997. estimated cost of the modification is Reservoir storage for M&I use. 19. Central Coast Water Authority, $16,000,000 of which 15 percent must 25. Eagle Island Water Users Cachuma Project, California: be repaid from both irrigation and M&I Association, Inc., Boise Project, Idaho: Amendment to the Warren Act contract use. Amendment of water service contract to to change the definition of contract year. 23. El Paso County Water reduce the Association’s spaceholding This amendment will make the Warren Improvement District No. 1, Rio Grande in Lucky Peak Reservoir by Act contract consistent with the contract Project, Texas and New Mexico: approximately 5,300 acre-feet, thereby year in the Santa Barbara County Water Supplemental contract between El Paso allowing use of this space by Agency’s renewed water service County Water Improvement District No. Reclamation for flow augmentation. contract. Action: Contract No. 5–07–20- 1 and the United States to allow the 24. Milner ID, Minidoka-Palisades W1282A executed on June 2, 1997. conversion of project water from Projects, Idaho: Amendment of storage Lower Colorado Region: Bureau of irrigation to M&I within the El Paso contracts to reduce the district’s Reclamation, P.O. Box 61470 (Nevada area. 39874 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

24. Individual Irrigators, Dolores to modify the repayment period of the DATES: This Determination is effective Project, Colorado: The United States SOD costs for up to 10 years. Repayment July 17, 1997. proposes to lease up to 1,500 acre-feet contracts for the SOD repairs have been ADDRESSES: Comments should be of project water declared surplus under signed. submitted to Diane Rosenfeld, Senior the authority of the Warren Act of 1911. 17. Canyon Ferry Unit, P–SMBP, Counsel, The Violence Against Women Contract actions completed: Montana: Water service contract with Office, United States Department of 1.(c) Dr. Henry Estess: Wayne N. Montana Tunnels Mining, Inc., expires Justice, 950 Pennsylvania Ave., Aspinall Unit, CRSP, Colorado: Contract June 1997. Basis of negotiation Washington, DC 20530, (202) 616–8894. for 30 acre-feet of M&I water from Blue completed for renewal of existing FOR FURTHER INFORMATION CONTACT: Mesa Reservoir for augmentation to contract for an additional 10 years. A Diane Rosenfeld, Senior Counsel, The replace evaporative losses from a temporary contract has been issued Violence Against Women Office, 950 fishery/wildlife area on his property. pending negotiation of the long-term Pennsylvania Ave., Washington, DC 1.(d) Crested Butte South contract for water service. 20530, (202) 616–8894. Metropolitan District: Aspinall Unit, 18. P–SMBP, Kansas: Water service SUPPLEMENTARY INFORMATION: Section CRSP, Colorado: Contract for 13 acre- contracts with the Kirwin and Webster 431(c) of the Personal Responsibility feet for domestic, municipal, and IDs in the Solomon River Basin in and Work Opportunity Reconciliation irrigation (including irrigation of lawns Kansas will be extended for a period of Act of 1996 (‘‘PRWORA’’), Pub. L. 104– and golf course). 4 years in accordance with Pub. L. 104– 193, as added by the Illegal Immigration 17. Highland Conservation District, 326 enacted October 19, 1996. Water Provo River Project, Utah: Water transfer Reform and Immigrant, Responsibility service contracts will be renewed prior Act of 1996, Pub. L. 104–208, provides agreement between District and to expiration. Highland City involving change of use that certain categories of aliens who from irrigation to M&I. Dated: July 17, 1997. have been subjected to battery or Great Plains Region: Bureau of Wayne O. Deason, extreme cruelty in the United States are Reclamation, P.O. Box 36900, Federal Deputy Director, Program Analysis Office. ‘‘qualified aliens’’ eligible for certain Building, 316 North 26th Street, [FR Doc. 97–19440 Filed 7–23–97; 8:45 am] federal, state, and local public benefits. To be a qualified alien under this Billings, Montana 59107–6900, BILLING CODE 4310±94±P telephone 406–247–7730. provision, an alien must demonstrate New contract actions: that: (1) The Immigration and 29. Angostura ID, Angostura Unit, P– Naturalization Service or the Executive SMBP, South Dakota: The District had a DEPARTMENT OF JUSTICE Office for Immigration Review has granted a petition or application filed by contract for water service which expired [AG Order No. 2097±97] on December 31, 1995. An interim 3- or on behalf of the alien or the alien’s year contract provides for a continuing Determination of Situations That child under one of several subsections water supply and the District to operate Demonstrate a Substantial Connection of the Immigration and Nationality Act, and maintain the dam and reservoir. Between Battery or Extreme Cruelty or has found that a pending petition or The proposed long-term contract would and Need for Specific Public Benefits application sets forth a prima facie case; provide a continued water supply for (2) the alien or the alien’s child has been the District and the District’s continued AGENCY: Department of Justice. battered or subjected to extreme cruelty O&M of the facility. ACTION: Notice of Determination with in the U.S. by a spouse or parent of the 30. Glendo Unit, P–SMBP, Wyoming: request for comments. alien, or by a member of the spouse’s or Initiate negotiations for renewal of long- parent’s family residing in the same term water service contracts with SUMMARY: The Personal Responsibility household as the alien, but only if the Burbank Ditch, New Grattan Ditch and Work Opportunity Reconciliation spouse or parent consents to or Company, Torrington ID, Lucerne Canal Act of 1996 (‘‘PRWORA’’), as amended acquiesces in such battery or cruelty and Power Company, and Wright and by the Illegal Immigration Reform and and, in the case of a battered child, the Murphy Ditch Company. The current Immigrant Responsibility Act of 1996, alien did not actively participate in the contracts expire in 1998. provides that certain categories of aliens battery or cruelty; (3) there is a 31. Glendo Unit, P–SMBP, Nebraska: who have been subjected to battery or substantial connection between the Initiate negotiations for renewal of long- extreme cruelty in the United States are battery or extreme cruelty and the need term water service contracts with ‘‘qualified aliens’’ eligible for certain for the public benefit sought; and (4) the Bridgeport, Enterprise, and Mitchell IDs, federal, state, and local public benefits. battered alien or child no longer resides and Central Nebraska Public Power and To be qualified under this provision an in the same household as the abuser. ID. The current contracts expire in 1998. alien must demonstrate, among other The Attorney General has the 32. Belle Fourche Unit, P–SMBP, things, that there is a substantial responsibility for determining the South Dakota: Basis of negotiation has connection between the battery or circumstances under which an alien has been submitted requesting deferment of extreme cruelty and the need for the demonstrated a substantial connection the Belle Fourche ID’s 1997 public benefit sought. The PRWORA between the battery or extreme cruelty construction payment and also vests in the Attorney General the and the alien’s need for particular reduction of the District’s annual authority to determine under what benefits. This Determination sets forth payment. circumstances there is a substantial the circumstances that, in the Attorney Contract actions modified: connection between the battery or General’s opinion, demonstrate the 12. Enders Dam, Frenchman- extreme cruelty suffered by an alien requisite substantial connection. Under Cambridge Division, Frenchman Unit, seeking federal, state, or local public PRWORA, the Attorney General’s Nebraska: Repayment contract for benefits and the specific benefits sought opinion is not subject to review. When proposed SOD modifications to Enders by the alien. Through this notice, the drafting this Determination, the Dam for repair of seeping drainage Attorney General is declaring what Attorney General consulted with federal features. Estimated cost of the repairs is circumstances demonstrate such a benefit-granting agencies that will be $632,000. Approval has been obtained substantial connection. implementing section 431(c) of Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39875

PRWORA and with other interested relating thereto (including resulting DEPARTMENT OF JUSTICE parties. child support or child custody disputes) Benefit providers and all other cause the alien and/or the alien’s child Notice of Lodging of Consent Decree interested parties are requested to to lose his or her job or require the alien Pursuant to the Safe Drinking Water provide comments on this and/or the alien’s child to leave his or Act Determination. Should these comments her job for safety reasons; indicate that further refinements to the In accordance with Departmental Determination are necessary, it will be (5) Where the benefits are needed policy, 28 CFR § 50.7, notice is hereby revised accordingly. because the alien or his or her child given that on June 23, 1997, a proposed Delay in the effectiveness of this requires medical attention or mental Consent Decree in United States v. Determination would necessarily cause health counseling, or has become Town of Cheshire, Civil No. 97cv30141– further delays in the availability of disabled, as a result of the battery or MAP (D. Mass.), was lodged with the federal, state, and local public benefits cruelty; United States District Court for the to aliens for whom there is a substantial District of Massachusetts resolving the (6) Where the benefits are needed matter. The proposed Consent Decree connection between the battery or because the loss of a dwelling or source extreme cruelty and the need for those concerns violations by the Town of of income or fear of the abuser following Cheshire, Massachusetts, of the Safe public benefits. It would be unnecessary separation from the abuser jeopardizes and contrary to the public interest to Drinking Water Act, 42 U.S.C. § 300f, et the aliens’ ability to care for his or her impose further delays on the availability seq., the National Primary Drinking children (e.g., inability to house, feed, or of such public benefits in these Water Regulations, 40 CFR Part 141, and circumstances. Accordingly, I find that clothe children or to put children into the provisions of the EPA there is good cause to exempt this day care for fear of being found by the Administrative Order issued to the Determination from prior public notice batterer); Town on September 30, 1994. The and comment and delay in effective (7) Where the benefits are needed to violations alleged in the complaint date. This Determination is not a alleviate nutritional risk or need include the failure by the Town to ‘‘significant regulatory action’’ under resulting from the abuse or following install filtration treatment (or to switch Executive Order 12866 and is not a separation from the abuser; to use of a groundwater source not ‘‘major rule’’ under 5 U.S.C. 804. under the direct influence of surface (8) Where the benefits are needed to water) within 18 months, i.e., by June Determination of Situations That provide medical care during an 29, 1993, as required by the Surface Demonstrate a Substantial Connection unwanted pregnancy resulting from the Water Treatment Rule (the ‘‘SWTR’’), Between Battery or Extreme Cruelty abuser’s sexual assault or abuse of, or Section 1412(b)(7), 42 U.S.C. § 300g– and Need for Specific Public Benefits relationship with, the alien or his or her 1(b)(7), and 40 CFR § 141.70–141.75; the By virtue of the authority vested in child, and/or to care for any resulting failure to comply with the turbidity me as Attorney General by law, children; or requirements of the SWTR, 40 CFR including section 431(c) of the Personal (9) Where medical coverage and/or § 141.71(c)(2); the failure to comply Responsibility and Work Opportunity health care services are needed to with monitoring and reporting Reconciliation Act of 1996, as amended, replace medical coverage or health care requirements at 40 CFR §§ 141.74, I hereby determine that an alien services the applicant or child had 141.75, and the failure to comply with applying for federal, state, or local when living with the abuser. public notification requirements at 40 public benefits who (or whose child) CFR §§ 141.32(a)(1) (i) and (ii) and has been battered or subjected to In the event that the facts presented 141.31(d). extreme cruelty demonstrates that there by the alien are different from the Under the terms of the Consent is a substantial connection between the situations described above, but the Decree, the defendant will pay a total battery or extreme cruelty suffered by benefit provider or the applicant civil penalty of $18,500 for its past the alien (or the alien’s child) and the nevertheless believes that the applicant violations. In addition, the Consent need for the public benefit(s) sought satisfies the substantial connection Decree requires the Town to design and under any one or more of the following requirement, either the benefit provider construct a new gravel-packed well to circumstances: or the applicant should obtain a supply drinking water to the users of its (1) Where the benefits are needed to determination from the Department of public system and to comply with all enable the alien and/or the alien’s child Justice as to whether, in the Attorney applicable federal and state drinking to become self-sufficient following General’s opinion, the applicant’s need water laws and regulations in separation from the abuser; for the benefit is substantially connected accordance with an expeditious (2) Where the benefits are needed to to the battery or cruelty. Benefit schedule. enable the alien and/or the alien’s child providers or applicants requiring such a The Department of Justice will receive for a period of thirty (30) days from the to escape the abuser and/or the determination should contact the date of this publication comments community in which the abuser lives, or Violence Against Women Office, U.S. relating to the proposed Consent Decree. to ensure the safety of the alien and/or Department of Justice, the Director of his or her child from the abuser; Comments should be addressed to the (3) Where the benefits are needed due which is hereby authorized to issue Assistant Attorney General of the to a loss of financial support resulting such determinations. Environment and Natural Resources from the alien’s and/or his or her child’s Dated: July 17, 1997. Division, Department of Justice, separation from the abuser; Janet Reno, Washington, D.C. 20530, and should (4) Where the benefits are needed Attorney General. refer to United States v. Town of because the battery or cruelty, Cheshire, D.J. Ref. 90–5–1–1–4361. [FR Doc. 97–19431 Filed 7–23–97; 8:45 am] separation from the abuser, or work The proposed Consent Decree may be absence or lower job performance BILLING CODE 4410±10±M examined at the Region 1 Office of the resulting from the battery or extreme Environmental Protection Agency, One cruelty or from legal proceedings Congress Street, Boston, Massachusetts. 39876 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Copies of the Consent Decree may be Commission and a summary of regional Commission and a summary of regional examined at the Environmental and national issues affecting the Corps and national issues affecting the Corps Enforcement Section Document Center, of Engineers and Commission projects of Engineers and Commission projects 1120 G Street, N.W., 4th Floor, and programs on Mississippi River and and programs on Mississippi River and Washington, D.C. 20005, (202) 624– its tributaries; (2) District Commander’s its tributaries; (2) District Commander’s 0892. A copy of the proposed Consent overview of current project issues; and overview of current project issues; and Decree may be obtained in person or by (3) Views and suggestions from (3) Views and suggestions from mail from the Document Center. In members of the public on matters members of the public on matters requesting a copy, please refer to the pertaining to the programs or projects of pertaining to the programs or projects of referenced case and enclose a check in the Commission and the Corps. the Commission and the Corps. the amount of $17.75 (25 cents per page Time and Date: 9:00 a.m., August 18, CONTACT PERSON FOR MORE INFORMATION: reproduction cost for the Consent 1997. Mr. Noel D. Caldwell, telephone 601– Decree excluding Appendices) made Place: On board MISSISSIPPI V at 634–5766. payable to Consent Decree Library. City Front, New Madrid, MO. Gregory D. Showalter, Joel M. Gross, Status: Open to the public. Army Federal Register Liaison Officer. Matters to be Considered: (1) Report Section Chief, Environmental Enforcement [FR Doc. 97–19595 Filed 7–22–97; 10:12 am] Section. on function and responsibilities of Commission and a summary of regional BILLING CODE 3710±PU±M [FR Doc. 97–19432 Filed 7–23–97; 8:45 am] and national issues affecting the Corps BILLING CODE 4410±15±M of Engineers and Commission projects and programs on Mississippi River and NATIONAL AERONAUTICS AND its tributaries; (2) District Commander’s SPACE ADMINISTRATION MISSISSIPPI RIVER COMMISSION overview of current project issues; and [Notice (97±099)] (3) Views and suggestions from Sunshine Act Meeting members of the public on matters Government-Owned Inventions, AGENCY HOLDING THE MEETINGS: pertaining to the programs or projects of Available for Licensing Mississippi River Commission. the Commission and the Corps. AGENCY: National Aeronautics and Time and Date: 9:00 a.m., August 19, Time and Date: 8:30 a.m., August 11, Space Administration. 1997. 1997. ACTION: Notice of Availability of Place: On board MISSISSIPPI V at Place: On board MISSISSIPPI V at Inventions for Licensing. Lambert’s Landing, St. Paul, MN. Downtown Helena Harbor, Helena, AR. Status: Open to the public. Status: Open to the public. SUMMARY: The inventions listed below Matters to be Considered: (1) Report Matters to be Considered: (1) Report on function and responsibilities of are assigned to the National Aeronautics on function and responsibilities of and Space Administration, have been Commission and a summary of regional Commission and a summary of regional and national issues affecting the Corps filed in the United States Patent and and national issues affecting the Corps Trademark Office, and are available for of Engineers and Commission projects of Engineers and Commission projects and programs on Mississippi River and licensing. and programs on Mississippi River and DATE: July 24, 1997. its tributaries; (2) District Commander’s its tributaries; (2) District Commander’s FOR FURTHER INFORMATION CONTACT: Kent overview of current project issues; and overview of current project issues; and (3) Views and suggestions from N. Stone, Patent Attorney, NASA Lewis (3) Views and suggestions from members of the public on matters Research Center, 21000 Brookpark Road, members of the public on matters pertaining to the programs or projects of Cleveland, Ohio 44135, telephone (216) pertaining to the programs or projects of the Commission and the Corps. 433–8855. the Commission and the Corps. Time and Date: 9:00 a.m., August 20, NASA Case No. LEW 20,008–1: Cold Time and Date: 3:00 p.m., August 13, 1997. Gas in Through Flow and Reverse Flow 1997. Place: On board MISSISSIPPI V at Wave Rotors; Place: On board MISSISSIPPI V at Lake Providence Harbor, Lake NASA Case No. LEW 16,411–1: High Oneida Landing, Davenport, IA. Providence, LA. Temperature Solar Reflector, Its Status: Open to the public. Status: Open to the public. Preparation and Use. Matters to be Considered: (1) Report Matters to be Considered: (1) Report Dated: July 15, 1997. on function and responsibilities of on function and responsibilities of Edward A. Frankle, Commission and a summary of regional Commission and a summary of regional General Counsel. and national issues affecting the Corps and national issues affecting the Corps of Engineers and Commission projects of Engineers and Commission projects [FR Doc. 97–19519 Filed 7–23–97; 8:45 am] and programs on Mississippi River and and programs on Mississippi River and BILLING CODE 7510±01±M its tributaries; (2) District Commander’s its tributaries; (2) District Commander’s overview of current project issues; and overview of current project issues; and (3) Views and suggestions from (3) Views and suggestions from NATIONAL SCIENCE FOUNDATION members of the public on matters members of the public on matters Notice of Permits Issued Under the pertaining to the programs or projects of pertaining to the programs or projects of Antarctic Conservation Act of 1978 the Commission and the Corps. the Commission and the Corps. Time and Date: 10:30 a.m., August 15, Time and Date: 9:00 a.m., August 22, AGENCY: National Science Foundation. 1997. 1997. ACTION: Notice of permits issued under Place: On board MISSISSIPPI V at Place: On board MISSISSIPPI V at the Antarctic Conservation of 1978, Pub. Foot of Market Street, St. Louis, MO. City Front, Morgan City, LA. L. 95–541. Status: Open to the public. Status: Open to the public. Matters to be Considered: (1) Report Matters to be Considered: (1) Report SUMMARY: The National Science on function and responsibilities of on function and responsibilities of Foundation (NSF) is required to publish Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39877 notice of permits issued under the NATIONAL SCIENCE FOUNDATION Research and Lower Atmospheric Facility Antarctic Conservation Act of 1978. Oversight Section; Division of Atmospheric This is the required notice. Special Emphasis Panel in Electrical Sciences; Room 775; 4201 Wilson Blvd., and Communication Systems; Notice Arlington, VA 22230; telephone number FOR FURTHER INFORMATION CONTACT: of Meetings (703) 306–1521. Nadene G. Kennedy, Permit Office, Purpose of meeting: To carry out a Office of Polar Programs, Rm. 755, This notice is being published in Committee of Visitors’ (COV) review, National Science Foundation, 4201 accord with the Federal Advisory including examination of decision on Wilson Boulevard, Arlington, VA 22230. Committee Act (Pub. L. 92–463, as proposals, reviewer comments,and other amended). During the period August 11 privileged materials. SUPPLEMENTARY INFORMATION: On May through August 12, the Special Agenda: Review activities of the University 30, 1997, the National Science Emphasis Panel will be holding panel Corporation for Atmospheric Research Lower Foundation published a notice in the meetings to review and evaluate Atmospheric Facility Oversight Section. Federal Register of permit applications research proposals. The dates, contact Reason for Closing: The meeting is closed received. Permits were issued on July person, and types of proposals are as to the public because the Committee is reviewing proposal actions that will include 17, 1997 to the following applicants: follows: privileged intellectual property and personal Scott Drieschman, Permit No. 98–002. Special Emphasis Panel in Electrical and Randall Davis, Permit No. 98–004. information that could harm individuals if Communication Systems (1196). Wayne Trivelpiece, Permit No. 98–005. disclosed. If discussions were open to the Date: August 11–12, 1997. Robert Wharton, Permit No. 98–006. public, these matters that are exempted Contact: Dr. Deborah Crawford, Program under 5 U.S.C. 552b (c), (4) and (6) of the Nadene G. Kennedy, Director, Division of Electrical and Government in the Sunshine Act would be Permit Officer. Communication Systems, Room 675, for improperly disclosed. [FR Doc. 97–19448 Filed 7–23–97; 8:45 am] Physical Foundations and Enabling Technologies Program, 703/306–1340. Dated: July 21, 1997. BILLING CODE 7555±01±M Type of Proposal: NSF’s POWRE program. M. Rebecca Winkler, Times: 8:30 to 5:00 p.m. each day. Committee Management Officer. Place: National Science Foundation, 4201 [FR Doc. 97–19522 Filed 7–23–97; 8:45 am] NATIONAL SCIENCE FOUNDATION Wilson Blvd., Arlington, VA. Type of Meetings: Closed. BILLING CODE 7555±01±M Special Emphasis Panel in Chemical # Purpose of Meetings: To provide advice and Transport Systems ( 1190); Notice and recommendations concerning proposals of Meetings submitted to NSF for financial support. NATIONAL SCIENCE FOUNDATION Agenda: To review and evaluate proposals In accordance with the Federal submitted to the Directorate as part of the Special Emphasis Panel for Advisory Committee Act (Pub. L. 92– selection process for awards. Geosciences; Notice of Meeting 463, as amended), the National Science Reason for Closing: The proposals being Foundation announces the following reviewed include information of a In accordance with the Federal meeting: proprietary or confidential nature, including Advisory Committee Act (Pub. L. 92– technical information; financial data, such as 463, as amended), the National Science Name: Special Emphasis Panel in salaries, and personal information Foundation announces the following Chemical and Transport Systems (#1190). concerning individuals associated with the Date And Time: August 12, 1997, 8:00 a.m. proposals. These matters are exempt under 5 meeting. to 4:00 p.m. USC 552b(c) (4) and (6) of the Government Name: Special Emphasis Panel for Place: National Science Foundation, 4201 in the Sunshine Act. Geosciences (#1756). Wilson Boulevard, Room 370, Arlington, VA Dated: July 21, 1997. Date & Time: Monday, August 18– 22230, (703) 306–1371. M. Rebecca Winkler, Thursday, August 21, 1996; 8:30 AM–5:00 Type Of Meeting: Closed. PM. Committee Management Officer. Contact Person: Dr. Raul Miranda, Program Place: Room 365, National Science Director, Chemical Reaction Processes, [FR Doc. 97–19521 Filed 7–23–97; 8:45 am] Foundation, 4201 Wilson Blvd., Arlington, Division of Chemical and Transport Systems BILLING CODE 7555±01±M VA 22230. (CTS), Room 525, (703) 306–1371. Type of Meeting: Closed. Purpose Of Meeting: To provide advice and Contact Person: Dr. Don Rice, Program recommendations concerning proposals NATIONAL SCIENCE FOUNDATION Director, Chemical Oceanography, National submitted to NSF for financial support. Science Foundation, 4201 Wilson Blvd., Agenda: To review and evaluate Advisory Committee for Geosciences; Arlington, VA 22230. Telephone: (703) 306– nominations for the FY97 Professional Committee of Visitors: Notice of 1582. Opportunities for Women in Research and Meeting Education (POWRE) Panel as part of the Purpose of Meeting: To provide advice and recommendations concerning proposals selection process for awards. In accordance with the Federal Reason For Closing: The proposals being submitted to NSF/NASA for financial Advisory Committee Act (Pub. L. 92– support. reviewed include information of a 463, as amended) the National Science proprietary or confidential nature, including Agenda: To review and evaluate proposals technical information; financial data, such as Foundation announces the following submitted to joint announcement of salaries and personal information concerning meeting. opportunity for the synthesis phase of JGOFS individuals associated with the proposals. Name: Advisory Committee for as part of the selection process for awards. These matters are exempt under 5 U.S.C. Geosciences; Committee of Visitors (1755). Reason For Closing: The proposals being 552b(c) (4) and (6) of the Government in the Date and Time: August 21 and 22, 8:30 reviewed include information of a Sunshine Act. a.m. proprietary or confidential nature, including Dated: July 21, 1997. Place: National Science Foundation, 4201 technical information; financial data, such as salaries; and personal information M. Rebecca Winkler, Wilson Blvd., Arlington, VA 22230, Room 770. concerning individuals associated with the Committee Management Officer. Type of Meeting: Closed. proposals. These matters are exempt under 5 [FR Doc. 97–19526 Filed 7–23–97; 8:45 am] Contact Person: Dr. Clifford Jacobs, Head, U.S.C. 552b(c), (4) and (6) of the Government BILLING CODE 7555±01±M University Corporation for Atmospheric in the Sunshine Act. 39878 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

Dated: July 21, 1997. Place: Rooms 1175 National Science Summary of the Environmental M. Rebecca Winkler, Foundation, 4201 Wilson Blvd., Arlington, Assessment Committee Management Officer. VA 22230. Type of Meeting: Closed. Background [FR Doc. 97–19523 Filed 7–23–97; 8:45 am] Contact Person: Dr. Mark Luker, Program Fansteel has been licensed by the BILLING CODE 7555±01±M Director, CISE/NCRI, Room 1175, National NRC to possess and use source materials Science Foundation, 4201 Wilson Blvd., at their Muskogee, Oklahoma plant Room 725, Arlington, VA 22230. Telephone: NATIONAL SCIENCE FOUNDATION since January 1967. Fansteel was (703) 306–1950. authorized to process ore concentrates Purpose of Meeting: To provide advice and and tin slags in the production of Special Emphasis Panel in recommendations concerning proposals Geosciences: Notice of Meeting submitted to NSF for financial support. refined tantalum products. Fansteel Agenda: Reverse site visit to review and ceased operations in 1990, but on June In accordance with the Federal evaluate Very High-Speed Backbone Network 20, 1994, submitted a renewal Advisory Committee Act (Pub. L. 92463, Service (vBNS) proposals as part of the application to reprocess WIP residues as amended), the National Science selection process for awards. located on-site, which were generated as Foundation announces the following Reason for Closing: The proposals being a result of the initial hydrofluoric acid meeting. reviewed include information of a digestion of the ore concentrates. The proprietary or confidential nature, including WIP process will isolate the Name: Special Emphasis Panel in technical information; financial data, such as Geosciences (1756). radioactivity such that the bulk of the salaries; and personal information Date and Time: August 18, 19 and 20, 8:30 WIP material can be used commercially concerning individuals associated with the a.m. while minimizing the volume of proposals. These matters are exempt under 5 Place: National Science Foundation, 4201 material sent for radioactive waste Wilson Blvd., Arlington, VA 22230, Room U.S.C. 552b(c), (4) and (6) of the Government disposal. 770. in the Sunshine Act. Fansteel’s current license expired in Type of Meeting: Closed. Dated: July 21, 1997. July 1994. However, because Fansteel Contact Person: Ms. Jewel Prendeville, M. Rebecca Winkler, submitted a renewal application on June Program Coordinator for the University Committee Management Officer. 20, 1994, the existing license continues Corporation for Atmospheric Research and [FR Doc. 97–19525 Filed 7–23–97; 8:45 am] to be effective until the application for Lower Atmospheric Facility Oversight Section; Division of Atmospheric Sciences; BILLING CODE 7555±01±M renewal has been finally determined by Room 775; 4201 Wilson Blvd, Arlington, VA the staff in accordance with the timely 22230; telephone number (703) 306–1521. renewal provision of 10 CFR 40.42(a)(1). Purpose of Meeting:: To provide advice and On March 25, 1997, Fansteel was recommendations concerning proposals as NUCLEAR REGULATORY granted an amendment to their license part of the selection process of awards. COMMISSION to allow processing of the WIP residues. Agenda: To review and evaluate Renewal of the license was not Professional Opportunities for Women in completed at that time due to [Docket No. 040±7580] Research and Education (POWRE) proposals unresolved decommissioning issues. as part of the selection process for awards. Finding of No Significant Impact and Specifically, Fansteel has proposed to Reason For closing: The proposals being dispose of contaminated soils in an on- reviewed include information of a Notice of Opportunity for a Hearing on proprietary or confidential nature, including Renewal of Source Material License site containment cell. An EA is technical information; financial data, such as SMB±911 for Fansteel, Inc. in currently under development by the salaries; and personal information Muskogee, Oklahoma NRC, which considers this disposal concerning individuals associated with the option. However, the NRC staff has proposals. These matters are exempted under AGENCY: U.S. Nuclear Regulatory determined that the issue of on-site 5 U.S.C. 552b (c), (4) and (6) of the Commission. disposal of contaminated soils will be Government in the Sunshine Act. resolved as a separate licensing action, Dated July 21, 1997. ACTION: Finding of no significant impact and, therefore, the NRC staff is now M. Rebecca Winkler, and notice of opportunity for a hearing considering renewal of the license. on renewal of source material license Committee Management Office. An EA dated June 17, 1996, was SMB–911 for Fansteel, Inc. in [FR Doc. 97–19524 Filed 7–23–97; 8:45 am] prepared to support the March 25, 1997, Muskogee, Oklahoma. WIP amendment and a FONSI was BILLING CODE 7555±01±M published in the Federal Register on The U.S. Nuclear Regulatory June 24, 1996 (61 FR 32466). The scope NATIONAL SCIENCE FOUNDATION Commission (NRC) is considering the of the EA included processing of the renewal of Source Material License WIP material, associated waste Special Emphasis Panel in Networking SMB–911 for the recovery of Work in treatment processes, as well as & Communications Research & Progress (WIP) pond residues at the groundwater remediation. Because the Infrastructure; Notice of Meeting Fansteel, Inc. (Fansteel) plant located in scope of this EA includes all processes Muskogee, Oklahoma. The facility will to be authorized in renewal of the In accordance with the Federal process on-site pond residues to recover Fansteel license, the FONSI for license Advisory Committee Act (Pub. L. 92– valuable metals and to reduce the renewal is based on the WIP 463, as amended), the National Science volume of on-site radioactive materials. amendment EA. Foundation announces the following The staff has determined not to prepare Following issuance of the amendment meeting. an environmental impact statement for authorizing WIP processing, Fansteel Name: Special Emphasis Panel in the proposed action, because the indicated that in conjunction with Networking & Communications Research & renewal will not have a significant effect recovery of metal values from the WIP Infrastructure (1207). on the quality of the human residues Fansteel also plans to recover Date and Time: August 21–22, 1997; 8:30 environment for reasons described in fluorides from the waste treatment AM–5:00 PM. the Environmental Assessment (EA). ponds. This activity, like on-site Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39879 disposal of contaminated soils, was not Fansteel will monitor these effluent created by the proposed licensing action covered under the WIP amendment or streams, as well as groundwater in 25 would not be significant and do not the EA. Therefore, it will not be wells, to assess impacts from the facility warrant the preparation of an authorized with renewal of the Fansteel and demonstrate compliance with Environmental Impact Statement. license and, instead, will be considered appropriate NRC regulations. Accordingly, it has been determined as a separate licensing action following In order to estimate human health that a finding of no significant impact is renewal. When the issues of on-site impacts, a dose assessment was appropriate. disposal and fluoride recovery are conducted as described in the EA. The The EA, the license renewal considered under separate licensing total effective dose equivalent (TEDE) application, and other documents actions, the environmental impacts from from inhalation of radionuclides related to this proposed action are these operations will be considered in emitted during WIP processing was available for public inspection and conjunction with impacts from all estimated to be less than 0.01 mSv (1 copying at the Commission’s public operations at the site. mrem) per year to a hypothetical document room in NRC’s Region IV maximally exposed individual (MEI) Identification of the Proposed Action office, Harris Tower, 611 Ryan Plaza located at the site boundary in the most Drive, Suite 400, Arlington, Texas The proposed action is to renew frequent downwind direction. The 76011–8064, and in NRC’s headquarters Source Material License SMB–911 to TEDE to the MEI was also estimated for public document room, Gelman allow Fansteel to retrieve and process ingestion of water discharged to the Building, 2120 L St., NW., Washington, WIP material from on-site ponds. Arkansas River, and was shown to be DC 20037. Processing of the WIP material will much less than 0.05 mSv (5 mrem) per recover tantalum, columbium year, due to the low concentration of Opportunity for a Hearing (niobium), titanium, and scandium form radionuclides in the discharge as well as Based on the EA and accompanying the pond residues. This WIP material dilution in the river. These estimated safety evaluation, NRC is preparing to recovery will be achieved by a series of doses are small fractions of the NRC renew License SMB–911. The NRC proprietary chemical processes to limit specified in 10 CFR 20.1301 of 1.0 hereby provides that this is a proceeding separate the remaining metals from the mSv (100 mrem) for members of the on an application for renewal of a residues. Uranium and thorium will be public. license falling within the scope of separated from the other products as The EA also considered impacts on Subpart L, ‘‘Informal Hearing uranium and thorium hydroxides. the surrounding environment from the Procedures for Adjudication in Waste materials from this process WIP operation. The facility is not Materials Licensing Proceedings,’’ of contaminated with natural uranium and expected to have an adverse impact on NRC’s rules and practice for domestic thorium will be packaged and stored for surface water, groundwater, or soil licensing proceedings in 10 CFR Part 2. off-site disposal. quality. In fact, there is expected to be Pursuant to § 2.1205(a), any person The proposed action does not include a potential benefit, since removal of whose interest may be affected by this recovery of fluoride from the calcium source material in the ponds will reduce proceeding may file a request for a fluoride materials in the waste treatment the potential for groundwater, surface hearing in accordance with § 2.1205(d). ponds at the site or on-site disposal of water, and soil contamination in the A request for a hearing must be filed contaminated soils. These activities will future. In addition, Fansteel has within thirty (30) days of the date of be considered as separate licensing committed to continue remediation of publication of this Federal Register actions following renewal. past groundwater contamination from a notice. The Need for the Proposed Action pond leak in 1989 under the provisions of the renewed license. The request for a hearing must be Renewal of the license is needed to Environmental impacts of the filed with the Office of Secretary either: allow Fansteel to process the WIP pond proposed action are described in greater 1. By delivery to the Docketing and residues. The WIP process will isolate detail in the EA dated June 17, 1996, Service Branch of the Secretary at One the radioactivity such that the bulk of and the associated FONSI published in White Flint North, 11555 Rockville the WIP material can be used the Federal Register on June 24, 1996 Pike, Rockville, MD 20852–2738; or commercially while minimizing the (61 FR 32466). The documents also 2. By mail or telegram addressed to volume of material sent for radioactive include more detailed descriptions of the Secretary, U.S. Nuclear Regulatory waste disposal. Fansteel’s effluent and environmental Commission, Washington, DC 20555. Environmental Impacts of the Proposed monitoring programs, as well as a Attention: Docketing and Service Action discussion of possible doses and Branch. potential accidents resulting from In addition to meeting other Operation of the WIP recovery process operation of the Fansteel facility. at the Fansteel facility will result in applicable requirements of 10 CFR Part airborne, liquid and solid effluents. Agencies and Persons Consulted 2 of the NRC’s regulations, a request for Airborne effluents will be controlled a hearing filed by a person other than In preparation of the EA the an applicant must describe in detail: through the use of appropriate filters Oklahoma Department of Environmental 1. The interest of the requester in the and wet scrubbers, as necessary. Liquid Quality, Hazards Management and proceeding; effluents including scrubber liquids, Waste Services, Radiation Control laboratory waste-waters, and chemical Program, Water Quality Division was 2. How that interest may be affected processing waste-waters, will be treated consulted. by the results of the proceeding, through a waste-water treatment system including the reasons why the requestor prior to discharge to the Arkansas River Finding of no Significant Impact should be permitted a hearing, with through a permitted National Discharge The NRC has prepared an EA related particular reference to the factors set out and Elimination System (NPDES) to the renewal of Source Material in § 2.1205(h); outfall. Solid wastes from the WIP License SMB–911. On the basis of this 3. The requester’s areas of concern process will be packaged and stored for assessment, NRC has concluded that about the licensing activity that is the disposal at a licensed off-site facility. environmental impacts that would be subject matter of the proceeding; and 39880 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

4. The circumstances establishing that assurance of adequate safety, safeguards, amendment and (2) the Commission’s the request for a hearing is timely in and security, and compliance with NRC Compliance Evaluation Report. These accordance with § 2.1205(d). requirements. Therefore, the Director, items are available for public inspection In accordance with 10 CFR Office of Nuclear Material Safety and at the Commission’s Public Document § 2.1205(f), each request for a hearing Safeguards, is prepared to issue an Room, the Gelman Building, 2120 L must also be served, by delivering it amendment to the Certificate of Street, NW., Washington, DC, and at the personally or by mail to: Compliance for the Paducah Gaseous Local Public Document Room. 1. The applicant, Fansteel, Inc., Diffusion Plant. The staff has prepared Date of amendment request: October Number Ten Tantalum Place, Muskogee, a Compliance Evaluation Report which 31, 1996, revised February 14, and June Oklahoma 74403–9296; Attention: John provides details of the staff’s evaluation. 16, 1997. J. Hunter; and The NRC staff has determined that Brief description of amendment: The 2. The NRC staff, by delivery to the this amendment satisfies the criteria for amendment proposes a new Technical Executive Director for Operations, One a categorical exclusion in accordance Safety Requirement for the autoclave White Flint North, 11555 Rockville with 10 CFR 51.22. Therefore, pursuant manual isolation system in the feed Pike, Rockville, MD 20852, or by mail, to 10 CFR 51.22(b), no environmental facilities and makes the system a Q addressed to the Executive Director for impact statement or environmental system under the quality assurance Operations, U.S. Nuclear Regulatory assessment need be prepared for this program. Commission, Washington, DC 20555. amendment. Basis for finding of no significance: USEC or any person whose interest 1. The proposed amendment will not Dated at Rockville, Maryland, this 18th day may be affected may file a petition, not of July 1997. result in a change in the types or exceeding 30 pages, requesting review significant increase in the amounts of For the Nuclear Regulatory Commission. of the Director’s Decision. The petition Michael F. Weber, any effluents that may be released must be filed with the Commission not offsite. Chief, Licensing Branch, Division of Fuel later than 15 days after publication of TSR 2.4.4.13 is a new TSR to cover Cycle Safety and Safeguards, NMSS. this Federal Register Notice. A petition the autoclave manual isolation system [FR Doc. 97–19489 Filed 7–23–97; 8:45 am] for review of the Director’s Decision installed for the feed facilities. This BILLING CODE 7590±01±P shall set forth with particularity the system provides a remote method of interest of the petitioner and how that simultaneously isolating all the interest may be affected by the results of autoclaves in the facility in the event of NUCLEAR REGULATORY the decision. The petition should an observed release of uranium COMMISSION specifically explain the reasons why hexafluoride from piping outside the [Docket 70±7001] review of the Decision should be permitted with particular reference to autoclave. This new system enhances the operators ability to isolate the feed Notice of Amendment to Certificate of the following factors: (1) The interest of autoclaves in the event of a leak. As Compliance GDP±1 for the U.S. the petitioner; (2) how that interest may such, these changes have no impact on Enrichment Corporation, Paducah be affected by the Decision, including plant effluents and will not result in any Gaseous Diffusion Plant, Paducah, the reasons why the petitioner should impact to the environment. Kentucky be permitted a review of the Decision; and (3) the petitioner’s areas of concern 2. The proposed amendment will not The Director, Office of Nuclear about the activity that is the subject result in a significant increase in Material Safety and Safeguards, has matter of the Decision. Any person individual or cumulative occupational made a determination that the following described in this paragraph (USEC or radiation exposure. amendment request is not significant in any person who filed a petition) may The proposed changes provide an accordance with 10 CFR 76.45. In file a response to any petition for enhanced ability to isolate the making that determination, the staff review, not to exceed 30 pages, within autoclaves in the event of a leak, thereby concluded that: (1) There is no change 10 days after filing of the petition. If no mitigating the consequences of a in the types or significant increase in petition is received within the postulated accident. The changes will the amounts of any effluents that may be designated 15-day period, the Director not increase exposure. released offsite; (2) there is no will issue the final amendment to the 3. The proposed amendment will not significant increase in individual or Certificate of Compliance without result in a significant construction cumulative occupational radiation further delay. If a petition for review is impact. exposure; (3) there is no significant received, the decision on the The proposed changes will not result construction impact; (4) there is no amendment application will become in any building construction, therefore, significant increase in the potential for, final in 60 days, unless the Commission there will be no construction impacts. or radiological or chemical grants the petition for review or 4. The proposed amendment will not consequences from, previously analyzed otherwise acts within 60 days after result in a significant increase in the accidents; (5) the proposed changes do publication of this Federal Register potential for, or radiological or chemical not result in the possibility of a new or Notice. consequences from, previously analyzed different kind of accident; (6) there is no A petition for review must be filed accidents. significant reduction in any margin of with the Secretary, U.S. Nuclear The proposed changes enhance the safety; and (7) the proposed changes Regulatory Commission, Washington, operator’s ability to isolate the feed will not result in an overall decrease in DC 20555–0001, Attention: Rulemakings autoclaves in the event of a leak in the the effectiveness of the plant’s safety, and Adjudications Staff, or may be piping outside the autoclave and affect safeguards or security programs. The delivered to the Commission’s Public no other equipment functions. The basis for this determination for the Document Room, the Gelman Building, autoclave manual isolation system is not amendment request is shown below. 2120 L Street, NW., Washington, DC, by involved in any precursor to an The NRC staff has reviewed the the above date. evaluated accident; therefore, the certificate amendment application and For further details with respect to the potential of occurrence of an evaluated concluded that it provides reasonable action see (1) the application for event is unaffected. The consequences Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39881 of previously evaluated accidents are NUCLEAR REGULATORY the decision. The petition should not increased. COMMISSION specifically explain the reasons why review of the Decision should be 5. The proposed amendment will not [Docket 70±7001] result in the possibility of a new or permitted with particular reference to different kind of accident. Notice of Amendment to Certificate of the following factors: (1) The interest of Compliance GDP±1 for the U.S. the petitioner; (2) how that interest may The manual isolation system permits Enrichment Corporation, Paducah be affected by the Decision, including the simultaneous isolation of all the Gaseous Diffusion Plant, Paducah, the reasons why the petitioner should autoclaves in the affected facility. Kentucky be permitted a review of the Decision; Autoclave isolation was previously and (3) the petitioner’s areas of concern performed individually. The changes The Director, Office of Nuclear about the activity that is the subject affect the timing of autoclave isolation Material Safety and Safeguards, has matter of the Decision. Any person and create no new operating conditions made a determination that the following described in this paragraph (USEC or or new plant configuration that could amendment request is not significant in any person who filed a petition) may lead to a new or different type of accordance with 10 CFR 76.45. In file a response to any petition for accident. making that determination, the staff review, not to exceed 30 pages, within concluded that: (1) There is no change 6. The proposed amendment will not 10 days after filing of the petition. If no in the types or significant increase in petition is received within the result in a significant reduction in any the amounts of any effluents that may be designated 15-day period, the Director margin of safety. released offsite; (2) there is no will issue the final amendment to the The autoclave manual isolation significant increase in individual or Certificate of Compliance without system enhances the ability to isolate cumulative occupational radiation further delay. If a petition for review is the feed autoclave in the event of a leak. exposure; (3) there is no significant received, the decision on the The proposed changes cause no construction impact; (4) there is no amendment application will become reductions in the margins of safety. significant increase in the potential for, final in 60 days, unless the Commission or radiological or chemical grants the petition for review or 7. The proposed amendment will not consequences from, previously analyzed result in an overall decrease in the otherwise acts within 60 days after accidents; (5) the proposed changes do publication of this Federal Register effectiveness of the plant’s safety, not result in the possibility of a new or safeguards, or security programs. Notice. different kind of accident; (6) there is no A petition for review must be filed The proposed changes enhance the significant reduction in any margin of with the Secretary, U.S. Nuclear safety; and (7) the proposed changes ability to isolate the feed autoclaves in Regulatory Commission, Washington, will not result in an overall decrease in the event of a leak. The changes do not DC 20555–0001, Attention: Rulemakings the effectiveness of the plant’s safety, affect any other equipment functions or and Adjudications Staff, or may be safeguards or security programs. The administrative requirements. The cell delivered to the Commission’s Public basis for this determination for the trip function is not addressed in the Document Room, the Gelman Building, amendment request is shown below. safeguards and security programs. The The NRC staff has reviewed the 2120 L Street, NW., Washington, DC, by effectiveness of the safety, safeguards, certificate amendment application and the above date. and security programs is not decreased. concluded that it provides reasonable For further details with respect to the Effective date: This amendment to assurance of adequate safety, safeguards, action see (1) the application for Certificate of Compliance GDP–1 and security, and compliance with NRC amendment and (2) the Commission’s becomes effective 60 days after being requirements. Therefore, the Director, Compliance Evaluation Report. These signed by the Director, Office of Nuclear Office of Nuclear Material Safety and items are available for public inspection at the Commission’s Public Document Material Safety and Safeguards. Safeguards, is prepared to issue an amendment to the Certificate of Room, the Gelman Building, 2120 L Certificate of Compliance No. GDP–1: Compliance for the Paducah Gaseous Street, NW., Washington, DC, and at the Amendment will incorporate a new Diffusion Plant. The staff has prepared Local Public Document Room. Technical Safety Requirement and a Compliance Evaluation Report which Date of amendment request: March safety analysis report changes. provides details of the staff’s evaluation. 17, 1997, as revised June 19, 1997. Local Public Document Room The NRC staff has determined that Brief description of amendment: The location: Paducah Public Library, 555 this amendment satisfies the criteria for amendment proposes to revise the Washington Street, Paducah, Kentucky a categorical exclusion in accordance Technical Safety Requirements (TSRs) 42003. with 10 CFR 51.22. Therefore, pursuant for the Nuclear Material Control and to 10 CFR 51.22(b), no environmental Accountability (NMC&A) scales used for Dated at Rockville, Maryland, this day of impact statement or environmental uranium hexafluoride cylinder weight 1997. assessment need be prepared for this to allow the pre-heat cylinder weight to For the Nuclear Regulatory Commission. amendment. be determined on any operable Carl J. Paperiello, USEC or any person whose interest accountability scale that has been Director, Office of Nuclear Material Safety may be affected may file a petition, not calibrated to an adequate range and and Safeguards. exceeding 30 pages, requesting review tolerance for the item being weighed. [FR Doc. 97–19488 Filed 7–23–97; 8:45 am] of the Director’s Decision. The petition Similar changes are proposed for the Safety Analysis Report (SAR). BILLING CODE 7590±01±P must be filed with the Commission not later than 15 days after publication of Basis for finding of no significance: this Federal Register Notice. A petition 1. The proposed amendment will not for review of the Director’s Decision result in a change in the types or shall set forth with particularity the significant increase in the amounts of interest of the petitioner and how that any effluents that may be released interest may be affected by the results of offsite. 39882 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

The proposed change involves Implementation of the proposed the Paperwork Reduction Act of 1995 revision of the NMC&A scale usage changes do not change the safety, which provides opportunity for public TSRs to permit weighing on any safeguards, or security programs. comment on new or revised data operable scale instead of specified Therefore, the effectiveness of the collections, the Railroad Retirement scales. Because there is no effluent safety, safeguards, and security Board (RRB) will publish periodic release associated with this change, the programs is not decreased. summaries of proposed data collections. proposed changes will not affect the Effective date: The amendment to Comments are invited on: (a) whether effluent. Certificate of Compliance GDP–1 2. The proposed amendment will not becomes effective 30 days after being the proposed information collection is result in a significant increase in signed by the Director, Office of Nuclear necessary for the proper performance of individual or cumulative occupational Material Safety and Safeguards. the functions of the agency, including radiation exposure. Certificate of Compliance No. GDP–1: whether the information has practical The proposed changes do not relate to Amendment will revise Technical utility; (b) the accuracy of the RRB’s controls used to minimize occupational Safety Requirements for the NMC&A estimate of the burden of the collection radiation exposures, therefore, the scale usage and the SAR discussion on of the information; (c) ways to enhance changes will not increase exposure. scale usage. the quality, utility, and clarity of the 3. The proposed amendment will not Local Public Document Room information to be collected; and (d) result in a significant construction location: Paducah Public Library, 555 ways to minimize the burden related to impact. The proposed changes will not result Washington Street, Paducah, Kentucky the collection of information on in any construction, therefore, there will 42003. respondents, including the use of be no construction impacts. Dated at Rockville, Maryland, this 15th day automated collection techniques or 4. The proposed amendment will not of July 1997. other forms of information technology. result in a significant increase in the For the Nuclear Regulatory Commission. Title and purpose of information potential for, or radiological or chemical Carl J. Paperiello, collection: Public Service Pension consequences from, previously analyzed Director, Office of Nuclear Material Safety Questionnaires; OMB 3220–0136 Public accidents. and Safeguards. Law 95–216 amended the Social The proposed changes will allow any [FR Doc. 97–19490 Filed 7–23–97; 8:45 am] operable scale, instead of specified Security Act of 1977 by providing, in BILLING CODE 7590±01±P scales, to be used for weight part, that spouse or survivor benefits verification. The proposed changes do may be reduced when the beneficiary is no affect the potential for or radiological in receipt of a pension based on POSTAL SERVICE or chemical consequences from employment with a Federal, State, or local governmental unit. previously evaluated accidents. Sunshine Act Meeting 5. The proposed amendment will not Initially, the reduction was equal to result in the possibility of a new or AGENCY: Postal Service Board of the full amount of the government different kind of accident. Governors. pension. Public Law 98–21, changed the Changing the TSR requirements for reduction to two-thirds of the amount of the NMC&A scales allows any operable Sunshine Act Meeting; Notification of scale to be used for weight verification Item Added to Meeting Agenda the government pension. Sections 4(a)(1) and 4(f)(1) of the Railroad prior to heating the uranium DATE OF MEETING: August 5, 1997. Retirement Act (RRA) provides that a hexafluoride cylinder. The accident STATUS: Open. spouse or survivor annuity should be scenario of heating an overfilled PREVIOUS ANNOUNCEMENT: 62 FR 38331, equal in amount to what the annuitant cylinder has already been analyzed. The July 17, 1997. proposed changes would not create new would receive if entitled to a like benefit CHANGE: Addition of the following item operating conditions or new plant from the Social Security to the open meeting agenda: configuration that could lead to a new Administration. Therefore, the public or different type of accident. 4. Capital Investments. service pension (PSP) reduction 6. The proposed amendment will not c. Additional Funding Request for the provision applies to RRA annuities. Northwest Boston Processing and result in a significant reduction in any Regulations pertaining to the margin of safety. Distribution Center in Waltham, The margin of safety defined for Massachusetts. collection of evidence relating to public heating cylinders is the percent ullage CONTACT PERSON FOR MORE INFORMATION: service pensions or worker’s or void space required to heat a Kenneth C. Weaver, Assistant Secretary compensation paid to spouse or cylinder. The ullage is not affected by of the Board, U.S. Postal Service, 475 survivor applicants or annuitants are this change. The proposed TSR will still L’Enfant Plaza, S.W., Washington, D.C. found in 20 CFR 219.64c. require the use of operable scales, 20260–1000. Telephone (202) 268–4800. The RRB utilizes Form G–208, Pubic therefore, the ability to verify that the Kenneth C. Weaver, Service Pension Questionnaire, and proper amount of ullage will be Assistant Secretary. Form G–212, Public Service Monitoring maintained during heating is not [FR Doc. 97–19639 Filed 7–22–97; 1:02 p.m.] Questionnaire, to obtain information affected. The change to allow any BILLING CODE 7710±12±M used to determine whether an annuity operable scale instead of a specified reduction is in order. Completion is scale is to provide operational flexibility voluntary. However, failure to complete in case a scale is inoperable. These RAILROAD RETIREMENT BOARD the forms could result in the changes do not decrease the margins of nonpayment of benefits. One response is safety. Proposed Collection; Comment requested of each respondent. 7. The proposed amendment will not Request result in an overall decrease in the The RRB proposes to revise Form G– effectiveness of the plant’s safety, SUMMARY: In accordance with the 208 to add an item that requests the safeguards or security programs. requirement of Section 3506(c)(2)(A) of Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39883 effective date of a PSP recipient’s next I. Self-Regulatory Organization’s unpreferenced order. This period of time scheduled increase. The addition of Statement of the Terms of Substance of shall initially be established as 17 [15] language required by the Paperwork the Proposed Rule seconds, but may be modified upon Commission approval and appropriate Reduction Act of 1995 and minor The NASD is submitting this rule notification to SOES participants. All entries nonburden impacting editorial and filing to clarify the operation of The in SOES shall be made in accordance with reformatting changes are also proposed. Nasdaq Stock Market’s (‘‘Nasdaq’’) the requirements set forth in the SOES User The RRB also proposes a change to Small Order Execution System Guide. Form G–212 to add an item requesting (‘‘SOES’’) during non-locked and the effective date of a PSP recipient’s crossed market situations. Specifically, II. Self-Regulatory Organization’s next scheduled cost-of-living increase. the NASD proposes to amend NASD Statement of the Purpose of, and Minor nonburden impacting editorial Rule 4730(b)(1) to more explicitly state Statutory Basis for, the Proposed Rule and reformatting changes are also the process by which unpreferenced Change proposed. The completion time for the market orders are executed in SOES. In G–208 is estimated at 10 minutes. The particular, Rule 4730(b)(1) is being In its filing with the Commission,the completion time for the G–212 is amended to clarify that once SOES NASD included statements concerning estimated at 3 minutes. The RRB executes an unpreferenced market or the purpose of and basis for the estimates that approximately 7,000 G– marketable limit order against a SOES proposed rule change and discussed any 208’s and 700 G–212’s are completed market maker, that market maker is not comments it received on the proposed annually. required to execute another rule change. The text of these statements unpreferenced SOES order at the same may be examined at the places specified ADDITIONAL INFORMATION OR COMMENTS: bid or offer in the same security until in Item IV below. The NASD has To request more information or to seventeen seconds has elapsed, absent a prepared summaries, set forth in obtain a copy of the information quotation update by the market maker Sections A, B, and C below, of the most collection justification, forms, and/or within such seventeen second period. significant aspects of such statements. supporting material, please call the RRB Below is the text of the proposed rule A. Self-Regulatory Organization’s Clearance Officer at (312) 751–3363. change. Proposed new language is Comments regarding the information Statement of the Purpose of, and italicized; proposed deletions are in Statutory Basis for, the Proposed Rule collection should be addressed to brackets. Ronald J. Hodapp, Railroad Retirement Change * * * * * Board, 844 North Rush Street, Chicago, The NASD is submitting this proposal Illinois 60611–2092. Written comments NASD Rule 4730. Participant to clarify the process by which SOES should be received within 60 days of Obligations in SOES executes unpreferenced market and this notice. * * * * * marketable limit orders. Presently, Chuck Mierzwa, NASD Rule 4730(b)(1) provides that: (b) Market Makers Clearance Officer. (1) A SOES Market Maker shall Market Makers shall have a period of time [FR Doc. 97–19508 Filed 7–23–97; 8:45 am] following their receipt of an execution report commence participation in SOES by BILLING CODE 7905±01±M in which to update their quotation in the initially contacting the SOES Operation security in question before being required to Center to obtain authorization for the execute another unpreferenced order at the trading of a particular SOES security same bid or offer in the same security. This and identifying those terminals on SECURITIES AND EXCHANGE period of time shall initially be established which the SOES information is to be COMMISSION as 15 seconds, but may be modified upon displayed and thereafter by an appropriate notification to SOES appropriate keyboard entry which participants. . . . [Release No. 34±38849; File No. SR±NASD± obligates the firm, so long as it remains 97±50] a Market Maker in SOES: This rule language was added to the (A) for any security for which it is a SOES NASD’s rules in October 1991 so that Self-Regulatory Organizations; SOES market makers would be afforded National Association of Securities Market Maker, to execute individual orders in sizes equal to or smaller than the a brief fifteen-second opportunity to Dealers, Inc.; Notice of Filing of maximum order size; and update their quotations in response to Proposed Rule Change by the NASD (B) for any NNM security for which it is executions received through SOES (‘‘15- Clarifying the Operation of SOES a Market Maker, to execute individual orders Second SOES Execution Response equal in the aggregate to the minimum Period’’). As the current language of July 17, 1997. exposure limit. Rule 4730(b) reflects, the ‘‘15-Second Pursuant to Section 19(b)(1) of the After SOES has executed an order against a SOES Execution Response Period’’ Securities Exchange Act of 1934 Market Maker, that Market Maker[s] shall not be [have a period of time following their commences when a market maker has (‘‘Act’’), 15 U.S.C. 78s(b)(1), notice is receipt of an execution report in which to received notification of a SOES hereby given that on July 14, 1997, the update their quotation in the security in execution through the system. Indeed, National Association of Securities question before being] required to execute the description of the ‘‘15-Second SOES Dealers, Inc. (‘‘NASD’’ or ‘‘Association’’) another unpreferenced order at the same bid Execution Response Period’’ in the filed with the Securities and Exchange or offer in the same security until a SEC’s order approving the provision Commission (‘‘Commission’’ or ‘‘SEC’’) predetermined time period has elapsed from provides that ‘‘[f]ollowing receipt of an the proposed rule change as described the time the order was executed, as measured execution report of an unpreferenced in Items I, II, and III below, which Items by the time of execution in the Nasdaq system, provided the Market Maker has not purchase or sale through SOES, a have been prepared by the NASD. The updated its quotation (bid, offer, or size) market maker will have a period of time Commission is publishing this notice to within such time period, in which case the (15 seconds) to update its quote prior to solicit comments on the proposed rule Market Maker will become immediately executing any subsequent transaction on change from interested persons. eligible to receive another execution of an the same side of the market at the same 39884 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices price.’’ (footnote omitted).1 Because seventeen second period arises longer period to be appropriate and SOES does not have the capability to regardless of whether the market maker publishes its reasons for so finding or determine the exact time when a market executes an unpreferenced market order (ii) as to which the NASD consents, the maker receives a SOES execution report, or an unpreferenced marketable limit Commission will: at the time this rule was implemented order. By amending the rule in this A. by order approve such proposed Nasdaq estimated that it took up to five fashion, the rule will eliminate any rule change, or seconds for SOES to execute an order ambiguities among market participants B. institute proceedings to determine against a market maker and for the concerning the manner in which whether the proposed rule change market maker to receive a report of the unpreferenced orders are executed in should be disapproved. execution (the ‘‘SOES Execution Report SOES. These amendments will also IV. Solicitation of Comments Communication Period’’). As a result, address a concern about the rule noted SOES was programmed to uniformly by the SEC in its Report Pursuant to Interested persons are invited to add a five-second period to the ‘‘15- Section 21(a) of the Securities Exchange submit written data, views, and Second SOES Execution Response Act of 1934 Regarding the NASD and arguments concerning the foregoing. Period,’’ with the effect that the system the Nasdaq Market (‘‘SEC Report’’).3 Persons making written submissions executes unpreferenced market orders The NASD believes that the proposed should file six copies thereof with the against a market maker in twenty- rule change is consistent with Section Secretary, Securities and Exchange second intervals, absent a quotation 15A(b)(6) of the Act and SEC Rule Commission, 450 Fifth Street, N.W., update by the market maker. 11Ac1–1. Section 15A(b)(6) requires Washington, D.C. 20549. Copies of the Recently, Nasdaq undertook to that the rules of a national securities submission, all subsequent estimate the time its takes for a market association be designed to prevent amendments, all written statements maker to receive a SOES execution fraudulent and manipulative acts and with respect to the proposed rule report. This analysis indicates that on practices, to promote just and equitable change that are filed with the average, the SOES Execution Report principles of trade, to foster cooperation Commission, and all written Communication Period is between two and coordination with persons engaged communications relating to the and three seconds, although actual time in regulating, clearing, settling, proposed rule change between the can and does vary depending on activity processing information with respect to, Commission and any person, other than and communications traffic during and facilitating transactions in those that may be withheld from the different periods of the day. It was securities, to remove impediments to public in accordance with the determined to be appropriate to assign and perfect the mechanism of a free and provisions of 5 U.S.C. 552, will be a two-second period to the SOES open market and a national market available for inspection and copying in Execution Report Communications system and, in general, to protect the Commission’s Public Reference Period for purposes of the rule. investors and the public interest. Room. Copies of such filing will also be With this rule filing, therefore, the Specifically, by clarifying the process by available for inspection and copying at NASD proposes to explicitly incorporate which unpreferenced SOES orders are the principal office of the NASD. All this two-second period into Rule 4730. executed in the NASD’s rules, the NASD submissions should refer to file number Specifically, the NASD proposes to believes the proposal will promote fair SR–NASD–97–50 and should be amend Rule 4730 to provide that a and orderly markets and the protection submitted by August 14, 1997. market maker shall not be required to of investors. For the Commission, by the Division of execute another unpreferenced SOES Market Regulation, pursuant to delegated order at the same bid or offer in the B. Self-Regulatory Organization’s authority.4 same security until seventeen seconds Statement on Burden on Competition Margaret H. McFarland, have elapsed from the time of execution. The NASD believes that the proposed Deputy Secretary. The proposed rule change is designed to rule change will not result in any [FR Doc. 97–19446 Filed 7–23–97; 8:45 am] retain the ability of a market maker to burden on competition that is not BILLING CODE 8010±01±M respond to SOES executions while necessary or appropriate in furtherance recognizing that, under normal of the purposes of the Act. circumstances, a minimal period of time OFFICE OF THE UNITED STATES is necessary for reports of those C. Self-Regulatory Organization’s TRADE REPRESENTATIVE executions to be received by the market Statement on Comments on the maker. The proposed amendments to Proposed Rule Change Received From Members, Participants, or Others Implementation of Tariff-Rate Quota for Rule 4730(b) also clarify: (1) That a Imports of Beef market maker becomes immediately Comments were neither solicited nor eligible to receive another execution received. AGENCY: Office of the United States Trade Representative. through SOES if it updates its quote (its III. Date of Effectiveness of the ACTION: bid, offer, or size) during the seventeen Proposed Rule Change and Timing for Notice. second period;2 and (2) that the Commission Action SUMMARY: The Office of the United 1 Securities Exchange Act Release No. 29810 Within 35 days of the date of States Trade Representative (USTR) is (October 10, 1991), 56 FR 52098, 52099 (order publication of this notice in the Federal providing notice that USTR has approving file SR–NASD–91–18). Register or within such longer period (i) determined that Uruguay, pursuant to 2 The proposed amendments to Rule 4730(b) do as the Commission may designate up to its request, is a participating country for not change in any way the current functionality of purposes of the export certification SOES whereby preferenced orders are continuously 90 days of such date if it finds such executed against a market maker without any delay program for imports of beef under the between executions. In addition, as is presently the 3 The SEC stated that ‘‘[t]he NASD should have tariff-rate quota. case during locked and crossed markets, SOES will set forth in its filings with the Commission seeking DATES: The action is effective August 1, execute orders (both preferenced and approval for the [SOES execution] delay that the unpreferenced) against those market makers that are time between executions had been set at twenty 1997. locked or crossed in five second intervals. See seconds, but did not do so.’’ See Appendix to the NASD Rule 4730(b)(4). SEC Report, at 76. 4 17 CFR 200.30–3(a)(12). Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39885

FOR FURTHER INFORMATION CONTACT: Northwest Olympic Peninsula and the effects of weather conditions upon ship Suzanne Early, Senior Policy Advisor Strait of Juan de Fuca, prepared by the drift. The NOAA study is now complete. for Agricultural Affairs, Office of the National Oceanic and Atmospheric United States Trade Representative, 600 Administration (NOAA). The Coast This notice requests the views of the 17th Street NW, Washington, DC 20508; Guard is seeking comments from the public on how to apply this new telephone: (202) 395–9615. public on how to apply the NOAA information to the zone boundaries and/ or the response time criteria identified SUPPLEMENTARY INFORMATION: The analysis to the marine safety criteria set United States maintains a tariff-rate forth in a Report to Congress on below. The specific marine safety quota on imports of beef as part of its International, Private-Sector Tug-of- criteria under consideration are implementation of the Marrakesh Opportunity System for the Waters of coverage areas (zone boundaries) and Agreement Establishing the World the Olympic Coast National Marine response times. In the Report to Trade Organization. The in-quota Sanctuary and the Strait of Juan de Congress, the area of interest was quantity of that tariff-rate quota is Fuca. Requests for written materials divided into seven zones; these zones allocated in part among a number of may be directed to CDR William Carey were defined as follows: Area 1: An area countries. As part of the administration as listed under the title FOR FURTHER east of a line between Port Angeles Light of that tariff-rate quota, USTR provided, INFORMATION CONTACT. to Race Rocks Light; Area 2: An area in 15 CFR Part 2012, for the use of DATES: Comments must be received by east of a line between Slip Point Light export certificates with respect to August 14, 1997. to San Simon Point and West of the imports of beef from countries that have FOR FURTHER INFORMATION CONTACT: western boundary of Area 1; Area 3: An an allocation of the in-quota quantity. CDR William Carey, Commander, area defined in the West by a 10 mile The export certificates apply only to Thirteenth U.S. Coast Guard District Arc centered on Buoy ‘‘J’’ (modified in those countries that USTR determines (mep), telephone (206) 220–7221, fax response to comments from Washington are participating countries for purposes (206) 220–7225. The telephone number State and the Markah Indian Tribe) of 15 CFR Part 2012. is equipped to record messages on a 24- defined in the east by the western On June 2, 1997, USTR received a hour basis. Submit written comments to boundary of Area 2; Area 4: An area request and the necessary supporting LT William Pittman, Commandant (G- bounded on the east by the boundary of information from the government of MOR), U.S. Coast Guard Headquarters, Area 3 extending west to 50 miles Uruguay to be considered as a 2100 Second Street, SW., Washington, offshore and on the south by the latitude participating country for purposes of the DC 20593–0001, telephone (202) 267– of Buoy ‘‘J’’ (48° 30′N); Area 5: An area export certification program. 0426, fax (202) 267–4085. bounded by 48° 30′ and 48° 00′N and Accordingly, USTR has determined that, SUPPLEMENTARY INFORMATION: The the western boundary of the OCNMS; effective August 1, 1997, Uruguay is a Alaska Power Administration Asset Sale Area 6: An area bounded by 48° 00′N participating country for purposes of 15 and Termination Act (P.L. 104–58) was and 47° 30′N and the western boundary CFR Part 2012. As a result, effective on signed into law on November 28, 1995. of the OCNMS; and Area 7: An area or after August 1, 1997, imports of beef A Presidential directive and subsequent bounded by 47° 30′N, the southern from Uruguay will need to be DOT Action Plan required the Coast boundary of the OCNMS, and the accompanied by an export certificate in Guard to assess and provide a Report to western boundary of the OCNMS. The order to qualify for the in-quota tariff Congress, in accordance with the Act, response times for the coverage areas are rate. Imports exported prior to August 1, on the most cost effective means of as follows: Area 1 is 2 hours; Areas 2 1997, including exports currently implementing a private-sector initiated, warehoused, will not require a and 3 is 2.5 hours; Area 4 is 6 hours; international, tug-of-opportunity system and Areas 5, 6, 7 is 12 hours. certificate. In order for the export (ITOS) for responding to vessels in certificate to be valid, it has to be used distress operating off of the Olympic The public views provided as a result in the calendar year for which it is in Coast National Marine Sanctuary of this notice will be used to prepare the effect. (OCNMS) and within the Strait of Juan Addendum to the previously mentioned Charlene Barshefsky, de Fuca. The Report to Congress was Report to Congress. Once complete, United States Trade Representative. signed on January 31, 1997. An public access to the report will be [FR Doc. 97–19555 Filed 7–23–97; 8:45 am] addendum is being prepared to the identified through a notice of BILLING CODE 3190±01±M Report to Congress to address issues availability in the Federal Register. unresolved as of January and to report Note that there have been 3 prior on steps taken toward implementation Federal Register notices, 61 FR 15154, DEPARTMENT OF TRANSPORTATION of ITOS. The Coast Guard conducted 61 FR 48202, and 61 FR 56258, two public meetings to receive views; requesting comments. Because these Coast Guard one meeting, held October 17, 1996, was matters are related, feedback on on the documentation and marine safety comments related to documentation [CGD 96±044] criteria developed by the Coast Guard to requirements, marine safety criteria, International, Private-Sector Tug-of- assess an ITOS plan; the other meeting, industry ITOS plan, and ship drift will Opportunity System, Notice of held November 26, 1996, was on the be joined and provided in a future Availability of a Ship Drift Analysis for ITOS plan provided by a marine Federal Register notice. industry coalition. Comments provided the Northwest Olympic Peninsula and Dated: July 17, 1997. the Strait of Juan de Fuca by the public during these meetings suggested a need to study more closely R.C. North, AGENCY: Coast Guard, DOT. the weather conditions affecting ship Rear Admiral, U.S. Coast Guard Assistant Commandant for Marine Safety and ACTION: Notice; request for comments. drift in the area of interest before finalizing the marine safety criteria. As Environmental Protection. SUMMARY: The Coast Guard makes a result, the Department of [FR Doc. 97–19450 Filed 7–23–97; 8:45 am] available the Ship Drift Analysis for the Transportation requested NOAA study BILLING CODE 4910±14±M 39886 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF TRANSPORTATION performance of the functions of the manufacturers is a small business (i.e., agency, including whether the one that employs less than 500 persons) National Highway Traffic Safety information will have practical utility; since each manufacturer employs more Administration (ii) The accuracy of the agency’s than 500 persons. Each of the surveys is [Docket No. 92±64; Notice 12] estimates of the burden of the proposed a one-time collection. collection of information, including the Estimate of the Total Annual Reports, Forms, and Recordkeeping validity of the methodology and Reporting and Recordkeeping Burden Requirements assumptions used; Resulting from the Collection of (iii) How to enhance the quality, Information—NHTSA estimates that the AGENCY: National Highway Traffic utility, and clarity of information to be total reporting burden for consumers Safety Administration (NHTSA), collected; and will amount to approximately 224 Department of Transportation (DOT). (iv) How to minimize the burden of hours. The total information collection ACTION: Request for public comment on the collection of information on those burden on dealers will amount to proposed collections of information. who are to respond, including the use approximately 1,650 hours, and the total of appropriate automated, electronic, information collection burden on all SUMMARY: Before a Federal agency can mechanical, or other technological manufacturers will amount to collect certain information from the collection techniques or other forms of approximately 230 hours. The total public, it must receive approval from information technology, e.g., permitting reporting burden for this project is the Office of Management and Budget electronic submission of responses. In estimated at 2,104 hours; the total (OMB). Under procedures established compliance with these requirements, recordkeeping costs for the one-time by the Paperwork Reduction Act of NHTSA asks public comment on the collection of information is estimated at 1995, before seeking OMB approval, following proposed collections of $53,705.00 Federal Agencies must solicit public information: comment on the proposed collections of Title—American Automobile Labeling Issued on: July 18, 1997. information, including extensions and Act. William H. Walsh, reinstatements of previously approved Type of Request—New collection. Associate Administrator for Plans and Policy. collections. OMB Clearance Number—New [FR Doc. 97–19518 Filed 7–23–97; 8:45 am] DATES: Comments must be received on collection. BILLING CODE 4910±59±P or before September 22, 1997. Form Number—This collection of information uses no standard forms. ADDRESSES. Comments must refer to the Requested Expiration Date of docket and notice numbers cited at the DEPARTMENT OF TRANSPORTATION Approval—Three years from approval beginning of this notice and be date. National Highway Traffic Safety submitted to the Docket Section, Room Summary of the Collection of Administration 5109, 400 Seventh Street, SW., Information—NHTSA will conduct Washington, DC 20590. It is requested, three surveys to collect information Announcing the Fourth Meeting of the but not required, that one original plus from potential and actual purchasers of Crashworthiness Subcommittee of the two copies of the comments be new passenger cars, light trucks, and Motor Vehicle Safety Research provided. The Docket hours are from multipurpose passenger vehicles; new Advisory Committee 9:30 a.m. to 4 p.m., Monday through vehicle dealers; and domestic and Friday. AGENCY: National Highway Traffic foreign-based manufacturers of these Safety Administration, DOT. FOR FURTHER INFORMATION CONTACT: vehicles. Complete copies of each NHTSA request Description of the Need for the ACTION: Meeting announcement. for collection of information may be Information and Proposed Use of the SUMMARY: This notice announces the obtained at no charge from Mr. Edward Information—Under Executive Order Kosek, NHTSA Information Collection fourth meeting of the Crashworthiness 12866, ‘‘Regulatory Planning and Subcommittee of the Motor Vehicle Clearance Officer, NHTSA, 400 Seventh Review’’ NHTSA is required to conduct Street SW, Washington, DC 20590. Mr. Safety Research Advisory Committee periodic evaluations to assess the (MVSRAC). MVSRAC established this Kosek’s telephone number is (202) 366– effectiveness of its existing regulations 2589. Please identify the relevant Subcommittee at the April 1992 meeting and programs. Since this regulation has to examine research questions regarding collection of information by referring to been in effect for at least a full year, its OMB Clearance Number. crashworthiness of vehicles under NHTSA intends to collect data through 10,000 pounds GVW. SUPPLEMENTARY INFORMATION: Under the the administration of three surveys, to DATE AND TIME: The meeting is Paperwork Reduction Act of 1995, evaluate the effectiveness of the scheduled for August 20, 1997, from before an agency submits a proposed American Automobile Labeling Act. collection of information to OMB for Description of the Likely Respondents 10:00 a.m. to 3:30 p.m. approval, it must publish a document in (Including Estimated Number, and ADDRESSES: The meeting will be held in the Federal Register providing a 60-day Proposed Frequency of Response to the room 8236 of the U.S. Department of comment period and otherwise consult Collection of Information—NHTSA Transportation building, which is with members of the public and affected estimates that at least 6,250 telephone located at 400 Seventh Street, S.W., agencies concerning each proposed calls will be made to consumers, with Washington, DC. collection of information. The OMB has a target for successfully completed SUPPLEMENTARY INFORMATION: In May promulgated regulations describing responses of 800 persons. NHTSA 1987, the Motor Vehicle Safety Research what must be included in such a estimates that 300 vehicle dealers will Advisory Committee was established. document. Under OMB’s regulations (at be contacted to obtain 200 completed The purpose of the Committee is to 5 CFR 1320.8(d)), an agency must ask responses. NHTSA anticipates that provide an independent source of ideas for public comment on the following: about 23 vehicle manufacturers will be for safety research. MVSRAC will (i) Whether the proposed collection of affected by the reporting requirements. provide information, advice, and information is necessary for the proper NHTSA does not believe any of these recommendations to NHTSA on matters Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39887 relating to motor vehicle safety research, Issued on: July 18, 1997. accreditation to perform the following and provide a forum for the Joseph N. Kanianthra, tests as listed under Part 151.13(a)(2): development, consideration, and Chairperson, Crashworthiness Subcommittee, API gravity, distillation characteristics, communication of motor vehicle safety Motor Vehicle Safety Research Advisory vapor pressure, sediment, viscosity and research, as set forth in the MVSRAC Committee. percent by weight sulphur. Charter. [FR Doc. 97–19447 Filed 7–23–97; 8:45 am] SUPPLEMENTARY INFORMATION: At the first meeting of the BILLING CODE 4910±59±P Crashworthiness Subcommittee on Background November 16, 1992, a Biomechanics Part 151 of the Customs Regulations Working Group and a Vehicle DEPARTMENT OF THE TREASURY provides for the acceptance at Customs Aggressivity and Compatibility Working Districts of laboratory analyses and Group were established with the goal of Customs Service gauging reports for certain products presenting technical information and [T.D. 97±65] from Customs accredited commercial data to the Crashworthiness laboratories and approved gaugers. Subcommittee. Extension of Inspectorate America Inspectorate America Corp., a Customs This meeting of the Crashworthiness Corporations Customs Gauger commercial approved gauger and Subcommittee will include status Approval & Laboratory Accreditation accredited laboratory, has applied to reports by the Vehicle Aggressivity and to the New Site Located in Port Customs to extend its Customs gauger Compatibility Working Group and the Everglades, Florida approval and laboratory accreditation to recently formed Advanced Air Bag AGENCY: U.S. Customs Service, its Port Everglades, FL facility. Review Technology Working Group. Department of the Treasury. of the qualifications of the site shows The meeting is open to the public, that the extension is warranted and, and participation by the public will be ACTION: Notice of the extension of accordingly, has been granted. moderated by the Subcommittee Inspectorate America Corp.’s Customs Chairperson. gauger approval and laboratory Location A public reference file (Number 88– accreditations to include its Port 01—Crashworthiness Subcommittee) Everglades, FL facility. Inspectorate America Corp.’s site is has been established to contain the located at 801 SE. 28th Street, Port SUMMARY: Inspectorate America Corp., Everglades, FL 33316. products of the Subcommittee and will of Houston, TX, a Customs approved be open to the public during the hours gauger and accredited laboratory under EFFECTIVE DATE: June 3, 1997. of 9:30 a.m. to 4:00 p.m. at the National Sections 151.13 of the Customs FOR FURTHER INFORMATION CONTACT: Highway Traffic Safety Administration’s Regulations (19 CFR 151.13), has been Marcelino Borges, Senior Science Technical Reference Division in Room given an extension of its Customs gauger Officer, Laboratories and Scientific 5108 at 400 Seventh Street, S.W., approval and laboratory accreditations Services, U.S. Customs Service, 1301 Washington, DC 20590, telephone: (202) to include the Port Everglades, FL site. Constitution Ave., NW., Washington, 366–2768. Specifically, this site has been given DC 20229 at (202) 927–1060. FOR FURTHER INFORMATION CONTACT: Rita Customs approval under Part Gibbons, Office of Research and 151.13(a)(1) of the Customs Regulations Dated: July 7, 1997. Development, 400 Seventh Street, S.W., to gauge petroleum and petroleum George D. Heavey, Room 6206, Washington, DC 20590, products, organic chemicals in bulk and Director, Laboratories and Scientific Services. telephone: (202) 366–4862, telefax: (202) liquid form and animal and vegetable [FR Doc. 97–19513 Filed 7–23–97; 8:45 am] 366–5930. oils in all Customs districts; and BILLING CODE 4820±02±M federal register July 24,1997 Thursday Products; FinalRuleandNotices Biological Productsand Biotechnology andSpecifiedSynthetic Approved ApplicationForSpecified Guidance forIndustry:Changestoan Changes toanApprovedApplication; 21 CFRPart314,etal. Food andDrugAdministration Services Health andHuman Department of Part II 39889 39890 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

DEPARTMENT OF HEALTH AND § 601.12 (21 CFR 601.12) for reporting to be notified in writing of a change not HUMAN SERVICES FDA changes to an approved less than 30 days before distribution of application in order to reduce the product made using the change. Food and Drug Administration unnecessary reporting burdens on Proposed § 601.12(c)(2) provided that if applicants holding licenses approved by any specified information in the 21 CFR Parts 314, 600, 601, 610, and CBER under the PHS Act to notification is missing or if the type of 640 manufacture biological products. change requires submission of a [Docket No. 95N±0329] Similarly, FDA also proposed to amend supplement and approval by FDA before the corresponding regulations implementation, the product may not be RIN 0910±AA57 applicable to drugs in § 314.70 (21 CFR distributed until compliance with the Changes to an Approved Application 314.70) for reporting changes to an requirements is achieved. In proposed approved application for certain § 601.12(d), changes that have a AGENCY: Food and Drug Administration, biotechnology products (identified in minimal potential to have an adverse HHS. the proposed rule as ‘‘well-characterized effect on the safety, purity, potency, or ACTION: Final rule. biotechnology products’’) to reduce effectiveness of the product would be unnecessary reporting burdens and to reported in an annual report, submitted SUMMARY: The Food and Drug harmonize the regulations applicable to each year within 60 days of the Administration (FDA) is amending the biotechnology products. FDA issued the anniversary date of the approval of the biologics regulations for reporting proposed rule as part of its response to application. The information that would changes to an approved application in several mandates to reduce the burdens be included in the annual report was order to reduce unnecessary reporting associated with government regulation. specified in proposed § 601.12(d)(1). In burdens on applicants holding licenses These mandates include, the President’s § 601.12(e), FDA proposed regulations approved by the Center for Biologics memorandum of March 4, 1995, similar to those discussed above Evaluation and Research (CBER) under announcing the ‘‘Regulatory applicable to changes in labeling. For the Public Health Service Act (the PHS Reinvention Initiative;’’ the President’s clarity, FDA proposed in 21 CFR 600.3 Act) to manufacture biological products. memorandum of April 21, 1995, to add definitions for ‘‘amendment’’ and In addition, FDA is amending the ‘‘Regulatory Reform—Waiver of ‘‘supplement’’ as the terms apply to corresponding drug regulations for Penalties and Reduction of Reports;’’ the license applications for biological submitting supplements and reporting April 1995 publication, ‘‘Reinventing products. changes to an application approved Drug and Medical Device Regulations;’’ For consistency, FDA also proposed under the Federal Food, Drug, and and the November 1995, Presidential to amend the corresponding regulations Cosmetic Act (the act) for specified National Performance Review report, applicable to drugs in § 314.70 for biotechnology products reviewed in the ‘‘Reinventing the Regulation of Drugs submitting supplements and reporting Center for Drug Evaluation and Research Made From Biotechnology.’’ Each changes to an application approved (CDER) to harmonize the drugs and included elements intended to reduce under the act for certain biotechnology biologics regulations. This final rule is regulatory burdens while assuring the products reviewed in CDER (identified part of FDA’s continuing effort to continued safety and effectiveness of in the proposed rule as ‘‘well- achieve the objectives of the President’s regulated products. characterized biotechnology products’’). ‘‘Reinventing Government’’ initiatives. This final rule is part of FDA’s In the same issue of the Federal continuing effort to achieve the Register of January 29, 1996, (61 FR DATES: Effective Date: The regulation is objectives of the President’s 2748 and 2749), FDA made available effective October 7, 1997. ‘‘Reinventing Government’’ initiative to and invited public comment on two Compliance Date: Submit initial harmonize regulations administered by draft guidance documents entitled, annual reports required by CDER and CBER in FDA, to reduce ‘‘Changes to an Approved Application §§ 314.70(g)(3) and 601.12(d) and (f)(3) unnecessary burdens, and to improve for Well-Characterized Therapeutic within 60 days of the first anniversary the consistency in the processes for Recombinant DNA-Derived and date of the approval of the application complying with FDA’s regulations Monoclonal Antibody Biotechnology of the product occurring on or after without diminishing public health Products’’ and ‘‘Changes to an January 20, 1998. protection. Approved Application.’’ The draft FOR FURTHER INFORMATION CONTACT: guidance documents were intended to Steven F. Falter, Center for Biologics II. Proposed Rule assist applicants in determining how Evaluation and Research (HFM– In the proposed rule of January 29, they should report changes to an 630), Food and Drug 1996, FDA proposed that for reporting approved application under the revised Administration, 1401 Rockville purposes changes to an approved regulations. Elsewhere in this issue of Pike, suite 200N, Rockville, MD application be divided into three the Federal Register, FDA is 20852–1448, 301–594–3074, categories. In § 601.12(b), FDA proposed announcing the availability of final or for a change that has a substantial guidance documents, revised from those Yuan Yuan Chiu, Center for Drug potential to have an adverse effect on proposed as a result of public comment, Evaluation and Research (HFD– the safety, purity, potency, or which are intended to aid applicants in 800), Food and Drug effectiveness of the product, that a complying with the requirements of this Administration, 5600 Fishers Lane, supplement to the approved application final rule. Rockville, MD 20857, 301–443– be submitted and that the product In the Federal Register of March 28, 0260. manufactured after the change not be 1996 (61 FR 13793), FDA announced a SUPPLEMENTARY INFORMATION: distributed until the supplement is public meeting, held on April 19, 1996, approved. In § 601.12(c), FDA proposed to discuss and gather information and I. Background for a change that has a moderate views on the proposed rule and draft In the Federal Register of January 29, potential to have an adverse effect on guidance documents. A transcript of the 1996 (61 FR 2739), FDA proposed to the safety, purity, potency, or public meeting is on file in the public amend the biologics regulations in effectiveness of the product, that FDA docket identified in the heading of this Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39891 document at Dockets Management of the supplement reporting the change. revising § 640.120 (21 CFR 640.120) so Branch (HFA–305), Food and Drug For a change normally requiring a 30- that an exception or alternative to the Administration, 12420 Parklawn Dr., day wait, use of the approved protocol regulations applicable to blood, blood rm. 1–23, Rockville, MD 20857. could justify distribution at the time of components, or blood products may be receipt of the supplement by FDA. An submitted, for licensed products, in III. Highlights and Summary of approved comparability protocol may accordance with § 601.12. Changes in the Final Rule also be used, in some cases, to reduce Other minor changes to improve the Under the proposed rule, an applicant the reporting category from requiring a clarity and consistency of the would be required to report a change by 30-day supplement submission to an regulations are also included throughout one of three mechanisms, depending on annual report submission. the final rule. the potential for the change to have an For those changes that have a IV. Responses to Comments adverse effect on the safety, purity, moderate potential to have an adverse potency, or effectiveness of the product. effect on the safety or effectiveness of FDA provided 90 days for the Similarly, the final rule will require the product, the final rule will require submission of written comments on the reporting of changes under one of three the submission of a supplement subject proposed rule. FDA also invited the mechanisms, depending on the to FDA approval, and the product made submission of written comments at the potential for the change to have an using the change may be distributed not public meeting of April 19, 1996. To adverse effect on the ‘‘identity, strength, less than 30 days after receipt of the ensure that there was adequate time for quality, purity, or potency of the supplement by FDA; or, in some cases, the submission of written comments product, as they may relate to the safety the product made using the change may resulting from the public meeting, as or effectiveness of the product’’ be distributed immediately upon receipt announced in the notice of the public (hereinafter referred to in the document of the supplement by FDA. meeting, FDA extended the comment as ‘‘the safety or effectiveness of the Similar to the proposed rule, changes period an additional 8 days, providing product’’). that have a minimal potential to have an 98 days for public comment. The scope of applicability of the adverse effect on the safety or The transcript of the public meeting, changes to § 314.70 is being revised to effectiveness of the product will be written comments to the proposed rule, identify the specific products, i.e., reported in an annual report, submitted and comments submitted at or after the recombinant deoxyribonucleic acid within 60 days of the first year of date public meeting are on file in the Dockets (DNA)-derived protein/polypeptide of approval of the application. The final Management Branch (address above). products and complexes or conjugates rule also allows an applicant holding a FDA received eleven letters of of drugs with monoclonal antibodies license under section 351 of the PHS comment in response to the proposed regulated under the act, to which new Act to request FDA approval to submit rule, including one letter filed in § 314.70(g) applies. Monoclonal an annual report on a date other than response to one of the guidance antibodies for in vivo use complexed or the first year so that annual reports for documents but which includes conjugated with radiopharmaceuticals multiple products may be combined in comments pertaining to the proposed or toxins would be covered by § 601.12 a single annual report submission. rule. Comments received and FDA’s of the final rule. The requirements for reporting responses to the comments are Some changes in each category are changes to the labeling for biological discussed below. identified in the final rule. Several of products are basically unchanged from 1. Two comments on proposed these changes differ from those changes the proposed rule. One clarification is § 314.70(g) recommended that the term identified in the proposed rule. Some of the form to be used for submission of ‘‘well-characterized biotechnology these changes were previously advertisements and promotional product’’ be broadened to include discussed in the draft guidance labeling for biological products. Form additional products, consistent with the documents as FDA’s interpretation of FDA–2253 (Transmittal of definition proposed by the the types of changes FDA believed Advertisements and Promotional Pharmaceutical Research and would fall into each category. Based on Labeling for Drugs for Human Use), the Manufacturers of America. comments received, they are now form specified in § 314.81(b)(3) (21 CFR FDA has determined that it is more included in the final rule to provide 314.81(b)(3)), is currently under revision appropriate to clearly specify products added clarity as to the types of changes by the agency. When final, it will be covered by the final rule than to use a which have a substantial, moderate, or used for both drug and biological general term such as ‘‘well- minimal potential to have an adverse products for submission of characterized biotechnology products.’’ effect on the safety or effectiveness of a advertisements and promotional As proposed, § 314.70(g) would have product. labeling. The final rule now states that applied only to those ‘‘well- The final rule provides for the use of ‘‘Form FDA–2567 (Transmittal of Labels characterized biotechnology products’’ a protocol, sometimes called a and Circulars) or an equivalent form which are regulated as new drugs, rather ‘‘comparability protocol,’’ which would shall be used.’’ In the future, FDA than as biologics. FDA has determined describe the specific tests and validation intends that a revised Form FDA–2253 that defining such products is difficult studies and acceptable limits to be will be used instead of Form FDA–2567. and no longer uses the term in this or achieved to demonstrate the lack of A future Federal Register notice will other regulations (see the final rule, adverse effect for specified types of announce the availability of the revised Elimination of Establishment License changes on the safety or effectiveness of Form FDA–2253. Application for Specified Biotechnology the product. Upon approval of the The final rule includes a conforming and Specified Synthetic Biological protocol, FDA may determine that amendment to § 610.9 (21 CFR 610.9) Products (61 FR 24227, May 14, 1996), certain changes evaluated in accordance for biological products subject to concerning appropriate terminology for with the protocol may be reported by a licensing, so that changes to methods these products). To clarify the less burdensome means; for example, a and processes equivalent to those regulation, FDA is amending § 314.70(g) change generally requiring preapproval specified in the regulations may be in the final rule to identify the specific by FDA could be made and the product submitted in accordance with § 601.12 products to which paragraph (g) applies; distributed 30 days after receipt by FDA in the final rule. Similarly, FDA is i.e., recombinant DNA-derived protein/ 39892 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations polypeptide products or complexes and regard, FDA has included examples of the product as they may relate to the conjugates of drugs with monoclonal specific changes in the final rule in safety or effectiveness of the product.’’ antibodies (where the primary mode of order to further clarify the types of ‘‘Identity, strength, quality, purity, and action is due to the drug). For all other changes that fall into each category and potency’’ are all elements that are drug products, including synthetic to provide further predictability about assessed in determining the safety or peptides and antisense nucleotides, the the application of the rule. effectiveness of the product. In addition, applicant will continue to report Many factors should be considered in FDA is adding the term ‘‘major changes’’ changes as provided in § 314.70(a) determining whether a change has a to the headings of §§ 314.70(g)(1) and through (f). For monoclonal antibodies substantial, moderate, or minimal 601.12(b), and ‘‘minor changes’’ to the complexed or conjugated with potential to have an adverse effect on headings of §§ 314.70(g)(3) and radiopharmaceuticals or toxins, changes the safety or effectiveness of the 601.12(d), in order to further clarify the to approved applications will be product. For example, the level of types of changes which would fall into reported under § 601.12. knowledge about the product and its each category. 2. Three comments requested active components may affect the ability b. Inclusion of examples of changes additional clarification of what to assess the effect of a change. The type falling under each reporting category. In constitutes a ‘‘substantial,’’ ‘‘moderate,’’ of change being made will also proposed §§ 314.70(g)(1)(i)(A), and ‘‘minimal’’ potential to have an contribute to the risk of the change (g)(1)(i)(B), and (g)(1)(i)(C) and adverse effect on the product. The having an adverse effect. Some 601.12(b)(1)(i), (b)(1)(ii), and (b)(1)(iii), comments stated that further definition manufacturing changes have a greater FDA specifically identified changes that of the risks that are of concern to FDA potential to cause unwanted or would be among those subject to are necessary to understand the unexpected changes to the product supplement submission and approval regulation and that such clarification which may be difficult to assess by prior to distribution of the product was preferable to providing exhaustive merely testing to specifications. The made using the change. FDA has lists of examples of changes in agency type of product is also a factor to reevaluated the proposed regulations guidance. consider in determining the potential and has determined that, for purposes of The regulations in the final rule apply risk of an adverse effect on the product. clarification, more types of changes to many types of changes for a broad Some products can be adversely affected should be specifically identified in the spectrum of products, including many by small changes which may cause regulations as being subject to biotechnology products, vaccines, blood larger effects even though the changes supplement submission and approval and blood components, and other may seem to be low risk. For example, prior to distribution of the product biological products. The regulations will a change in passage number for a live made using the change. Accordingly, apply to products that are currently virus vaccine could affect the safety of the final rule provides in experimental or in the conceptual stages the vaccine and this type of change may §§ 314.70(g)(1)(ii)(A) through (g)(1)(ii)(F) of development, which may have be difficult to assess. and 601.12(b)(2)(i) through (b)(2)(vi) special concerns that FDA cannot, at Therefore, defining ‘‘substantial,’’ more types of changes that FDA has this time, anticipate. The regulations are ‘‘moderate,’’ and ‘‘minimal’’ in the determined are subject to submission of written to accommodate the many types regulations with such specificity that a supplement and approval by FDA of changes for such a broad range of they exhaustively describe all of the prior to distribution of the product products. many individual changes that may made using the change. In addition, there is a need to preserve occur is not feasible. However, as FDA Similarly, FDA is including examples flexibility in the regulations to ensure gains experience in the use of this rule, of changes that have a moderate that the least burdensome means for it will consider whether to propose potential or a minimal potential to have reporting changes are made available. additional revisions to further clarify an adverse effect on the safety or FDA believes that this flexibility will how to determine the appropriate effectiveness of a product in ensure the continued improvement of submission for a change to an approved §§ 314.70(g)(2)(ii) and 601.12(c)(2), and the products involved. For example, a application. §§ 314.70(g)(3)(ii) and 601.12(d)(2), change that may currently be considered At this time, FDA is clarifying the respectively. These lists are not to have a substantial potential to have final regulations in several ways while intended to be all inclusive but are an adverse effect on the safety or providing adequate flexibility. The examples of the types of changes that effectiveness of the product may, at a revisions are as follows: fall into each category later date, based on new information or a. Clarification of wording. FDA is 3. One comment recommended that advances in technology, be determined amending the final rule by specifying a proposed § 314.70(g) not be added to to have a lesser potential to have an change in quality controls as a type of part 314 (21 CFR part 314). Instead, the adverse effect on the safety or change within the scope of reporting comment suggested that changes related effectiveness of the product. Conversely, provisions of the final rule. Similarly, to any well-characterized biotechnology a change now considered, for example, for purposes of clarity and consistency, product, whether regulated as a drug or to have a moderate potential to have an FDA is including in § 601.12(a), (b)(1), as a biologic, should be reported in adverse effect on the safety or (c)(1), and (d)(1) a change in responsible accordance with existing § 314.70(a) effectiveness of the product may, based personnel as subject to the requirements through (f). on information not available at this of the final rule. ‘‘Responsible FDA disagrees in part with the time, be later determined by the agency personnel’’ was inadvertently included comment. FDA agrees that to have a substantial potential to have in only some, but not all, of the biotechnology products should be an adverse effect on a product. appropriate parts of the proposed rule. regulated consistently but believes the FDA agrees there is a need to clarify FDA is further amending the final rule regulations in the final rule are the regulations to help identify those to specify that the mechanism for necessary to ensure the continued safety changes which have a substantial, reporting a change is based on the and effectiveness of recombinant DNA- moderate, or minimal potential to have degree of potential of the change ‘‘to derived protein/polypeptide products an adverse effect on the safety or have an adverse effect on the identity, and complexes or conjugates of drugs effectiveness of the product. In this strength, quality, purity, or potency of with monoclonal antibodies. Products Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39893 manufactured using biotechnology can as notifications to FDA rather than of the protocol reduces the potential risk present somewhat different scientific requiring preapproval. of adverse effect. issues than products manufactured FDA disagrees with the comment. The The guidance documents being made using more traditional techniques. In types of changes identified in available with this final rule provide new §§ 314.70(g) and 601.12, the agency § 601.12(b)(1) of the proposed rule and examples of how, consistent with FDA’s is promulgating requirements those in the final rule are based on current interpretation of the rule, a appropriate for this category of product, FDA’s experience of reviewing comparability protocol approved by whether regulated as a drug or biologic. supplements and are those for which FDA may be used to justify a reduction 4. One comment on proposed FDA believes there is a substantial in the reporting category. For example, §§ 314.70(g)(3) and 601.12(d) potential to have an adverse effect on use of an approved protocol for a recommended that the requirements be the safety or effectiveness of the particular change may result in a amended to be consistent with current product. Listing examples of the types determination by FDA that a change § 314.70(d)(1) so that changes made by of changes with such potential provides usually subject to supplement an applicant to comply with an official useful information to applicants for submission and approval by FDA prior compendium would be among those for assessing the appropriate category of to distribution of the product made which only notification in an annual reporting. using the change may be submitted as report would be necessary. However, FDA also recognizes there a change subject to supplement FDA agrees with the comment and is may be instances when the agency may submission at least 30 days prior to including this change in determine that a reduced reporting distribution of the product made using §§ 314.70(g)(3)(ii) and 601.12(d)(2) of category for a specific manufacturing the change. Similarly, FDA is including the final rule as one that may be change is justified for a type of change in §§ 314.70(g)(2)(v) and 601.12(c)(5) in reported in the annual report. that is ordinarily subject to submission the final rule that use of a previously 5. One comment on proposed § 601.12 of a supplement and approval by FDA approved protocol is one means by suggested that the term ‘‘effectiveness’’ prior to distribution of the product which FDA may determine that a should not be used in reference to blood made using the change. product made using a specified change and plasma establishments. The If the agency can be assured that may be distributed immediately upon receipt of the supplement by FDA (see comment stated that the effectiveness of when a manufacturing change is also, FDA’s response to comment 10 of a blood component can be greatly implemented appropriate procedures this document for additional discussion affected by circumstances of its use, have been followed by the applicant to of the means for permitting the which is entirely out of the control of evaluate the effect of the change on the immediate distribution of a product the manufacturer and that Source safety or effectiveness of the product, made using a change). Plasma, being a source material for the FDA believes that in certain cases the However, use of a comparability manufacture of other products, has no potential for an adverse effect may be protocol approved by FDA may not ‘‘effectiveness’’ in and of itself. lessened. justify a reduction in the reporting FDA disagrees with the comment. Generally, when considering a change category for every type of change. Some There are many examples of types of in the manufacture of a product, the steps in manufacturing a biological changes in manufacturing a blood or manufacturer will prepare a protocol, product are so critical to the safety and blood component product which may often called a ‘‘comparability protocol,’’ effectiveness of the product that a have an adverse effect on the identifying and describing the tests to be change in that manufacturing step effectiveness of the product. For performed in evaluating the change and would always be subject to the example, any change that may affect the its effect on the product, and defining submission of a supplement to FDA and viability of Red Blood Cells, such as a the criteria against which the impact of approval by FDA prior to distribution of change in dating period, anticoagulant, the change will be evaluated. By the product made using the change. or processing methods, may directly providing an opportunity for FDA to 7. Two comments related to proposed affect the effectiveness of the product review and approve the comparability § 601.12(c), which would provide for and the impact of the change should be protocol before it is used by the notification to FDA of certain changes evaluated accordingly. The comment is applicant to evaluate a change, FDA can not less than 30 days before distribution correct that Source Plasma is only used have greater assurance that the change of the product made using the change. in the manufacture of other products is being properly evaluated and, The comments recommended that and the ‘‘effectiveness’’ of Source therefore, that there is less potential for § 601.12(c) be deleted and that there be Plasma is not by itself a consideration. the change to have an adverse effect on only two tiers of changes: Those However, inclusion of the the safety or effectiveness of the requiring submission of a supplement ‘‘effectiveness’’ in the regulations has no product. and preapproval by FDA, and those effect upon the burdens associated with Accordingly, FDA is adding which may be reported in an annual the regulations for Source Plasma or §§ 314.70(g)(4) and 601.12(e) in the final report. One of the comments other intermediate products where rule to provide that an applicant may recommended that, when other safety effectiveness of the product is not submit to FDA as a supplement a issues have been addressed, changes directly a factor. FDA believes it is protocol describing the specific tests which result in a product meeting unnecessary to clarify further the and validation studies and acceptable currently approved release criteria regulations in this respect. limits to be achieved to demonstrate the should be reported in an annual report. 6. One comment disagreed with the lack of adverse effect for specified types One of the comments noted that, in examples of changes given in proposed of manufacturing changes on the safety effect, the submission of a notification § 601.12(b)(1), which would require or effectiveness of the product. Upon was equivalent in reporting burden to submission of a supplement and approval of the protocol, FDA may the submission of a supplement. approval by FDA before distribution of determine that the use of the approved FDA disagrees with the comment that the product made using the change. The protocol for the particular change there should be only two categories of comment stated that most of the justifies the use of a reduced reporting changes but recognizes that the examples of changes should be reported category for that change because the use regulations should be revised to allow 39894 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations more types of changes to be certain circumstances, be implemented the change. In cases where FDA implemented in 30 days. An important and the product distributed not less determines that there may be a danger objective of this rulemaking is to than 30 days after FDA’s receipt of the to public health due to the continued provide for the prompt implementation supplement or, in some cases, marketing of the product, or when FDA of changes while allowing FDA to immediately upon submission of the determines that the issues may not ensure that the changes do not have an supplement notifying the agency of the otherwise be resolved, the agency may adverse effect on the safety or change, provided the change has been require that the applicant cease effectiveness of the product. As evaluated by the applicant in distribution of the product made using proposed, §§ 314.70(g)(2) and 601.12(c) accordance with an FDA approved the change or that the product be would have provided for the comparability protocol. The supplement removed from distribution pending distribution of a product made using is then reviewed by FDA to assure that resolution of the issues related to the certain changes 30 days after there is adequate evidence that the change. notification to FDA but they did not change will consistently result in a safe 8. One comment on proposed provide for the full evaluation and and effective product. As provided in § 601.12(b)(2)(vi) (§ 601.12(b)(3)(vi) in approval by FDA of information §§ 314.70(g)(2)(iii) and 601.12(c)(3) of the final rule) recommended that an gathered by the applicant in validating the final rule, the information to be applicant have the option of providing the change. As a consequence, under the submitted would be the same type of a detailed summary of the validation proposed rule, FDA would have been information as is required for a protocol and data, and the agency could unable to determine, because of the supplement subject to approval by FDA request copies of the entire protocol and absence of data, that many changes prior to distributing the product made all data, if needed. could be considered to have a moderate, using the change. FDA disagrees with the comment. rather than a substantial, potential to In the guidance documents being FDA believes that submission of the have an adverse effect on the safety or made available elsewhere in this issue complete validation protocol and data is effectiveness of the product. of the Federal Register, FDA identifies necessary to assure that FDA may fully Accordingly, FDA is revising a number of additional types of changes evaluate any variability in test results proposed §§ 314.70(g)(2) and 601.12(c) which, under its current interpretation that might not be apparent in a to require, for changes which have a of the rule, may be implemented 30 summary of test results. The agency has moderate potential to have an adverse days after receipt by FDA of the frequently encountered instances in effect on the safety or effectiveness of supplement, but for which FDA which the average of the test results was the product, the submission of a approval before implementation would within acceptable limits but variability supplement, rather than a notification, have been required under the proposed in test results indicated a problem with 30 days before distribution of the rule. In addition, the final rule provides the reproducibility of the test or product made using the change. FDA is that, for some other types of changes, demonstrated variability in product taking this initiative so that significantly implementation can occur immediately quality. In order to understand the more types of changes may be moved upon submission of the supplement to implications of any such variability, it is from the prior approval category, FDA. The reduction in delays gained by necessary to review all data and the thereby allowing distribution of the reducing the number of types of changes complete validation protocol specifying product at or near the time of subject to supplement submission and the test methodology used. submission. prior approval by FDA before 9. One comment recommended that In this regard, in preparing this final distribution of the product made using only one supplement to a product rule, FDA reviewed those changes that the change, and from the use of license application should be necessary were identified in the proposed rule comparability protocols, can only be to implement a change by all facilities (and discussed in the draft guidance achieved if FDA has the opportunity to under a single establishment license. documents) as subject to supplement evaluate the information in the form of This rulemaking does not address the submission and FDA approval prior to a supplement to assure that there is no overall licensing policies of the agency. distribution of the product made using long-term potential that the change or In a related initiative, FDA is reviewing the change. The agency determined that many sequential changes made over licensing policies and regulations. FDA for many of these changes, agency time may have an adverse effect on the will consider the comment in its general review of the data is necessary to assess product. review of licensing policies and intends any potential long-term effect on the Potential applicants should be aware to publish additional documents in the continued safety or effectiveness of the that complete review and approval of a Federal Register regarding licensing product, but that it is unnecessary to supplement will take longer than 30 policies. require that FDA approval of the days. There may be instances where 10. One comment on proposed supplement be obtained before the FDA determines, after the product made § 601.12(c) suggested that the product made using the change is using the change has been distributed, requirement for notification to FDA not initially distributed. In addition, as that the information submitted in the less than 30 days prior to distributing discussed previously in this document, supplement fails to adequately the product be expanded to include a FDA has decided to permit the use of a demonstrate the continued safety or subcategory for permitting the ‘‘comparability protocol’’ for certain effectiveness of the product made using notification of FDA concurrent with the changes in lieu of requiring supplement the change. In such cases, FDA will distribution of the product made using submission and approval prior to make all possible efforts to resolve the change. distribution of the particular product problems with the applicant concerning FDA agrees with the comment. FDA made using the change. Thus, as the supplement submission without believes 30 days is often necessary to described in the guidance documents requiring removal of the product from assure that the supplement is complete being made available with this final the marketplace. In assessing an and that the change qualifies for the rule, a change that is usually considered applicant’s plans to correct a problem, moderate potential category. However, to have a substantial potential to have the agency intends to consider the in other cases, such as when the change an adverse effect on the safety or applicant’s reasons for making the has been evaluated in accordance with effectiveness of the product may, in change and the available alternatives to an approved comparability protocol, or Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39895 where a change is one which in the determine if the supplement is complete from the proposed rule and is now agency’s experience has always been and qualifies for implementation 30 appropriate because more changes that reported by applicants in the correct days after submission. It is the previously required submission of a category, and with the proper responsibility of the applicant to supplement to FDA under the proposed documentation, a change may be determine whether it should prepare to rule will now require only the implemented immediately upon release the product 30 days after submission of an annual report. These submission of the supplement. submission of the supplement, data will allow the agency to help assess Accordingly, FDA is adding recognizing that the release may be the impact of numerous changes that §§ 314.70(g)(2)(v) and 601.12(c)(5) in the delayed because of deficiencies in the may occur to a product over time. final rule to provide that FDA may, for supplement, or make other 13. One comment on proposed certain changes otherwise requiring arrangements to better accommodate § 601.12(d) asked whether the annual submission of a supplement at least 30 such a possibility. report should include a description of days prior to distribution of the product 12. In the preamble to the proposed all changes or only those not otherwise made using the change, permit the rule, FDA requested comments as to reported to FDA under the proposed distribution of the product to begin whether the information to be included regulations. immediately upon receipt of the in an annual report under existing The annual report should include supplement by the agency. Such types § 314.81(b)(2), currently applicable to information concerning only those of changes may be made in connection nonbiological new drugs, should be changes that have not previously been with approved comparability protocols applied to licensed biological products. reported to FDA in a supplement. or may be discussed in guidance One comment expressed the opinion FDA recognizes the need to avoid documents. that the information required under redundant reporting of changes. Some 11. One comment on proposed § 314.81(b)(2) is more onerous than the products, particularly blood and blood § 601.12(c) noted that the proposed rule proposed requirements in § 601.12(d) components, are closely related and a did not specify the manner by which and should not be applied. Another single change may affect multiple FDA would notify an applicant of its comment stated that the information products. Under the proposed rule, a determination of whether the required by § 314.81(b)(2) has little minor change, which has a minimal notification was accepted or if relevance to blood and plasma potential to have an adverse effect on additional information was needed. The establishments. the safety or effectiveness of the comment recommended that FDA FDA requested comment to determine product, would be reported in the establish a maximum time period, such if applicants who manufacture both annual report for each affected product as 21 days, after which the applicant drugs and biological products preferred on or about the first anniversary date of can be assured that no request for that the required content of the annual the approval of the application for the significant information is forthcoming, reports for drugs and biologics be product. In § 601.12(d)(1) of the final thus allowing the applicant to begin identical. Only two comments were rule, FDA is adding a provision to marketing the product 30 days after received in response to the agency permit an applicant to request an submission with confidence that FDA request and both opposed complete alternative date for submission of an has no objection. harmonization. The agency is As discussed earlier in this document, committed to harmonizing reporting annual report so that multiple reports the final rule has replaced the requirements for drugs and biologics as may be combined into a single ‘‘notification’’ with a supplement which much as possible and will continue to combined annual report submission. may be implemented in 30 days. During evaluate the need for identical content 14. One comment on proposed the 30-day period from the date of in annual reports. However, based on § 601.12(d) asked for a clarification as to receipt of a supplement, FDA will comments received, FDA has whether the annual report should perform a preliminary review of the determined that it would be appropriate include facility changes of the type supplement to determine whether it is to harmonize the requirements for the previously contained in an complete and whether the type of annual report as they relate only to establishment license application but change qualifies under manufacturing changes at this time. The for which FDA no longer requires §§ 314.70(g)(2)(iv) or 601.12(c)(4) for final rule at § 314.70(g)(3) references the submission in an application for a distribution of the product made using annual report requirements for drugs specified biotechnology product (see the the change 30 days after receipt of the approved under a new drug application final rule published in the Federal supplement. The means of notifying the (NDA) for products subject to Register of May 14, 1996 (61 FR 24227)). applicant of whether the supplement § 314.70(g). For biological products, the If the change relates to a matter has been accepted as a ‘‘30-day language in § 601.12(d)(2)(i) through which, under current procedures, would supplement’’ depends on the individual (d)(2)(vii) will require the same type and not be described in an original circumstances surrounding the amount of information for application and its supplements, supplement. FDA recognizes that when manufacturing changes as is required reporting of the change is not required. there are problems with the supplement under § 314.81(b)(iv)(b). This 15. Two comments on proposed that may delay product distribution, the harmonizes the reporting requirements § 601.12(e) (§ 601.12(f) in the final rule) applicant should be notified as quickly as they relate to postapproval changes recommended that § 601.12(e)(4) be as possible. Official notification will be for drugs and biologics without adding, replaced by a cross-reference to § 314.70 by letter. To notify the applicant that the for biological products, the additional so that all changes to advertising and supplement has been received, FDA will requirements for other information promotional labeling for drug and send an acknowledgment letter required in an annual report for a drug biological products would be covered by assigning a reference number to the approved under an NDA. The full one set of regulations. One additional supplement. description of the changes would comment recommended that proposed Although FDA intends to perform this include pertinent data from studies and § 601.12(e) cross-reference § 314.70 for preliminary review as expeditiously as tests performed to evaluate the effect of labeling changes and recommended that possible, there may be some cases where the change on the safety and proposed § 601.12(e)(4) regarding the entire 30-day period is necessary to effectiveness of the product. This differs advertisements and promotional 39896 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations labeling replace existing § 601.45 (21 FDA disagrees with the comment but the comment when reviewing its overall CFR 601.45). believes that the relationship among inspectional policies. Section 601.45 applies only to § 610.9, a similar regulation in 19. One comment recommended that promotional materials relating to § 640.120, and the regulations in the the review and regulation of all well- biological products intended for serious final rule should be clarified. Section characterized biotechnology products be or life-threatening illness being 610.9 provides procedures for a consolidated into one office serving considered for accelerated approval. manufacturer of a biological product to both CDER and CBER. FDA believes these requirements modify a particular test method or This comment is outside the scope of continue to be necessary for biological manufacturing process, which is this final rule. FDA is not considering products being considered for specified in the biologics regulations such a reorganization at this time. accelerated approval. upon demonstrating to FDA that the 20. One comment recommended FDA considered consolidating the modification will provide assurances of deletion of parts 610 through 680 (21 requirements for advertising and the effects on the safety and CFR parts 610 through 680) because labeling for drugs and biologics under effectiveness of the biological product these requirements are more one set of regulations but decided that equal to or greater than the test method appropriately addressed in approved the regulations are more useful if all or process specified in the regulations. marketing applications, compendia, and guidance documents. requirements applicable to the reporting Section 640.120 provides procedures for In the Federal Register of August 1, of changes to a license of a biological licensed and unlicensed manufacturers of blood, blood components, and blood 1996 (61 FR 40153), FDA issued a final product are directly or indirectly rule removing the regulations in parts included in one separate set of products to obtain FDA approval for an exception or alternative to any 620, 630, and 650 in their entirety and regulations. Advertisements and removing sections of parts 610, 640, promotional labeling for both licensed requirement in part 640 (21 CFR part 640), subchapter F. Sections 610.9 and 660, and 680. The remaining regulations biological products and drug products continue to be under review within the with approved NDA must be reported in 640.120 are intended to provide flexibility for an applicant to obtain agency and FDA intends to pursue accordance with the same requirements additional rulemaking at a later date of § 314.81(b)(3), except that, as FDA approval of a change to a test method, manufacturing process, or other proposing to retain, revise, or remove discussed previously in this document, many of the remaining regulations. different forms will be used until the requirement from that specified in the regulations. 21. One comment from a licensed final revised harmonized form is blood establishment recommended that available. Section 601.12 of the final rule provides for the reporting of changes, a product license application 16. One comment on proposed including those for which approval supplement not be required for a change § 601.12(e)(2)(i)(D) (§ 601.12(f)(2)(i)(D) under §§ 610.9 or 640.120 is required. In relating to a device which has received in the final rule), noted that to submit some cases, a change requiring approval 510(k) clearance from FDA. The a labeling change to ‘‘delete false, under §§ 610.9 or 640.120 may be comment noted that the applicant misleading, or unsupported indications eligible for distribution 30 days after should be permitted to implement the for use or claims for effectiveness’’ FDA’s receipt of the supplement change with concurrent notification. would be equivalent to acknowledging requesting approval of the change. FDA disagrees with the comment. On that the product has been misbranded. Accordingly, FDA is amending §§ 610.9 occasion, a licensed blood The comment asked for examples of and 640.120 in the final rule to clarify establishment may change the type of when there might be circumstances that FDA may permit changes submitted equipment used in the collection or when FDA would have previously under § 610.9 or changes submitted by processing of blood and blood approved a label that so misbranded the licensed establishments under § 640.120 components. For example, a blood product. to be distributed as provided in establishment may decide to change Although this type of labeling change §§ 601.12(b) and (c) of the final rule. from using manual pheresis equipment is infrequent, it has occurred in the past. FDA is also taking this opportunity to for the collection of Source Plasma or For example, analyses of the results of amend § 610.9 to clarify that a request other blood components to automated postapproval studies may show that for approval of an equivalent method or equipment which has already been information included in the approved process can be submitted either as part cleared for such use as a medical device, labeling is false or unsupported. of the original application (or as an either with an approved premarket Occasionally, an applicant may discover amendment to the original, pending approval application or cleared as after approval of the product that data application) or as a supplement to the substantially equivalent under section obtained from the clinical or laboratory approved application. Section 610.9 510(k) of the act (21 U.S.C. 360(k)). The studies sponsored by the applicant previously specified that the request purpose of the supplement to the contained false information or, upon should be submitted as a license product license application is to assure reevaluation, does not support claims supplement. that the use of the equipment has been made in the labeling. Also, the applicant 18. One comment urged that CBER properly validated at the blood may determine that persons using the continue to be directly involved in establishment, that the persons using product are making incorrect inferences inspections of well-characterized the equipment have been properly from wording in the labeling and biotechnology products so that the trained, and that appropriate standard wording changes are necessary to ensure agency may provide proper scientific operating procedures are in place to that the product is not used review and oversight of those changes assure the safety of the donors from inappropriately. Changes made in the not reported before product distribution. whom the blood components will be above instances would be reported in FDA agrees that appropriate scientific collected. FDA believes that a change accordance with § 601.12(f)(2)(i)(D). oversight should be given to help assure from manual to automated pheresis 17. One comment recommended the the continued safety and effectiveness of equipment that is not properly deletion of § 610.9 because it is the products, particularly when there is implemented may have a substantial redundant with provisions in the a significant change in a method of potential to have an adverse effect on proposed rule. manufacture. The agency will consider the health of the donors as well as on Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39897 the safety and effectiveness of the sophisticated process, requiring reporting to FDA, assuming the types of products being collected. For this considerable expertise to perform changes occurring under the final rule reason, FDA believes that a supplement properly. In recent quality control are comparable to those which were submission to convert from manual to testing, performed in 1996, FDA found evaluated, the estimated change in costs automated pheresis equipment should that 26 of 279 samples submitted did to the applicant can be readily be subject to approval by FDA before the not meet appropriate specifications. calculated. change is implemented. FDA notes that Results from additional samples FDA notes that the decrease in for certain other types of similar indicated problems with pheresis paperwork is only part of the relief from changes, such as changing from one procedures. See § 640.25(b) for regulatory burdens achieved by the final type of automated equipment to additional standards regarding quality rule. Under the new regulations many another, there is less potential for an control testing. Because of this relatively changes may be implemented more adverse effect and the product made high rate of failure, FDA believes that expeditiously and the product marketed using the change may be distributed 30 continued quality control testing by the more quickly. FDA believes this ability days after receipt by FDA of the agency is necessary to assure the to readily market a product made with supplement reporting the change. continued safety and effectiveness of improved technology or improved 22. One comment recommended that plateletpheresis products. labeling will be of considerable FDA not set specific requirements for 24. One comment recommended that economic benefit to the applicant and submission of changes to a pending FDA provide an applicant with a the public. Because these benefits are application. This flexibility could help specific, detailed, written explanation indirect benefits, FDA does not have the expedite the approval of life-saving for finding a license ‘‘not approvable’’ information necessary to quantify the products, such as a new treatment for and that compliance deficiencies economic benefits associated with such cancer. unrelated to the change specified in the timely marketing of products. Former § 601.12 applied both to application should not justify a ‘‘not changes to an approved application and approvable’’ decision. V. Effective Dates and Other to changes to a pending application. In The comment is beyond the scope of Implementation Issues the preamble to the proposed rule (61 this rulemaking, which deals with the The final rule is effective October 7, FR 2739 at 2742), FDA announced its procedures for the reporting of changes. 1997. On or after that date, FDA will intention to consider whether it is The entire licensing process, including accept supplements submitted in appropriate to issue specific the review and approval of license accordance with the final rule. For requirements for submitting supplements, continues to be under supplements which have already been amendments to pending license review within FDA. This comment will submitted to FDA and which are applications as part of its review of be considered by the agency as part of pending approval, the applicant should licensing requirements. The review of its review of the licensing process. notify FDA as to whether it believes: (1) licensing requirements continues; 25. One comment recommended that The supplement continues to be subject however, FDA recognizes that its the final rule be made effective to approval by FDA before regulations and policies must provide immediately upon its publication to implementation of the change; (2) the adequate flexibility to accommodate the provide immediate relief from excess change may be implemented but is wide variety of products which are reporting burdens. subject to FDA approval as a FDA agrees the final rule should be subject to licensure. supplement; or (3) the supplement implemented as soon as possible. The agency has already taken a should be withdrawn because review of Additional information regarding number of steps to ensure the the change as a supplement is no longer expeditious review and approval of effective dates and other necessary and the change may be important new drugs and biologics, implementation issues is presented at implemented and reported in an annual including a commitment under the the end of this preamble. report. FDA will inform the applicant Prescription Drug User Fee Act of 1992 26. One comment on the ‘‘Analysis of within 30 days of its receipt of this (Pub. L. 102–571) to endeavor to Impacts’’ section of the preamble of the notification if it is not in agreement with complete the review of applications for proposed rule noted that the analysis the applicant’s assessment. ‘‘breakthrough’’ drugs and biologics did not specify how many FDA is requesting the submission of within certain specified timeframes. establishments were involved and the initial annual report required by Efforts to improve the system for the whether the proposed regulations would §§ 314.70(g)(3) and 601.12(d) and (f)(3) review and approval of important new truly result in a paperwork reduction. within 60 days of the first anniversary drugs and biological products are The comment requested that FDA date of the approval of the application continuing. describe more clearly the expected of the product occurring on or after 23. One comment requested that FDA reduction in paperwork burdens. January 20, 1998. For products with an discontinue its policy of requiring The ‘‘Analysis of Impacts’’ sections of earlier anniversary date, the annual submission of plateletpheresis products the proposed and final rules are based report shall be submitted within 60 days for quality control testing as a on an evaluation of those supplements of the next anniversary date and should prerequisite for license approval for submitted to FDA under the previous report all applicable changes occurring such products. regulations during a specified time The comment is beyond the scope of period. All applicants holding licenses since the time of issuance of the final this rulemaking, which deals with the for biological products or an NDA for rule. procedures for the reporting of changes those biotechnology products affected VI. Analysis of Impacts to a license application. FDA notes, by § 314.70(g) are potential respondents. however, that for the present time, the The analysis is based on the number of A. Review Under Executive Order 12866 agency plans to continue its practice of supplements submitted in the recent and the Regulatory Flexibility Act performing quality control testing as past which would, under the final rule, FDA has examined the impact of the part of its review of a license be subject to each form of reporting to final rule under Executive Order 12866 application relating to a plateletpheresis FDA. From the burden hours associated and the Regulatory Flexibility Act (5 product. Plateletpheresis is a with each of the possible means of U.S.C. 601–612). Executive Order 12866 39898 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations directs agencies to assess all costs and a significant economic impact on a the appropriate procedure described in benefits of available regulatory substantial number of small entities. this final rule. The rule applies both to alternatives and, when regulation is Therefore, under the Regulatory small and large for-profit business necessary, to select regulatory Flexibility Act, no further analysis is entities, and to small and large approaches that maximize net benefits required. nonprofit organizations. (including potential economic, Although no further analysis is The agency believes the regulation is environmental, public health and safety, required, in developing this final rule, flexible and is consistent with and other advantages; distributive the agency did consider the impact of contemporary standards. Because this impact; and equity). The agency the rule on small entities. The agency final rule represents a decrease in believes that this final rule is consistent also considered various regulatory reporting burdens and other economic with the regulatory philosophy and options to maximize the net benefits of burdens previously applicable to the principles identified in the Executive the rule to small entities without same products, FDA believes that firms Order. In addition, the final rule is a compromising the agency’s ability to should have no problem with significant regulatory action as defined assure the continued safety and complying with these regulations. No by the Executive Order and is subject to effectiveness of the products to which particular professional skills are needed review under the Executive Order the rule applies. The following analysis to assemble the information to be because it deals with a novel policy briefly examines the potential impact of reported to FDA. the final rule on small businesses. issue. 3. Types and Number of Firms Affected In accordance with the principles of 1. The Need for the Regulation Executive Order 12866, the overall Approximately 400 firms are affected result of the final rule will be a The purpose of the final rule is to by this final rule. Approximately half, substantial reduction in burdens on amend the regulations for reporting to primarily establishments with licenses applicants seeking approval of a product FDA changes to an approved for blood and blood component subject to this rule. FDA anticipates that application for a biological product in products, are nonprofit institutions. The the final rule will facilitate an order to reduce unnecessary reporting remainder are large for-profit applicant’s ability to market a product burdens on applicants holding approved businesses. licenses to manufacture biological improved by a change in manufacturing 4. Alternatives or labeling without unnecessary delays products and on applicants with an while reducing the overall paperwork approved NDA for specified A number of alternatives were burden associated with reporting such a biotechnology products. FDA issued the considered in preparing this final rule. change to FDA. In addition, FDA proposed rule as part of its response to Each alternative was evaluated as to its anticipates that the final rule may several mandates to reduce the burdens adequacy in providing in a timely way encourage applicants to improve their associated with government regulation, the information needed for FDA to licensed products, product labeling, and while assuring the continued safety and assure the continued safety and methods of manufacture. effectiveness of regulated products. effectiveness of the affected products, Unless the head of the agency certifies The final rule takes into account and evaluated with regard to burdens that the rule does not impose a comments submitted to the Dockets related to paperwork and the applicant’s significant impact on a substantial Management Branch, and discussions ability to market a product made with number of small entities, the Regulatory and information obtained through a changed manufacturing process or Flexibility Act requires agencies to public participation in the public distributed with revised labeling. The analyze regulatory options that would meeting held on April 19, 1996, to agency decided not to provide different minimize any significant economic discuss and gather information and reporting requirements for small impact of a rule on small entities. The views on the proposed rule and two businesses because such an alternative final rule will reduce the overall draft guidance documents. The objective would threaten the continued safety and burdens associated with reporting of the final rule is to harmonize effectiveness of products marketed by changes in manufacturing and labeling regulations administered by CDER and small businesses. For all applicants, of licensed biological products. It also CBER in FDA, to reduce unnecessary regardless of size, the agency believes it provides increased flexibility for burdens, and improve the consistency has selected the reporting alternatives applicants in selecting the means of in the processes for complying with which impose the minimum burdens reporting manufacturing changes by FDA’s regulations without diminishing upon the applicants while assuring the providing for the use of a comparability public health protection. continued safety and effectiveness of the protocol through which the agency may As stated previously, FDA held an affected products. determine that the change has a open public meeting during the 5. Response to Comments decreased potential for an adverse effect comment period to facilitate public on the safety and effectiveness of the comment on this rule. FDA is Only one comment was received product when compared with the announcing the availability of final concerning the Regulatory Flexibility potential generally associated with that guidance documents, revised from those Analysis provided in the proposed rule. type of change. In many cases under the proposed as a result of public comment, The comment asked for further final rule, an applicant will be able to which are intended to aid applicants in clarification regarding the projected market a product made using a change complying with the requirements of this reduction in burdens associated with in manufacturing more rapidly than final rule. the revised regulations. Most of the previously permitted under the reduction in paperwork burdens, now regulations. 2. Description of Requirements projected as a 10 percent reduction, is Because, as stated above, the overall Any applicant holding an approved associated with the fact that some result of the final rule will be a marketing application for a licensed changes which previously were subject substantial reduction in the regulatory biological product or specified to submission of a supplement and and reporting burdens, the biotechnology product will be required approval by FDA prior to distribution of Commissioner of Food and Drugs to report a change in the approved the product made using the change may certifies that the final rule will not have manufacturing process or in labeling by now be reported in an annual report Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39899 with a significant reduction in the potency of the product as they may biological license approved under information that is to be submitted. relate to the safety or effectiveness of the section 351 of the PHS Act, and all Considerable reduction in economic product: (1) Changes that have a manufacturers and applicants of burdens is expected to result from the significant potential to have an adverse specified biotechnology products flexibility included in the final rule to effect on the product will be submitted holding an approved NDA. permit the distribution of a product in a supplement requiring prior Burden estimate: As mentioned in the made using a change by the most timely approval by FDA before distribution of proposed rule, FDA estimates that 20 means possible while assuring the the product made using the change; (2) percent of all reports required under continued safety and effectiveness of the changes that have a moderate potential these final regulations will be prepared product. Because FDA has no data to to have an adverse effect on the product relate time saved in marketing a product will be submitted to FDA in a by contractors. The burden hours for with the resulting economic benefit, supplement not less than 30 days prior affected industry in the chart below FDA cannot offer a monetary estimate of to distribution of the product made therefore reflect a 20 percent reduction. the savings at this time. using the change unless FDA permits It is estimated that a contractor will distribution upon its receipt of the charge $40 per hour for the service of B. Review Under the Paperwork supplement; and (3) changes that have preparing these reports. The 20 percent Reduction Act of 1995 a minimal potential to have an adverse burden hours multiplied by $40 per This final rule contains information effect on the product will be submitted hour are reflected in the table, under the collection provisions that are subject to by the respondent in an annual report. column labeled ‘‘Operating and review by the Office of Management and Labeling changes for a biological Maintenance Costs.’’ Budget (OMB) under the Paperwork product will also be submitted in one of The burden estimate for this final rule Reduction Act of 1995 (44 U.S.C. 3501– the following ways: (1) A supplement differs from the estimate given for the 3520). The title, description, and requiring FDA approval prior to proposed rule (see 61 FR 2739 at 2745) respondent description of the distribution of product with the revised in two important respects. First, FDA information collection provisions are labeling; (2) a supplement requiring has revised §§ 314.70(g)(2) and 601.12(c) shown below with an estimate of the FDA approval but permitting the in the final rule to require submission annual reporting burden. Included in distribution of the product with the of a supplement rather than a the estimate is the time for reviewing accompanying revised labeling at the notification for changes that have a instructions, gathering and maintaining time the supplement is submitted; or (3) moderate potential to have an adverse the data needed, and completing and submission of final printed labeling in effect on the safety or effectiveness of reviewing the collection of information. an annual report. Promotional labeling Title: 21 CFR 601.12—Changes to an and advertising will be submitted in the product. This revision will result in Approved Application and 21 CFR accordance with § 314.81(b)(3)(i). an estimated 10 additional burden hours 314.70(g)—Exception. Labeling changes for biotechnology per submission (50 for a supplement Description: This final rule revises the products regulated under the act but not versus 40 for a notification). Second, requirements for respondents to report under the PHS Act are not addressed in substantially more supplements to FDA changes in the product, labeling, § 314.70(g) and will not be affected by concerning changes in manufacturing production process, equipment, quality this final rule. The agency is developing and labeling for biological products are controls facilities, or responsible technology to permit the submission of being submitted than during the time personnel established in an approved the information required by this rule period used to prepare the estimate in application for a biological product or electronically. The agency anticipates the proposed rule (an estimated 2,300 for a specified biotechnology product. that the use of electronic media will submissions in 1996 versus 1,550 The respondent will report a change to substantially further reduce the submissions in 1994). Although this FDA in one of the three following ways paperwork burden associated with these increase results from increased industry depending on the potential for the reporting requirements. activity, not from any modification to change to have an adverse effect on the Description of Respondents: All the proposed rule, the burden estimate identity, strength, quality, purity, or manufacturers and applicants holding a has been adjusted to reflect the increase.

ESTIMATED ANNUAL REPORTING BURDEN

Number of 21 CFR Section Number of Hours Per Number of Responses Per Total Operating and Total Hours Per Respondents Response Responses Respondent Maintenance Costs Regulation

601.12(b) 391 80 900 2.3 $576,000 57,600 601.12(c) 391 50 720 1.8 $288,000 28,800 601.12(d) 391 10 120 0.3 $9,600 960 601.12(f)(1) 391 40 200 0.51 $64,000 6,400 601.12(f)(2) 391 20 20 0.05 $3,200 320 601.12(f)(3) 391 10 220 0.56 $17,600 1,760 601.12(f)(4) 391 10 110 0.28 $8,800 880 314.70(g)(1) 4 80 50 12.5 $32,000 3,200 314.70(g)(2) 2 50 3 1.5 $1,200 120 314.70(g)(3) 6 10 20 3.33 $1,600 160 TOTALS $1,002,000 $100,200 There are no capital costs associated with this collection of information.

As required by section 3506(c)(2)(B) (the PRA), FDA provided an information collection provisions of the of the Paperwork Reduction Act of 1995 opportunity for public comment on the proposed rule. All comments received 39900 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations agreed that FDA’s proposal to modify Therefore, under the Federal Food, (F) Changes which may affect product the requirements for reporting changes Drug, and Cosmetic Act and the Public sterility assurance, such as changes in to approved applications would reduce Health Service Act, and under the product or component sterilization the burden to industry without authority delegated to the Commissioner method(s) or an addition, deletion, or diminishing public health protection. of Food and Drugs, 21 CFR parts 314, substitution of steps in an aseptic Even with the increase in burden in the 600, 601, 610 and 640 are amended as processing operation. final rule as compared with the follows: (iii) The applicant must obtain proposed rule, FDA estimates that the approval of the supplement from FDA modified reporting requirements will PART 314ÐAPPLICATIONS FOR FDA prior to distribution of the product achieve a net burden reduction of APPROVAL TO MARKET A NEW DRUG made using the change. Except for approximately 10,000 hours per year. OR AN ANTIBIOTIC DRUG submissions under paragraph (g)(4) of As required by section 3507(d)(1)(A) 1. The authority citation for 21 CFR this section, the following shall be of the PRA, FDA submitted the part 314 continues to read as follows: contained in the supplement: information collection provisions of the (A) A detailed description of the proposed rule to OMB. Although these Authority: Secs. 201, 301, 501, 502, 503, proposed change; 505, 506, 507, 701, 704, 721 of the Federal (B) The product(s) involved; provisions were approved, FDA has Food, Drug, and Cosmetic Act (21 U.S.C. 321, submitted the information collection (C) The manufacturing site(s) or 331, 351, 352, 353, 355, 356, 357, 371, 374, area(s) affected; provisions of the final rule to OMB for 379e). review because of the revised (D) A description of the methods used 2. Section 314.70 is amended by requirement to submit a supplement and studies performed to evaluate the adding a new paragraph (g) to read as rather than a notification for changes effect of the change on the identity, follows: that have a moderate potential to have strength, quality, purity, or potency of an adverse effect on the safety or the product as they may relate to the § 314.70 Supplements and other changes safety or effectiveness of the product; effectiveness of the product. Prior to the to an approved application. effective date of this final rule, FDA will (E) The data derived from such publish a notice in the Federal Register * * * * * studies; (F) Relevant validation protocols and of OMB’s decision to approve, modify, (g) Exception. An applicant proposing data; and or disapprove the information collection to make a change of a type described in (G) A reference list of relevant provisions in the final rule. An agency paragraphs (a), (b)(1), (b)(2), (c)(1), (c)(3), standard operating procedures (SOP’s). may not conduct or sponsor, and a (d)(1), and (d)(4) through (d)(9) of this section affecting a recombinant DNA- (2) Changes requiring supplement person is not required to respond to, a submission at least 30 days prior to collection of information unless it derived protein/polypeptide product or a complex or conjugate of a drug with distribution of the product made using displays a currently valid OMB control the change. (i) A supplement shall be number. a monoclonal antibody regulated under the Federal Food, Drug, and Cosmetic submitted for any change in the C. Environmental Impact Act shall comply with the following: product, production process, quality controls, equipment, or facilities that The agency has determined under 21 (1) Changes requiring supplement has a moderate potential to have an CFR 25.24(a)(8) that this action is of a submission and approval prior to adverse effect on the identity, strength, type that does not individually or distribution of the product made using quality, purity, or potency of the cumulatively have a significant effect on the change (major changes). (i) A product as they may relate to the safety the human environment. Therefore, supplement shall be submitted for any or effectiveness of the product. The neither an environmental assessment change in the product, production supplement shall be labeled nor an environmental impact statement process, quality controls, equipment, or ‘‘Supplement—Changes Being Effected is required. facilities that has a substantial potential to have an adverse effect on the identity, in 30 Days’’ or, if applicable under List of Subjects strength, quality, purity, or potency of paragraph (g)(2)(v) of this section, ‘‘Supplement—Changes Being 21 CFR Part 314 the product as they may relate to the safety or effectiveness of the product. Effected.’’ Administrative practice and (ii) These changes include, but are not (ii) These changes include, but are not procedure, Confidential business limited to: limited to: information, Drugs, Reporting and (A) Changes in the qualitative or (A) Change in the site of testing from recordkeeping requirements. quantitative formulation or other one facility to another; specifications as provided in the (B) An increase or decrease in 21 CFR Part 600 approved application or in the production scale during finishing steps Biologics, Reporting and regulations; that involves new or different recordkeeping requirements. (B) Changes requiring completion of equipment; and an appropriate human study to (C) Replacement of equipment with 21 CFR Part 601 demonstrate the equivalence of the that of similar, but not identical, design Administrative practice and identity, strength, quality, purity, or and operating principle that does not procedure, Biologics, Confidential potency of the product as they may affect the process methodology or business information. relate to the safety or effectiveness of the process operating parameters. (iii) Pending approval of the 21 CFR Part 610 product; (C) Changes in the virus or supplement by FDA, and except as Biologics, Labeling, Reporting and adventitious agent removal or provided in paragraph (g)(2)(v) of this recordkeeping requirements. inactivation method(s); section, distribution of the product (D) Changes in the source material or made using the change may begin not 21 CFR Part 640 cell line; less than 30 days after receipt of the Blood, Labeling, Reporting and (E) Establishment of a new master cell supplement by FDA. The information recordkeeping requirements. bank or seed; and listed in paragraph (g)(1)(iii)(A) through Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39901

(g)(1)(iii)(G) of this section shall be change from one container and closure secs. 2–12 of the Fair Packaging and Labeling contained in the supplement. system to another; Act (15 U.S.C. 1451–1461). (iv) If within 30 days following FDA’s (F) The addition by embossing, 6. Section 601.12 is revised to read as receipt of the supplement, FDA informs debossing, or engraving of a code follows: the applicant that either: imprint to a solid dosage form drug (A) The change requires approval product other than a modified release § 601.12 Changes to an approved prior to distribution of the product in dosage form, or a minor change in an application. accordance with paragraph (g)(1) of this existing code imprint; and (a) General. As provided by this section; or (G) The addition or deletion of an section, an applicant shall inform Food (B) Any of the information required alternate analytical method. and Drug Administration (FDA) about under paragraph (g)(2)(iii) of this section (4) An applicant may submit one or each change in the product, production is missing; the applicant shall not more protocols describing the specific process, quality controls, equipment, distribute the product made using the tests and validation studies and facilities, responsible personnel, or change until FDA determines that acceptable limits to be achieved to labeling, established in the approved compliance with this section is demonstrate the lack of adverse effect license application(s). Before achieved. for specified types of manufacturing distributing a product made using a (v) In certain circumstances, FDA may changes on the identity, strength, change, an applicant shall demonstrate determine that, based on experience quality, purity, or potency of the through appropriate validation and/or with a particular type of change, the product as they may relate to the safety other clinical and/or non-clinical supplement for such change is usually or effectiveness of the product. Any laboratory studies, the lack of adverse complete and provides the proper such protocols, or change to a protocol, effect of the change on the identity, information, and on particular shall be submitted as a supplement strength, quality, purity, or potency of assurances that the proposed change has requiring approval from FDA prior to the product as they may relate to the been appropriately submitted, the distribution of the product which, if safety or effectiveness of the product. product made using the change may be approved, may justify a reduced (b) Changes requiring supplement distributed immediately upon receipt of reporting category for the particular submission and approval prior to the supplement by FDA. These change because the use of the protocol distribution of the product made using circumstances may include substantial for that type of change reduces the the change (major changes). (1) A similarity with a type of change potential risk of an adverse effect. supplement shall be submitted for any regularly involving a ‘‘Supplement— * * * * * Changes Being Effected’’ supplement, or change in the product, production a situation in which the applicant PART 600ÐBIOLOGICAL PRODUCTS: process, quality controls, equipment, presents evidence that the proposed GENERAL facilities, or responsible personnel that change has been validated in has a substantial potential to have an accordance with an approved protocol 3. The authority citation for 21 CFR adverse effect on the identity, strength, for such change under paragraph (g)(4) part 600 continues to read as follows: quality, purity, or potency of the of this section. Authority: Secs. 201, 501, 502, 503, 505, product as they may relate to the safety (3) Changes to be described in an 510, 519, 701, 704, of the Federal Food, Drug, or effectiveness of the product. annual report (minor changes). (i) and Cosmetic Act (21 U.S.C. 321, 351, 352, (2) These changes include, but are not Changes in the product, production 353, 355, 360, 360i, 371, 374); secs. 215, 351, limited to: 352, 353, 361, 2125 of the Public Health process, quality controls, equipment, or (i) Changes in the qualitative or Service Act (42 U.S.C. 216, 262, 263, 263a, quantitative formulation or other facilities that have a minimal potential 264, 300aa–25). to have an adverse effect on the identity, specifications as provided in the strength, quality, purity, or potency of 4. Section 600.3 is amended by approved application or in the the product as they may relate to the adding new paragraphs (ff) and (gg) to regulations; safety or effectiveness of the product read as follows: (ii) Changes requiring completion of shall be documented by the applicant in an appropriate human study to the next annual report in accordance § 600.3 Definitions. demonstrate the equivalence of the with § 314.81(b)(2)(iv). * * * * * identity, strength, quality, purity, or (ii) These changes include, but are not (ff) Amendment is the submission of potency of the product as they may limited to: information to a pending license relate to the safety or effectiveness of the (A) Any change made to comply with application or supplement, to revise or product; an official compendium that is modify the application as originally (iii) Changes in the virus or consistent with FDA requirements; submitted. adventitious agent removal or (B) The deletion of an ingredient (gg) Supplement is a request to the inactivation method(s); intended only to affect the color of the Director, Center for Biologics Evaluation (iv) Changes in the source material or product; and Research, to approve a change in an cell line; (C) An extension of an expiration date approved license application. (v) Establishment of a new master cell based upon full shelf life data obtained bank or seed; and from a protocol approved in the PART 601ÐLICENSING (vi) Changes which may affect application; 5. The authority citation for 21 CFR product sterility assurance, such as (D) A change within the container and part 601 continues to read as follows: changes in product or component closure system for solid dosage forms, sterilization method(s), or an addition, based upon a showing of equivalency to Authority: Secs. 201, 501, 502, 503, 505, deletion, or substitution of steps in an 510, 513–516, 518–520, 701, 704, 721, 801, the approved system under a protocol of the Federal Food, Drug, and Cosmetic Act aseptic processing operation. approved in the application or (21 U.S.C. 321, 351, 352, 353, 355, 360, 360c– (3) The applicant must obtain published in an official compendium; 360f, 360h–360j, 371, 374, 379e, 381); secs. approval of the supplement from FDA (E) A change in the size of a container 215, 301, 351, 352, of the Public Health prior to distribution of the product for a solid dosage form, without a Service Act (42 U.S.C. 216, 241, 262, 263); made using the change. Except for 39902 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations submissions under paragraph (e) of this missing; the applicant shall not application or published in an official section, the following shall be contained distribute the product made using the compendium; in the supplement: change until FDA determines that (v) A change in the size of a container (i) A detailed description of the compliance with this section is for a solid dosage form, without a proposed change; achieved. change from one container and closure (ii) The product(s) involved; (5) In certain circumstances, FDA may system to another; (iii) The manufacturing site(s) or determine that, based on experience (vi) The addition by embossing, area(s) affected; with a particular type of change, the debossing, or engraving of a code (iv) A description of the methods used supplement for such change is usually imprint to a solid dosage form biological and studies performed to evaluate the complete and provides the proper product other than a modified release effect of the change on the identity, information, and on particular dosage form, or a minor change in an strength, quality, purity, or potency of assurances that the proposed change has existing code imprint; and the product as they may relate to the been appropriately submitted, the (vii) The addition or deletion of an safety or effectiveness of the product; product made using the change may be alternate analytical method. (v) The data derived from such distributed immediately upon receipt of (3) The following information for each studies; the supplement by FDA. These change shall be contained in the annual (vi) Relevant validation protocols and circumstances may include substantial report: data; and similarity with a type of change (i) A list of all products involved; and (vii) A reference list of relevant regularly involving a ‘‘Supplement— (ii) A full description of the standard operating procedures (SOP’s). Changes Being Effected’’ supplement or manufacturing and controls changes (c) Changes requiring supplement a situation in which the applicant including: the manufacturing site(s) or submission at least 30 days prior to presents evidence that the proposed area(s) involved; the date the change distribution of the product made using change has been validated in was made; a cross-reference to relevant the change. (1) A supplement shall be accordance with an approved protocol validation protocols and/or SOP’s; and submitted for any change in the for such change under paragraph (e) of relevant data from studies and tests product, production process, quality this section. performed to evaluate the effect of the controls, equipment, facilities, or (d) Changes to be described in an change on the identity, strength, quality, responsible personnel that has a annual report (minor changes). (1) purity, or potency of the product as they moderate potential to have an adverse Changes in the product, production may relate to the safety or effectiveness effect on the identity, strength, quality, process, quality controls, equipment, of the product. purity, or potency of the product as they facilities, or responsible personnel that (4) The applicant shall submit the may relate to the safety or effectiveness have a minimal potential to have an report to the FDA office responsible for of the product. The supplement shall be adverse effect on the identity, strength, reviewing the application. The report labeled ‘‘Supplement—Changes Being quality, purity, or potency of the shall include all the information Effected in 30 Days’’ or, if applicable product as they may relate to the safety required under this paragraph for each under paragraph (c)(5) of this section, or effectiveness of the product shall be change made during the annual ‘‘Supplement—Changes Being documented by the applicant in an reporting interval which ends on the Effected.’’ anniversary date in the order in which (2) These changes include, but are not annual report submitted each year within 60 days of the anniversary date they were implemented. limited to: (e) An applicant may submit one or (i) Change in the site of testing from of approval of the application. The Director, Center for Biologics Evaluation more protocols describing the specific one facility to another; tests and validation studies and (ii) An increase or decrease in and Research, may approve a written acceptable limits to be achieved to production scale during finishing steps request for an alternative date to demonstrate the lack of adverse effect that involves new or different combine annual reports for multiple for specified types of manufacturing equipment; and approved applications into a single (iii) Replacement of equipment with annual report submission. changes on the identity, strength, that of similar, but not identical, design (2) These changes include, but are not quality, purity, or potency of the and operating principle that does not limited to: product as they may relate to the safety affect the process methodology or (i) Any change made to comply with or effectiveness of the product. Any process operating parameters. an official compendium that is such protocols, or change to a protocol, (3) Pending approval of the consistent with FDA requirements; shall be submitted as a supplement supplement by FDA, and except as (ii) The deletion of an ingredient requiring approval from FDA prior to provided in paragraph (c)(5) of this intended only to affect the color of the distribution of the product which, if section, distribution of the product product except that a change intended approved, may justify a reduced made using the change may begin not only to affect Blood Grouping Reagents reporting category for the particular less than 30 days after receipt of the requires supplement submission and change because the use of the protocol supplement by FDA. The information approval prior to distribution of the for that type of change reduces the listed in paragraph (b)(3)(i) through product made using the change in potential risk of an adverse effect. (b)(3)(vii) of this section shall be accordance with the requirements set (f) Labeling changes. (1) Labeling contained in the supplement. forth in paragraph (b) of this section; changes requiring supplement (4) If within 30 days following FDA’s (iii) An extension of an expiration submission—FDA approval must be receipt of the supplement, FDA informs date based upon full shelf-life data obtained before distribution of the the applicant that either: obtained from a protocol approved in product with the labeling change. (i) The change requires approval prior the application; Except as described in paragraphs (f)(2) to distribution of the product in (iv) A change within the container and (f)(3) of this section, an applicant accordance with paragraph (b) of this and closure system for solid dosage shall submit a supplement describing a section; or forms, based upon a showing of proposed change in the package insert, (ii) Any of the information required equivalency to the approved system package label, or container label, and under paragraph (c)(3) of this section is under a protocol approved in the include the information necessary to Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39903 support the proposed change. The label, or container label bearing such the safety, purity, potency, and supplement shall clearly highlight the change at the time the change is made. effectiveness of the biological product proposed change in the labeling. The (4) Advertisements and promotional equal to or greater than the assurances applicant shall obtain approval from labeling. Advertisements and provided by the method or process FDA prior to distribution of the product promotional labeling shall be submitted specified in the general standards or with the labeling change. to the Center for Biologics Evaluation additional standards for the biological (2) Labeling changes requiring and Research in accordance with the product; and supplement submission—product with a requirements set forth in (b) Approval of the modification is labeling change that may be distributed § 314.81(b)(3)(i) of this chapter, except received in writing from the Director, before FDA approval. (i) An applicant that Form FDA–2567 (Transmittal of Center for Biologics Evaluation and shall submit, at the time such change is Labels and Circulars) or an equivalent Research, Food and Drug made, a supplement for any change in form shall be used. Administration, 1401 Rockville Pike, the package insert, package label, or (g) Failure to comply. In addition to Rockville, MD 20852–1448. container label to accomplish any of the other remedies available in law and following: regulations, in the event of repeated PART 640ÐADDITIONAL STANDARDS (A) To add or strengthen a failure of the applicant to comply with FOR HUMAN BLOOD AND BLOOD contraindication, warning, precaution, this section, FDA may require that the PRODUCTS or adverse reaction; applicant submit a supplement for any (B) To add or strengthen a statement proposed change and obtain approval of 9. The authority citation for 21 CFR about abuse, dependence, psychological the supplement by FDA prior to part 640 continues to read as follows: effect, or overdosage; distribution of the product made using Authority: Secs. 201, 501, 502, 503, 505, (C) To add or strengthen an the change. instruction about dosage and 510, 701 of the Federal Food, Drug, and (h) Administrative review. Under Cosmetic Act (21 U.S.C. 321, 351, 352, 353, administration that is intended to § 10.75 of this chapter, an applicant may increase the safety of the use of the 355, 360, 371); secs. 215, 351, 352, 353, 361 request internal FDA review of FDA of the Public Health Service Act (42 U.S.C. product; and employee decisions under this section. 216, 262, 263, 263a, 264). (D) To delete false, misleading, or unsupported indications for use or PART 610ÐGENERAL BIOLOGICAL 10. Section 640.120 is amended by claims for effectiveness. PRODUCTS STANDARDS revising paragraph (a) to read as follows: (ii) Pending approval of the supplement by FDA, the applicant may 7. The authority citation for 21 CFR § 640.120 Alternative procedures. distribute a product with a package part 610 continues to read as follows: insert, package label, or container label Authority: Secs. 201, 501, 502, 503, 505, (a) The Director, Center for Biologics bearing such change at the time the 510, 701 of the Federal Food, Drug, and Evaluation and Research, may approve supplement is submitted. The Cosmetic Act (21 U.S.C. 321, 351, 352, 353, an exception or alternative to any supplement shall clearly identify the 355, 360, 371); secs. 215, 351, 352, 353, 361 requirement in subchapter F of chapter change being made and include of the Public Health Service Act (42 U.S.C. I of title 21 of the Code of Federal necessary supporting data. The 216, 262, 263, 263a, 264). Regulations regarding blood, blood supplement and its mailing cover shall 8. Section 610.9 is revised to read as components, or blood products. be plainly marked: ‘‘Special Labeling follows: Requests for such exceptions or Supplement—Changes Being Effected.’’ alternatives shall ordinarily be in (3) Labeling changes requiring § 610.9 Equivalent methods and writing. Licensed establishments shall submission in an annual report. (i) An processes. submit such requests in accordance applicant shall submit any final printed Modification of any particular test with § 601.12 of this chapter. However, package insert, package label, or method or manufacturing process or the in limited circumstances, such requests container label incorporating the conditions under which it is conducted may be made orally and permission may following changes in an annual report as required in this part or in the be given orally by the Director. Oral submitted to FDA each year as provided additional standards for specific requests and approvals must be in paragraph (d)(1) of this section: biological products in parts 620 through promptly followed by written requests (A) Editorial or similar minor 680 of this chapter shall be permitted and written approvals. changes; and only under the following conditions: * * * * * (B) A change in the information on (a) The applicant presents evidence, Dated: May 27, 1997. how the product is supplied that does in the form of a license application, or not involve a change in the dosage a supplement to the application William B.Schultz, strength or dosage form. submitted in accordance with Deputy Commissioner for Policy. (ii) The applicant may distribute a § 601.12(b) or (c), demonstrating that the [FR Doc. 97–19427 Filed 7–23–97; 8:45 am] product with a package insert, package modification will provide assurances of BILLING CODE 4160±01±F 39904 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices

DEPARTMENT OF HEALTH AND 210), Drug Information Branch, Food connect to CBER at ‘‘http:// HUMAN SERVICES and Drug Administration, 5600 Fishers www.fda.gov/cber/cberftp.html’’. To Lane, Rockville, MD 20857. Send one receive the guidance document by Food and Drug Administration self-addressed adhesive label to assist bounce-back e-mail, send a message to [Docket No. 95D±0415] that office in processing your requests. ‘‘[email protected]’’. The guidance document may also be Received comments will be Guidance for Industry: Changes To An obtained by mail by calling the CBER considered in determining whether Approved Application For Specified Voice Information System at 1–800– further revision of the guidance Biotechnology and Specified Synthetic 835–4709 or 301–827–1800, or by fax by document is warranted. Biological Products; Availability calling the FAX Information System at Dated: May 28, 1997. 1–888–CBER–FAX or 301–827–3844. William B. Schultz, AGENCY: Food and Drug Administration, Submit written comments on the Deputy Commissioner for Policy. HHS. guidance document to the Dockets [FR Doc. 97–19426 Filed 7–23–97; 8:45 am] ACTION: Notice of availability. Management Branch (HFA–305), Food and Drug Administration, 12420 BILLING CODE 4160±01±F SUMMARY: The Food and Drug Parklawn Dr., rm. 1–23, Rockville, MD Administration (FDA) is announcing the 20857. availability of a guidance document FOR FURTHER INFORMATION CONTACT: DEPARTMENT OF HEALTH AND entitled, ‘‘Guidance for Industry: Valerie A. Butler, Center for Biologics HUMAN SERVICES Evaluation and Research (HFM– Changes To An Approved Application Food and Drug Administration For Specified Biotechnology and 630), Food and Drug Specified Synthetic Biological Administration, 1401 Rockville [Docket No. 95D±0052] Products.’’ The guidance document is Pike, Rockville, MD 20852–1448, intended to assist manufacturers in 301–594–3074, or Guidance for Industry: Changes To An determining which reporting Yuan Yuan Chiu, Center for Drug Approved Application: Biological mechanism is appropriate for a change Evaluation and Research (HFD– Products; Availability to an approved license application 800), Food and Drug Administration, 5600 Fishers Lane, AGENCY: Food and Drug Administration, under the final rule ‘‘Changes To An HHS. Approved Application,’’ issued Rockville, MD 20857, 301–443– ACTION: Notice of availability. elsewhere in this issue of the Federal 0260. Register. In a separate document also SUPPLEMENTARY INFORMATION: The guidance document announced SUMMARY: The Food and Drug published in this issue of the Federal in this notice represents the agency’s Administration (FDA) is announcing the Register, FDA is announcing the current thinking on changes to an availability of a guidance document availability of a guidance document approved application for specified entitled, ‘‘Guidance for Industry: entitled, ‘‘Guidance for Industry: biotechnology and specified synthetic Changes To An Approved Application: Changes To An Approved Application: biological products listed in 21 CFR Biological Products.’’ The guidance Biological Products,’’ to assist 601.2(c), recombinant DNA-derived document is intended to assist applicants in determining how they protein/polypeptide products approved manufacturers in determining which should report changes to an approved under the Federal Food, Drug, and reporting mechanism is appropriate for license application for biologic products Cosmetic Act (the act), and complexes a change to an approved application, to other than specified biotechnology and or conjugates of a drug with a reduce the burden on manufacturers of specified synthetic biological products monoclonal antibody approved under reporting changes, and to facilitate the under the final rule. The guidance the act. It does not create or confer any approval process. The guidance document announced in this notice rights for or on any person and does not document applies to all licensed revises the draft guidance entitled, operate to bind FDA or the public. An biological products and establishments, ‘‘Draft Guidance; Changes To An alternative approach may be used if including Whole Blood, blood Approved Application for Well- such approach satisfies the components, Source Plasma, and Source Characterized Therapeutic Recombinant requirements of the applicable statute, Leukocytes, but not including specified DNA-Derived and Monoclonal Antibody regulations, or both. biotechnology and specified synthetic Biotechnology Products’’ announced in Interested persons may, at any time, biological products, or products the Federal Register of January 29, 1996 submit to the Dockets Management formerly referred to as well- (61 FR 2748). Branch (address above) written characterized therapeutic recombinant DATES: Written comments may be comments regarding the guidance DNA-derived and monoclonal antibody submitted at any time. document. Two copies of any comments biotechnology products. The guidance ADDRESSES: Submit written requests for are to be submitted, except that document announced in this notice single copies of the guidance document individuals may submit one copy. revises the draft guidance entitled, entitled, ‘‘Guidance for Industry: Comments are to be identified with the ‘‘Changes To An Approved Application; Changes To An Approved Application docket number found in brackets in the Draft Guidance,’’ announced in the For Specified Biotechnology and heading of this document. A copy of the Federal Register of January 29, 1996 (61 Specified Synthetic Biological guidance document and received FR 2749). Products’’ to the Office of comments are available for public DATES: Written comments may be Communication, Training and examination in the office above between submitted at any time. Manufacturers Assistance (HFM–40), 9 a.m. and 4 p.m., Monday through ADDRESSES: Submit written requests for Center for Biologics Evaluation and Friday. single copies of ‘‘Guidance for Industry: Research, Food and Drug Persons with access to the INTERNET Changes To An Approved Application: Administration, 1401 Rockville Pike, may obtain the guidance document by Biological Products,’’ to the Office of Rockville, MD 20852–1448, or Center using the World Wide Web (WWW), or Communication, Training and for Drug Evaluation and Research (HFD– bounce-back e-mail. For WWW access, Manufacturers Assistance (HFM–40), Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices 39905

Center for Biologics Evaluation and the availability of a draft guidance The guidance document includes Research (CBER), Food and Drug document entitled, ‘‘Changes To An examples of changes to be reported Administration, 1401 Rockville Pike, Approved Application; Draft under the three reporting categories Rockville, MD 20852–1448. Send one Guidance.’’ The draft guidance applicable to all biological products, self-addressed adhesive label to assist document, issued for public comment including Whole Blood, blood that office in processing your requests. only, set forth CBER’S interpretation of components, Source Plasma, and Source The guidance document may also be the proposed rule to amend § 601.12. In Leukocytes, but not including specified obtained by mail by calling the CBER addition, FDA announced the biotechnology and specified synthetic Voice Information System at 1–800– availability of the draft guidance biological products. The ‘‘Guidance for 835–4709 or 301–827–1800, or by fax by document entitled, ‘‘Draft Guidance; Industry: Changes To An Approved calling the FAX Information System at Changes To An Approved Application Application: Biological Products’’ 1–888–CBER–FAX or 301–827–3844. For Well-Characterized Therapeutic supersedes the guidance document Submit written comments on the Recombinant DNA-Derived and entitled, ‘‘Changes To Be Reported for guidance document to the Dockets Monoclonal Antibody Biotechnology Product and Establishment License Management Branch (HFA–305), Food Products,’’ which applied only to well- Applications; Guidance’’ (April 1995) and Drug Administration, 12420 characterized therapeutic recombinant and reflects revisions made to § 601.12 Parklawn Dr., rm. 1–23, Rockville, MD DNA-derived and monoclonal antibody in the final rule. 20857. biotechnology products. As with other procedural guidance FOR FURTHER INFORMATION CONTACT: As announced in the Federal Register documents, FDA does not intend this Valerie A. Butler, Center for Biologics of March 28, 1996 (61 FR 13793), FDA guidance document to be all-inclusive. Evaluation and Research (HFM–630), held a public meeting on April 19, 1996, Alternative approaches might be Food and Drug Administration, 1401 to discuss and gather information on the warranted in specific situations, and Rockville Pike, Rockville, MD 20852– proposal to amend the biologics certain aspects would not be applicable to all situations. If a manufacturer 1448, 301–594–3074. regulations for reporting changes to an approved application and the two believes that the procedure described in SUPPLEMENTARY INFORMATION: FDA is this guidance document would be announcing the availability of a closely related draft guidance documents that were made available inapplicable to a particular product and guidance document entitled, ‘‘Guidance other procedures would be appropriate for Industry: Changes To An Approved concurrently. In comments received on the proposed rule and the draft for CBER’s consideration, the Application: Biological Products.’’ The manufacturer may wish to discuss the guidance document is issued in guidance documents, representatives from the biologics industry asked that a matter further with the agency to accordance with the principles set forth prevent expenditure of money and effort category system of changes to be in Executive Order 12866, in a on activities that later may be reported be implemented that would continuing effort to reduce unnecessary determined to be unacceptable by FDA. include changes that can be made reporting burdens on manufacturers CBER will continue to review without prior approval. FDA has holding licenses approved by the Center submissions on a case-by-case basis. for Biologics Evaluation and Research considered all comments and developed The guidance document announced (CBER) under section 351 of the Public a regulatory scheme in response to the in this notice represents the agency’s Health Service Act. requests. current thinking on changes to an As announced in the Federal Register Elsewhere in this issue of the Federal approved application for all licensed of January 9, 1995 (60 FR 2351), FDA Register, FDA is issuing a final rule biological products, except specified held a public meeting on January 26, entitled, ‘‘Changes To An Approved biotechnology and specified synthetic 1995, as a forum for the public to voice Application.’’ In addition to the biological products listed in 21 CFR their comments regarding CBER’s guidance document announced in this 601.2. It does not create or confer any retrospective review of biologics notice, FDA is announcing the rights for or on any person and does not regulations. In comments made to the availability of a guidance document operate to bind FDA or the public. An public docket, and at the January 26, entitled, ‘‘Guidance for Industry: alternative approach may be used if 1995, public meeting, representatives Changes To An Approved Application such approach satisfies the from the biologics industry requested For Specified Biotechnology and requirements of the applicable statute, that FDA modify § 601.12 (21 CFR Specified Synthetic Biological regulations, or both. 601.12) to be more flexible and less Products,’’ that revises the draft Interested persons may, at any time, burdensome. guidance document entitled, ‘‘Draft submit to the Dockets Management FDA published the guidance Guidance; Changes To An Approved Branch (address above) written document entitled, ‘‘Changes To Be Application For Well-Characterized comments regarding the guidance Reported for Product and Establishment Therapeutic Recombinant DNA-Derived document. Two copies of any comments License Applications; Guidance,’’ in the and Monoclonal Antibody are to be submitted, except that Federal Register of April 6, 1995 (60 FR Biotechnology Products.’’ individuals may submit one copy. 17535). In a continuing effort to reduce The guidance document announced Comments and requests for copies are to unnecessary reporting burdens and in in this notice is intended to assist be identified with the docket number response to comments received on the manufacturers in determining how a found in brackets in the heading of this April 6, 1995, guidance document, FDA change to an approved application document. A copy of the guidance published the proposed rule entitled, should be reported or documented document and received comments are ‘‘Changes To An Approved under the revised § 601.12 for changes available for public examination in the Application’’ in the Federal Register of to a product, production process, office above between 9 a.m. and 4 p.m., January 29, 1996 (61 FR 2739). FDA quality controls, equipment, facilities, Monday through Friday. proposed to amend the biologics responsible personnel, or labeling. The Persons with access to the Internet regulations for reporting changes to an guidance document lists the three- may obtain the guidance document by approved application. In the same issue category scheme for reporting biological using the World Wide Web (WWW), or of the Federal Register, FDA announced product changes. bounce-back e-mail. For WWW access, 39906 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Notices connect to CBER at ‘‘http:// www.fda.gov/cber/cberftp.html’’. To receive the guidance document by bounce-back e-mail, send a message to ‘‘[email protected]’’. Received comments will be considered in determining whether further revision of the guidance document is warranted. Dated: May 28, 1997. William B. Schultz, Deputy Commissioner for Policy. [FR Doc. 97–19412 Filed 7–23–97; 8:45 am] BILLING CODE 4160±01±F federal register July 24,1997 Thursday Insurers; FinalRule Assistance toPrivateSectorProperty National FloodInsuranceProgram; 44 CFRPart62 Management Agency Federal Emergency Part III 39907 39908 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

FEDERAL EMERGENCY safeguards built into the enabling whether it wishes to sign the MANAGEMENT AGENCY legislation to facilitate continued Arrangement for the coming year. operation of the NFIP. Those safeguards Historically, providing marketing 44 CFR Part 62 include: 1. the agency’s borrowing guidelines after publication of the final authority for the National Flood Arrangement for the coming year has RIN 3067±AC62 Insurance Fund which operates given companies enough time and has National Flood Insurance Program; independently of fiscal year not proved to be an obstacle for Assistance to Private Sector Property authorization, and 2. financial participation in the WYO program. Insurers assistance of the Federal Government Companies for this year, as in the past, for the WYO companies as spelled out will continue to have complete AGENCY: Federal Insurance in the Arrangement. In addition to those information on marketing guidelines— Administration (FEMA). safeguards and the Federal financial the basis for the amount of premium ACTION: Final rule. backing of the private insurers income a company may retain—before participating in the Arrangement, the being asked to sign the Arrangement. SUMMARY: This rule amends the National quid pro quo of sound mitigation in FEMA does not foresee any problems Flood Insurance Program (NFIP) return for public backing of flood developing on this score. regulations establishing the Financial insurance is at the very foundation of Another company that expressed Assistance/Subsidy Arrangement. This the NFIP. It was the express wish of concerns about the program’s marketing Arrangement may be entered into by Congress that in time the private sector goals recommended that a company’s and between the Administrator and would assume more of a share of the marketing efforts and expenditures private sector insurers under the Write risk, as the NFIP’s mitigation programs should be analyzed and considered by Your Own (WYO) program. The and activities reduce the exposure of FIA in addition to the company’s actual amendments to the Arrangement: properties to flood loss. In FEMA’s growth results as the basis for reduce the range between the minimum view, the references in Article I to the determining the percentage of premium and maximum amount of premium evolution of risk-sharing by income to be retained by the company. income a company may retain as an participating companies are appropriate FEMA acknowledges that in order to expense allowance as a result of its in the light of both the Congressional achieve marketing goals a company will marketing performance; restructure the intent for the program and FEMA’s have to invest its own resources; Arrangement so that under no continuing success in partnership with however, unlike accomplishments, circumstance would a company have to State and local governments in which can be measured, there is no way return any portion of the expense achieving more effective flood hazard to measure effort or activity per se. allowance; reformat the Arrangement to mitigation. To place these concerns in FEMA believes however that the make it easier to read; standardize clearer perspective, FEMA and the increase in the expense allowance that references throughout the document, companies understand that a company may retain under this year’s and add details to clarify participation on the part of private Arrangement takes into account any responsibilities of private sector insurers in the program is voluntary, increased efforts that companies will insurers under the Arrangement with and, as with any risk venture, the make to market flood insurance. Hence, regard to reporting requirements, insurer will weigh the advantages of the the Arrangement for this year will litigation, and ‘‘errors and omissions.’’ WYO program against any continue to tie a WYO company’s EFFECTIVE DATE: October 1, 1997. uncertainties—regardless of how retention of premium income to remote—before making an informed performance, i.e., actual growth in flood FOR FURTHER INFORMATION CONTACT: decision to participate. insurance policies. FEMA will however Edward T. Pasterick, Federal Emergency Three companies expressed concern review any relevant data during the Management Agency, Federal Insurance that the marketing guidelines are not in 1997–8 Arrangement year that would Administration, 500 C Street SW., the Arrangement and are only referred warrant further adjustment to the Washington, DC 20472, 202–646–3443. to in Article II. G. One of the percentages of retained premium SUPPLEMENTARY INFORMATION: On May 1, commenters believed that, since income for subsequent Arrangements. 1997, FEMA published in the Federal companies do not know until the The third company commenting on Register, 62 FR 23736, a proposed rule Arrangement is published as a final rule the marketing goals recommended that to amend the NFIP regulations what the marketing guidelines are, this under ‘‘Article III—Loss Costs, establishing the Financial Assistance/ absence could affect a company’s Expenses, Expense Reimbursement, and Subsidy Arrangement that may be decision to enter into the Arrangement. Premium Refunds’’ of the Arrangement, entered into by and between the In a related concern about Article III, the the maximum expense allowance a Administrator and private sector same commenter said ‘‘without knowing company may retain be increased from insurers under the Write Your Own the ‘‘marketing goal’’ for 1998, it’s 32.9 percent to 33.6 percent. This (WYO) program. FEMA received five impossible to know whether we can company claimed that ‘‘having a sets of comments on the proposed rule. earn more than the minimum expense maximum recovery of 32.9 percent is One WYO company considered the allowance. Such uncertainty is patently just too low to justify the expense reference to WYO companies as insurers unfair, a violation of the insurer’s due involved achieving the necessary new to be ‘‘ambiguous.’’ The commenter process and not suitable for either party policy growth targets’’ and added that this perceived ambiguity to the Arrangement.’’ recommended 33.6 percent as the potentially transfers risk to the WYO FEMA acknowledges the concern but maximum expense allowance a companies. As FEMA responded last does not agree with the commenter’s company may retain based on its year on this issue, the Arrangement is a conclusions concerning due process or performance. financial assistance/subsidy agreement fairness. Simultaneous with the FEMA disagrees with this that FEMA shall honor with its industry publication of this rule, marketing goals recommendation. The minimum level of partners as it has for the past fourteen will be distributed by FEMA. Hence, a premium income a company may retain years—within the scope of company will have approximately two for the 1997–8 Arrangement year has Congressional authorization and the months to make an informed decision been increased from 30.6 percent to 31.6 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39909 percent while the maximum earning of Arrangement in the interest of flexibility more appropriate for the company to 32.9 percent of retained premium also and expedition. Since any change to the submit notice of litigation in duplicate represents a substantial increase. It fee schedule will be closely coordinated to the FIA Administrator who will then should be emphasized that under former with participating WYO companies, the ensure that the Office of General Arrangements, the maximum a company decision to remove the fee schedule Counsel receive its copy. The language in the WYO program could earn was from last year’s Arrangement will be of the second paragraph of Article III. D. equivalent to the average expense ratios followed this year as well. 3 has been changed to read, ‘‘Prompt for ‘‘Other Acq.,’’ ‘‘General Exp.,’’ and One commenter cited an notice, in duplicate, of any such claim ‘‘Taxes,’’ as published in the latest inconsistency in ‘‘Article II.B. Time for damages within the scope of this available ‘‘Best’s’’ Aggregates and Standards’’ in which the standards are section (D) shall be sent to the Averages: Property Casualty Insurance referred to as both ‘‘guidance’’ and Administrator along with a copy of any Underwriting—by Lines for Fire, Allied ‘‘requirements.’’ We agree that there is material pertinent to the claim for Lines, Farmowners Multiple Peril, an inconsistency and have deleted the damages. The Administrator shall Homeowners Multiple Peril Combined. reference to ‘‘guidance’’ from ‘‘Article II. furnish one copy of all such claims to The ‘‘Best’s’’ average for this year is 31.9 Time Standards.’’ the Associate General Counsel for percent. Hence, the maximum earning Two companies asked whether the Litigation, FEMA OGC, 500 C St. SW, impact of claims for loss under for companies participating in the WYO Washington, DC 20472. Following the Increased Cost of Compliance (ICC) program for the 1997–8 Arrangement initial notice of claims in litigation, the coverage on company’s adhering to time year—32.9 percent—is one percent company must submit all pertinent standards has been taken into above the ‘‘Best’s’’ average—the former material and billing documentation as it consideration. It should be noted that maximum WYO companies could earn becomes available. Within 60 days of the claim under ICC coverage is a under the NFIP. the receipt of a claim in litigation by the FEMA believes therefore that the separate claim from the claim for direct Company, the company must submit an increases in the percentage of premium physical loss from flood under the initial case analysis and legal fee a WYO company may retain in policy and is usually filed after the connection with its performance insured has done some preliminary estimate. Failure to meet these notice proposed for this year’s Arrangement coordination with local officials and requirements may result in the are appropriate and have been retained contractors. The ‘‘clock’’ for ICC claims Administrator’s decision not to in the final rule. FEMA plans to revisit will not begin until the loss is reported reimburse expenses for which FIA and the expense allowance percentages vis- by the insured. Also, a WYO company the FEMA OGC have not been notified a`-vis performance prior to the will not be penalized because of any in a timely manner.’’ Arrangement Year for 1998–9. inaction or delays by the insured or the This change does not prevent a The issue of surcharges on flood local government. However, since ICC is company, if it so chooses, in the interest insurance premium and guaranty fund a new product, FEMA will evaluate the of expedition, to follow the procedure as assessments was raised in several program’s experience with ICC claims proposed in the May 1, 1997 proposed comments. A change was made in last during the 1997–8 Arrangement year rule and submit notices of claims in year’s Arrangement regarding and propose any appropriate changes to litigation simultaneously to both the surcharges on flood insurance premium the time standards before the next FIA Administrator as well as the and guaranty fund assessments. That Arrangement year. FEMA’s Office of General Counsel. provision has been retained. FIA will One commenter expressed concern The same company also claimed that review the issue during the next that the reference to ‘‘litigation and/or Arrangement year and propose any claim’’ in Article III.D.3. is confusing revised language in ‘‘Article IX—Errors further adjustments regarding such and should be changed to ‘‘notice of and Omissions’’ could be construed ‘‘as surcharges during the rulemaking claim in litigation’’ or ‘‘claim in an ambiguity allowing for a challenge to process in connection with the 1998–9 litigation.’’ FEMA agrees and has the doctrine of federal preemption for Arrangement. changed the phrase in the last sentence the National Flood Insurance Program.’’ One commenter objected that the of the first paragraph of Article III.D.3 to The following language was cited by the percentage (3.3 percent) paid to WYO read, ‘‘claim in litigation.’’ company as the cause for ambiguity and companies for unallocated loss Another company expressed concern concern. ‘‘In the event that steps are not adjustment expenses is inadequate—one over the requirement for the company to taken to rectify the situation and such that has not changed since the notify both the FIA Administrator and action leads to claims against the program’s inception. As FEMA FEMA’s OGC of claims in litigation. The company, the NFIP, or other related indicated in the publication of last company recommends that the reporting entities, the responsible parties shall year’s Arrangement, ‘‘the matter * ** requirements of claims in litigation be bear all liability attached to that delay, warrants review, and any modification limited to the FIA Administrator. The error, or omission to the extent to the loss adjustment expense will be reason for the Arrangement’s dual permissible by law.’’ This change to the considered at the end of the current reporting requirement is that the text does not affect the policy regarding Arrangement year.’’ FEMA has been notification to the FIA Administrator is errors and omissions nor will it affect reviewing this matter, and we expect to for the purpose of prompt payment of the doctrine of Federal preemption to have a final determination on this issue bills to the company assuming that all the extent Federal preemption would be before the 1998–9 Arrangement year. required information has been applied to a particular issue. The change The 3.3 percent for unallocated loss submitted. The reason for a separate clarifies that a party will not be held adjustment expense has been retained in notification of FEMA’s Office of General responsible for inadvertent errors and this year’s Arrangement until our review Counsel, however, is to ensure that omissions until those errors became is complete. FEMA’s Office of General Counsel will known to that party and are ignored and One commenter recommended that be involved in the review of any that party or parties do not take steps to the fee schedule be restored as Exhibit litigation as soon as possible should rectify the situation. Furthermore, the A to the Arrangement. The fee schedule assistance be requested or needed by the party at fault will bear liability only to was removed last year from the company. FEMA agrees that it would be the extent permissible by law. 39910 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

In addition to the comments in the final rule has been corrected to Appendix A to Part 62—Federal Emergency submitted by WYO companies, one read October 1, 1997. Management Agency, Federal Insurance commenter asked three specific Administration, Financial Assistance/ questions about the WYO Arrangement. National Environmental Policy Act Subsidy Arrangement The correspondent asked whether the Purpose: To assist the company in This rule is categorically excluded underwriting flood insurance using the 32.6 percent expense allowance from the requirements of 44 CFR Part includes reimbursement for insurers’ Standard Flood Insurance Policy. 10, Environmental Consideration. No Accounting Data: Pursuant to Section 1310 loss adjustment expenses. Unallocated environmental assessment has been of the Act, a Letter of Credit shall be issued loss adjustment expenses are not prepared. for payment as provided for herein from the included in the 32.6 percent expense National Flood Insurance Fund. allowance and are in addition to that Executive Order 12898, Environmental Effective Date: October 1, 1997. expense allowance. The same Justice Issued By: Federal Emergency Management correspondent asked if there is a Agency, Federal Insurance Administration, separate provision to reimburse for loss The socioeconomic conditions to this Washington, DC 20472. adjustment expenses. There is such a rule were reviewed and a finding was Article I—Findings, Purpose, and Authority provision at Article III. C, titled ‘‘Loss made that no disproportionately high and adverse effect on minority or low Whereas, the Congress in its ‘‘Finding and Adjustment Expenses.’’ For unallocated Declaration of Purpose’’ in the National loss adjustment expenses, the fee is 3.3 income populations would result from Flood Insurance Act of 1968, as amended, percent. For unallocated loss adjustment this final rule. (‘‘the Act’’) recognized the benefit of having expenses, there is a separate fee the National Flood Insurance Program (the Executive Order 12866, Regulatory ‘‘Program’’ or ‘‘NFIP’’) ‘‘carried out to the schedule which is distributed separately Planning and Review to the private companies participating maximum extent practicable by the private insurance industry’’; and in the WYO program. Those not This rule is not a significant Whereas, the Federal Insurance participating in the WYO program may regulatory action within the meaning of Administration (FIA) recognizes this receive a copy of the fee schedule for sec. 2(f) of E.O. 12866 of September 30, Arrangement as coming under the provisions allocated loss adjustments upon written 1993, 58 FR 51735, and has not been of Section 1345 of the Act; and request to the FIA Administrator, 500 C reviewed by the Office of Management Whereas, the goal of the FIA is to develop Street SW., Washington, DC 20472. and Budget. Nevertheless, this final rule a program with the insurance industry The FIA received two inquiries adheres to the regulatory principles set where, overtime, some risk-bearing role for the industry will evolve as intended by the regarding the language of Article III— forth in E.O. 12866. Loss, Costs, Expenses, Expense Congress (Section 1304 of the Act); and Paperwork Reduction Act Whereas, the insurer (hereinafter the Reimbursement, and Premium Refunds. ‘‘Company’’) under this Arrangement shall One Write Your Own Company charge rates established by the FIA; and requested clarification regarding the This rule does not contain a collection of information and is therefore not Whereas, this Arrangement will subsidize determination by FEMA under Article all flood policy losses by the Company; and III, D., 4. that a case in litigation is subject to the provisions of the Whereas, this Financial Assistance/ ‘‘grounded in actions by the company Paperwork Reduction Act. Subsidy Arrangement has been developed to that are significantly outside the scope Executive Order 12612, Federalism enable any interested qualified insurer to of this Arrangement.’’ Article III D. 4. of write flood insurance under its own name; the Arrangement provides that such a This rule involves no policies that and Whereas, one of the primary objectives of determination means that ‘‘any award or have federalism implications under the Program is to provide coverage to the judgement for damages arising out of Executive Order 12612, Federalism, maximum number of structures at risk and such actions will not be recognized dated October 26, 1987. because the insurance industry has marketing under Article III of this arrangement as access through its existing facilities not Executive Order 12778, Civil Justice a reimbursable loss cost expense directly available to the FIA, it has been Reform reimbursement.’’ concluded that coverage will be extended to those who would not otherwise be insured Any determination that a case in This rule meets the applicable litigation is ‘‘grounded in actions by the under the Program; and standards of section 2(b)(2) of Executive Whereas, flood insurance policies issued company that are significantly outside Order 12778. subject to this Arrangement shall be only that the scope of this Arrangement’’ would insurance written by the Company in its own be made on a case-by-case basis based List of Subjects in 44 CFR Part 62 name under prescribed policy conditions and on sufficient information to make a pursuant to this Arrangement and the Act; reasonable determination and would Claims, Flood insurance. and also involve an examination of typical Accordingly, 44 CFR part 62 is Whereas, over time, the Program is business practices in the insurance amended as follows: designed to increase industry participation, industry. What is considered sufficient and, accordingly, reduce or eliminate Government as the principal vehicle for information and typical business PART 62ÐSALE OF INSURANCE AND delivering flood insurance to the public; and practices will depend on the case in ADJUSTMENT OF CLAIMS Whereas, the direct beneficiaries of this question. Arrangement will be those Company Another Write Your Own Company The authority citation for Part 62 policyholders and applicants for flood requested a ‘‘time standard guideline’’ continues to read as follows: insurance who otherwise would not be covered against the peril of flood. for FEMA to make this determination. Authority: 42 U.S.C. 4001 et seq.; FEMA is committed to make such a Now, therefore, the parties hereto mutually Reorganization Plan No. 3 of 1978; 43 FR undertake the following: determination as promptly as possible 41943, 3 CFR, 1978 Comp., p. 329; E.O. after receipt of sufficient information to 12127 of Mar. 31, 1979, 44 FR 19367, 3 CFR, Article II—Undertaking of the Company make an informed decision. 1979 Comp., p. 376. A. Eligibility Requirements for Finally, in the proposed rule, the Participation in the NFIP: ‘‘Effective Date’’ was incorrectly listed 2. Appendix A of part 62 is revised to 1. Policy Administration. All fund receipt, as October 1, 1996. The ‘‘Effective Date’’ read as follows: recording, control, timely deposit Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39911 requirements, and disbursement in Administrator. The Single Adjuster obligations under this Arrangement but connection with all Policy Administration procedure shall be followed in the following excluding other taxes or fees, such as and any other related activities or cases: surcharges on flood insurance premium and correspondences, must meet all requirements 1. Where the flood and wind coverage is guaranty fund assessments. of the Financial Control Plan. The Company provided by the Company; B. The Company shall be entitled to shall be responsible for: 2. Where the flood coverage is provided by withhold, as operating and administrative a. Compliance with the Community the Company and the wind coverage is expenses, including agents’ or brokers’ provided by a participating State Property Eligibility/Rating Criteria commissions, an amount from the Company’s Insurance Plan, Windpool Association, Beach b. Making Policyholder Eligibility written premium on the policies covered by Determinations Plan, Joint Underwriting Association, FAIR this Arrangement in reimbursement of all of c. Policy Issuance Plan, or similar property insurance d. Policy Endorsements mechanism; and the Company’s marketing, operating and e. Policy Cancellations 3. Where the flood coverage is provided by administrative expenses, except for allocated f. Policy Correspondence the Company and the wind coverage is and unallocated loss adjustment expenses g. Payment of Agents’ Commissions provided by another property insurer and the described in Section C. of this Article, which 2. Claims Processing. All claims processing State Insurance Regulator has determined amount shall be a minimum of 31.6% of the must be processed in accordance with the that such property insurer shall, in the Company’s written premium on the policies processing of all the companies’ insurance interest of consumers, facilitate the covered by this Arrangement. policies and with the Financial Control Plan. adjustment of its wind loss by the adjuster The amount of expense allowance retained Companies will also be required to comply engaged to adjust the flood loss of the by the company may be increased to a with FIA Policy Issuances and other Company. maximum of 32.9%, depending on the extent guidance authorized by FIA or the Federal D. Policy Issuance. to which the company meets the marketing Emergency Management Agency (‘‘FEMA’’). 1. The flood insurance subject to this goals for the 1997–1998 Arrangement year 3. Reports. Arrangement shall be only that insurance contained in marketing guidelines written by the Company in its own name a. Monthly Financial Reporting and established pursuant to Article II.G. The pursuant to the Act. Statistical Transaction reporting amount of any increase shall be paid to the requirements. All monthly financial 2. The Company shall issue policies under the regulations prescribed by the company after the end of the 1997–1998 reporting and statistical transaction reporting Arrangement year. shall be in accordance with the requirements Administrator in accordance with the Act. 3. All such policies of insurance shall The Company, with the consent of the of the NFIP Transaction Record Reporting Administrator as to terms and costs, shall be and Processing Plan for the Company conform to the regulations prescribed by the entitled to utilize the services of a national Program and the Financial Control Plan for Administrator pursuant to the Act, and be rating organization, licensed under state law, business written under the WYO (Write Your issued on a form approved by the Own) Program. 44 CFR part 62, appendix B. Administrator. to assist the FIA in undertaking and carrying These data shall be validated/edited/audited 4. All policies shall be issued in out such studies and investigations on a in detail and shall be compared and balanced consideration of such premiums and upon community or individual risk basis, and in against Company reports. such terms and conditions and in such States determining more equitable and accurate b. Monthly financial reporting procedure or areas or subdivisions thereof as may be estimates of flood insurance risk premium shall be in accordance with the WYO designated by the Administrator and only rates as authorized under the National Flood Accounting Procedures. where the Company is licensed by State law Insurance Act of 1968, as amended. The B. Time Standards. Time will be measured to engage in the property insurance business. Company shall be reimbursed in accordance from the date of receipt through the date 5. The Administrator may require the with the provisions of the WYO Accounting mailed out. All dates referenced are working Company to discontinue issuing policies Procedures Manual for the charges or fees for subject to this Arrangement immediately in days, not calendar days. In addition to the such services. the event Congressional authorization or standards set forth below, all functions C. Loss Adjustment Expenses shall be performed by the company shall be in appropriation for the National Flood Insurance Program is withdrawn. reimbursed as follows: accordance with the highest reasonably 1. Unallocated loss adjustment shall be an attainable quality standards generally E. The Company shall separate Federal flood insurance funds from all other expense reimbursement of 3.3% of the utilized in the insurance and data processing incurred loss (except that it does not include field. Continual failure to meet these Company accounts, at a bank or banks of its ‘‘incurred but not reported’’). requirements may result in limitations on the choosing for the collection, retention and company’s authority to write new business or disbursement of Federal funds relating to its 2. Allocated loss adjustment expense shall the removal of the Company from the obligation under this Arrangement, less the be reimbursed to the Company pursuant to a program. Applicable time standards are: Company’s expenses as set forth in Article ‘‘Fee Schedule’’ coordinated with the 1. Application Processing—15 days (note: III, and the operation of the Letter of Credit Company and provided by the Administrator. if the policy cannot be mailed due to established pursuant to Article IV. All funds 3. Special allocated loss expenses shall be insufficient or erroneous information or not required to meet current expenditures reimbursed to the Company in accordance insufficient funds, a request for correction or shall be remitted to the United States with guidelines issued by the Administrator. added moneys shall be mailed within 10 Treasury, in accordance with the provisions D. Loss Payments. days); of the WYO Accounting Procedures Manual. 1. Loss payments under policies of flood 2. Renewal Processing—7 days. F. The Company shall investigate, adjust, insurance shall be made by the Company 3. Endorsement Processing—15 days. settle and defend all claims or losses arising from funds retained in the bank account(s) 4. Cancellation Processing—15 days. from policies issued under this Arrangement. established under Article II, Section E and, 5. Claims Draft Processing—7 days from Payment of flood insurance claims by the if such funds are depleted, from funds completion of file examination. Company shall be binding upon the FIA. derived by drawing against the Letter of 6. Claims Adjustment—45 days average G. The Company shall market flood Credit established pursuant to Article IV. insurance policies in a manner consistent from the receipt of Notice of Loss (or 2. Loss payments include payments as a equivalent) through completion of with the marketing guidelines established by result of litigation which arises under the examination. the Federal Insurance Administration. C. Single Adjuster Program. To ensure the scope of this Arrangement, and the maximum responsiveness to the NFIP policy Article III—Loss Costs, Expenses, Expense Authorities set forth above. All such loss holders following a catastrophic event, e.g., Reimbursement, and Premium Refunds payments must meet the documentation a hurricane, involving insured wind and A. The Company shall be liable for requirements of the Financial Control Plan flood damage to policyholders, the Company operating, administrative and production and of this Arrangement. The Company will shall agree to the adjustment of the combined expenses, including any State premium be reimbursed for errors and omissions only flood and wind losses utilizing one adjuster taxes, dividends, agents’ commissions or any as set forth at Article IX of this Arrangement. under an NFIP-approved Single Adjuster other expense of whatever nature incurred by 3. Notification of claims in litigation Program using procedures issued by the the Company in the performance of its against the company. To ensure 39912 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations reimbursement of costs expended to defend II, Section E, and, if such funds are depleted, 1. All data received, produced, and a claim in litigation against the Company, the from funds derived by drawing against the maintained through the life of the Company’s Company must promptly notify FIA. Letter of Credit established pursuant to participation in the Program, including Prompt notice, in duplicate, of any such Article IV. certain data, as determined by FIA, in a claim in litigation within the scope of this standard format and medium; and section (D) shall be sent to the FIA along with Article IV—Undertakings of the Government 2. A plan for the orderly transfer to the FIA a copy of any material pertinent to the claim A. Letter(s) of Credit shall be established of any continuing responsibilities in in litigation. FIA shall forward one copy of by the Federal Emergency Management administering the policies issued by the all such claims to the Associate General Agency (FEMA) against which the Company Company under the Program including Counsel for Litigation, FEMA OGC, to ensure may withdraw funds daily, if needed, provisions for coordination assistance; and that the FEMA OGC is aware of all pending pursuant to prescribed procedures 3. All claims and policy files, including litigation. Following the initial notice of implemented by FEMA. The amounts of the those pertaining to receipts and claims in litigation, to ensure expeditious authorizations will be increased as necessary disbursements that have occurred during the reimbursement, the company must submit all to meet the obligations of the Company under life of each policy. In the event of a transfer pertinent material and billing documentation Article III, Sections C, D, and E. Request for of the services provided, the Company shall as it becomes available. Within 60 days of the funds shall be made only when net premium provide the FIA with a report showing, on a receipt of a notice of claim in litigation by income has been depleted. The timing and policy basis, any amounts due from or the Company, the Company must submit an amount of cash advances shall be as close as payable to insureds, agents, brokers, and initial case analysis and legal fee estimate for is administratively feasible to the actual others as of the transition date. billing support. Failure to meet these notice disbursements by the recipient organization D. Financial assistance under this requirements may result in the for allowable Letter of Credit expenses. Arrangement may be canceled by the FIA in Administrator’s decision not to reimburse Request for payment on Letters of Credit its entirety upon 30 days written notice to the expenses for which FIA and the FEMA OGC shall not ordinarily be drawn more Company by certified mail stating one of the have not been notified in a timely manner. frequently than daily nor in amounts less following reasons for such cancellation: (1) 4. Limitation on Litigation Costs. than $5,000, and in no case more than Fraud or misrepresentation by the Company Following receipt of notice of such claim, the $5,000,000 unless so stated on the Letter of subsequent to the inception of the contract, Office of General Counsel (OGC), FEMA, Credit. This Letter of Credit may be drawn by or (2) nonpayment to the FIA of any amount shall review the information submitted. If it the Company for any of the following due the FIA. Under these very specific is determined that the claim is grounded in reasons: conditions, the FIA may require the transfer actions by the Company that are outside the 1. Payment of claim as described in Article of data as shown in Section C., above. If scope of this Arrangement, the National III, Section D; transfer is required, the unearned expenses Flood Insurance Act, and 44 CFR chapter 1, 2. Refunds to applicants and policyholders retained by the Company shall be remitted to subchapter B, and/or involve issues of for insurance premium overpayment, or if the the FIA. In such event the Government will insurer/agent negligence as discussed in application for insurance is rejected or when assume all obligations and liabilities owed to Article IX of this Arrangement, the OGC shall cancellation or endorsement of a policy policyholders under such policies arising make a recommendation to the Administrator results in a premium refund as described in before and after the date of transfer. as to whether the claim is grounded in Article III, Section E; and E. In the event the Act is amended, or actions by the Company that are significantly 3. Allocated and unallocated Loss repealed, or expires, or if the FIA is outside the scope of this Arrangement. In the Adjustment Expenses as described in Article otherwise without authority to continue the event the Administrator determines that the III, Section C. Program, financial assistance under this claim is grounded in actions by the Company B. The FIA shall provide technical Arrangement may be canceled for any new or that are significantly outside the scope of this assistance to the Company as follows: renewal business, but the Arrangement shall Arrangement, the Company will be notified, 1. The FIA’s policy and history concerning continue for policies in force that shall be in writing, within thirty (30) days of the underwriting and claims handling. allowed to run their term under the Administrator’s decision, if the decision is 2. A mechanism to assist in clarification of Arrangement. that any award or judgment for damages coverage and claims questions. F. In the event that the Company is unable arising out of such actions will not be 3. Other assistance as needed. to, or otherwise fails to, carry out its recognized under Article III of this obligations under this Arrangement by reason Arrangement as a reimbursable loss cost, Article V—Commencement and Termination of any order or directive duly issued by the expense or expense reimbursement. In the A. Upon signature of authorized officials Department of Insurance of any Jurisdiction event that the Company wishes to petition for for both the Company and the FIA, this to which the Company is subject, the reconsideration the determination that it will Arrangement shall be effective for the period Company agrees to transfer, and the not be reimbursed for the award or judgment October 1 through September 30. The FIA Government will accept, any and all WYO made under the above circumstances, it may shall provide financial assistance only for policies issued by the Company and in force do so by mailing, within thirty days of the policy applications and endorsements as of the date of such inability or failure to notice declining to recognize any such award accepted by the Company during this period perform. In such event the Government will or judgment as reimbursable under Article pursuant to the Program’s effective date, assume all obligations and liabilities owed to III, a written petition to the Chairman of the underwriting and eligibility rules. policyholders under such policies arising WYO Standards Committee established B. By June 1, of each year, the FIA shall before and after the date of transfer and the under the Financial Control Plan. The WYO publish in the Federal Register and make Company will immediately transfer to the Standards Committee will, then, consider the available to the Company the terms for the Government all funds in its possession with petition at its next regularly scheduled re-subscription of this Financial Assistance/ respect to all such policies transferred and meeting or at a special meeting called for that Subsidy Arrangement. In the event the the unearned portion of the Company purpose by the Chairman and issue a written Company chooses not to re-subscribe, it shall expenses for operating, administrative and recommendation to the Administrator within notify the FIA to that effect by the following loss adjustment on all such policies. thirty days of the meeting. The July 1. Administrator’s final determination will be C. In the event the Company elects not to Article VI—Information and Annual made, in writing, to the Company within participate in the Program in any subsequent Statements thirty days of the recommendation made by fiscal year, or the FIA chooses not to renew The Company shall furnish to FEMA such the WYO Standards Committee. the Company’s participation, the FIA, at its summaries and analyses of information E. Premium refunds to applicants and option, may require (1) the continued including claim file information, and policyholders required pursuant to rules performance of this entire Arrangement for a property address, location, and/or site contained in the National Flood Insurance period not to exceed one (1) year following information in its records as may be Program (NFIP) ‘‘Flood Insurance Manual’’ the original term of this Arrangement, or any necessary to carry out the purposes of the shall be made by the Company from Federal renewal thereof, or (2) the transfer to the FIA National Flood Insurance Act of 1968, as flood insurance funds referred to in Article of: amended, in such form as the FIA, in Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations 39913 cooperation with the Company, shall The Company and the FIA shall bear in only to be allowed or paid. No offset shall be prescribe. The Company shall be a property/ equal shares all expenses of the arbitration. allowed where a conservator, receiver, or casualty insurer domiciled in a State or Findings, proposed awards, and liquidator has been appointed and where an territory of the United States. Upon request, determinations resulting from arbitration obligation was purchased by or transferred to the Company shall file with the FIA a true proceedings carried out under this section, a party hereunder to be used as an offset. and correct copy of the Company’s Fire and upon objection by FIA or the Company, shall Although a claim on the part of either party Casualty Annual Statement, and Insurance be inadmissible as evidence in any against the other may be unliquidated or Expense Exhibit or amendments thereof as subsequent proceedings in any court of undetermined in amount on the date of the filed with the State Insurance Authority of competent jurisdiction. the Company’s domiciliary State. This Article shall indefinitely succeed the entry of the order, such claim will be term of this Arrangement. regarded as being in existence as of the date Article VII—Cash Management and of such order and any credits or claims of the Accounting Article IX—Errors and Omissions same class then in existence and held by the A. FEMA shall make available to the The parties shall not be liable to each other other party may be offset against it. Company during the entire term of this for damages caused by inadvertent delay, Arrangement and any continuation period error, or omission made in connection with Article XII—Equal Opportunity required by FIA pursuant to Article V, any transaction under this Arrangement. In The Company shall not discriminate Section C., the Letter of Credit provided for the event of such actions, the responsible against any applicant for insurance because in Article IV drawn on a repository bank party must attempt to rectify that error as of race, color, religion, sex, age, handicap, within the Federal Reserve System upon soon as possible after discovery of the error marital status, or national origin. which the Company may draw for and act to mitigate any costs incurred due to reimbursement of its expenses as set forth in that error. In the event that steps are not Article XIII—Restriction on Other Flood Article IV that exceed net written premiums taken to rectify the situation and such action Insurance collected by the Company from the effective leads to claims against the company, the As a condition of entering into this date of this Arrangement or continuation NFIP, or other related entities, the Arrangement, the Company agrees that in any period to the date of the draw. responsible party shall bear all liability B. The Company shall remit all funds, area in which the Administrator authorizes attached to that delay, error or omission to the purchase of flood insurance pursuant to including interest, not required to meet the extent permissible by law. the Program, all flood insurance offered and current expenditures to the United States However, in the event that the Company Treasury, in accordance with the provisions has made a claim payment to an insured sold by the Company to persons eligible to of the WYO Accounting Procedures Manual without including a mortgagee (or trustee) of buy pursuant to the Program for coverages or procedures approved in writing by the which the Company had actual notice prior available under the Program shall be written FIA. to making payment, and subsequently pursuant to this Arrangement. C. In the event the Company elects not to determines that the mortgagee (or trustee) is However, this restriction applies solely to participate in the Program in any subsequent also entitled to any part of said claim policies providing only flood insurance. It fiscal year, the Company and FIA shall make payment, any additional payment shall not does not apply to policies provided by the a provisional settlement of all amounts due be paid by the Company from any portion of Company of which flood is one of the several or owing within three months of the termination of this Arrangement. This the premium and any funds derived from any perils covered, or where the flood insurance settlement shall include net premiums Federal Letter of Credit deposited in the bank coverage amount is over and above the limits collected, funds drawn on the Letter of account described in Article II, section E. In of liability available to the insured under the Credit, and reserves for outstanding claims. addition, the Company agrees to hold the Program. Federal Government harmless against any The Company and FIA agree to make a final Article XIV—Access To Books and Records settlement of accounts for all obligations claim asserted against the Federal arising from this Arrangement within 18 Government by any such mortgagee (or The FIA and the Comptroller General of months of its expiration or termination, Trustee), as described in the preceding The United States, or their duly authorized except for contingent liabilities that shall be sentence, by reason of any claim payment representatives, for the purpose of listed by the Company. At the time of final made to any insured under the circumstances investigation, audit, and examination shall settlement, the balance, if any, due the FIA described above. have access to any books, documents, papers or the Company shall be remitted by the Article X—Officials Not to Benefit and records of the Company that are other immediately and the operating year pertinent to this Arrangement. The Company under this Arrangement shall be closed. No Member or Delegate to Congress, or Resident Commissioner, shall be admitted to shall keep records that fully disclose all Article VIII—Arbitration any share or part of this Arrangement, or to matters pertinent to this Arrangement, If any misunderstanding or dispute arises any benefit that may arise therefrom; but this including premiums and claims paid or between the Company and the FIA with provision shall not be construed to extend to payable under policies issued pursuant to reference to any factual issue under any this Arrangement if made with a corporation this Arrangement. Records of accounts and provisions of this Arrangement or with for its general benefit. records relating to financial assistance shall be retained and available for three (3) years respect to the FIA’s non-renewal of the Article XI—Offset Company’s participation, other than as to after final settlement of accounts, and to legal liability under or interpretation of the At the settlement of accounts the Company financial assistance, three (3) years after final standard flood insurance policy, such and the FIA shall have, and may exercise, the adjustment of such claims. The FIA shall misunderstanding or dispute may be right to offset any balance or balances, have access to policyholder and claim submitted to arbitration for a determination whether on account of premiums, records at all times for purposes of the commissions, losses, loss adjustment that shall be binding upon approval by the review, defense, examination, adjustment, or expenses, salvage, or otherwise due one party FIA. The Company and the FIA may agree on investigation of any claim under a flood to the other, its successors or assigns, and appoint an arbitrator who shall insurance policy subject to this Arrangement. investigate the subject of the hereunder or under any other Arrangements misunderstanding or dispute and make a heretofore or hereafter entered into between Article XV—Compliance With Act and determination. If the Company and the FIA the Company and the FIA. This right of offset Regulations cannot agree on the appointment of an shall not be affected or diminished because This Arrangement and all policies of arbitrator, then two arbitrators shall be of insolvency of the Company. appointed, one to be chosen by the Company All debts or credits of the same class, insurance issued pursuant thereto shall be and one by the FIA. whether liquidated or unliquidated, in favor subject to the provisions of the National The two arbitrators so chosen, if they are of or against either party to this Arrangement Flood Insurance Act of 1968, as amended, the unable to reach an agreement, shall select a on the date of entry, or any order of Flood Disaster Protection Act of 1973, as third arbitrator who shall act as umpire, and conservation, receivership, or liquidation, amended, the National Flood Insurance such umpire’s determination shall become shall be deemed to be mutual debts and Reform Act of 1994, and Regulations issued final only upon approval by the FIA. credits and shall be offset with the balance pursuant thereto and all Regulations affecting 39914 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations the work that are issued pursuant thereto, during the term hereof. Article XVI—Relationship Between the Parties (Federal Government and Company) and the Insured Inasmuch as the Federal Government is a guarantor hereunder, the primary relationship between the Company and the Federal Government is one of a fiduciary nature, i.e., to assure that any taxpayer funds are accounted for and appropriately expended. The Company is not the agent of the Federal Government. The Company is solely responsible for its obligations to its insured under any flood policy issued pursuant hereto. (Catalog of Federal Domestic Assistance No. 83.100, ‘‘Flood Insurance’’) Dated: July 18, 1997. Spence W. Perry, Executive Administrator, Federal Insurance Administration. [FR Doc. 97–19497 Filed 7–23–97; 8:45 am] BILLING CODE 6718±03±P federal register July 24,1997 Thursday Program; FinalRule Mandatory English-as-a-SecondLanguage 28 CFRPart544 Bureau ofPrisons Justice Department of Part IV 39915 39916 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Rules and Regulations

DEPARTMENT OF JUSTICE implemented the statutory requirements List of Subjects in 28 CFR Part 544 by requiring qualified federal inmates to Prisoners. Bureau of Prisons participate in an ESL program unless Kathleen M. Hawk, the Warden has excused the inmate for 28 CFR Part 544 Director, Bureau of Prisons. good cause. The regulations also [BOP±1013±F] included a provision for incentives to Accordingly, pursuant to the help effectuate inmate motivation and rulemaking authority vested in the RIN 1120±AA19 success. In addition, this rule included Attorney General in 5 U.S.C. 552(a) and procedures to identify inmates who delegated to the Director, the interim Mandatory English-as-a-Second rule amending 28 CFR part 544 which Language Program qualify for the program and recordkeeping requirements to monitor was published at 59 FR 14724 on March AGENCY: Bureau of Prisons, Justice. inmate progress. 29, 1994, is adopted as a final rule with the following change. ACTION: Final rule. The Bureau received no comment on the interim regulations. In adopting the SUBCHAPTER CÐINSTITUTIONAL SUMMARY: This document finalizes MANAGEMENT interim regulations as final, the Bureau interim rules pertaining to statutory does wish to make one administrative mandatory functional literacy PART 544ÐEDUCATION requirements. The functional literacy change. The Bureau is restating the time frame for minimum required 1. The authority citation for 28 CFR requirements provide that inmates who part 544 continues to read as follows: are not proficient in English must participation in terms of instructional participate in an English-as-a-Second- hours, with 240 instructional hours Authority: 5 U.S.C. 301; 18 U.S.C. 3621, Language (ESL) program until they being the equivalent of 120 calendar 3622, 3624, 4001, 4042, 4081, 4082 (Repealed in part as to offenses committed on or after function at the eighth grade level on a days. Paragraph (d) of § 544.42 has been revised accordingly. November 1, 1987), 5006–5024 (Repealed nationally recognized achievement test. October 12, 1984 as to offenses committed This amendment is intended to allocate Members of the public may submit after that date), 5039; 28 U.S.C. 509, 510; 28 Bureau resources designed to assist further comments concerning this rule CFR 0.95–0.99. inmates who are not functionally by writing to the previously cited 2. In § 544.42, paragraph (d) is revised literate in English. address. These comments will be to read as follows: EFFECTIVE DATE: July 24, 1997. considered but will receive no response ADDRESSES: Office of General Counsel, in the Federal Register. § 544.42 Procedures. Bureau of Prisons, HOLC Room 754, 320 The Bureau of Prisons has determined * * * * * First Street, NW., Washington, DC that this rule is not a significant (d) Ordinarily, there will be no time 20534. regulatory action for the purpose of E.O. limit for completion of the ESL FOR FURTHER INFORMATION CONTACT: Roy 12866, and accordingly this rule was not mandatory program. However, after 240 Nanovic, Office of General Counsel, reviewed by the Office of Management instructional hours of continuous Bureau of Prisons, phone (202) 514– and Budget. After review of the law and enrollment in an ESL program, 6655. regulations, the Director, Bureau of excluding sick time, furloughs, and other excused absences from scheduled SUPPLEMENTARY INFORMATION: The Prisons certifies that this rule, for the classes, the Warden shall have the Bureau of Prisons is finalizing interim purpose of the Regulatory Flexibility authority to grant a waiver from further regulations for its Mandatory English-as- Act (5 U.S.C. 601 et seq.), does not have program participation. This waiver may a-Second-Language (ESL) program. a significant economic impact on a be granted when it is determined that Mandatory functional literacy substantial number of small entities, the inmate will not benefit from further requirements contained in 18 U.S.C. within the meaning of the Act. Because instruction. Each exemption 3624(f) require non-English speaking this rule pertains to the correctional determination shall be made on an inmates to participate in an ESL management of offenders committed to individual basis and shall be supported program until they function at an eighth the custody of the Attorney General or by documentation. grade level on a nationally recognized the Director of the Bureau of Prisons, its educational achievement test. The economic impact is limited to the [FR Doc. 97–19520 Filed 7–23–97; 8:45 am] Bureau’s interim regulations Bureau’s appropriated funds. BILLING CODE 4410±05±P i

Reader Aids Federal Register Vol. 62, No. 142 Thursday, July 24, 1997

CUSTOMER SERVICE AND INFORMATION CFR PARTS AFFECTED DURING JULY

Federal Register/Code of Federal Regulations At the end of each month, the Office of the Federal Register General Information, indexes and other finding 202±523±5227 publishes separately a List of CFR Sections Affected (LSA), which aids lists parts and sections affected by documents published since the revision date of each title. Laws 3 CFR 920...... 36231, 36743 For additional information 523±5227 930...... 36020 Proclamations: Presidential Documents 981...... 36233 6641 (See 985...... 36236 Executive orders and proclamations 523±5227 Proclamation The United States Government Manual 523±5227 1005...... 39470 7011) ...... 35909 1007...... 39470 6763 (See 1011 ...... 36022, 37524, 39470 Proclamation 1046...... 39470 Other Services 7011) ...... 35909 Electronic and on-line services (voice) 523±4534 1137...... 37524 7011...... 35909 1944...... 36467 Privacy Act Compilation 523±3187 7012...... 39413 TDD for the hearing impaired 523±5229 Executive Orders: 8 CFR 12721 (See EO 103...... 39417 ELECTRONIC BULLETIN BOARD 13054) ...... 36965 245...... 39417 12852 (Amended by 274a...... 39417 Free Electronic Bulletin Board service for Public Law numbers, EO 13053)...... 39945 316...... 36447 Federal Register finding aids, and list of documents on public 13017 (Amended by Proposed Rules: inspection. 202±275±0920 EO 13056)...... 39415 204...... 38041 FAX-ON-DEMAND 13052...... 35659 13053...... 39945 9 CFR You may access our Fax-On-Demand service. You only need a fax 13054...... 36965 machine and there is no charge for the service except for long 13056...... 39415 77...... 37125 78...... 38443 distance telephone charges the user may incur. The list of Memorandums: 92...... 38445 documents on public inspection and the daily Federal Register’s July 16, 1997 ...... 38421 table of contents are available using this service. The document Proposed Rules: numbers are 7050-Public Inspection list and 7051-Table of 5 CFR 317...... 38220 Contents list. The public inspection list will be updated 890...... 38433 381...... 38220 immediately for documents filed on an emergency basis. 7201...... 36447 10 CFR NOTE: YOU WILL ONLY GET A LISTING OF DOCUMENTS ON Proposed Rules: 20...... 39058 FILE AND NOT THE ACTUAL DOCUMENT. Documents on 880...... 35693 30...... 39058 public inspection may be viewed and copied in our office located 7 CFR 40...... 39058 at 800 North Capitol Street, N.W., Suite 700. The Fax-On-Demand 50...... 39058 telephone number is: 301±713±6905 2...... 37485 300...... 36967 51...... 39058 301...... 36645, 36976 70...... 39058 FEDERAL REGISTER PAGES AND DATES, JULY 318...... 36967 72...... 39058 Proposed Rules: 35337±35658...... 1 354...... 39747 455...... 35661, 35662 20...... 39093 35659±35946...... 2 456...... 35666 40...... 39093 35947±36198...... 3 457...... 35662, 35666 430...... 36024, 38222 36199±36446...... 7 946...... 36199 451...... 36025 36447±36644...... 8 959...... 38203 36645±36964...... 9 981...... 37485, 37488 11 CFR 36965±37124...... 10 985...... 36646 104...... 35670 37125±37484...... 11 1005...... 39738 37485±37706...... 14 1006...... 36650 12 CFR 37707±38014...... 15 1007...... 39738 338...... 36201 38015±38202...... 16 1046...... 39738 790...... 37126 38203±38420...... 17 1137...... 35947 902...... 35948 38421±38896...... 18 1215...... 39386 Proposed Rules: 1220...... 37488 38897±39100...... 21 9...... 36746 1280...... 38897 202...... 37166 39101±39414...... 22 1381...... 36651 226...... 38489 39415±39746...... 23 1437...... 36978 250...... 37744 39747±39916...... 24 3405...... 39316 303...... 37748 3406...... 39330 325...... 37748 Proposed Rules: 326...... 37748 29...... 35452 327...... 37748 301...... 37159 346...... 37748 401...... 39189 347...... 37748 450...... 37000 351...... 37748 457...... 37000, 39189 362...... 37748 800...... 38488 545...... 39477 ii Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Reader Aids

550...... 39477 239...... 38495 40...... 37490 685...... 35602 563e...... 39477 240...... 36467 54...... 35904 611...... 38223 249...... 36467 301...... 39115 37 CFR 614...... 38223 270...... 38495 602...... 35904 201...... 35420 620...... 38223 274...... 38495 Proposed Rules: 202...... 35420 630...... 38223 1 ...... 35752, 35755, 37818, 203...... 35420 18 CFR 37819, 38197 38 CFR 13 CFR 35...... 36657 301...... 37819, 38197 123...... 35337 381...... 36981 1...... 35969 28 CFR 3 ...... 35421, 35969, 35970 14 CFR 19 CFR 0...... 38028 9...... 35969 39 ...... 35670, 35950, 35951, 101...... 37131 17...... 36984 21...... 35423 35953, 35956, 35957, 35959, 122...... 37131 32...... 37713, 39119 Proposed Rules: 36448, 36652, 36978, 37127, 201...... 38018, 39438 544...... 39916 17...... 39197 37128, 37130, 37707, 37710, Proposed Rules: 29 CFR 19...... 36038 38015, 38017, 38204, 38206, 101...... 37526 21...... 35454, 35464 1600...... 36447 38445, 38447, 38898, 39101, 351...... 38948 36...... 37824 1650...... 36447 39425, 39427, 39428 1926...... 37134 39 CFR 71 ...... 35894, 38208, 38209, 20 CFR 2200...... 35961 38210, 38211, 38212, 38213, 3001...... 35424 404...... 38448 2203...... 35961 39429, 39430, 39431, 39432, 410...... 38448 2204...... 35961 40 CFR 39433, 39434, 39435 416...... 36460, 38448 2520...... 36205 9...... 37720 97...... 39435, 39437 422...... 38448 2590...... 35904 50 ...... 38652, 38762, 38856 121...... 38362 Proposed Rules: 4000...... 36993 125...... 38362 52 ...... 35441, 35681, 36212, 702...... 35715 4001...... 35342 36214, 37136, 37138, 37494, 129...... 38362 4004...... 37717 135...... 38362 21 CFR 37506, 37510, 37722, 37724, 4007...... 36663 38213, 38457, 38909, 38912, Proposed Rules: 1...... 39439 4010...... 36993 38915, 38918, 38919, 38922, 25...... 37124, 38945 50...... 39439 4011...... 36993 39120, 39446 39 ...... 35696, 35698, 35700, 165...... 36460 4043...... 36993 53...... 38764 35702, 35704, 35706, 35708, 4071...... 36993 176...... 39770 58...... 38764 35709, 35711, 36240, 36747, 4302...... 36993 178...... 36982, 39441 60...... 36664 37170, 37778, 37788, 37798, 314...... 39890 62...... 36995 37808, 38491, 38493, 39194, 30 CFR 510...... 38905, 39442 63...... 36460, 37720 39195, 39490l 39492, 39784, 250...... 39773 520 ...... 37711, 37712, 38905, 70...... 37514 39787, 39789, 39791, 39793 256...... 36995, 39773 38906, 39443 81...... 35972, 38213 71...... 35713, 37172 902...... 35342 522 ...... 37713, 38905, 38907 180 ...... 35683, 36665, 36671, 187...... 38008 946...... 35964 524...... 38907 36678, 36684, 36691, 37516, 401...... 36027 Proposed Rules: 600...... 39890 38464 411...... 36027 202...... 38509 601...... 39890 185...... 38464 413...... 36027 206...... 36030, 38509 610...... 39890 186...... 38464 415...... 36027 211...... 38509 640...... 39890 268...... 37694 417...... 36027 250...... 37819 814...... 38026 281...... 36698 440...... 36028 935...... 36248, 38509 Proposed Rules: 300 ...... 35441, 35689, 35974, Ch. I ...... 36243 15 CFR 31 CFR 36997, 37522 101...... 36749 403...... 38406 922 ...... 35338, 36655, 39494 285...... 36205 872...... 38231 721...... 35689, 35690 946...... 38901 1308...... 37004 Proposed Rules: 103...... 36475, 38511 Proposed Rules: Proposed Rules: 52 ...... 35756, 36249, 37007, 30...... 36242 22 CFR 32 CFR 37172, 37175, 37526, 37527, 922...... 37818 126...... 37133 176...... 35343 37832, 38949, 38950, 38951, 201...... 38026 16 CFR 286...... 35351, 38197 39199, 39202, 39795 24 CFR 706...... 37719 55...... 38047 601...... 35586 60...... 36948 1000...... 36450 586...... 37478 33 CFR 62...... 37008 1017...... 36450 Proposed Rules: 27...... 35385, 39313 63...... 38053 Proposed Rules: 201...... 36194 100 ...... 35387, 35388, 35390, 70...... 36039, 37533 1700...... 38948 202...... 36194 35391, 39443, 39775 80...... 37338 207...... 35716 117...... 38908 81...... 38237 17 CFR 251...... 35716 144...... 35392 82...... 36428 4...... 39104 252...... 35716 155...... 37134 86...... 38053 200...... 36450 255...... 35716 165 ...... 35392, 35393, 35394, 131...... 38512 228...... 36450, 39755 266...... 35716 35395, 35396, 35398, 141...... 36100 229...... 36450, 39755 950...... 35718 335398, 35399, 35400, 142...... 36100 230...... 36450, 39755 953...... 35718 35401, 35402, 35403, 35405, 180...... 35760, 38513 232...... 36450, 39755 955...... 35718 35680, 35968, 37135, 38456, 186...... 35760 239 ...... 35338, 36450, 39755 1000...... 35718 39444, 39445 260...... 37183 240 ...... 35338, 36450, 39755 1003...... 35718 Proposed Rules: 261...... 37183 249...... 35338, 39755 1005...... 35718 84...... 36037 273...... 37183 260...... 36450 3500...... 38489 100...... 38042 300...... 38239 269...... 35338 110...... 38511 372...... 39797 Proposed Rules: 26 CFR 117...... 35453, 38043 799...... 37833 202...... 38495 1 ...... 35673, 37490, 38027, 230...... 38495 39115 34 CFR 42 CFR 232...... 36467, 38483 31...... 37490 222...... 35406 67...... 37124 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Reader Aids iii

Proposed Rules: 39780, 39781 7...... 36250 Proposed Rules: 1001...... 39798 76...... 38029 8...... 36250 23...... 38952 Proposed Rules: 12...... 37874 26...... 38952 44 CFR Ch. I...... 36752, 38244 14...... 37874 192...... 37008 62...... 39908 20...... 38951 15...... 36250, 37874 195...... 37008 64...... 39448 52...... 36476 16...... 36250 213...... 36138 65 ...... 37727, 39123, 39125 68...... 36476 17...... 36250 385...... 36039 67...... 37729, 39127 73 ...... 36250, 36756, 37008, 19...... 37874 525...... 39207 Proposed Rules: 38053, 38054, 38245, 38246, 22...... 36250 571...... 36251 67...... 37834, 39203 39798 27...... 36250 594...... 37847 80...... 37533 28...... 36250 1002...... 36477 45 CFR 31...... 35900, 36250 1181...... 36480 16...... 38217 48 CFR 32...... 36250 1182...... 36477, 36480 74...... 38217 Ch. VII...... 39452 33...... 37874 1186...... 36480 75...... 38217 235...... 37146 35...... 36250 1187...... 36477 95...... 38217 243...... 37146 42...... 36250 1188...... 36477, 36480 146...... 35904 252...... 37146, 37147 43...... 36250 148...... 35904 552...... 38475 44...... 36250 50 CFR Proposed Rules: 1514...... 37148 45...... 36250 Ch. XII...... 38241 1515...... 37148 46...... 35900 17 ...... 36481, 36482, 38932, 98...... 39610 1535...... 38476 49...... 36250 39129, 39147 99...... 39610 1552...... 37148, 38476 51...... 36250 20...... 39712 1201...... 38241 1803...... 36704 52 ...... 35900, 36250, 37847 227...... 38479 1804...... 36704 53...... 36250, 37847 229...... 39157 46 CFR 1807...... 36704 245...... 37185 285 ...... 35447, 36998, 38036, 109...... 35392 1809...... 36704 252...... 37185 38037, 38485, 38939 159...... 35392 1813...... 36704 9903...... 37654 300...... 38037 160...... 35392 1815...... 36704 648 ...... 36704, 36738, 37154, 199...... 35392 1816...... 36704 49 CFR 37741, 38038 296...... 37733 1819...... 36704 1...... 38478 660 ...... 35450, 36228, 38942, 1822...... 36704 171...... 39398 39782 47 CFR 1824...... 36704 172...... 39398 678...... 38942 Ch. I ...... 36216 1825...... 36704 173...... 37149 679 ...... 36018, 36739, 36740, 1 ...... 37408, 38029, 38475, 1827...... 36704 193...... 36465 36741, 37157, 37523, 38039, 39450 1832...... 36704 355...... 37150 38943, 38944, 39782, 39783 32...... 39450, 39776 1836...... 36704 369...... 38034 Proposed Rules: 43...... 39776 1837...... 36704 372...... 38035 17 ...... 35762, 37852, 38953, 59...... 36998 1839...... 36704 382...... 37150 38958, 39209, 39210 63...... 39451 1842...... 36227, 37335 383...... 37150 25...... 38959 64...... 35974, 39776 1844...... 36704 384...... 37150 32...... 38959 68...... 36463 1845...... 36704 389...... 37150 216...... 39799 73 ...... 36226, 36227, 36699, 1852...... 36704 391...... 37150 285 ...... 36040, 36739, 36872 36700, 36701, 36678, 36684, 1853...... 36704 392...... 37150 600...... 35468 36691, 37144, 37145, 37522, 1870...... 36704 531...... 37153 622...... 35774 38029, 38030, 38031, 38032, Proposed Rules: 1002...... 35692 630...... 38246 38033, 38218, 39128, 39779, 4...... 36250 1180...... 35692 679...... 37860 iv Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Reader Aids

REMINDERS governments; merit AGRICULTURE recommendations The items in this list were systems standards; DEPARTMENT request; comments due editorially compiled as an aid published 6-24-97 Rural Housing Service by 7-28-97; published to Federal Register users. TRANSPORTATION Program regulations: 6-27-97 Inclusion or exclusion from DEPARTMENT Community and insured ENERGY DEPARTMENT this list has no legal Coast Guard business programs; Energy Efficiency and significance. Merchant marine officers and servicing loans and Renewable Energy Office seamen: grants; comments due by Energy conservation: 8-1-97; published 6-2-97 RULES GOING INTO Commercial vessel Renewable energy EFFECT JULY 24, 1997 personnelÐ AGRICULTURE production incentive Chemical drug and DEPARTMENT program; comments due alcohol testing Rural Utilities Service by 7-31-97; published 6- AGRICULTURE 10-97 DEPARTMENT programs; foreign Program regulations: implementation date; ENVIRONMENTAL Freedom of Information Act Community and insured published 6-24-97 PROTECTION AGENCY and Privacy Act; business programs; implementation: servicing loans and Air pollution control; new motor vehicles and engines: Federal regulatory reform; COMMENTS DUE NEXT grants; comments due by published 6-24-97 WEEK 8-1-97; published 6-2-97 Light-duty vehicles and COMMERCE DEPARTMENT trucks; on-board ENVIRONMENTAL diagnostics requirements; PROTECTION AGENCY AGRICULTURE National Oceanic and Atmospheric Administration comments due by 7-28- Air quality implementation DEPARTMENT 97; published 5-28-97 Fishery conservation and plans; approval and Agricultural Marketing Air programs: promulgation; various Service management: Clean Air ActÐ States: Fruits, vegetables, and other Alaska; fisheries of Special exemptions; Virginia; published 6-24-97 products, fresh: Exclusive Economic Guam; comments due FEDERAL Apples; grade standards; ZoneÐ Pacific Ocean perch; by 7-30-97; published COMMUNICATIONS comments due by 7-28- 6-30-97 COMMISSION 97; published 5-29-97 comments due by 7-28- 97; published 7-16-97 Air quality implementation Radio stations; table of Milk marketing orders: plans; approval and Northeastern United States assignments: Tennessee Valley; promulgation; various fisheriesÐ Texas et al.; published 7- comments due by 7-31- States: Summer flounder; 24-97 97; published 7-14-97 Indiana; comments due by comments due by 8-1- GOVERNMENT ETHICS 7-28-97; published 6-26- AGRICULTURE 97; published 6-2-97 OFFICE DEPARTMENT 97 Habitat conservation planning Executive Branch financial Missouri; comments due by Animal and Plant Health and incidental take disclosure, qualified trust, Inspection Service 8-1-97; published 7-2-97 and certificates of divesture: permitting process; Exportation and importation of handbook availability; no Tennessee; comments due No new interests certificate; animals and animal surprises policy; comments by 8-1-97; published 7-2- optional use; published 6- products: due by 7-28-97; published 97 24-97 Hog cholera and swine 5-29-97 Air quality planning purposes; HEALTH AND HUMAN vesicular disease; disease Magnuson-Stevens Fishery designation of areas: SERVICES DEPARTMENT status changeÐ Conservation and Nevada; comments due by Food and Drug Spain; comments due by Management Act; 7-28-97; published 6-26- Administration 7-28-97; published 5-27- implementation: 97 Food additives: 97 Regional fishery Superfund program: Paper and paperboard Plant-related quarantine, management council National oil and hazardous componentsÐ domestic: members appointment; substances contingency Dinonylphenol; published Gypsy moth; comments due comments due by 7-31- planÐ 7-24-97 by 7-29-97; published 5- 97; published 7-1-97 National priorities list HOUSING AND URBAN 30-97 Pacific Halibut Commission, update; comments due DEVELOPMENT AGRICULTURE International: by 7-30-97; published DEPARTMENT DEPARTMENT Pacific halibut fisheriesÐ 6-30-97 Low income housing: Farm Service Agency Oregon sport fishery; Toxic substances: HOPE for homeownership of Program regulations: comments due by 7-31- Significant new usesÐ single family homes 97; published 7-16-97 Community and insured 1-Aspartic acid, program (HOPE 3); business programs; DEFENSE DEPARTMENT homopolymer and published 6-24-97 servicing loans and Federal Acquisition Regulation ammonium and JUSTICE DEPARTMENT grants; comments due by (FAR): potassium salts, etc.; comments due by 7-28- Prisons Bureau 8-1-97; published 6-2-97 Government property; 97; published 6-26-97 Institutional management: AGRICULTURE comments due by 8-1-97; Butanamide, 2,2'- Mandatory English-as-a- DEPARTMENT published 6-2-97 [3'dichloro[1,1'-biphenyl]- second language program; Rural Business-Cooperative EDUCATION DEPARTMENT 4,4'-diyl)bisazobis N-2,3- published 7-24-97 Service Special education and dihydro-2-oxo-1H- PERSONNEL MANAGEMENT Program regulations: rehabilitative services: benximdazol-5-yl)-3-oxo; OFFICE Community and insured Individuals with Disabilities comments due by 7-28- Intergovernmental Personnel business programs; Education Act 97; published 6-26-97 Act programs: servicing loans and Amendments of 1997Ð Substituted phenol, etc.; Personnel administration by grants; comments due by Programs implementation; comments due by 7-28- State and local 8-1-97; published 6-2-97 advice and 97; published 6-26-97 Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Reader Aids v

Water pollution control: Fair market rent Administration and Coast Guard Authorization Act Clean Water Act and Safe schedules for rental procedureÐ of 1996; implementation: Drinking Water ActÐ certificate, loan Civil penalties; comments International management Pollutant analysis test management, property due by 8-1-97; code for safe operation of procedures; approval disposition, moderate published 7-2-97 ships and pollution rehabilitation, and rental process streamlined; LABOR DEPARTMENT prevention; development voucher programs; guidelines; correction; of parallel U.S. comments due by 7-29- Mine Safety and Health comments due by 8-1- requirements; comments 97; published 4-30-97 Administration 97; published 6-26-97 due by 7-30-97; published Mortgage and loan insurance Metal and nonmetal and coal Water quality standardsÐ mine safety and health: 5-1-97 programs: Drawbridge operations: Alaska; arsenic human Direct endorsement Occupational noise Maryland; comments due by health criteria; mortgagees; delegation of exposure; comments due 7-31-97; published 4-21- withdrawal; comments insuring authority; by 8-1-97; published 6-13- 97 due by 8-1-97; comments due by 8-1-97; 97 published 7-18-97 published 6-2-97 LABOR DEPARTMENT TRANSPORTATION EXECUTIVE OFFICE OF THE INTERIOR DEPARTMENT Occupational Safety and DEPARTMENT PRESIDENT Fish and Wildlife Service Health Administration Disadvantaged business Central Intelligence Agency Endangered and threatened Safety and health standards, enterprises participation in DOT financial assistance Freedom of Information and species: etc.: programs; comments due by Privacy Acts; Preble's meadow jumping Ethylene oxide standard; 7-29-97; published 5-30-97 implementation; comments mouse; comments due by meeting; comments due due by 7-28-97; published 7-28-97; published 5-5-97 by 8-1-97; published 5-27- TRANSPORTATION 6-16-97 Habitat conservation planning 97 DEPARTMENT and incidental take Federal Aviation FEDERAL LABOR DEPARTMENT permitting process; Administration COMMUNICATIONS handbook availability; no Pension and Welfare COMMISSION Benefits Administration Airworthiness directives: surprises policy; comments Airbus Industrie; comments Common carrier services: due by 7-28-97; published Mental Health Parity Act of 1996 and Newborns' and due by 7-28-97; published Commercial mobile 5-29-97 6-18-97 servicesÐ INTERIOR DEPARTMENT Mothers' Health Protection Act of 1996; implementation; Bombardier; comments due Wireless services Minerals Management comments due by 7-28-97; by 7-28-97; published 5- compatibility with Service 28-97 enhanced 911 calling; published 6-26-97 Outer Continental Shelf; British Aerospace; comments due by 7-28- NATIONAL AERONAUTICS geological and geophysical comments due by 7-28- 97; published 7-21-97 explorations; comments due AND SPACE 97; published 6-17-97 Competitive bidding by 7-29-97; published 5-28- ADMINISTRATION Dornier; comments due by procedures; comments 97 Federal Acquisition Regulation 7-28-97; published 6-17- due by 8-1-97; published INTERIOR DEPARTMENT (FAR): 97 7-9-97 Surface Mining Reclamation Government property; and Enforcement Office comments due by 8-1-97; Pratt & Whitney; comments Radio stations; table of due by 7-28-97; published Environmental statements; published 6-2-97 assignments: 5-27-97 Idaho; comments due by 7- availability, etc.: NORTHEAST DAIRY Permanent program COMPACT COMMISSION Puritan Bennett Aero 31-97; published 5-21-97 Systems Co.; comments regulations, etc.; Compact over-order price GENERAL SERVICES due by 7-28-97; published comments due by 8-1-97; regulations; proceedings or ADMINISTRATION 5-29-97 published 5-30-97 petitions to modify or Federal Acquisition Regulation Initial and permanent exempt; comments due by Class E airspace; comments (FAR): regulatory programs: 7-30-97; published 6-30-97 due by 7-28-97; published Government property; 6-11-97 Surface coal mining and NUCLEAR REGULATORY comments due by 8-1-97; reclamation operationsÐ COMMISSION TRANSPORTATION published 6-2-97 Valid existing rights (VER) Byproduct material; domestic DEPARTMENT HEALTH AND HUMAN definition and claims licensing: Federal Highway SERVICES DEPARTMENT submission and Administration processing procedures; Funding by non-profit and Health Care Financing non-bond issuing licenses; Motor carrier safety standards: Administration comments due by 8-1- Parts and accessories 97; published 5-30-97 self guarantee; comments Medicare: due by 7-29-97; published necessary for safe JUSTICE DEPARTMENT Hospital inpatient 4-30-97 operationÐ Drug Enforcement prospective payment General amendments; Administration SMALL BUSINESS systems and 1998 FY ADMINISTRATION comments due by 7-28- rates; comments due by Schedules of controlled 97; published 6-12-97 substances: Disaster loan programs: 8-1-97; published 6-2-97 Safety fitness proceduresÐ Excluded veterinary anabolic Legal business entities Mental Health Parity Act of steroid implant products; engaged in agricultural Rating methodology; 1996 and Newborns' and comments due by 7-29- enterprises and non- comments due by 7-28- Mothers' Health Protection 97; published 5-30-97 agricultural business 97; published 5-28-97 Act of 1996; implementation; Exempt anabolic steroid ventures; comments due Rating methodology; comments due by 7-28-97; products; comments due by 7-31-97; published 7-1- comments due by 7-28- published 6-26-97 by 7-29-97; published 5- 97 97; published 7-3-97 HOUSING AND URBAN 30-97 TRANSPORTATION TRANSPORTATION DEVELOPMENT LABOR DEPARTMENT DEPARTMENT DEPARTMENT DEPARTMENT Employment Standards Coast Guard National Highway Traffic Low income housing: Administration Boating safety regulations; Safety Administration Housing assistance Longshore and Harbor comments due by 7-28-97; Motor vehicle safety payments (Section 8)Ð Worker's Compensation Act: published 5-28-97 standards: vi Federal Register / Vol. 62, No. 142 / Thursday, July 24, 1997 / Reader Aids

Controls and displays, Non-specification open Wine; small producers' tax reissuance of procedural accessibility and visibility; head fiber drum credit and bond changes; comments due Federal regulatory review; packaging; authority for provisions; conforming by 7-29-97; published 5- comments due by 7-31- shipping certain liquid changes; comments due 30-97 97; published 6-16-97 hazardous materials by 8-1-97; published 6-2- extended; comments 97 UNITED STATES TRANSPORTATION INFORMATION AGENCY DEPARTMENT due by 8-1-97; TREASURY DEPARTMENT published 6-2-97 Fiscal Service Research and Special Exchange visitor program: TREASURY DEPARTMENT Financial management Programs Administration Alcohol, Tobacco and services: Au pair programs; Hazardous materials: Firearms Bureau Indorsement and payment of participation requirements; Hazardous materials Small Business Job Protection checks drawn on United comments due by 7-28- transportationÐ Act of 1996; implementation: States Treasury; 97; published 6-27-97